Zignago Vetro SpA · MIL:ZV
Zignago Vetro SpA — STAR Conference 2020
34 slides from Zignago Vetro SpA's conference presentation, Mar 19, 2020
Slide 1: Company presentation
Company presentation March 2020
Slide 2: Group Structure
Group Structure FREE FLOAT Zignago Holding S.p.A. on the (MARZOTTO FAMILY) ITALIAN STOCK EXCHANGE 65% 35% 100% Santa Margherita Wine producer Zignago Vetro 2018 ZV Group consolidated 230,1 Mln € 420,5 mln € Zignago Power 100% 51% Vetro Revet Biomass electricity producer 100% 50% 100% 100% 7,3 mln €
Slide 3: Milestones
Milestones Portogruaro plant: Acquisition of specialty containers production Acquisition of Vetro Revet: Vetreco: cullet recycling F&B + C&P plants, then merged into Vetri Speciali cullet recycling 1979 1987 1994 1995 2002 2004 2007 2011 2013 2017 2019 Acquisition of Empoli Acquisition of VB in List
Slide 4: Presence in Selected Business Segments
Presence in Selected Business Segments 2019 (€m) Market Segment Products Main Features Competitive Strengths Flexibility, efficiency and Food & technical know-how key for Zignago Vetro Beverage success Flexibility Sales € 230.1m Focus on selected segments Quality Cosmetics & of food & beverage a
Slide 5: Manufacturing Facilities – international presence
Manufacturing Facilities – international presence Geographical Presence Manufacturing Locations Revenues breakdown (2019 FY) Facility Location Portogruaro, (Venice) Italy Empoli (Florence) Italy Vieux Rouen sur Bresle (Normandie) France Trabki (Warsaw) Poland (decoration facility located with glass
Slide 6: Business model
Business model Production of glass containers dedicated to a broad spectrum of sectors/markets, with a wide range of products: different colours, shapes and dimensions. High content of product innovation and customization. Standard Customized Innovative Specialty 5
Slide 7: Commercial Presence and Customer Relationships
Commercial Presence and Customer Relationships Concentration Customer rate of first loyalty1 5 clients 2 (Revenues) Zignago Vetro 15% 92% ZV Brosse 53% 93% Vetri Speciali 27% 94% ZV Polska 26% 73% 1 Revenues from clients present also the 2 previous years 2 Net of intercompany sales 6
Slide 8: Zignago Vetro Group: Sales and Profitability Track Record
Zignago Vetro Group: Sales and Profitability Track Record Sales and EBITDA (1988-2019) CAGR: +7,9% Euro (m) CAGR: +8,3% 7
Slide 9: Financial Performance – Zignago Vetro Group
Financial Performance – Zignago Vetro Group Revenues (€m) EBITDA (€m) 27,7% 28,1% 130 27,2% 30% 450 25,1% 120 23,6% 400 25% 110 350 100 300 90 20% +11.7% 250 +11.7% 80 15% 200 +1.4% +4.4% 420,5 70 118,1 337,0 376,5 60 104,3 150 318,5 322,9 91,6 10% 100 50 75,1 80,9 40 5% 50 30 0 20 0% 2015 2016 2017
Slide 10: FY 2019 Revenues & Profitability by BU
FY 2019 Revenues & Profitability by BU ZIGNAGO VETRO ZIGNAGO VETRO BROSSE Revenues (€m) Revenues (€m) 60 50 40 30 -3.8% +14.3% 59,2 56,9 20 10 0 2018 2019 EBITDA (€m) EBITDA (€m) 17,9% 18,0% 12 20% 10 15% 8 10,6 6 10% 10,3 4 5% 2 0 0% 2018 2019 EBITDA (€m) Margin (%) 9
Slide 11: FY 2018 Revenues & Profitability by BU
FY 2018 Revenues & Profitability by BU VETRI SPECIALI (50%) ZIGNAGO VETRO POLSKA Revenues (€m) Revenues (€m) 50 40 30 +14.5% 49,4 +12.0% 43,1 20 10 0 2018 2019 EBITDA (€m) EBITDA (€m) 10
Slide 12: Zignago Vetro Group - Balance Sheet
Zignago Vetro Group - Balance Sheet Net Capital Employed (€m) Net Working Capital (€m) 500 30,4% 29,0% 140 25,1% 24,8% 30% 400 120 23,2% 25% 100 300 20% 80 473,3 15% 200 372,5 417,2 60 122,0 274,6 311,9 102,5 87,3 10% 100 40 79,9 80,1 20 5% 0 0 0% 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Ne
Slide 13: Cash Flow From Operations and Capex
Zignago Vetro Group - Cash Flow From Operations and Capex Cash Flow from Operations (before capex) (€m) Capex (€m) 90 100 75 80 60 60 45 82,6 94,3 79,1 40 30 72,0 54,9 54,3 58,3 66,0 66,1 45,9 20 15 0 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 12
Slide 14: Financial structure, EPS and dividends
Financial structure, EPS and dividends Key financial structure ratios EPS and Dividend distribution (Euro) 2,50 2,13 2,08 2,13 1,93 2,00 1,72 1,58 1,64 1,50 1,31 1,07 0,98 1,00 1,10 1,08 1,13 1,01 0,89 0,82 0,81 0,50 0,70 0,73 0,64 0,00 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Indeb. Fin. N
Slide 15: Annex
Annex ESG: Environment Social Governance Zignago Vetro’s Sustainability Business Approach 14
Slide 16: Environment Social Governance
Environment Social Governance Zignago Vetro Mission: To produce and market hollow glass containers for a range of market segments, in particular the food and beverages and cosmetics and perfumery sectors, with a particular focus on sustainability and with the aim of providing its customers with high
Slide 17: Glass: sustainable raw material
Environment Social Governance Glass: sustainable raw material TRANSPARENCY, ELEGANCE & IDENTITY PERFECT PRESERVATION FOOD SAFETY TOTAL AND INFINITE RECYCLABILITY Glass is the perfect fit in a circular economy as it is 100% recyclable, for an infinite number of times, and without deteriorating the qu
Slide 18: Environment Social Governance
Environment Social Governance Aware of its role for the sustainable development, Zignago Vetro has linked its activities to the 2030 Agenda of the United Nations, focusing mainly on the subsequent 12, Goals that are connected to 3 principal pillars: PILLARS Environment Social Governance Environment
Slide 19: Environment: raw materials management
Environment: raw materials management To date 46,5% of raw materials used by Zignago Vetro is composed by recycled glass, marking a +8,4% increase with respect to last year. The usage of recycled glass has a triple advantage: - saving of virgin raw materials - energy saving - lower CO2 emissions The
Slide 20: Environment: energy efficiency
Environment: energy efficiency In 2019, the energy consumption per ton of glass produced have decreased by -5,5%. - In this scenario, the pursuit of the objective of a balanced mix among the energy sources is also important, trying to maximize the use of renewable and self-produced ones. From 2018 t
Slide 21: Environment: energy efficiency
Environment: energy efficiency Percentage of electricity usage from renewable and non-renewable sources: Renewable sources Non-renewable sources During 2019, the use of electricity from renewable resources has saved 23.410 ton of CO2 emissions.
Slide 22: Environment: water management
Environment: water management Zignago Vetro is deeply concerned to protect the hydrogeological balance and to prevent any instability. - In 2019, the value of specific water consumption per ton of glass produced has significantly decreased by -33,9%, thanks to: - the implementation of closed-circuit
Slide 23: Environment: emissions
Environment: emissions Zignago Vetro is actively committed in decreasing the CO2 emissions: - Between 2018 and 2019, CO2 specific emissions have decreased by -5,7%. With the aim to decrease the CO2 emissions, the Group has set the following targets: - reduction of energy consumption; - maximization
Slide 24: Environment: waste management
Environment: waste management From 2018 to 2019, we got a general decrease of ordinary waste in relation to the ton of glass produced (-13,8%): this reduction is visible both for non-hazardous waste (-15,1%), and for hazardous waste (-6,9%) Total waste for destination Total waste in Total waste sent
Slide 25: Environment: projects for the environment
Environment: projects for the environment During 2019 we have supported the following projects: - MEGLIOINVETRO - ENDLESS OCEAN - PLATIC FREE POLICY - ENVIRONMENTAL EDUCATION IN SCHOOLS - TOGETHER FOR THE VENETO MOUNTAINS - TREEDOM - ESG CONFERENCES
Slide 26: Social: human resources management
Social: human resources management In 2019, the Group steadily continues to represent a point of working opportunities: the employees’ headcount is of 1.733 people, with an increase of +54 subjects with respect to 2018. Personnel by professional category in the last 3 years Directors Executives Empl
Slide 27: Social: health and safety in the workplace
Social: health and safety in the workplace The Group’s companies give the highest level of attention to the issues of health and safety in the workplace and prevention. Accidents – Frequency index Accidents – Gravity index Accidents’ frequency Accidents’ gravity The accidents in the Group are steadi
Slide 28: Social: consumers’ Health & Safety
Social: consumers’ Health & Safety Zignago Vetro has obtained various certifications, confirming its attention towards its clients: - We are certified UNI EN 15593:2008 for the design and production of glass containers for alimentary usage. - We are certified ISO 9001:2015 for the design, production
Slide 29: Social: personnel training and development
Social: personnel training and development Zignago Vetro is actively engaged in improving personnel skills: - in each country in which the Group operates, there are Training hours training programs structured according to the different needs, for all the professional categories; - in 2019, the Group
Slide 30: Social: protection of diversity, equal opportunities and non-discrimination
Social: protection of diversity, equal opportunities and non-discrimination The management of Zignago Vetro companies is conducted with absolute respect for personal diversity and by ensuring equal opportunities. In particular, in Zignago Vetro we promote social inclusion policies: - since 2016, Zig
Slide 31: Social: suppliers’ management
Social: suppliers’ management Zignago Vetro fosters the sustainability culture along its entire supply chain, pursuing the following objectives: - engaging with suppliers who share philosophies in line with Zignago Vetro's policy and with the principles of ethical, social and environmental responsib
Slide 32: Social: projects for the community
Social: projects for the community During 2019 we have supported the following projects: - TOMMASINO BACCIOTTI FOUNDATION - SPONSORSHIP OF LOCAL SOCCER TEAM - NEIGHBOURHOOD REDEVELOPMENT PROJECTS - FINANCING OF SCHOLARSHIPS - SUPPORT TOWARDS ARTISTIC INITIATIVES: ZIGNAGO VETRO AND ART - COLLABORATIO
Slide 33: Governance: fiscal transparency and fight against corruption
Governance: fiscal transparency and fight against corruption The Group's operations are based on the maximum levels of fiscal accuracy: - the Group has regeristed 0 cases of corruption; - the financial data are subject to a double control by the auditing company and the fiscal advisors used by the G
Slide 34: Environment Social Governance – Roadmap
Environment Social Governance – Roadmap “Keep growing together in a sustainable way”