Edil San Felice S.p.a. · MIL:ESF
Edil San Felice — Investor Presentation (June 2024)
37 slides from Edil San Felice's investor presentation, Jun 20, 2024
Slide 1: Investor Presentation
INVESTOR PRESENTATION Jun 20, 2024
Slide 2: People Speaking Today
PEOPLE SPEAKING TODAY LORENZO DI PALMA VINCENZO DI PIETRO MARIKA SGRITTO CEO & FOUNDER CFO IR +20 years of experience at +25 years of experience in accounting Graduate in Business economics Edil San Felice finance and control for companies in the Master’s degree in Finance construction and infrastru
Slide 3: Agenda
AGENDA 1. ESF Overview 2. ESF Business Model 3. ESF After IPO 4. ESF Sector and Market highlights 5. ESF Strategy 6. ESF Sustainability
Slide 4: ESF Overview
1. ESF OVERVIEW
Slide 5: Active in the maintenance sector for more than 40 years
ACTIVE IN THE MAINTENANCE SECTOR FOR MORE THAN 40 1979 1982 1997 2002 The San Felice cooperative is The company becomes a The cooperative becomes a “Zero Outsourcing” is introduced born contractor for Autostrade joint company Carlo Di Lorenzo Di Palma, the founder’s Lorenzo Francesco Di Palma Thanks
Slide 6: Edil San Felice in a snapshot
EDIL SAN FELICE IN A SNAPSHOT ITALIAN PRIMARY INTEGRATED STRONG PERFORMANCE AND HEALTHY FINANCIAL HIGHLIGHTS OPERATOR IN THE MAINTENANCE OF CRITICAL INFRASTRUCTURES FY21 FY22 FY23 Unique Business Model +33,6% Edil San Felice has adopted a 19 CERTIFICATIONS REVENUES €29.1 MLN €34.2 MLN YoY € 45.8 MLN
Slide 7: Governance and shareholdings structure
GOVERNANCE AND SHAREHOLDINGS STRUCTURE POST-IPO SHAREHOLDING POST-IPO PERIMETER BOD LORENZO DI PALMA BENEFIT CEO 11% CORPORATION CARMELO INTRISANO 6% CHAIRMAN NICOLA ROSSI 7% INDEPENDENT DIRECTOR CARLO DI PALMA 100% 100% DIRECTOR 76% FABIOLA DE SARNO Wesigns S.r.l. (Italy) Aurest S.r.l. (Italy) Comp
Slide 8: ESF Business Model
2. ESF ESF BUSINESS OVERVIEW MODEL
Slide 9: Full control over the awarding and execution process
FULL CONTROL OVER THE AWARDING AND EXECUTION PROCESS 1. PARTECIPATION 2. AWARDING Average of 2 months between tender awarding and project start 3. EXECUTION -Signing of CONTRACTS (the value enters into the backlog; -Work start; -Periodic WIP notice to the client (bimonthly typically) -WIP approval f
Slide 10: Resilient growth play to bet on infrastructure maintenance
RESILIENT GROWTH PLAY TO BET ON INFRASTRUCTURE MAINTENANCE MAIN CLIENTS 48% ORDINARY MAINTENANCE Activities made to preserve and keep the serviceable condition of highways as normal as possible RECURRENT BUSINESS LOWER RISK OF BACKLOG DELAYS PROXIMITY BUSINESS GARGASSA VIADUCT MADONNELLA VIADUCT (LI
Slide 11: Full control over the execution process
FULL CONTROL OVER THE EXECUTION PROCESS «ZERO-OUTSOURCING» The production will continue to build on the policy that has rewarded ESF so far: zero subcontracting, which has allowed ESF to protect the safety of workers, reducing risks and maximising operational efficiency. «RELIABILITY, VERSATILITY, E
Slide 12: ESF After IPO
3. ESF OVERVIEW AFTER IPO
Slide 13: Key facts and operations
PEOPLE SPEAKING KEY FACTS AND OPERATIONS TODAY 1. ACQUISITION OF SOGEM S.R.L. (RENAMED AUREST S.R.L.) OCT – 23 : ESF has completed the acquisition of the entire (100%) shareholding of Sogem S.r.l. a Campania-based company active in the restoration and maintenance 2. ACHIEVING OF MORE SOA CERTIFICATI
Slide 14: After IPO overview
AFTER IPO OVERVIEW 5. EDIL SAN FELICE OBTAINS A CONTRIBUTION OF OVER €5 MILLION FROM THE REGION Edil San Felice obtains a contribution of over €5 million from the region to finance the acquisition of the new industrial site in Nola and develop new growth projects. On 1 December 2023, Edil San Felice
Slide 15: Full-year overview
FULL-YEAR OVERVIEW - BACKLOG AT Eu80.5mn FURTHER GROWING THANKS TO NEW AWARDINGS - FY23 HIGHLIGHTED STRONG VoP THANKS TO AN ACCELERATION IN EXTRAORDINARY BUSINESS OUTSIDE CAMPANIA (52% on net revenues) - HEALTHY EBITDA AT Eu11.6mn CONFIRMING PROFITABILITY AT ABOVE 25% - SOLID CASH POSITION (Eu5.1mn)
Slide 16: Full-year overview: backlog
FULL-YEAR OVERVIEW AS ESF MAINTENANCE SERVICES ARE DELIVERED IN A SHORT PERIOD (SERVICE-LIKE), MOST OF THE BACKLOG TURNS INTO REVENUES IN THE FOLLOWING 12 MONTHS, GIVING STRONG TOP LINE VISIBILITY ON CURRENT ACCOUNTING PERIOD. 22,5 80,5 Backlog 23,6 ORDINARY MAINTENACE: All awarded tenders are inclu
Slide 17: ESF Sector and Market Highlights
4. ESF ESF SECTOR AND MARKET OVERVIEW HIGHLIGHTS
Slide 18: Ordinary maintenance investments, Eu 7 Bn plan
FULL-YEAR OVERVIEW Average yearly investments in ordinary maintenance 2019-2022 (Eu mn)1 Average yearly investments in ordinary maintenance 2015-2018 (Eu Ongoing Maintenance Plan 2020- mn)1 2038 Eu 7 Bn 301 384 Maintenance in 2020-2038 KEY ACTIONS FROM POLICYMAKERS ITALY - NATIONAL PLAN FOR ROAD SAF
Slide 19: Eu 50 Bn investment plan
2022 Budget FULL-YEAR OVERVIEW Law addendum 2021 Budget Ongoing investment Law addendum plan 2022-2031 1.800 Eu 50 Bn 2020 Budget 900 With a significant share to maintenance Law addendum 198 Source: ASPI financial statements; ASPI industrial plan; ANAS update to “2016-2020 Contratto di Programma” ap
Slide 20: ESF could consolidate its leading positioning in a fragmented market
ESF COULD CONSOLIDATE ITS LEADING POSITIONING IN A FRAGMENTED MARKET GEOGRAPHICAL DIVERIFICATION, PRESENCE ON BOTH ORDINARY AND EXTRAORDINARY MAINTEINANCE A number of certification allow ESF to stand out from smaller competitor p active on ordinaryy maintenance MAIN CERTIFICATIONS EDUCATION SMALLER
Slide 21: ESF Strategy
5. ESF OVERVIEW STRATEGY
Slide 22: M&A to speed-up growth in adjacent attractive markets
M&A TO SPEED-UP GROWTH IN ADJACENT ATTRACTIVE MARKETS RAILWAYS RESTORATION OF CULTURAL HERITAGE SITES Looking for a company active in railways In October 2023, ESF has completed the acquisition of the entire (100%) maintenance services to growth in an adjacent shareholding of Sogem S.r.l., a Campani
Slide 23: Vertical integration
VERTICAL INTEGRATION METAL CARPENTRY & SIGNALLIGN Edil San Felice has finalised the agreement for the acquisition of a new industrial site in Nola, adjacent to the current headquarters, to increase its production capacity in particular aimed at (i) expanding its road and airport signaling business,
Slide 24: ESF Sustainability
6. ESF OVERVIEW SUSTAINABILITY
Slide 25: SDG mapping
SDG MAPPING ESF IS COMMITTED TO OPERATING RESPONSIBLY, INTEGRATING SUSTAINABILITY INTO ITS BUSINESS MODEL Integration of the SDGs in the business model 12 of the 15 SDGs were considered key, based on their coherence with the company’s business model and sector as well as its ability to contribute to
Slide 26: Human capital and governance
PEOPLE HUMAN CAPITAL SPEAKING TODAY GOVERNANCE 50% of the BoD are in the 35-50 age group, while the remaining half are in the >50 age Group while the remaining half is in the >50 age group. The management team includes a significant proportion of women, with 5 out of 13 members, almost all of whom u
Slide 27: Sustainable supply chain management
PEOPLE SPEAKING SUSTAINABLE SUPPLY CHAIN MANAGEMENT TODAY ESF IS INVOLVED IN SOME PROJECTS TO ENSURE CIRCULAR MANAGEMENT OF MATERIALS AND SUSTAINABLE PROCUREMENT Return of used batteries with the aim of Using Mapei’s sustainable mortars regenerating them In building work RESULTS RESULTS 8 reconditio
Slide 28: Key takeaways
KEY TAKEAWAYS 6.ESF SUSTAINABILITY
Slide 29: Appendix
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Slide 30: 40+ history of growth and diversification
40+ HISTORY OF GROWTH AND DIVERSIFICATION 6.ESF APPENDIX
Slide 31: Key financials - resilient growth
PEOPLE SPEAKING KEY FINANCIALS - RESILIENT GROWTH TODAY 6.ESF APPENDIX
Slide 32: Key financials - healthy balance sheet
PEOPLE SPEAKING KEY FINANCIALS - HEALTHY BALANCE SHEET TODAY 6.ESF APPENDIX
Slide 33: Financials - IS, BS, cash flow
PEOPLE SPEAKING FINANCIALS - IS, BS, CASH FLOW TODAY 6.ESF APPENDIX
Slide 34: Organization chart
PEOPLE SPEAKING ORGANIZATION CHART TODAY *Consultancy 6.ESF APPENDIX 6.ES
Slide 35: Main clients
MAIN CLIENTS TOP 5 CLIENTS ON NET REVENUE (FY23) 62% 13% 11% 10% 3% 1% OTHERS 6.ESF APPENDIX
Slide 36: Main suppliers
MAIN SUPPLIERS TOP 5 SUPPLIERS ON RAW MATERIAL COSTS (FY23) TOP 5 SUPPLIERS WEIGHT 48.9% ON TOTAL COSTS 51,1% 100% 5,2% 5,4% 5,6% 5,9% 26,8% Main Safety Barriers 6.ESF APPENDIX
Slide 37: Question & Answer
QUESTION & ANSWER CONTACTS Via On.le Davide Barba S.C. 80035 - Nola (NA) +39 081 213 86 info@edilsanfelice.it ir@edilsanfelice.it