Datalogic S.p.a. · MIL:DAL

Datalogic — STAR Conference 2013

36 slides from Datalogic's conference presentation, Mar 27, 2013

1. Slide 1: STAR Conference

   STAR Conference Milan 27th March, 2013

2. Slide 2: Agenda

   Agenda  Group Overview  Strategy and Outlook  2012 Results  Appendix 2

3. Slide 3: Group Overview

   Group Overview DATALOGIC

4. Slide 4: Why Invest in Datalogic?

   Why Invest in Datalogic ? Strong positioning in Strong Investment Sound Prospects the Industry Case  Worldwide leader in  Proven track records  Growth above major the ADC and IA  Strong potential from competitors markets acquired companies  Datalogic trades at a  Balanced presence  High margi

5. Slide 5: Datalogic at a Glance

   Datalogic at a Glance  Global leader in Automatic Data Capture and Industrial Automation markets  World-class producer of barcode readers, mobile computers, sensors, vision systems and laser marking systems with innovative solutions in retail, manufacturing, transportation & logistics and healthca

6. Slide 6: Consistent Growth in 2001-2012

   Consistent Growth in 2001-2012 SALES CAGR 2001- 2012 + 14% EBITDA CAGR 2001- 2012 + 13% 462 63 59 404 426 382 380 393 50 50 48 312 38 32 206 25 146 21 20 112 118 132 16 17 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012  Strong

7. Slide 7: A History of Growth through Acquisitions

   A History of Growth through Acquisitions Acquisition of Accu- Sort Acquisition of Systems Inc. (PA, Informatics Inc. (TX, USA) USA) Established in Acquisition of Bologna Acquisition of PSC Inc. PPT Vision Inc. (OR, USA) (MN, USA) Listing on the Milan Stock Acquisition of Exchange Laservall SpA Acqui

8. Slide 8: A Wide Geographical Footprint…

   A Wide Geographical Footprint… EUROPE 37.3% NORTH AMERICA 34.5% ITALY 8.4% APAC 11.4% ROW 8.4% Direct presence in 30 countries worldwide 8 Manufacturing Sites 12 R&D Centers Note: Breakdown by area based on 2012 revenues © Copyright Datalogic 2007-2013 8 8

9. Slide 9: … to improve service for Global Clients

   … to improve service for Global Clients  More than 1,000 partners worldwide  Longstanding relations with the biggest retailers, couriers and automotive manufacturers in the world  Over 400 installations of Self Shopping in Europe  Over 1,000 reading stations installed in more than 100 airports w

10. Slide 10: Worldwide Market Trend: ADC and IA

    Worldwide Market Trend: ADC and IA Automatic Data Capture Industrial Automation  ADC addressable market grew at a slower  Very fragmented IA industry with pace in 2012 due to the economic crisis, potential addressable markets worth expected to recover as of 2013 $3B in the Inductive Proximity and

11. Slide 11: ADC Positioning: 10% Market Share

    ADC Positioning: 10% Market Share >30% ADC Market Share up from 9.9% to 10.2% YoY 13% POS Retail Scanners #1 WW – 37.4% mkt share 10% Handheld Scanners #1 in EMEA – 31.6% mkt share #3 WW -17.4% mkt share Mobile Computers #4 in EMEA – 7.6% mkt share 4% #5 WW - 4 % mkt share <2% $50 M $100 M $200 M $3

12. Slide 12: IA Positioning: 6% Market Share

    IA Positioning: 6% Market Share >12% Industrial Stationary Scanners 10% #1 WW–33.3% mkt share #1 in Americas – 43.8% 8% mkt share #2 in EMEA–30.5% mkt 6% share 4% 2% IFM $50 M $100 M $200 M $300 M 2011 Revenues 2011 IA Available Market including Industrial Barcode Scanners, Imagers, Photoelectric Se

13. Slide 13: Stock and Governance

    Stock and Governance Market Segment: STAR MTA Ticker: DAL Reuters Code: DAL.MI Price (March 21st, 2013): 6.31 Euro Bloomberg Code: DAL IM Market Cap (March 21st, 2013): 368.8M Euro Outstanding Shares: 58,446,491 Specialist: Intermonte SIM Share Par- Value: 0.52 Euro each Auditing Company: Reconta, E

14. Slide 14: Strategy and Outlook

    Strategy and Outlook DATALOGIC

15. Slide 15: Datalogic Strategy: Three Major Strengths

    Datalogic Strategy:Three Major Strengths 15

16. Slide 16: Relentless Innovation

    Relentless Innovation  Continuous investments in R&D provide new fuel to enhance reference market growth  Strengthen development through a new Technology Platform (IP Tech)  Focus on Vision and Imaging technologies  Develop breakthrough innovation in Checkout and Automatic Scanning solutions  R

17. Slide 17: Customer Solutions in ADC Market

    Customer Solutions in ADC Market Protect Leadership and Leverage Cash Flow  A complete product and solutions range to meet customers’ needs more effectively and promptly  Reengineer Go To Market Model in large, under served and fast growing geographies and Vertical markets to gain market share: 

18. Slide 18: Customer Solutions in IA Market

    Customer Solutions in IA Market Leading Player in FA and T&L  Increase penetration in large regions and fast growing geographies:  Gain market shares in North America, by distribution network and FA business  Drive above market growth in EMEA by T&L solutions revenues  Boost growth in under serv

19. Slide 19: Efficiency and Productivity

    Efficiency and Productivity  Group reorganization by market: ADC (Scanning and Mobile integrated) and IA divisions  Streamlined organization structure by reducing existing operating companies and improved operational efficiency and right-sized cost structure  World class performance through the g

20. Slide 20: 2012 Results

    2012 Results DATALOGIC

21. Slide 21: Sound operating profitability in a weak scenario

    Sound operating profitability in a weak scenario  Revenues grew by 8.6% to 462.3 M Euro, on a like-for-like basis almost in line with 2011  EBITDA + 6% to 62.8 M Euro, EBITDA margin from 13.9% to 13.6% (net of M&A costs for 2.2 M Euro, improved to 14.0%)  Net profit should have been up 20% to 31.

22. Slide 22: 2012 Consolidated P&L

    2012 Consolidated P&L 000€ FY2011 % FY2012 % Var % Revenues 425,533 100.0% 462,250 100.0% 8.6% COGS (228,937) -53.8% (249,324) -53.9% Gross Operating Margin 196,596 46.2% 212,926 46.1% 8.3% Other revenues 2,395 0.6% 6,893 1.5% R&D (26,191) -6.2% (32,027) -6.9% Distribution Costs (80,080) -18.8% (86,

23. Slide 23: Revenues Growth

    Revenues Growth REVENUES BY DIVISION REVENUES BY AREA € 000 2011 2012 % € 000 2011 2012 % ADC 297,520 297,928 0.1% Italy 45,514 38,979 -14.4% Industrial Automation * 96,234 130,614 35.7% Europe 167,577 172,441 2.9% Informatics 32,160 34,127 6.1% North America 123,160 159,227 29.3% DL SpA 15,380 22,1

24. Slide 24: Segment Reporting: GOP and EBITDA

    Segment Reporting: GOP and EBITDA GROSS OPERATING MARGIN EBITDA (€mln) 212.9 (€mln) 196.6 59.2 62.7 135.4 141.5 46.3 40.1 56.7 47.3 13.7 7.1 5.4 14.114.7 15.422.2 4.1 4.1 1.8 ADC Industrial Informatics DL SpA Total Group ADC Industrial Informatics DL SpA Total Group Automation Automation 2011 2012 2

25. Slide 25: Segment Reporting: R&D and TWC

    Segment Reporting: R&D and TWC R&D COSTS TWC (€mln) 32.0 (€mln) 66.7 60.8 26.2 18.8 18.8 42.2 33.9 11.7 6.3 16.5 14.1 2.2 3.2 3.3 5.2 7.8 0.6 0.8 0.5 ADC Industrial Informatics DL SpA Total Group ADC Industrial Informatics DL SpA Total Group Automation Automation 2011 2012 2011 2012 R&D/Revenues 201

26. Slide 26: Highlights 4Q 2012

    Highlights 4Q 2012  Revenues up 6% to 114.7 M EURO YoY and 3.6% QoQ  Orders received in Q42012 equal to 116.1 M Euro, +13% YoY  Marginality affected by 1.6 M Euro of M&A costs accounted in the last quarter, net of this effect EBITDA up 9.2% YoY and - 3.6% QoQ Var Var €000 4Q2012 4Q2011 3Q2012 YoY

27. Slide 27: EBITANR - Actual vs Last Year

    EBITANR * - Actual vs Last Year (€000) Vol. sales/Mix -14,810 Service sales -290 12,208 52,986 48,761 (8,070) (15,100) 9,275 (1,144) (2,171) 9,227 Other revenues + 4,499 Other variable costs - 1,481 Direct Cogs + 14,474 Other -5,284 Exch rate on sales +16,122 Exch rate on DCOGS -10,621 Exch rate on

28. Slide 28: Consolidated Balance Sheet

    Consolidated Balance Sheet €000 At 31/12/2011 At 31/12/2012 Intangible fixed assets 42,228 60,262 Goodwill 112,152 151,134 Tangible fixed assets 49,991 51,621 Non Consolidated investments 7,951 3,936 Other fixed assets 31,935 46,602 Total Fixed Assets 244,257 313,555 Net trade account receivables 74

29. Slide 29: Net Debt Analysis: 2011 vs 2012

    Net Debt Analysis: 2011 vs 2012 Net Income + 10,173 Translation effect + 2,563 Deprec&Amort + 15,503 VAT - 2,720 Acc. Receivable + 2,265 Write off + 27,000 Tax Payment - 9,771 Inventory + 14,652 Provision for bad debt + 370 Other -1,820 Acc. Payable + 1,693 Personnel & admin costs accrual + 1,049 Re

30. Slide 30: Appendix

    Appendix DATALOGIC

31. Slide 31: ADC Market: Datalogic ADC

    ADC Market: Datalogic ADC POS Retail Scanners Handheld Readers Mobile Computers #1 Worldwide, 37.4% mkt share #1 in EMEA, 31.6% mkt share #4 in EMEA, 7.6% mkt share #3 Worldwide, 17.4% mkt share #5 Worldwide, 4% mkt share Solutions Enterprise Business Solutions Evolution Robotics Retail Self Shoppin

32. Slide 32: IA Market: Datalogic Industrial Automation

    IA Market: Datalogic Industrial Automation Identification Industrial Stationary Scanners #1 Worldwide, 33.3% mkt share #1 in Americas, 43.8% mkt share # 2 in EMEA, 30.5% mkt share Sensors Safety Machine Vision Laser Marking Integrated Systems A wide range of cutting edge solutions in traceability, i

33. Slide 33: Informatics

    Informatics Complete Range of Easy-To-Use Barcoding Solutions for SMB Barcoding solutions for the millions of Small – Medium Businesses increasing productivity and profitability. Based in the US, serving over 275 thousand small and medium businesses © Copyright Datalogic 2007-2013 33 33

34. Slide 34: Contacts

    Contacts IR CONTACTS NEXT EVENTS CFO and IR Manager April 23, 2013 Marco Rondelli Ordinary Shareholders’ Meeting E-mail investor@datalogic.com May 9, 2013 IR Assistant Approval of the Consolidated Financial Daniela Giglioli Report as of March 31, 2013 Tel. +39 051 3147109 Fax +39 051 3147205 July 30

35. Slide 35: Disclaimer

    Disclaimer This document has been prepared by Datalogic S.p.A. (the "Company") for use during meetings with investors and financial analysts and is solely for information purposes. The information set out herein has not been verified by an independent audit company. Neither the Company nor any of it

36. Slide 36: Thank You!

    Thank You! This presentation contains statements that are neither reported financial results nor other historical information. These statements are forward- looking statements. These forward-looking statements rely on a number of assumptions and are subject to a number of risks and uncertainties, ma

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