Evs Broadcast Equipment Sa · EURONEXT:EVS
Evs Broadcast Equipment Sa — Q2 2013 Earnings Presentation
25 slides from Evs Broadcast Equipment Sa's earnings presentation, Aug 29, 2013
Slide 1: EVS Broadcast Equipment 2Q13 results
EVS Broadcast Equipment 2Q13 results August 29, 2013 Joop JANSSEN, Managing Director & CEO Jacques GALLOY, Director & CFO Geoffroy d’OULTREMONT, VP Investor Relations and Corporate Communication www.evs.com
Slide 2: Forward Looking Information
2 FORWARD LOOKING INFORMATION The statements made in this presentation that are not historical facts contain forward forward- looking information that involves risks and uncertainties. All statements, other than statements of historical fact, which address EVS Group’s (“EVS”, “dcinex” or the “Compan
Slide 3: Highlights
3 HIGHLIGHTS As expected expected, 2Q13 slightly weaker than good 1Q13; weaker than record 2Q12 Balanced regional performances: strong APAC compensates for weaker Americas Costs under control over 1H13 Repositioning plan on track Investment in start up developing promising technology start-up Order
Slide 4: Agenda
4 AGENDA Financial update Business update 2013 outlook Corporate update
Slide 5: Quarterly revenue split by segments
5 QUARTERLY REVENUE SPLIT BY SEGMENTS Quarter big events rentals ENM (excl. rentals) 42.8 Sport (excl. rentals) 39.5 33.2 32.8 30.2 31 0 31.0 29.8 29.8 30.1 26.9 25.6 22.7 23.4 19.6 20.5 20.9 18.1 18.4 XT3 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 2009 2010 2011 2012 2013
Slide 6: Geographical split
GEOGRAPHICAL SPLIT Strong 2Q13 performance in APAC compensates for weaker Americas %: 1H13 vs 1H12 variation, at constant exchange rate, excluding big events rentals Americas EMEA APAC 1H13 23.5 1H13 1H13 -36% -16% +42% 18.8 19.5 17.4 17.7 17.6 17.4 16.7 15.1 12.7 13.9 14.0 14.2 11.4 10.2 9.1 9.5 9.
Slide 7: 2Q13: Revenue down by 30.4%
7 2Q13: REVENUE DOWN BY 30.4% Reported In millions of EUR 2Q12 1Q13 2Q13 Actual 2Q REVENUE 42.8 42 8 32.8 32 8 29.8 29 8 Cost of sales (8.1) (6.8) (7.1) 76 3% 76.3% Gross margin 34.8 26.0 22.7 Gross margin Gross margin % 81.2% 79.2% 76.3% S&A (5 7) (5.7) (5 6) (5.6) (6 6) (6.6) R&D - gross (5.5) (6.
Slide 8: 1H13: Revenue down by 14.1%
8 1H13: REVENUE DOWN BY 14.1% Reported In millions of EUR 1H12 1H13 Actual 1H REVENUE 72.9 72 9 62.6 62 6 Cost of sales (14.8) (13.9) 77 9% 77.9% Gross margin 58.1 48.7 Gross margin Gross margin % 79.7% 77.9% S&A (10 1) (10.1) (12 1) (12.1) R&D - gross (10.9) (12.0) 15.8% R&D - tax credit 0.6 0.6 Op
Slide 9: 2Q13 EBIT margin at 32.4%, or EUR 9.7 million
9 2Q13 EBIT margin at 32.4%, or EUR 9.7 million 54.2% Gross margin impact from sales 12.0 deleverage 23.2 32.4% SG&A and R&D up mainly because of 0.9 0.5 01 0.1 additional headcounts in 2012 9.7 Overall headcount under control in 1H
Slide 10: Staff growth: +14 people in 1H13
STAFF GROWTH: + 14 PEOPLE IN 1H13 (incl. 10+ engineers in start-up) 51% in innovation (R&D) Headcount evolution at June 30, 2013 500 In FTEs 477 Net +42 FTEs in 12 months (+9.7%), 450 400 incl. 10+ engineers in start-up 350 300 Still 30+ open positions, headcount 250 should reach 500 by year-end 200
Slide 11: Strong balance sheet
11 STRONG BALANCE SHEET EUR 10.7 million cash EUR 2.7 million In millions of EUR Dec 2012 June 2013 Intangibles and Goodwill ASSETS Goodwill and intangibles 1.6 2.7 Lands buildings and other tangibles Lands, 21 1 21.1 31 0 31.0 EUR 31.0 31 0 million dcinex and Mecalec at equity 8.5 9.7 Lands and bui
Slide 12: Dcinex contribution to EVS Group
12 DCINEX CONTRIBUTION TO EVS GROUP Slightly lower sales due to seasonal effect, high EBITDA margin 1H13 key k financials fi i l #1 in Europe (35% mkt share) In thousands of EUR 1H12 1H13 REVENUE 42,532 41,808 -1.7% sales in 1H13 EBITDA 9,979 14,066 EBITDA margin of 33.6% EBITDA margin 23 5% 2
Slide 13: Agenda
13 AGENDA Financial update Business update 2013 outlook Corporate update
Slide 14: IBC
14 IBC Preview C-Cast Xplore – new remote browsing interface based on C-Cast technology, delivering flexibility and productivityy to live p p production XT3, 4K version – for live recording and replay of 4K offering extended zooming options Nano Air – playout controller for TV studios and on-stage e
Slide 15: Transformation plan on track
15 Transformation plan on track 3 new divisions / 4 markets New Executive Committee Branding for better corporate awareness New N SVP Operations O ti ffor service i strategy t t Acceleration of innovation after extra investment end 2012 New CRM to improve visibility In progress …
Slide 16: Investment in a new strategic technology start-up
16 Investment in a new strategic technology start-up Initial EUR 1.5 million minority stake Promisingg future network-based technologygy Investment will allow EVS to have access to this new technology A dozen very experienced engineers First revenue expected in 2014 Full consolidation: - Total opera
Slide 17: Key recent win
17 KEY RECENT WIN Ashgabat Olympics Complex - Turkmenistan Project - 1.3 million m² olympic complex in Ashgabat - First of three phases EVS involvement - XT3 and XS servers deployed at the arenas, the studios, the International Broadcast Cenet and in the OB vans - Other EVS equipment include multipl
Slide 18: Agenda
18 AGENDA Financial update Business update 2013 outlook Corporate update
Slide 19: Summer order book at August 28, 2013: EUR 35.4 million
SUMMER ORDER BOOK AT AUGUST 28, 2013: EUR 35.4 million -20% excl. big events rentals EUR 35.4 million at Aug 28 to be invoiced in 2013 48.0 Good order diversity 6.5 -15% 34% of open order book 37 8 37.8 38.9 36 5 36.5 2013 is ENM 4.1 35.4 6.9 + EUR19.6 million for 2014 and beyond beyond, 23.6 Order
Slide 20: Outlook 2013
20 OUTLOOK 2013 Order book of EUR 35.4 million - In line with last uneven yyear and -14.7% excl. the big g event rentals - Signs of recovery from the Americas Sports - Low visibility Leadership 2013 uneven and transforming year - H2 should be slightly > H1 ; Secured sales 2013 so far: EUR 98 million
Slide 21: Agenda
21 AGENDA Financial update Business update 2013 outlook Corporate update
Slide 22: Corporate calendar
22 CORPORATE CALENDAR September 13-17 13-17, 2013 IBC tradeshow in Amsterdam (NL) Tuesday September 24, 2013 postponed Extraordinary General Meeting Thursday November 14, 2013 3Q13 earnings Thursday February 20 20, 2014 4Q13 earnings Thursday May 15, 2014 1Q14 earnings
Slide 23: EVS stock market data
EVS STOCK MARKET DATA Stock data (June 30, 2013): Shareholders (August 23, 2013) - B Basis:i 13,625,000 13 625 000 ordinary di shares h * M. Counson; 6.5% - Outstanding warrants : 411,400 @38.57 ** BNP Paribas; 4.1% - Treasury shares : 133,364 shares ((no o sshare a e buyback buybac in 1H13)3) Other
Slide 24: Conclusions: Transformation year
24 CONCLUSIONS Transformation year 2Q13 in line with EVS expectations despite a weaker American market Global order book of EUR 35.4 35 4 million Current low visibility for 2013 without big sporting events FY13 revenue slightly below EUR 130 million and low double digit opex growth IBC2013
Slide 25: Our journey to Rio2016
25 OUR JOURNEY TO RIO2016
EVS Broadcast Equipment — Q2 2013 Earnings Presentation on 6ix