Conference Call
1Q15
April 30, 2015
Disclaimer
The statements that may eventually be
made during this conference call relating to
WEG’s business perspectives, projections
and operating and financial goals and to
WEG’s
potential
future
growth
are
management beliefs and expectations, as
well as information that are currently
available.
These
statements
involve
risks,
uncertainties and the use of assumptions,
as they relate to future events and, as such,
1Q15 Conference Call
Page 2
depend on circumstances that may or may
not be present.
Investors should understand that the
general economic conditions, conditions of
the industry and other operating factors
may affect WEG’s future performance and
lead to results that may differ materially
from those expressed in such future
considerations.
April 30, 2015
Highlights
Quarterly Figures
Q1 2015
Q4 2014
%
Net Operating Revenue
Domestic Market
2,130,291
1,027,854
2,179,695
1,086,902
-2.3%
-5.4%
1,783,543
895,446
19.4%
14.8%
External Markets
External Markets in US$
Gross Operating Profit
Gross Margin
Net Income
Net Margin
EBITDA
EBITDA Margin
EPS (adjusted for splits)
1,102,437
385,011
638,623
30.0%
245,859
11.5%
348,361
16.4%
1,092,793
429,332
698,218
32.0%
263,285
12.1%
382,987
17.6%
0.9%
-10.3%
-8.5%
888,097
375,677
570,421
32.0%
204,887
11.5%
299,643
16.8%
24.1%
2.5%
12.0%
0.15240
0.16321
-6.6%
0.12702
20.0%
-6.6%
-9.0%
Q1 2014
%
20.0%
16.3%
Figures in R$ Thousand
1Q15 Conference Call
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April 30, 2015
Net Operating Revenue
Quarterly Evolution
In R$ million
Brazilian Market
External Market
1,784
2,180
2,130
52%
50%
52%
2,056
1,822
50%
51%
50%
49%
48%
50%
48%
Q1 14
Q2 14
Q3 14
Q4 14
Q1 15
1Q15 Conference Call
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April 30, 2015
Business Area
Revenue breakdown
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April 30, 2015
Costs of Goods Sold
Other Costs
8%
Depreciation
4%
Labor
21%
Depreciation
4%
Q1 15
Other Costs
9%
Q1 14
Labor
23%
Materials
65%
1Q15 Conference Call
Materials
65%
Page 6
April 30, 2015
Main impacts on EBITDA
In R$ million
192,3
(264,2)
154,5
FX Impact on
Revenues
299,6
(10,0)
COGS (ex
depreciation)
Volumes,
Prices &
Product Mix
Changes
Selling
Expenses
(16,6)
(1,7)
5,5
General and
Administrative
Expenses
Profit Sharing
Program
Other
Expenses
EBITDA Q1 15
EBITDA Q1 14
1Q15 Conference Call
348,4
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April 30, 2015
Working Capital
In % of Net Revenue
50,0%
40,0%
Working Capital
30,0%
Clients
Inventories
20,0%
10,0%
Suppliers
Advances
0,0%
1Q07
1Q15 Conference Call
1Q08
1Q09
1Q10
Page 8
1Q11
1Q12
April 30, 2015
1Q13
1Q14
1Q15
Capex Program
Quarterly Evolution
In R$ million
Outside Brazil
132.3
Brazil
94.0
60.5
134.1
120.1
47.9
34.3
64.3
8.4
23.5
71.8
86.2
85.8
55.9
70.6
Q1 14
Q2 14
Q3 14
Q4 14
Q1 15
1Q15 Conference Call
Page 9
April 30, 2015
Investor Relations Contacts
Paulo Polezi
Luis Fernando Oliveira
Finance and Investor
Relations Officer
Investor Relations
Manager
+55 (47) 3276-6354
ppolezi@weg.net
+55 (47) 3276-6367
luisfernando@weg.net
https://www.facebook.com/ri.weg
twitter.com/weg_ir
www.linkedin.com/company/weg-investor-relations
www.weg.net/ir
1Q15 Conference Call
April 30, 2015