Industrial Electro-Electronic Equipment. Mr. Siegfried Kreutzfeld
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1 Industrial Electro-Electronic Equipment Mr. Siegfried Kreutzfeld
2 Business Area 2017 Net Operating Revenues Breakdown Domestic Market 18% External Markets 37% Industrial Electric Motor and Automation 2
3 Industrial Electric Motors
4 WEG Motors At a glance Manufacturing in 8 countries 3 continents The most representative business in the group Leader in Brazilian market of electric motors Employees Motors produced per day 50% of sales from high efficiency electric motors in 2017 Distributors and Resellers TOP Largest manufacturing site for LV electric motors in the World 4 of motors sales outside Brazil Largest global electric motors manufacturer
5 Products Complete range of products to address all markets segments Low voltage industrial motors High voltage industrial motors Gearboxes 5
6 Global Footprint WEG manufacturing have been strategically structured close to customer. Germany 2 manufacturing Austria 1 manufacturing USA 1 manufacturing Mexico 2 manufacturing Portugal 2 manufacturing China 3 manufacturing Argentina 1 manufacturing Brazil 6 manufacturing 6
7 Global Supply Strategy Industrial motors W22, W40, W50, HGF and special motors Germany WAK Special Motors IEC Mexico NEMA Motors China W20, W40 IEC Motors W21 IEC Motors Brazil IEC & NEMA Motors 7
8 Global Supply Strategy Explosion proof motors Portugal W22X HV/LV IEC Brazil W22X LV IEC & NEMA 8
9 Global Supply Strategy Aluminum motors China Aluminum IEC Motors Brazil IEC & NEMA Aluminum Motors 9
10 Global Supply Strategy Rolled steel motors Mexico NEMA Motors 10
11 Global Supply Strategy Geared motors and gear boxes Austria IEC Gearbox Brazil IEC Gearbox 11
12 WEG s Market Share Low voltage electric motors LV Motors: 13% LV Motors: 9% LV Motors: 2% LV Motors: 14% LV Motors: 80% Source: IHS - Low Voltage Motors Report,
13 Investments We ve built a global production platform - Portugal 13
14 Investments We ve built a global production platform - China 14
15 Investments We ve built a global production platform - Mexico 15 * Estimated total. Currently working in foundry and machining structures. Will be completed by April 2019.
16 Investments We ve built a global production platform Mexico: Foundry Restaurante Inj. Alumínio Julho
17 New products portfolio WEG motor scan Motor monitoring solution Overall Vibration Available Surface Temperature ( C or F) Operating Hours (h) Maintenance Advice Battery Indicator 17 WEG Benefits Ready for Industry 4.0; New Business Add value to product (OEM s) Product and application knowledge improvement Coming Soon Cooling Condition Bearing Condition Speed (rpm) Airgap Eccentricity Rotor Winding Health Energy Consumption (kwh) Load / Efficiency (%) DOL Intermittent or VFD
18 New products portfolio Smart motor Integrated variable speed solution Features Optimum integration with Motor Enhanced power density with special drive heatsink design Interchangeability Integrated HMI Benefits Ready for Industry 4.0 New Business Add value to product (OEM s) Product and application knowledge improvement 18
19 New products portfolio ECM - electronic commutated motor The simple and efficient solution for air movement applications requiring speed variation Features Permanent Magnet Comply with the latest versions of standards and regulations Total efficiency (drive + motor) IE5 Benefits High performance solution Simplicity: The best cost-benefit solution to replace permanent slip capacitor motors (PSC); Optimized design: Low cogging torque and low torque ripple; Multi-mounting solution: Steel frame: rods, belly-band, foot, flange, resilient base Aluminum frame: foot, pads, rods, flange 19
20 Industry 4.0 Compatibility Investments Motor Concept W23 Motors Concept / Industry 4.0 IEC 225 to 355 Fully sensored motor Real time motor data transmission Automated control 20 IEC 63 to 132 Integrated Solutions Optimized Manufacturing IEC 160 to 200 Application optimized solution More value to the customer MRP Integration PLM synergy with VC / EASY / Application Programs
21 Competitive Advantage Vertical integration allows production flexibility to supply small batches of customized products that are matched to perfection to our customer s needs Steel Stamping Foundry and Aluminum casting Wire Manufacturing Machining Paints & Varnishes Parts Manufacturing Units Assembling Units Complete Product Line 21 We do mass customization, not mass production
22 Key Messages Electric Motors Continue investing in capability to improve our main strength: to be vertical integrated and flexible in customization Investment cycle in the main Industrial Parks almost completed with new opportunities of expansion already planned Continue developing technology and new products Growth opportunities coming from recovery of main markets and Brazilian economy 22
23 Automation
24 WEG Automation At a glance Employees Exports to Manufacturing in 9 countries 4 continents Largest Manufacturer and leader in Brazilian market of frequency inverters and softstarters Leader in supply of electric centers in Brazil countries 24 Largest Manufacturer of electric panels in Latin America Automation Systems for various segments Patents Technical assistance Distributors and Resellers Largest Brazilian Manufacturer of control systems, switchgear and low voltage protection
25 Products Complete range of products to address all markets segments WEG AUTOMATION PANEL SHOPS 25
26 Global Footprint WEG manufacturing have been structured to supply according to the current market demand Spain 1 manufacturing USA 1 manufacturing Mexico 1 manufacturing Portugal 1 manufacturing China 1 manufacturing Colombia 1 manufacturing Argentina 1 manufacturing Brazil 3 manufacturing South Africa 2 manufacturing 26
27 Investments New Products Portfolio Controls Drives Controls / sensors Drives PLCs / connectivity Software / services Data visualization App Software solutions for applications Internet State of the art; Higher productivity; More competitiveness; Incorporation of connectivity blocks to publish data on the internet.
28 Investments New Business and Markets Development ELECTRIC MOBILITY BUILDING & INFRASTRUCTURE 28 e-delivery VW/MAN Hospital in Juiz de Fora city, state of Minas Gerais/Brazil
29 Electric Mobility We have products and technology to address the growing demand for electric mobility Powertrain for several applications Trucks Bus Special light vehicles Marine Complete solution including the entire ship management and monitoring system IND300 CVW300 29
30 Investments We ve investing in industrial plant automation and process optimization aiming to increase the competitiveness of our products 30
31 Key Messages Automation International expansion aiming to address specifics customers needs with manufacturing in 9 countries Investment in China to be more competitive to address in the first step the Asia-Pacific drives market Updated in terms of products portfolio and technology to compete worldwide Constant growth in domestic market through gain in market share and new products launch 31
WEG Day Agenda. Speakers. 8:00 am Registration and Breakfast. 8:40 am Opening Remarks. 8:50 am Electro-Electronic Equipment Update
Disclaimer Any forward-looking statements that may be made about future events, at business perspective, at operational and financial projections and goals, and the growth potential of WEG in the future,
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