Fine Foods & Pharmaceuticals N.t.m. Spa · MIL:FF
Fine Foods & Pharmaceuticals N.t.m. Spa — 9M 2022 Earnings Presentation
43 slides from Fine Foods & Pharmaceuticals N.t.m. Spa's earnings presentation, Nov 17, 2022
Slide 1: 9M-2022 Results Presentation
9M-2022 Results Presentation 17/11/22
Slide 2: Disclaimer
FINE FOODS 9M - 2022 2 RESULTS PRESENTATION Disclaimer This document has been prepared by Fine Foods & The information contained in this document, unless Pharmaceuticals N.T.M. S.p.A. for the sole purpose otherwise specified is only current as of the date of this described herein. The information he
Slide 3: Fine Foods: We create value
FINE FOODS 9M - 2022 3 RESULTS PRESENTATION Fine Foods We create value
Slide 4: Consolidated Financial Highlights
FINE FOODS 9M - 2022 4 RESULTS PRESENTATION 9M-2021 9M-2022 Consolidated REVENUES € 144.91) mln € 152.8 mln +5.5% Financial EBITDA* € 18.8 mln € 12.6 mln -33.3% Highlights EBITDA MARGIN 13.0%1) 8.2% TREND Q4-2021 Q1-2022 Q2-2022 Q3-2022 REVENUES € 50.0 mln € 50.8 mln € 49.8 mln € 52.2 mln EBITDA** €
Slide 5: Knowledge and technologies
FINE FOODS 9M - 2022 5 RESULTS PRESENTATION Knowledge and → NUTRA AND PHARMA o Bottles technologies o Jars o Blister o Sachet Cross-fertilized innovation by exploiting our expertise in different fields and leveraging best practices and technical know-how to offer new tablets, capsules, granules, pow
Slide 6: Selection of products
FINE FOODS 9M - 2022 6 RESULTS PRESENTATION Selection of products o Pharmaceuticals o Nutraceuticals o Cosmetics ➝
Slide 7: Customers' loyalty
FINE FOODS 9M - 2022 7 RESULTS PRESENTATION 2010 Customers’ 2002 loyalty Retained key clients acquired before 2002 with several new ones added afterwards, including those derived from our recent acquisitions in the cosmetics industry, which consolidated our high customer retention rate. Note: Sigma-
Slide 8: Fine Foods key figures
FINE FOODS 9M - 2022 8 RESULTS PRESENTATION Fine Foods 192.6€m Revenues in 2021 with ~11% CAGR over the last 79.5€m increase in revenues over the last 5 years (63.3 key figures 10 years (~10% organic) organic) 2021 ~69% of products sold in ~264 customers, mainly leading 2021 has been delivered Pharm
Slide 9: Fast growing Nutraceutical European Market
FINE FOODS 9M - 2022 9 RESULTS PRESENTATION Fast growing EUROPEAN NUTRACEUTICAL PRODUCTION* (€bn) Nutraceutical CAGR European Market 5.3% 66.1 CAGR CAGR The European Nutraceutical Market 5.4% ’18-’21 ’21-’24 has shown high, steady growth, 56.5 and is expected to maintain a 20.5 48.2 Vitamins & Dieta
Slide 10: Pharmaceutical European production
FINE FOODS 9M - 2022 10 RESULTS PRESENTATION Pharmaceutical EUROPEAN PHARMACEUTICAL EUROPEAN CDMOs (PHARMA) PRODUCTION * 2019 MARKET VALUE ** European production The European Pharmaceutical production is expected to continue its sound growth in coming 13% shows consistent years 23% non-cyclical (€bn
Slide 11: Expanding in the fast-growing Cosmetic and Biocide market
FINE FOODS 9M - 2022 11 RESULTS PRESENTATION Expanding in the EUROPEAN COSMETIC AND BIOCIDE MARKET fast-growing Cosmetic and The European Cosmetic and Biocide market is expected to accelerate growth in coming years Biocide market (€bn) CAGR 4.5% Source: Euromonitor International, 111 Consumer Health
Slide 12: Consistently outperforming Reference Markets
FINE FOODS 9M - 2022 12 RESULTS PRESENTATION Consistently Reference markets show high steady growth and resilience during recessions Fine Foods has substantially outgrown its reference end-markets in the last decade, outperforming with 2021 sales at 2.9X the 2011 level Reference European Vitamins &
Slide 13: Research & Development
FINE FOODS 9M - 2022 13 RESULTS PRESENTATION Research & Development
Slide 14: R&D for efficient and high-quality product development
FINE FOODS 9M - 2022 R&D 14 RESULTS PRESENTATION R&D for efficient and high-quality product development Thanks to different approaches OPPORTUNITY LAB INNOVATION LAB CUSTOMISATION LAB TRANSFER LAB to each customer’s requests Formulae databank Innovative products Exclusive and Efficient Technology ➝
Slide 15: Environmental Social & Governance
FINE FOODS 9M - 2022 15 RESULTS PRESENTATION Environmental Social & Governance
Slide 16: Strong holistic ESG approach since foundation
FINE FOODS 9M - 2022 ESG 16 RESULTS PRESENTATION PEOPLE Strong holistic ESG approach since foundation ETHICS & ENVIRONMENT GOVERNANCE AREAS OF ACTION SUPPLY SUSTAINABLE CHAIN PRODUCTS LOCAL DEVELOPMENT ➝
Slide 17: Corporate Governance
FINE FOODS 9M - 2022 ESG 17 RESULTS PRESENTATION ➝ ETHICS AND GOVERNANCE Corporate → 3 women out of 7 Directors Governance → 3 Independent Directors out of 7 Our governance is structured → 2 Non-executive Directors out of 7 around an ESG responsible approach. It allows us to pursue a sustainable gro
Slide 18: Ratings, ESG commitment, Certifications
FINE FOODS 9M - 2022 ESG 18 RESULTS PRESENTATION ➝ ETHICS AND GOVERNANCE Ratings Sedex Member since ESG commitment Medium Risk 2016 (Business Units Food) Certifications Organizational, managerial and control models to prevent Since 2021 crimes Please note that each of the certifications Certificate
Slide 19: Financials
FINE FOODS 9M - 2022 19 RESULTS PRESENTATION Financials
Slide 20: Fine Foods Group Revenues
FINE FOODS 9M - 2022 FINANCIALS 20 RESULTS PRESENTATION 152.8 + 5.5% Fine Foods Group 144.9 Revenues Group Revenues increased due to Pharma BU performance and Cosmetics BU consolidation 9M-2021 9M-2022 Q3-2022 revenues (52.2 €m) Revenue break-down improved compared to the previous quarters: 49.8 €m
Slide 21: EBITDA
FINE FOODS 9M - 2022 FINANCIALS 21 RESULTS PRESENTATION % of revenues EBITDA ADJUSTED 13.0% 8.2% EBITDA -33.3% 18.8 EBITDA margin decreased due to 12.6 the current economic situation that generated inefficiencies in the production chain and a significant increase in energy costs, with a peak * 0.9 €
Slide 22: EBITDA Adjusted trend over the last 4 quarters
FINE FOODS 9M - 2022 FINANCIALS 22 RESULTS PRESENTATION EBITDA ADJUSTED % of revenues TREND OVER THE 4.7% 7.8% 8.9% 8.0% LAST 4 QUARTERS Compared to Q4-2021, margins 4.4 4.2 increased due to the actions 4.0 implemented by the Group including transferring increased raw and packaging material costs to
Slide 23: Energy Impact on EBITDA ADJ in 9M-2022 and Q4-2021
FINE FOODS 9M - 2022 FINANCIALS 23 RESULTS PRESENTATION % of revenues 8.2% 10.8% + 2.6% Energy Impact on 16.5 EBITDA ADJ in 9M- 12.6 2022 and Q4-2021 Assuming the same Energy Cost incidence on Revenues in 9M-2021 and 9M-2022, EBITDA in 9M-2022 would be close to 11% 9M-2022*** 9M-2022* *** The chart
Slide 24: EBIT
FINE FOODS 9M - 2022 FINANCIALS 24 RESULTS PRESENTATION % of revenues EBIT ADJUSTED 6.3% 0.9% EBIT -84.5% 9.2 EBIT decreased due to a 1.4 EBITDA reduction and a slight increase in depreciation and amortisation for the period * 0.9 €m ADJ for extraordinary consultancy fees 9M-2021 * 9M-2022 ** ** 0.4
Slide 25: Energy Impact on EBIT ADJ in 9M-2022
FINE FOODS 9M - 2022 FINANCIALS 25 RESULTS PRESENTATION Energy Impact on EBIT ADJ in 9M-2022 + 2.6% 0.9% 3.5% Assuming the same Energy Cost incidence on Revenues in 9M-2022 and 9M-2021, EBIT in 9M-2022 5.3 would be 3.5% 1.4 * Energy Adjusted EBIT recalculated assuming the same Energy Cost Incidence
Slide 26: Net income
FINE FOODS 9M - 2022 FINANCIALS 26 RESULTS PRESENTATION % of revenues NET INCOME ADJUSTED -7.6% 5.1% Net income * 10.3 €m ADJ: -256.3% o 0.6 €m non recurring costs net of tax effect Net Income ADJ decreased due to a EBIT reduction and 9.7 €m positive effect on warrant fair value 7.41) o financial ma
Slide 27: Solid capital structure despite challenges
FINE FOODS 9M - 2022 FINANCIALS 27 RESULTS PRESENTATION NET WORKING CAPITAL CAPEX AND INVESTMENTS NWC change was generated by the increase The main impact in 2021 derived from Solid Capital in trade receivables and inventories which rose sharply due to the unavailability of raw Pharmatek (Q1 2021) a
Slide 28: Net Financial Position evolution from 2021 to 9M-2022
FINE FOODS 9M - 2022 FINANCIALS 28 RESULTS PRESENTATION MOST SIGNIFICANT CASH-IN AND CASH-OUT Net NFP Net Amortization NWC Others CAPEX Buy Back and Dividends NFP 30.09.2022 Financial 2021 Income & Depreciation other equity movements Position evolution (15.7) from 2021 to 9M-2022 (46.8) (11.9) 11.1
Slide 29: Net Financial Position absorption over 2022 quarters
FINE FOODS 9M - 2022 FINANCIALS 29 RESULTS PRESENTATION (17.3) Net Financial Position absorption over 2022 quarters (15.4) NWC (9.2) change (3.7) NWC change Significant improvement on Net Financial Position absorption (4.7) trend over last three quarters of (4.5) 0.20 Capex 2022 NWC change (4.3) (3.
Slide 30: Shareholding structure
FINE FOODS 9M - 2022 30 RESULTS PRESENTATION Shareholding structure
Slide 31: Shareholding structure
FINE FOODS 9M - 2022 SHAREHOLDING STRUCTURE 31 RESULTS PRESENTATION FLOATING ON Shareholding Fine Foods Shares N. of shares (Mln) % LISTED SHARES structure Listed Shares Unlisted Shares 22.1 3.5 86% 14% As of 17.11.2022 Total Equity Capital 25.6 100% % OF TOTAL EQUITY CAPITAL % OF VOTING RIGHTS* 52.
Slide 32: Fine Foods shares
FINE FOODS 9M - 2022 SHAREHOLDING STRUCTURE 32 RESULTS PRESENTATION Fine Foods Total Shares: 25,560,125 UNLISTED SHARES shares o Ordinary Shares – listed: 22,060,125 o Multiple Voting Rights Shares – unlisted: Multiple Voting Rights Shares: 3,500,000 3,500,000 o Totally owned by Marco Francesco As o
Slide 33: Fine Foods: Our way
FINE FOODS 9M - 2022 33 RESULTS PRESENTATION Fine Foods Our way
Slide 34: Why Fine Foods?
FINE FOODS 9M - 2022 34 RESULTS PRESENTATION o SOLID TRACK RECORDS Why Fine Foods? o HIGH AND STABLE o PHARMA FOOD o STRONG CAGR IN THE COSMETIC UNIQUE FINANCIALS LAST 10 YRS PRESENCE o CRITICAL o HOLISTIC MASS SUSTAINABILITY o CROSS FUNCTIONAL SINCE 2010 INNOVATIVE R&D o ADVANCED HR MANAGEMENT o LO
Slide 35: Contacts
contacts Fine Foods & Pharmaceuticals N.T.M. S.p.A. Tel. +39 035 4821382 Investor Relations: ir@finefoods.it Media Relations: media.relations@finefoods.it 17/11/22
Slide 36: Backup
FINE FOODS 9M - 2022 36 RESULTS PRESENTATION backup
Slide 37: Manufacturing plants geographical footprint
FINE FOODS 9M - 2022 37 RESULTS PRESENTATION BERGAMO Manufacturing ◎ plants FINE FOODS BREMBATE geographical footprint 1 ◎ FINE FOODS ZINGONIA ◉ 2 3 EURO COSMETIC MILAN ◎ TRENZANO ◉ HQ 4 1 Pharmaceuticals 2 Nutraceuticals 3 Cosmetics PHARMATEK CREMOSANO 4 Cosmetics – Biocides — Medical Devices ➝
Slide 38: Plants: Nutraceutical, Pharmaceutical, Cosmetics
FINE FOODS 9M - 2022 38 RESULTS PRESENTATION ⦾Brembate ⦾Zingonia PHARMACEUTICAL NUTRACEUTICAL Plants 64.800 sqm of covered area COVERED AREA: COVERED AREA: on a Total area > TOTAL AREA: 26,100 sqm TOTAL AREA: 45,600 sqm ⦾Cremosano ⦾Trenzano COSMETICS COSMETICS COVERED AREA: COVERED AREA: TOTAL AREA:
Slide 39: People
FINE FOODS 9M - 2022 ESG 39 RESULTS PRESENTATION ➝ PEOPLE WE HIRE People ~ 11.000 applications/year We are fully WOMEN SAFETY AT WORK committed to ~ 47% of total employees, o Management system for health ~ 48% of managers and safety is internationally creating an certified since 2014* environment wi
Slide 40: Environment
FINE FOODS 9M - 2022 ESG 40 RESULTS PRESENTATION ➝ ENVIRONMENT Environment We are committed to sustainably use our resources and reduce our environmental impact. CLIMATE WATER CIRCULAR ENVIRONMENT RESOURCES ECONOMY PROTECTION o - 11% CO2 emissions o Programs for o Programs for reduction of * o Insta
Slide 41: Sustainable products
FINE FOODS 9M - 2022 ESG 41 RESULTS PRESENTATION ➝ SUSTAINABLE PRODUCTS Sustainable We are able to offer Our production products certified biological and ecological cosmetic lines are certified to offer certified We are always researching, products. biological and/or testing and offering products na
Slide 42: Suppliers' ESG management
FINE FOODS 9M - 2022 ESG 42 RESULTS PRESENTATION ➝ SUPPLY CHAIN Suppliers’ ESG ENVIRONMENTAL AND SOCIAL ASSESSMENT OF OUR SUPPLIERS management value of purchases of raw materials and packaging from suppliers assessed by EcoVadis on ESG criteria Above Fine Foods ESG requirements Ongoing joint improve
Slide 43: Relations with local communities
FINE FOODS 9M - 2022 ESG 43 RESULTS PRESENTATION ➝ LOCAL DEVELOPMENT Relations MAIN COLLABORATIONS WITH UNIVERSITIES TRADE ASSOCIATIONS with local communities ➝
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