Orell Fussli Ag · SIX:OFN
Orell Fussli — Investor Day (November 2022)
98 slides from Orell Fussli's investor day presentation, Nov 24, 2022
Slide 1: Capital Markets Day 2022
Capital Markets Day 2022 Zurich, 24th November 2022
Slide 2: Welcome!
orell fiissli group Welcome! Daniel Link CEO
Slide 3: Objective of Today's Capital Markets Day
Capital Markets Day 24.11.2022 3 Objective of Today’s Capital Markets Day • Update on where Orell Füssli stands today • Deepen understanding of Orell Füssli’s businesses and growth drivers • Provide insight on Orell Füssli strategy 2028 and initiatives to deliver profitable growth • Get to know our
Slide 4: Introduction of the Speakers
Capital Markets Day 24.11.2022 4 Introduction of the Speakers Dr. Martin Folini Daniel Link Reto Janser Dr. Michael Kasch Désirée Heutschi Chairman of the Board CEO CFO Managing Director Head Corporate of Directors Security Printing Development
Slide 5: Agenda
Capital Markets Day 24.11.2022 5 01 INTRODUCTION BY THE CHAIRMAN 02 AMBITION AND STRATEGY 03 DEEP DIVE SECURITY 04 DEEP DIVE EDUCATION 05 OPPORTUNITY DIGITAL CERTIFICATES 06 FINANCIALS 07 WRAP-UP 08 Q&A 09 FLYING LUNCH
Slide 6: Introduction by the Chairman
Introduction by the Chairman Dr. Martin Folini Chairman of the Board of Directors
Slide 7: Pioneer in Security and Education
Capital Markets Day 24.11.2022 7 Pioneer in Security and Education • Technology leader for banknotes and security documents • Market Leader in Swiss Book Retail • Largest private Swiss publisher of learning and educational media
Slide 8: Financial, Organisational and Structural Transformation Completed
Capital Markets Day 24.11.2022 8 Financial, Organisational and Structural Transformation Completed Development Strategy 2028 • New Management Restructuring Security Printing • Addition BoD expertise • Simplification legal structure • Sale Atlantic Zeiser • Execution first strategy milestones • Restr
Slide 9: Positive Effects are Visible: Balanced Portfolio
Capital Markets Day 24.11.2022 9 Positive Effects are Visible: Distribution of EBIT by Division / EBIT Margin Group Balanced Portfolio 2015 2021 • Robustness of the business model strengthened • Risk reduced with balanced portfolio • Cost-base and efficiency improved • All divisions profitable since
Slide 10: Industrial, Digital, Legal and Startup Know-how Added to Board and Management
Capital Markets Day 24.11.2022 10 Industrial, Digital, Legal and Startup Know-how Added to Board and Management Dr. Martin Folini Mirjana Blume Dr. Luka Müller Johannes Schaede Daniel Link Reto Janser Désirée Heutschi Chairman Board Member Board Member Board Member CEO CFO Head Corporate Development
Slide 11: Ready for The Next Step
Capital Markets Day 24.11.2022 11 Ready for The Next Step – Today Orell Füssli has… Robust foundations with sustainable businesses A balanced portfolio with profitable divisions Healthy balance sheet and willingness to invest for growth A clear commitment to the listing on the stock exchange An expe
Slide 12: Ambition and Strategy
Ambition and Strategy Daniel Link CEO
Slide 13: We are Operating in 2 Markets, with 4 Units
Capital Markets Day 24.11.2022 13 We are Operating in 2 Markets, with 4 Units – Globally and Locally Security (national / global) Education (national) 74 Revenue 2021 210m 103 25 8 Security Printing Zeiser OF Location Agents Publishing Book Retail
Slide 14: Two Megatrends are our Fundamental Market Drivers
Capital Markets Day 24.11.2022 14 Two Megatrends are our Fundamental Market Drivers Security Education • Assets protection against • Rising demand for misuse and counterfeiting commercial education • The primacy of managing providers and protecting identities • Growing education business • Growing i
Slide 15: Solid Demand and Growth in Security Market
Capital Markets Day 24.11.2022 15 Solid Demand and Growth in Number of Euro Banknotes in Circulation (bn) Security Market 35 COVID -19 • Number of banknotes in circulation is growing 30 • Rising demand for identity products 25 Rise of bitcoin • High entry barriers in banknotes and identity 20 Financ
Slide 16: Security Printing is Creating Value over the Cycle
Capital Markets Day 24.11.2022 16 Orell Füssli’s Security Printing is Example: Security Printing 2012 – 2021 (in CHF m) Creating Value over the Cycle Revenue EBIT • Unique technology and heritage in security printing 25 140 • Partner of Central Banks, Passport Authorities, etc. 120 • EBIT Margin >7%
Slide 17: Education and Book Market will Continue to Grow
Capital Markets Day 24.11.2022 17 Education and Book Market will Swiss Public Education Spending, indexed, excl. inflation Continue to Grow 200 • Lifelong learning and rising population drives market 180 • Education spending on the rise since over 30 years • Availability of broadband internet furthe
Slide 18: Book Retailing is Booming after Restructuring in 2017
Capital Markets Day 24.11.2022 18 Orell Füssli Book Retailing is Division Book Retail 2012 – 2021 (in CHF m) Booming after Restructuring in 2017 Revenue EBIT • Clear market leader in Switzerland 120 +369% 8 +13% • Continous growth in top and bottom line since 2018 100 7 • Outperforming market over t
Slide 19: Brand and Shared Values Unify the Divisions
Capital Markets Day 24.11.2022 19 Brand and Shared Values Unify the Divisions Heritage Values Reputation People Trust Leadership Lean Corporate Center Sharing of best practice Full transparency Common ESG Agenda Reporting Innovation & Technology Leadership Rules & Regulation Quality Risk Man
Slide 20: Current Position of Orell Füssli is Solid and Resilient
Capital Markets Day 24.11.2022 20 Picture right ok Current Position of Orell Füssli is Solid and Resilient • Diversified business models • Strong market positions • Crisis resistant markets (government business and retail) with high entry barriers • Well known and strong brand • Anchor shareholders
Slide 21: Our Ambition: Leader in Analog and Digital Trust Services
Capital Markets Day 24.11.2022 21 Our Ambition Grow the Company into a Leader in Analog and Digital Trust Services
Slide 22: Our Strategy 2028 – Leader for Analog and Digital Trust Services
Capital Markets Day 24.11.2022 22 Our Strategy 2028 – Leader for Analog and Digital Trust Services 1. Security 2. Education 3. Certificates Trusted Banknotes Book trade Digital certificates Numbering systems Learning media Services Data & Information ID Documents Educational media Analog & Digital B
Slide 23: New Products and Businesses Shall Contribute to 5 Strategic Priorities
Capital Markets Day 24.11.2022 23 New Products and Businesses Shall Contribute to 5 Strategic Priorities Profitable Resistance Growth to Cycles Asset-light Technology new business Leadership Strengthen the brand
Slide 24: Three Value Drivers for Profitable Growth
Capital Markets Day 24.11.2022 24 Three Value Drivers for Profitable Growth 1. Perform 2. Create 3. Invest Enhance core business with operational excellence, + Leveraging our current assets and know-how to create new + Buy and build new services & solutions, access to new efficiency gains, products
Slide 25: Initiatives to Improve and Expand Existing Business
Capital Markets Day 24.11.2022 25 Initiatives to Improve and Expand Existing Business Initiative Status Business Acquire new 3rd anchor ✓ ✓ ✓ Security ongoing customer Printing 1. Perform Build up consulting business in security printing Started Q2’22 Security Printing ✓ ✓ ✓ ✓ Increase in internatio
Slide 26: Creation of Bundles with New Products
Capital Markets Day 24.11.2022 26 Creation of Bundles with New Products Today Tomorrow Printed AND digital 2. Create forms of money Printed AND digital forms of value documents
Slide 27: Creation of Hybrid Content and Retail as Multichannel Experience
Capital Markets Day 24.11.2022 27 Creation of Hybrid Content and Retail as Multichannel Experience Today Tomorrow Printed AND digital learning documents, 2. Create search tools AND education events Omni-Channel Customer Experience
Slide 28: Leverage Existing and Acquired Assets to Create New Products
Capital Markets Day 24.11.2022 28 Leverage Existing and Acquired Assets to Create New Products Initiative Status Business Acquisition hep Verlag Acquired 07’22 Publishing ✓ ✓ ✓ 2. Create Further investment in legal and eduTech startups Ongoing Publishing ✓ ✓ ✓ Annual revenue by 2025 < 5m < 10 m < 20
Slide 29: Build a Digital Trust Services Business And New Ecosystem
Capital Markets Day 24.11.2022 29 Build a Digital Trust Services Business And New Ecosystem 3. Invest
Slide 30: Buy and Build New Business Opportunities with Trusted Digital Data
Capital Markets Day 24.11.2022 30 Buy and Build New Business Opportunities with Trusted Digital Data Initiative Status Business Acquisition Procivis Acquired Q3’21 New ✓ ✓ ✓ 3. Invest Digital Certificates Started Q1’22 New ✓ ✓ ✓ ✓ Annual revenue by 2028 < 5m < 10 m < 20 m > 20 M
Slide 31: Three Building Blocks for our Growth Ambition
Capital Markets Day 24.11.2022 31 Three Building Blocks for our Growth Ambition 1. Perform 2. Create 3. Invest ≈ 2 - 3% annual topline growth + ≈ 2 - 3% annual topline growth + CHF 30 - 50m additional topline by 2028
Slide 32: Well Positioned to Grow
Capital Markets Day 24.11.2022 32 Well Positioned to Grow Orell Füssli is in good shape with new management and a clear ambition for profitable growth supported by global megatrends Growth will be generated through expansion of existing businesses and the seizing new digital opportunities Business a
Slide 33: Deep Dive Security
Deep Dive Security Dr. Michael Kasch Managing Director Security Printing
Slide 34: Banknote Market is Continuously Growing
Capital Markets Day 24.11.22 34 Banknote Market is Banknote print volume worldwide in million banknotes Continuously Growing 180’000 160’000 • The volume of printed banknotes continues to 140’000 grow annually 120’000 • Banknote demand is driven by a few primary 100’000 factors: 80’000 • Global popu
Slide 35: Banknote Market is a Complex Environment
Capital Markets Day 24.11.22 35 Banknote Market is a Complex Environment 12% 160 -170 bn Accessible market printed banknotes p.a. Very high entry Customers: barriers into the central banks and market governments Accessible market Non accessible market
Slide 36: Our Position in the Banknote Printing Market
Capital Markets Day 24.11.22 36 Our Position in the Main Players with approximate market share Banknote Printing Market Orell Füssli belongs to a group of commercial high-security printers that produce banknotes for the world market The biggest players: • De La Rue, Basingstoke, United Kingdom • Gie
Slide 37: Banknote Market: High Entry Barriers and Long Sales Cycles
Capital Markets Day 24.11.22 37 Banknote Market: High Entry Barriers and Long Sales Cycles Orell Füssli’s customers award printing orders and development of new series by: • Tender (first issuance or reprint) • Overspill • Direct award • OF’s annual printing capacity is approximately 700 million ban
Slide 38: Price and Contribution of a Banknote is Determined by its Complexity
Capital Markets Day 24.11.22 38 Price and Contribution of a Banknote is Determined by it’s Complexity Process Steps Print Works Finishing Silkscreen Intaglio Primer Offset Foil Microperf Intaglio Front Numbering Varnishing (cutting, Front Backside inspection) CHF 50 ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ ✓ EURO 50 ✓ ✓ ✓
Slide 39: Security Products and Services Today (1/2)
Capital Markets Day 24.11.22 39 Security Products and Services Today (1/2) Development of a currency product Identification documents Concept consulting, design and origination services as well Design, print and supply of various printed security as manufacturing and supply of banknotes documents su
Slide 40: Security Products and Services Today (2/2)
Capital Markets Day 24.11.22 40 Security Products and Services Today (2/2) Development of security features Security printing components (Zeiser) OF’s R&D and innovation teams are constantly developing Development, implementation and delivery of technologies new security features to better protect b
Slide 41: Security Products for Rising Markets (1/2)
Capital Markets Day 24.11.22 41 Security Products for Rising Markets (1/2) Independent Advisory Services DUAL® Implementation of independent technical and advisory a connected banknote bridging the digital and physical services to printing works and issuing authorities world of currencies
Slide 42: Security Products for Rising Markets (2/2)
Capital Markets Day 24.11.22 42 Security Products for Rising Markets (2/2) eIDs Track and Trace Solutions eIDs, mobile driver license (mDL) and derivatives Track and Trace Solutions enabling transparency and traceability in security printing
Slide 43: Take Aways
Capital Markets Day 24.11.22 43 Take Aways We are operating in a continuously growing market Orell Füssli will continue supplying printed high security documents and expanding in offering digital high security documents We will enable the bridging of physical and digital worlds in the banknote and i
Slide 44: Deep Dive Education
Deep Dive Education Daniel Link CEO
Slide 45: Commit yourself to lifelong learning (Albert Einstein quote)
Capital Markets Day 24.11.2022 45 «Commit yourself to lifelong learning. The most valuable asset you'll ever have is your mind and what you put into it.» ALBERT EINSTEIN
Slide 46: Orell Füssli Covers Key Elements of the Value Chain in Education
Capital Markets Day 24.11.2022 46 Orell Füssli Covers Key Elements of the Value Chain in Education • #1 Book retailer in Switzerland Value chain • #1 B2B book retailer Orell Füssli Content • #4 learning media provider Creation Publishing • True omni-channel distributor with stationary Content Orell
Slide 47: Content Creation
Content Creation Orell Füssli Publishing
Slide 48: Swiss Education Market for Learning Media is Worth CHF 445 m
Capital Markets Day 24.11.2022 48 Swiss Education Market for Learning Media is Worth CHF 445 m Age School Level Number Total Market Learning Media Expenditure on of Students (CHF) Suppliers Learning Media Addressed Market today (in CHF m) 16 - 99 Professional 270 m 5m ~ 2.8 bn Training Various Highe
Slide 49: Every Second Employee is Planning or Undergoing Educational Training
Capital Markets Day 24.11.2022 49 Every Second Employee is Planning or Undergoing Educational Training 3% • Market is driven by population growth and need for Universities/Higher Education From Age 18/19 lifelong learning 2% Expected annual growth until 2027 • hep Verlag integration leads to strengt
Slide 50: Our Ambition: Become a Leading Creator of Trusted Learning Content
Capital Markets Day 24.11.2022 50 Our Ambition Become a Leading Creator of Trusted Learning Content • Provide trusted learning content in any format: printed, digital, hybrid • Focus on vocational and professional training for all of Switzerland • Leverage digital transformation to introduce SaaS an
Slide 51: Clear Strategy For Purposeful Growth Potential
Capital Markets Day 24.11.2022 51 Clear Strategy For Purposeful Growth Potential Development into a digital legal information service provider and provider of digital working tools Building a learning media offering of digital tools, apps and learning aids, complemented by printed textbooks Maintain
Slide 52: Examples of Initiatives Aiming to Increase Topline
Capital Markets Day 24.11.2022 52 Examples of Initiatives Aiming to Increase Topline Project «BeInside» and «BeUptodate» Lawyers can simultaneously search their internal knowledge database and the relevant legal information (case law, legal literature, regulations) provided by justement.ch. Project
Slide 53: Content Distribution
Content Distribution Orell Füssli Thalia AG
Slide 54: Market Leader in a Growing Swiss Book Market
Capital Markets Day 24.11.2022 54 Market Leader in a Growing Swiss Book Market Stationary Swiss German Book Market, indexed Swiss Book Market (in CHF m) Independant 115 Bookstores Orell Füssli Thalia 110 Weltbild 105 Fnac 100 B&P div. Online 900 Payot 95 Amazon Lüthi Balmer Stocker 90 2018 2019 2020
Slide 55: Operating the Most Visible Online Shop in Switzerland
Capital Markets Day 24.11.2022 55 Operating the Most Visible Online Shop in Switzerland: orellfuessli.ch Swiss German Book Market, by Channel Presence of Swiss Online Shops in Google, Sept 2022 B2B 25% 47% Stationary B2C 28% Online B2C Source: sbvv, Company data Source: Google, MIK Group /Sistrix
Slide 56: Orell Füssli Thalia Keeps Outperforming the Market, Particularly Online
Capital Markets Day 24.11.2022 56 Orell Füssli Thalia Keeps Outperforming the Market, Particularly Online Growth YoY in Marketsize / Sales OF Sales Development by Channel Market 6.5% 6.6% Orell Füssli Thalia 3.8% 2.1% 2.1% 1.5% 1.1% 35% 38% 34% 25% 2018 2019 2020 2021 -1.0% 2018 2019 2020 2021 Onlin
Slide 57: We Innovate the Way We Engage with Consumers
Capital Markets Day 24.11.2022 57 We Innovate the Way We Engage with Consumers to Build Relationships • Fully-fledged multichannel services • Largest and growing network of retail shops at high frequency locations with smaller footprint • Strong digital eco-system (e-commerce-platform) along the cus
Slide 58: Introduced Successful new Orell Füssli Thalia Store Concept
Capital Markets Day 24.11.2022 58 Introduced Successful new Orell Füssli Thalia Store Concept Friendly, modern, structured and high-quality store concept St. Gallen Basel Zürich
Slide 59: Ambition of Orell Füssli Thalia
Capital Markets Day 24.11.2022 59 Picture rights ok Resolution? Ambition of Orell Füssli Thalia Be the Leading Source of Stories and Knowledge in Switzerland
Slide 60: Five Strategic Levers to Fulfill our Ambition
Capital Markets Day 24.11.2022 60 Five Strategic Levers to Fulfill our Ambition Drive customer Leverage omni Strengthen Expand Foster brand conversion rate channel sales customer loyalty customer base / image and invest market presence in sustainability Guides in the Focus Communities for Become Loc
Slide 61: Initiatives, New Services and Products Follow Clear Guiding Principles
Capital Markets Day 24.11.2022 61 Initiatives, New Services and Products Follow Clear Guiding Principles High Personal Quality Innovative Simple
Slide 62: Over 100 Individual Projects to Implement our Strategy
Capital Markets Day 24.11.2022 62 Over 100 Individual Projects to Implement our Strategy Guides in the Focus Communities for Become Local partner for world of stories omni-readers stories and ambassadors for sustainability and and knowledge knowledge literacy new ideas Personal an individual Sto
Slide 63: Take Aways
Capital Markets Day 24.11.2022 63 Take Aways Orell Füssli builds on its strong assets and key positions in the educational value chain Education is a growing market which will be further pushed by digitalization Focus on trusted content for professional and vocational training in every format In ret
Slide 64: Opportunity Digital Certificates
Opportunity Digital Certificates Désirée Heutschi Head Corporate Development
Slide 65: Trust and Security Are in our DNA – We Extend it to the Digital Space
Capital Markets Day 24.11.2022 65 Trust and Security Are in our DNA – We Extend it to the Digital Space Social, technical, business and political developments are evolving towards secure digital certificates In the mid-term, we see a great potential from both an economic and a business perspective &
Slide 66: Many digital processes are slowed down and inefficient
Capital Markets Day 24.11.2022 66 Today, many (digital) processes are slowed down and inefficient due to media disruptions, failing to ensure data protection, control and security Images: pexels.com, unsplash.com
Slide 67: Digital Interactions and Processes Lack Efficiency and Data Security
Capital Markets Day 24.11.2022 67 Digital Interactions and Processes Lack Efficiency and Data Security Media disruptions Inefficient processes Data protection & control Today, many business processes Media disruptions and manual At the same time, individuals often cannot be done digitally from end t
Slide 68: Digital Certificates Are on the Rise in Many Countries
Capital Markets Day 24.11.2022 68 Digital Certificates Are on the Rise in Many Countries >15 • Digital identity and digital certificates are interconnected, enabling people or Population (in millions) companies to act seamlessly in the digital 5-15 space • Many European countries are working on adva
Slide 69: Digital Certificates Rely on the Issuance of Verifiable Credentials
Capital Markets Day 24.11.2022 69 Digital Certificates Rely on the Issuance of Verifiable Credentials (VC) illustrative I am… ID attributes (e.g. age) Health insurance card A verifiable credential (like a physical credential) can represent all kind of information… I can… For identifying the subjec
Slide 70: Significant Economic and Business Potential Across Sectors
Capital Markets Day 24.11.2022 70 We See a Significant Economic and Business Potential Across Sectors 3-6% 63bn CHF >1bn CHF Increase in GDP by 2030 – Global market size for Addressable market for OF increase of 23bn CHF for digital identity solutions in DACH3 Switzerland1 in 20282 Sources: 1 McKins
Slide 71: Our Ambition
Capital Markets Day 24.11.2022 71 Our Ambition Orell Füssli is a leading international provider of digital trust services We enable users, companies and authorities to issue digital certificates and use them conveniently, securely and verifiably in digital and analog business processes – data econom
Slide 72: Orell Füssli Will Offer a Holistic Software Solution for Digital Certificates
Capital Markets Day 24.11.2022 72 Orell Füssli Will Offer a Holistic Software Solution for Digital Certificates Our software solution will allow companies, authorities and individuals to: issue digital certificates hold digital certificates verify digital certificates …while keeping to Self So
Slide 73: Self Sovereign Identity is a Promising Technology to Bring VCs to Life
Capital Markets Day 24.11.2022 73 Self Sovereign Identity is a Promising Technology to Bring VCs to Life Draft of Swiss eID law Advantages of this approach Selected global government SSI initiatives provides for SSI Technology • Security and data protection • Consultation closed on Oct 20 • Privacy
Slide 74: We Are Executing our Strategy Together with Great Partners
Capital Markets Day 24.11.2022 74 We Are Executing our Strategy Together with Great Partners Proof of Concepts/ pilot projects 2020 2021 2022 OF invests OF acquires majority OF/ Swisscom announce in Procivis in Procivis strategic partnership • Leading Swiss company for digital identity solutions • 2
Slide 75: Pilot Projects in Different Ecosystems: 2 Examples
Capital Markets Day 24.11.2022 75 We are Working on Pilot Projects in Different Ecosystems: 2 Examples Faculty of Business, UZH Economics and Informatics simplify GA Partner ordering Goal verified digital student ID and renewal process and credentials paper-based proof required Today students receiv
Slide 76: Important Business Potential for Orell Füssli
Capital Markets Day 24.11.2022 76 We see an Important Business Potential for Orell Füssli • With the planned suite of products and services we will generate significant revenues • We aim to generate an annual revenue of CHF 30-50m by 2028 • We plan for significant investments over the next 5 years •
Slide 77: Digital Certificates Lead to New Ecosystems and Innovations
Capital Markets Day 24.11.2022 77 The Use of Digital Certificates Lead to New Ecosystems and Innovations Public sector Health Verifiable Credentials Finance Education Access badge ID attributes (e.g. age) Insurance Mobility Diplomas Residence Health Telecommunication permit insurance card Retail Stu
Slide 78: Take Aways
Capital Markets Day 24.11.2022 78 Take Aways Orell Füssli will become a software provider for digital certificate solutions Digital certificates offer significant revenue potential of CHF 30-50m in the mid-term We are already successfully executing our strategy and are currently realizing several pr
Slide 79: Financials
orell fiissli group Financials Reto Janser CFO
Slide 80: ESG @ Orell Füssli
orell fiissli group ESG @ Orell Fiissli
Slide 81: We follow an Impact-based ESG Approach
Capital Markets Day 24.11.2022 81 We follow an Impact-based How significant are the effects of the business activity on people ESG Approach and the environment • Systematic process to identify relevant ESG topics • Process based on GRI standard • Conducted impact - relevance analysis, based on a top
Slide 82: Focus on Top Impact and Relevance Topics
Capital Markets Day 24.11.2022 82 Focus on Top 9 Impact and Very high impact Relevance Topics • Service & Product Quality • Data Security & Data Privacy • Energy Efficiency & • Profitability & High impact Climate Protection Business Success • Digitization • Compliance & Business Ethics Impact • Heal
Slide 83: Growth Ambition Supported by a Long-term ESG Roadmap
Capital Markets Day 24.11.2022 83 Our Growth Ambition is Supported by a Long-term ESG Roadmap Environmental Energy efficiency & Climate Service & Reduce Product Quality footprint Protection Social Digitization Education & Profitability & Health & Safety Deliver Training in society Business Sucess so
Slide 84: Financials
orell fiissli group Financials
Slide 85: Continuous Value Creation for Shareholder
Capital Markets Day 24.11.2022 85 Continuous Value Creation for Shareholder Revenues (in CHF m) Profitability 18.2 288.5 264.9 14.4 15.4 237.4 218.6 12.6 12 210.4 7.7 6.6 7.3 Yield on share 4.4 4.5 2017 2018 2019 2020 2021 2017 2018 2019 2020 2021 6.9% 6.0% EBIT in MCHF EBIT-Margin Ø 4.6% 3.5% 3.8%
Slide 86: Overview Financial Targets - Midterm
Capital Markets Day 24.11.2022 86 Overview Financial Targets - Midterm 1. Perform 2. Create 3. Invest Annual revenue growth + Annual revenue growth + New revenue by 2028 2%- 3% 2% - 3% CHF 30 – 50m
Slide 87: Revenue Target of CHF 300m by 2028
Capital Markets Day 24.11.2022 87 Revenue Target of CHF 300m by 2028 > 300m • Annual organic growth of 4 – 6% • Revenue of CHF >300m by 2028 • Contribution of CHF 30 – 50m from new digital Invest business expected from 2025 on Create Perform 2022e Perform Create Invest 2028
Slide 88: Balanced Investments for Maintenance and Innovation
Capital Markets Day 24.11.2022 88 Balanced Investments for Maintenance and Innovation • Historically CAPEX spending were very cyclic • Future investments shall be better balanced, at a level slightly above 2021 • CAPEX in property, plant and equipment will account for ~2/3 of the total • Investments
Slide 89: An Overall EBIT-Margin Above 8% is a Realistic Target
Capital Markets Day 24.11.2022 89 An Overall EBIT-Margin Above 8% is a Realistic Target EBIT Margin Benchmark Characteristics Trend 6.0%1) Security Printing 8.3% 4.0%2) Zeiser 21.9% 3.0%3) Book Retail 7.2% Publishing 10.0% 4) >8% New digital business Corporate Cost OF Group 7.3% 1) Banknote Printer:
Slide 90: The Cash Situation is Comfortable
Capital Markets Day 24.11.2022 90 The Cash Situation is Comfortable Available Cash Situation (in CHF m) 150 • Operating cash flow shall cover the yearly investments and pay for the dividends • Open credit lines of CHF 60m • Financial flexibility for M&A projects 100 50 0 2017 2018 2019 2020 2021 Unu
Slide 91: Equity Ratio of 75% Allows to Borrow Capital to Seize Opportunities
Capital Markets Day 24.11.2022 91 Equity Ratio of 75% Allows to Borrow Capital to Seize Opportunities Balance Sheet as of Jun 30, 2022 (in CHF m) • Strong balance sheet with high degree of self- Cash and cash 63.0 Trade payables 6.9 equivalents financing Receivables 25.5 Advanced payments 18.0 • Res
Slide 92: Take Aways
Capital Markets Day 24.11.2022 92 Take Aways > CHF 300m Revenue by 2028 > 8% EBIT Margin 60 – 80% dividend payout of net profit
Slide 93: Wrap up
orell fiissli group Wrap up Daniel Link CEO
Slide 94: Clear Strategy for Value Creation Building on Strong Positions
Capital Markets Day 24.11.2022 94 Clear Strategy for Value Creation Building on Strong Positions 1. Perform 2. Create 3. Invest Operational excellence Expand current business of Security Printing, Zeiser and + New products and service based on our current assets and know-how briding the + Build up a
Slide 95: Financial Ambition by 2028
Capital Markets Day 24.11.2022 95 Financial Ambition by 2028 Total Revenue > CHF 300m Revenue Digital Business CHF 30 – 50m EBIT Margin > 8% Dividend Payout 60 – 80% of net profit
Slide 96: Why Orell Füssli?
Capital Markets Day 24.11.2022 96 Why Orell Füssli ? We focus our growth strategy on the megatrends security and education We want to invest and grow our businesses with digital innovations We have a robust balance sheet and a crisis resistant core business We participate shareholders with an attrac
Slide 97: Thank you for your attention!
Thank you for your attention!
Slide 98: Disclaimer
Capital Markets Day Disclaimer US PRIVATE SECURITIES LITIGATION REFORM ACT 1995 This presentation contains forward-looking statements, including but not limited to, projections of future performance of materials and products, which involve risks and uncertainties. These statements are subject to cha