1 / 53

Business Review

Business Review. Current Performance. Sales slightly below budget - down Eur 1.3m but 5.6% (Eur 10.5m) below last year Selling price improvements of 1% Profit Eur 0.5m ahead of budget and 3.6% up on last year Overheads down Eur 4.9m on same period last year

katoka
Download Presentation

Business Review

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Business Review

  2. Current Performance • Sales slightly below budget - down Eur 1.3m but 5.6% (Eur 10.5m) below last year • Selling price improvements of 1% • Profit Eur 0.5m ahead of budget and 3.6% up on last year • Overheads down Eur 4.9m on same period last year • Manufacturing savings of Eur 4.2m achieved • Headcount fallen 502 since last June -8.8%

  3. Market Data

  4. Key Financials

  5. Change Analysis vs Previous Year

  6. Working Capital

  7. Cash Flow

  8. YTD Manufacturing PerformanceStandard Laminating

  9. YTD Manufacturing PerformanceSpecial Laminating

  10. YTD Manufacturing PerformanceToughening

  11. YTD Manufacturing PerformanceValue Added - Part 1

  12. YTD Manufacturing PerformanceValue Added - Part2

  13. Total PPM on O.E.-1 Customer June : 234 PPM Cum : 297 PPM

  14. OE-1 Background Customer Quality Performance 65.6 %

  15. Plant PPM Evolution ( OE- 1)

  16. Plant Customer Preference Trends (OE- 1)

  17. Cumulative Operating Cash Flow Forecast

  18. Cumulative Prime Margin to Sales

  19. Headcount

  20. Cumulative Overheads to Sales

  21. Working Capital to Sales

  22. Full Year Forecast

  23. Variances From Budget • Forecast capital spending higher by Eur 6.9m reflecting approved projects that were budgeted centrally by the Business Line • Cash flow over budget by the higher capital spend • All other items remain ON BUDGET

  24. Status of Budget Contingency Plans

  25. RISKS AND OPPORTUNITIES Some Yes Yes No Not Yet Some Yes Some No No No Not Yet No No Not Yet

  26. Capex Plan (part 1)

  27. Capex Plan (con’t)

  28. Price Increases 2000/01

  29. Laminated Sidelight Development • Development effort has addressed the need for non cylindrical sidelights, not feasible on the Witten gas hearth, and the newly confirmed requirement for a 1.6/0.76/1.6 construction • Simplex mode operation of the APBT furnace has been shown to give the best combination of shape control, temper stress and optics for 1.6mm semi-tempered doorlights, compared to full APB and CPB processes • Future capacity/investment planning is now being finalised based on: • Witten gas hearth for cylindrical • Simplex glasses from various existing APB’s for non cylindrical • dedicated, single chamber, vacuum bag pre-laminating units to enable cut back of IR reflective film required for corrosion resistance without edge bubble

  30. Solar Reflective Glazing: Processable IR Reflective Coating Evaluation • Cutting and bending trials undertaken with PPG, Cardinal and our own (based on toughenable low e) coatings on rectangular blanks • PPG and Cardinal shows discoloration due sodium bicarbonate separating power used during bending. Use of Celite (silica) powder appears to overcome this. • Pilkington coatings suffer pinholing unless zinc/tin oxide is used in the coating stack (patent issues) • Trial now planned prior to August factory closure using silica powder on Selas 4, processing both PPG and Cardinal blanks • Study of PPG’s zinc/tin oxide patents being undertaken together with N.A. patent attorneys to try to identify any weakness, and to clarify Cardinal’s freedom to supply their proposed stack, which also contains zinc/tin oxide • Latest communication from Cardinal is less clear that they wish to supply commercially • rising US demand for LowE2 • concern about meeting pin hole specification after shipment over long distance

  31. Heated Coated Status • Preliminary bending tests of surface 2 printed T3000 windscreens, pre-fired on a toughening roller hearth, were successfully carried out on San Salvo Selas 4. • Tooling has been constructed to apply coating in line with the busbar on T3000 and first evaluation samples coated on G87, with printed busbar and obscuration band • Samples currently being laminated ready for heating tests • Further tooling being constructed for X74 and DC S Class windshields, to enable customer prototypes to be made • Modelling has shown that splitting the coating can overcome heating non-uniformity problems due to telepass windows, etc. • Laser techniques are being explored to provide the split. Lines down to 1 - 30 micron are possible (less than the eye can resolve). • Working initial prototype with surface 2 print and manual line deletion will be evaluated over the next three months • Much work remains to be done to check long term coating stability, based on Electriclear experience

  32. Balanced Scorecard

  33. RoNTA

  34. Return on Sales

  35. Overheads to Sales

  36. Laminated MMP

  37. Toughened MMP

  38. Laminated Yield

  39. Toughened Yield

  40. Laminated Cost M2

  41. Toughened Cost M2

  42. LTAR

  43. PPMs

  44. Absenteeism

  45. Restructuring Provisions

  46. Manufacturing Standardisation Goal • To identify and implement best known manufacturing processes and practice across all European sites in order to • Optimise our manufacturing performance • Present a Pilkington Standard to our customers

  47. Manufacturing Standardisation Benefits of Standardisation • Improved yield • Improved uptime • Improved quality (ppm) • A Pilkington Standard • A common vision • European support • €€€€€€€

  48. Manufacturing Standardisation Potential savings Eur 80M • by improving all plants to current best performance • does not include developments

  49. Standard Manning Manning Saving D Start point July 2001 Target (Start p. - Target) WS 795 715 656 139 BL 457 420 370 87 SL 523 517 468 55 Total 1775 1652 1494 281

  50. Control Issues/Audit Reports • Operational audit of PAESA completed - Result: Adequate but some action required • Operational audit of San Salvo to come later in the year

More Related