Slide 1: 2021 First Half Results
2021 First Half Results INVESTORS LIVE STREAMING PRESENTATION
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Eurotech S.p.A. (or “Eurotech”) and has to be read in conjunction with its oral presentation. The information contained in this presentation does nor purport to be comprehensive. Neither Eurotech nor any of its officers, employees, advisers or agents
Slide 3: H1 2021: Key Highlights
H1 2021: Key Highlights Q2 marked a return to revenue growth: +7.5% vs Q1 , but H1 still down YoY Financial Summary / Volume decrease negatively affected EBITDA - also influenced by non recurring costs Good cost control on OPEX Progress on IoT / IoT revenues up 15% YoY and # PoCs increasing Backlog
Slide 4: 2021: a year of recovery & repositioning
2021: a year of recovery & repositioning Where we are coming from Weak Q1 hitting the bottom of the downside Long cycle business with slow recovery post-crisis One big customer in US on a weak period, not coming back before 2022 Business on Autonomous Driving stopped by customer for strategic reposi
Slide 5: 2021: a year of recovery & repositioning
2021: a year of recovery & repositioning Where we are going (subject to components shortage) Q3 > Q2 Q4 >> Q3 & profitable thanks to operational leverage +30% in opening book for 2022 vs 2021 - as of today Mid-long term growth potential on IoT is real: visibility on volume of Gateways shipped in 202
Slide 6: The journey on the long run
The journey on the long run Back to sustainable & sticky growth From mostly Customized HW to more Standard HW plus SW From any market vertical needing high reliability & ruggedization to 5 focused market verticals From volatile revenues to more re-occurring revenues From SW to sell more HW to scalin
Slide 7: Industry Analysts recognition keeps momentum
Industry Analysts recognition keeps momentum Market recognition progress Frost & Sullivan 2021 Europe Competitive Strategy Leadership Award for leading the Rail IoT market with a “full end-to-end OT solutions enabling seamless IT/OT integration” PAC (teknowlogy Group) confirmed ‘Best in Class’ posit
Slide 8: Progress on go-to-market enablers
Progress on go-to-market enablers Technical Progress We joined the O-RAN Alliance to enable us to play in the 5G Communication ecosystem with our Edge AI products We have been the first in our industry to achieve the PSA Certification, an independent IoT cybersecurity certification originally create
Slide 9: H1 2021 Revenues
H1 2021 Revenues All values in € million Revenues Revenue Bridge 26,7 Top line affected by slow recovery - down 26% vs H1 2020 Around €3.0m from projects discontinued from two major clients. (-21% at constant exchange rates) In terms of segments, IoT increased by 15% proving to be resilient #9
Slide 10: H1 2021 Revenues by Geography
H1 2021 Revenues by Geography H1 2020 H1 2021 USA continue to be the first area # 10
Slide 11: EBITDA Bridge
EBITDA Bridge All values in € million 3.2 -0.5 -3.6 -0.8 -1.7 -1.4 -3.1 H1 EBITDA affected by sales volume and non recurring costs # 11
Slide 12: Solid Balance Sheet
Net Capital Employed Solid Balance Sheet FY'20 €110m - H1'21 €107m H1 ’21 NFP bridge 8.5 5,8 NFP impacted by cash flow investment but positive generation of operational cash flow - Decrease in trade receivables All values in € million # 12
Slide 13: Takeaways
Takeaways Q2 was the turning point, Q3 & Q4 on a growth trend Good order intake is helping to build 2022 backlog Headwind from components shortage will continue, likely into 2022 – we keep working it IoT is growing and go-to-market initiatives to accelerate are progressing Double digit growth will l
Slide 14: Thank you
Slide 15: Appendix I - Why Eurotech
Appendix I - Why Eurotech We have top class solutions for the EDGE We are long term committed We aim at growing double digit … by leveraging secular trends and using M&A to accelerate With solid margins … because of our differentiation in high reliability & ruggedized applications and our innovation
Slide 16: Appendix II – H1 2021 Consolidated Balance Sheet
Appendix II – H1 2021 Consolidated Balance Sheet # 16
Slide 17: Appendix III – H1 2021 Consolidated Operating Results
Appendix III – H1 2021 Consolidated Operating Results # 17