Slide 1: Investor Presentation: Results of the 1st Half 2017
Investor Presentation Results of the 1st Half 2017
Slide 2: Cembre at a Glance
Investor Presentation Cembre at a Glance Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools; The Group has grown its revenues by a CAGR of 5.4% in the last 16 years (2001-2016), from €56 mn in 2001 to €122.6 mn in 2016; It is a dividend-payer w
Slide 3: Contents
Investor Presentation Contents Management Team Business overview Results of the 1st Half 2017 1st Half 2017 guidance Stock data & shareholding structure Contact 3
Slide 4: Management team
Investor Presentation Management team Giovanni Rosani Chief Executive Officer (CEO) OUR MISSION Cembre cooperates with the users of its products to find the best technical Aldo Bottini Bongrani and economical solutions related to electrical connection applications. Sales and Marketing Director Claud
Slide 5: Group Structure
Investor Presentation Group Structure 480 S.p.A 100% 100% 100% 100% 100% Cembre Cembre Ltd. Cembre Sarl Cembre GmbH Cembre Inc. España SLU Great Britain France Germany USA Spain 100 27 41 23 25 Production and commercial units Commercial units Number of employees at June 30, 2017 5
Slide 6: Business Overview
Investor Presentation Business Overview Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools. Electrical Connectors Tools Railway Products Identification Cable Glands, Systems Accessories and other 6
Slide 7: Made in Brescia…
Investor Presentation Made in Brescia… Cembre, established in 1969, manufactures its products in its state-of- art production facility located in Brescia. The facility covers an area of 51,000 m2 on a total land area of 121,000 m2. 7
Slide 8: … and U.K.
Investor Presentation … and U.K. In addition, Cembre has a production facility in the UK which operates on a 8,800 m2 land. This plant in Birmingham manufactures mainly for the local market. The sales generated in the UK are 13% of the 1st Half 2017 consolidated turnover. Cembre Ltd. Factory in Curd
Slide 9: An Integrated Business Partner…
Investor Presentation An Integrated Business Partner… The Group employs 696 employees worldwide. R&D Production Marketing/Sales/Distribution Administration/Services 21 411 187 77 Cembre has extensive know-how Sharp focus on customer needs in its operating field, and its strong and the efficient inte
Slide 10: Very Strong in Europe…
Investor Presentation Very Strong in Europe… Cembre is present all over the Italian territory through a network of salesmen and representatives who are able to offer fast and constant technical assistance. Abroad, it operates through 4 subsidiaries in Europe (UK, France, Spain, Germany) and 1 in the
Slide 11: Present All Around the World…
Investor Presentation Present All Around the World… Cembre has a network of importers and agents who provide technical and commercial assistance and rapid delivery all around the world… 11
Slide 12: Revenues breakdown by Product Family
Investor Presentation Revenues* breakdown by Product Family (€ ‘000) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Electrical Tools Railway Products Cable Markers Cable Glands Terminal Blocks Others Total connectors *Customers’ bonuses not included 1st Half 24,277 12,604 13,013 12,050 5,397 1,427 1,42
Slide 13: Geographical Revenue Breakdown
Investor Presentation Geographical Revenue Breakdown Italy 1st Half 1st Half Δ 2017 2016 Sales 28.1 mn 25.4 mn 10.3% % in total 42.1% 40.6% 1.5 pp Europe (ex-IT) 1st Half 1st Half Δ 2017 2016 Sales 28.0 mn 26.2 mn 6.7% % in total 42.1% 41.9% 0.2 pp Rest of the World 1st Half 1st Half Δ 2017 2016 Sal
Slide 14: 16-Year Revenue Evolution
Investor Presentation 16-Year Revenue Evolution € Millions Economic Back to Growth 140 Crisis 121,4 122,6 120 112,9 103,0 103,9 104,5 100 93,4 94,3 93,9 84,1 80 76,0 70,0 65,1 59,9 60 56,0 56,9 40 20 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 14
Slide 15: A Wide Product-Mix
Investor Presentation A Wide Product-Mix In order to maintain its leading position and increase the penetration of market, Cembre had sensibly enlarged the range of products offered through: •Research activities mainly focused on the development of innovative products for the sectors with the highes
Slide 16: Electrical Connectors: 6.0% increase in Sales
Investor Presentation Electrical Connectors: 6.0% increase in Sales Electrical Connectors: 1st Half 2017 1st Half 2016 Δ Total Sales 24.3 € mn 22.9 € mn 6.0% Sales in Italy (% share) 12.2 € mn (17.4%) 11.1 € mn (17.1%) 10.3% Sales in Europe ex-IT (% share) 10.0 € mn (14.3%) 9.6 € mn (14.9%) 3.9% Sal
Slide 17: Tools: 6.9% increase in Sales
Investor Presentation Tools: 6.9% increase in Sales Tools: 1st Half 2017 1st Half 2016 Δ Total Sales 12.6 € mn 11.8 € mn 6.9% Sales in Italy (% share) 3.4 € mn (4.8%) 3.0 € mn (4.6%) 13.0% Sales in Europe ex-IT (% share) 5.1 € mn (7.3%) 4.7 € mn (7.2%) 8.9% Sales in RoW (% share) 4.1 € mn (5.9%) 4.1
Slide 18: Railway Products: 0.9% increase in Sales
Investor Presentation Railway Products: 0.9% increase in Sales Railway Products: 1st Half 2017 1st Half 2016 Δ Total Sales 13.0 € mn 12.9 € mn 0.9% Sales in Italy (% share) 1.1 € mn (1.5%) 0.8 € mn (1.3%) 31.0% Sales in Europe ex-IT (% share) 8.7 € mn (12.4%) 8.2 € mn (12.6%) 6.5% Sales in RoW (% sh
Slide 19: Cable Markers: 20.6% increase in Sales
Investor Presentation Cable Markers: 20.6% increase in Sales Cable Markers: 1st Half 2017 1st Half 2016 Δ Total Sales 12.1 € mn 10.0 € mn 20.6% Sales in Italy (% share) 7.6 € mn (10.8%) 6.4 € mn (9.9%) 18.7% Sales in Europe ex-IT (% share) 3.5 € mn (5.0%) 3.1 € mn (4.8%) 13.0% Sales in RoW (% share)
Slide 20: Cable Glands: 12.3% increase in Sales
Investor Presentation Cable Glands: 12.3% increase in Sales Cable Glands: 1st Half 2017 1st Half 2016 Δ Total Sales 5.4 € mn 4.8 € mn 12.3% Sales in Italy (% share) 4.6 € mn (6.5%) 4.0 € mn (6.2%) 14.3% Sales in Europe ex-IT (% share) 0.7 € mn (1.0%) 0.6 € mn (1.0%) 10.3% Sales in RoW (% share) 0.1
Slide 21: Consolidated Results of the 1st Half 2017
Investor Presentation Consolidated Results of the 1st Half 2017 Euro Millions 1st Half 1st Half Changes 1st Half 2017 2016 % 2015 Sales 66.6 62.7 6.2% 63.0 EBITDA 17.3 15.2 14.0% 15.3 In % of sales 26.0% 24.3% 24.2% EBIT 14.2 12.3 15.7% 12.5 In % of sales 21.4% 19.6% 19.8% EBT 14.2 12.2 16.6% 12.7 I
Slide 22: 1st Half 2017 Group’s Companies Turnover
Investor Presentation 1st Half 2017 Group’s Companies Turnover* Company 1st Half 1st Half Change 1st Half (Euro thousands) 2017 2016 % 2015 Cembre S.p.A. (Italy) 37,303 35,226 5.9% 34,732 Cembre Ltd. (UK) 8,883 9,313 -4.6% 9,979 Cembre S.a.r.l. (France) 5,025 4,836 3.9% 4,300 Cembre España S.L. (Spa
Slide 23: June 30, 2017 Consolidated Balance Sheet
Investor Presentation June 30, 2017 Consolidated Balance Sheet Euro Millions Jun. 30, 2017 Dec. 31, 2016 Jun. 30, 2016 a Net operating working capital 49.0 44.2 50.4 % of sales 36.8% 36.0% 40.2% b Net fixed assets 74.7 71.8 70.0 c Assets available for sales 0.4 - - d Severance indemnities 2.6 2.6 2.
Slide 24: Cembre’s Revenue and Profitability Trend (€ ‘000)
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 140.000 121.377 122.605 120.000 112.905 103.899 104.547 103.028 100.000 93.417 94.288 93.934 84.127 80.000 75.984 69.997 59.870 65.149 Revenues 56.003 56.946 60.000 40.000 20.000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 20
Slide 25: Cembre’s Revenue and Profitability Trend (€ ‘000)
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 28.000 50,0% 24.095 45,0% 24.000 22.836 40,0% 20.000 19.433 18.420 35,0% 17.379 17.291 15.941 16.221 16.456 15.838 30,0% 16.000 25,0% Ebit 12.000 11.023 10.581 20,0% 7.656 19,7% 18,8% 19,7% 6.932 18,9% 18,5% 15,0% 8.000 6.271 6.
Slide 26: Index analysis
Investor Presentation Index analysis ROI (EBIT/Investments ROACE (EBIT/Net Capital Employed) 25,00% 35,00% 29,45% 30,00% 19,67% 29,05% 20,00% 24,34% 19,06% 16,60% 16,57% 25,00% 15,11% 23,39% 21,49% 22,23% 21,23% 20,61% 15,00% 20,00% 14,15% 14,65% 15,09% 16,85% 17,12% 11,04% 13,75% 18,35% 12,80% 15,6
Slide 27: Investments trend
Investor Presentation Investments trend 18.000 16.000 14.000 12.000 10.000 8.000 6.000 4.000 2.000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Investments in tangible assets Investments in intangible assets Total investments € ‘000 2001 2002 2003 2004 2005 2006
Slide 28: 2017 and onwards…
Investor Presentation 2017 and onwards… Cembre focused on these targets: Increase of turnover thanks to: •A strengthening of Cembre competitive advantage by developing new products and continuous product range renewing by an intense R&D activity, •An higher penetration in the foreign markets, especi
Slide 29: 2017 and onwards…
Investor Presentation 2017 and onwards… •The construction of a new 4,800 m2 industrial building which is the new logistic center. This center include an automated warehouse with 16-metre-high shelves. The construction started in March 2012, and the new automatic warehouse is operative since January
Slide 30: Stock Data & Shareholding Structure
Investor Presentation Stock Data & Shareholding Structure Cembre Shareholders: Share: FTSE Italia Small Cap updated at September 29, 2017 LYSNE Spa 55.92% Sara Rosani 8.65% Giovanni Rosani 8.53% Anna Maria Onofri 0.71% Altri 26.19% Cembre has been listed since December 1997, and is a part of the Sta
Slide 31: Share price evolution
Presentazione agli analisti Share price evolution 30 Share price Share return 28 Total return 26 2001-2017 24 22 +16,8% 20 CAGR Share price (€) 18 16 14 Performance 12 2001-2017 10 8 +15,8% CAGR 6 4 2 Total Return is the average ‘Share return’ growth in the period 0 Performance is the average ‘Share
Slide 32: Contact
Contact Claudio Bornati: CFO and IR Via Serenissima 9, 25135 Brescia (BS) Italy Phone: ++39 030 36921 Email: claudio.bornati@cembre.com The manager responsible for preparing the Company’s financial reports, Claudio Bornati, declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law