Slide 1: Rapala VMC Corporation Highlights H1 2017
RAPALA VMC CORPORATION HIGHLIGHTS H1 2017
Slide 2: Best New Monofilament Line 2017 Award
WINNER Ap PrxK” BEST NEW “2 MONOFILAMENT LINE 2017 RAPALA VMC CORP. 2
Slide 3: Brandon Palaniuk Wins Bassmaster Elite Tournament in May
Rapala, Storm & VMC Pro Staff Angler Brandon Palaniuk Wins Bassmaster Elite Tournament in May with Storm Arashi Top Walker lure and VMC Jig Hooks
Slide 4: Rapala Pro Staff Anglers Hold Top Positions on Bassmaster Elite Tour
Rapala Pro Staff Anglers Hold Top 3 Positions on the Bassmaster Elite Tour #1 Ott DeFoe #2 Jacob Wheeler #3 Brandon Palaniuk
Slide 5: Rapala VMC Corporation Half Year H1 2017
RAPALA VMC CORPORATION HALF YEAR H1 2017
Slide 6: Net sales, comparable operating profit, cash flow, EPS
• • • • • • • • • • • Net sales, MEUR Comparable operating profit, Cash flow from EPS, EUR MEUR operations, 124,2 117,5 MEUR 4,8 0,19 0,19 0,15 3,2 20,5 -0,01 154,0 143,1 140,9 4,9 20,6 15,6 2015 2016 2017 11,4 10,7 8,1 6,2 -0,27 2015 2016 2017 2015 2016 2017 2015 2016 2017 H1 H2 6
Slide 7: Net sales
• • • • • • Net sales 180 160 140 120 100 80 60 40 20 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2013 2014 2015 2016 2017 Q1 Q2 Q3 Q4 7
Slide 8: -5% 31,8 -9% 33,3 +3% 47,6 -5% 45,8 46,4 -6% 48,0 +2% -6% +3%
-5% 31,8 -9% 33,3 +3% 47,6 -5% 45,8 46,4 -6% 48,0 +2% -6% +3% 15,7 15,3 -5% -10% -10% • • • • • • • • • • • • • • • 8
Slide 9: Group products and third party products
• • • • • • • • • • Group products Third party products 120 120 100 100 80 80 60 60 40 40 20 20 0 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 Q1 Q2 Q3 Q4 9 Q1 Q2 Q3 Q4
Slide 10: Comparable operating profit, MEUR and %
• • • • • • 25 20% 18% 20 16% 14% 15 12% MEUR 10% 10 8% 6% 5 4% 2% 0 0% H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 Comparable operating profit, MEUR Comparable operating profit, % 10
Slide 11: H1 H2 H1
• • • • • 25 20 15 10 5 0 -5 H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 Group products Third party products 11
Slide 12: Net profit
• • • • • • • 16 0,33 14 12 0,24 10 8 0,15 6 Net profit 4 0,06 EPS 2 0 -0,03 -2 -4 -0,12 -6 -8 -0,21 -10 -12 -0,30 H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 Net profit attributable to equity holders of the company, MEUR Net profit attributable to non-controlling interests, MEUR 12 EPS, EUR
Slide 13: Cash flow from operations and working capital
• • • • • • • Working capital, MEUR Cash flow from operations, MEUR 25 150 140 20 130 15 120 10 110 100 5 90 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 Total working capital, MEUR Inventories, MEUR 13
Slide 14: Net interest-bearing debt, gearing and equity ratio
• • • • • • • • Net interest-bearing debt, MEUR Gearing and Equity ratio, % 140 90% 115,8 82,9 % 120 80% 100 70% 80 71,3 MEUR 60% 46,8 % 60 50% 40 50,1 % 40% 43,6 % 20 30% 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 Gearing, % Equity rati
Slide 15: Short-term Outlook
Short-term Outlook * Following the continued market turmoil and structural changes especially in the US, the outlook for the full year is cautious. The market situation in the US is however expected to slowly stabilize and the Group sees continued consumer demand for its products via old and new cha
Slide 16: Group Strategy
Group Strategy Competitive Brand @ platform and’ 3] Research and Broad own distribution advantages portfolio established sourcing development network and strong capabilities local presence channels Unique competitive advantages form t foundation for Rapala’s strategy Organic growth within Improving
Slide 17: Appendices
APPENDICES RAPALA VC CORP.
Slide 18: H1 Key figures
H1 Key figures MEUR H1/2017 H1/2016 FY/2016 Net sales 140.9 143.1 260.6 Operating profit 11.0 14.2 7.2 Operating profit, % of net sales 7.8% 9.9% 2.8% Comparable operating profit 11.4 15.6 18.8 Comparable operating profit, % of net sales 8.1% 10.9% 7.2% Net profit for the period 6.0 8.2 -2.0 EPS (ba
Slide 19: Net sales by region
North America Nordic 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 Rest of Europe Rest of the World 70 70 60 60 50 50 40 40 30 30 20 20 10 10 0 0 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1
Slide 20: EPS, DPS and payout
EPS EPS, EUR 0,40 0,30 0,20 0,10 EUR 0,00 -0,10 -0,20 -0,30 -0,40 H1 H2 H1 H2 H1 H2 H1 H2 H1 2013 2014 2015 2016 2017 0,40 150 % 0,30 100 % 0,20 50 % EUR 0,10 0% - -50 % 2013 2014 2015 2016 2017 -0,10 -100 % -0,20 -150 % EPS, EUR DPS, EUR Payout, % 20
Slide 21: Profit and loss account
Profit and loss account MEUR H1 2017 H1 2016 FY/2016 Net sales 140.9 143.1 260.6 Other operating income 0.6 0.2 1.3 Materials and services 63.5 63.6 129.0 Personnel expenses 35.2 35.1 67.6 Other costs and expenses 28.2 27.0 51.1 Share of results in associates and joint ventures 0.0 0.0 -0.1 EBITDA 1
Slide 22: Balance sheet
Balance sheet MEUR H1 2017 H1 2016 FY/2016 ASSETS Non-current assets Intangible assets 74.9 76.5 78.2 Property, plant and equipment 34.2 35.7 36.2 Non-current assets Interest-bearing 0.0 0.9 0.0 Non-interest-bearing 8.5 11.2 9.1 117.6 124.4 123.5 Current assets Inventories 99.1 118.1 102.2 Current a
Slide 23: Shares and Shareholders
Shares and Shareholders SHARE RELATED DATA (6/2017) — » Market capitalization 152,9 MEUR ge 125 * 12-month high/low 4.90/3.97 EUR 2 15 pnyren * All-time high/low 8.40/2.50 EUR 3 oe ] <A “ tna z 85 MAJOR SHAREHOLDERS (6/2017) i * VMC Holdings 38% 55 * Sofina 19% or eh ee Fh gh oF oh OS ° Nordea Funds
Slide 24: Financial Trends
Financial Trends Sales and scope| 00 02 04 06 08 10 12 14 16 Number of countries 35 MEUR Profitability 20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0% 00 02 04 06 08 10 12 14 16 % of sales 1 1 1 1 MEUR 60 40 20 00 80 60 40 20 800% Balance sheet position 00 02 04 700% 600% 500% 400% 300% 200% 100% 0% 06 08 10