Slide 1: Integrated Solutions Provider - 2020 Results Presentation
Integrated Solutions Provider 2020 Results Presentation
Slide 2: Index
Index 1. Key Market trends & Corporate strategy 2. 2020 Business highlights & Results 3. Outlook 4. ANNEX
Slide 3: Key Market trends & Corporate strategy
1. Key Market trends & Corporate strategy
Slide 4: Green and Digital Technology trends drive market opportunities
Green and Digital Technology trends drive market opportunities Sector BU Main markets Market growth Key growth drivers Power grid ▪ Environmental issues and greater focus on energy saving and ENERGY ENERGY 23%* efficiency 2019-2040 & ▪ Faster growth of renewables in the electricity sector Smart Grid
Slide 5: Corporate strategy
Corporate strategy INVESTMENT & 2020-2023 DIVERSIFICATION THE NEXT DEVELOPMENTS New Business Model ▪ INTEGRATED SYSTEMS ▪ DIGITAL SOLUTIONS ▪ FULL SERVICES to increase recurring revenue streams Strategic drivers ▪ DIGITALISATION ▪ SUSTAINABILITY ▪ ENERGY TRANSITION 5
Slide 6: Business strategy
Business strategy ENERGY TRENCHERS RAILWAY STRINGING ENERGY AUTOMATION Working vehicles CLEAN & FAST CERTIFIED as passenger INNOVATIVE WORKING DIGITAL solutions and SOLUTIONS for trains in EU METHODOLOGIES for grid Substation Automation underground energy cable maintenance SYSTEMS and fiber optic ne
Slide 7: 2020 Business highlights & Results
2. 2020 Business highlights & Results
Slide 8: 2020 highlights
2020 highlights CORPORATE ▪ New ERP project implementation and go live for Tesmec SpA ▪ Cost saving actions ENERGY TRENCHERS RAILWAY STRINGING ENERGY AUTOMATION Business model focused on Important growth in Growth strategy on increasing recurring Consolidation of the strategic markets: Transmission
Slide 9: 2020.FY Closing
2020.FY Closing Delta vs. Delta Achieved the target communicated during the 2020 2019 process of the share capital increase GROUP (€ mln) 2020 2019 Proforma vs. proforma proforma 19-20 19-20 (1) Revenues: (mainly TRS Sales) affected by the REVENUES (1) 172,8 170,6 199,6 200,7 -13,4% -15,0% actions t
Slide 10: 2020.FY Proforma Closing – Business Breakdown
2020.FY Proforma Closing – Business Breakdown ENERGY 2020 2019 Delta % > The decrease is related to the lockdown and slowdown in the 1H Revenues 43,8 44,2 -1,0% > Improved 3Q-4Q resiliency of the Energy sector and the better performance of the Energy Automation, Euro 10,0 million of EBITDA 5,3 5,6 -
Slide 11: Backlog
BACKLOG Euro/mln BACKLOG (1) Including the confirmed 30/09/2020 Sales 2020.Q4 Intake 2020.Q4 31/12/2020 award of the RFI tender for the production of diagnostic vehicles for around Euro 50 77,0 (2) 76,2 million and an RFI order of Energy 14,6 13,8 revamping activities for Euro 7,5 million (2) Of whi
Slide 12: 2020.FY Revenues: sales spread over different geographical area
2020.FY Revenues: sales spread over different geographical area INTERNATIONAL SCALE, FOCUS ON EU-USA IMPORTANCE OF THE ITALIAN MARKET 2020 2019 19% 20% 19% 24% 7% 9% 20% 15% 34% 20% 6% 7% ITALY: railway business & energy automation impact Italy Europe Middle East BRICs and Oceania USA&EU: trencher a
Slide 13: 2020.FY Proforma EBITDA
2020.FY Proforma EBITDA € mln 30,0 (0,3) (4,8) 30,0 27,0 (2,0) 24,0 22,9 21,0 18,0 15,0 12,0 9,0 6,0 3,0 0,0 2019 proforma Energy Trencher Railway 2020 proforma Impacted from the drop of TRS sales in the 1H (partially mitigated by 2019 the rental activities) and from the negative performance of rail
Slide 14: 2020.FY Financial Results
2020.FY Financial Results Financial Information (€ mln) 2020 2019 Net Working Capital 64,3 73,0 Non Current assets 76,7 66,8 Right of use - IFRS 16/IAS 17 22,8 20,1 Other Long Term assets/liabilities 10,0 4,2 Net Invested Capital 173,8 164,2 Net Financial Indebtness 82,3 98,5 Lease liability - IFRS
Slide 15: 2020.FY Working Capital evolution
2020.FY Working Capital evolution 90 4,5 (5,1) (7,5) 80 (3,9) 3,3 70 60 50 40 73,0 30 64,3 20 10 0 2019 Inventories WIP Trade Trade Other current 2020 Net Working Receivables Payables ass. / liab. Net Working capital capital € Mln 2020 2020.1H 2019 2020 2019 Trade Receivables 60,4 59,8 67,9 127 122
Slide 16: 2020.FY Net Financial Position Evolution
2020.FY Net Financial Position Evolution € mln NET FINANCIAL POSITION 14,2 143,0 (4,8) 140 3,4 (19,0) 118,0 (2,9) 10,3 9,9 (24,7) 120 104,4 100 80 60 40 20 0 NFP OFCF NWC Capex Change NFP OFCF NWC Capex Share NFP 2019 of Cons. 2020.1H Capital 2020 Area Increase Impacted by the change of Cons Area an
Slide 17: 2020.FY Net Financial Position Evolution
2020.FY Net Financial Position Evolution NET FINANCIAL POSITION € mln 143,0 137,8 140 123,8 10,2 120 112,5 112,5 115,6 118,0 11,0 119,2 104,4* 100 114,7 105,0 5,9 97,8 99,8 80 92,6 94,1 82,3 60 40 20 0 1Q 2019 1H 2019 9M 2019 2019 1Q 2020 1H 2020 9M 2020 2020 NFP ante IFRS 16 IFRS 16 4service NFP im
Slide 18: Outlook
————— €TESMEC Outlook
Slide 19: Outlook
Outlook ▪ Booming of specific geographic areas (e.g. Asia Pacific) ▪ Positive impact of recovery plans on reference markets of the Group MACRO ▪ Growth of demand, increasing suppling process, higher logistic costs and ECONOMIC commodities, shortage of materials SCENARIO ▪ Stronger foreign currencies
Slide 20: Outlook 2021
Outlook 2021 ENERGY TRENCHERS RAILWAY STRINGING ENERGY AUTOMATION Increasing revenues thanks Expected positive outlook Strong growth perspective Further focus on recurring to: driven by "Green Deal” on based on high visibility revenues through the offer ▪ Strong backlog (121.6 M€) key markets such a
Slide 21: 2020-2023 Business Plan guidelines - Confirmed
2020-2023 Business Plan guidelines - Confirmed 2019pf 2020pf 2021 2023 199.6 172.8 >> Significant performance of the Energy TURNOVER M€ M€ ~ 220 M€ Automation segment; Stringing segment back to 275 ~ 290 M€ historical performances cagr19-23: 8.5%~10.0% >> Focus on recurring revenues (rental & servic
Slide 22: Use of Proceeds - Investment plan acceleration
USE OF PROCEEDS ▪ Financial ratio improvements and rating upgrade, adding further commercial STRENGTHENING competitiveness FINANCIAL STRUCTURE ▪ Net financial position improvement AUTOMATION STRINGING Internationalisation of ENERGY Financial contribution ENERGY Strengthening of the business activiti
Slide 23: ANNEX
————— €TESMEC ANNEX
Slide 24: Summary 2020.FY Profit & Loss statement - Appendix A
Summary 2020.FY Profit & Loss statement - Appendix A Profit & Loss Account (Euro mln) 2020 2019 Delta vs 2019 Delta % Net Revenues 170,7 200,7 (30,0) -15,0% Raw materials costs (-) (77,4) (88,0) 10,6 -12,1% Cost for services (-) (30,2) (35,4) 5,2 -14,8% Personnel Costs (-) (48,5) (52,6) 4,1 -7,8% Ot
Slide 25: Summary 2020.FY Balance Sheet - Appendix B
Summary 2020.FY Balance Sheet - Appendix B Balance Sheet (€ mln) 2020 2019 Inventory 74,2 69,9 Work in progress contracts 11,2 16,3 Accounts receivable 60,7 67,9 Accounts payable (-) (61,4) (57,5) Op. working capital 84,7 96,7 Other current assets (liabilities) (20,4) (23,6) Net working capital 64,3
Slide 26: Notes
Notes The pro-forma results were prepared for illustrative purposes only, and were obtained by making appropriate pro-forma adjustments to the historical data to retroactively highlight the effects of the 4Service Group's transaction, as if this transaction had occurred on 1st January 2020, instead
Slide 27: www.tesmec.com
( TESMEC www.tesmec.com