www.osram-licht.ag
Roadshow Presentation
OSRAM delivers on profitability targets,
OSRAM Licht AGJanuary 2015
dividend proposed for the first time
Safe Harbor Statement
This presentation may contain forward-looking statements that are subject to risks and uncertainties,including those pertaining to the anticipated benefits to be realized from the proposals describedherein. Forward-looking statements may include, in particular, statements about future events, futurefinancial performance, plans, strategies, expectations, prospects, competitive environment,regulation and supply and demand. OSRAM Licht AG has based these forward-looking statementson its views and assumptions with respect to future events and financial performance. Actualfinancial performance could differ materially from that projected in the forward-looking statementsdue to the inherent uncertainty of estimates, forecasts and projections, and financial performance
Roadshow Presentation (preliminary, unaudited figures) | January 201522
due to the inherent uncertainty of estimates, forecasts and projections, and financial performancemay be better or worse than anticipated. Given these uncertainties, readers should not put unduereliance on any forward-looking statements. The information contained in this presentation is subjectto change without notice and OSRAM Licht AG does not undertake any duty to update the forward-looking statements, and the estimates and assumptions associated with them, except to the extentrequired by applicable laws and regulations.
Due to rounding, numbers presented throughout this and other documents may not add up preciselyto the totals provided and percentages may not precisely reflect the absolute figures.
OSRAM: THE global lighting brand
Only global lighting pure play
World class portfolio of lighting products and solutions
From "Analogue" to "Digital"
Lighting market set for growth
Integrated lighting expert with trusted brand,
Roadshow Presentation (preliminary, unaudited figures) | January 20153
Strong technology focus
Well positionedIntegrated lighting expert with trusted brand, excellent channel access and technology leadership
Structures, processes, product pipeline and technology in place
Committed managementDiverse, entrepreneurial, motivated and incentivized management team
3
Revenue by Segment 1) FY14
Revenue by Region 2) FY14
OSRAM is the largest, pure play global lighting com pany
Opto Semiconductorscomp. 12% nom. 10%
Specialty Lightingcomp. 10% nom. 7%
Classic Lamps & Ballastscomp. (10)% nom. (15)%
Luminaires & Solutionscomp. (14)% nom. (16)%
OSRAM is the clear global #2 lighting player 4)
LED Lamps & Systemscomp. 57% nom. 53%
20%
28%
35%
8%9%
Customer reach across all channels 3)
9%
13%
40%*8%*
30%*
AFTM 3)
Retail
Trade
Electronic distributors
OEM
*Professional lighting: 78%
Roadshow Presentation (preliminary, unaudited figures) | January 20154
Revenue by Region 2) FY14
32%
~34kemployees 6)
8.7% adj. EBITA Margin
36% LED share5) 6.4% R&D of sales
€5.1bn sales
1) Based on sum of segments’ revenue, without considering corporate items and consolidation 2) Based on location of customers3) Excluding the supply to competitors and to the other Business Units; as of FY12 4) OSRAM estimate based on company publications 5) As % of sales6) FTEs as of 30.09.2014 Source: OSRAM data
APAC
Americas
EMEA44%
OSRAM is the clear global #2 lighting player 4)
41%35% EMEA
APAC
2nd
3rd
Americas2ndcomp. 2% nom. 0%
comp. (2)% nom. (7)%
comp. 2% nom. (2)%
24%
FY14
Segment overview
Specialty Lighting (SP)
OptoSemiconductors (OS)
Luminaires and Solutions (LS)
Classic Lamps and Ballasts (CLB)
LED Lamps and Systems (LLS)
Roadshow Presentation (preliminary, unaudited figures) | January 20155
− Automotive (forward, rear, signal & interior lighting)
− Display / Optic (e.g. special lamps for medicine, industry, entertainment and projection)
− OLED
− LED (e.g. General lighting, automotive headlamps and mobile flashes)
− Infrared emitters, detectors, sensors and power lasers (e.g. for mobile phones, CCTV, automotive safety)
− Lasers
− Luminaires for professional applications
− Light management systems
− Dynamic lighting (e.g. architectural lighting)
− Lighting solutions & projects
− Thermal lamps (Halogen and Incandescent lamps)
− Energy saving lamps
− Low-pressure discharge lamps
− High-pressure discharge lamps
− Electronic control gears
− LED retrofit lamps
− Light engines
− Drivers
LED Lamps and Systems (LLS)
Focus areas: Key financial figures• LED based lamps, light engines and
drivers
• LED share: 100%
Values in € mn FY13 FY14
Total revenue 298 454
Adj. EBITA Margin
(95) (31.9)%
(84)(18.5)%
CAPEX 7 24
Free Cash Flow (98) (161)
Roadshow Presentation (preliminary, unaudited figures) | January 20156
Segment highlights: Quarterly development• Continued strong growth• Further investment in drivers and light
engines
• Technological change towards LED based products
• Global mega trends, e.g. digitalization of light
Key topics67
78 69
8495
105 110144
(34.6%)(27.7%)
(38.5%)
(28.4%)
(25.7%)
(13.5%)
(20.3%)(16.0%)
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Quarterly sales [EUR mn] Adj. EBITA margin [%]
FY13 FY14
Classic Lamps and Ballasts (CLB)
Focus areas: Key financial figures• Halogen-, Compact
Fluorescent-, Low Pressure Discharge-, High Pressure Discharge – Lamps, Electronic Control Gears
• LED share: 0%
Values in € mn FY13 FY14
Total revenue 2,302 1,963
Adj. EBITA Margin
222 9.6%
1728.7%
CAPEX 80 54
Free Cash Flow 139 163
Roadshow Presentation (preliminary, unaudited figures) | January 20157
Segment highlights:• Positive Free Cash Flow• Stable pricing environment• Successful management of market transition to LED• Strong growth of Halogen in the US
Key topics
627 590535
549548
511431
472
8.7%
11.9%10.4%
7.6%
12.3%
9.0%
6.1% 6.7%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Quarterly sales [EUR mn] Adj. EBITA margin [%]
Quarterly development
FY13 FY14
• Successful ramp down of business, continuous focus on complexity reduction and pricing discipline
• Continuous improvement in asset management • Pays for its own restructuring; delivers surplus cash
Luminaires and Solutions (LS)
Three focus areas: Key financial figures• Indoor-/Outdoor Luminaires for street-,
outdoor lighting and office buildings
• Integrated Soft- and Hardware portfolio with scalable solutions for i.e. architectural lighting
• Lighting performance and efficiency upgrade projects and solutions
Values in € mn FY13 FY14
Total revenue 561 469
Adj. EBITA Margin
(65) (11.5)%
(60)(12.8)%
CAPEX 10 10
Free Cash Flow -76 -81
Roadshow Presentation (preliminary, unaudited figures) | January 20158
Segment highlights: Quarterly development• Trough reached in Q2 FY14• Restructuring well progressed• Industry leading LED share
(Q4 FY14: 56%)• New, focussed and experienced
management driving business
• Focus on profitable core• Set for future profitable growth
Key topics
148128 131
155 135
101 110124
(9.1%)
(16.5%) (15.1%)
(6.7%)
(8.0%)
(24.7%)
(14.9%)
(6.7%)
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Quarterly sales [EUR mn] Adj. EBITA margin [%]
FY13 FY14
Specialty Lighting (SP)
Focus areas: Key financial figures• Automotive (forward, rear, signal &
interior lighting)
• Display / Optic (special lamps for medicine, industry, entertainment and projection)
• OLED
Values in € mn FY13 FY14
Total revenue 1,456 1,551
Adj. EBITA Margin
246 16.9%
24615.9%
CAPEX 38 40
Free Cash Flow 242 204
Roadshow Presentation (preliminary, unaudited figures) | January 20159
Segment highlights: Quarterly development• No. 1 position in AM business• World's first supplier for automotive
laser light module• OSRAM XBO lamp in every 3rd cinema
• Outgrowing global automotive production• OLED to enter automotive market• More than 200 light sources per vehicle
Key topics
359369
359 369 376
393
378
404
19.9%16.3%
15.8% 15.5% 16.4% 16.3%
15.2% 15.5%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Quarterly sales [EUR mn] Adj. EBITA margin [%]
FY13 FY14
Opto Semiconductors (OS)
Focus areas Key financial figures• LED e.g. for General lighting,
automotive headlamps and mobile flashes
• Infrared emitters, detectors, sensors and power lasers e.g. for mobile phones, CCTV, automotive safety
• Lasers
Values in € mn FY13 FY14
Total revenue 1,018 1,125
EBITA Margin
124 12.2%
19417.2%
CAPEX 63 98
Free Cash Flow 239 180
Roadshow Presentation (preliminary, unaudited figures) | January 201510
Segment highlights Quarterly development
• Global no. 2 LED manufacturer with >40 years of experience
• Highly diversified product portfolio• Excellent market access with long term
customer relationships• World class IP position and innovation
strength
Source: Audi
230 241279 268 270 270 286
299
9.8% 10.2%
13.5% 14.6%13.2%
19.2%19.8%
16.7%
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
Quarterly sales [EUR mn] EBITA margin [%]
FY13 FY14
• Maintain strong market position• Investment in profitable growth
Key topics
OSRAM Push Phase II ambition:Cumulative gross savings of €1.3bn (2015-2017)
200260 Transformation
Key characteristics Phase II
Key data until FY17:
Total gross savings: €1.3bnHeadcount1) reduction: ~7,800Exp. transformation costs2): ~€0.45bn
Transformation part includes…• increased restructuring in Germany
Gross savingsin €m
Roadshow Presentation (preliminary, unaudited figures) | January 201511
Operational
Push Phase II2015-2017
1,040
Push Phase I2012-2015
1,000• increased restructuring in Germany• higher share of indirect functions• aspiration to delayer and de-matrix
1) Full-time equivalent2) Including €29m already booked in FY14
Project progress
• Implementation of transformation measures as scheduled
• Negotiations with labor unions well progressed• Agreement of social plan for the transformation
measures in Germany signed in Q1FY15• Bulk of planned FY15 transformation costs booked
accordingly
Profitable growth
Achieve medium-term an EBITA margin of >8% as average over the cycle1)
ROCE clearly above WACC1)
1
2
3
Commitment to our investors
Roadshow Presentation (preliminary, unaudited figures) | January 201512
ROCE clearly above WACC1)
Competitive profitability profile in the lighting i ndustry
3
Clear defined Dividend Policy: 30-50% payout ratio of net income2)4
1) EBITA margin and ROCE for FY15 are expected to be lower than the respective targets due to high transformation costs.2) Based on IFRS Group Net Income, payout ratio will take into account exceptional non-cash effects within income.
Q4 FY14 Management Presentation
Roadshow Presentation (preliminary, unaudited figures) | January 20151313
Q4 FY14 Management Presentation(preliminary and unaudited)
OSRAM delivers on profitability targetsSuccessful finish of OSRAM Push Phase IFurther increase of LED sales share Growth in more than half of the businesses
OSRAM strengthens technology leadershipAutomotive business extends market leadership
Group highlights FY14
Roadshow Presentation (preliminary, unaudited figures) | January 201514
Successful shift from 4’’ to 6’’ wafer at OSStable investments in R&D
OSRAM plans dividend for the first timeBoard proposes dividend of €0.90 per shareDividend proposal corresponds to payout ratio of 50%1)
OSRAM intends stable dividend for the fiscal year 2015
1) of net income post minorities
Segment highlights FY14Transformation pays off – majority of businesses are growing
Specialty Lighting (SP)Strengthened cost and technology leadership in AutomotiveExceeds global car production growth since 19 quarters Clay Paky acquisition strengthens growth area Display / Optics
Opto Semiconductors (OS)OS back to double digit growth rate in the fourth quarterNew factory in Wuxi builds basis for future growthProductivity improvements overcompensated price decreases
Roadshow Presentation (preliminary, unaudited figures) | January 201515
LED Lamps and Systems (LLS)Continued strong growthVery good development of drivers and light enginesBreak-even target LEDr lamps Q1 FY15 on track
Classic Lamps and Ballasts (CLB)Successful management of market change challengesFocus on pricing disciplineStrong growth of halogen in the US
Luminaires & Solutions (LS)2015 break-even target confirmedLuminaires with strong growth in LEDLeadership team strengthened
OSRAM Push on track:Targets of Phase I accomplished – Phase II started
OSRAM Push Phase I execution track record
As of FY 14
Target Progress
Transformation costs (€m)(FY12 – 14)
599 ~600
Plant reductions11 11
����100%
����100%
Successful finish of OSRAM Push Phase I
Roadshow Presentation (preliminary, unaudited figures) | January 201516
Plant reductions(FY12 – 14)
11 11
Headcount reduction (‘000)(FY12 – 14)
8.7 8.7
OSRAM Push gross savings, cum. (€m)(FY13 – 15)
871 1,200
����
����
����
100%
100%
~400 €m in FY15
OSRAM Push Phase II started!
Modest revenue growth (comp.)LED continues to gain ground
Comments Q4 y-o-yRevenue development 1)
Quarterly revenue
Comp. growth (%)
Revenue(in €m)
Group (€m)
1,2031,2781,3261,332 1,335
(1)
1
4
12
� FY14 and Q4 FY14 revenue up by 1% comp.
� LED share at 39% (31% in prior year quarter)
� LLS boosts revenue (72% comp. y-o-y), decline of CLB at -13% comp. y-o-y
� OS and SP show continued strong performance, both on new quarterly revenue highs
� LS with industry-leading LED-share of 56%
Roadshow Presentation (preliminary, unaudited figures) | January 201517
Nom.Growth (%) (6) 0(2) (3)(3)
Q3FY14
Q2FY14
Q1FY14
Q4FY13
Q4FY14
Revenue by Region Q4Revenue by Segment 2) Q4
Americas33%
APAC25%
EMEA42%nom. 1%comp. 2%
nom. (4)%comp. (3)%
nom. 6%comp. 5%
Specialty Lightingcomp. 10% nom. 9%
28%
Opto Semiconductorscomp. 11% nom. 11% 21%
Luminaires & Solutionscomp. (20)% nom. (20)%
9%LED Lamps & Systemscomp. 72% nom. 72%
10%
Classic Lamps & Ballastscomp. (13)% nom. (14)%
33%
(1)� LS with industry-leading LED-share of 56%
� APAC with clear growth driven by SP; Americas only down due to exit of traditional maintenance business
1) nom. (nominal growth) / comp. (comparable growth), adjusted for FX and portfolio effects2) based on sum of Segments' revenue, w/o considering corp. items & consolidation
Adjusted EBITA margin with 8% on prior year level
EBITA development Comments Q4 y-o-y
Group (€m)
Adj. EBITAMargin1) (%)
� Gross margin increased on lower transformation costs
� Push measures and functional cost control mostly compensated negative mix effects and price decline
� EBITA includes transformation costs of €66m, with €29m attributable to OSRAM Push Phase II
6.4
8.5
6.7
2.7
8.69.3 9.1
8.08.1
Roadshow Presentation (preliminary, unaudited figures) | January 201518
2013 2014
Q4 FY Q1 Q2 Q3 Q4 FY
EBITA reported (24) 99 112 81 81 36 310
therein:
OSRAM Push transformation costsincl. personnel restructuring
(110) (300) (10) (34) (20) (66)(130)
Total Special items (133) (310) (11) (35) (23) (70)(139)
EBITAMargin (%)
Special items 1)
EBITA(€m)
36
8181
112
-24
Q3FY14
Q4FY14
Q2FY14
Q1FY14
Q4FY13
€29m attributable to OSRAM Push Phase II
� FY14 net income €193m translates into basic EPS of €1.80; dividend of €0.90 proposed
(1.8)
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Revenue and EBITA margin development Comments Q4 y-o -y
� Growth pace remains high (72% comp. y-o-y), driven by LED lamps and drivers
� Profitability improvements due to productivity and volume
� Margin held back by supply chain inefficiencies
� LED lamps spots reached break-even in Q4 FY14
� EBITA includes €5m special items
EBITAMargin (%)
144
(20.3)
(25.7)
(13.5)
(28.4)
(19.5)
(16.0)
LED Lamps & Systems (LLS): Continued y-o-y improvement
Adj. EBITAMargin1) (%)
Roadshow Presentation (preliminary, unaudited figures) | January 201519
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters 2) Last twelve months
� EBITA includes €5m special items
Revenue(€m)
144
11010595
84
Comp.growth (%)
Nom.Growth (%)
Q4FY14
Q3FY14
Q2FY14
Q1FY14
Q4FY13
68
3848 40
21 42 6035
LLS Gross Margin LTM 2) (adj.)72
72Q4
FY14
+370bps
Q3 FY14
Q2 FY14
Q1FY14
Q4 FY13
Q3 FY13
Q2FY13
Q1 FY13
Revenue and EBITA margin development Comments Q4 y-o-y
EBITAMargin (%)
Adj. EBITAMargin1) (%)
548549
3.5
11.9
3.6
6.1
9.0
(1.2)
7.6
12.3� LED transition leads to revenue reduction
(-13% comp. y-o-y); CLB value initiative supported again stable prices
� Again strong growth of HAL Classic business in Americas
� OSRAM Push measures and value initiative can mostly offset negative margin effects from volume decline; profitability also benefitted
6.7
(1.8)
Classic Lamps & Ballasts (CLB): Considerable cash generation
Roadshow Presentation (preliminary, unaudited figures) | January 201520
Special items 1)
Q4 FY13 FY 13 Q4 FY14 FY 14
EBITA reported (7) 42 (8) 90
therein:Total Special items
(48) (179) (40) (81)
472431
511548549
(11) (13) (19)
Q3FY14
Q4FY14
Q2FY14
Q1FY14
Q4FY13
(14)
(2)(8) (8)
(13)
volume decline; profitability also benefitted from functional cost control
� Free Cash Flow of €67m vs. €31m in prior year quarter
� Comprehensive asset management program started with focus on inventories
(13)
(14)
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Nom.Growth (%)
Revenue(€m)
Comp.growth (%)
Luminaires & Solutions (LS): Restructuring well progressed
EBITAMargin (%)
Adj. EBITAMargin1) (%)
155
(16.1)
(11.2)
(41.7)
(25.9)
(6.7) (8.0)
(14.9)
(24.7)
� Again sequential growth
� LED share at 56%, up from 34% in PYQ
� Significant revenue decline y-o-y (-20% comp.) mainly due to exit of traditional maintenance business and luminaire portfolio adjustments
� Continued profitability improvement with restructuring showing effect
(9.1)(6.7)
Revenue and EBITA margin development Comments Q4 y-o-y
Roadshow Presentation (preliminary, unaudited figures) | January 201521
Special items 1)
Q4 FY13 FY13 Q4 FY14 FY14
EBITA reported (65) (128) (11) (70)
therein:Total Special items
(54) (64) (3) (10)
124110
101
135155
(9) (21)1 (16)
Q4FY14
Q3FY14
Q2FY14
Q1FY14
Q4FY13
(13)
4
(6)
(19)
restructuring showing effect
� LS businesses under common management to drive further synergies, profitability and growth
(20)
(20)
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Revenue(€m)
Comp.growth (%)
Nom.Growth (%)
Specialty Lighting (SP): Top line growth and profitability remain on high le vel
EBITAMargin (%)
Adj. EBITAMargin1) (%) 15.5 15.8
14.5
13.0
16.416.0 15.2
16.3
� Automotive business once more driver of revenue growth (10% nom. y-o-y) with growth in LED as well as traditional business
� Volume holds adjusted EBITA margin on prior year level despite mix effects including significantly increasing LED components sourced from OS
� Clay Paky to strengthen Display / Optics
14.715.5
Revenue and EBITA margin development Comments Q4 y-o-y
Roadshow Presentation (preliminary, unaudited figures) | January 201522
55 72
Q4 FY13 FY13 Q4 FY14 FY14
EBITA reported 48 219 60 237
therein:Total Special items
(9) (27) (3) (10)
Special items 1)
Margin (%)
404378393376369
Q4FY14
Q3FY14
Q2FY14
Q1FY14
Q4FY13
� Clay Paky to strengthen Display / Optics business in FY15 (with ~€60m revenue and operational margin on SP level)
� OLED technology expected to enter automotive market; OLED reported within SP starting Q1 FY15
811 109 10
9
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Nom.Growth (%)
Revenue(€m)
Comp.growth (%)
Opto Semiconductors (OS): Back to double digit growth
EBITAMargin (%)
299
19.2
14.6
19.8 � Quarterly revenues reach new peak level with €299m benefitting from seasonality; again new revenue high
� Growth across all regions
� EBITA margin y-o-y on high level based on improved product mix and operational performance
13.2
16.7
Revenue and EBITA margin development Comments Q4 y-o-y
Roadshow Presentation (preliminary, unaudited figures) | January 201523
217 1210
299286
270270268
Q4FY14
Q3FY14
Q2FY14
Q1FY14
Q4FY13
5
20
1413
11
11
Nom.Growth (%)
Revenue(€m)
Comp.growth (%)
Margin7.7%
Margin 6.0%
€438m Margin 8.7%
Reported EBITA burdened by transformation costs, Push more than compensates pricing pressure and mix
Roadshow Presentation (preliminary, unaudited figures) | January 201524
EBITA FY14 adjusted 1)
EBITA FY14 as reported
Cost Reduction Measures
(OSRAM Push)
Volume / Degression / Product
Mix / Others
InflationCustomer Price Change
EBITA FY13 adjusted 1)
EBITA FY13 as reported
Margin 1.9%
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Our global SG&A program drives competitiveness through lean structures
OSRAM SG&A Program
Lean HQs GSS & Process ExcellenceGI Sales Streamlining
• Secure future competitiveness for SSL• Lean organization & efficient processes• Sustainable structural improvements
Roadshow Presentation (preliminary, unaudited figures) | January 201525
Lean HQs
• Efficient HQ setup , increased flexibility
• Clear responsibilities BUs / service providers
GSS & Process Excellence
• Align business processes globally
• E2E-Process transformationto provide cost efficient & effective services for businesses
GI Sales Streamlining
• Optimize Sales functions & channels cross BUs and regions
• De-layer and de-matrix
+ additional €160m from footprint measures with an incremental profit upside in case of improv ed market outlook
Sustainably margin-accretive savings: €100m
Net Debt bridgeCapital Expenditure
ROCE and FCF FY14 targets achieved
Group (€m)
34 15
2729
1813
74
Q4 FY13
90
3 4
-13
Q4 FY14
77
8 5
Other
LS
LLS
CLB
OS
SP
Net Debt bridge
28 17
0113
Net
-3
∆ non-
487
-11
CAPEX Other
-77
Other ∆EBITDANet
420
Mainly
FCF €51m
Roadshow Presentation (preliminary, unaudited figures) | January 201526
1) Defined as revenue (last twelve months) divided by working capital
Capex as% of revenue 5.8
Group WC
Turns1)
Operating Working Capital
216284
FY14FY13
Q4 FY13 Q4 FY14Other
-677 -799
857853
968
Trade receivables
Trade payables
+66
Inventories
Q4 FY14
1,211
1,152
Q4 FY13
1,145
Free Cash Flow
6.7
Net Liquidity
Q4 FY14
current assets
and liabilities
Invest./ Fin.
activities
income / expense
NWCNet
LiquidityQ3
FY14
taxes paid
4.6 4.2
ROCE
1.9%
FY14
9.3%
FY13
Key financial metrics
Q4 FY13 Q4 FY14Change
(y-o-y) FY13 FY14
Change (y-o-y)
Revenue 1,332 1,335 Nom: 0%Comp: 1%
5,289 5,142Nom: (3)%Comp: 1%
Gross Margin 27.2% 28.9 % 170bps 28.2% 31.4% 320bps
R&D (86) (85) 1 (341) (331) 10
SG&A (315) (265) 50 (1,103) (985) 118
EBITDA 55 113 58 414 556 142
EBITA (24) 36 60 99 310 211
EBITA Margin (1.8)% 2.7% 450bps 1.9% 6.0% 410bps
Adj. EBITA 108 106 (2) 410 449 39
Adj. EBITA Margin 8.1% 8.0% (10)bps 7.7% 8.7% 100bps
Group (€m)
Roadshow Presentation (preliminary, unaudited figures) | January 201527
1) Pro forma
Adj. EBITA Margin 8.1% 8.0% (10)bps 7.7% 8.7% 100bps
Financial result(incl. at-equity results) (10) (13) (3) (22) (5) 17
Income before Taxes (44) 17 61 50 279 229
Taxes 16 (5) (21) (17) (86) (69)
Net Income (29) 12 41 34 193 159
Basic EPS (in €) (0.28)1)
0.10 0.38 0.26 1.80 1.54
Free Cash Flow 85 51 (34) 284 216 (68)
CAPEX (90) (77) 13 (207) (243) (36)
Employees (in thousands) 35 34 (1) 35 34 (1)
Net Debt (Liquidity) (172) (487) (315) (172) (487) (315)
Adj. Net Debt (Liquidity) / EBITDA 0.5 (0.1) 0.5 (0.1)
Equity Ratio 49% 51% 200bps 49% 51% 200bps
For FY15 we expect revenue on FY14 level on a comparable basis1
Outlook 2015
2 We expect the adjusted1) EBITA margin to be at FY14 level
3 OSRAM Push Phase II in FY15 with gross savings of roughly €400m
Roadshow Presentation (preliminary, unaudited figures) | January 201528
4Biggest yearly share of transformation costs in FY15 will lead to a sharp decrease in net income and ROCE
5Free Cash Flow for FY15 expected to come in with a positive triple-digit €m amount, but below FY14 level
����Based on 2015 outlook and OSRAM’s midterm prospects we intend dividend continuity with €0.90 per share also for FY15
1) Adjusted for special items / special items include e.g. transformation costs, spin-off- / stand-alone-related costs and substantial legal and regulatory matters
Financial Calendar and Investor contacts
Upcoming events� January 13/14, 2015
Commerzbank Investment Seminar, New York
� February 4, 2015Preliminary figures 1st quarter FY 2015
� February 5, 2015Bankhaus Lampe – German Equity Forum, London
� February 6, 2015Roadshow, Paris
Roadshow Presentation (preliminary, unaudited figures) | January 201529
Investor Relations contact
Boris Tramm + 49 89 6213 4686
Munich Office + 49 89 6213 4875
Internet http://www.osram.com/ir
Email: [email protected]
Roadshow, Paris
Income statement
OSRAM Licht Group
Consolidated Statement of Income (preliminary)For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014 (unaudited) and 2013 (in € million)
2014 2013 2014 2013Revenue 1,334.8 1,332.0 5,142.1 5,288.7Cost of goods sold and services rendered -949.5 -970.1 -3,528.8 -3,797.2Gross profit 385.4 361.9 1,613.4 1,491.5Research and development expenses -84.6 -86.2 -331.4 -341.2Marketing, selling and general administrative expenses -265.5 -315.3 -985.3 -1,102.8Other operating income 1.3 8.6 40.6 65.6Other operating expense -6.9 -3.4 -53.2 -40.6
Three months endedSeptember 30
Consolidated Statement of Comprehensive Income (preliminary)For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014(unaudited) and 2013 (in € million)
2014 2013 2014 2013Net income (loss) 12.0 -28.6 193.1 33.6Items that will not be reclassified to profit or lo ssRemeasurements of defined benefit plans -28.5 28.0 -29.0 75.9Items that may be reclassified subsequently to prof it or lossCurrency translation differences 82.0 -36.1 65.7 -71.5Available-for-sale financial assets -0.1 -0.1 0.5 - Derivative financial instruments -1.3 0.1 -2.2 0.2
Three months endedSeptember 30
Roadshow Presentation (preliminary, unaudited figures) | January 201530
Income (loss) from investments accounted for using the equity method, net 1.1 0.4 35.9 13.6Interest income 0.7 1.1 3.2 5.9Interest expense -13.5 -8.7 -40.8 -32.0Other financial income (expense), net -0.8 -2.6 -3.2 -9.9
Income (loss) before income taxes 17.1 -44.2 279.2 50.1Income taxes -5.1 15.6 -86.1 -16.5
Net income (loss) 12.0 -28.6 193.1 33.6
Attributable to: Non-controlling interests 1.1 1.2 5.2 6.0Shareholders of OSRAM Licht AG 10.9 -29.8 187.9 27.6
Undiluted earnings per share (in €) 0.10 -0,28 1) 1.80 0.26Diluted earning per share (in €) 0.10 -0,28 1) 1.79 0.26
Percentages and numbers may contain rounding differences.
(1) Pro forma
Derivative financial instruments -1.3 0.1 -2.2 0.2subtotal 80.6 -36.1 64.0 -71.3
Other comprehensive income (loss), net of tax (1) 52.1 -8.1 35.0 4.6Total comprehensive income (loss) 64.1 -36.7 228.1 38.2
Attributable to:Non-controlling interests 3.3 0.7 6.9 5.8Shareholders of OSRAM Licht AG 60.8 -37.4 221.2 32.4
Percentages and numbers may contain rounding differences.
(1) Other comprehensive income (loss), net of tax includes income (losses) of €-0.1 million and €0.3 million, respectively, from investments accounted for using the equity method in the three months ended September 30, 2014 and for the f iscal year 2014 (for the previous year: €-0.1 million and €-2.5 million, respectively), of w hich €0.0 million and €0.0 million, respectively, is attributable to items that w ill not be reclassif ied to profit or loss (for the previous year: €0.0 million and €-4.2 million, respectively).
Cash Flow
OSRAM Licht Group
Consolidated Statement of Cash Flow (preliminary)For the fiscal years ended September 30, 2014 (unaudited) and September 30, 2013 (in € million)
2014 2013Cash flows from operating activitiesNet income (loss) 193.1 33.6Adjustments to reconcile net income (loss) to cash provided (used in) operating activities
Amortization, depreciation and impairments 272.1 341.1Income taxes 86.1 16.5Interest (income) expense, net 37.6 26.1
2014 2013Cash flows from investing activitiesAdditions to intangible assets and property, plant and equipment -243.2 -207.4Acquisitions, net of cash acquired - 0.5Purchases of investments -0.3 -38.9Proceeds and (payments) from sales of investments, intangible assets and property, plant and equipment 86.8 17.3Proceeds and (payments) from the sale of business activities -0.5 23.4Net cash provided by (used in) investing activities -157.2 -205.1Cash flows from financing activitiesPurchase of common stock - -9.2
Roadshow Presentation (preliminary, unaudited figures) | January 201531
Interest (income) expense, net 37.6 26.1(Gains) losses on sales and disposals of businesses, intangibles and property, plant and equipment, net 5.2 0.4(Gains) losses on sales of investments, net -32.0 - (Income) loss from investments -4.8 -13.7Other non-cash (income) expenses -4.8 36.5Change in current assets and liabilities
(Increase) decrease in inventories -146.8 13.3(Increase) decrease in trade receivables 18.6 -77.7(Increase) decrease in other current assets -17.7 -10.4Increase (decrease) in trade payables 83.8 74.1Increase (decrease) in current provisions 26.6 8.2Increase (decrease) in other current liabilities -61.0 154.8
Change in other assets and liabilities 24.6 -41.5Income taxes paid -28.4 -77.1Dividends received 2.3 6.3Interest received 4.6 1.2
Net cash provided by (used in) operating activities 459.1 491.7
Purchase of common stock - -9.2Proceeds from re-issuance of treasury stock - 3.3Proceeds from issuance of long-term debt - 300.0Transaction costs related to unused credit facilities - -21.1Repayment of long-term debt -160.0 - Change in short-term debt and other financing activities -11.8 18.7Interest paid -13.4 -8.2Dividends paid to non-controlling interest shareholders -2.7 -5.6Profit and loss transfer with Siemens Group - 336.6Interest paid to Siemens Group - -3.8Other transactions / financing with Siemens Group 11.8 -397.2Net cash provided by (used in) financing activities -176.1 213.5Effect of exchange rates on cash and cash equivalents 19.8 -9.2Net increase (decrease) in cash and cash equivalents 145.6 490.9Cash and cash equivalents at beginning of period 522.1 31.2Cash and cash equivalents at end of period 667.7 522.1Cash and cash equivalents at end of period (Consoli dated Statements of Financial Position) 667.7 522.1
Percentages and numbers may contain rounding differences.
Balance sheet
OSRAM Licht Group
Consolidated Statement of Financial Position (preliminary)As of September 30, 2014 (unaudited) and September 30, 2013 (in € million)
As ofSeptember 30
As ofSeptember 30
2014 2013AssetsCurrent AssetsCash and cash equivalents 667.7 522.1Available-for-sale financial assets 1.4 0.8Trade receivables 857.5 853.4
As ofSeptember 30
As ofSeptember 30
2014 2013Liabilities and equityCurrent liabilitiesShort-term debt and current maturities of long-term debt 43.6 55.9Trade payables 798.6 677.0Other current financial liabilities 46.3 39.2Current provisions 123.5 93.9
Roadshow Presentation (preliminary, unaudited figures) | January 201532
Trade receivables 857.5 853.4Other current financial assets 64.9 58.2Inventories 1,152.1 968.3Income tax receivables 29.2 50.0Other current assets 91.3 93.6Noncurrent assets held for sale 2.9 47.0
Total current assets 2,867.0 2,593.4Goodwill 37.7 35.1Other intangible assets 105.6 119.5Property, plant and equipment 1,137.1 1,132.7Investments accounted for using the equity method 62.3 57.7Other financial assets 12.3 18.8Deferred tax assets 425.0 397.1Other assets 62.7 71.0
Total assets 4,709.5 4,425.3
Current provisions 123.5 93.9Income tax payables 90.1 66.8Other current liabilities 466.2 530.8
Total current liabilities 1,568.3 1,463.6Long-term debt 138.2 295.0Pension plans and similar commitments 444.4 358.5Deferred tax liabilities 1.0 1.3Provisions 14.9 16.2Other financial liabilities 0.3 0.4Other liabilities 141.6 121.0
Total liabilities 2,308.7 2,256.0EquityCommon stock, no par value 104.7 104.7Additional paid-in capital 2,026.2 2,022.9Retained earnings 190.4 31.5Other components of equity 57.4 -4.9Treasury shares, at cost -2.9 -5.6Total equity attributable to shareholders of OSRAM Licht AG 2,375.8 2,148.6Non-controlling interests 25.0 20.7Total equity 2,400.8 2,169.3
Total liabilities and equity 4,709.5 4,425.3
Percentages and numbers may contain rounding differences.
Segments
OSRAM Licht Group
Notes to the Consolidated Financial Statements - Segment Information (preliminary)For the three months ended September 30, 2014 (unaudited) and 2013 and for the fiscal years ended September 30, 2014 (unaudited) and 2013 (in € million)
2014 2013 2014 2013Segments
Three months endedSeptember 30
Three months endedSeptember 30
Total revenue EBITA (1)
2014 2013 2014 2013
Total revenue EBITA (1)
Roadshow Presentation (preliminary, unaudited figures) | January 201533
Percentages and numbers may contain rounding differences.
(1)
(2)
(3)
(4)
(5)
(6) Segment information data for comparison periods has been adapted to the new composition of segments.
EBITA is earnings before f inancial results (Income (loss) from investments accounted for using the equity method, net; Interest income; Interest expense and Other f inancial income (expense), net), Income taxes and Amortization as defined below .Assets of the segments and corporate items and pensions are defined as Total assets, less f inancing receivables and tax related assets as w ell as noninterest-bearing provisions and liabilities other than tax liabilities (e.g. trade payables).
Free cash flow constitutes net cash provided by (used in) operating activities less additions to intangible assets and property, plant and equipment. For the segments, it primarily excludes income tax-related and financing interest payments and proceeds.Amortization represents amortization and impairments of goodw ill and intangible assets, net of reversals of impairments.
Depreciation represents depreciation and impairments of property, plant and equipment, net of reversals of impairments. The nine months ended June 30, 2014 include impairment losses on property, plant and equipment used for the production of prematerials of €6.2 million related to the reassessment of the strategic business prospects and mainly affecting the CLB segment.
SegmentsLED Lamps & Systems (6) 144.0 83.8 -28.1 -23.8Classic Lamps & Ballasts (6) 472.3 549.5 -8.3 -6.5Luminaires & Solutions 124.1 154.8 -11.2 -64.6Specialty Lighting 403.6 369.1 59.5 47.9Opto Semiconductors 299.3 268.4 49.8 39.1Total Segments 1,443.3 1,425.7 61.7 -7.9
Reconciliation to consolidated financial statementsCorporate items and pensions 5.3 4.4 -25.3 -16.2Eliminations, corporate treasury and other reconciling items -113.8 -98.1 -0.3 -0.3
OSRAM Licht Group 1,334.8 1,332.0 36.2 -24.3
SegmentsLED Lamps & Systems (6) 454.3 297.8 -89.2 -95.1Classic Lamps & Ballasts (6) 1,962.6 2,302.1 89.9 42.5Luminaires & Solutions 469.2 561.3 -70.0 -128.3Specialty Lighting 1,551.0 1,455.8 236.5 218.8Opto Semiconductors 1,124.5 1,018.0 193.8 123.8Total Segments 5,561.6 5,635.0 361.0 161.7
Reconciliation to consolidated financial statementsCorporate items and pensions 17.4 17.8 -49.8 -61.5Eliminations, corporate treasury and other reconciling items -436.8 -364.2 -0.9 -0.7
OSRAM Licht Group 5,142.1 5,288.7 310.4 99.5
Impact of OLED integration into Specialty Lighting (SP)
Group (€m)
Q1 FY14 Q2 FY14 Q3 FY14 Q4 FY14 FY 14
SP ex. OLED (as reported)
Revenue 376 393 378 404 1,551
adj. EBITA 62 64 58 63 246
adj. EBITA margin 16.4% 16.3% 15.2% 15.5% 15.9%
OLED
Revenue 0 0 0 0 0
EBITA -2 -4 -3 -3 -12
Roadshow Presentation (preliminary, unaudited figures) | January 201534
EBITA -2 -4 -3 -3 -12
SP incl. OLED
Revenue 376 393 378 404 1,551
adj. EBITA 59 61 54 60 234
adj. EBITA margin 15.7% 15.4% 14.4% 14.9% 15.1%
1)
1) Restated pro forma figures
Disclaimer
This presentation contains certain non-IFRS measures. FCF, EBITDA, EBITA, EBITA margin, capital expenditures, capitalexpenditures as percentage of revenues and other operating income, net financial debt, net working capital and certain other itemsincluded herein are not recognized measures in accordance with IFRS and should not be considered as an alternative to theapplicable IFRS measures. We have provided these measures and other information in this presentation because we believe theyprovide investors with additional information to measure our performance. Our use of the terms FCF, EBITDA, EBITA, EBITAmargin, capital expenditures, capital expenditures as percentage of revenues and other operating income, net financial debt, networking capital varies from others in our industry and should not be considered as an alternative to net income (loss), cash flowsfrom operating activities, revenues or any other performance measures derived in accordance with IFRS as measures of operatingperformance or to cash flows as measures of liquidity. FCF, EBITDA, EBITA, EBITA margin, capital expenditures, capitalexpenditures as percentage of revenues and other operating income, net financial debt and net working capital have important
Roadshow Presentation (preliminary, unaudited figures) | January 201535
expenditures as percentage of revenues and other operating income, net financial debt and net working capital have importantlimitations as analytical tools and should not be considered in isolation or as substitutes for analysis of our results as reportedunder IFRS.
Certain numerical data, financial information and market data (including percentages) in this presentation have been roundedaccording to established commercial standards. As a result, the aggregate amounts (sum totals or interim totals or differences or ifnumbers are put in relation) in this presentation may not correspond in all cases to the amounts contained in the underlying(unrounded) figures appearing in the consolidated financial statements. Furthermore, in tables and charts, these rounded figuresmay not add up exactly to the totals contained in the respective tables and charts.