Tesmec S.p.a. · MIL:TES
Tesmec — Mediobanca Italian Mid Cap 6th Conference 2024
58 slides from Tesmec's conference presentation, Jan 23, 2024
Slide 1: Mediobanca Italian Mid Cap 6th Conference
Mediobanca Italian Mid Cap 6th Conference January 23rd, 2024
Slide 2: 1. Tesmec Group at a glance
TESMEC 1. Tesmec Group at a glance
Slide 3: Integrated solutions provider for energy and data transport
INTEGRATED SOLUTIONS PROVIDER FOR ENERGY AND DATA TRANSPORT Solution provider in the reference markets driven by the trends of energy, digitalization, and sustainability Vision Mission Value proposition Strategy To be a technological To operate in the To supply added-value • Innovation partner in a
Slide 4: Tesmec Group at a glance
TESMEC GROUP AT A GLANCE Factories Tesmec SPA Grassobbio +70 +1000 10 Tesmec USA Alvarado (USA) YEARS PEOPLE MANUFACTURING of experience PLANTS Tesmec SPA Marais Endine Durtal (FR) Tesmec SPA Sirone Tesmec Rail Monopoli Tesmec Automation Fidenza Tesmec Automation Padova Tesmec Rail Bitetto Tesmec Au
Slide 5: Tesmec Group at a glance
TESMEC GROUP AT A GLANCE ENERGY - STRINGING RAILWAY ▪ Solutions for power ▪ Catenary lines lines construction & construction & maintenance maintenance ▪ Advanced ▪ Diagnostic vehicles and methodologies for systems automating jobsite ▪ Integrated platform for ▪ Zero emissions safe infrastructure mach
Slide 6: History of innovation, investment & diversification
HISTORY OF INNOVATION, INVESTMENT & DIVERSIFICATION PIONEER in TRENCHER From Expansion Investments & Investments in Strengthening STRINGING product line FAMILY strategy in acquisitions R&D and the Service solutions development Company the to complete DIAGNOSTICS and Rental to PUBLIC RAILWAY the port
Slide 7: Corporate strategy: new business models
CORPORATE STRATEGY: NEW BUSINESS MODELS Strategic pillars: New Business Model: DIGITALISATION INTEGRATED SYSTEMS SUSTAINABILITY DIGITAL SOLUTIONS ENERGY TRANSITION FULL SERVICES Key drivers: digitalization and AI Artificial Intelligence Cloud Combine operational data in the cloud and apply advanced
Slide 8: Sustainability strategy
SUSTAINABILITY STRATEGY Sustainable Development Goals CLIMATE CHANGE INVEST IN PEOPLE WORK OUT AN INCREASE THE % OF Strategic MITIGATION & LOCAL EFFECTIVE GREEN & DIGITAL COMMUNITIES WELL Guidelines & ENVIRONMENTAL SUSTAINABLE SOLUTIONS BEING PROTECTION GOVERNANCE E S G Commitment to the Increase St
Slide 9: Strong commitment on innovation, quality & sustainability
STRONG COMMITMENT ON INNOVATION, QUALITY & SUSTAINABILITY QUALITY HEALTH AND SAFETY ENVIRONMENT DIGITALIZATION Every activity in our plants Digitalization for the is devoted to waste Maximize delivered and Safeguard of the health and predictive maintenance, reduction, recycling, energy perceived qua
Slide 10: Taxonomy-aligned KPI: Fiscal Year 2022
TAXONOMY-ALIGNED KPI: Fiscal Year 2022* TESMEC economic activities are eligible according the ANNEX I – Climate change mitigation • 3.1 - Manufacture of renewable energy technologies • 3.3 - Manufacture of low carbon technologies for transport • 3.6 - Manufacture of other low carbon technologies Str
Slide 11: Tesmec commitment
TESMEC COMMITMENT …to the environmental impact of the organization Grassobbio, Patrica and Monopoli plants are fed by solar panels All Italian plants are certified according to ISO 9001-14001-45001 The whole production process takes care of waste and complies with recycling regulations …to sustainab
Slide 12: 2. Tesmec Business Units
2. Tesmec Business Units Energy Stringing Energy Automation Railway Trencher
Slide 13: Energy – Stringing solutions
ENERGY – STRINGING Solutions Digital & Green Solutions: new methodologies for construction and maintenance of energy transport and distribution infrastructures TECHNOLOGY FOR EFFICIENT STRINGING OPERATIONS A new concept of integrated systems 4.0 for energy transport and distribution: Simple, Safe an
Slide 14: Energy – Stringing: fields of application
ENERGY – STRINGING: Fields of application • SOLUTIONS FOR POWER LINES CONSTRUCTION & MAINTENANCE • ADVANCED METHODOLOGIES FOR AUTOMATING JOBSITE • ZERO EMISSIONS MACHINES 23 January 2024 14
Slide 15: Energy – Stringing: main worldwide experiences
ENERGY – STRINGING: Main worldwide experiences Reconductoring Underground Cable Laying Stringing Machines 4.0 Fjord crossing USA UK BELGIUM NORWAY Continuous Linear Puller Romford 4.0 Machines Special machines for fjord crossing Type of line: transmission, 138kv 3 x 33 kV cable pulling ACPR Lo-Sag N
Slide 16: Reconductoring operations
RECONDUCTORING OPERATIONS Digital Stringing Machine 16
Slide 17: Helicopter stringing
Helicopter stringing CHINA Extreme project in Zhejiang Province Tower height: 380 m Four bundled conductors 500 kV 17
Slide 18: Underground cable laying
Underground Cable Laying USA FULL ELECTRIC MACHINE The first experience in jobsite 18
Slide 19: Energy – Automation solutions
ENERGY – AUTOMATION Solutions Grid Reliability, Efficiency and Security: a full portfolio of power grid technologies, tailored and integrated solutions to face fast-changing grid challenges PROTECTION & METERING SOLUTIONS FOR SMART GRID From selectivity to reliability, ensuring continuous operation
Slide 20: Energy – Automation: fields of application
ENERGY – AUTOMATION: Fields of application • PROTECTION & MONITORING SOLUTIONS • REMOTE CONTROL SOLUTIONS • SERVICE TELECOMMUNICATIONS SOLUTIONS FOR HV GRIDS • SMART METERING SOLUTIONS 20 23 January 2024
Slide 21: Energy – Automation for smart grid applications
ENERGY – AUTOMATION for Smart Grid Applications Safety of Railway Infrastructure ITALY 23 January 2 Diagnostic 2024 Vehicles
Slide 22: Energy – Automation: main worldwide references
ENERGY – AUTOMATION: Main worldwide references Telecommunication Substation Automation solution System ALGERIA ITALY Remote management of HV Protection and control systems for HV substations and protection substations (SAS) based on IEC systems against unexpected grid 61850 faults Fault Passage Indi
Slide 23: Protection and monitoring solutions
FOTO BU PROTECTION AND MONITORING SOLUTIONS for primary and secondary substations 23
Slide 24: Telecommunication solution
Telecommunication solution
Slide 25: Non-conventional sensors
Non-Conventional sensors
Slide 26: Remote control
LOCAL MODE SCADA UNK E nd NIP SYNC / UP READY vo Link cesta rauct RESET
Slide 27: Railway solutions
. RAILWAY Solutions Global catenary specialist for the installation and maintenance of railway lines: solutions with integrated systems and rail vehicles for a safe, efficient and sustainable railway infrastructure. RELIABILITY Certified, automated and cloud connected vehicles DIGITALIZATION Central
Slide 28: Railway: fields of application
RAILWAY: Fields of application • CATENARY INSTALLATION & MAINTENANCE • DIAGNOSTIC VEHICLES AND SYSTEMS • INTEGRATED PLATFORM FOR SAFE INFRASTRUCTURE 23 January 2024 28
Slide 29: Railway: main worldwide experience
RAILWAY: Main worldwide experience Stringing & recovering RER Catenary renewal Safety of Railway Catenary maintenance wires FRANCE ITALY 9 vehicles (6 different models) Infrastructure 88 Multipurpose railway vehicles USA Engineered to allow a correct execution of ITALY 16 Revamping maintenance units
Slide 30: Safety of railway infrastructure
Safety of Railway Infrastructure ITALY 2 Diagnostic Vehicles
Slide 31: Eagle P3 Project
Installation of the contact line & catenary maintenance “Eagle P3 Project” USA 1 Stringing unit & 1 Catenary maintenance vehicle A very fast rail wire installation
Slide 32: Electrification of new lines high speed
Electrification of new lines High speed CHINA > 30 stringing units 1,318 km BEIJING-SHANGHAI
Slide 33: Customized solutions
Customized solutions POLAND 4 Stringing units Tensioning system for railway wiring operations composed by working units mounted on ISO 20 size flat modules 33
Slide 34: Trenching and surface mining solutions
TRENCHING AND SURFACE MINING SOLUTIONS Advanced working methodology: integrated systems & technological solutions for a complete jobsite management VALUE CHAIN Complete offer package combining internal and partner’s solutions DIGITALIZATION Wide range of machines equipped with the latest digital tec
Slide 35: Trenchers and surface miners: fields of application
TRENCHERS AND SURFACE MINERS: Fields of application • TELECOM NETWORKS, FTTH & LONG DISTANCE, POWER CABLE INSTALLATION • OIL & GAS, WATER PIPELINES, RENEWABLES • BULK EXCAVATION, QUARRIES & SURFACES MINING 23 January 2024 35
Slide 36: Trenchers and surface miners: main worldwide experience
Trenchers and Surface Miners - Main worldwide experience Fiber Optics Laying Gas Pipeline UK USA Georadar Explorer 2.0 & Sidecut 1150XHD Chainsaw Surface mining Gold Water Pipeline RUSSIA CHILE 1475 Rock Hawg 1675 Chainsaw Bauxite Mining Limestone quarry UZBEKISTAN WEST AFRICA (GUINEA, IVORY COAST)
Slide 37: Efficient digging solutions
EFFICIENT DIGGING SOLUTIONS Low-footprint systems 11 Gennaio 2021 | PPT Corporate 37
Slide 38: Fiber optics laying
Fiber Optics Laying UK Georadar Explorer 2.0 & Sidecut 38
Slide 39: Surface mining gold, bauxite mining
Surface mining Gold Bauxite Mining RUSSIA WEST AFRICA (GUINEA, IVORY COAST) 1475 Rock Hawg 39 1150 & 1475 Rock Hawg
Slide 40: Tunneling project
Tunneling project AUSTRALIA 1475 Rock Hawg EVO 40
Slide 41: Wind farms projects
Wind Farms Projects AUSTRALIA 41 Automatic cable laying system
Slide 42: New technologies for detection & mapping
NEW TECHNOLOGIES FOR DETECTION & MAPPING GEORADAR GEODRONE PRIMIS LIVE MOBILE LAB Advanced set of tools, technologies and assets to provide the most outstanding output DIGITALIZATION OF EXISTING INFRASTRUCTURES LIVE AND SYNCHRONIZED WORKING ENVIRONMENT VIRTUAL RECONSTRUCTION OF UNDER AND ABOVE TOWAR
Slide 43: 3. 2023.9M Results
TESMEC 3. 2023.9M Results
Slide 44: Energy Stringing: 2023 business guidelines
ENERGY STRINGING: 2023 Business Guidelines • Big backlog recovery with important orders acquisition thanks to new opportunities in renewable sector • Refurbishment of high voltage lines in key markets • Digital transformation • Consolidate the worldwide presence & normalization of the supply chain M
Slide 45: Energy Automation: 2023 business guidelines
ENERGY AUTOMATION: 2023 Business Guidelines • Consolidation of existing innovative markets and leverage on technological skills development to open new market opportunities • Completion of solution portfolio in terms of products and systems • Supply chain management Market consolidation Significant
Slide 46: Rail: 2023 business guidelines
RAIL: 2023 Business Guidelines • We encourage the development of SUSTAINABLE railway infrastructures: from diesel vehicles to vehicles equipped with Škoda electrically-powered traction solutions • DIAGNOSTICS & DIGITIZATION to increase the predictive maintenance and the safety and of the railway net
Slide 47: Trencher: 2023 business guidelines
TRENCHER: 2023 Business Guidelines • Business development in USA • Consolidate the business in North Africa through NAPEC participation Tesmec is focusing Tesmec aims to strengthen in developing and develop business business opportunities in the opportunities in the Guinea US market, especially mark
Slide 48: 2023.9M closing
2023.9M CLOSING GROUP 2023.9M 2022.9M Δ vs.22 RESULTS COMMENTARY (€ mln) REVENUES (1) 193,5 173,5 +11,6% (1) Revenues: +11,6% driven mainly by Trencher and Energy sectors EBITDA (2) 27,5 25,9 +6,0% % on Revenues (2) 14,2% 14,9% (2) EBITDA: +6% positively impacted by favorable sales mix yielding high
Slide 49: 2023.9M business breakdown
2023.9M _ BUSINESS BREAKDOWN € mln ENERGY TRENCHERS RAIL 106,2 EBITDA Margin 49,3 EBITDA Margin 99,1 EBITDA Margin 37,9 10,9% 12,7% 36,5 38,0 27,4% 18,0% 13,6% 14,6% +30% +40% +7,2% +4,3% -31,5% +24,6% 10,0 7,2 6,8 5,2 10,8 13,4 REVENUE EBITDA REVENUE EBITDA REVENUE EBITDA 2022.9M 2023.9M 2022.9M 20
Slide 50: Backlog evolution as of 2023.Q3
BACKLOG evolution as of 2023.Q3 (1) Including new opportunities in hi- 31/12/2021 31/12/2022 30/09/2023 tech content business 123,7 (1) (2) 100,6 (2) Long term backlog in Automation 98,9 and Rail Energy 82,2 75,4 76,5 Trencher 223,4 212,1 (2) 109,9 Railway Total (€ Mln) 412,3 406,2 284,2 406,2 412,3
Slide 51: 2023.9M revenues by geography
2023.9M REVENUES BY GEOGRAPHY 2023.9M: 193,5 Mln€ 2022.9M: 173,5 Mln€ Africa: 4% Middle East: Middle East: Africa: 4% 15% 11% Europe: 19% Europe: 24% BRIC & BRIC & Others: 17% Others: 17% North & North & Central Italy: 30% Italy: 21% Central America: America: 19% 19% Revenue by Region (Mln €) 2022.9
Slide 52: 2023.9M revenues recurring vs non-recurring
2023.9M REVENUES “Recurring” vs “Non-recurring” 2023.9M: 193,5 €Mln 2022.9M: 173,5 €Mln Recurring Non recurring Recurring Non recurring 55,60% 49,85% 50,15% 44,40% 77 €M 96,5 97 11,3 77 M€ 20,596,5 96,5 €M M€ €M €M €M €M • Recurring: Rental, Projects, Spare Parts, Services (maintenance, revamping &
Slide 53: 2023.9M EBITDA evolution by BU
2023.9M EBITDA EVOLUTION BY BU € Mln 35 30 +2,7 (3,1) +2,0 25 27,5 25,9 Higher Completion of job Improved mix / supply volumes and orders yielding lower chain efficiency in 20 improved margins, rebound Stringing, plus positive sales mix expected from Q4 contribution from US jv 15 10 5 0 2022.9M Tren
Slide 54: 2023.9M financial results
2023.9M FINANCIAL RESULTS Financial Information (€ mln) Sep. 30, 2023 Dec. 31, 2022 Net Working Capital 105,6 80,6 of which: inventory + WIP 147,2 126,4 Net Fixed Assets 90,3 89,7 Right of use - IFRS 16/IAS 17 19,1 21,9 Other Long-Term Assets/Liabilities 18,4 19,5 Net Invested Capital 233,4 211,7 Ne
Slide 55: 2023.9M net financial position evolution and free cash flow
2023.9M NET FINANCIAL POSITION EVOLUTION AND FREE CASH FLOW € Mln 160 21,3 12,1 13,6 149,0 140 24,1 24,9 149,0 128,4 127,7 120 128,4 127,7 104,3 +1,5€M net FCF excl. 100 104,3 Increased levels ΔNWC of stock to meet 80 short-term expected sales 60 40 20 0 2022 IFRS 16 Net debt 2022 NWC CAPEX OFCF Net
Slide 56: 2023.9M net working capital evolution
2023.9M NET WORKING CAPITAL EVOLUTION € mln 120 4,7 4,0 11,6 11,7 16,1 100 Linked Linked to Reclassification 105,6 Increased in 80 to Rail BU* Trencher BU linked to BU Increased stock coeherence with 80,6 Δ stocks Rail* 60 levels to meet short-term growing 40 sales expectations 20 0 2022 NWC Invento
Slide 57: Disclaimer
Disclaimer This presentation has been prepared by Tesmec S.p.A. (“Tesmec”, the “Company” or the “Group”). As used herein, “Presentation” means this document, any oral presentation, the question and answer session and any written or oral material discussed or distributed during the presentation. The
Slide 58: www.tesmec.com
TESMEC rods fhe waay fora www.tesmec.com
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