The voestalpine Group operates in five reportable segments: Steel Division, Special Steel Division, Metal Engineering Division, Metal Forming Division, and Other. The reporting system, which is based primarily on the nature of the products provided, reflects the internal financial reporting, the management structure of the organization, and the Company’s predominant sources of risks and rewards.
The Steel Division focuses on the production and processing of flat steel products for the automotive, white goods, and construction industries. This division is a top-three European supplier of high-quality strip steel and heavy plate for the most demanding applications. The division produces and processes hot- and cold-rolled steel as well as electrogalvanized, hot-dip galvanized, and organically coated plate and electrical steel strip. Its other activities include heavy plate production, a foundry, and a number of downstream processes.
The Special Steel Division is a global market leader in tool steel. Furthermore, it has a leading position in the high-speed steel and the special forging segments. The Special Steel Division manufactures long steel products, medium-wide strip steel, open-die forgings, and drop forgings. The main customer group is the tool industry, which mainly supplies the automotive industry and the consumer goods industry. The division’s second foothold is energy technology—from exploration to components for gas and steam turbines. Furthermore, the Special Steel Division is a global supplier of the aviation industry.
The Metal Engineering Division manufactures the world’s widest range of high-quality rails and turnout products, rod wire, drawn wire, prestressing steel, seamless tubes, welding filler materials, and semi-finished products. voestalpine is the global leader in both the market as well as technology in the railway systems sector. Furthermore, the division offers an extensive range of services in the rail and turnout sectors. Moreover, the Metal Engineering Division has access to its own steel production.
The Metal Forming Division is a leading global provider of high-quality metal processing solutions, in particular special tubes and sections, special strip steel, and complex components for the automotive industry. The Metal Forming Division is a leading global manufacturer of welded tubes and hollow sections, open special sections, and custom-made special tubes as well as precision parts of the highest quality. The division provides the automotive industry and well-respected suppliers with a complete range of pressed parts in the body segment as well as highly innovative structural components. Additionally, it produces cold-rolled special strip steel with a high degree of dimensional stability, extremely tight tolerances, and excellent surface qualities. The division is also a provider of sophisticated product solutions in the segments of high-bay warehouses, system racks, and road safety and also operates in the energy and heating industry.
The Automotive Division and Profilform Division were merged as of April 1, 2012, to create the Metal Forming Division. The preceding year’s comparative figures were adjusted accordingly.
The holding company, several Group financing companies and raw materials purchasing companies as well as the group-IT companies are included in Other. These companies are combined in this segment because their focus is on providing coordination services and assistance to the subsidiaries.
Segment revenue, segment expenses, and segment results include transfers between operating segments. Such transfers are accounted for at competitive market prices charged to unaffiliated customers for similar products. These transactions have been eliminated in the consolidated financial statements.
The voestalpine Group uses EBIT as the key figure to measure the performance of the segments. In the voestalpine Group, this figure is a widely accepted indicator for measuring profitability.
The operating segments1 of the Group are as follows:
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Operating segments |
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Steel Division |
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Special Steel Division | ||||||
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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Segment revenue |
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4,130.3 |
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3,921.7 |
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2,945.0 |
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2,748.4 | ||||
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Of which revenue with third parties |
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3,815.4 |
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3,655.2 |
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2,875.9 |
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2,704.5 | ||||
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Of which revenue with other segments |
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314.9 |
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266.5 |
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69.1 |
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43.9 | ||||
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456.9 |
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449.8 |
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429.7 |
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368.7 | |||||
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Depreciation and amortization of property, plant and equipment and intangible assets |
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230.4 |
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231.4 |
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156.8 |
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145.0 | ||||
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Of which impairment |
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0.0 |
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0.0 |
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0.6 |
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0.2 | ||||
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Of which reversal of impairment |
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0.0 |
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0.0 |
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0.3 |
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0.4 | ||||
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EBIT |
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226.5 |
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218.4 |
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272.9 |
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223.6 | ||||
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5.5% |
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5.6% |
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9.3% |
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8.1% | |||||
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Share of profit of associates |
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14.8 |
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11.4 |
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0.0 |
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0.0 | ||||
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Interest and similar income |
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1.7 |
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1.9 |
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18.2 |
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12.6 | ||||
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Interest and similar expenses |
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67.7 |
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55.1 |
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57.2 |
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46.4 | ||||
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Income tax expense |
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–26.7 |
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–31.0 |
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–74.2 |
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–57.3 | ||||
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Profit for the period |
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154.1 |
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152.1 |
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156.9 |
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134.5 | ||||
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Segment assets |
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3,652.0 |
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3,684.8 |
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4,007.9 |
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4,025.8 | ||||
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Of which investments in associates |
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99.3 |
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104.4 |
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0.0 |
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0.0 | ||||
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1,026.4 |
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1,011.9 |
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647.6 |
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806.3 | |||||
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Investments in property, plant and equipment and intangible assets |
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196.9 |
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276.9 |
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128.1 |
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256.8 | ||||
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Employees (full-time equivalent) |
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10,702 |
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10,676 |
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12,363 |
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12,721 | ||||
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Metal Engineering Division |
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Metal Forming Division | ||||||
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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Segment revenue |
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2,955.6 |
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2,913.6 |
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2,475.2 |
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2,310.2 | ||||
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Of which revenue with third parties |
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2,919.4 |
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2,877.9 |
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2,441.9 |
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2,279.0 | ||||
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Of which revenue with other segments |
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36.2 |
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35.7 |
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33.3 |
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31.2 | ||||
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EBITDA |
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210.3 |
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434.6 |
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276.2 |
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257.6 | ||||
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Depreciation and amortization of property, plant and equipment and intangible assets |
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113.3 |
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114.9 |
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91.0 |
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90.0 | ||||
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Of which impairment |
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0.1 |
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0.3 |
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0.3 |
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0.1 | ||||
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Of which reversal of impairment |
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1.9 |
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0.0 |
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0.0 |
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0.0 | ||||
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EBIT |
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96.9 |
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319.6 |
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185.1 |
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167.6 | ||||
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EBIT margin |
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3.3% |
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11.0% |
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7.5% |
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7.3% | ||||
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Share of profit of associates |
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–0.2 |
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0.9 |
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0.0 |
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0.0 | ||||
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Interest and similar income |
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47.0 |
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2.9 |
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2.5 |
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3.2 | ||||
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Interest and similar expenses |
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37.3 |
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35.4 |
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31.9 |
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27.8 | ||||
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Income tax expense |
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–13.2 |
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–78.4 |
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–43.1 |
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–31.9 | ||||
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Profit for the period |
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94.9 |
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209.6 |
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113.3 |
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111.6 | ||||
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Segment assets |
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2,552.1 |
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2,659.3 |
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2,021.2 |
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1,947.1 | ||||
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Of which investments in associates |
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16.7 |
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19.0 |
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0.0 |
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0.0 | ||||
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Net financial debt |
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432.3 |
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291.5 |
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416.1 |
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490.2 | ||||
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Investments in property, plant and equipment and intangible assets |
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129.1 |
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164.9 |
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109.8 |
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142.5 | ||||
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Employees (full-time equivalent) |
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11,344 |
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11,374 |
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11,365 |
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10,853 | ||||
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Other |
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Reconciliation |
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Total Group | ||||||
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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Segment revenue |
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1,869.4 |
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1,380.9 |
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–2,317.3 |
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–1,750.4 |
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12,058.2 |
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11,524.4 |
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Of which revenue with third parties |
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5.6 |
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7.8 |
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0.0 |
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0.0 |
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12,058.2 |
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11,524.4 |
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Of which revenue with other segments |
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1,863.8 |
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1,373.1 |
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–2,317.3 |
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–1,750.4 |
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0.0 |
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0.0 |
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EBITDA |
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–68.7 |
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–71.9 |
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–2.5 |
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3.0 |
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1,301.9 |
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1,441.8 |
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Depreciation and amortization of property, plant and equipment and intangible assets |
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6.2 |
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6.9 |
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0.0 |
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0.0 |
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597.7 |
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588.2 |
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Of which impairment |
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0.0 |
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0.0 |
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0.0 |
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0.0 |
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1.0 |
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0.6 |
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Of which reversal of impairment |
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0.0 |
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0.0 |
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0.0 |
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0.0 |
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2.2 |
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0.4 |
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–74.8 |
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–78.8 |
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–2.4 |
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3.2 |
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704.2 |
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853.6 | |
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EBIT margin |
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5.8% |
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7.4% |
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Share of profit of associates |
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4.7 |
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2.2 |
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0.8 |
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0.9 |
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20.1 |
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15.4 |
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Interest and similar income |
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169.9 |
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101.0 |
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–174.6 |
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–78.8 |
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64.7 |
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42.8 |
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Interest and similar expenses |
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291.8 |
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182.6 |
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–191.6 |
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–75.6 |
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294.3 |
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271.7 |
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Income tax expense |
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70.3 |
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66.2 |
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–4.2 |
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–0.3 |
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–91.1 |
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–132.7 |
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Profit for the period |
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929.1 |
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290.4 |
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–1,035.0 |
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–376.3 |
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413.3 |
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521.9 |
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Segment assets |
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9,621.1 |
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10,268.5 |
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–9,242.2 |
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–9,506.2 |
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12,612.1 |
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13,079.3 |
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Of which investments in associates |
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3.1 |
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0.8 |
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30.3 |
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32.2 |
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149.4 |
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156.4 |
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Net financial debt |
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117.9 |
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–340.4 |
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–54.6 |
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–0.3 |
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2,585.7 |
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2,259.2 |
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Investments in property, plant and equipment and intangible assets |
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8.8 |
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9.5 |
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0.0 |
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0.0 |
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572.7 |
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850.6 |
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Employees (full-time equivalent) |
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699 |
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727 |
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0 |
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0 |
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46,473 |
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46,351 |
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1 The Automotive Division and Profilform Division were merged as of April 1, 2012, |
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In millions of euros | ||||||||||
The reconciliation of the key figures EBITDA and EBIT are shown in the following tables:
| (XLS:) Download |
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2011/12 |
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2012/13 | |
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Net exchange differences incl. result from valuation of derivatives |
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–0.9 |
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4.4 |
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Consolidation |
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0.8 |
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–1.1 |
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Other |
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–2.4 |
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–0.3 |
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EBITDA – Total reconciliation |
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–2.5 |
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3.0 |
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In millions of euros | ||
| (XLS:) Download |
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EBIT |
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2011/12 |
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2012/13 |
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Net exchange differences incl. result from valuation of derivatives |
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–0.9 |
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4.4 |
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Consolidation |
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0.8 |
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–1.1 |
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Other |
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–2.3 |
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–0.1 |
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EBIT – Total reconciliation |
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–2.4 |
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3.2 |
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In millions of euros | ||
For the most part, all other key figures contain solely the effects of consolidation.
Geographical information
The following table provides selected financial information subsumed into the major geographical areas. External revenue is allocated by geographical location of the customers’ companies. Non-current assets and investments are reported by geographical location of the companies.
| (XLS:) Download |
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Austria |
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European Union |
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Other countries | ||||||
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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2011/12 |
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2012/13 |
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External revenue |
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1,213.4 |
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1,161.6 |
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7,482.2 |
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7,111.0 |
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3,362.6 |
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3,251.8 |
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Non-current assets |
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4,174.3 |
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4,274.7 |
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1,537.7 |
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1,627.7 |
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556.7 |
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598.2 |
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Investments in property, plant and equipment and intangible assets |
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363.6 |
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511.5 |
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143.9 |
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243.4 |
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65.2 |
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95.7 |
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In millions of euros | ||
The voestalpine Group does not record any revenue from transactions with a single external customer amounting to 10% or more of the entity’s revenue.
