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BUSINESS AREA TRELLEBORG WHEEL SYSTEMS
Market position, no. 1-3
Agricultural tires
Forestry tires
Solid industrial tires
Globally
NAFTA
EU
Key figures, excluding items affecting comparability, sek m 2015 2014
Net sales 4,315 4,167
Share of consolidated net sales, % 18 19
Operating profit 468 504
Operating margin (ROS), % 10.8 12.1
Capital employed 4,198 3,453
Return on capital employed (ROCE), % 11.7 15.6
Capital expenditures 425 252
Operating cash flow 48 324
Operating cash flow/operating profit, % 10 64
Number of employees at year-end, including insourced staff and temporary employees 3,295 3,047
Net sales and ROS*
Net sales and ROS*
SEK M ROS, %
5,000
25
Operating profit* and ROCE*
Operating profit* and ROCE*
SEK M ROCE, %
500
30
Operating cash flow
Operating cash flow
SEK M
500
4,000
20
400
24
400
3,000
15
300
18
300
2,000
10
200
12
200
1,000
5
0
0 2011 2012 2013 2014 2015
Net sales, SEK M
ROS, %
* Excluding items affecting comparability.
100
6
0
0
2011 2012 2013 2014 2015
Operating profit, SEK M
ROCE, %
*Excluding items affecting comparability.
100
0
2011 2012 2013 2014 2015
Operating cash flow, SEK M, continuing
operations.
Net sales per geographic market
Net sales per segment
Employees per geographic market
Western Europe, 58%
North America, 26%
Rest of the world, 16%
Agriculture, 49%
Transportation equipment, 51%
Western Europe, 32%
North America, 6%
Rest of the world, 62%
3 questions
Maurizio Vischi, Business Area President
Describe what characterizes your
business area.
We work in a focused manner to develop
the concept of Total Value of Ownership
(TVO). With TVO, we optimize, through
the superior performance of our tires,
customer’s costs over time by taking
into account aspects such as tire life
and fuel consumption.
We also maintain close collaboration
with our customers across the globe.
Local presence and global reach have
become key drivers in our business
strategy.
Name a technological highlight
of the year.
The Pit Stop Line for our premium
industrial tires is a good example of
customer- focused innovation. The
orange Pit Stop Line appears on the
surface of a tire as it wears down giving
a clear indication when it needs to be
replaced. Our research revealed that
over 85 percent of tires are replaced
too early meaning that end users were
incurring needless cost and downtime,
both of which are solved by choosing the
Pit Stop Line. The Pit Stop Line has
reinforced both our leading position
as an innovator in the market and also
our expertise in complex production
processes.
What will be the key development
areas in the years ahead?
The acquisition of CGS Holding is
expected to be finalized in the first half
of 2016. Then, without a doubt, it will
be to successfully integrate the CGS
subsidiary, Mitas, with our current operation.
The acquisition will mean that we
will become a global leader in agricultural
tires and, combined with the
Brazilian acquisition, we will strengthen
our leading position in industrial tires.
As an example, we will be supplementing
our offering of massive industrial
tires with pneumatic tires, thus
granting access to new markets. For
agricultural tires, we will expand our
product range, with more brands and a
larger geographic market, reinforcing our
presence in Europe and North America,
and increasing shares of the Russian
and Ukrainian markets.
GRI: G4-8, G4-9
Annual Report 2015 Trelleborg AB 21