Smiths Group Plc · LSE:SMIN
Smiths — Investor Day (2022)
13 slides from Smiths's investor day presentation, 2022
Slide 1: Deep Dive: Smiths Interconnect
Deep Dive Smiths Interconnect
Slide 2: Julian Fagge, President, Smiths Interconnect
Julian Fagge, President, Smiths Interconnect • PwC, 1996 - 1999 • Procter & Gamble, 1999 - 2011 • Royal Caribbean, 2011 - 2013 • Smiths Group, 2013 – present – Group Controller – Group Director, Strategy and M&A – President, Smiths Interconnect | 2 |
Slide 3: Executive Summary
Executive Summary • At the forefront of cutting-edge connectivity with leading products, technologies and capabilities • Over the past few years, we have successfully transformed the business and have built strong positions in fast growing market segments with structurally attractive characteristics
Slide 4: Smiths Interconnect: advancing the world through cutting-edge connectivity
Smiths Interconnect: advancing the world through cutting-edge connectivity Revenue breakdown Revenue breakdown Key data by geographical region, % of by business segment, % of FY2022 revenue Smiths Interconnect total Smiths Interconnect total £363m (+13.9% ) 1 (14% of Smiths) APAC RoW Fibre Optics an
Slide 5: Smiths Interconnect: strong positions with competitive advantage in our core segments
Smiths Interconnect: strong positions with competitive advantage in our core segments Demand drivers Key customers Competitive strengths Competitive landscape • The insatiable demand for • Global leaders in our core • Broad portfolio of products, • Large multinationals to data markets including: and
Slide 6: The Smiths Interconnect growth story
The Smiths Interconnect growth story FIVE-YEAR TRACK RECORD Revenue growth (£m) Five-year track record 4.6% CAGR COVID-19 impact 400 • Revenue growth: 4.6% CAGR 300 200 • Operating profit: 10.7% CAGR FY18 FY19 FY20 FY21 FY22 Organic M&A • Operating margin growth to 18.0% Operating profit growth (£m)
Slide 7: How Smiths Interconnect delivers growth
How Smiths Interconnect delivers growth Focus Examples • Add new technologies • Optical products (Reflex Photonics - 2020) Disciplined M&A • Access market adjacencies • Add incremental revenue streams • Optical transceivers / sub-assemblies Adjacencies • Move up the value-chain • Medical cable assem
Slide 8: Investing for growth
Investing for growth R&D investment (£m) and # of new Staying at the forefront of innovation Examples product platforms launched • The world of connectivity is advancing at SpaceAble optical transceivers (SatCom) R&D # of platforms launched a fast rate – Launched in September 2018 25 • We have diffe
Slide 9: Connectors
Connectors We design connectors that: Key customers Route to market Smiths relative position • Deliver high-performance for space and defence • Defence, aerospace • Direct with dedicated • High integrity, high • Enable the safe operation of high-speed trains and space primes key account performing •
Slide 10: Semiconductor Test
Semiconductor Test We design test products that: Key customers Route to market Smiths relative position • Test sophisticated semiconductor chips and electronic circuits used in applications such as gaming, data centres, industrial and computing devices • Integrated device • Direct for key • Top 3 se
Slide 11: SII
SII We design integrated microwave solutions, antennae and Key customers Route to market Smiths relative position communication devices that: • Deliver RF systems for advanced applications • Leading defence, • Collaborative • RF subsystem design • Provide situational awareness and protection from in
Slide 12: Fibre Optics and Radio Frequency components
Fibre Optics and Radio Frequency components We design RF and optical components that: Key customers Route to market Smiths relative position • Deliver performance and signal integrity in satellite communications, deep space exploration, and defense • Leading space • Mix of direct • A leader in Optic
Slide 13: Closing remarks
Closing remarks • Smiths Interconnect has delivered a strong performance over the past few years and has enormous potential building on the momentum we have established • We play in attractive market segments with leading products, technologies, capabilities and a rich innovation pipeline • We have