Barco Nv · EURONEXT:BAR
Barco Nv — FY2017 Earnings Presentation
20 slides from Barco Nv's earnings presentation, Feb 8, 2018
Slide 1: Results 2017
RESULTS 2017 +20% EBITDA growth on flat sales reflecting tangible progress on ‘focus to perform’ initiatives Jan De Witte, CEO & Ann Desender, CFO 8 February 2018
Slide 2: Executive Summary | 2017 Results
EXECUTIVE SUMMARY | 2017 RESULTS +20% EBITDA growth Strong margin improvement accross divisions, driven by strong gross margin accretion and controlled spending Topline in line with 2016 Healthy growth in Enterprise & Healthcare offsetting softness in Entertainment (Cinema) Reflecting tangible progr
Slide 3: Results 2017 Focused to Perform
RESULTS 2017 FOCUSED TO PERFORM
Slide 4: Financial Highlights 2017
FINANCIAL HIGHLIGHTS 2017 EBITDA margin expansion on a flat topline, net earnings reflects focus decisions Orders , keeping order book in line with last year Sales (excl impact Lighting) flat vs last year ◦ ↑ 1% in constant currencies (CNY↓) Profitability with lowered dependency on topline
Slide 5: Financials per Semester
FINANCIALS PER SEMESTER Stepped up EBITDA-performance in 2H 2H reported sales slightly down yoy (in millions of euro) First Half Second Half Full Year ◦ +3.1% growth in constant currency & excl Lighting 2017 Δ 2016 2017 Δ 2016 2017 Δ 2016 Orders 561.9 5.4% 543.3 -0.9% 1,105.2 2.2% 2H gross profi
Slide 6: Orders & Sales
ORDERS & SALES Solid Americas and EMEA momentum balanced expected China Cinema slowdown and FX AMERICAS EMEA ASIA PACIFIC 2017 (Sales) 36% 32% 32% Change vs 2016 Sales (-1.6%) ~ -1% -3% Change vs 2016 Orders (+2.2%) +8% +1% -2% : Cinema bottoming out and impact of : driven by Cinema : antic
Slide 7: Balanced Execution Delivering Solid Profit Growth
BALANCED EXECUTION DELIVERING SOLID PROFIT GROWTH Profitability up € +19m, lowered dependency on topline growth Growth Currency Sales Gross profit initiatives R&D S&M G&A Other 3.4 3.7 107.1 3.0 1.5 3.5 88.0 31.9 8.4 9.9% of 8.0% 3.4 sales of sales mainly Gross Profits OPEX € -2.6m CNY € +28.5m EBIT
Slide 8: Net Income
NET INCOME ‘Focus to perform’ decisions impacting reported net income Improved operating results: EBITDA margin @ 9.9% (in millions of euro) 2017 2016 Δ 2016 (+ 1.9ppts) EBITDA 107.1 88.0 19.1 % Sales Change (ppts) 9.9% 8.0% 1.9 D&A higher driven by depreciations on OneCampus & OnePlatform & amo
Slide 9: Cash Flow & Balance Sheet
CASH FLOW & BALANCE SHEET Continued ROCE improvement & healthy balance sheet ROCE @ 19%, ↑ 4ppts vs last year Free cash flow of € 40.0m ◦ Continued solid gross operating cash flow ◦ 2H cash flow of € 73.5m, mainly driven by specific actions on accounts receivable Net working capital staying st
Slide 10: Divisional Update Focused to Perform
DIVISIONAL UPDATE FOCUSED TO PERFORM
Slide 11: Entertainment
ENTERTAINMENT Results YE17 Cinema in transition as anticipated ◦ China but still solid ; US ; other regions such as APAC (non China), LATAM Market ◦ Market converting to laser based technologies ◦ Replacement programs expected to come as of late 2018 and 19 as well as upgrades to premium cine
Slide 12: Enterprise
(in millions of euro) Full Year 2017 Δ 2016 ENTERPRISE Orders 323.9 11.6% Results YE17 Sales 308.2 6.4% EBITDA 40.7 % Sales Change (ppts) 13.2% 1.8 Wireless presentation opportunity window remains open across all regions; competitive landscape getting more populated Consolidation ongoing in the
Slide 13: Healthcare
HEALTHCARE Results YE17 Diagnostics and Surgical across all regions, for modality … North America - mixed trends - pressure on large integrators while new players coming in ... trends in China. Barco remains small player, Market key to develop local capabilities Consolidation ongoing and
Slide 14: Executive Focus & Outlook
DIVIDEND FOCUSED EXEC FOCUS & OUTLOOK TO PERFORM
Slide 15: Dividend 2017
DIVIDEND 2017 “It remains Barco’s objective to generate consistent dividend growth for its shareholders. The Board of Directors will therefore propose to the General Assembly to increase the dividend from 1.90 euro to 2.10 euro per share to be paid out in 2018.” 15
Slide 16: Executive Focus 2018
EXECUTIVE FOCUS 2018 Say.Do. Continue building execution culture while driving core business growth FOCUS ON INNOVATION EFFECTIVENESS, TECHNOLOGY AND NEW CAPABILITIES Continue leadership level investments on foundational technologies Pilot digital business platform in selected software propositi
Slide 17: Outlook
OUTLOOK “While our performance in 2017 demonstrates that we are moving in the right direction, we are not finished improving our profitability and execution efficiency. Therefore, in 2018, we remain focused on advancing our strategic initiatives in order to deliver another year of EBITDA growth.” Qu
Slide 18: Q&A
Q&A 18
Slide 19: Thank You
THANK YOU 19
Slide 20: | youtube.com/BarcoTV | linkedin.com/company/Barco | twitter.com/Barco
| youtube.com/BarcoTV | linkedin.com/company/Barco | twitter.com/Barco | facebook.com/Barco 20