Tesmec S.p.a. · MIL:TES
Tesmec — Le Eccellenze del Made in Italy Conference 2023
35 slides from Tesmec's conference presentation, Sep 26, 2023
Slide 1: Le Eccellenze del Made in Italy Conference
Integrated Solutions Provider LE ECCELLENZE DEL MADE IN ITALY CONFERENCE September 26-27th , 2023
Slide 2: Index
Index 0. Tesmec Group at a glance 1. 2023.H1 Business highlights & Results 2. Outlook
Slide 3: Tesmec Group at a glance
TESMEC Tesmec Group at a glance
Slide 4: Integrated Solutions Provider for Energy and Data transport
Integrated Solutions Provider for Energy and Data transport PURPOSE Consolidate the position as a solution provider in the reference markets driven by the trends of energy transition, digitalization, and sustainability. Vision Mission Value proposition Strategy To be a technological To operate in th
Slide 5: Tesmec Group at a glance
Tesmec Group at a glance ENERGY - STRINGING RAILWAY +70 +1000 10 YEARS PEOPLE MANUFACTURING of experience PLANTS ▪ Solutions for power lines ▪ Catenary lines construction & construction & maintenance maintenance ▪ Advanced methodologies for ▪ Diagnostic vehicles and systems automating jobsite ▪ Inte
Slide 6: Factories
Factories Tesmec SPA Tesmec Automation Tesmec USA Tesmec Rail Grassobbio Fidenza Alvarado (USA) Monopoli Tesmec SPA Tesmec Automation Marais Tesmec Rail Endine Padova Durtal (FR) Bitetto Stringing Energy Automation Tesmec SPA Tesmec Automation Railway Sirone Patrica Trencher (precision machining wor
Slide 7: History of Innovation
History of Innovation PIONEER in TRENCHER From Expansion Investments & Investments in Strengthening STRINGING product line FAMILY strategy in acquisitions R&D and the Service solutions development Company the to complete DIAGNOSTICS and Rental to PUBLIC RAILWAY the portfolio Business Company busines
Slide 8: Strong commitment on Innovation, Quality & Sustainability
Strong commitment on Innovation, Quality & Sustainability QUALITY HEALTH AND SAFETY ENVIRONMENT DIGITALIZATION Every activity in our plants Digitalization for the is devoted to waste Maximize delivered and Safeguard of the health and predictive maintenance, reduction, recycling, energy perceived qua
Slide 9: Corporate key drivers: Towards a carbon neutral factory
Corporate key drivers: Towards a carbon neutral factory Grassobbio, Patrica All Italian plants The whole production and Monopoli plants are certified process takes care of waste are fed according to and complies with by solar panels ISO 9001-14001-45001 recycling regulations 27 September 2023 9
Slide 10: Sustainable process and sustainable equipment
Sustainable process and sustainable equipment BIODEGRADABLE CARE FOR EQUIPMENT GREEN OILS LIFE CYCLE POWER ENERGY ENGINE EVOLUTION REDUCED REDUCED TIER4f READY CO2 EMISSIONS NOISE LEVEL 27 September 2023 10
Slide 11: Taxonomy-aligned KPI – Fiscal Year 2022
Taxonomy-aligned KPI – Fiscal Year 2022 TESMEC economic activities are eligible according the ANNEX I – Climate change mitigation: 3.Manufacturing 3.1 - Manufacture of renewable energy technologies 3.3 - Manufacture of low carbon technologies for transport 3.6 - Manufacture of other low carbon techn
Slide 12: Trenchers and Surface Miners - Fields of application
Trenchers and Surface Miners - Fields of application UNDERGROUND • TELECOM NETWORKS, FTTH & LONG DISTANCE, POWER CABLE INSTALLATION • OIL & GAS, WATER PIPELINES, RENEWABLES INFRASTRUCTURES • BULK EXCAVATION, QUARRIES & SURFACES MINING 27 September 2023 12
Slide 13: Railway - Fields of application
Railway - Fields of application RAIL • CATENARY INSTALLATION & MAINTENANCE INFRASTRUCTURES • DIAGNOSTIC VEHICLES AND SYSTEMS • INTEGRATED PLATFORM FOR SAFE INFRASTRUCTURE 27 September 2023 13
Slide 14: Stringing Solutions - Fields of application
Stringing Solutions - Fields of application • SOLUTIONS FOR POWER LINES CONSTRUCTION & MAINTENANCE ENERGY GRIDS • ADVANCED METHODOLOGIES FOR AUTOMATING JOBSITE • ZERO EMISSIONS MACHINES 27 September 2023 14
Slide 15: Energy Automation - Fields of application
Energy Automation - Fields of application • PROTECTION & MONITORING SOLUTIONS INTEGRATED SOLUTION • REMOTE CONTROL SOLUTIONS PROVIDER FOR SMART • SERVICE TELECOMMUNICATIONS SOLUTIONS FOR HV GRIDS GRIDS: • SMART METERING SOLUTIONS 15 27 September 2023
Slide 16: 2023.H1 Business highlights & Results
1. 2023.H1 Business highlights & Results
Slide 17: Key Facts 2023.H1 Trencher, Energy Stringing
Key Facts 2023.H1 Trencher • Closure of important deals in Saudi Arabia • Launch of the brand new 1875 EVO and 400 MCT • Presence at international events (Mining indaba, Conexpo, Samoter) • Strengthening service activities through digitalization of solutions Energy Stringing • Positive feedbacks fro
Slide 18: Key Facts 2023.H1 Energy Automation, Rail
Key Facts 2023.H1 Energy Automation • Relevant opportunities driven by new tender publications and public investments • Positive effects on quarter results thanks to new products market penetration • Continuous development of substation automation projects with growing chances in technological niche
Slide 19: 2023.H1 Closing
2023.H1 Closing Delta GROUP (€ mln) 2023.H1 2022.H1 vs.22 REVENUES (1) 125,3 113,3 +10,6% (1) Revenues: 10,6% increase mainly thanks to Energy segments and Rail segment EBITDA (2) 15,2 18,7 -18,9% % on Revenues (2) 12,1% 16,5% (2) EBITDA: affected by different mix yielding lower margins, non recurri
Slide 20: 2023.H1 Closing – Business Breakdown
2023.H1 Closing – Business Breakdown (€ mln) Energy > Revenues growing by 30% compared to 2022.H1, thanks both to +30,8% Stringing and Automation segment, within perspectives of solid 30,9 23,7 31,9% Energy industry mid-term growth 4,8 3,6 > EBITDA: 32% increase thanks to improved mix and efficienci
Slide 21: Backlog
BACKLOG Euro/mln BACKLOG 31/03/2023 Sales 2023.Q2 Intake 2023.Q2 30/06/2023 (1) (2) 103,4 120,0 (1) Of which Euro 98,0 Energy 33,5 million for Energy 16,9 Automation and new opportunities in hi-tech content business 84,1 82,8 Trencher 35,4 34,1 (2) Long term backlog in Automation and Rail segments (
Slide 22: 2023.H1 Revenues by geographical area
2023.H1 Revenues: sales spread over different geographical area REVENUE BY GEOGRAPHY 2023.H1 REVENUE BY GEOGRAPHY 2022.H1 BRIC BRIC &Others Italia &Others Italy North & 16,4% 22,8% 16,5% North & 29,7% Central Central America America 19,6% 19,3% 125,3 €M 113,3 €M Europa Africa 21,9% Africa 2,7% 4,7%
Slide 23: 2023.H1 Revenues: Increased recurring vs non-recurring
2023.H1 Revenues: Increased “recurring” vs “non-recurring” RECURRING VS NON-RECURRING RECURRING VS NON-RECURRING REVENUES 2023.H1 REVENUES 2022.H1 Non recurring Non recurring 45,2% 46,8% 58,7 €M 66,6 €M 51,2 11,3 €M M€ 62,1 20,5€M M€ Recurring Recurring 53,2% 54,8% Recurring: Rental, Projects, Spare
Slide 24: 2023.H1 EBITDA evolution by BU
2023.H1 EBITDA evolution by BU € mln 20,0 18,7 (2,5) 18,0 (2,2) 16,0 15,2 +1,2 14,0 12,0 ❑ non-recurring ❑ Temporally weaker ❑ Higher sales with charges, and product mix better mix 10,0 investment in ❑ Non-recurring strengthening the charges 8,0 organizational structure of commercial and 6,0 busines
Slide 25: 2023.H1 Financial Results
2023.H1 Financial Results Financial Information (€ mln) Jun. 30, 2023 Dec. 31, 2022 Net Working Capital 98,9 80,6 of which: inventory 116,8 101,4 Net Fixed Assets 90,2 89,7 Right of use - IFRS 16/IAS 17 20,7 21,9 Other Long Term assets/liabilities 20,5 19,5 Net Invested Capital 230,3 211,7 Net Finan
Slide 26: 2023.H1 Working Capital evolution
2023.H1 Working Capital evolution € mln 120 15,4 0,4 5,2 11,1 100 3,4 80 60 98,9 40 80,6 20 0 2022 Inventories WIP Trade Trade Other 2023.H1 NWC Receivables Payables current NWC ass. / liab. € Mln 2023.H1 2022.FY 2023.H1 2022.FY Trade Receivables 51,0 56,2 64 83 Inventories 116,8 101,4 146 149 Work
Slide 27: 2023.H1 Net Financial Position Evolution and Free Cash Flow
2023.H1 Net Financial Position Evolution and Free Cash Flow € mln 22,8 150,3 • 1H IN LINE WITH QUARTELY DISTRIBUTION COMMENTED WITH FY 2019 AND 1Q 140,0 RESULTS 10,7 5,8 130,0 128,4 24,1 127,5 18,3 120,0 110,0 - 104,3 -4,9 €M net FCF 100,0 before ΔNWC (-3,6 including Higher inventories IFRS 16 varia
Slide 28: Outlook
TESMEC Outlook
Slide 29: Outlook 2023
Outlook 2023 2019pf 2020pf 2021 2022 2023 >> Significant performance of the Energy segment and Middle East and USA markets; 199,6 172,8 194,3 245,2 280 ~ 290 TURNOVER M€ M€ M€ M€ >> Focus on recurring revenues (rental & services) M€ >> Continuous price lists variation and review of the medium-long t
Slide 30: Trencher – Outlook 2023: Business Guidelines
Trencher – Outlook 2023: Business Guidelines OUTLOOK 2023 ▪ Strengthening the presence in Middle East – Saudi and Peninsula ▪ Business development opportunities in the US market – TUSA ▪ Consolidate value propositions of integrated trencher solutions ▪ Digitalization and Electrification focus Tesmec
Slide 31: Energy Stringing – Outlook 2023: Business Guidelines
Energy Stringing – Outlook 2023: Business Guidelines OUTLOOK 2023 • Big backlog recovery with important orders acquisition thanks to new opportunities in renewable sector • Refurbishment of high voltage lines in key markets • Digital transformation • Consolidate the worldwide presence & normalizatio
Slide 32: Energy Automation - Outlook 2023: Business Guidelines
Energy Automation - Outlook 2023: Business Guidelines OUTLOOK 2023 • Consolidation of existing innovative markets and leverage on technological skills development to open new market opportunities • Completion of solution portfolio in terms of products and systems • Supply chain management Market con
Slide 33: Rail - Outlook 2023: Business Guidelines
Rail - Outlook 2023: Business Guidelines OUTLOOK 2023 • Growth thanks to worldwide collaboration • Transition to electrify products • Modular solution • Web platform for data management with AI algorithms 27 September 2023 33
Slide 34: Disclaimer
Disclaimer This presentation has been prepared by Tesmec S.p.A. (“Tesmec”, the “Company” or the “Group”). As used herein, “Presentation” means this document, any oral presentation, the question and answer session and any written or oral material discussed or distributed during the presentation. The
Slide 35: www.tesmec.com
TESMEC rods fhe waay fora www.tesmec.com
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