BELIMO (BEAN) CMD 2024 Presentation summary

Strategic focus and growth initiatives

• Data centers and renovation markets identified as key growth hotspots, with data centers added as a strategic initiative replacing digital customer experience.

• HVAC systems account for 16% of global energy consumption, with advanced building automation systems (BACS) offering up to 55% energy savings.

• Belimo's RetroFIT+ initiative targets the large renovation market, leveraging assessment tools to support retrofit project decisions and energy efficiency improvements.

• Megatrends such as urbanization, climate change, and digitalization drive demand for comfort, energy efficiency, and safety in buildings.

• Belimo's Energy Valve™ plays a crucial role in innovative heat recovery applications, such as at the Paris 2024 Olympics.

Financial performance and regional highlights

• Net sales for HY1 2024 reached CHF 473.5 million, up 5.6% year-over-year, with 9.7% growth in local currencies.

• Americas contributed 46% of net sales, EMEA 42%, and Asia Pacific 12%, with strong growth in data center and renovation demand.

• Damper actuators and control valves accounted for 46% and 49% of sales respectively, with sensors and meters at 5%.

• EBIT margin improved to 19.6% in HY1 2024, with EBIT rising to CHF 93.0 million.

• Positive volume and mix effects, along with price realization, offset FX headwinds.

Market trends and outlook

• Global data center construction revenue is projected to grow strongly, with cooling spend rising from below 4% in 2018 to nearly 7% by 2030.

• Shift to liquid cooling and higher power density per rack benefit demand for Belimo's pressure-independent products.

• Renovation market offers significant opportunity, as 40% of global energy is used in buildings, and only 2% of buildings are new each year.

• FY 2024 outlook anticipates sales growth above the five-year average, with stable or accelerating demand in all regions.

• Full-year EBIT margin may be impacted by cost increases, but long-term growth strategy and capacity investments continue.