Safran Capital Markets Day 2013
- Successfully deliver civil engines to maintain leading position in single aisle aircraft market segment
- Focus on innovation in support of greater fuel efficiency and accompanying the trend towards increasing use of electrical systems in aircraft
- Strengthen leading positions in aerospace, organically and through bolt-on acquisitions
- Consolidate leading positions in security and satisfy growing demand through differentiating technology
- 2013 outlook and 2015 ambition confirmed
- 2020 view outlined
Paris, June 16, 2013 - Safran (NYSE Euronext Paris: SAF) today hosted in Paris a Capital Markets Day for investors and analysts. The meeting was hosted by Chairman and CEO, Jean-Paul Herteman and Deputy CEO, CFO, Ross McInnes, along with other members of the Executive Committee and operational management. Presentation highlights:
- Civil propulsion : progress on LEAP and Silvercrest, Safran's principal civil aircraft engine programmes under development and insight into the transition of the supply chain as production of the LEAP engine is to be phased in from around 2016.
- Civil aftermarket : Safran's new behavioural model is presented, as are the types of aftermarket options that are proposed in support of the CFM engine fleet and the gradual transition of Safran's business model towards LTSA (Long term Service Agreements) in commercial aviation.
- Helicopter propulsion : activities and strategy in the helicopter turbine market.
- More electrical aircraft : Safran's organisation and complete on-board electrical systems offering.
- Electrical Green Taxiing System (egts, in partnership with Honeywell) : update on the development of egts, an aircraft taxiing system designed to reduce costs and emissions.
- Braking systems : presentation of Safran's market-leading carbon brakes and electrical braking actuation system.
- Sécurity : presentation of the portfolio of activities, the worldwide presence of Morpho and breakthrough security technologies in biometry, detection and e-documents.
- Finance in support of Group strategy : capital allocation, confirmation of the 2015 outlook and discussion of business drivers for 2020.
Safran confirmed its 2013 outlook and its 2015 ambition.
- For 2013, Safran expects adjusted revenue to increase by a percentage in the mid-to-high single digits. Adjusted recurring operating income should grow by a percentage in the mid-teens. Free cash flow is expected to represent about 40% of adjusted recurring operating income.
- By 2015, Safran expects its organic adjusted revenue above Euro 15 billion and its adjusted recurring operating margin to head to the mid-teens. Free cash flow conversion is expected to trend towards 50%.
- Safran also outlined its 2020 view: organic adjusted revenue should exceed Euro 20 billion and adjusted recurring operating margin should improve further. Free cashflow is expected to exceed 50% of adjusted recurring operating income.
Webcast and playback The event commences at 2pm CET (Paris time). A live audiocast of the event is available via Safran's website after registration using the following link: http://www.safran-group.com/site-safran/finance/capital-market-day-2013-782/. A replay will be subsequently available. The presentations will be available for download on http://www.safran-group.com/finance.
Safran is a leading international high-technology group with three core businesses: Aerospace (propulsion and equipment), Defence and Security. Operating worldwide, the Group has 62,500 employees and generated sales of 13.6 billion euros in 2012. Working alone or in partnership, Safran holds world or European leadership positions in its core markets. The Group invests heavily in Research & Development to meet the requirements of changing markets, including expenditures of 1.6 billion Euros in 2012. Safran is listed on NYSE Euronext Paris and is part of the CAC40 index.
For more information, http://www.safran-group.com / Follow @SAFRAN on Twitter Press
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