Slide 1: Investor Presentation: The first 9 months 2019 results
Investor Presentation The first 9 months 2019 results
Slide 2: Cembre at a Glance
Investor Presentation Cembre at a Glance Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools; The Group has grown its revenues by a CAGR of 5.7% in the last 18 years (2001-2018), from €56 mn in 2001 to €144.1 mn in 2018; It is a dividend-payer w
Slide 3: Contents
Investor Presentation Contents Management Team Business overview The first 9 months 2019 results The first 9 months 2019 Guidance Stock data & shareholding structure Contact 3
Slide 4: Management team
Investor Presentation Management team Giovanni Rosani Chief Executive Officer (CEO) OUR MISSION Cembre cooperates with the users of its products to find the best technical Aldo Bottini Bongrani and economical solutions related to Member of the Board electrical connection applications. M&A and Specia
Slide 5: Group Structure
Investor Presentation Group Structure 487 S.p.A 100% 100% 100% 100% 100% Cembre Cembre Ltd. Cembre Sarl Cembre GmbH Cembre Inc. España SLU Great Britain France Germany USA Spain 108 30 45 20 32 IKUMA IKUMA KG Verwaltungs GmbH Germany Manufacturing and trading unit 100% 100% Germany Trading unit Non
Slide 6: Human resources
Investor Presentation Human resources The Group employs 753 employees worldwide. R&D Production Marketing/Sales/Distribution Administration/Services 23 440 212 78 Cembre has extensive know-how Sharp focus on customer needs in its operating field, and its strong and the efficient international R&D te
Slide 7: Business Overview
Investor Presentation Business Overview Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools. Electrical Connectors Tools Railway Products Identification Cable Glands, Systems Accessories and other 7
Slide 8: Made in Brescia…
Investor Presentation Made in Brescia… Cembre, established in 1969, manufactures its products in its state-of- art production facility located in Brescia. The facility covers an area of 60,000 m2 on a total land area of 121,000 m2. In December 2011 Cembre purchased a 13,500 m2 industrial area next t
Slide 9: … and U.K.
Investor Presentation … and U.K. In addition, Cembre has a production facility in the UK which operates on a 8,800 m2 land. This plant in Birmingham manufactures mainly for the local market. The sales generated in the UK are 13% of the consolidated turnover of the first nine months of 2019. Cembre L
Slide 10: Very Strong in Europe…
Investor Presentation Very Strong in Europe… Cembre is present all over the Italian territory through a network of salesmen and representatives who are able to offer fast and constant technical assistance. Abroad, it operates through 5 subsidiaries in Europe (UK, France, Spain, 2 in Germany) and 1 i
Slide 11: Present All Around the World…
Investor Presentation Present All Around the World… Cembre has a network of importers and agents who provide technical and commercial assistance and rapid delivery all around the world… 11
Slide 12: Revenues breakdown by Product Family
Investor Presentation Revenues* breakdown by Product Family (€ ‘000) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Electrical Tools Railway Products Cable Markers Cable Glands Terminal Blocks Others Total connectors *Customers’ bonuses not deducted 9 months 45,046 18,137 21,176 21,845 9,204 2,247 2,71
Slide 13: Geographical Revenue Breakdown
Investor Presentation Geographical Revenue Breakdown Italy 9 months 9 months Δ 2019 2018 Sales 43.6 mn 44.4 mn -1.9% % in total 39.5% 41.4% -1.9 pp Europe (ex-IT) 9 months 9 months Δ 2019 2018 Sales 51.8 mn 46.3 mn 11.9% % in total 46.9% 43.1% 3.8 pp Rest of the World 9 months 9 months Δ 2019 2018 S
Slide 14: 18-Year Revenue Evolution
Investor Presentation 18-Year Revenue Evolution € Millions Global Economic 160 Crisis 144,1 140 132,6 121,4 122,6 120 112,9 103,0 103,9 104,5 100 93,4 94,3 93,9 84,1 80 76,0 70,0 65,1 59,9 60 56,0 56,9 40 20 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Slide 15: A Wide Product-Mix
Investor Presentation A Wide Product-Mix In order to maintain its leading position and increase the penetration of market, Cembre had sensibly enlarged the range of products offered through: •Research activities mainly focused on the development of innovative products for the sectors with the highes
Slide 16: Electrical Connectors: 14.0% increase in Sales
Investor Presentation Electrical Connectors: 14.0% increase in Sales Electrical Connectors: 9 months 2019 9 months 2018 Δ Total Sales 45.0 € mn 39.5 € mn 14.0% Sales in Italy (% share) 19.9 € mn (16.5%) 18.3 € mn (16.1%) 8.7% Sales in Europe ex-IT (% share) 22.2 € mn (18.5%) 18.5 € mn (16.2%) 20.3%
Slide 17: Tools: 1.2% decrease in Sales
Investor Presentation Tools: 1.2% decrease in Sales Tools: 9 months 2019 9 months 2018 Δ Total Sales 18.1 € mn 18.4 € mn -1.2% Sales in Italy (% share) 5.2 € mn (4.4%) 4.9 € mn (4.3%) 7.2% Sales in Europe ex-IT (% share) 8.7 € mn (7.3%) 8.0 € mn (7.0%) 8.7% Sales in RoW (% share) 4.2 € mn (3.5%) 5.4
Slide 18: Railway Products: 3.1% decrease in Sales
Investor Presentation Railway Products: 3.1% decrease in Sales Railway Products: 9 months 2019 9 months 2018 Δ Total Sales 21.2 € mn 21.8 € mn -3.1% Sales in Italy (% share) 2.1 € mn (1.8%) 2.8 € mn (2.5%) -24.6% Sales in Europe ex-IT (% share) 12.9 € mn (10.7%) 12.1 € mn (10.6%) 6.5% Sales in RoW (
Slide 19: Cable Markers: 6.8% increase in Sales
Investor Presentation Cable Markers: 6.8% increase in Sales Cable Markers: 9 months 2019 9 months 2018 Δ Total Sales 21.8 € mn 20.5 € mn 6.8% Sales in Italy (% share) 13.4 € mn (11.2%) 13.3 € mn (11.7%) 1.0% Sales in Europe ex-IT (% share) 7.1 € mn (5.9%) 6.2 € mn (5.4%) 15.2% Sales in RoW (% share)
Slide 20: Cable Glands: 9.4% increase in Sales
Investor Presentation Cable Glands: 9.4% increase in Sales Cable Glands: 9 months 2019 9 months 2018 Δ Total Sales 9.2 € mn 8.4 € mn 9.4% Sales in Italy (% share) 7.7 € mn (6.4%) 7.1 € mn (6.2%) 8.4% Sales in Europe ex-IT (% share) 1.3 € mn (1.1%) 1.1 € mn (1.0%) 13.9% Sales in RoW (% share) 0.2 € m
Slide 21: The first 9 months 2019 Consolidated Results
Investor Presentation The first 9 months 2019 Consolidated Results Euro Millions 9 months 9 months Changes 9 months 2019 2018 % 2017 Sales 110.3 107.3 2.8% 97.6 EBITDA 28.7 26.7 7.4% 25.3 In % of sales 26.0% 24.9% 25.9% EBIT 21.4 21.5 -0.6% 20.6 In % of sales 19.4% 20.0% 21.1% EBT 21.2 21.5 -1.4% 20
Slide 22: Group Companies Turnover
Investor Presentation The first 9 months of 2019 Group’s Companies Turnover* Company 9 months 9 months Changes 9 months (Euro thousands) 2019 2018 % 2017 Cembre S.p.A. (Italy) 57,616 58,080 -0.8% 54,587 Cembre Ltd. (UK) 14,594 13,596 11.6% 13,209 Cembre S.a.r.l. (France) 8,036 7,448 6.9% 7,215 Cembr
Slide 23: September 30, 2019 Consolidated Balance Sheet
Investor Presentation September 30, 2019 Consolidated Balance Sheet Euro Millions Sept. 30, 2019 Dec. 31, 2018 Sept. 30, 2018 a Net operating working capital 54.9 55.3 56.4 % of sales 36.8% 38.4% 38.3% b Net fixed assets 104.5 96.0 92.3 c Assets available for sales - - - d Employees’ severance indem
Slide 24: Cembre's Revenue and Profitability Trend
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 160.000 144.096 140.000 132.637 122.605 121.377 120.000 112.905 103.028 103.899 104.547 100.000 93.417 94.288 93.934 84.127 80.000 69.997 75.984 Revenues 65.149 59.870 56.003 56.946 60.000 40.000 20.000 0 2001 2002 2003 2004 200
Slide 25: Cembre's Revenue and Profitability Trend
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 30.000 28.496 65,0% 27.036 60,0% 25.000 24.095 55,0% 22.836 50,0% 19.433 45,0% 20.000 18.420 17.379 16.221 17.291 40,0% 15.941 16.456 Ebit 15.838 35,0% 15.000 30,0% 11.023 10.581 25,0% 10.000 7.656 20,0% 6.932 6.271 20,4% 6.364
Slide 26: Index analysis
Investor Presentation Index analysis ROI (EBIT/Investments) ROACE (EBIT/Net Capital Employed) 25,00% 35,00% 29,45% 30,00% 19,67% 29,05% 20,00% 24,34% 19,06% 16,60% 16,57% 16,18% 25,00% 23,13% 23,39% 21,49% 15,11% 21,23% 20,61% 14,65% 22,23% 15,00% 22,05% 15,09% 15,59% 20,00% 14,15% 16,85% 17,12% 11,
Slide 27: Investments trend
Investor Presentation Investments trend 20.000 18.000 16.000 14.000 12.000 10.000 8.000 6.000 4.000 2.000 0 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Investments in tangible assets Investments in intangible assets Total investments € ‘000 2005 2006 2007 2008 2009 2010 201
Slide 28: 2019 and onwards…
Investor Presentation 2019 and onwards… Cembre focused on these targets: Increase of turnover thanks to: •A strengthening of Cembre competitive advantage by developing new products and continuous product range renewing by an intense R&D activity, •A new product line for plumbing sector; •An higher p
Slide 29: 2019 and onwards…
Investor Presentation 2019 and onwards… The automated warehouse, located in a 4,800 m2 industrial building built in 2012, has been operating from January, 2013. This warehouse is 3 time more efficient, and has a 50% increase in end-product capacity warehousing. In 2018, a new 9,600 m2 industrial bui
Slide 30: 2019 and onwards…
Investor Presentation 2019 and onwards… •On May 3rd, 2018 wholly-owned German subsidiary Cembre GmbH acquired the entire capital stock of German company Ikuma GmbH & Co. KG (“Ikuma KG”). Cembre GmbH also acquired the entire capital stock of Ikuma Verwaltungs GmbH, a company whose only activity is to
Slide 31: Stock Data & Shareholding Structure
Investor Presentation Stock Data & Shareholding Structure Cembre FTSE Italia Star Shareholders: Share: data updated at December 9, 2019 LYSNE Spa 52.39% Sara Rosani 8.65% Giovanni Rosani 8.53% Anna Maria Onofri 0.71% Massachusetts Financial Service 5.02% Altri 24.70% Cembre has been listed since Dec
Slide 32: Share price evolution
Investor presentation Share price evolution 26 Share price Share return 24 Total return 22 2001-11 2019 20 +15.0% 18 CAGR 16 14 12 Performance 2001-11 2019 10 8 +13.7% 6 CAGR 4 Total Return is the average ‘Share return’ 2 growth in the period 0 Performance is the average ‘Share price’ growth in the
Slide 33: Contact
Contact Claudio Bornati CFO and IR Via Serenissima 9, 25135 Brescia (BS) Italy Phone: ++39 030 36921 Email: claudio.bornati@cembre.com The manager responsible for preparing the Company’s financial reports, Claudio Bornati, declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law