Waberer's International Nyrt. · BET:WABERERS
Waberer's International Nyrt — Q3 2017 Earnings Presentation
30 slides from Waberer's International Nyrt's earnings presentation, December 2017
Slide 1: Waberer's Investor Presentation
Waberer’s Investor Presentation WABERER’S INTERNATIONAL Nyrt. | December 2017
Slide 2: Forward-looking statements
Forward-looking statements This presentation may contain forward-looking statements. Statements that are not historical facts, including statements about our beliefs and expectations, are forward-looking statements. These statements are based on current plans, estimates and projections, and therefor
Slide 3: Agenda
Agenda | Investment Case Highlights | Q3 2017 Results | Financial Statements | Appendix |3
Slide 4: A Compelling Investment Proposition – Delivering Growth
A Compelling Investment Proposition – Delivering Growth Scale Efficiency Innovation Consolidation Profitability Largest European Market-Leading Developing and Platform Track Record of Own FTL Fleet Fleet Utilisation Applying Technology Attractive Strong Financial Systems Consolidation Performance Pr
Slide 5: The European Leader in FTL Transportation
The European Leader in FTL Transportation Leading Pan-European Leading Regional Logistics FTL Operator Solutions Provider Group Revenue 2016PF: €582m Group Recurring EBITDA 2016PF: €76m 4,152 Trucks(1) 199k m2 IT Capital Expenditure c. 2.1 Years Average Age Warehouse Capacity(1,2) of c.€2.7m p.a.(3)
Slide 6: Divisional Overview: International and Regional
Divisional Overview: International and Regional Group Revenue: €582m Group EBITDA: €76m (Margin: 13.1%) International Regional |Overview(1) |Overview(1) #1 own-fleet player in European FTL with #1 in road transport and logistics services in Hungary 17% Revenue Revenue 3,464(2) own trucks Large
Slide 7: Consistent Top Line Growth with Stable Profit Generation
Consistent Top Line Growth with Stable Profit Generation Consistent Growth of Revenues Across Segments Stable Profit Generation | Revenue CAGR | EBITDA CAGR (in €m) 2014A-2016PF (in €m) 13.7% 13.7% 13.1% 2014A-2016PF 582 76 8.3% 5.9% 522 68 72 496 41 5 87 97 11.8% 8 11 13 27.2% 78 419 435 443 2.9% 6
Slide 8: Capital Market Overview
Capital Market Overview IPO Allocation Structure Shareholder Structure(1) EUR 50 mn EUR 15 mn Primary Allocated to 17% Institutional issuance retail investors 1% Retail (new shares) EUR 80 mn and employees 10% equity sold CEE Transport BV EUR 30 mn EUR 65 mn Sold by existing Allocated to Treasury sh
Slide 9: Agenda
Agenda | Investment Case Highlights | Q3 2017 Results | Financial Statements | Appendix |9
Slide 10: Strategy and Third Quarter Developments
Strategy and Third Quarter Developments Scale Efficiency Innovation Consolidation Profitability Largest European Market-Leading Developing and Platform Track Record of Own FTL Fleet Fleet Utilisation Applying Technology Attractive Strong Financial Systems Consolidation Performance Prospects € Q3 dev
Slide 11: Highlights
Highlights Revenue1 grew by 23% on Link acquisition and better pricing environment Balance between organic Recurring Group EBITDA increased by 20% and inorganic growth Link2 fully consolidated in Q3 2017 figures More than 3% y-o-y improvement in fuel consumption Improvement in efficiency L
Slide 12: Group Performance
Group Performance |Revenue (left) and recurring EBITDA (right) by segments Revenue growth of 23% to which all three (EUR mn) segments contributed significantly +23% +20% EBITDA up 20% as a result of a balanced combination of organic efficiencies and Link 182 25 13 2 Net income growth of 8% wit
Slide 13: International Transportation Segment
International Transportation Segment | ITS selected financials (unaudited IFRS, EUR mn) and KPIs* Revenue increase driven by better price levels and Link Q3 Q3 Increase 2016 2017 (decrease) Linkcontributed EUR 1.8 million to EBITDA Revenue 113.7 139.6 22.8% Direct Costs (88.9) (112.2) (26.2%)
Slide 14: Regional Contract Logistics
Regional Contract Logistics | RCL selected financials (unaudited IFRS, EUR mn) and KPIs 30% growth in revenue driven by client higher service levels to key Q3 Q3 Increase clients 2016 2017 (decrease) EBITDA up by 8% as a result of more Revenue 25.0 32.4 29.8% transportation activities on demand
Slide 15: Other segment
Other segment | Other segment selected financials (unaudited IFRS, EUR mn) Revenue in the Other segment Q3 Q3 Increase increased by 19% driven by an expansion in the Insurance Company’s 2016 2017 (decrease) client base Revenue 11.0 13.0 18.8% Direct Costs (9.2) (11.7) (27.3%) EBITDA and margin d
Slide 16: Agenda
Agenda | Investment Case Highlights | Q3 2017 Results | Financial Statements | Appendix | 16
Slide 17: Financial statements – Income statement
Financial statements – Income statement | Group selected income statement financials (unaudited IFRS, EUR mn unless otherwise stated) 2017/2016 abs. 2017/2016 % 2016 2017 change change Q3 9M Q3 9M Q3 9M Q3 9M Revenue 147.9 424.3 182.3 495.5 34.4 71.2 23.3% 16.8% Direct Costs (114.8) (333.4) (145.7)
Slide 18: Financial statements – Balance sheet
Financial statements – Balance sheet | Group selected balance sheet items (unaudited IFRS, EUR mn unless otherwise stated) 31 December 31 March 30 June 30 September 2016 2017 2017 2017 TOTAL NON-CURRENT ASSETS 345 346 369 453 TOTAL CURRENT ASSETS 169 173 193 213 o/w Trade receivables 88 100 102 125
Slide 19: Financial statements – Cash flow statement
Financial statements – Cash flow statement | Group selected cash flow items (unaudited IFRS, EUR mn unless otherwise stated) 9M 2016 9M 2017 Net cash flows from (used in) operating activities 57.1 47.3 of which: change in working capital (1.7) (20.5) Net cash flows from (used in) investing and finan
Slide 20: Agenda
Agenda | Investment Case Highlights | Q3 2017 Results | Financial Statements | Appendix | 20
Slide 21: Established Market Leadership Secured by Significant Barriers to Entry
Established Market Leadership Secured by Significant Barriers to Entry #1 Own International Fleet FTL Player in Europe Significant Barriers to Achieve Industry Leadership | International Fleet Size(1) (Number of Vehicles, Latest Available) (excl. (incl. Link) Link) (2) (3) Waberers 2,970 3,397 Girte
Slide 22: Attractive Growth and Consolidation Prospects – European Market
Attractive Growth and Consolidation Prospects – European Market Road is the Dominant Mode of Transportation in Europe… Highly Fragmented European Market | European Inland | Transportation Companies by Fleet Size(1) Transport Split Navigation (By Freight Transport 13% Activity in Gtkm, 2015A) Rail 51
Slide 23: Attractive Growth and Consolidation Prospects – Regional Market
Attractive Growth and Consolidation Prospects – Regional Market Growing Economies in Adjacent Countries Strong Domestic Road Transportation Market Growth | Real GDP CAGR | Hungarian Domestic Road Freight Market Size (2015A – 2020E) (in €bn) United Kingdom 2.4 2.5 2.2 2.3 2.1 2.1 2.2 1.3% 1.8 1.9 Ger
Slide 24: Focused Strategy, Underpinned by a Compelling Value Proposition
Focused Strategy, Underpinned by a Compelling Value Proposition, Driving Above-Market Growth Compelling Value Proposition and Focused Strategy… …Driving Above-Market Growth Availability – Guaranteed capacity and high density of fleet network International Leverage the Network Quality – Modern fl
Slide 25: Industry-Leading Operational Performance
Industry-Leading Operational Performance High Density of Coverage(3) Market-Leading IT Infrastructure | Industry-Leading Operating Efficiency 91.6% 91.3% 90.9% - Industry-leading IT platform drives - Density and frequency drive operational excellence and optimisation potential optimises asset deploy
Slide 26: Resilient Business Model
Resilient Business Model Industry-Leading Production Costs Flexible Asset Cycle | Fleet Cycle Re-Scalability High fuel efficiency (Avg. # of Trucks) (23% of 2015 Fleet(1)) Continuous fleet Optimised procurement of trucks 117 3,550 renewal programme Addition 668 785 Established OEM Standardised in-
Slide 27: Diversified, Blue-Chip Customer Base
Diversified, Blue-Chip Customer Base FF Client Base Effectively Addresses Seasonality Well Diversified Across Industry Verticals | Customers by Type | Customer Industries (2016A, % of Subcontractor Revenues) Freight (2016A, % of Total Revenues) (2) Forwarders FMCG 10% 23% Non-Classified 31% Construc
Slide 28: Identified M&A Selection Criteria
Identified M&A Selection Criteria International Transportation Regional Logistics | Size | Size – Focus on mid-sized – Focus on small and Revenue: Equity Value: operators mid-sized – Quality book >€50m €30–50m Revenue: Equity Value: 1 of business 1 logistics providers €20–50m Up to €50m – Scope for
Slide 29: Industry Recognised and Highly Regarded Board of Directors
Industry Recognised and Highly Regarded Board of Directors Nikolaus Bethlen Ferenc Lajkó Chairman of the Board Board Member Board member since 2011 Board member since 2017 Partner at Mid Europa Partners and Head of Budapest Joined the Group in 2002, CEO since 2016 office, responsible for dea
Slide 30: WABERER'S INTERNATIONAL Nyrt. H-1239 Budapest, Nagykőrösi út 351.
WABERER’S INTERNATIONAL Nyrt. H-1239 Budapest, Nagykőrösi út 351. Tel: +36 1 421 6300 E-mail: investor.relations@waberers.com
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