Technogym S.p.a · MIL:TGYM
Technogym — H1 2021 Earnings Presentation
22 slides from Technogym's earnings presentation, Aug 2, 2021
Slide 1: Financial Results H1 2021
FINANCIAL RESULTS H1 2021 Cesena, August 2nd 2021
Slide 2: Disclaimer
Disclaimer This presentation is being furnished to you solely for your information and may not be reproduced or redistributed to any other person. This presentation might contain certain forward-looking statements that reflect the Company’s management’s current views with respect to future events an
Slide 3: Market evolution and Technogym priorities
Market evolution and Technogym priorities Strictly private & confidential 3
Slide 4: Wellness evolution: from Club-centric to Consumer-centric
Wellness evolution: from Club-centric to Consumer-centric BEFORE NOW Home Office Hotel Outdoor Voice Assistants Strictly private & confidential 4
Slide 5: Huge market potential and favorable momentum
Huge market potential and favorable momentum Consumers are more and more training with an hybrid approach, thus moving towards the historical Technogym’s Wellness-on-the-go strategy everywhere, anytime (Gym + Home + Outdoor + Office + Hotel, …….) Strictly private & confidential 5
Slide 6: Recovery underway in all B2B segments
Recovery underway in all B2B segments B2B Segments ▪ Strong recovery signs from all the main B2B segments immediately after the end of lockdown measures ▪ Clubs are focused on gym floor renewal to support reopening campaigns in fall- winter after a quick recovery in members ▪ Hotels & Corporates loo
Slide 7: Home remaining on the growth path
Home remaining on the growth path B2C Segment ▪ Demand for at-home training solutions is still high despite the reopening of Professional centers ▪ At-home market turnover expect to grow significantly even in 2021 to a size significantly higher than 2019 Strictly private & confidential 7
Slide 8: Technogym Ecosystem to catch new opportunities via Content
Technogym Ecosystem to catch new opportunities via … Clubs Content ▪ Content. After years supporting professional operators Technogym started populating the Technogym Live platform with own filmed Precision Training content: any training goal can now be achieved quicker and easier ▪ Proprietary cont
Slide 9: Technogym Ecosystem to catch new opportunities via Digital
Technogym Ecosystem to catch new opportunities via … Clubs Digital ▪ Technogym App B2C2B The A.I. based Technogym MyWellness App Smart Coach, guides end-users among Sessions, Routines and Signature programs customizing their wellness journey according to equipment availability ▪ MyWellness 6.0 B2B2C
Slide 10: Technogym Ecosystem to catch new opportunities via Home entry products
Technogym Ecosystem to catch new opportunities via … Clubs Home entry products ▪ Home entry products Technogym is enlarging its product and solution portfolio to serve different end-users needs Strictly private & confidential 10
Slide 11: Financial Results H1 2021
Financial Results H1 2021 Strictly private & confidential 11
Slide 12: Revenue growth 24.2% (26.8% at constant F/X); Ebitda adj 17.4%
Revenue growth 24.2% (26.8% at constant F/X); Ebitda adj 17.4% in € millions 2021 vs H1 2021 H1 2020 2020 Revenues (€m) 276.3 222.4 +24.2% EBITDA ADJ (€m) 48.0 37.3 +28.7% Margin (%) 17.4% 16.8% EBIT ADJ (€m) 27.7 17.9 +55.4% Margin (%) 10.0% 8.0% Net Profit ADJ * (€m) 20.0 11.4 +75,8% Margin (%) 7.
Slide 13: Segments: double digit growth in Home and B2B segments
Segments: double digit growth in Home and B2B segments Revenues in € millions Var. vs. Y-1 +24.2% 276.3 222.4 97.2 B2C +56.5% (35%) 62.1 (28%) 179.0 160.3 (65%) B2B +11.7% (72%) H1 2020 H1 2021 Strictly private & confidential 13
Slide 14: Geo: APAC, Italy, Europe and MEIA growing double-digit
Geo: APAC, Italy, Europe and MEIA growing double-digit Revenues in € millions Var. vs. Y-1 +24.2% 276.3 222.4 127.8 (46%) EUROPE (EX. ITA) +20.7% 106.0 (47%) 53.2 (19%) APAC +35.8% 39.2 (18%) 31.5 (11%) ITALY +22.5% 25.7 (12%) 29.7 North America +4.8% 28.3 (11%) (13%) 28.0 MEIA +59.0% 17.6 5.6 (8%)
Slide 15: Channels: overall positive performance
Channels: overall positive performance Revenues in € millions Var. vs. Y-1 +24.2% 276.3 222.4 159.2 (58%) FIELD SALES +11.2% 143.2 (64%) 68.6 (25%) DISTRIBUTORS +49.0% 46.0 (21%) 42.3 +49.3% 28.4 INSIDE SALES (15%) 4.9 (13%) 6.1 RETAIL +25.0% (2%) (2%) H1 2020 H1 2021 Strictly private & confidential
Slide 16: Statutory Profit & Loss
Statutory Profit & Loss (€m) Jun 2020 Jun 2021 Delta 2021 vs 2020 Total revenue 222,4 % on sales 276,3 % on sales 53,8 24,2% Comments Cost of raw, ancillary and consumable materials and (69,0) (31,0%) (91,0) (32,9%) (22,0) 31,9% goods for resale of which (cost) not recurrent (0,3) (0,0) 0,3 Revenues
Slide 17: Capex: relevant investments in Digital
Capex: relevant investments in Digital In € millions % on Revenues Comments 6.7% 3.6% 4.0% Tangibles Capex ▪ Tools and molds for new products 19.8 ▪ Production lines and manufacturing equipment ▪ Corporate facilities, studio and network infrastructure 12.7 11.2 Intangibles Capex ▪ Digital and conten
Slide 18: Working Capital: positive performance in DSO and DPO
Working Capital: positive performance in DSO and DPO In € millions Trade Working Capital evolution Comments Inventories Trade Receivables Trade Payable ▪ Inventories: higher vs 2020, with a shift from BTB to BTC products 55 72 50 ▪ Trade receivables: DSO shows a 102 positive decreasing trend, due to
Slide 19: Net Financial Position: cash at 204 m€
Net Financial Position: cash at 204 m€ In € millions Net Financial Position Comments 59 70 Free Cash Flow pre tax at 31.6m € in H1 2021, with a 54% conversion rate 14 202 204 121 Other financial debt -56 -88 -75 ▪ Leasing exposure stands at 32.7m € -51 vs 26.9m € as of June 2020 -55 -58 ▪ IFRS 16 im
Slide 20: Net Financial Position at 70.4m€
Net Financial Position* at 70.4m€ In € millions +10.9 29.5 46.4 -3.7 -11.2 -3.6 70.4 -44.3 -2.3 59.5 NFP DEC. 2020 CF from NWC Capex Taxes Sales/Investment Dividend Financial costs NFP H1 operat. in participations pay and other 2021 Activities * IFRS16 impact included Excluding IFRS16 impact: from 8
Slide 21: Strictly private & confidential
Strictly private & confidential 21
Slide 22: Strictly private & confidential – 22
Strictly private & confidential – 22