Motors | Energy | Transmission & Distribution | Automation | Caotings
3Q11 Results Conference Call
October 26, 2011
3Q11 Results Conference Call
October 26, 2011
Disclaimer
The statements that may 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, 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.
3Q11 Results Conference Call
Page 2
October 26, 2011
Highlights
Third Quarter, 2011
Gross Operating Revenue
Domestic Market
External Markets
External Markets in US$
Net Operating Revenue
Gross Operating Profit
Q3 2011
1.552.044
953.515
598.529
364.730
1.317.483
418.266
Q2 2011 Growth %
1.510.276
2,8%
936.061
1,9%
574.215
4,2%
360.639
1,1%
1.277.258
3,1%
381.437
9,7%
Gross Margin
31,7%
29,9%
Net Income
154.567
154.557
Net Margin
11,7%
12,1%
243.743
215.579
EBITDA Margin
18,5%
16,9%
EPS
0,2491
0,2491
EBITDA
3Q11 Results Conference Call
Page 3
Q3 2010 Growth %
1.419.160
9,4%
906.954
5,1%
512.207 16,9%
298.020 22,4%
1.188.622 10,8%
377.227 10,9%
31,7%
0,0%
142.106
8,8%
12,0%
13,1%
209.196
16,5%
17,6%
0,0%
0,2289
8,9%
Figures in R$ Thousands
October 26, 2011
Gross Operating Revenues
Domestic Market
in R$million
-8%
23%
968
785
Q3 2007
3Q11 Results Conference Call
Q3 2008
5%
2%
889
907
954
Q3 2009
Q3 2010
Q3 2011
Page 4
October 26, 2011
Gross Operating Revenues
External Market
In US$ million
3Q11 Results Conference Call
Page 5
October 26, 2011
Business Areas
Gross Revenues Breakdown
in R$ million
1.552
1.219
6%
13%
25%
7%
1.489
5%
13%
1.419
1.283
6%
14%
25%
7%
12%
6%
11%
25%
22%
35%
58%
56%
60%
58%
46%
3Q 2007
3Q 2008
Industrial Equipment
3Q11 Results Conference Call
3Q 2009
GTD
3Q 2010
Domestic Use
Page 6
3Q 2011
Paints & Varnishes
October 26, 2011
Cost of Goods Sold
3rd quarter of 2011
Other Costs
31%
Depreciation
4%
Other Costs
33%
Steel &
Coper
45%
3Q11
Depreciation
5%
Other
Materials
18%
Other
Materials
21%
3Q11 Results Conference Call
Page 7
3Q10
Steel &
Coper
44%
October 26, 2011
Main impacts on EBITDA
in R$ million
161,2
28,3
4,0
FX Impact on
Gross
Revenues
88,3
Deductions on
Gross
Revenues
COGS (ex
depreciation)
209,2
Volumes, Prices
& Product Mix
Changes
4,4
2,4
Selling
Expenses
General and
Administrative
Expenses
Profit Sharing
Program
243,7
EBITDA Q3 11
EBITDA Q3 10
3Q11 Results Conference Call
8,0
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October 26, 2011
Cash Flows
In R$ million
2.553,0
290,8
Operating
319,7
Investing
Cash 4Q10
562,4
3.086,6
Financing
Cash 3Q11
(*) Long term financial investments are considered under cash flows from investing
activities.
3Q11 Results Conference Call
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October 26, 2011
Capacity Expansion Program
in R$ million
Outside Brazil
Brazil
61,4
34,2
73,8
53,7
43,7
13,0
44,1
2,0
27,2
30,1
40,7
42,1
Q1
Q2
Q3
Q4
2010
3Q11 Results Conference Call
Page 10
33,8
8,2
25,6
Q1
41,1
2,4
49,9
7,3
38,8
42,6
Q2
2011
Q3
October 26, 2011
Contacts
www.weg.net/ri
ƒLaurence Beltrão Gomes
Investor Relations Officer
laurence@weg.net
ƒ Luís Fernando M. Oliveira
Investor Relations Manager
+55 (47) 3276-6973
luisfernando@weg.net
twitter.com/weg_ir
3Q11 Results Conference Call
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October 26, 2011