H2apex Group Sca · XETR:H2A
H2apex Group Sca — exceet Group — FY2015 Earnings Presentation
42 slides from H2apex Group Sca's earnings presentation, March 2016
Slide 1: Company Presentation
Company Presentation March 2016 exceet Group | November 2013
Slide 2: Agenda
▪ Business Model ▪ Selected Applications & Operational Highlights ▪ Financial Review & Analysis ▪ Growth Strategy & Group Strengths 2 exceet Group | March 2016
Slide 3: exceet at a glance
EXCEET AT A GLANCE exceet is an international technology group (in EUR million) FY 2013 FY 2014 FY 2015 specialized in development and production Net Sales 190.8 185.3 181.6 of intelligent, complex and secure electronics EBITDA 18.3 19.0 12.7 EBITDA Margin 9.6% 10.3% 7.0% exceet is focussed on the H
Slide 4: Our activities
OUR ACTIVITIES Electronic Manufacturing Embedded & Box Building Systems Sensors ID Management & Personalization Printed Circuit Boards Trust Center Value Engineering Applications Devices SOLUTIONS GRC Consulting Connectivity IoT Platform IoT Security 4 exceet Group | March 2016
Slide 5: Our segments
OUR SEGMENTS Reporting Segments* Competences End Markets* Applications Health Hearing Aids ECMS Miniaturization Diagnostic Devices Wearables 70% Implants Telematic Infrastructure & Applications 70% Certified Box- Electronic Health Cards Building 34% of group net sales Industry Machine
Slide 6: Agenda
▪ Business Model ▪ Selected Applications & Operational Highlights ▪ Financial Review & Analysis ▪ Growth Strategy & Group Strengths 6 exceet Group | March 2016
Slide 7: Body wearable electronics
BODY WEARABLE ELECTRONICS Miniaturized, complex, durable electronics for highest medical requirements Strategic focus Electronics in sophisticated applications Focus on miniaturized electronics for Hearing Aid EEG sophisticated applications in life supporting systems, diagnostic and Body Area Netw
Slide 8: Body wearable electronics
BODY WEARABLE ELECTRONICS exceet as a full-service partner along the entire value chain Store Wearable Monitor securely Device developed and manufactured by exceet Mobile monitoring APP Secure cloud storage Highlights Advantages for customers / users exceet will develop and manufacture new body
Slide 9: Implantable cardioverter defibrillator
IMPLANTABLE CARDIOVERTER DEFIBRILLATOR Development & Production of highly miniaturized, extremely durable PCBs 4-Layer Ridgit-Flex Board by exceet Newest generation of Implantable Cardioverter Defibrillator Description Advantages for customers / users exceet provides the PCB for a subcutaneous R
Slide 10: Post urography system
POST UROGRAPHY SYSTEM Manufacturing of innovative Medical Device for Neurology, Orthopaedics & Sports Medicine Description exceet as a partner for development, prototyping, serial production and certification of medical products Special USB hub with interface to sensors and sensor readers; data
Slide 11: Multi-channel optical transceiver
MULTI-CHANNEL OPTICAL TRANSCEIVER Fast Data Communication – especially in small spaces Optical Signal Multi-Channel Optical Transceiver Electronic Signal Description Advantages for customers / users Optical signals are converted to electrical Reduction of cost and space in the field of informati
Slide 12: Electronics for building automation
ELECTRONICS FOR BUILDING AUTOMATION Modern, user friendly Control Units & Displays for Energy Efficiency Homes Description Advantages for customers / users Control unit & display Ventilation in rented apartments can be centrally for ventilating system for controlled ventilation controlled by the
Slide 13: Electronic equipment for ropeways
ELECTRONIC EQUIPMENT FOR ROPEWAYS exceet provides the Central Processing Unit (CPU) for presentation of multimedia-based content on displays Description Advantages for costumers / users Ropeways for tourism, winter sports & urban Communication between gondola and ground mobility with innovative
Slide 14: Cards for any kind of industry
CARDS FOR ANY KIND OF INDUSTRY Banking & Health Loyalty Access & Transport for banking for retail, banking, tourism for public authorities & transportation Contact and dual interface card Innovative loyalty, cash-back & Contactless RFID-based solutions solutions for the Banking area coupon sol
Slide 15: Devices for M2M solutions
DEVICES FOR M2M SOLUTIONS exceet communication box supplements the control system of one of the largest car wash groups in Europe Description Advantages for customers / users Communication box Just in time information about car wash use, > router incl. SIM card for mobil communication detergent
Slide 16: Industrial IoT solutions
INDUSTRIAL IoT SOLUTIONS Intelligent & secure networking of machine tools Description Advantages for costumers / users Selection and realization of a costumer specific Comprehensive, real-time machine tool data pilot IoT Platform for networking of machine tools available at different locations a
Slide 17: IoT readiness
IOT READINESS Market Requirements exceet Offers Access-, Personalization- & Payment Solutions Consulting Hardware Software Services secure authentification & identification PKI solutions (Public-Key-Infrastructures) data integrity & confidentiality HSMs (Hardware-Security-Modules) – implemen
Slide 18: Agenda
▪ Business Model ▪ Selected Applications & Operational Highlights ▪ Financial Review & Analysis ▪ Growth Strategy & Group Strengths 18 exceet Group | March 2016
Slide 19: Financial highlights
FINANCIAL HIGHLIGHTS ▪ Free Cash Flow EUR 2.7 million (2014: EUR 6.6 million) driven by: ▪ Full Year 2015 Revenues are ▪ Operational Cash Flow EUR 9.1 down 2.0% to EUR 181.6 million million (2014: EUR 12.1 million) Free Cash Net Sales ▪ Capex of EUR 6.3 million ▪ Organic decline: 8.1% Flow (2014: EU
Slide 20: Net sales Q4 2015 and full year 2015
NET SALES (in EUR 1’000) 1’516 1’370 787 Q4 2015 45’252 46’768 48’925 Actual Q4 2014 Organic growth Like for like FX Impact Scope changes Actual Q4 2015 (15’052) 3’983 7’349 Full year 2015 185’312 170’260 181’592 Actual 2014 Organic decline Like for like FX Impact Scope changes Actual 2015 FX rate E
Slide 21: Net sales by countries 2015
NET SALES BY COUNTRIES 2015 (in EUR 1’000) 1% 20% Germany 22% Switzerland 41% 45% Austria 8% The Netherlands 11% Others 18% 34% 21 exceet Group | March 2016
Slide 22: EBITDA Q4 2015 and full year 2015
EBITDA (in EUR 1’000) 306 125 89 Q4 2015 4’255 4’469 4’469 3’949 3’949 Actual Q4 Non-recurring Recurring Organic Like for like FX Impact Scope Impact Recurring Non-recurring Actual Q4 2014 items growth EBITDA items 2015 Full year 2015 (7’774) 873 512 19’042 19’042 11’268 12’653 12’653 Actual 2014 No
Slide 23: Net working capital
NET WORKING CAPITAL (in EUR million) 70 93,1 100,0 93.4 89,1 85,2 85,6 85,7 90,0 60 81,6 79,0 Trade payables Inventories 75,3 73,0 74,3 80,0 71,0 72,0 50 63,4 64,4 70,0 62,4 Other current liabilities Accrued expenses / deffered income 60,0 40 50,0 Current income 30 tax liabilities 40,0 20 30,0 Trade
Slide 24: From EBITDA to free cash flow
FROM EBITDA TO FREE CASH FLOW (in EUR 1’000) 1’228 (4’935) (919) 1’051 12’653 (6’334) 2’744 Reported EBITDA Non-cash items Taxes paid Interest paid Change in NWC Net Capex Free Cash Flow recorded above EBITDA ■ Free Cash Flow in 2015 EUR 2.7 million versus EUR 6.6 million in 2014 ■ Main Free Cash Fl
Slide 25: Net debt
NET DEBT (in EUR 1’000) (2’744) 685 2’200 (1’519) 9’440 8’062 Actual 2014 Free Cash Flow Impact of FX rates on Impact of FX rates on Others Actual 2015 cash borrowings Borrowings 40'394 Borrowings 41'318 Cash (30'954) Cash (33'256) Net Debt 9'440 Net Debt 8'062 ■ Net Debt decrease in 2015 by EUR 1.3
Slide 26: Actuals & medium-term targets
ACTUALS & MEDIUM-TERM TARGETS Net Sales (EUR million) Organic Growth Rate (%) 12.4% 10.8% 188,8 190,8 185,3 181,6 7.9% 170,5 5.0% 3.4% 1.9% Medium- (2.4%)(2.2%) term (3.4%) target (6.4%) (6.8%) 50,9 49,0 48,4 44,5 47,2 45,2 46,0 42,6 44,1 48,9 (7.9%) 43,1 47,8 (9.2%) (8.1%) (11.6%) (11.7%) (12.4%) (
Slide 27: Agenda
▪ Business Model ▪ Selected Applications & Operational Highlights ▪ Financial Review & Analysis ▪ Growth Strategy & Group Strengths 27 exceet Group | March 2016
Slide 28: Growth strategy
GROWTH STRATEGY ▪ Exploit fragmented market structure ▪ Leverage customer ▪ Enhance value chain coverage relationships Market Existing Consolidation Customers ▪ Expansion of ▪ Extend customer base technological through new healthcare capabilities applications e.g. Ultra HDI ▪ e.g. medical implants T
Slide 29: Group strengths
GROUP STRENGTHS Strong skills in development & manufacturing of miniaturized electronic components, modules & Miniaturization systems Specialist with many years of experience in development and manufacturing of complete medical Health devices and experienced Partner for FDA approvals & certification
Slide 30: is exciting
is exciting exceet Group | November 2013
Slide 31: Annex
Annex 31 exceet Group | March 2016
Slide 32: History of exceet
HISTORY OF EXCEET 2006 2008 2009 2010 2011 2012 2014 2015 Add-on acquisitions Acquisition of Merger with Card Acquisition of Acquisition of Acquisition of Acquisition of Foundation of ECR AG and GS Mikrap AG and Factory Group1) Winter AG and AuthentiDate Inplastor Gmbh Valtronic exceet USA, Inc. Swi
Slide 33: Top customers
TOP CUSTOMERS Top 10 Customer = 38% of total Sales Selected References Customer Revenue in EUR million BERTELSMANN TRANS LINK BARCLAYCARD PHILIPS Health 14.4 CERN PHONAK Industry 9.6 COCHLEAR POSTBANK DELPHI RED BULL Health 8.2 DINERS CLUB RITTAL Health 8.1 DORNIER ROCHE DIAGNOSTICS DOUGLAS SANDOZ T
Slide 34: Production & engineering sites
PRODUCTION & ENGINEERING SITES ECMS ESS IDMS Berlin, D 9 1 7 Design, development, Düsseldorf, D industrialization and series Groningen, NL Software, Services (Cloud Services) and production for high-end complex Development & Production Consulting for Secure Business Processes electronic and electroo
Slide 35: Ownership – Class A shares
OWNERSHIP – CLASS A SHARES1) Eiflia Holdings GmbH 0.7% Hans Hofstetter 1.1% exceet Group (treasury shares) 2.2% Roland Lienau 0.3% Management (MM Reutner, Trommershausen, Wolny) 5.7% Free Float 28.3% Class A Shares: Oranje-Nassau Participaties B.V. (Wendel) 27.8% 20’523’695 Greenock S.à r.l. (VM Cap
Slide 36: Ownership - Class B and C shares
OWNERSHIP - CLASS B AND C SHARES Class B (Founding) Shares 1) Class C (Earn-Out) Shares 1) 5.21 million shares 9.0 million shares Oranje-Nassau Participaties B.V. (Wendel) 89.00% Greenock S.à r.l. (Vorndran Mannheims Capital) 87.30% Prof. Hermann Simon 5.50% Ulrich Reutner 6.05% Roland Lienau 5.50%
Slide 37: Management team
MANAGEMENT TEAM 2012 Wolf-Günter Freese Robert Wolny Jan Trommershausen Acting Chief Executive Officer Chief Operating Officer IDMS Chief Operating Officer ECMS & Chief Financial Officer 37 exceet Group | March 2016
Slide 38: Consolidated financials: income statement
CONSOLIDATED FINANCIALS January – December 2014 & 2015 Income Statement (in EUR 1'000) 2015 2014 Revenue 181'592 185'312 Cost of sales (154'574) (152'249) Gross profit 27'018 33'063 % margin 14.9% 17.8% Distribution costs (13'810) (13'335) Administrative expenses (12'661) (12'483) Other operating in
Slide 39: Consolidated financials: balance sheet
CONSOLIDATED FINANCIALS 31 December 2014 / 31 December 2015 Assets (in EUR 1'000) 31 December 2015 31 December 2014 Tangible assets 34'425 34'246 Intangible assets 60'944 61'063 Deferred tax assets 1'362 1'335 Other non current assets 216 213 Inventories 30'440 31'593 Trade receivables, net 22'720 2
Slide 40: Consolidated financials: cash flow statement
CONSOLIDATED FINANCIALS January – December 2014 & 2015 Cash Flow Statement (in EUR 1'000) 2015 2014 Earnings before taxes (146) 6'877 Depreciation, amortization & impairment charges 10'511 10'115 Interest income / (expenses), net 1'065 1'039 Change in fair value in financial instruments (1'401) 566
Slide 41: Consolidated financials: segment information
CONSOLIDATED FINANCIALS January – December 2014 & 2015 Segment Information ECMS IDMS ESS Corporate & Eliminations Group Others Consolidation Jan. - Dec. Jan. - Dec. Jan. - Dec. Jan. - Dec. Jan. - Dec. Jan. - Dec. (in EUR 1'000) 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 2015 2014 Net Sales 12
Slide 42: Disclaimer & contact
DISCLAIMER & CONTACT This presentation contains forward-looking statements based on beliefs of exceet Group SE management. Such statements reflect current views of exceet Group SE with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially