Investor Relations

Wienerberger Investment Case

Why is it worth investing in the Wienerberger group as a shareholder? Our business strategy, aims, key figures and added value at a glance.

IR Team
Investor Relations
Wienerberger AG
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Wienerberger is an internationally operative supplier of building materials and infrastructure solutions. We produce high quality brick and pipe systems and pavements. We are number 1 on the global market when it comes to bricks, and we are leaders in many of our other business areas too. We create the best solutions for our customers with our sustainable and innovative products.

We are generating profitable growth in the fields of infrastructure, residential construction and renovations within our core markets of Europe and North America. The goal of our commercial activity is to improve the value of our business sustainably where environmental, social and economical factors are concerned. Our business strategy focuses on organic growth and operational excellence, as well as growth projects and optimisation of our portfolio.

The investment case at a glance

Strong foundation for expansion

  • Leading industrial platforms with strong positions on local markets
  • Experienced local management
  • Customer intimacy via individual consultancy services
  • Innovative products and system solutions with strong brands

Clear growth strategy

  • Organic growth through innovation, proximity marketing and digitalization
  • Attractive pipelines to projects for profitable growth investments
  • Disciplined investment decisions
  • Continuing reinforcement of profitability through optimization of costs and processes
  • Continuous optimization of our industrial portfolio by selling non-strategic business areas and reinvesting in high-margin growth fields

Ambitious goals

  • 2019: EBITDA LFL from 560 to 580 million Euros

Clear focus

  • Key markets in Europe and North America
  • Business areas of infrastructure, residential construction and renovations
  • Brick and pipe systems and pavements

Balanced funding

  • Strong equity ratio
  • Net debt/EBITDA: below the internal threshold of 2.5 years at year-end
  • Moody's Rating: Ba1/Prospect stable
  • Stringent working capital management

Attractive profit distribution policy

  • Sustainable dividend payout: 10-30% of the free cashflow allowing for the costs of hybrid capital
  • Selective share buyback programs supplement the annual dividend

The process for adding value

Our process for adding value is the foundation for raising the value of the Wienerberger group sustainably. Innovative construction material solutions for all areas of application are the output of industrial manufacturing - ranging from sustainable and energy-efficient buildings to functional solutions for shaping squares, paths and streets, to safe supply and sewage systems.

Six input factors are incorporated into Wienerberger’s process for adding value: Financial capital, Production systems, Knowledge, Employees, Relationships and Natural resources. These interact closely with one another and are influenced by our business activities. Changes to individual factors are based on balanced strategic decisions. Thus, we are able to create added value for the organization and for our stakeholders.

Key Figures

The following table summarizes the key figures regarding the performance of the Wienerberger group in 2018:

Earnings Data

Earnings Data20172018Chg. in %
Revenuesin MEUR3,119.73,305.1+6
EBITDA LFL 1)in MEUR406.5469.3+15
EBITDAin MEUR415.0442.6+7
Operating EBIT in MEUR194.2248.2+28
EBITin MEUR178.7239.8+34
Profit before taxin MEUR144.9195.3+35
Net resultin MEUR123.2133.5+8
Free cash flow 2)in MEUR152.5236.5+55
Normal capexin MEUR147.5166.3+13
Growth capex 3)in MEUR58.8158.9>100
ROCEin %7.37.5-
Ø Employeesin FTE16,29716,596+2

Balance Sheet Data

Balance Sheet Data20172018Chg. in %
Equity 4)in MEUR1,911.21,939.1+1
Net debtin MEUR566.4631.6+12
Capital employedin MEUR2,459.22,536.7+3
Total assetsin MEUR3,659.93,742.9+2
Gearingin %29.632.6-

Stock Exchange Data

Stock Exchange Data20172018Chg. in %
Earnings per sharein EUR1.051.15+9
Adjusted earnings per sharein EUR1.191.23+4
Dividend per sharein EUR0.300.50+67
Share price at year-endin EUR20.1718.00-11
Shares outstanding (weighted) 5)in 1,000116,956116,154-1
Market capitalization at year-endin MEUR2,370.52,115.5-11

Divisions

Divisions 2018 in MEUR CBM EuropePipes & Pavers EuropeNorth AmericaHolding & OthersReconciliation
External revenues1,918.81,070.1306.88.3
Inter-company revenues1.60.10.016.9-17.5
Revenues1,920.41,070.2306.825.2-17.5
EBITDA357.678.243.2-36.3
Operating EBIT 240.429.418.1-39.7
Total investments190.773.542.418.5
Capital employed1,555.7568.6411.80.6
Ø Employees10,8084,1821,380226

Operating Segments

The following table summarizes the key figures regarding the performance of the Wienerberger group in 2018:

Clay Building Materials Europe

Clay Building Materials Europe20172018Chg. in %
External revenuesin MEUR1,787.01,918.8+7
EBITDAin MEUR324.3357.6+10
Operating EBIT in MEUR185.0240.4+30
Total investmentsin MEUR96.1190.7+98
Capital employedin MEUR1,523.41,555.7+2
Ø Employeesin FTE10,57210,808+2
Clay Building Materials Western Europe20172018Chg. in %
External revenuesin MEUR1,224.11,272.4+4
EBITDAin MEUR187.0190.5+2
Operating EBIT in MEUR95.0121.4+28
Total investmentsin MEUR57.7113.7+97
Capital employedin MEUR1,051.71,101.3+5
Ø Employeesin FTE6,1216,262+2
Sales volumes clay blocksin mill. NF2,0422,074+2
Sales volumes facing bricksin mill. WF1,4761,547+5
Sales volumes roof tilesin mill. m²22.6522.00-3
Clay Building Materials Eastern Europe20172018Chg. in %
External revenuesin MEUR562.9646.4+15
EBITDAin MEUR137.3167.1+22
Operating EBIT in MEUR90.0119.1+32
Total investmentsin MEUR38.477.0>100
Capital employedin MEUR471.7454.4-4
Ø Employeesin FTE4,4514,546+2
Sales volumes clay blocksin mill. NF3,6983,974+7
Sales volumes roof tilesin mill. m²18.6218.73+1

Pipes & Pavers Europe

Pipes & Pavers Europe20172018Chg. in %
External revenuesin MEUR1,014.21,070.1+6
EBITDAin MEUR69.778.2+12
Operating EBIT in MEUR20.129.4+46
Total investmentsin MEUR57.973.5+27
Capital employedin MEUR563.4568.6+1
Ø Employeesin FTE4,2104,182-1
Pipes & Pavers Western Europe20172018Chg. in %
External revenuesin MEUR574.2603.6+5
EBITDAin MEUR31.834.2+8
Operating EBIT in MEUR4.75.2+12
Total investmentsin MEUR36.839.9+9
Capital employedin MEUR301.0317.5+5
Ø Employeesin FTE1,8841,8920
Pipes & Pavers Eastern Europe20172018Chg. in %
External revenuesin MEUR440.0466.5+6
EBITDAin MEUR37.943.9+16
Operating EBIT in MEUR15.424.2+57
Total investmentsin MEUR21.233.6+59
Capital employedin MEUR262.4251.1-4
Ø Employeesin FTE2,3262,290-2

North America

North America20172018Chg. in %
External revenuesin MEUR308.7306.8-1
EBITDAin MEUR32.043.2+35
Operating EBIT in MEUR3.018.1>100
Total investmentsin MEUR43.942.4-4
Capital employedin MEUR364.9411.8+13
Ø Employeesin FTE1,3051,380+6
Sales volumes facing bricksin mill. WF454534+18

Holding & Others

Holding & Others20172018Chg. in %
External revenuesin MEUR8.68.3-3
EBITDAin MEUR-11.1-36.3<-100
Operating EBIT in MEUR-13.9-39.7<-100
Total investmentsin MEUR8.318.5>100
Capital employedin MEUR7.50.6-92
Ø Employeesin FTE210226+8

Group Accounts

The following table summarizes the key figures regarding the performance of the Wienerberger group in 2018:

Income Statement

in TEUR20182017
Revenues3,305,0793,119,707
Cost of goods sold-2,146,319-2,093,708
Gross profit1,158,7601,025,999
Selling expenses-637,162-595,562
Administrative expenses-217,559-203,322
Other operating income:
Reversal of impairment charges to assets4,2971,055
Other54,16459,390
Other operating expenses:
Impairment charges to assets-12,727-10,226
Impairment charges to goodwill0-6,339
Other-109,965-92,323
Operating profit/loss (EBIT)239,808178,672
Income from investments in associates and joint ventures1,7014,209
Interest and similar income4,4095,952
Interest and similar expenses-43,671-42,103
Other financial result-6,902-1,852
Financial result-44,463-33,794
Profit/loss before tax195,345144,878
Income taxes-48,475-4,244
Profit/loss after tax146,870140,634
Thereof attributable to non-controlling interests-2373,402
Thereof attributable to hybrid capital holders13,60914,057
Thereof attributable to equity holders of the parent company133,498123,175
Earnings per share (in EUR)1.151.05
Diluted earnings per share (in EUR)1.151.05

Balance Sheet

in TEUR31/12/201831/12/2017
Assets
Intangible assets and goodwill712,719690,897
Property, plant and equipment1,575,7091,521,572
Investment property66,56965,918
Investments in associates and joint ventures22,10011,371
Other financial investments and non-current receivables30,42016,708
Deferred tax assets54,07644,049
Non-current assets2,461,5932,350,515
Inventories761,659741,597
Trade receivables215,838214,277
Receivables from current taxes4,1442,297
Other current receivables92,43698,934
Securities and other financial assets42,81279,008
Cash and cash equivalents163,080169,259
Current assets1,279,9691,305,372
Non-current assets held for sale1,3483,977
Total assets3,742,9103,659,864
Equity and liabilities
Issued capital117,527117,527
Share premium1,075,4221,086,017
Hybrid capital265,969265,985
Retained earnings 1)760,389657,377
Other reserves 1)-230,955-234,296
Treasury stock-49,858-4,862
Controlling interests1,938,4941,887,748
Non-controlling interests58623,491
Equity1,939,0801,911,239
Deferred taxes75,02171,630
Employee-related provisions136,432154,992
Other non-current provisions83,62276,453
Long-term financial liabilities710,590493,948
Other non-current liabilities2,7936,023
Non-current provisions and liabilities1,008,458803,046
Current provisions51,92439,114
Payables for current taxes22,53111,399
Short-term financial liabilities126,907320,724
Trade payables326,890321,533
Other current liabilities267,120252,809
Current provisions and liabilities795,372945,579
Total equity and liabilities3,742,9103,659,864

Cash Flow Statement

in TEUR20182017
Profit/loss before tax195,345144,878
Depreciation and amortization186,465189,605
Impairment charges to goodwill06,339
Impairment charges to assets and other valuation effects32,74147,091
Reversal of impairment charges to assets-4,297-1,055
Increase/decrease in non-current provisions-13,409-8,213
Income from investments in associates and joint ventures-1,701-4,209
Gains/losses from the disposal of fixed and financial assets-26,314-25,343
Interest result39,26236,151
Interest paid-38,257-38,473
Interest received4,3214,591
Income taxes paid-47,609-48,923
Gross cash flow326,547302,439
Increase/decrease in inventories-23,223-39,987
Increase/decrease in trade receivables2,713-17,112
Increase/decrease in trade payables2,17116,374
Increase/decrease in other net current assets11,21710,620
Cash flow from operating activities319,425272,334
Proceeds from the sale of assets (including financial assets)43,84728,799
Payments made for property, plant and equipment and intangible assets-215,847-163,186
Payments made for investments in financial assets-6,0780
Dividend payments from associates and joint ventures3,0396,597
Increase/decrease in securities and other financial assets15,578-7,800
Net payments made for the acquisition of companies-73,088-43,128
Net proceeds from the sale of companies20,8820
Cash flow from investing activities-211,667-178,718
Cash inflows from the increase in short-term financial liabilities235,323721,738
Cash outflows from the repayment of short-term financial liabilities-473,586-984,369
Cash inflows from the increase in long-term financial liabilities248,851210,929
Cash outflows from the repayment of long-term financial liabilities-646-6,939
Dividends paid by Wienerberger AG-34,812-31,578
Hybrid coupon paid-13,609-29,898
Dividends paid to non-controlling interests-120-79
Buyback hybrid capital-160
Purchase of non-controlling interests-30,1000
Purchase of treasury stock-44,9960
Cash flow from financing activities-113,711-120,196
Change in cash and cash equivalents-5,953-26,580
Effects of exchange rate fluctuations on cash held-226-1,177
Cash and cash equivalents at the beginning of the year169,259197,016
Cash and cash equivalents at the end of the year163,080169,259

Further information

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Financing

Wienerberger's Annual General Meeting

Annual General Meeting

Annual Report 2018

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