Barco Nv · EURONEXT:BAR
Barco Nv — FY2023 Earnings Presentation
22 slides from Barco Nv's earnings presentation, Feb 8, 2024
Slide 1: Solid profitability improvement with stable topline
Results 2023 – Analyst and Investor call Solid profitability improvement with stable topline An Steegen / Charles Beauduin / Ann Desender February 8th 2024 - Kortrijk
Slide 2: Preliminary notes
Preliminary notes The statutory auditor has confirmed that the audit, which is substantially complete, has not to date revealed any material misstatement in the draft consolidated accounts, and that the accounting data reported in the press release is consistent, in all material respects, with the d
Slide 3: Executive summary | Group results 2023
Executive summary | Group results 2023 Sales at € 1,050m, in line with last year Double digit growth in Entertainment; Healthcare lagging Book-to-bill remains >1 resulting in a solid year-end orderbook of € 495m 65% revenue from eco-labelled products EBITDA margin up 1.6ppts to 13.6%; 14.6% in 2H23
Slide 4: Financial Highlights
Financial Highlights Step up in EBITDA margin to 13.6% through better product mix and cost measures vs. 2022 ORDERS • Orders and sales in line with last year +0.3% € 1,061.6m • Sales +4% in EMEA, -4% in the Americas and APAC SALES • Orderbook @ € 494.8m, ~ vs year-end ‘22 € 1,050.1m -0.8% • EBITDA a
Slide 5: Dynamic through the year
Dynamic through the year Step up in gross profit and EBITDA margin in 2H23 with better mix and cost measures (in millions of euro) 1H23 2H23 FY23 Δ FY22 Orders 541.1 520.6 1,061.6 0% • Steady improvement in gross profit Sales 520.9 529.2 1,050.1 -1% margins throughout the year with better mix and co
Slide 6: Sales by division and regions
Sales by division and regions Sales in line with last year with growth in Entertainment and EMEA • Entertainment (+15.3% yoy): sales growth in all regions • Healthcare (-16.3%): growing in EMEA, decline in Americas APAC -4% EMEA • Enterprise (-4.2%): holding up in both EMEA and +4% Americas despite
Slide 7: EBITDA growing to € 142.5m, 13.6% of sales
EBITDA growing to € 142.5m, 13.6% of sales Enhanced profitability through better product mix and cost control Currency Sales Gross Profit R&D S&M G&A Other Margin 142.5 126.5 Merit/ 13.6% 12% index ‘22 of Sales annual. of Sales Hires ‘22 annual. Hires 2H22 Gross profit up Opex up €22m € 33m 2022 202
Slide 8: Net income @ € 80m, + 7% yoy
Net income @ € 80m, + 7% yoy Higher EBITDA, partially offset by restructuring costs (in millions of euro) 2023 2022 Δ EBITDA 142.5 126.5 16.0 • Higher depreciations from Cinema-as-a-service % Sales Change (ppts) 13.6% 12.0% 1.6 Depreciations & amortizations (40.4) (36.3) (4.1) • Restructuring of €10
Slide 9: Free cash flow and balance sheet
Free cash flow and balance sheet Uptake in net operating cash flow; inventories to further reduce; CAPEX doubled • 2023 Free Cash Flow at €38m • Net operating cash flow at € 101m, up ~ € 69m yoy • Working capital still high at 16.6% of sales (18.2% at 1H23), due to inventories • Higher trade receiva
Slide 10: Continued progress on our non-financial metrics
Continued progress on our non-financial metrics Up 3 ppts vs ‘22 Up 15 ppts vs ‘22 Scoring +4 vs ’22 Lower carbon emission More eco-labeled Improved after-sales driven by modal shift revenues with step-up service due to eased from air to sea, in Healthcare, landing supply chain and exceeding target
Slide 11: Divisional Update FY23
Divisional — Update FY23
Slide 12: Healthcare
Healthcare Healthcare (in millions of euro) 2023 Δ 2022 Orders 254.9 Topline impacted by high channel inventories -20.3% Sales 285.9 -16.3% Gross profit margins fueled by software-driven product mix Gross Profit 102.9 (13.4) % Sales Change (ppts) 36.0% 2.0 Diagnostic Surgical & EBITDA % Sales Change
Slide 13: Enterprise
Enterprise Enterprise (in millions of euro) 2023 Δ 2022 Orders 304.9 8.4% Gaining market share in agnostic hybrid conferencing Sales 303.8 -4.3% Large Video Walls shifting focus to software; EBITDA turnaround in 2H23 Gross Profit 162.9 (9.5) % Sales Change (ppts) 53.6% -0.7 EBITDA 56.9 (3.8) % Sales
Slide 14: Entertainment
Entertainment (in millions of euro) Entertainment 2023 Δ 2022 Strong growth in Cinema, driven by laser replacements Orders 501.8 9.7% Sales 460.5 15.3% Healthy markets in Immersive Experience, new products in the pipeline Gross Profit 172.6 48.5 % Sales Change (ppts) 37.5% 6.4 EBITDA 57.7 30.2 Immer
Slide 15: Technology themes that inspire our innovation vision
Technology themes that inspire our innovation vision Changing paradigms Dealing with Real-time Excelling in image & Sustainability & of visualization exponential data computing and AI workflow quality impact
Slide 16: Outlook & closing
Outlook & closing
Slide 17: Investments in 2024 for future growth
Investments in 2024 for future growth New product Focused Customer Winning culture & Focused factories introductions factories intimacy sustainability
Slide 18: Outlook 2024
Outlook 2024 The following statements are forward looking on a like-for-like basis and actual results may differ materially For 2024, while the macro-economic and market conditions remain uncertain, we assume a return to normalized customer inventory levels, and we plan for multiple new product laun
Slide 19: Sustained dividend growth
Sustained dividend growth “The Board of Directors will propose to the General Assembly to distribute a gross dividend of 0.48 euro per share, up 0.04 euro versus last year’s dividend of 0.44 euro.” Gross Dividend yield (%) Gross dividend (€) Pay-out ratio (%) Closing share price(€)
Slide 20: 2023 Integrated annual report
2023 Integrated annual report oe a day. oe Visioneering a bright tomorrow
Slide 21: Stay tuned
Stay tuned Financial calendar 2024 Tuesday 23 April Trading update 1Q24 Thursday 25 April Annual general shareholders meeting Wednesday 17 July Announcement results 1H24 Thursday 17 October Trading update 3Q24 More information? Please visit our webpage www.barco.com 21
Slide 22: Visioneering a bright tomorrow
Visioneering a bright tomorrow