Hoenle Ag · XETR:HNL

Hoenle — Dr. Hönle — Investor Day (January 2025)

59 slides from Hoenle's investor day presentation, Jan 16, 2025

  1. Slide 1: Capital Markets Day 2025

    Capital Markets Day 2025 Steinbach

  2. Slide 2: Agenda Capital Markets Day 2025-01-16

    Agenda Capital Markets Day 2025-01-16 Time Topic Responsible Role 11:00 – 11:35 Strategy & Business Outlook Dr. Markus Arendt CEO Dr. Hönle AG 11:35 – 12:00 Key Figures – Financials Robert Stark CFO Dr. Hönle AG 12:00 – 12:35 Business Unit Adhesive Systems – Dr. Tobias Kaposi Head of Business Develo

  3. Slide 3: Hönle: Market Leader in Industrial UV Technology

    Hönle: Market Leader in Industrial UV Technology Electronics 1 Company dh esive Systems A urable adhesi 2 Core Technologies VC ve - UV lamps and equipment U s - UV curable adhesives Automotive Medical 3 Business Units 6 Primary End Markets - Electronics UV io n - Automotive C ur n t ng La m m e - Me

  4. Slide 4: Hönle – The UV Technology and UV Process Experts

    Hönle – The UV Technology and UV Process Experts Our served 50 years of process markets are and technology accelerating know how - consumer electronics - UV lamps - automotive electronics - UV components - surface curing - UV systems - disinfection - UV curable adhesives - medical Business Units wit

  5. Slide 5: Hönle: The Leading Supplier of Industrial UV Technology

    Hönle: The Leading Supplier of Industrial UV Technology Sales by Business Unit 98.7 M€ Sales 2023/24 Disinfection ~ 600 Employees Adhesive Systems 26% 5.5 M€ 37% EBITDA adj. 2023/24 nearly50 Years of experience Curing ~ 40-45 M€ 37% Market capitalisation >20 Locations worldwide 5

  6. Slide 6: Global Presence Close to our Customers

    Global Presence Close to our Customers ▪ Hönle is active in > 20 countries ▪ Sales is realized thru own orga and local distributors ▪ Growth focus on Asia (China), in particular for adhesives ▪ Growth focus on North America, in particular for disinfection and Steinbach (D) Ilmenau (D) curing Paris (

  7. Slide 7: We are Positioned in Attractive Growth Markets

    We are Positioned in Attractive Growth Markets Market growth in current applications Additional addressable market Low Moderate High Very High growth through strategic initiatives Global Growth market Size outlook (in% Market Maturity/ Business Units (2023 in bn€) p.a. 2024-2030) positioning commodi

  8. Slide 8: Hönle can generate ~30-35M€ revenue by 2030 from market tailwinds

    Driven by market tailwinds alone, Hönle can generate ~30-35M€ revenue by 2030 With our strategic initiatives, Hönle can generate additional ~40-45M€ revenue by 2030 Sales uplift potential through market growth alone Sales uplift potential through strategic initiatives Key takeaways 175 Underlying ta

  9. Slide 9: BU Adhesive Systems: Transforming to Solution Provider

    BU Adhesive Systems: Transforming to Solution Provider ▪ Started proposing solutions with adhesive and corresponding UV curing system – first orders won ▪ Focus on consumer electronics, medical and automotive industry with promising projects in pipeline ▪ Strengthening of business activity in China

  10. Slide 10: BU Curing: Offer Curing Solutions for General Industry

    BU Curing: Offer Curing Solutions for General Industry ▪ Cost reduction measures executed ▪ Discontinuation of unprofitable business ▪ Establish one joint R&D organization from different sites ▪ New product offerings for LED-based UV curing solutions launched ▪ Launch of In-situ UV dosage measuremen

  11. Slide 11: BU Disinfection: From Component Manufacturer to Full Solution Provider

    BU Disinfection: From Component Manufacturer to Full Solution Provider for Every Disinfection Requirement ▪ Offering full range of log reduction for surface disinfection, including services for microbiological testing ▪ Already won several projects for surface disinfection in the food industry for a

  12. Slide 12: Focus on Growth Drivers, Operating Leverage and Capital Deployment

    Focus on Growth Drivers, Operating Leverage and Capital Deployment OPERATING CAPITAL GROWTH RESILIENCY ALLOCATION LEVERAGE • Industry growth drives • Committed to operational • Broad portfolio of • Strategic capital allocation to demand for Hönle’s excellence applications and industries support grow

  13. Slide 13: Operational Excellence: Seize the Opportunities, Keep Aware of Challenges

    Operational Excellence: Seize the Opportunities, Keep Aware of Challenges Changes in Key Positions Mindset change Outsourcing: started contracting control cabinet and LED assembly Trade conflicts Opportunities R&D focus on platform and modularization Energy costs / material shortages Working capital

  14. Slide 14: Proximity to Customers, Increased Value Offerings

    Proximity to Customers, Increased Value Offerings: Laying the Foundation for Future Growth Preparing for further growth 2023 2024 2025+ Germany Batavia, Avignon, Dresden, Hsinchu, Torrington, Frickingen, Gilching, Gilching, India United States France Germany Taiwan United States Germany (Germany) Pi

  15. Slide 15: Corporate Strategic Goal 2030: 175 M€ Revenue, 20-25% EBITDA margin

    Corporate Strategic Goal 2030: 175 M€ Revenue, 20-25% EBITDA margin 25m 37m EUR 37m EUR EUR 75m EUR 56m EUR 44m EUR Model assumptions: Model assumptions: Model assumptions: +100% Sales Opportunity +50% Sales Opportunity +75% Sales Opportunity >25% EBITDA Margin >12% EBITDA Margin >20% EBITDA Margin

  16. Slide 16: Key Messages

    Key Messages ▪ Hönle is active in attractive growth markets in which UV is replacing conventional solutions ▪ Our profound expertise in UV process and UV technology is the basis for all applications ▪ Customer focus with distinct USP’s in all Business Units ▪ BU Adhesive System: one-stop shop soluti

  17. Slide 17: Financials

    Financials Capital Markets Day January 16th, 2025

  18. Slide 18: Sales

    Sales Revenue Development by Business Years Revenue Development by Quarter in k€ 2,5% in k€ CAGR 26.977 26.529 26.672 126.529 25.827 26.172 115.170 109.333 24.323 23.937 Average Quarter Sales 23.590 18.287 98.729 93.876 3.828 15.887 207 6.825 108.242 105.505 99.283 98.522 87.051 2019/20 2020/21 2021

  19. Slide 19: Sales – Revenue by Region

    Sales Revenue by Region in m€ Europe 72m € America 9m € Asia 16m € ROW 2m € Heavy weight on Europe // USA market was underdeveloped in our sales strategy // Rising Opportunities in India and Asia 19

  20. Slide 20: KPI´s

    KPI´s EBITDA Adj. and EBITDA Adj. Margin Equity and Equity Ratio in k€ and % in k€ and % 30.000 20,00% 59% 18,00% 160.000 55% 55% 55% 60% 25.000 15,7% 15,6% 16,00% 51% 140.000 50% 12,8% 14,00% 20.000 12,3% 120.000 12,00% 40% 100.000 15.000 10,00% 80.000 30% 8,00% 10.000 5,6% 60.000 116.685 17.987 6,

  21. Slide 21: Capital Structure

    Capital Structure Net Financial Debt Free Cashflow in k€ in k€ 49.104 44.881 5.794 43.244 3.158 37.336 -9.098 -23.506 -23.367 6.894 2019/20 2020/21 2021/22 2022/23 2023/24 2019/20 2020/21 2021/22 2022/23 2023/24 NFD FCF ▪ NFD increased due to investment in company buildings ▪ Positive Free Cashflow

  22. Slide 22: Business Units

    Business Units Curing Adhesive Systems Disinfection in k€ in k€ in k€ 25.000- 42.845 25.035 24.892 38.461 35.000- 28.000 36.736 35.000- 37.101 38.000 39.000 2022/23 2023/24 2024/25 2022/23 2023/24 2024/25 2022/23 2023/24 2024/25 Revenue Revenue Revenue 2.000 1.827 10,0% 10.000 16,0% 1.500 8,0% 10.00

  23. Slide 23: BU Curing – Cost Savings Program

    BU Curing – Cost Savings Program - Headcount adjustments done HR - Mid term savings of 1,2m - Material Cost savings due to modular design and carry-over parts COGS - Process improvements in Purchasing / Strategic Purchasing General - Recruiting, Legal costs Cost - Focus on cost controlling - Product

  24. Slide 24: Guidance 2024/25

    Guidance 2024/25 01 Revenue between EUR 95 million and EUR 105 million for the 2024/2025 financial year 02 EBITDA over previous result of EUR 5.5 million for the 2024/2025 financial year Long term growth model assumption 2029/30 03 Revenue: 175m EUR EBITDA: 20% - 25% 24

  25. Slide 25: ESG Roadmap

    ESG Roadmap •10/2024: ISS ESG Rating improved from D -> D+ •Sustainability Reporting •Code of Conduct •10/2024: ESG Team (internal) defined •12/2024: ESG Consulting Support selected •05/2025: finishing double materiality analysis •07/2025: Definition of ESG Strategy and Targets •09/2025: Communicati

  26. Slide 26: Stay Tuned

    Stay Tuned • Jan 30th Annual Report 2023/24 • Feb 25th Q1 Reporting 2024/25 • Mar 25th General Shareholder Meeting • May 28th Half year Report • Aug 7th Q3 Reporting 2024/25 26

  27. Slide 27: BU Adhesive Systems

    Capital Markets Day 2025 BU Adhesive Systems

  28. Slide 28: BU Adhesive Systems Products and USPs

    BU Adhesive Systems Products and USPs Vitralit® UV-curing adhesives Structalit® Black & Mech. 1 part and 2 part adhesives Light Flexibility Turnkey Elecolit® Electrically and/or thermally solutions conductive adhesives Flexibility and speed UV Curing Systems LED Spot, Flood Lamps and LED Linear Arra

  29. Slide 29: Market Development Opportunities in Key Focus Areas

    Market Development Opportunities in Key Focus Areas  Focus on China/EU/USA Automotive  Interior sensor applications and Electronics new sealing adhesives  Focus on Asia/USA Consumer  Technological leadership in Electronics Electronics select bonding applications through strategic initiatives  F

  30. Slide 30: Market Development Opportunities in Key Focus Areas

    Market Development Opportunities in Key Focus Areas  Focus on China/India  Diversify to wearable applications Medical  Focus on ESG conformity Medical & Optics  Focus on Asia/EU  Technological leadership in select applications and devices Optics 30 BU ADHESIVE SYSTEMS

  31. Slide 31: Key Applications in Automotive Electronics

    Key Applications in Automotive Electronics MECHANICAL FLEXIBILITY AS A KEY PROPERTY  E-Mobility / Battery  Magnet bonding  Cell contacting, corrosion protection  Cure-in-place-gaskets (CIPG)  Sensors  Rain, humidity, distance, pressure, …  SMD applications  Underfill, corner bonding, connect

  32. Slide 32: Key Applications in Consumer Electronics

    Key Applications in Consumer Electronics STRATEGIC INITIATIVES FOR FUTURE USPS  Underfill  Reworkability  Tailored flow behavior  Future requirements > strategic initiatives  Black casting/moulding  Black & Light technology for process USPs  Further SMD applications  Corner bonding, conforma

  33. Slide 33: Key Applications in Flexible Electronics

    Key Applications in Flexible Electronics DIVERSIFY SOLUTIONS TO OTHER APPLICATIONS  Organic / Perovskite Photovoltaics  Barrier foil lamination  Cell contacting  Flexible battery / supercapacitor  Flexible display  Synergies with other areas and applications  Fuel cell  Optics 33

  34. Slide 34: Key Applications in Medical

    Key Applications in Medical DIVERSIFY SOLUTIONS TO OTHER APPLICATIONS  Medical wearables  Diabetes sensors  Novel portable theranostics  Consumables  Tracheostomy  Catheter  High performance plastics bonding  Focus on rapidly shifting ESG landscape 34

  35. Slide 35: Key Applications in Optics

    Key Applications in Optics EXPAND TECHNICAL SCOPE AND PORTFOLIO  Replication of optical elements  Biosensing  Structured light (dot projector, diffusor, …)  Optical assembly  Lens bonding  Active alignment  Target markets  Automotive sensing, consumer electronics  Overlap with strategic ini

  36. Slide 36: Organizational Change Management

    Organizational Change Management • New sales-experienced BU Head incoming Customer • Bay Area and China sales teams significantly stronger & Market • Business Development Management & Product Management established • Focus Areas and Strategic Initiatives established Technology • Key investments in a

  37. Slide 37: Overview: Growth Drivers and 2030 Strategic Target

    Overview: Growth Drivers and 2030 Strategic Target 75 Key Growth Drivers Growth Driver #1: Innovation • Develop innovative USP products • Disproportionate growth in select applications and key customers Growth Driver #2: Focus Areas • Increase market penetration and brand awareness • Stay close to c

  38. Slide 38: Strategy Roadmap

    Strategy Roadmap Strengthen support structure and increase sales focus in Asia / China and USA Achieve technological leadership and push innovations through key strategic initiatives and focused development Continue change management process to improve customer-centered value generation framework ac

  39. Slide 39: BU Curing

    Capital Markets Day 2025 BU Curing

  40. Slide 40: BU Curing: Products, Applications and USPs

    BU Curing: Products, Applications and USPs Systems for • UV Curing • LED-UV Curing Leading UV LCS 24/7 • IR Drying Equipment global • Thermal Drying manufacturer Entire Spectrum of Curing Complete range of manufacturing 40 BU CURING

  41. Slide 41: BU Curing: Products, Applications and USPs

    BU Curing: Products, Applications and USPs 41 BU CURING

  42. Slide 42: Market Development Opportunities in Key Focus Areas

    Market Development Opportunities in Key Focus Areas Labels Packaging 2D/3D Technical films/PSA/Siliconisation 42 BU CURING

  43. Slide 43: Overview: Growth Drivers and 2030 Strategic Target

    Overview: Growth Drivers and 2030 Strategic Target Key Growth Drivers 56 Growth Driver #1: Focus ! • Labels • Packaging • 2D / 3D Coating & Converting • Technical Films/PSA/Siliconisation Growth Driver #2: Customer driven Application Engineering Teams & Labs Growth Driver #3: Regain Technology Leade

  44. Slide 44: Market Development Opportunities: Label

    Market Development Opportunities in Key Focus Areas Label ❑ Market Drivers: no single driver, every product has a label, multi-industry, growing demand (population) ❑ CAGR 5-7% ❑ Strategy: win new customers via intensive Sales Focus complemented by new HÖNLE development ❑ Benefit: € 3 Mio incrementa

  45. Slide 45: Market Development Opportunities: Packaging

    Market Development Opportunities in Key Focus Areas Packaging ❑ Market Drivers: Packaging is a growth area for Koenig & Bauer, Durst, Heidelberg, RMGT, KOMORI and manroland as global packaging demand is growing ❑ CAGR 5-7% ❑ Strategy: win new customers with new Digital Printing LED Product Line ❑ Be

  46. Slide 46: Market Development Opportunities: 2D/3D

    Market Development Opportunities in Key Focus Areas 2D/3D ❑ Market Drivers: ESG / Sustainability and more durable construction materials (flooring etc.) also driven by growing global population in a large variety of industries ❑ CAGR 4-6 % ❑ Strategy: win new customers with new Digital Printing LED

  47. Slide 47: Market Development Opportunities: Technical films/PSA/Siliconisation

    Market Development Opportunities in Key Focus Areas Technical films/PSA/Siliconisation ❑ Market Drivers: Wide industry range of applications, away from water / solvent based adhesives ❑ CAGR 3% ❑ Strategy: Strong BD, Cooperation with Raw Chemical Providers ❑ Benefit: € 2.5 Mio incremental revenue by

  48. Slide 48: Strategy Roadmap

    Strategy Roadmap One main product series upgrades in 2025 to enhance market demands (UV-LED technology) -> Regain technical leadership New unique measuring technology Increase sales activities worldwide espacially in China and Northern America Increase Lifecycle Solutions 48 BU CURING

  49. Slide 49: BU Disinfection

    Capital Markets Day 2025 BU Disinfection

  50. Slide 50: Products, Applications & USPs

    Products, Applications & USPs UV SYSTEMS • Sterilsystems UV low pressure devices • UVATECH UV medium pressure devices • Sterixene Pulsed UV devices UV COMPONENTS Leading UV Unique LOG • UV measuring devices Equipment reduction • Electronic power supplies manu- up to facturer Advanced 99,99999% • UV

  51. Slide 51: Full Solution Provider for Every Disinfection Requirement

    Full Solution Privider for eyery Disinfection Requirement PULSED UV MEDIUM PRESSURE Log 4 - 7 Log 3 - 4 LED LOW PRESSURE Log 1 - 3 51 BU DISINFECTION

  52. Slide 52: Full Solution Provider for Every Disinfection Requirement

    Full Solution Privider for every Disinfection Requirement • Auditing of the UV light source using patented bioindicators • Project support with the help of professional feasibility studies 52 BU DISINFECTION

  53. Slide 53: Market Development Opportunities in Key Focus Areas

    Market Development Opportunities in Key Focus Areas • Main markets India, China PHARMA and USA • Special UV applications for Photochemistry e.g. Active Pharmaceutical Ingredients • Focus: Food & Beverage − UV LED GROWTH • Focus: Semiconductor − UV Medium Pressure Industry UVATECH − Special component

  54. Slide 54: Overview: Growth Drivers and 2030 Strategic Target

    Overview: Growth Drivers and 2030 Strategic Target 44 Key Growth Drivers Growth Driver #1: UPW Growth Driver #2: F&B Industry Growth Driver #3: Pharma Others: • General Water Disinfection • Air Disinfection • Analysis & Lab equipment • Aquaculture 10% CAGR and +19 M€ growth in 6 years (2024-2030) 54

  55. Slide 55: Market Development Opportunities – Ultrapure Water

    Market Development Opportunities in Key Focus Areas – Ultrapure Water ESTIMATED MARKET SIZE New Semiconductor Fabs Starting Operations • In 2023: 8.8 billion USD (Includes all stations of UPW 50 purification) • In 2030: 20.2 billion USD 40 • The UV systems are a comparatively small but important 42

  56. Slide 56: Market Development Opportunities – Pharma

    Market Development Opportunities in Key Focus Areas – Pharma ESTIMATED MARKET SIZE • Active Pharmaceutical Ingredients (API) Market In 2024: 225.01 billion USD • API CAGR 5.85% from 2025 to 2030 MARKET DRIVERS • Growing global demand for pharmaceutical drugs • Increase of chronic diseases • Rising d

  57. Slide 57: Market Development Opportunities – Surface

    Market Development Opportunities in Key Focus Areas – Surface ESTIMATED MARKET SIZE • Market size for UV Disinfection devices in 2023: 4.5 billion USD • CAGR for UV devices 12% up to 2029 MARKET DRIVERS • CAGR for F&B industry 6% − increased health awareness, − technological development boost opport

  58. Slide 58: Milestones 2025

    Strategy Roadmap: Milestones 2024/2025 Milestones 2025 Three main product series upgrades started in 2024 to enhance market demands New product development to become UV technology pioneer Five new product developments started in 2024, launching in 2025/2026 Stronger focus on Northern America/ India

  59. Slide 59: Thank you!

    Thank you! BU DISINFECTION

Dr. Hönle — Investor Day (January 2025) on 6ix