H2APEX Group SCA · XETR:H2A
H2APEX Group SCA — exceet Group S.E. — H1 2013 Earnings Presentation
32 slides from H2APEX Group SCA's earnings presentation, 2013
Slide 1: exceet Group S.E. Investor Presentation Q2/H1 2013
exceet Group S.E. Investor Presentation Q2/H1 2013 exceet Group S.E. | 1420 Luxembourg | Luxembourg
Slide 2: exceet Group S.E.
EXCEET GROUP S.E. Technology Holding providing development, production and services for intelligent electronics in Sales 2012 € 190m the Health, Industry and Security markets. The group combines know-how in development and Employees 1.000 production of complex electronic systems and an extensive, lo
Slide 3: Production & Engineering Sites
PRODUCTION & ENGINEERING SITES ECMS ESS IDMS Berlin, D Design, development, Düsseldorf, D Groningen, NL industrialization and series Software, Services (Cloud Services) and Development & Production production for high-end complex Consulting for Secure Business Processes of debit & credit cards elect
Slide 4: Our Solutions
OUR SOLUTIONS exceet Solutions Applications Competences PCBs Miniaturization Medical Certified Box- Imaging Building Health Multichannel Embedding Transceivers Level Sensor Preise Placement Modules Industry Chips & Biometry Sensors Secure Secure Data Communication Handling Security 4 exceet Group S.
Slide 5: Our Markets & Growth Drivers
OUR MARKETS & GROWTH DRIVERS Share of group Industry-CAGR until 2015 Market drivers revenues by sub-end markets Cochlea 22% Aging population Developments in medical imaging Hearing aid 9% Miniaturization of implants Defibrillator 9% 47% Tomography 8.5% Insulin pumps 7% Health Embedded PCs 22%
Slide 6: Health: Implant for Muscle Stimulation
HEALTH: IMPLANT FOR MUSCLE STIMULATION Support of weak heart muscle 1 2 exceet value added Miniaturization of all electronic components Complete product design, development and manufacturing 3 Implant fulfils highest quality requirements on FDA Level Life cycle oriented production process Li
Slide 7: Health: Computer Tomography
HEALTH: COMPUTER TOMOGRAPHY Illustration exceet value added Supply key components for most advanced detector technologies Development of cutting edge technology employing latest manufacturing technologies (wafer scale packaging with through silicon via) One of the core elements for higher resoluti
Slide 8: Industry: M2M Value Chain
INDUSTRY: M2M Value Chain Controller Communication Network M2M User Customer Hardware Hardware operator Services Machine Machine Data Required 8 exceet Group S.E. | 1420 Luxembourg | Luxembourg
Slide 9: Security Technology: Mobile Security Solutions
SECURITY TECHNOLOGY: MOBILE SECURITY SOLUTIONS Personalization of SIM-cards used as secure element in NFC smartphones exceet`s customers benefit from our experience in personalization of debit and credit cards Legic Micro-SD for secure mobile access exceet`s solutions provide NFC smartphones with a
Slide 10: Customers
CUSTOMERS Top 10 Customer = 42% of total Sales Selected References Customer Turnover in Mio. € BERTELSMANN MYOPOWERS BARCLAYCARD TRANS LINK MedTech 16.7 CERN PHILIPS MedTech 14.3 COCHLEAR PHONAK DELPHI POSTBANK MedTech 10.1 DINERS CLUB PAYBACK Industrial Automation 9.9 DORNIER RED BULL DOUGLAS RITTA
Slide 11: Financial Highlights
FINANCIAL HIGHLIGHTS H1 2013 revenues rose 0,2m€ to 90,8m€, reflecting 0,3% total growth, mainly driven by H1 Group Sales (€ million) scope impact of +8,3%, partially offset by organic decline of -7,4% and FX impact of -0,6%. Q2 2013 has shown +7,2% total growth, organic growth turned positive to +1
Slide 12: Revenue Bridge from Actual H1 2012 to Actual H1 2013
REVENUE BRIDGE FROM ACTUAL H1 2012 TO ACTUAL H1 2013 -7,4% 90.6 90.8 6.7 83.9 7.5 0,5 FX rate EUR/CHF: Actual H1 2012 :1.2050 Actual H1 2013 :1.2299 FX rate EUR/USD : Actual H1 2012 :1.2964 Actual H1 2013 :1.3130 Actual H1 12 Organic Like-for-like H1 13 FX impact H1 13 Scope changes H1 13 Actual H1
Slide 13: Revenue Bridge from Actual Q2 2012 to Actual Q2 2013
REVENUE BRIDGE FROM ACTUAL Q2 2012 TO ACTUAL Q2 2013 1.9% 47.8 44.6 45.4 2.7 0,9 0,3 FX rate EUR/CHF: Actual Q2 2012 :1.2015 Actual Q2 2013 :1.2315 FX rate EUR/USD : Actual Q2 2012 :1.2843 Actual Q2 2013 :1.3068 Actual Q2 12 Organic Like-for-like Q2 13 FX impact Q2 13 Scope changes Q2 13 Actual Q2 1
Slide 14: EBITDA Bridge from Actual H1 2012 to Actual H1 2013
EBITDA BRIDGE FROM ACTUAL H1 2012 TO ACTUAL H1 2013 7.3% 8.9% 9.2% 9.0% 9.0% 8.1 8.2 8.2 0,0 0,3 7.7 0.5 0,0 1.4 6.6 FX rate EUR/CHF: Actual H1 2012 :1.2050 Actual H1 2013 :1.2299 FX rate EUR/USD : Actual H1 2012 :1.2964 Actual H1 2013 :1.3130 Actual H1 12 Non recurring Recurring Organic Like-for- F
Slide 15: EBITDA Bridge from Actual Q2 2012 to Actual Q2 2013
EBITDA BRIDGE FROM ACTUAL Q2 2012 TO ACTUAL Q2 2013 4.0% 6.8% 11,4% 11.2% 11.2% 5.2 5.3 5.3 0,2 0,0 0,0 2.2 FX rate EUR/CHF: Actual Q2 2012 :1.2015 Actual Q2 2013 :1.2315 3.0 1.3 FX rate EUR/USD : 1.8 Actual Q2 2012 :1.2843 Actual Q2 2013 :1.3068 Actual Q2 12 Non recurring Recurring Organic Like-for
Slide 16: Reported H1/Q2-13 vs Medium-Term Targets
REPORTED H1/Q2-13 VS MEDIUM-TERM TARGETS Group Sales (€ million) Organic Growth Rate (%) 19,7% 188.8 15,0% 170.5 10,8% 5,0% 7,5% 3,0% 1,9% 10,0% 50.9 50.5 -6,4% 41.6 46.0 44.6 47.7 43.1 47.8 -12,9% -12,6% -16,5% -18,6% Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Medium- 2011 2011 201
Slide 17: Strengths
STRENGTHS Strong skills in development & manufacturing of miniaturized electronic components, Miniaturization modules & systems Specialist with many years of experience in development and manufacturing of complete Health medical devices and experienced Partner for FDA approvals & certifications Full
Slide 18: Thank you for your attention
Thank you for your attention exceet Group S.E. | 1420 Luxembourg | Luxembourg
Slide 19: Appendix
Appendix exceet Group S.E. | 1420 Luxembourg | Luxembourg
Slide 20: From EBITDA to Free Cash Flow – H1 2013
FROM EBITDA TO FREE CASH FLOW – H1 2013 8.2 -0,2 -2,5 -0,4 -4,1 -4,7 -3.7 Group reported Non cash Tax paid Interest paid Change in NWC Net Capex Free Cash Flow EBITDA items recorded above EBITDA H1 2013 Free cash flow reached -3,7m€, as EBITDA (+8,2m€) was more than offset by sustained Capital Expen
Slide 21: Net Debt Evolution between 31.12.12 and 30.06.13
NET DEBT EVOLUTION BETWEEN 31.12.12 AND 30.06.13 18.7 0,2 0,1 0,6 3.7 14.0 Net financial Free Cash Acquisition of Impact of FX Others Net financial debt 31.12.2012 Flow H1 13 subsidiaries & non rates on cash debt 30.06.2013 controlling interests Net financial debt reached 18,7m€ at the end of June 2
Slide 22: Net Working Capital Analysis
NET WORKING CAPITAL ANALYSIS Liabilities Assets Trade payables Inventories 65 93,1% 100 60 85,2% 85,6% 90 55 75,3% Other current 72,8% 71,0% liabilities 80% 50 Accrued expenses 62,4% 45 and deferred income 70% 57,3% 40.6 40.1 40.9 40 53,7% 60% 35.8 Tax liabilities 35 33.5 30.9 29.2 28.7 50% 30 25 22
Slide 23: Group Income Statement
GROUP INCOME STATEMENT H1 2013 / H1 2012 (in €m) June 30, 2013 June 30, 2012 Revenue 90,8 90,6 Cost of sales -74,8 -76,0 Gross profit 16,0 14,6 % margin 17,6% 16,1% Distribution costs -7,0 -6,2 Administrative expenses -6,3 -6,9 Other operating income 0,6 0,9 EBIT 3,3 2,4 % margin 3,7% 2,7% Net finan
Slide 24: Sales and Profit per Segment
SALES AND PROFIT PER SEGMENT H1 2013 / H1 2012 ECMS IDMS ESS Corporate and others Intersegment elimination Group consolidation in euros million 2013 2012 2013 2012 2013 2012 2013 2012 2013 2012 2013 2012 External revenue 69 228 63 929 19 695 24 742 1 917 1 914 0 0 90 840 90 585 Intersegment 192 0 15
Slide 25: Cash Flow Statement
CASH FLOW STATEMENT H1 2013 / H1 2012 June 30, 2013 June 30, 2012 Profit before income tax 6,6 -2,4 Depreciation & amortization 4,9 4,2 Other non cash items -0,5 0,4 Interest Income/(expense), net -2,9 4,6 Operating results before changes in net working capital 8,0 6,7 Changes to net working capital
Slide 26: Balance Sheet
BALANCE SHEET H1 2013 / FY 2012 ASSETS June 30, 2013 December 31, 2012 Tangible assets 32,8 31,4 Intangible assets 60,5 62,3 Deferred tax assets 0,6 0,5 Other non current assets 0,2 0,2 Inventories 36,2 35,8 Trade receivables, net 23,5 20,1 Other current receivables 2,8 3,1 Current income tax receiv
Slide 27: IAS 19: Impact on H1 2012 Accounts
IAS 19: IMPACT ON H1 2012 ACCOUNTS Impact of IAS 19 H1 2012 reported H1 2012 restated Net Change Impact on Personal Costs -26,900 -27,048 -0,148 Impact on EBITDA 6,775 6,627 -0,148 Impact on Interest Costs -1,549 -1,591 -0,042 Impact on Financial Result -4,803 -4,845 -0,042 Impact on Tax Charge -1,3
Slide 28: History of exceet
HISTORY OF EXCEET exceet’s history Acquisition of Add-on acquisitions AuthentiDate of ECR AG and GS Merger with Card Acquisition of International AG and Swiss PCB AG Factory Group1) Winter AG Contec GmbH2) 2006 2007 2008 2009 2010 2011 2012 Foundation of AEM Acquisition of Ulrich Reutner Change of g
Slide 29: Ownership Structure
OWNERSHIP STRUCTURE Eiflia Holdings GmbH 0.7% Hans Hofstetter 0.9% exceet Group (Treasury shares) 2.2% Roland Lienau 0.5% Management (Reutner, Wolny, Trommershausen) 5.8% Free Float 28.2% Class A Oranje-Nassau participates B.V. (Wendel )28.4% Shares: 20,523,695 Greenock S.a.r.l (VMCap) 33.9% Class A
Slide 30: Class B and C Shares
CLASS B AND C SHARES Class B (Founding) shares Class C (Earn-out) shares 5.21 m Founding Shares 9.0m Earn-out Shares 1 Ventizz Capital Fund III 87.3% 1 Wendel 89.0% 2 Ulrich Reutner 6.0% 2 Prof. Hermann Simon 5.5% 3 Robert Wolny 6.0% 3 Roland Lienau 5.5% 4 Jan Trommershausen 0.6% Total share of foun
Slide 31: Management Team
MANAGEMENT TEAM Robert Wolny Ulrich Reutner Jan Trommershausen Chief Operating Officer IDMS Chief Executive Officer Chief Operating Officer ECMS 31 exceet Group S.E. | 1420 Luxembourg | Luxembourg
Slide 32: 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