Amplifon Spa · MIL:AMP
Amplifon Spa — H1 2015 Earnings Presentation
18 slides from Amplifon Spa's earnings presentation, Jul 23, 2015
Slide 1: Amplifon H1 2015 Financial Results Conference Call
Amplifon H1 2015 Financial Results Conference Call Milan, June 23rd, 2015
Slide 2: Disclaimer
Disclaimer ̶ The information contained herein and other material discussed during the analysts’ presentation, particularly the ones regarding any possible or assumed future performance of the Amplifon Group, are or may be forward looking statements and in this respect they involve some risks and unc
Slide 3: Transition at Executive Leadership level
Transition at Executive Leadership level ̶ The Company and the CEO Franco Moscetti jointly agreed to initiate the transition process in the CEO role. ̶ Franco Moscetti held the position for over 10 years reaching significant accomplishments in the Group international development and financial perfor
Slide 4: Strong H1 2015: Group sales over €500m, up 13.7% at constant FX
Strong H1 2015: Group sales achieving over €500m, up 13.7% at constant FX ̶ Double digit revenue growth with balanced contribution from all the 3 Regions: − H1 2015 revenue up 20.1% y-o-y (OG +10.2%, Acq. +3.4%, FX 6.5%) − Q2 2015 growth remained strong across all the geographies – sales up 17.9% y-
Slide 5: Solid balance sheet & cash flow continue to sustain our growth strategy
Solid balance sheet & cash flow continue to sustain our growth strategy ̶ Ongoing footprint expansion: 100 new corporate shops and SIS opened/acquired in H1 2015 of which: ̶ 23 corporate shops acquired in Germany ̶ 15 corporate shops and 4 SIS acquired in France ̶ 7 corporate shops and 3 SIS opened
Slide 6: H1-2015 Financial Results: strong growth in sales and profitability
H1-2015 Financial Results: strong growth in sales and profitability H1 2015 H1 2014 SALES by Region Non- Non- Δ % on € millions Recurring % Total % Recurring % Total % Recurring Recurring Recurring APAC REVENUE 500.3 100% - 500.3 100% 416.5 100% - 416.5 100% 20.1% 14.7% EBITDA 78.6 15.7% (6.8) 71.8
Slide 7: Global leader outperforming the steady growth of the hearing solutions market
Global leader outperforming the steady growth of the hearing solutions market EMEA Europe: +10.7% y-o-y at constant FX ME & A: +119.8% y-o-y at constant FX Americas APAC +18.4% in LC y-o-y +14.2% in LC y-o-y Hearing aid users growing steadily but represent only ca. 20% of hearing impaired Amplifon 7
Slide 8: EMEA: robust organic growth supports profitability improvement
EMEA: robust organic growth supports profitability improvement € millions H1 2015 H1 2014 Δ% € millions Q2 2015 Q2 2014 Δ% REVENUE 330.7 100.0% 289.3 100.0% 14.3% REVENUE 179.2 100.0% 161.4 100.0% 11.0% EBITDA 30.7 9.3% 29.4 10.2% 4.5% EBITDA 18.5 10.3% 23.4 14.5% -20.8% EBIT 13.3 4.0% 14.4 5.0% -7.
Slide 9: AMERICAS: strong momentum continues and drives further margin improvement
AMERICAS: strong momentum continues and drives further margin improvement € millions H1 2015 H1 2014 Δ% € millions Q2 2015 Q2 2014 Δ% REVENUE 96.0 100.0% 66.4 100.0% 44.6% REVENUE 49.6 100.0% 33.4 100.0% 48.6% EBITDA 18.4 19.2% 11.9 17.9% 55.3% EBITDA 9.7 19.6% 5.7 17.1% 70.1% EBIT 16.1 16.7% 10.1 1
Slide 10: APAC: steady double digit growth
APAC: steady double digit growth € millions H1 2015 H1 2014 Δ% € millions Q2 2015 Q2 2014 Δ% REVENUE 73.6 100.0% 60.7 100.0% 21.1% REVENUE 40.1 100.0% 33.3 100.0% 20.4% EBITDA 22.7 30.8% 16.3 26.8% 39.4% EBITDA 13.3 33.0% 9.8 29.3% 35.7% EBIT 16.9 22.9% 10.9 17.9% 55.5% EBIT 10.4 25.9% 7.0 21.0% 48.
Slide 11: Solid capital structure sustains steady profitable growth
Solid capital structure sustains steady profitable growth Net debt to Equity Net Debt € millions € millions 387.6 257.0 257.0 ̶ In May 2015 prepayment of the €55.2m USPP tranche Net Debt 26.8 Total Equity 473.4 ̶ Over €150m war chest ready to support strong M&A activity -157.3 Cash Short-term Long-t
Slide 12: Strong operational cash flow & renewed focus on external growth
Strong operational cash flow & renewed focus on external growth € thousands H1 2015 H1 2014 EBIT 46,264 35,358 D&A 25,534 22,142 Other non cash adjustments and gains/losses on sale 15.330 6,910 1. Higher interests payment due to the €4.3m make Net financials -13,760 -10,826 1 whole for the pre-payme
Slide 13: Annexes
Annexes
Slide 14: H1 2015 Revenue Breakdown
H1 2015 Revenue Breakdown Amplifon Revenue Breakdown € millions H1 2015 H1 2014 Δ% Δ FX OG% Q2 2015 Q2 2014 Δ% Δ FX OG% Italy 120.4 24.1% 107.4 25.8% 12.0% 10.7% 69.0 63.7 8.4% 7.8% France 58.8 11.8% 50.4 12.1% 16.8% 10.8% 31.1 26.3 18.6% 13.0% The Netherlands* 32.2 6.4% 30.9 7.4% 4.4% 4.4% 16.9 17.
Slide 15: H1 2015 Income Statement
H1 2015 Income Statement H1 2015 H1 2014 Non Non Δ % on € millions Recurring % Total % Recurring % Total % recurring recurring Recurring 1. One-off provision related to the REVENUE 500.3 100.0% - 500.3 100.0% 416.5 100.0% - 416.5 100.0% 20.1% termination of the CEO Operating costs (422.7) -84.5% 1 (
Slide 16: Q2 2015 Income Statement
Q2 2015 Income Statement Q2 2015 Q2 2014 Non Non Δ % on € millions Recurring % Total % Recurring % Total % recurring recurring Recurring 1. One-off provision related to the REVENUE 268.9 100.0% 268.9 100.0% 228.1 100.0% 228.1 100.0% 17.9% termination of the CEO Operating costs (220.4) -81.9% 1 (6.8)
Slide 17: Balance Sheet: perimeter growth and favorable currency evolution
Balance Sheet: perimeter growth and favorable currency evolution € thousands 30/06/2015 31/12/2014 30/06/2014 € thousands 30/06/2015 31/12/2014 30/06/2014 Trade payables -108,242 -101,788 -100,194 Goodwill 565,371 534,822 525,294 Other payables -114.587 -124,418 -103,265 Cust. lists. non-compet. agr
Slide 18: Investor relations contacts
Investor relations contacts Investor Relations Office Investor Relations Team Amplifon Emilia Trudu Via G. Ripamonti. 133 Investor Relations Director 20141 Milano (MI) Phone: +39 02 5747 2454 Italy Fax: +39 02 5740 9427 Phone: +39 02 5747 21 emilia.trudu@amplifon.com Fax: +39 02 5730 0033 Amanda Har