Slide 1: Success in Megatrends
3U HOLDING AG Success in Megatrends Marburg, September 2019
Slide 2: Contents
CONTENTS Investment Case 3U HOLDING AG 4 Events and results – first half of FY 2019 6 Successful in megatrends – cloud computing 12 Successful in megatrends – online trading 18 Successful in megatrends – renewable energies 22 Summary 24 Option: IPO of weclapp 27 Annex 32 2
Slide 3: Successful Business in Three Megatrends
SUCCESSFUL BUSINESS IN THREE MEGATRENDS ITC Segment RE Segment SHAC Segment Information- and Renewable Sanitary, Heating, Telecommunication Technology Energies Air Conditioning - Cloud Computing - Project - E-Commerce ERP for SME Acquisitions and Disposals - Production - Telecommunications - Power G
Slide 4: Investment Case 3U Holding
INVESTMENT CASE 3U HOLDING 3U Growth Strategy: Enhance Technologies, Overcome Barriers to Growth, Tap Potential ✓ Successful business models in three megatrends: ➢ cloud computing ➢ e-commerce ➢ renewable energies ✓ Goal: Market leadership in key business areas ✓ Profitable business models in all th
Slide 5: Key Growth Drivers: E-Commerce and Cloud Computing
KEY GROWTH DRIVERS: E-COMMERCE AND CLOUD-COMPUTING Revenue in kEUR CAGR: 40 % ~ 20,000 17.424 15.689 12.872 11.679 9.476 5.998 4.029 1.513 2011 2012 2013 2014 2015 2016 2017 2018 2019 (e) CAGR: 120 % ~ 4,500 3.032 1.907 1.030 546 339 59 2013 2014 2015 2016 2017 2018 2019 (e) Organic Growth Continues
Slide 6: Events and results of the first six months of FY 2019
Events and results of the first six months of FY 2019 6
Slide 7: weclapp and Selfio Continue Their Unchecked Growth Course
WECLAPP AND SELFIO CONTINUE THEIR UNCHECKED GROWTH COURSE Revenue development in EUR mn since 2015 Multi-award-winning cloud-based ERP-System! Sustainable organic growth thanks to ➢ effective online marketing, ➢ technology and price leadership, ➢ genuinely cloud-based platform, 2,1 1,4 ➢ leading edg
Slide 8: First Half of 2019: Positive Development in All Segments
FIRST HALF OF 2019: POSITIVE DEVELOPMENT IN ALL SEGMENTS Revenue and EBITDA in EUR mn: Q2/2018 vs. Q2/2019 and H1/2018 vs. H1/2019 ■ Revenue ITC • ITC: Voice retail slow as expected, cloud EBITDA 7,6 computing with high growth and earnings 6,9 contribution • Renewable Energies: 3,9 lower wind yield
Slide 9: Revenue Growth in First Half of 2019
REVENUE GROWTH IN FIRST HALF OF 2019 ADDITIONAL INCOME FROM PROPERTY SALE Development in EUR mn (consolidated): Q2/2018 vs. Q2/2019 and H1/2018 vs. H1/2019 Revenue • Operating profitability slightly improved • In previous year period EBITDA and net earnings came in higher thanks to M&A activities 22
Slide 10: 3U Group: Strong Balance Sheet and Solid Cash Flow
3U GROUP: STRONG BALANCE SHEET AND SOLID CASH FLOW in EUR mn 30.06.2019 31.12.2018 Total asstes 75.3 74.5 Inventory 7.9 7.0 Cash and cash equivalents 12,0 12.3 Shareholders‘ equity 41,9 42.4 Equity quota 54.5 % 55.6 % Debt ratio 83.6 % 79.7 % (Liabilities/Equity) Free cash flow 2.78 8.7 (Op. CF + In
Slide 11: Forecast 2019 Raised: Transaction Provides Marked Earnings Upswing
FORECAST 2019 RAISED: TRANSACTION PROVIDES MARKED EARNINGS UPSWING Development in EUR mn: 2016 – 2019 (e) Revenue 51– 55 EBITDA-Margin 19% – 22% 14,2% 14,0% 48,0 46,9 10,7% 43,7 2016 2017 2018 2019 (e) 2016 2017 2018 2019 (e) EBITDA Net result 10 – 12 4–5 6,7 6,7 4,7 1,9 1,1 0,6 2016 2017 2018 2019
Slide 12: weclapp: Technology Leader, Price Leader
weclapp: ✓ Technology leader ✓ Price leader Goal: Market leader! 12
Slide 13: weclapp: Built for Teams
WECLAPP: BUILT FOR TEAMS Unique selling proposition: ➢ Joy of use ➢ Genuinely cloud-based: consistent, scalable, expendable, universal, low price ➢ International: ▪ focus on materials management (not accounting!) ▪ multi-lingual, multi-currency, multi-location ➢ Platform: Java EE kernel, many extens
Slide 14: ERP-Systems: Evolutionary Steps
ERP-SYSTEMS: EVOLUTIONARY STEPS Highly advanced, flexible and More affordable scalable, ubiquitous wiorking. Large Corporations Server- and desktop- Affordable for SME Maximum automatisation and Mainframe Computers based 100 % cloud-based and hence hence maximum efficiency of IT-Systems precursor of
Slide 15: weclapp: Serving Growth Markets
WECLAPP: SERVING GROWTH MARKETS Market potential Cloud software spending Number of SMB (2015, 18 % CAGR) • Cloud computing as a Worldwide megatrend: growth of 25% 200+ million $ 27.9 bn p.a. in Germany • Above-average potential at small and medium-sized companies • Trend away from on- Europe premise
Slide 16: weclapp: Performing Successfully
WECLAPP: … PERFORMING SUCCESSFULLY! • Sales growth of over 100% p.a. in the past 3 years Marburg • Now more than 2,500 corporate customers Frankfurt Kitzingen and more than 12,000 users per day in Würzburg 35 countries, 7 languages with a focus on Mumbai Germany 2.500 2.000 total net customers ➢ Med
Slide 17: weclapp Goals and Growth Drivers
GOALS Market leadership International expansion IPO GROWTH DRIVERS CONTINUOUS IMPROVEMENT Ensure profitability, invest in the future Increase pace and developer capacity (internal and external) 17
Slide 18: Selfio: Successful in online trading
Selfio: Successful in online trading thanks to high quality of advice and sales 18
Slide 19: Selfio: Facts and Figures
SELFIO: FACTS AND FIGURES • Founded in 2011, Selfio is an online trader (www.selfio.de) of professional DIY products, including well-known brands such as Buderus, Wilo, Grundfos, Biral, Junkers, Viessmann and Wolf. • Approx. 200,000 customers, currently with approx. 6,000 new customers each month •
Slide 20: Selfio: Future Market of Online Trading
SELFIO: FUTURE MARKET OF ONLINE TRADING ➢ Strategy: • Expansion of 3U’s online trading activities into a leading, profitable trading platform for sanitary, heating and air conditioning technology (SHAC) by means of internal and external growth • Improvement in profitability Online sales in Germany*
Slide 21: Selfio Goals and Growth Drivers
Gain market share GOALS Top 100 Online Vendors International expansion Profitability GROWTH DRIVERS CONTINUOUS IMPROVEMENT Logistics optimisation and enhancement Optimisation data usage/algorithms/software 21
Slide 22: Renewable energy: Wind and solar power
Renewable energy: Wind and solar power 22
Slide 23: Good Earnings and Cash Flow in the Renewable Energy Segment
GOOD EARNINGS AND CASH FLOW IN THE RENEWABLE ENERGY SEGMENT ➢ Successful project manager in the field of renewable energy • Cash flow is generated from income from power generation • 3U Group as buyer and seller of already constructed wind farms • Power generation capacity currently at around 45 MWp
Slide 24: Summary
3U #- HOLDING Summary 24
Slide 25: Research Focus Artificial Intelligence: Innovation Driver
RESEARCH FOCUS ARTIFICIAL INTELLIGENCE: INNOVATION DRIVER – LINK BETWEEN BUSINESSES Efficient goods and warehouse management B2B PELIA B2C Trading algorithms ITC weclapp Optimisation of online marketing Selfio SHAC DCS ClimaLevel Added value + Unique selling AI propositions Optimum use + of data + R
Slide 26: Enhance Our Technologies, Overcome Barriers to Growth, Develop New Potential
ENHANCE OUR TECHNOLOGIES, OVERCOME BARRIERS TO GROWTH, DEVELOP NEW POTENTIAL • 2018 was a successful year, and 2019 will be considerably better. • We see strong potential for further sales growth and increased earnings in 2019 and the following years. • We create value • thanks to the rapid growth s
Slide 27: Option: IPO of weclapp
3U #- HOLDING Option: IPO of weclapp 27
Slide 28: weclapp: The Success Story Continues
WECLAPP: … THE SUCCESS STORY CONTINUES! Medium and long-term strategy • Accelerated growth, partly by means of increasing focus on bigger customers • Internationalisation of the online marketing strategy, gradual expansion of the online marketing strategy that we have applied very successfully so fa
Slide 29: Growth Scenario Requires and Justifies IPO and Valuation
GRWOTH SCENARIO REQUIRES AND JUSTIFIES IPO AND VALUATION weclapp potential: ambitious goals for 2019–2023 ➢ Organic revenue growth CAGR 2019 – 2023: approx. 50 % (planning assumptions) ➢ revenue growth M&A: strategic assumptions depend on financing an opportunities ➢ EBITDA-margin: sustainably 20 –
Slide 30: weclapp M&A Growth from 2019 to 2023
WECLAPP M&A GROWTH FROM 2019 TO 2023 INVESTMENT CRITERIA FOR CLOUD COMPUTING Investment criteria for cloud computing • ERP on-premises software • “Functional fit” as high as possible • Degree of standardisation as high as possible (customisation for each customer as low as possible) • Number of cust
Slide 31: Growth with Support from the Capital Market
GROWTH WITH SUPPORT FROM THE CAPITAL MARKET Option: IPO of weclapp SE in 2020 • In view of weclapp’s excellent international growth prospects, with significant investments required • in internationally effective online and offline marketing • in establishing and expanding internationally positioned
Slide 32: Annex
3U #- HOLDING 32
Slide 33: Dividend, Share Price and Shareholder Structure
DIVIDEND, SHARE PRICE AND SHAREHOLDER STRUCTURE Share price performance (12 months) Shareholder structure 6.2 % 30.1 % 63.7 % Free float Management and Supervisory Board Treasury shares Information on the share Market segment Prime Standard Dividend policy: • Roughly half of the consolidated net pro
Slide 34: Financial Calendar & Contact
FINANCIAL CALENDAR & CONTACT Date Event Participation in Baader Investment Conference 27 September 2019 (Munich) 7 November 2019 Publication of quarterly communication on Q3 2019 25–27 November 2019 Participation in Equity Forum (Frankfurt) 20 May 2020 Annual General Meeting of Shareholders Contact:
Slide 35: Disclaimer
Disclaimer The information in this presentation does not constitute an offer to sell or an invitation to submit an offer to purchase or subscribe for shares of 3U HOLDING AG but rather is intended exclusively for information purposes. German legal framework The information contained in this presenta
Slide 36: Contact: 3U HOLDING AG
Contact: 3U HOLDING AG Joachim Fleïng Head of Investor Relations Frauenbergstraße 31-33 35039 Marburg Tel. +49 6421 / 999 1200 Fax +49 6421 / 999 1222 ir@3u.net www.3u.net 36