Icape Holding · EURONEXT:ALICA
Icape — Investor Presentation (March 2023)
31 slides from Icape's investor presentation, Mar 30, 2023
Slide 1: Financial Outlook – Investor Presentation
EXPERT BOARDS
Slide 2: Disclaimer
This presentation (the “Presentation”) has been prepared by Icape Holding (the "Company") solely for use in investor presentations. This presentation is provided to you personally solely for your information and to be used solely for the purposes of the presentation of the Company. By receiving this
Slide 3: Presenters: Calvignac, Rokni, Le Coguic
CYRIL SHORA ARNAUD CALVIGNAC ROKNI LE COGUIC CEO CFO INVESTOR RELATIONSHIP MANAGER/ DEPUTY CFO ICAPE GROUP 24-year experience in 14-year experience in More than 10 years of experience in PCB & Electronics PCB auditing (Deloitte, Publicis, KPMG, ...) 20 years at ICAPE Group 14 years at ICAPE Group
Slide 4: ICAPE Group
ICAPE GROUP
Slide 5: Products and Activities
Products Activities €220m 2022 revenue(1) “Custom- made” technical parts > Technical provider of PCB and services between international customers and suppliers based in China 15% > Sourcing in China is the core business and a key part of the strategic competitiveness of end-customer supply chains >
Slide 6: Among the world's leading companies and one of the main players in Europe
Among the world's leading companies and one of the main players in Europe 631 €220m 3,000+ Employees including 250 Revenue(1) Active customers multilinguals in Asia 36 88 60+ Subsidiaries and 2 Qualified suppliers Countries delivered Services Offices in China €3,723 3 80%+ Average basket Factories o
Slide 7: ICAPE model development, investments and M&A transactions
M&A transactions ICAPE model development and Major investments for Acceleration of external growth expansion in China strong international development €220m 5 M&A transactions completed €169m 5 M&A transactions completed Opening of 5 new subsidiaries (4 ICAPE DIVSYS and 1 in the U.S.A CIPEM) €58m IC
Slide 8: ICAPE Group Structure and Value Chain
; INVESTOR PRESENTATION ICAPE GROUP STRUCTURE AND VALUE CHAIN
Slide 9: A fundamental strategic position between customers and suppliers
Technical Sourcing Quality Logistics • Technical expertise and • Supplier qualification • Audits • Supply chain optimization • Purchasing power • Inspectors • Storage • Strategic support • Laboratories • Insurance • Technical and commercial • Delivery actions • Local support • Oversight of files and
Slide 10: A unique logistics capability to deliver on time everywhere
Sweden Poland USA Netherlands Germany France Hong Kong Mexico Italy Main sourcing country Sourcing countries Brazil ICAPE logistic centers South Africa ICAPE factories A unique logistics capability to deliver on time, everywhere in the world and at the best cost
Slide 11: EMS and OEM customer types
2 customers types EMS Electronic Manufacturing Services 3,000+ 70% active customers customers for more 50% than 5 years of Group revenue(1) OEM Original Equipment Manufacturer 43.8% 3.1% 50% of revenue generated by the top 50 of revenue generated by of Group revenue(1) customers in 2022 the first cu
Slide 12: Committing to integrity in doing business
Committing to Fostering inclusion Seeking continuous Taking part in public integrity in doing and diversity and improvement interest missions business promoting through our supply engagement chain > 60% of women’s > 74% of Approved Vendor’s Developing our corporate > Ethical and representation on To
Slide 13: Solid Business Model and Historical Financial Performance
SOLID BUSINESS MODEL AND HISTORICAL FINANCIAL PERFORMANCE
Slide 14: Revenue CAGR 2019–2022
Revenue (in €m) IFRS Standards CAGR 2019 – 2022: +21.40% 220 35 23 4 163 6* 126 39 123 2019 2020 Organic Growth M&A FY 2021 Organic Growth (1) M&A FY2022 (1) (1) Including IFRS 5 restatement of future disposals of non-strategic assets Strong resilience despite Significant business recovery and accel
Slide 15: FY2022 income statement and dividend proposal
In €m (IFRS standards) 2021 2022 A 34% growth in revenue supported in particular by Revenue 163.9 219.6 A > Northern Europe zone (Germany and Scandinavia) % growth - 34.0% > 12% organic growth on a like-for-like basis Cost of goods sold (125.1) (157.4) > Acquisitions contributed 22% of the Group's g
Slide 16: Cash flow
In €m (IFRS standards) 2021 2022 A Change in working capital Net income 2.5 5.3 Depreciation and amortization 2.6 3.5 1 > Control of the change in working capital with an Operating cash flow after cost of net financial debt improvement in the ratio of working capital to revenue 5.1 8.8 from 3.4% in
Slide 17: Net financial debt and EBITDA
in €m 2021 2022 A Net financial debt Financial debt (post IFRS-16) 38.3 43.5 > Net financial debt kept under control by generating cash from operations, maintaining the level of factoring and making o/w Factoring 17.1 16.7 limited use of debt o/w Borrowing (incl. Bank overdraft) 14.6 19.3 o/w Leases
Slide 18: Assets and liabilities
Assets Liabilities In €m (IFRS standards) 2021 2022 In €m (IFRS standards) 2021 2022 A Goodwill and Intangible assets Goodwill 5.6 20.9 Equity 2.3 3.2 > Goodwill increase due to acquisitions in 2021 and A C 2022 Intangible assets 2.7 16.4 Reserves 0.3 19.5 Currency > Intangible assets includes Custo
Slide 19: Vision and M&A Strategy
= INVESTORPRESENTATION VISION AND M&A STRATEGY
Slide 20: Strategy: growth and profitability improvement
Continued organic growth Acceleration in external growth Profitability Improvement Organizational optimization A structured Group able to absorb future growth without any additional costs
Slide 21: A professional M&A team and industrial strategy
A professional Industrial strategy M&A team structuring Primary targeted Number of 500 companies identified company criteria: Shora ROKNI Christelle BONNEVIE • Revenue: < €20m >100 Companies contacted • Large number of Antoine LOZZA customers • Gross margin: > 25% 20 Ongoing discussions 7 Executive
Slide 22: Post-acquisition synergies
• Lower purchasing costs, thanks to ICAPE GROUP’s large Purchasing purchasing power synergies 1 to 2 • Improve payments conditions, thanks to ICAPE GROUP’s months process Gross margin better conditions improvement • Increase global purchasing power + Costs • Merge China purchasing offices optimizati
Slide 23: Accretive gross margin impact from M&A and backlog
Accretive gross margin impact from M&A Acquisitions Gross margin embedded in the backlog 2021 % Gross 5 acquisitions As of end of February 2023 revenue margin 2021 €11.8m 33.5% €57.1m of backlog 25.33% gross margin €2.8m 32.5% % gross margin of monthly order intake €16.0m 19.4% in the last few month
Slide 24: 12 M&A targets worldwide
Geography Target 2022 revenue Geography Target 2022 revenue South Europe Target #1 c.€27.0m Asia Target #7 €4.0m South Europe Target #2 €7.5m North America Target #8 €2.2m North Europe Target #3 €6.5m North America Target #9 €1.7m Target #4 €6.0m North America Target #10 €1.2m Oceania Asia Target #5
Slide 25: Slide 25
Slide 26: Topline on a full year basis
Topline on a full year basis(1) (in €m) ~20 M€ 2022 full year impact of M&A Revenue 8-10% of acquisition organic per year growth ~30 M€ (full year Revenue basis(1)) >10% of acquisition organic per year growth (full year basis(1)) ~500 23 30 35 - 220 177 23 163 6* (2) 230 FY 2021 (1) Organic (1) 2021
Slide 27: Dividend policy and mid-term targets
FY 2022 FY 2024 FY 2026 Comments • Thanks to a sustained external growth policy, coupled with strong organic growth, Revenue ~230 M€ ~500 M€ the group should reach €500 million in turnover by 2026 Annual organic ~15%(1) >10% per year ~8-10% per year • Continuation of the trends observed since 2021 f
Slide 28: Key information and shareholding structure
Key information Shareholding structure Listing on Euronext Growth® Paris As of March 1st 2023 Market capitalization: €129.4m (as of March 30, 2023) Employees and Floating others 13.74% 19.85% Date of IPO : July 11, 2022 ISIN code/ Ticker: FR001400A3Q3 / ALICA Financial year closing date: December 31
Slide 29: Appendices
INVESTOR PRESENTATION ~*~ . @, 4 meee, §4= APPENDICES BSS & ‘ )
Slide 30: COMEX members
s MARCH 2023 ICAPE: ; Cyril Calvignac COMEX MEMBERS Chief Executive Ofticer TR ~ e] A i aa Chief Marketing Officer Chief Industrial Officer Chief Financial Officer Chief Operating Officer a Executive VP Excutive VP Executive VP Executive VP Executive VP Executive VP South Europe North Europe East US
Slide 31: Committees, administrators and advisers
4 COMMITTEES 5 ADMINISTRATORS 3 INDEPENDENT ADMINISTRATORS 3 ADVISERS Thierry BALLENGHIEN Philippe Darfeuil Christelle Bonnevie CSR Committee Chairman of the Board Board member VP CIPEM Strategy & Acquisition Cyril CALVIGNAC Brigitte Le Borgne Leon Chen Committee Board member Board member VP China K