Slide 1: TXT e-Solutions Corporate Overview
TXT e-Solutions Corporate Overview April 2017
Slide 2: Disclaimer
Disclaimer The material in this presentation has been prepared by TXT e-solutions (“TXT”) and is general background information about TXT’s activities current as at the date of this presentation. This information is given in summary form and does not purport to be complete. Information in this prese
Slide 3: FY 2015 & 2016 Results
FY 2015 & 2016 Results FY 2015 FY 2016 Revenues: 61.5 m€ (+13.1%) 69.2 m€ (+12.4%) Net Income 3.9 m€ 5.6 m€ Free Cash Flow 8.4% of Rev. 12.7% of Rev. NFP: 8.3 m€ 5.4m€ CAGR +12% p.a. CAGR +13% p.a. 3
Slide 4: TXT at Glance: International Software & Services
TXT at Glance: International Software & Services 52% 48% 2016: 36.1m€ 2016: 33.1m€ Fashion, Luxury & Specialty Retail Aerospace & Aviation • Fashion/Luxury & Specialty Retail • Engineering Solutions & Services across • Omnichannel End-to-end Planning the Product Life-cycle and Collection Development
Slide 5: Fashion, Luxury & Specialty Retail
Fashion, Luxury & Specialty Retail 5
Slide 6: A Major Growth & Profit Opportunity
A Major Growth & Profit Opportunity Strategy - Global leader in: Retail Planning solutions for Fashion, Luxury & Specialty Software Services Retailers: end-to-end, from collection to stores 43% 57% North Am. Italy Other Europe 14% 11% 11% Germany 21% APAC 9% UK & Nordics 13% France 21% 6
Slide 7: Unique Customer Base of 300+
Unique Customer Base of 300+ - 20 New Major Customers and 50+ Go-Lives of Major Projects in 2016… - … across all Segments, Business Models & Geographies 7
Slide 8: 21 New Customers in 2016, Across all Segments & Geographies
21 New Customers in 2016, Across all Segments & Geographies
Slide 9: Fashion, Luxury & Specialty Retail: Large, Healthy & Transforming Market
Fashion, Luxury & Specialty Reatil: Large, Healthy & Transforming Market 1500 Tier-1 & Tier-2 Omnichannel Retailers across Europe, North America & APAC: how industry transformation impacts Key Business Processes? To be successful Retailers have to: • Provide an omnichannel experience to Customers •
Slide 10: TXT Retail: End-to-End Merchandise Lifecycle Management
TXT Retail: End-to-End Merchandise Lifecycle Management The Omnichannel Retailers’ «Merchandise Lifecycle» • Strategic Plan • Assortment Strategy • Trend R & D • Forecasting • Initial Pricing • Merchandise Plan • Channel Distribution • Concept & Design • Allocation • Fashion S&OP • Channel Plan • It
Slide 11: TXT Retail: Unique Integrated Software Solution
TXT Retail: Unique Integrated Software Solution The 1st & only End-to-End Merchandise Lifecycle Management Software TXT Retail enables Customer- driven Merchandising Excellence through an End-to-End Merchandise Lifecyle Management Software featuring: Merchandise - A unified database that informs Lif
Slide 12: TXT Retail's AgileFit Deployment
TXT Retail’s AgileFit Deployment: from SW to Business Best Practices «Ready to Go» Mitigate Project Risk Reduce Project Costs Faster Time to Benefits Higher ROI 12
Slide 13: Recognised Leader in the Target Markets
In 2016 TXT Retail Further Improved its Competitive Position Recognised Leader in the Target Markets 13
Slide 14: TXT Retail's Commitment to Innovate: ~5 m€ R&D Investment in 2016
TXT Retail’s Committment to Innovate: ~5 m€ R&D Investment in 2016 Has Delivered! • Mobility: PLM & Planning on any device, • Scalability & Performance with In-memory anywhere Technology • Total Cost of Ownership: TXT On-Cloud and • Fitting & Planning by images with Cloud-based Managed Services Augm
Slide 15: TXT Retail: The End-to-End Merchandise Lifecycle Opportunity
TXT Retail: The End-to-End Merchandise Lifecycle Opportunity Competitive Differentiation: We engage in Customer Success !!! IT SPEND FOR MERCHANDISE LIFECYCLE IT SPEND BY TYPE OF SOLUTIONS Keep & Grow Customers !! TXT …conquer the Packaged 10% «Green Prairie».. Solutions 300M$ ERP Extensions, Custom
Slide 16: Aerospace & Aviation
"TXT NEXT Aerospace & Av TXT
Slide 17: TXT Next Target Market: Aerospace & Aviation
TXT Next Target Market: Aerospace & Aviation TXT Next: since 30 years Partner for our Clients to boost their Engineering Capabilities Products & core Processes are highly complex … … calling for cooperation across an extensive network of Specialised Partners R&D and Product Development Support to Cu
Slide 18: A Trend To Externalise a Growing Portion of Value-adding Engineering Services
A Trend To Externalise a Growing Portion of Value-adding Engineering Services • A growing portion of R&D/Engineering Budgets, • The Market of externalised R&D/Engineering Services and a growing range of value-adding activities, is set to grow at CAGR 9+% in the next 5 years: are externalised to high
Slide 19: 2016: A Milestone Year in TXT Next Development
2016: A Milestone Year in TXT Next Development • Consideration 6.8m€, Revenues 7,3m€, Ebitda 10% • A major acceleration in TXT Next Internationalisation Plans • A positive, transformational impact on TXT Next • Integration achieved very quickly 19
Slide 20: A Broader Base of Global Longstanding Customers across the Value Chain
A Broader Base of Global Longstanding Customers across the Value Chain • A diversified Customer Base of Industry Leaders • Long-term partnership underpinning stable and repeatable revenues streams • A significant up-selling opportunity, that started already materialising Aircraft OEMs (Fixed & Rotar
Slide 21: A Broader Value Proposition, Now Spanning the Entire Product Life-cycle
A Broader Value Proposition, Now Spanning the Entire Product Life-cycle • Breadth and Depth: focus on high-value niches, but understand the whole picture • Technology and Industry expertise, backed by Software Assets 11% 6% PRODUCT DESIGN & DEVELOPMENT PRODUCTION & SALES & PROCUREMENT OPERATIONS CUS
Slide 22: 30+ Years in the Industry, 350+ Specialised Engineers
30+ Years in the Industry, 350+ Specialised Engineers and a Broader International Presence A responsive and agile team: local presence, to provide best-in-class on-site support to key customers, backed by corporate competence centers, capable of delivering & supporting customers across 30+ Countries
Slide 23: TXT Next Growth Strategy: Summary
TXT Next Growth Strategy: Summary Solid Foundations Identified Growth Initiatives • 30+ years in the Industry Our Vision: to become an Int’l, specialized, multi-niche, mid-sized (100 m€) provider of Engineering “Solutions” serving the global Aerospace & Aviation Industry • 50+ Customers, industry le
Slide 24: Summary & Financial Details
Summary & Financial Details Confidential & Proprietary 24
Slide 25: Management
Management Alvise Braga Illa – Chairman After graduating at the Polytechnic Institute in Milan, Mr Braga Illa was for 10 years in research and teaching at the Lincoln Laboratory and Massachusetts Institute of Technology, innovating in satellite technology, optical communication and network systems.
Slide 26: 2016 – Consolidation of acquisition of Pace GmbH from Q2
2016 – Consolidation of acquisition of Pace GmbH from Q2 € thousand 2016 % 2015 % Var % REVENUES 69.152 100,0 61.540 100,0 12,4 Direct costs 32.039 46,3 29.189 47,4 9,8 GROSS MARGIN 37.113 53,7 32.351 52,6 14,7 Research and Development costs 6.550 9,5 5.118 8,3 28,0 Commercial costs 13.574 19,6 12.6
Slide 27: Strong Balance Structure
Strong Balance Structure Total of which of which € thousand 31.12.2016 31.12.2015 variance Pace GmbH TXT Intangible assets 21.296 14.692 6.604 7.871 (1.267) Tangible assets 1.598 1.361 237 168 69 Other fixed assets 2.534 2.079 455 610 (155) Fixed Assets 25.428 18.132 7.296 8.649 (1.353) Inventories
Slide 28: Dividends & Shareholder's Return 2011-2017
Dividends & Shareholder‘s Return 2011-2017 •Share Price • Dividends •31.12.2010: 1.51€/share (rebased for free •2011: 1 € /share (extraordinary, rebased) share distribution) •2012: Free Share Distribution 1:1 •15.3.2017: 9.66€ /share •2013: 0.20 € /share (rebased) •2014: Free Share Distribution 1:1
Slide 29: TXT Market Capitalization (m€)
TXT Market Capitalization (m€) Free share Free share distribution 1:10 distribution 1:1 Free share distribution 1:1 Dividend 3.5m€ Dividend 2.9m€ Dividend 2.6m€ Dividend 2.6m€ Dividend 2.1m€ Dividend 10.3m€ 29
Slide 30: Shareholding Structure – December 2016
Shareholding Structure – December 2016 Management A. Braga Illa 7,9% 14,0% Market E-Business Consulting 42,0% 25,6% Treasury Shares 10,4% 30