Autohellas Sa · ATHEX:OTOEL
Autohellas Sa — Investor Presentation (April 2019)
26 slides from Autohellas Sa's investor presentation, April 2019
Slide 1: Corporate Presentation FY18
Corporate Presentation FY18
Slide 2: Table of Contents
Table of Contents 1. Performance Highlights (3-4) 2. Consolidated Financials (5-12) 3. Strategy (13-15) 4. RAC Greece (16) 5. LTR Greece (17-18) 6. Fleet & Used Cars (19) 7. International Activity (20-21) 8. Auto Trade (22) 9. Dividend Growth (23) 2
Slide 3: The Leading Regional Car Rental Company
The Leading Regional Car Rental Company 2018 • Presence in 8 Countries 2015 • Over 44,500 Vehicles* • 1,200 Employees* 2016 2010 2007 • Over 100 Locations* • €470mn Sales 2011 1996 • €149mn EBITDA • €72mn EBIT • €39mn EAT 1974 2005 * Peak numbers presented 3
Slide 4: Performance Highlights FY 2018
Performance Highlights.. FY 2018 Group Turnover increased +38% to 470mn Earnings After Tax increased +23% reaching (Hyundai & KIA included first time in 2018) 38.8mn. Net Fleet Increase of 4,000 vehicles (+10%) Over 165mn. invested for 12,000 vehicles AutoTrade achieved significant The Group’s main
Slide 5: Consolidated Financials FY 2018 Balanced Growth
CONSOLIDATED FINANCIALS FY 2018 …. Balanced Growth 5
Slide 6: Profitability Growth from Car Rental in Greece & AutoTrade
Profitability Growth from Car Rental in Greece & AutoTrade INTERNATIONAL AUTO TRADE CONSOLIDATION (mil. EUR) GREECE RENTAL CONSOLIDATED Δ% RENTAL GREECE ADJ IFRS REVENUE 187.4 62.2 220.8 0.0 470.4 38% FY18 EBITDA 100.7 33.0 14.8 0.5 148.9 25% EBIT 44.5 14.2 12.8 0.5 71.9 33% EBT 33.9 12.3 10.6 -1.5
Slide 7: Consolidated Income Statement
Consolidated Income Statement +33% EBIT.. +23% EAT Amounts in EUR '000 2008 2012 2015 2016 2017 2018 Δ% LEASING / RENTING 137,237 122,519 137,886 154,306 179,732 198,336 10.4% USED FLEET SALES 49,601 29,464 33,627 32,134 39,386 48,693 26.3% RRR 186,839 151,982 171,513 186,440 219,119 247,030 12.7% A
Slide 8: Greece Tourism Arrivals spur RAC industry growth; Auto Trade Greece
Greece Tourism Arrivals spur RAC industry growth Greece International Air Arrivals (in mn Passengers) 5Y: +63% 20.6 18.5 16.8 +11% 14.7 15.5 12.6 2013 2014 2015 2016 2017 2018 Auto Trade Greece…. A Recovering Depressed Market Greek Passenger Car Market 267,242 267500 220,548 217500 +17% 167500 141,4
Slide 9: Capitalizes on Demand Growth (Tourism) / Rebound (Car Market)
…Capitalizes on Demand Growth (Tourism) / Rebound (Car Market) +8% 62.8 10.8% 58.5 50.6 45.8 103.0 +11% 20.6 34.7 88.0 18.5 79.0 16.8 14.7 12.6 2.3% 2.1% 2013 2014 2016 2017 2018 2016 2017 2018 INT. AIR ARRIVALS AUTOHELLAS RAC REVENUE GR REGISTRATIONS AUTOHELLAS SHARE in mn. tourists in mn. EUR 2012
Slide 10: Group Cash Flow, Improvement despite Capex
Group Cash Flow, Improvement despite Capex …. 2015 2016 2017 2018 Δ% EBITDA 88,111 104,344 119,295 148,912 25% CARS SOLD PROFIT (11,272) (13,556) (13,636) (15,573) 14% CHANGE IN W. CAPITAL (4,557) (8,947) (2,463) (3,619) 47% NET INTEREST PAID (7,494) (10,056) (11,055) (13,753) 24% CORP. TAX (8,966)
Slide 11: Increase in Fleet Net Investment to 113M from 109M in 2017
…..Increase in Fleet Net Investment to 113M from 109M in 2017 REPLACEMENT GROWTH USED CARS SALES PURCHASES NET INVESTMENT 165.5 151.1 139.0 51.9 121.3 41.6 107.5 35.8 104.6 113.6 109.5 103.2 44.9 79.5 29.3 74.8 75.7 71.3 36.1 53.1 76.4 78.2 62.1 68.0 68.5 36.2 33.6 48.0 29.6 37.4 41.3 36.2 23.3 26.3
Slide 12: Autohellas Impressive Performance 2012-2018, Significant Growth Prospects
Autohellas Impressive Performance 2012-2018… …Significant Growth Prospects FLEET (Units) RRR (mil. EUR) TOT. REV. (mil. EUR) 470.4 • Largest Regional RAC / Lease … With Multi Market Growth Potential 340.6 264.8 247.0 • Profitable Even In Crisis ! 219.1 182.9 171.5 186.4 152.0 • Accelerated Growth 20
Slide 13: Strategy / Historical
Strategy / Historical 13
Slide 14: Winning Strategy… with some not so typical choices!
Winning Strategy… with some not so typical choices! RAC & LTR / LEASE DUALITY…. • + Administration / Logistics Efficiency • + Car & Insurance Buying Power • + Duality = Hedge In Cycles…… • + Corporate Customer Relevance • - Capital Requirements Increased 100% Own Stations…no Sub franchisees • + Qual
Slide 15: Winning Strategy…
Winning Strategy… Low Reliance on Car Supplier Buy - Back • + Develop Dealer Relationships • + Exploit Nationwide Facilities • + Increases Supplier Price Discounts • + Higher Used Car Price… Reduces Real Depreciation, Holding Costs ! AUTO TRADE DISTRIBUTION 2016 & 2018 • - More Effort / Some Utiliza
Slide 16: RAC – Short Term Rental / Greece
RAC – Short Term Rental / Greece Fragmented Market Structure With >2,000 Companies 62.8 • Fleet Exploitation Improves 58.5 47.7 50.6 • Utilization Improvement … But Still Low Units 11,700 10,200 10,400 10,900 PEAK FLEET • Yield RPD = Fleet Mix & Peak Demand 30.1 8,000 REVENUE • Forward Improvement T
Slide 17: LTR – Long Term Rental / Greece
LTR – Long Term Rental / Greece Partially Follows Decline …..& Gradual Recovery…..At Lower Car Mix 226.0 • Early-crisis Revenues Decline With Crisis & Tax Driven Model 560.0 180.5 175.4 175.6 176.6 180.1 Mix Downgrade Market FLEET th. • Recovery 2015+….. By 2017…….LTR/ Lease Fleet Back To Units 80%
Slide 18: LTR - Long Term Rental / Greece
LTR - Long Term Rental / Greece Conservative In LTR In Early Crisis.. Dynamic >2014 LTR Continues Growing +12% Rate.. Driven Mainly By New SMEs Customers End of Year FLEET (Units) • 2017….Highest Fleet Growth Year with + 3,000 REVENUE TO EXPIRATION (mil. EUR) Contracted Units 197.3 177.4 • 2018 Reve
Slide 19: Reselling of Fleet Cars
Reselling of Fleet Cars Autohellas Re-Sells Cars independently… Few Supplier Buy Backs… Reduces Real Depreciation & Holding Cost ! LEASING Autohellas Used Cars Sales (Units) Market Used Cars Sales (Th. Units) CUSTOMERS; 100; EXPORT; 10; 0% 2% RAC COMPANIES; 294.0 700; 11% INTRA-GROUP GREECE; 360; 6%
Slide 20: International Activity
International Activity ….>12,000 units, 20% of Group EBIT… Substantial Growth Potential ! …… COUNTRY FLEET EMPLOYEES LOCATIONS REVENUE 2018 (Units) (mil. EUR) BULGARIA 2,200 54 8 15.5/11.6 mil FLEET IFRS REVENUE CYPRUS 2,250 51 5 11.8 mil x2 62.2 57.0 49.1 11,500 ROMANIA 3,150 58 7 16.6 mil 39.0 10,
Slide 21: International Activity
International Activity RAC Revenue / Fleet…Cyprus, Croatia Tourism Drive Growth ! 5,300 units Reached in peak 24.0 21.4 • Utilization Driven Profitability • Yields Lower Than Greece 16.3 • Operating Costs Lower Then Greece 5,300 Units • Croatia / Cyprus / Montenegro Mainly Leisure / 11.6 4,500 Devel
Slide 22: Auto-Trade Activity
Auto-Trade Activity Gained Market Share in all 3 Wholesale Brands… Significant improvement in Used Cars Sales SEAT - HYUNDAI - KIA Aggregate VELMAR New Cars & Used Cars Sales Total Market Share 7,296 11% 6,042 SEAT; 3% 5,385 8% KIA; 3% 5% 1,992 2,000 HYUNDAI; 5% 1,481 1,081 1,127 SEAT; 2% SEAT; 2% 2
Slide 23: Strong Operating Cash Flow Allows Significant Dividend Growth
Strong Operating Cash Flow Allows Significant Dividend Growth …While Expansion CAPEX Takes Place DIVIDEND PAYOUT 1.50 1.10 • 105mn Operating Cash Flow After Interest 0.85 0.85 18.3 & Taxes 0.64 0.36 13.4 10.3 10.3 7.7 • From €0.64 / share in the mid-crisis… to 4.4 €1.50 proposal to AGM for 2018 2008
Slide 24: Appendix
APPENDIX 24
Slide 25: Trading Update - Highlights FY18
Trading Update - Highlights FY18 470mn Revenues with 3 dynamically developing pillars of activity • Autohellas Group's turnover reached €470m., compared to €340m. in 2017, recording an increase of 38%, while earnings before taxes, financial and investment results (EBIT) reached €72m. compared to €54
Slide 26: Consolidated Balance Sheet
Consolidated Balance Sheet Consolidation of Auto Trade + Growth… weigh on Balance Sheet.. size >245 M Equity, 2018 x2.3 times to Pre-Crisis 2008 2008 2012 2014 2015 2016 2017 2018 Δ% VEHICLES 260,891 195,225 216,951 249,216 302,545 358,184 406,271 13% REAL ESTATE 55,730 55,748 63,754 115,661 114,229