Edenred Sa · EURONEXT:EDEN
Edenred Sa — H1 2012 Earnings Presentation
19 slides from Edenred Sa's earnings presentation, Aug 30, 2012
Slide 1: H1 2012 Results
H1 2012 Results Media conference call August 30, 2012
Slide 2: H1 2012 Key Figures
H1 2012 Key Figures In € millions H1 L/L 2012 growth Issue volume 7,865 +9.5% EBIT 170 +8.1% Funds from operations 131 +14.5% Strong H1 results, in line with the Group’s targets(1) in terms of issue volume growth and cash generation (1) Normalized targets: +6% to +14% L/L growth in issue volume and
Slide 3: H1 2012 Key Achievements
H1 2012 Key Achievements 20 new solutions launched out of the objective of 26(1) by year-end New solutions 2 new countries opened out of the objective of 6 to 8(2) by 2016 Geographic Finland Japan expansion Launch of Ticket Mind & Body® Acquisition of Barclay Vouchers and meal voucher benefit meal v
Slide 4: New Solution Launches On Track
New Solution Launches On Track Ongoing innovation process Illustration of a new solution launch in Brazil Innovation pipeline 150 solutions at end-June 2012 ► Recent changes in the environment Independent trucker strikes in August Strong commitment of the government with first fines implemented
Slide 5: First Results of Geographic Expansion
First Results of Geographic Expansion Illustration of a new country opening : Identification of potential new countries Japan Country pipeline assessment Feasibility 25 countries screened over the past 24 months Scoring 39th Edenred country Selection ► Entry through the acquisition in July 2012 of B
Slide 6: Significant New Client Gains
Significant New Client Gains Client portfolio increase through two complementary levers Organic growth Targeted acquisition +5.0% increase in penetration rate in H1 Comprocard in Brazil Significant client wins in H1 Around €100m 100,000 new additional issue beneficiaries volume Nb of beneficiaries I
Slide 7: Digital Shift – Ongoing Process
Digital Shift – Ongoing Process Illustration: Ongoing digital shift Belgian Case 2016E Efficient and unique solution: Dual interface card, combining both contact and 2012E >70% contactless technologies Largest affiliated network (close to 7,000 merchants) 2011 50% Strong sales and marketing
Slide 8: H1 2012 Results
H1 2012 Results Chapter 1 Titre du document - date - Arial regular 8pts 8
Slide 9: Income Statement - Key figures
Income Statement - Key figures June June Change Change In € millions 2011 2012 reported L/L(1) Issue volume 7,264 7,865 +8.3% +9.5% Operating revenue 456 465 +1.9% +7.3% Financial revenue 44 46 +2.1% +7.4% Total revenue 501 511 +1.9% +7.3% EBIT 167 170 +1.6% +8.1% Recurring profit after tax 96 101 +
Slide 10: H1 2012 Issue Volume by Type of Solution
H1 2012 Issue Volume by Type of Solution B2B B2G EMPLOYEE BENEFITS PUBLIC EXPENSE INCENTIVE & SOCIAL TOTAL MEAL AND QUALITY OF MANAGEMENT REWARDS PROGRAMMES FOOD LIFE Issue volume 6,185 557 794 265 64 7,865 (in € millions) As a % of IV 79% 7% 10% 3% 1% 100% L/L change +8% +8% -1% +2% +10% +28% H1 20
Slide 11: H1 2012 Issue Volume by Region
H1 2012 Issue Volume by Region 39 countries(1) Emerging countries 60% of issue volume (2) +15.6% L/L Growth Developed countries 40% of issue volume +1.4% L/L Growth Strong momentum in emerging markets which represent 60% of Edenred’s business Resilient developed markets in a tough economic environme
Slide 12: Contribution of Growth Drivers to H1 2012 Issue Volume
Contribution of Growth Drivers to H1 2012 Issue Volume H1 2012 organic issue New geographies volume growth 9.5% Finland: launch of Ticket Mind & Body® in October 2011 and Ticket = Restaurant® in April 2012 with still limited impact on H1 issue volume Enter new 4 0.0% New solutions geographies +1.0
Slide 13: Flow-through ratio
Flow-through ratio(1) Financial Operating Digital Currency effect revenue revenue and changes L/L∆: €3m L/L∆: €34m Extra costs in scope Flow-through Flow-through H1 2011 EBIT ratio ratio H1 2012 EBIT (reported) 100% 45% (reported) €167m €(5)m €170m (2) €15m €(10)m €3m of which: of which: • France: €
Slide 14: Net Profit
Net Profit June June In € millions 2011 2012 EBIT 167 170 Net financial expense (23) (20) Operating profit before tax and non-recurring items 144 150 Non-recurring income and expenses, net 2 (1) Income tax expense (44) (40) Minority interests (4) (9) Net profit, Group share 98 100 Recurring profit a
Slide 15: 2012 Outlook
2012 Outlook Chapter 2
Slide 16: H2 2012 Outlook
H2 2012 Outlook Strong momentum in Latin America ISSUE VOLUME A challenging environment in Europe, due to the decrease in the number of people in work, low inflation and the situation in Hungary(1) Overall stable take-up rate by solution OPERATING REVENUE High basis of comparison for busines
Slide 17: FY 2012 Guidance
FY 2012 Guidance L/L Operating EBIT: Digital extra costs L/L Financial EBIT: 40% to 50% in FY 2012: 100% flow-through(1) €10m to €15m flow-through FY 2012 EBIT target: €355m to €375m (1) Flow-through ratio before digital extra costs 17
Slide 18: Conclusion
Conclusion Chapter 3 Titre du document - date - Arial regular 8pts 18
Slide 19: On track to conquer 2012
On track to conquer 2012 Invent Organic Strategy 2016 ► Confirmation of our medium term target(1) on issue volume L/L growth of 6% to 14% Conquer ► Acceleration of new solution and new country development 2012 20 new solutions launched out of the objective of 26(2) by year-end 2 countries open o