Earnings Release
Jaraguá do Sul (SC), April 24th 2013: WEG S.A. (Bovespa: WEGE3, OTC WEGZY), one of the world’s largest manufacturer of electric-electronic equipment, with five main
product lines: Motors, Power, Transmission and Distribution, Automation and Coatings, announced today its results for the first quarter of 2013 (1Q13). The following financial
and operating data are presented in a consolidated basis, except when otherwise indicated, in thousands of Brazilian Reais (R$) according to accounting practices adopted in
Brazil, including Brazilian Corporate Law and the convergence to IFRS international norms. All growth rates comparisons relate, except when otherwise indicated, to the same
period of the previous year.
Higher profitability in the first quarter of 2013
Net Revenue grew by 8% over 1Q12.
EBITDA grew by 26% in the quarter, reaching R$ 248.9 million, 16.8% margin.
Net Income of R$ 172.3 million, growth of 16% and 11.7% net margin.
Net operating revenue in the first quarter of 2013
Net Income totaled R$ 172.3 million, with net margin
Highlights
Key
Figures
reached R$ 1,477.6 million, with 7.9% growth over
1Q12 and decrease of 11.1% over 4Q12;
of 11.7% and 16.2% growth over 1Q12 and decrease
of 5.9% over 4Q12;
EBITDA reached R$ 248.9 million and EBITDA
margin of 16.8%. Growth was 25.5% over the
previous year and decrease of 14.1% over the
previous quarter,
Investments in fixed assets totaled R$ 56.8 million in the
first three months of 2013.
Q1 2012
%
-11.1%
-0.2%
-20.6%
1,369,762
714,268
655,494
7.9%
8.2%
7.5%
431,141
-18.1%
370,825
-4.8%
463,635
528,641
-12.3%
391,967
18.3%
31.4%
31.8%
Net Income
172,299
183,157
Net Margin
11.7%
11.0%
248,898
289,786
Net Operating Revenue
Domestic Market
External Markets
External Markets in US$
Gross Operating Profit
Gross Margin
EBITDA
Q1 2013
Q4 2012
1,477,577
772,935
704,642
1,662,258
774,533
887,725
353,077
EBITDA Margin
16.8%
17.4%
EPS
0.2777
0.2952
%
28.6%
-5.9%
148,247
16.2%
10.8%
-14.1%
198,251
-5.9%
0.2390
25.5%
14.5%
16.2%
Figures in R$ Thousand
Conference Call (will simultaneous translation to English)
April 25, Thursday 11 a.m. (Brasilia official time)
Dial---in in the US: +1 786 924-6977
Webcasting (simultaneous translation into English): www.ccall.com.br/weg/1q13.htm
WEG S.A. | 2013 First Quarter Results
Earnings Release
Economic Activity
and Industrial
Production
The beginning of 2013 was characterized by the slow pace of industrial activity, both in Brazil and abroad.
Purchasing manager indexes (PMI), commonly used as indicators of industrial activity (PMI indexes above
50 indicate industrial expansion, while indexes below 50 indicate contraction in industrial activity), showed
continuing recovery in China and U.S., while the situation in Germany continued unfavorable.
Manufacturing ISM Report on Business ®
Markit/BME Germany Manufacturing PMI®
HSBC China Manufacturing PMI™
USA
Germany
China
March 2013
51.3
49.0
51.6
February 2013
54.2
50.3
50.4
January 2013
53.1
49.8
52.3
December 2012
50.2
46.0
51.5
In Brazil, although expectations of the financial market, as gathered by the Brazilian Central Bank in the
Focus survey, indicate a 3.5% increase in industrial production in 2013, IBGE Industrial Production numbers
showed fall 2.5% in February over the previous month, practically eliminating the 2.6% expansion recorded
in January 2013. Growth accumulated in the first two months of the year reached 1.1%, while in the 12
months to February there is still 1.9% drop. Compared with the results accumulated in 2012, down 2.6%,
these numbers point to a slow recovery.
Industrial Indicators According to Categories of Use in Brazil
Change (%)
Categories of Use
Fev/Jan (*)
Feb 13 / Feb 12
Capital Goods
1.60
Intermediary Goods
-1.30
Consumer Goods
-4.20
Durable Goods
-6.80
Semi-durable and non-durable
-2.10
General Industry
-2.50
Source: IBGE, Research office, Industry Coordination
(*) Series with seasonal adjustments
9.10
-4.40
-5.00
-2.20
-5.80
-3.20
Acummulated
On Year
12 months
13.30
-0.30
-0.30
4.00
-1.50
1.10
-7.80
-1.50
-0.40
-0.30
-0.40
-1.90
Capital goods production showed the best results among the categories of use, with growth of 13.3%
accumulated in the year, but still down 7.8% over the past 12 months. Remember that both the
performance of the general industrial production, as the production of capital goods were influenced by
large variations in production of light vehicles (negatively) and heavy vehicles / trucks (positively). Even after
discounting for this impact, the performance in capital goods remained positive, showing investments in
capacity expansion in some sectors.
Net Operating
Revenue
Net Operating Revenues totaled R$ 1,477.6 million in the first quarter of 2013 (1Q13), corresponding to an
increase of 7.9% in relation to the first quarter of 2012 (1Q12) and decrease of 11.1% in relation to the
fourth quarter of 2012 (4Q12). The growth rate considering the comparison on the same basis, adjusted for
the consolidation of revenues from acquisitions, was 7.0% over 1Q12.
Net Operating Revenue per Market (R$ million)
External Market
Domestic Market
1,613
1,529
1,662
1,478
1,370
52%
50%
48%
50%
Q2
Q3
53%
48%
48%
52%
Q1
2012
47%
Q4
52%
Q1
2013
2 | WEG S.A. | 2013 First Quarter Results
Earnings Release
In the 1Q13, net operating revenue breaks down as follows:
ƒ Domestic Market: R$ 772.9 million, representing 52% of Net Operating Revenue, with 8.2% growth over
1Q12 and decrease of 0.2% over 4Q12. Adjusting for the consolidation of revenues from acquires
companies Stardur, Paumar and Injetel the growth over 1Q12 would have been 6.5%;
ƒ External Market: R$ 704.6 million, equivalent to 48% of Net Operating Revenue. The comparison in
Brazilian Reais shows growth of 7.5% over the same period last year and decrease of 20.6% over the
previous quarter. Considering the average US dollar, comparison shows decreases of 4.8% compared
to 1Q12 and of 18.1% over 4Q12.
Evolution of Net Revenues according to Geographic Market
(R$ Million)
Q1 2013
Net Operating Revenues
- Domestic Market
- External Markets
- External Markets in US$
1,477.6
772.9
704.6
353.1
Q4 2012
1,662.3
774.5
887.7
431.1
Change
Q1 2012
-11.1%
-0.2%
-20.6%
-18.1%
1,369.8
714.3
655.5
370.8
Change
7.9%
8.2%
7.5%
-4.8%
External Market --- Distribution of Net Revenues according to Geographic Market
Q1 2013
North America
South and Central America
Europe
Africa
Australasia
37.5%
14.8%
25.9%
11.7%
10.2%
Q4 2012
30.7%
19.4%
23.4%
16.1%
10.5%
Change
Q1 2012
6.8 pp
-4.6 pp
2.5 pp
-4.4 pp
-0.3 pp
35.8%
14.6%
27.8%
12.7%
9.1%
Change
1.7 pp
0.2 pp
-1.9 pp
-1 pp
1.1 pp
Distribution of Net Revenues per Business Area
Electro-electronic Industrial Equipments
Domestic Market
External Market
Energy Generation , Transmission and Distribution
Domestic Market
External Market
Electric Motors for Domestic Use
Domestic Market
External Market
Paints and Varnishes
Domestic Market
External Market
Business Areas
Q1 2013
Q4 2012
%
Q1 2012
%
63.8%
27.7%
36.1%
19.8%
11.7%
8.1%
10.1%
7.3%
2.8%
6.3%
5.7%
0.7%
56.6%
23.0%
33.6%
28.0%
11.5%
16.5%
9.3%
6.8%
2.5%
6.1%
5.4%
0.8%
7.1 pp
4.7 pp
2.4 pp
-8.2 pp
0.2 pp
-8.3 pp
0.8 pp
0.5 pp
0.3 pp
0.2 pp
0.3 pp
-0.1 pp
63.5%
28.8%
34.7%
22.8%
12.1%
10.7%
8.1%
6.2%
1.9%
5.6%
5.1%
0.5%
0.3 pp
-1 pp
1.3 pp
-3 pp
-0.4 pp
-2.6 pp
2 pp
1.1 pp
0.9 pp
0.7 pp
0.5 pp
0.2 pp
The revenue performance showed a natural slowdown in this 1Q13 compared with the pace seen in the
second part of the previous year. This is an expected behavior, in line with normal seasonality of markets.
On the other hand, we continue to see favorable trends in the mix of products sold and average prices in
long cycle products, important variables for the overall profitability of our business. We are confident that the
inflection points in these variables have been overcome and that the prospects for improvement are
consistent.
In the Industrial Electro-Electronic Equipment our position in the Brazilian industrial market is very strong
and we have expanded our operations in increasingly broader systems and solutions, leveraging
opportunities in new segments and introducing new products and services. The performance in the
domestic market shows that economic agents are beginning to respond to production incentives deployed
within the ‘‘Plano Brazil Maior’’, but the speed of this response continues to be below expectations.
Additionally, we have seen some delays in converting investments intentions into new orders in areas such
as oil and gas and mining, for example.
In the external markets we observe a slowdown of growth rates after the strong growth seen in recent
quarters, both in mature and emerging markets. This recent strong performance was followed by a gradual
brought a gradual change on the competitive conditions in many markets, which was to be expected. We
are confident that our product portfolio, which is up to date technologically and adapted to the specificities
of each market, will continue to be an important competitive advantage. We also highlight the negative
impact on revenues caused by the devaluation of local currencies in some of our key markets, such as
South Africa and Argentina, for example.
3 | WEG S.A. | 2013 First Quarter Results
Earnings Release
In the Energy Generation, Transmission and Distribution (GTD) market conditions for T&D indicate
gradual elimination of excess production capacity, which is improving product pricing conditions relative to
recent quarters, with consequent positive effect on profitability. The market for generation equipment
continues at a slow pace.
The Motors for Domestic Use area showed slight improvement in the ‘‘white goods’’ market. The recent
increase on import duties over some components are beginning to stimulate local production and to prevent
imported products to benefit from consumption stimulus, such as, for exempla, lower excise taxes.
The Paints and Varnishes area recorded organic growth and consolidated of the acquisitions made in
2012. We continued to execute our growth strategy based on expanding the product portfolio and entering
new segments, exploring synergies with other WEG products.
Cost of Goods
Sold
Cost of Goods Sold (COGS) totaled R$ 1,013.9 million in 1Q13, increasing 3.7% over 1Q12 and decrease
of 10.6% over 4Q12. Gross margin reached 31.4%, with expansion of 2.8 percentage points over 1Q12
and decrease of 0.4 percentage point over 4Q12.
Gross Margin
This increase in gross margin compared to 1Q12, is due to: (i) relative stability of raw material costs; (ii) the
positive effect of devaluation on revenues (iii) greater dilution of processing costs with revenue growth; (iv)
gains from product and process engineering, with impacts on the use of materials and labor; (v) reduction
on payroll social security taxes; and (vi) more favorable pricing dynamics in some long-cycle products and
relative improvement in the mix of products sold.
Cost of Raw
Materials
Average copper spot prices at the London Metal Exchange fell by 5% in the 1Q13 compared to the average
of 1Q12 and remained stable in relation to the average of 4Q12. Steel prices in the international markets,
according to the CRUspiGlobal index, fell by 7.8% over 1Q12 but rose 4.5% in relation to the 4Q12. It is
important to note that the price declines observed in US dollars were partially offset by the depreciation of
the Real, result in costs stable when measured in Brazilian currency.
These are the two main raw materials in our production process and their management requires great
attention. Copper prices are, after transportation costs are considered, quite uniform across the various
markets. Steel prices may show regional variations, but under normal conditions follow similar trends in
many global markets. Our price and risk exposure management of these costs considers these
characteristics. Adjustments in selling prices occur naturally, according to the characteristics of each order
and to the current market conditions, incorporating raw materials costs variations gradually.
Selling, General
and
Administrative
Expenses
Consolidated selling, general and administrative expenses (SG&A) represented 15.6% of net operating
revenue in the 1Q13, 0.3 percentage point higher than the 15.3% of the 1Q12 and 0.7 percentage point
higher than the 14.9% of the 4Q12. In absolute terms, operating expenses grew by 9.7% over 1Q12 and
decrease of 7.9% over the previous quarter.
Q1 2013
Net Operating Revenues
Q4 2012
1,477.6
%
1,662.3
-11.1%
-6.4%
Consolidated Net Income for the Period
173.1
184.8
Net Margin
11.7%
11.1%
(+) Income taxes & Contributions
(+/-) Financial income (expenses)
(+) Depreciation & Amortization
EBITDA
48.3
(24.7)
52.1
248.9
53.7
(2.7)
54.0
289.8
EBITDA Margin
16.8%
17.4%
Q1 2012
%
1,369.8
7.9%
151.3
14.4%
11.0%
-9.9%
826.4%
-3.4%
-14.1%
43.3
(45.9)
49.6
198.3
11.7%
-46.3%
5.2%
25.5%
14.5%
Figures in R$ thousands
EBITDA and
EBITDA Margin
As a result of aforementioned impacts, EBITDA in 1Q13, calculated according to the new methodology
defined by CVM in the Instruction nº 527/2012, totaled R$ 248.9 million in 1Q13, an increase of 25.5% over
1Q12 and decrease of 14.1% over 4Q12. EBITDA margin reached 16.8%, 2.3 percentage points higher
than the 1Q12 and 0.6 percentage point lower than the 4Q12.
As for comparative purposes, EBITDA calculated according to the methodology previously used reached R$
256.8 million, an increase of 23.1% over 1Q12 and decrease of 14.6% over the previous quarter, EBITDA
margin of 17.4%.
4 | WEG S.A. | 2013 First Quarter Results
Earnings Release
Net Financial
Results
In this quarter, net financial income was positive in R$ 24.6 million (R$ 45.9 million in 1Q12 and R$ 2.7
million in 4Q12). Financial revenues totaled R$ 123.0 million in 1Q13 (R$ 127.8 million in 1Q12 and R$ 96.8
million in 4Q12). Financial expenses totaled R$ 98.4 million (R$ 81.9 million in 1Q12 and R$ 94.1 million in
4Q12). The decrease in net financial income is mainly due to the reduction of real interest rates on financial
instruments in the Brazilian market.
Income Tax and
Social
Contribution
The Income Tax and Social Contribution Tax on Net Profit provision in 1Q13 reached R$ 51.3 million (R$
48.5 million in 1Q12 and R$ 62.3 million in 4Q12). Additionally, R$ 3.0 million were recorded as ‘‘Deffered
income tax / social contribution’’ credit (credit of R$ 5.2 million in 1Q12 and credit of R$ 8.6 million in
4Q12).
Net Income
As the result of the previously discussed impacts, net income for 1Q13 was R$ 172.3 million, an increase of
16.2% over 1Q12 and decrease of 5.9% over the previous quarter. The net margin of the quarter was
11.7%, 0.9 percentage point higher compared to the 1Q12 and 0.7 percentage point higher compared to
the 4Q12.
Cash flow
The Cash total showing in the Cash Flow Statement, of R$ 3,013.8 million, does not includes R$ 265.7
million in investments maturing in May next, but without immediate liquidity. Considering the accounts
‘‘Cash’’, ‘‘Cash and Equivalent’’ and ‘‘Short-term investments’’, the total cash position reaches R$ 3,275.5
million.
510.1
297.8
2,302.3
Operating
Cash Dec 2012
3,013.8
96.3
Investing
Financing
Cash Mar 2013
Operating cash
flow
Cash flow from operating activities totaled R$297.8 million in 1Q13, an increase of 9% over 1Q12. This
expansion in operating cash generation was mainly due to the increase in cash generated from operations,
with increase in net income before depreciation. There was reduction in working capital needs, with
emphasis on the reduction of receivables and increased suppliers. On the other hand, there were increases
in the Income Tax and profit sharing provisions.
Investments
Investments in fixed assets for capacity expansion and modernization totaled R$ 56.8 million in the first
three months of 2013, 89% o which destined to the industrial plants and other installations in Brazil and the
remaining amount to production units and other subsidiaries abroad.
In the 1Q13 training and labor development expenses reached R$ 1.4 million, 16% above 1Q12.
As announced in 4Q12 results conference call, we expect to invest approximately R$ 265 million in capacity
expansion and modernization of plants in 2013. Additionally, we estimate approximately R$ 87 million in the
expansion of working capital.
5 | WEG S.A. | 2013 First Quarter Results
Earnings Release
Investments in Fixed Assets (R$ million)
Outside Brazil
Brazil
58.7
73.7
55.5
50.4
5.0
3.7
5.1
53.7
51.9
45.4
Q1
Q2
Q3
56.8
9.3
6.0
64.5
50.8
Q4
Q1
2012
2013
Cash flow from
investing
activities
Investing activities consumed R$ 96.4 million in 1Q13, a decrease of 3% over 1Q12. There were no new
acquisitions announced and paid for in this quarter, which ended up being the main factor in reducing the
use of cash for investments.
Debt and Cash
Position
Debt and Cash Position (R$ thousands)
Cash & Financial instruments
- Current
- Long Term
Debt
- Current
- In Brazilian Reais
- In other currencies
- Long Term
- In Brazilian Reais
- In other currencies
Net Cash (Debt)
March 2013
3,281,577
3,279,518
2,059
3,404,706
1,526,274
1,077,205
449,069
1,878,432
1,646,899
231,533
(123,129)
December 2012
2,565,532
2,563,500
2,032
2,689,840
1,645,772
1,067,683
578,089
1,044,068
824,910
219,158
(124,308)
March 2012
2,851,862
2,563,889
287,973
3,233,726
1,464,198
509,861
954,336
1,769,528
1,543,720
225,810
(381,864)
As of March 31, 2013 cash, cash equivalents and financial investments totaled R$ 3,281.6 million, mainly in
short-term. Gross financial debt totaled R$ 3,404.7 million, 45% in short-term operations and 55% in longterm operations.
We took the opportunity, in 1Q13, to obtain funding at very attractive terms, both in maturity and interest
rates. With this we increased the duration and extended the profile of our total debt. The impact on net debt
position at the end was small. At the end of the first quarter of 2013 WEG had net debt of R$ 123.1 million
(net debt of R$ 124.3 million in December 31, 2012). The cash resources are invested in Brazilian currency
in first-tier banks, in fixed income instruments linked to the CDI.
The characteristics of the debt are:
ƒ The duration of the long-term portion is 31.0 months.
ƒ The duration of the Brazilian Reais denominated portion is 20.1 months and of the foreign currencies
denominated portion is 12.6 months.
ƒ The weighted average cost of fixed-rate debt denominated in Reais is approximately 6.3% per year.
Floating rate contracts are indexed mainly by to the Brazilian long-term interest rate (TLJP).
Dividends
On March 26 the Board of Directors approved the payment to shareholders, as interest on stockholders’
equity (JCP), totaling R$ 40.1 million. Shareholders on March 26, 2013 will be entitled to payment of R$
0.06470589 per share (before deduction of income tax at source), payable on August 21, 2013.
6 | WEG S.A. | 2013 First Quarter Results
Earnings Release
We maintain our policy to declare interest on stockholders equity quarterly and declare dividends based on
profit earned each semester. Thus, we reported six different earnings each year.
Cash flow from
financing
activities
Financing activities generated R$ 510.1 million in 1Q13, mainly due to the new funding with very attractive
maturity and interest rates terms, as previously discussed. During this period we increased financing by R$
726.1 million (new debt of R$ 862.9 million and amortizations of R$ 136.8 million).
WEGE3 Share
Performance
The common shares issued by WEG, traded under the code WEGE3 at BM&F Bovespa, ended the last
trading session of March 2013 quoted at R$ 26.04, with nominal decline of 3.6% in the year. Considering
the dividends and interest on stockholders equity declared in this first quarter, the decline was of 2.5% in
2013.
The average daily traded volume in 1Q13 was R$ 14.3 million, (R$ 6.2 million in 1Q12). Throughout the
quarter 114,952 stock trades were carried out (42,664 stock trades in 1Q12), involving 32.5 million shares
(19.6 million shares in 1Q12) and totaling R$ 844.6 million (R$ 383.7 million in 1Q12).
Share Price Performance and Traded Volume
30,00
10.000
Shares Traded (thousands)
WEGE3
28,00
26,00
8.000
WEGE3 share prices
22,00
6.000
20,00
18,00
4.000
16,00
14,00
2.000
12,00
10,00
10
nJa
Traded shares (thousands)
24,00
0
0
r-1
Ap
lJu
10
0
t- 1
Oc
n
Ja
1
-1
1
r- 1
Ap
lJu
11
O
11
ct-
nJa
12
Ap
2
r-1
2
l-1
Ju
O
12
ct-
13
bFe
Dividend adjusted performance (dividend and interest on stockholders equity)
7 | WEG S.A. | 2013 First Quarter Results
Earnings Release
Results
Conference Call
WEG will hold, on April 25, 2013 (Thursday), conference call and webcast to discuss the results. The call will
be conducted in Portuguese with simultaneous translation in English, following scheduled time:
11 a.m.
10 a.m.
3 p.m.
--- Brasília time
--- New York (EDT)
--- London (BST)
Connecting phone numbers:
Dial---in for connecting from Brazil:
Dial---in for connecting from the USA:
Toll-free for connecting from the USA:
Code:
+55 11 4688-6361
+1 786 924-6977
+1 855 281-6021
WEG
Acess to the webcast:
Slides and Portuguese audio:
Slides and English translation:
www.ccall.com.br/weg/1t13.htm
www.ccall.com.br/weg/1q13.htm
The presentation will be available in the Investor Relations page of WEG website (www.weg.net/ri). Please,
call approximately 10 minutes before the call is scheduled to star.
8 | WEG S.A. | 2013 First Quarter Results
Earnings Release
Industrial ElectroElectronic
Equipment
The industrial electrical-electronic equipment area includes low and medium voltage electric motors, drives
& controls, industrial automation equipment and services, and maintenance services and parts. We
compete in all major markets with our products and solutions. Electric motors and other related equipment
find applications in practically all industrial segments, in equipment such as compressors, pumps and fans,
for example.
Energy
Generation,
Transmission and
Distribution (GTD)
Products and services included in this area are electric generators for hydraulic and thermal power plants
(biomass), hydro turbines (small hydroelectric plants or PCH), wind turbines, transformers, substations,
control panels and system integration services. In the GTD area in general and specifically in power
generation, investment maturing terms are longer, with slower investment decisions and longer project and
manufacturing lead times. As such, new orders are only recognized as revenue after a few months, upon
effective delivery to buyers.
Motors for
Domestic Use
In this business area, our operations are mainly focused in Brazil, where we hold a significant share in the
market of single-phase Motors for durable consumer goods, such as washing machines, air conditioners,
water pumps, among others. This is a short cycle business and variations in consumer demand are rapidly
transferred to the industry, with almost immediate impacts on production and revenue.
Paints and
Varnishes
In this area, including liquid paints, powder paints and electro-insulating varnishes, we have very clear focus
on industrial applications in Brazil, and are expanding to Latin America. Our strategy in this area is cross
selling to customers from other operating areas. The target markets ranging from shipbuilding industry to
the manufacturers of white line home appliances. We seek to maximize the scale of production and efforts
to developed new products and new segments.
The information contained in this report relating to WEG’s business perspectives, the projections and results and to the company’s growth
potential should be considered as only estimates and were based on the management expectations relating to the future of the company.
These expectations are highly influenced by the market conditions and the general economic performance of the country and of the
foreign markets which may be subject to sudden change.
9 | WEG S.A. | 2013 First Quarter Results
Earnings Release
Annex I
Consolidated Income Statement - Quarterly
Figures in R$ Thousands
1T13
40
1st Quarter
2013
R$
VA%
Net Operating Revenues
Cost of Goods Sold
Gross Profit
Sales Expenses
Administrative Expenses
Financial Revenues
Financial Expenses
Other Operating Income
Other Operating Expenses
EARNINGS BEFORE TAXES
Income Taxes & Contributions
Deferred Taxes
Minorities
NET EARNINGS
4T12
37
4th Quarter
2012
R$
VA%
1T12
31
1st Quarter
2012
R$
VA%
Changes %
Q1 2013
Q1 2013
Q4 2012
Q1 2012
1,477,577
(1,013,942)
463,635
(156,625)
(73,708)
123,036
(98,385)
5,568
(42,108)
221,413
(51,305)
2,963
(772)
172,299
100%
-69%
31%
-11%
-5%
8%
-7%
0%
-3%
15%
-3%
0%
0%
11.7%
1,662,258
(1,133,617)
528,641
(165,903)
(82,026)
96,768
(94,107)
4,153
(49,051)
238,475
(62,287)
8,620
(1,651)
183,157
100%
-68%
32%
-10%
-5%
6%
-6%
0%
-3%
14%
-4%
1%
0%
11%
1,369,762
(977,795)
391,967
(142,191)
(67,767)
127,801
(81,916)
4,958
(38,289)
194,563
(48,453)
5,165
(3,028)
148,247
100%
-71%
29%
-10%
-5%
9%
-6%
0%
-3%
14%
-4%
0%
0%
11%
-11.1%
-10.6%
-12.3%
-5.6%
-10.1%
27.1%
4.5%
34.1%
-14.2%
-7.2%
-17.6%
-65.6%
-53.2%
-5.9%
7.9%
3.7%
18.3%
10.2%
8.8%
-3.7%
20.1%
12.3%
10.0%
13.8%
5.9%
-42.6%
-74.5%
16.2%
EBITDA
248,898
16.8%
289,786
17.4%
198,251
14.5%
-14.1%
25.5%
EPS
0.27772
-5.9%
16.2%
WEG S.A. | 2013 First Quarter Results
0.29522
0.23895
Earnings Release
Annex II
Consolidated Balance Sheet
Figures in R$ Thousands
CURRENT ASSETS
Cash & cash equivalents
Receivables
Inventories
Other current assets
LONG TERM ASSETS
Long term securities
Deferred taxes
Other non-current assets
FIXED ASSETS
Investment in Subs
Property, Plant & Equipment
Intangibles
TOTAL ASSETS
CURRENT LIABILITIES
Social and Labor Liabilities
Suppliers
Fiscal and Tax Liabilities
Short Term Debt
Dividends Payable
Advances from Clients
Profit Sharring
Other Short Term Liabilities
LONG TERM LIABILITIES
Long Term Debt
Other Long Term Liabilities
Deferred Taxes
Contingencies Provisions
MINORITIES
STOCKHOLDERS' EQUITY
TOTAL LIABILITIES
March 2013
(A)
R$
AV%
34
6,310,741
66%
3,279,518
35%
1,347,331
14%
1,316,606
14%
367,286
4%
107,528
1%
2,059
0%
43,337
0%
62,132
1%
3,078,166
32%
7,577
0%
2,544,242
27%
526,347
6%
9,496,435 100%
2,852,160
172,007
365,492
103,069
1,526,274
36,718
306,889
38,260
303,451
2,528,789
1,878,432
123,063
319,621
207,673
80,931
4,034,555
9,496,435
30%
2%
4%
1%
16%
0%
3%
0%
3%
27%
20%
1%
3%
2%
1%
42%
100%
December 2012
(B)
R$
AV%
31
5,710,017
64%
2,563,500
29%
1,472,839
17%
1,306,273
15%
367,405
4%
88,833
1%
2,032
0%
36,891
0%
49,910
1%
3,074,700
35%
7,622
0%
2,537,094
29%
529,984
6%
8,873,550 100%
3,012,724
168,831
331,037
126,655
1,645,772
79,281
358,124
33,559
269,465
1,709,100
1,044,068
137,916
320,503
206,613
91,377
4,060,349
8,873,550
34%
2%
4%
1%
19%
1%
4%
0%
3%
19%
12%
2%
4%
2%
1%
46%
100%
WEG S.A. | 2013 First Quarter Results
March 2012
(C)
R$
AV%
25
5,478,846
62%
2,563,889
29%
1,263,963
14%
1,371,264
15%
279,730
3%
447,124
5%
287,973
3%
115,265
1%
43,886
0%
2,949,257
33%
349
0%
2,478,938
28%
469,970
5%
8,875,227 100%
2,529,609
161,850
329,571
84,450
1,464,198
44,428
235,309
29,758
180,045
2,535,185
1,769,528
188,847
424,223
152,587
80,757
3,729,676
8,875,227
29%
2%
4%
1%
16%
1%
3%
0%
2%
29%
20%
2%
5%
2%
1%
42%
100%
(A)
(A)
(B)
(C)
<===== Não Apagar est
11%
15%
28%
28%
-9%
7%
1%
-4%
0%
31%
21%
-76%
-99%
17%
-62%
24%
42%
0%
4%
-1%
2071%
0%
3%
-1%
12%
7%
7%
-5%
2%
10%
-19%
-7%
-54%
-14%
14%
13%
48%
80%
-11%
0%
1%
-11%
-1%
7%
13%
6%
11%
22%
4%
-17%
30%
29%
69%
0%
6%
-35%
-25%
36%
0%
8%
7%
Earnings Release
Annex III
Consolidated Cash Flow Statement
Figures in R$ Thousands
03M13
03M12
3 Months
2013
18
3 Months
2012
14
Operating Activities
Net Earnings before Taxes
Depreciation and Amortization
Provisions:
Changes in Assets & Liabilities
(Increase) / Reduction of Accounts Receivable
Increase / (Reduction) of Accounts Payable
(Increase) / Reduction of Investories
Income Tax and Social Contribution on Net Earnings
Profit Sharing Paid
221,413
52,136
30,501
(6,294)
91,360
46,754
(10,480)
(71,190)
(62,738)
194,563
49,573
36,951
(7,579)
23,288
67,113
11,661
(51,241)
(58,400)
Cash Flow from Operating Activities
297,756
273,508
Investment Activities
Fixed Assets
Intagible Assets
Results of sales of fixed assets
Accumulated Conversion Adjustment
Long term securities bought
Goodwill in Capital Transactions
Acquisition of Stakes of non-controlling shareholders
Aquisition of Subsidiaries
(56,759)
(811)
2,290
(25,135)
(4,497)
(5,169)
(6,268)
-
(58,335)
3,784
2,136
2,382
(7,337)
(51,107)
(52,090)
(82,013)
Cash Flow From Investment Activities
(96,349)
(242,580)
862,953
(136,811)
(11,277)
(204,724)
169,878
(352,546)
(43,934)
(172,052)
Cash Flow From Financing Activities
510,141
(398,654)
Change in Cash Position
711,548
(367,726)
2,302,256
3,013,804
2,931,615
2,563,889
Financing Activities
Working Capital Financing
Long Term Financing
Interest paid on loans and financing
Treasury Shares
Dividends & Intesrest on Stockholders Equity Paid
Cash & Cash Equivalents
Beginning of Period
End of Period
12 | WEG S.A. | 2013 First Quarter Results