Worldline Sa · EURONEXT:WLN
Worldline Sa — Investor Presentation (December 2018)
18 slides from Worldline Sa's investor presentation, December 2018
Slide 1: ID card & SIX strategic partnership
ID card & SIX strategic partnership 1 | Presentation to Investors | December 2018 | © Worldline
Slide 2: Disclaimer
Disclaimer ● This document contains forward-looking statements that involve risks and uncertainties, including references, concerning the Group's expected growth and profitability in the future which may significantly impact the expected performance indicated in the forward-looking statements. These
Slide 3: Presentation of the Worldline Group (FY 2017)
Presentation of the Worldline Group (FY 2017) 3 | Presentation to Investors | December 2018 | © Worldline
Slide 4: Substantial improvement of Worldline's financial profile in 2017 since the IPO
Substantial improvement of Worldline’s financial profile in 2017 since the IPO Revenue expansion OMDA Free Cash Flow c.+107% c.+54% €1.7bn c.+86% €207m €1.6bn €379m €176m €335m €1.3bn €129m €140m €258m €114m €1.2bn €235m €100m €1.1bn €1.1bn €204m €215m 2013 (1) 2014 2015 2016 2017 2018e* 2013 (1) 20
Slide 5: 2018 Objectives and 2019 Ambition
2018 OBJECTIVES (these 2018 objectives do not include any impact REMINDER from SIX Payment Services) 2019 AMBITION Between 5% and 7% 6% to 8% REVENUE organic growth for the full year for 2019 Above 23% OMDA Between 22% and 23% in 2019 FREE CASH Between €200 million €230 million and €210 million (1)
Slide 6: M&A was a strong component of the IPO equity story
M&A was a strong component of the IPO equity story and has significantly contributed to Worldline development Reinforcement of Our Portfolio Bank Alliances Strengthen Enter Industrial Global Online for Commercial Our European Higher Growth Scale Payment New offers Acquiring Position Countries Baltic
Slide 7: 7 | Presentation to Investors | December 2018 | © Worldline
7 7 | Presentation to Investors | December 2018 | © Worldline
Slide 8: SIX Payment Services (SPS)
SIX PAYMENT SERVICES (SPS) one of the largest payment service providers in Europe and the DACH* payment champion MERCHANT SERVICES FINANCIAL SERVICES c. € 530 m 2019e net** revenue c. €430m c. €100m 2019e net** 2019e net revenue c. € 20% OMDA revenue 9 6 Key countries number of staff Key countries c
Slide 9: Worldline Shareholding Structure & Governance Post Transaction
WORLDLINE SHAREHOLDING STRUCTURE & GOVERNANCE POST TRANSACTION • 49.1 million of new shares + € 286 million in cash against SIX Payments Services contribution into Worldline • Worldline Board of Directors enlarged from 9 members to 12 members and 1 censor, of which: • 2 new Board Members and 1 censo
Slide 10: Worldline and SIX Payment Services: a game changing industrial combination
WORLDLINE AND SIX PAYMENT SERVICES : A GAME CHANGING INDUSTRIAL COMBINATION The scope of the transaction covers: 1 • Merchant services (81% of 2019e net revenue): all SPS Merchant Services activities; • Financial Services (19% of 2019e net revenue): all Financial Services activities outside of Switz
Slide 11: A transaction that redefines the European payment industry
A TRANSACTION THAT Worldline + SIX REDEFINES THE EUROPEAN = The Undisputed PAYMENT INDUSTRY Pan-European Leader Independent PSPs Net Revenue in Europe(1) In €m + #1 #1 / 10% 20% Market Share in Market Share in Financial Commercial Acquiring (3) Processing (4) #3 (2) European (3) e-com. PSP (5) 0 400
Slide 12: Unique geographic footprint
UNIQUE GEOGRAPHIC FOOTPRINT With leadership positions in all the key continental European countries Market leader positions in: Leadership position • Austria • Germany Other presence • Baltics • Luxemburg • Belgium • Switzerland • Czech Republic • The Netherlands • France • Perfect geographic match
Slide 13: A uniquely diversified business profile
A UNIQUELY DIVERSIFIED BUSINESS PROFILE with a mix rebalanced towards merchant services = 2019e combined net revenue of c.€2.3bn Emerging Other Markets c.€0.4bn Europe 8% Mobility France 7% & e-Transactional 19% 15% UK 5% > €1.0bn Switzerland Merchant Belux 13% Services 20% c.€0.9bn 46% Germany / Fi
Slide 14: A strong and secure synergy plan
A STRONG AND SECURE SYNERGY PLAN c.€ 110 million OMDA savings OMDA in €m in 2022 110 • c.25% delivered in 2019 c.5% 23 • c.50% in 2020 c.15% c.12% Synergy implementation costs c.15% estimated at c.€ 110 million, on top of pre-closing costs of c.25% 87 €15-20 million c.27% Enhance Optimize Extract
Slide 15: SIX Payment Services integration has already started
SIX Payment Services integration has already started Using Worldline integration know-how and methods Full bottom up confirmation of synergies and action plans during detailed pre-integration joint work 22 integration Amount of identified synergies confirmed preparation streams • 10 business streams
Slide 16: Transaction structure preserves firepower
TRANSACTION STRUCTURE PRESERVES FIREPOWER Mid-term leverage target of 1.5x to 2.5x net debt/EBITDA Financing capacity available Additional financing Additional financing at the end of 2018 capacity over 2019 capacity over 2020-21 c.€1.6bn c.€1.2bn c.€0.6bn Dec-17 net Cash out 2.5x 2018e FCF 2.5x OMD
Slide 17: SIX Payment Services acquisition: a major milestone
SIX PAYMENT SERVICES ACQUISITION : A major milestone in the strategic development of Worldline Undisputed number 1 position in Continental Europe Confirmation of Worldline’s ability to be the European partner of choice for merchants as well as for banks Massive industrial synergies allowing a strong
Slide 18: 18 | Presentation to Investors | December 2018 | © Worldline
18 | Presentation to Investors | December 2018 | © Worldline