Gpi Spa · MIL:GPI
Gpi Spa — Investor Day (June 2022)
36 slides from Gpi Spa's investor day presentation, Jun 27, 2022
Slide 1: Capital Markets Day 27th June 2022
CAPITAL MARKETS DAY 27TH JUNE 2022
Slide 2: Agenda
Agenda Overall Strategy F. Manzana - President & CEO Group Overviewv M. Santoro - General Manager 2022 – 2024 Strategic Business Plan Guidelines F. Redavid - Marketing Director M&A Guideline, Financials Targets & Capital Increase A. Mora - Vice President 2
Slide 3: Innovation for Sustainable Healthcare
Innovation for Sustainable Healthcare 3
Slide 4: Agenda
Agenda Overall Strategy F. Manzana - President & CEO Group Overviewv M. Santoro - General Manager 2022 – 2024 Strategic Business Plan Guidelines F. Redavid - Marketing Director M&A Guideline, Financials Targets & Capital Increase A. Mora - Vice President 4
Slide 5: Vision, Mission, Values
VISION > 30 years of experience, History of To be the protagonists in the path of Growth management team with a track record of internal growth and technological and sustainable M&As transformation of prevention and care processes for healthcare and well-being of International solutions used by 2,70
Slide 6: Significant M&A track record
Significant M&A track record ACQUIRED Saluris (60%) established DO.MI.NO (70%) 1988 in October Nuova Sigma (100%) EDP Sistemi (100%) Net Medica (100%) Info Line (100%) Xidera (60%) Hemasoft (60a) ACQUIRED Hemasoft America (60%) ACQUIRED Sintac (23%) ACQUIRED BIM ltalia {70%) Spid (16%) Evolvo GPI (8
Slide 7: History of Steady Growth
History of Steady Growth 70% + 20.6% YoY + 12.5% 327 Recurring fees YoY 7,217 Employees on adj. Revenue 16.7% 271 on tot. Revenue 15.2% 241 16.0% 14.8% 14.4% 13.4% 50 € 100 mn M&A deals 40 in the last 5 years 32 NFI 31.12.2021 € 155.4 mn FY 19 FY 20 FY 21 FY 19 FY 20 FY 21 Revenue € mn EBITDA € mn 7
Slide 8: Revenue and EBITDA breakdown
Revenue and EBITDA breakdown + 30.6% Revenue breakdown Revenue breakdown YoY EXPORT by business 13.2% by geography 9.6% 36.0% FY21 € 326.9 mn SW 50.8% ITALY Care 90.4% Others EBITDA breakdown by Revenue breakdown H business Public 16.1% by customer 81.3% FY21 17.6% 90.4% € 49.8 mn 66.3% 6.2% H SW Pr
Slide 9: Strategic Approach
Strategic Approach CLEAR VIEW PILLARS OF The market has no OUR ACTION boundaries, DIGITALIZATION What makes an We have to build it ecosystem “sustainable”? PEOPLE Core of the investments 9
Slide 10: Agenda
Agenda Overall Strategy F. Manzana - President & CEO Group Overviewv M. Santoro - General Manager 2022 – 2024 Strategic Business Plan Guidelines F. Redavid - Marketing Director M&A Guideline, Financials Targets & Capital Increase A. Mora - Vice President 10
Slide 11: Key drivers of the change in the Global Healthcare Market (1/2)
Key drivers of the change in the Global Healthcare Market (1/2) Demography and socio-economic Consumers expectations Technological Environment factors Consumers wish for convenience, Accelerating technological innovations Ageing population requires even more efficiency and personalized services are
Slide 12: Key drivers of the change in the Global Healthcare Market (2/2)
Key drivers of the change in the Global Healthcare Market (2/2) Laws and Regulations New Market Participants Operational transformation New regulations on interoperability Big tech companies look at the The current shortage of human healthcare industry as a new market to resources in the healthcare
Slide 13: Digital Health market
Digital Health market Current environment Digital health solution Effects and streamlining Resources optimization and Shortage of medical staff AUTOMATION impact on average (doctors, nurses) hospitalization Complex and intricate Process facilitation and MANAGEMENT SOFTWARE consequent improvement of
Slide 14: Global and European market of IT softwares and services in Healthcare
Global and European market of IT softwares and services in Healthcare Global sales ($ bn) European Sales ($ bn) +12.2% 112.5 +12.2% 35.7 100.2 31.4 89.0 27.9 79.7 59.1 25.3 69.4 52.0 21.5 45.9 41.5 35.7 48.2 53.4 38.2 43.1 33.7 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Rest of World USA EU 1
Slide 15: Digital Healthcare & BPO in Italy
Digital Healthcare & BPO in Italy Potential effects of NRRP on the Italian digital healthcare market CAGR $ bn 21-24 €5.8 bn +10.9% 2021-2026 Funds dedicated to the SW & IT Services1 2.3 digitalization of healthcare of which: BPO (Business Process Outsourcing) 2.0 Telemedicine2 1.8 • €3.6 bn 1.7 1.5
Slide 16: Competitive ranking – Italian Top Players
Competitive ranking – Italian Top Players Software BPO AtC (Business Process Outsourcing) Company Focus on Addressable market Company HC ca. € 1 bn ✓ 5 Top Players ✓ Through 35%1 ~50% dedicated healthcare division Reply’s subsidiary Through GPI has a potential reach dedicated healthcare division of
Slide 17: Strategic pillars of Business Plan 2022 – 2024
Strategic pillars of Business Plan 2022 – 2024 Values, Mission and Vision 1. 2. 3. 4. Global Leader Interconnected Innovative and Secure B. Structure, Processes and Governance A. Sustainability, Impact, Brand and Reputation 17
Slide 18: Strategic initiatives
Strategic initiatives Increase in turnover Rationalization and Global market leader Software in Italy innovation of portfolio in Blood Become national reference Care & Virtual Consolidating BPO’s position in Development of a telemedicine operator and enabler of Care the public and private market dis
Slide 19: Strategic pillars of Business Plan 2022 – 2024
Strategic pillars of Business Plan 2022 – 2024 • Develop and implement a sustainability plan with particular reference to the social component, in the field of Sustainability, healthcare, measuring potential impacts through defined metrics (SDG n 3 Good Health Agenda 2030 UN) A Impact, Brand and • P
Slide 20: Software
Software Strategic Initiatives • Further strengthen the presence on the national market by evolving its offer to cover all market needs for the digital transformation of healthcare and through participation in public tenders Increase in turnover in Italy • Consolidate technology platforms and produc
Slide 21: Care & Virtual Care
Care & Virtual Care Strategic Initiatives • Public market consolidation. The market is under construction due to the potential for outsourcing of customer services and thanks to the COVID-19 push • Increasing private market share. Because of longer NHS waiting times due to the health emergency, serv
Slide 22: ICT, Automation & Pay
ICT AUTOMATION PAY ICT, Automation & Pay Strategic Initiatives • Become an End-to-End partner for Cybersecurity by offering consulting services through to service delivery New End-to-End approach for Cybersecurity • R&D investment for new product development and increased competitiveness in non-auto
Slide 23: Agenda
Agenda Overall Strategy F. Manzana - President & CEO Group Overviewv M. Santoro – General Manager 2022 – 2024 Strategic Business Plan Guidelines F. Redavid - Marketing Director M&A Guideline, Financials Targets & Capital Increase A. Mora - Vice President 23
Slide 24: M&A Guidelines
M&A Guidelines Become a Major European Player expects to keep on investing in software companies both abroad and in Italy to expand the product portfolio Focus on international software companies mainly operating in: Blood Management LIS HR /PA with an EBITDA margin > 16% Product Portfolio Evolution
Slide 25: Acquisition of Tesi Group
Acquisition of Tesi Group The Acquisition LIS & RIS/PACS Acquisition of Put & Call Blood 65% of the share options on the SOFTWARE Clinical activities capital remaining 35% Solid customer base 24.9 Expected September >150 >30 >200 closing 30th 2022 Clinical imaging 9.1 Laboratories Transfusional Ente
Slide 26: Financial Targets 2024
Financial Targets 2024 Including Capital Increase of € 140 mn € mn 2021 2024 Organic Revenues >420 mn CAGR 2021-2024 > 8.5% REVENUES 327.0 >500.0 Organic & inorganic Revenues > 500 mn CAGR 2021-2024 > 15% EBITDA 15.2% >17.0% Margin NFI1 3.1 X EBITDA <2.5 X EBITDA pro forma2 26 Notes: (1) NFI include
Slide 27: Capital Increase for M&A and Organic Growth
Capital Increase for M&A and Organic Growth Issuer Transaction type Amount Capital increase Pre-emptive € 140 mn Subscription rights Subscription price Commitments The smallest between: Subscriptions weighted average VWAPs for traded volumes in CDP Equity € 70 mn FM Srl € 35 mn the 6 months precedin
Slide 28: Shareholder structure and voting rights
Shareholder structure and voting rights Current Shareholder structure Post - Capital increase Shareholder structure1 Institutional tranche FM Srl (Manzana Family) 8.9% FM Srl (Manzana Family) CDP Equity 36.1% 42.1% 45.9% Treasury Shares 57.3% Treasury Shares Market 0.4% 0.6% Market 17.7% Current vot
Slide 29: Q&A
Q&A Italy: +39 02 802 09 11 France: +33 170918704 Germany: +49 6917415712 United Kingdom: +44 1 212818004 USA: +1 718 7058796 29
Slide 30: Appendix
30 Appendix Goi
Slide 31: Solid Growth FY21
Solid Growth FY21 Revenue € 326.9 mn +20.6% | 16.2% organic € mn FY21 FY20 thanks to the contribution of the SBAs: • SW € 117.6 mn +14.6% Revenue & other income 326.9 271.0 • Care €166.2 mn +25.4% Adjusted Revenue1 298.1 250.9 • Other € 43.1 mn +20.1% EBITDA: € 49.8 mn | 16.7% on adj. Revenue EBITDA
Slide 32: Financial Highlights FY21
Financial Highlights FY21 € mn Non-current assets FY21 FY20 Restated The increase in Non-current is linked to the investments, including the acquisition of Medinfo and R&D Non-current assets 166.8 158.4 Net Working Capital The increase is due to the rising amount of receivables, Net working capital
Slide 33: Software FY21
Software FY21 Modular and integrated information systems: • Hospital Information System (HIS) +15.5% • Health Social Care • Blood transfusion & tissue bank 49% • Business Intelligence, Data analytics 116.8 21,9 2° player ITA 101.1 Recurring fees 1-3 years Average contract length 50% tenders win-rati
Slide 34: Care FY21
Care FY21 Broad offer of services such as: • Healthcare administration services +25.4% 138.2 • Healthcare services (reception and diagnostic facilities) • Telemedicine and home telecare services 91% • Other 113.9 21,9 1° player ITA Recurring fees 4-6 years Average contract length 45% tenders win-rat
Slide 35: Other SBAs FY21
Other SBAs FY21 AUTOMATION Automated warehouse sales, +20% maintenance and service fees • Retail Pharmacies 43.1 • Hospital Pharmacies • Wholesaler and other industries 35.8 14.0 Automation PAY 11.9 ePayment services POS rental and related software 11.3 Pay • Large-scale Retail 8.0 • Local PA 9.0 2.
Slide 36: Disclaimer
Disclaimer The material in this presentation was prepared by GPI S.p.A. ("GPI” or the “Company”) without any paragraph 2, letters a) to d) of the Order; and (C) other persons to whom this presentation can be form of independent verification; it is general, basic information about the current busines