Fiera Milano Spa · MIL:FM
Fiera Milano Spa — Banca IMI - 2019 Italian Stock Market Opportunities Conference
29 slides from Fiera Milano Spa's conference presentation, Oct 2, 2019
Slide 1: Fiera Milano Group
Fiera Milano Group Banca IMI - 2019 Italian Stock Market Opportunities Conference Milan, 2 October 2019
Slide 2: Index
Index 1.0 Group overview 2.0 Strategic Plan 2018–2022 3.0 Financial overview 4.0 Closing remarks
Slide 3: Group overview
1.0 Group overview Fiera Milano is the market leader in Italy and one of the world’s leading operators across the entire value chain of the exhibition industry
Slide 4: An integrated business model
1.1 An integrated business model Italian Exhibitions Stand fitting services Fiera Milano organises proprietary exhibitions Concept design & engineering, exhibitions providing exhibition space and services directly & booths, including shell scheme area, lounges, to exhibitors; it also uses exhibition
Slide 5: Fiera Milano highlights
1.2 Fiera Milano highlights 399,000 sqm 1,972,175 sqm 79 35,615 Gross Exhibition Net Exhibition Exhibitions Exhibitors Capacity Space Occupied of which 27 of which 7,750 of which 466,795 sqm abroad abroad 345,000 sqm fieramilano 54,000 sqm fieramilanocity abroad 169 360,000 sqm 10 (570,000 copies) 1
Slide 6: Key milestones of Fiera Milano Group to date
1.3 Key milestones of Fiera Milano Group to date Foundation Spin-off & Listing Internationalization Strategic Plan Eight entrepreneurs Ente Autonomo Fiera di Milano Fiera Milano expands in Fiera Milano presents the organise the first spins off Fiera Milano SpA international markets, 2018-2022 Strate
Slide 7: Strong position worldwide
1.4 Strong position worldwide The number one exhibition entity in Italy and one of the main exhibition entities worldwide in terms of gross indoor exhibition space
Slide 8: Strong position worldwide
1.4 Strong position worldwide Top exhibition sites worldwide* Top exhibition (‘000 sqm) companies in Italy * (‘000 sqm) NECC Shanghai 400 Fiera Milano (Rho and Milan sites) 399 Messe Frankfurt 394 Bolognafiere 200 Hannover Messe 392 Fiera Milano (Rho site) 345 IEG (Rimini and Vicenza sites) ** 189 G
Slide 9: Italian exhibitions portfolio: main events
1.5 Italian exhibitions portfolio: main events Exhibition Industry Frequency Sq. Meters Number of exhibitors Salone del Mobile / Euroluce / Furniture and furnishing Annual/Biennial 216,705 1,410 Workplace 3.0 HOST Horeca Biennial 137,005 2,060 Processing and packaging The Innovation Alliance machine
Slide 10: Exhibition portfolio
1.6 Exhibition portfolio Industrial machinery Tourism - Sport - Leisure 14.1% 8.0% A well diversified Homeware and gifts PORTFOLIO OF EXHIBITIONS, 7.2% almost entirely B2B Art and crafted products 3.6% The Group is strong in Commerce - Services Furniture and furnishing DYNAMIC MARKETS (with sound 9.
Slide 11: Shareholder structure
1.7 Shareholder structure Camera di Commercio Metropolitana di Milano-Monza-Brianza-Lodi 6.5% Treasury shares Ente Autonomo Fiera 1.3% Internazionale di Milano 63.8% Fondazione Fiera Milano is a non-profit Market Float private law foundation, whose corporate 28.4% mission is the development of the e
Slide 12: Long Term Visibility and Favourable Payment Cycle
1.8 Long Term Visibility and Advance payments Favourable Payment Cycle minus FM fees* High visibility on revenues due to long-term contracts with organisers FM SpA Organisers Main financial clauses in the contractual agreements with organisers: • standard contract guarantee (minimum guaranteed) Comm
Slide 13: A big impact in the Italian economy
1.9 A big impact in the Italian economy of which in Lombardy € 8.1 billion € 4.3 billion Total impact of Fiera Milano Effect generated by Fiera Contribution to public budget: Milano: € 6.6 billion € 1.5 billion This is the effect associated to suppliers, This is direct, indirect and induced contribu
Slide 14: Strategic Plan 2018–2022
2.0 Strategic Plan 2018–2022
Slide 15: Global exhibition market 2013-2022
2.1 Global exhibition market 2013-2022 Exhibition market expected to grow at 5% CAGR $b CAGR CAGR 34 13-17 17-22 32 30 Strong 28 29 26 acceleration 24 25 3.9% 3.2% 24 23 expected in 16 US Emerging 16 15 15 14 14 12 13 13 1.9% 3.4% 12 7 Europe 6 6 6 6 6 6 6 6 5 11 Emerging* 3.8% 9.7% 10 6 6 6 6 7 7 8
Slide 16: Three emerging macro-trends in the exhibition market
2.2 Three emerging macro-trends in the exhibition market Leadership in industry Increased use of digital Growing share of business sector at regional level products to complete for key players from events is a key success factor exhibition offer outside domestic market • Exhibitors and visitors incr
Slide 17: Three principles inspired definition of Strategic Plan
2.3 Three principles inspired definition of Strategic Plan Maximize Invest on core Build on venue potential industry sectors human capital
Slide 18: Fiera Milano Group strategy
2.4 Fiera Milano Group strategy Enrich portfolio of hosted Grow portfolio of leading exhibitions & congresses owned exhibition • Attract new leading/high potential exhibitions • Foster Host & Tuttofood • Support organizers to expand their exhibitions • Strengthen HOMI • Optimize saturation with new
Slide 19: Key ambition enabler
2.5 Key ambition enabler ~€100m investment plan by the controlling shareholder FONDAZIONE FIERA MILANO to enhance the venue Safe & Smart Distric Operational Excellence • Highest safety standards • Maximum accessibility for suppliers, • Data-rich venue exhibitors & visitors Environmental Sustainabili
Slide 20: Strategic Plan will evolve in line with FMG seasonality
2.6 Strategic Plan will evolve in line with FMG seasonality FMG Historical EBITDA [€m] FMG Plan EBITDA [€m] EMO + all group biennial + Innovation alliance EMO + Expo + all group biennial Upgrade: 60-70 Actual: 48-52** 31.9 All group biennial 31-33 Innovation 35 alliance 17-21 17 13-17 15 3 (2) (2) 2
Slide 21: Achievements
2.7 Achievements New guidance and organization Improved economic and financial Guiding Principles performance • One group Profit: 0.7% to 7.5% (‘17 vs. ‘18) • People engagement Recurring costs addressed: +5pp profitability • Execution exellence through efficiencies (‘18 vs. ‘17) • Market focus Net c
Slide 22: Financial overview
3.0 Financial overview
Slide 23: Income statement
3.1 Income statement FY18 Consolidated Income Statement (€m) 1H19 1H18 247.2 Revenues 153.9 157.7 2.4 Cost of materials 1.4 1.5 114.1 Cost of services 66.6 64.7 50.3 Costs for use of 3rd-party assets 0.3 25.5 47.0 Personnel expenses 24.2 23.2 4.5 Other operating expenses 2.5 2.4 218.4 Total operatin
Slide 24: Statement of financial position
3.2 Statement of financial position Consolidated Statement of Financial Position (€m) 30/06/19 31/12/18 Non-current assets 636.9 148.4 Net working capital (91.5) (73.1) Gross capital employed 545.3 75.3 Non-current liabilities 17.2 16.9 Total net capital employed 528.2 58.4 Equity 96.9 82.1 Net fina
Slide 25: IFRS 16 impact
3.3 IFRS 16 impact • As of 1 January 2019, the new IFRS 16 Leases accounting standard eliminates the distinction between operating leases and finance leases for a lessee • As allowed by the standard, the comparative periods have not been restated (modified retrospective approach) IMPACT ON INCOME ST
Slide 26: Closing remarks
4.0 Closing remarks
Slide 27: Closing remarks
4.1 Closing remarks We have a strong leadership trust We will not be caged by our venue • We have a clear definition of • We’ll seek most promising opportunities the ingredients for our success where they are We are ahead in the execution We take our social of our strategic plan responsibility serio
Slide 28: Forward-looking statement
Forward-looking statement This document has been prepared by Fiera Milano SpA solely the forward-looking events discussed in this document might for information purposes and for use in presentations of the not occur and no assurance can be given that the anticipated Group. The information contained
Slide 29: For further information, please contact Investor Relations Department
For further information, please contact Investor Relations Department Tel +39 02.4997.7816/7911 email: investor.relations@fieramilano.it Fiera Milano SpA S.S. del Sempione 28 20017 Rho (Milano) - Italia www.fieramilano.it
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