Barco Nv · EURONEXT:BAR
Barco Nv — FY2016 Earnings Presentation
21 slides from Barco Nv's earnings presentation, Feb 9, 2017
Slide 1: Results 2016
RESULTS 2016 EBITDA MARGIN EXPANSION ON HIGH-SINGLE DIGIT SALES GROWTH JAN DE WITTE, CEO & ANN DESENDER, CFO 9 FEBRUARY 2017
Slide 2: Agenda
AGENDA FINANCIAL HIGHLIGHTS & EDITORIAL COMMENTS DIVISIONAL RESULTS EXECUTIVE FOCUS & OUTLOOK Q&A 2
Slide 3: Executive Summary
EXECUTIVE SUMMARY SUSTAINED GROWTH; STEPPED UP FOCUS ON CONTINUED PROGRESS IN ALL VERTICALS ON OPERATIONAL EFFICIENCY PORTFOLIO DEVELOPMENT & CHANNEL BUILD OUT High/Mid-single digit growth in orders & sales Exceptional strong China cinema year yoy • Orders ↑ 4% Introducing laser projector solutions
Slide 4: Financial Highlights & Editorial Comments
FINANCIAL HIGHLIGHTS & EDITORIAL COMMENTS 4
Slide 5: Financial Highlights
FINANCIAL HIGHLIGHTS EBITDA MARGIN EXPANSION ON HIGH-SINGLE DIGIT SALES GROWTH 2016 Δ 2015 Orders growth 3.6% • ↑ 6% excl FY15 bulk orders in Healthcare Orders 1,081.2 +3.6% • Orderbook at € 321m, ↓ 3.7% Sales 1,102.3 +7.1% Sales growth 7.1% EBITDA 88.0 +18.8% • 8.6% in constant currencies (CNY) % o
Slide 6: Financial Highlights – 1H/2H 2016
FINANCIAL HIGHLIGHTS – 1H/2H 2016 2H GROWTH ACCELERATION & MARGIN-IMPACT DUE TO FOCUS ACTIONS & GROWTH INVESTMENTS Accelerated sales growth in 2H (in millions of euro) First Half Second Half Full Year • Strong Cinema China, V&H flat 2016 Δ 2015 2016 Δ 2015 2016 Δ 2015 • Continued strong dd growth in
Slide 7: Sales - Geographical Breakdown
SALES - GEOGRAPHICAL BREAKDOWN DOUBLE DIGIT GROWTH IN GREATER CHINA, EMEA AND AMERICAS AT LOW-SINGLE DIGIT AMERICAS EMEA ASIA 2016 36% 31% 33% Change vs ‘15 (+7.1%) +3% +4% +17% Entertainment market moving to tech upgrade & services Peak in Entertainment Enterprise: Competitive Control Rooms HW mark
Slide 8: EBITDA Evolution (+€14m, +0.8ppts)
EBITDA EVOLUTION (+€ 14m, +0.8ppts) GROWTH AND GROSS MARGIN ACCRETION YIELDING EBITDA AND EBITDA% GROWTH Opex (33.5) Reversal bad debt 7.2% (cash received) 8.0% of Gross Profits +59.6 of Sales Mainly Sales CNY EBITDA EBITDA 2015 2016 • Sales growth in all regions, Asia +17% ; low-single digit growth
Slide 9: Net Income
NET INCOME CONTINUED ACTIONS FOR BALANCE SHEET HEALTH WEIGH ON REPORTED NET INCOME Improved operating results: EBITDA 7.2% -> 8% (in millions of euro) 2016 2015 Δ 2015 Increased depr. & amort. due to One Campus and EBITDA 88.0 74.1 13.9 amortizations of acquisition intangibles 8.0% 7.2% Equal effect
Slide 10: Cash Flow & Balance Sheet
CASH FLOW & BALANCE SHEET 2H RECOVERY ACTIONS YIELD RESULTS Free cash flow of € 57m • Continued solid gross operating cash flow • 2H cash flow of € 86m, driven by focused actions Net working capital –5% of sales ; ↑ 3ppt vs FY15 • Working capital kept stable with 7% topline growth • Main improvement
Slide 11: Divisional Results
DIVISIONAL RESULTS 11
Slide 12: Entertainment
(in millions of euro) 2016 Δ 2015 ENTERTAINMENT Orders 574.8 7.2% Sales 578.2 12.4% RESULTS 2016 EBITDA 30.4 % Sales Change (ppts) 5.3% -3.2 MARKET, ORDERS & SALES DYNAMICS PROFITABILITY Strong performance in Cinema Robust performance in Cinema business but recovery required for Events • Continued s
Slide 13: Enterprise
(in millions of euro) 2016 Δ 2015 ENTERPRISE Orders 290.2 1.4% Sales 289.7 -3.6% RESULTS 2016 EBITDA 33.0 % Sales Change (ppts) 11.4% 7.7 MARKET, ORDERS & SALES DYNAMICS PROFITABILITY Good topline evolution for Corporate offset by declines Strong recovery mainly driven by strong performance in Contr
Slide 14: Healthcare
(in millions of euro) 2016 Δ 2015 HEALTHCARE Orders Sales 216.3 234.6 -2.2% 8.6% RESULTS 2016 EBITDA 24.6 % Sales Change (ppts) 10.5% 1.5 MARKET, ORDERS & SALES DYNAMICS PROFITABILITY Good market trends for Diagnostics and Surgical Gross profit and EBITDA trending positively across all regions, slow
Slide 15: Executive Focus & Outlook
EXECUTIVE FOCUS & OUTLOOK 15
Slide 16: Executive Focus 2017
EXECUTIVE FOCUS 2017 BALANCED EXECUTION FOCUS ON OPERATIONAL & COMMERCIAL EXCELLENCE • Increase cost discipline, get the results from restructuring & focus actions • Continue efficiency initiatives: ThinkSales, Value Engineering, OnePlatform and working capital focus EXPAND MARKET REACH & SHARE OF W
Slide 17: Outlook 2017
OUTLOOK 2017 Assuming a stable economic environment and currencies at current levels, management expects further margin improvement on mid-single digit sales growth. 17
Slide 18: Dividend 2016
DIVIDEND 2016 It remains Barco’s objective to generate consistent dividend growth for its shareholders. The Board of Directors will therefore propose to the General Assembly to increase the dividend from 1.75 euro to 1.90 euro per share to be paid out in 2017. 18
Slide 19: Q&A
Q&A 19
Slide 20: Thank You
THANK YOU 20
Slide 21: | youtube.com/BarcoTV | linkedin.com/company/Barco | twitter.com/Barco
| youtube.com/BarcoTV | linkedin.com/company/Barco | twitter.com/Barco | facebook.com/Barco 21