Maytronics Ltd. · TASE:MTRN
Maytronics — Q3 2020 Earnings Presentation
45 slides from Maytronics's earnings presentation, December 2020
Slide 1: Disclaimer
מצגת זו אינה מהווה הצעה לרכישת ניירות הערך של החברה או הזמנה לקבלת הצעות כאמור ,והיא נועדה אך ורק למסירת מידע .המידע הנכלל במצגת איננו מהווה ייעוץ ,המלצה ,או חוות דעת באשר לכדאיות ההשקעה בניירות ערך של החברה. אומנם ננקטו אמצעים סבירים על מנת להבטיח שהמידע הכלול במצגת אינו מטעה נכון למ
Slide 2: 2020 – Q3/9 Months Summary
2020 – Q3/9 Months Summary Eyal Tryber CEO Meni Maymon -CFO 2
Slide 3: Turning challenges into a win for Maytronics
Turning challenges into a win for Maytronics COVID-19 EXTERNAL INTERNAL 3
Slide 4: People stayed at home
EXTERNAL INTERNAL People stayed at home COVID-19 4
Slide 5: Public pool closures
EXTERNAL INTERNAL Public pool closures COVID-19 5
Slide 6: Less use of service companies
EXTERNAL INTERNAL Less use of service companies COVID-19 6
Slide 7: Staycation instead of travel
EXTERNAL INTERNAL “Staycation” instead of travel COVID-19 7
Slide 8: More backyard leisure time
EXTERNAL INTERNAL More backyard leisure time COVID-19 8
Slide 9: Sharp increase in online purchasing
EXTERNAL INTERNAL Sharp increase in online purchasing COVID-19 9
Slide 10: Unprecedented demand for new pools
EXTERNAL INTERNAL Unprecedented demand for new pools COVID-19 10
Slide 11: Great weather - long pool season
EXTERNAL INTERNAL Great weather - long pool season COVID-19 11
Slide 12: Years of infrastructure investment became key success factor
EXTERNAL INTERNAL Maytronics' 35 years of infrastructure investment became a key success factor COVID-19 12
Slide 13: Well balanced, well established, global presence and reach
EXTERNAL INTERNAL Well balanced, well established, global presence and reach COVID-19 13
Slide 14: Digital arm and e-commerce presence
EXTERNAL INTERNAL Maytronics digital arm and e-commerce presence COVID-19 14
Slide 15: Strong brand
EXTERNAL INTERNAL Strong brand COVID-19 15
Slide 16: Retail strength and loyalty
EXTERNAL INTERNAL Retail strength and loyalty COVID-19 16
Slide 17: Robust JIT supply chain: Delivery at all costs
EXTERNAL INTERNAL Robust JIT supply chain: Delivery at all costs COVID-19 17
Slide 18: Highly motivated and inspiring employees
EXTERNAL INTERNAL Highly motivated and inspiring employees COVID-19 18
Slide 19: Products relevant to homeowners
EXTERNAL INTERNAL Products that are relevant to homeowners COVID-19 19
Slide 20: 9 Months Business Highlights
9 Months Business Highlights Supply Chain & Quality Great growth Regional on Pro & eCom Commercial Management GTM Distributors M600, PL’s & IoT Financial Management and control 20
Slide 21: Covid19 Features
Covid19 Features Pool occupancy & social distancing check French launch press coverage TV Radio Printed Newspaper Online press
Slide 22: Poseidon by Maytronics New Alarm Device
Poseidon by Maytronics New Alarm Device Connected watch for drowning alarm display 22
Slide 23: Swimmer unusual behavior signaling before drowning
Swimeer unusual behavor signaling before the drwoning occures. Stereovision Detection of Detection of vertical up/down analysis High-frequency resurfacing motion in attempt to keep the front of the head out of the water
Slide 24: Drowning Detections Update
Poseidon by Maytronics Drowning Detections Update +50 drowning detections in public swimming pools and examples of drowning detections from summer 2019 to summer 2020 24
Slide 25: We are grateful for an exceptional season
We are grateful for an EXCEPTIONAL SEASON 25
Slide 26: Vision & Values revenue history
Vision & Values 2025 TBD 2019 ILS 846M 2018 13.1% ILS 748M 2021 17.1% 2017 2016 ILS 639M ILS 560M ILS 1B 14% 2015 ILS 471.5M 15% 2014 408M NIS 7% 2013 ILS 380M 13.7% 2011 2012 2010 ILS 272M 19% ILS 334M ILS 228M 22% 2009 ILS 210M
Slide 27: 9 Months Business Growth
2020 9M Revenue 10 Years Business Growth (ILS K000) (NIS K000) 1000 944M 900 800 847M Set the goal to reach revenue of 1 billion NIS 9 Months 700 by the end of 2021 748M 600 560 639M 500 471 408 400 380M 334 300 272 200 228M 100 10Y Revenue CAGR 15% 10Y EBITDA CAGR 23% 0 2010 2011 2012 2013 2014 201
Slide 28: Reach sales of over ILS 1 Billion
EFFORTS One year earlier than expected we are happy to announce that we will reach sales of over ILS 1 Billion by the end of 2020
Slide 29: 2020 – Q3/9 Months Summary
2020 – Q3/9 Months Summary Eyal Tryber CEO Meni Maymon -CFO 29
Slide 30: Q3 2020 Financial Summary
Q3 2020 Financial Summary NIS K Q3 2020 Q3 2019 Reported Ex. FX impact Key Focus: % Growth % Growth • Continues increase in demand for robots for Revenue 252,882 164,909 53% 54% private pools in all territories. • Accelerated growth rate Gross Profit 103,135 64,770 59% 58% of online sales, and a goo
Slide 31: 9 Month 2020 Financial Summary
9 Month 2020 Financial Summary NIS K Reported Ex. FX impact 9M 2020 9M 2019 % Growth % Growth Revenue 944,491 753,344 25% 29% Gross Profit 396,640 317,684 25% 31% Operating 217,048 161,037 35% 46% Profit Net Profit 170,635 135,671 26% 41%
Slide 32: Profit and Loss for the years 9M 2015-9M 2020
Profit and Loss for the years 9M 2015-9M 2020 NIS in thousands 900,000 800,000 50.10% 42.70% 42.48% 43.18% 42.17% 42.00% 700,000 41.59% 40.10% 600,000 944,491 500,000 30.10% 753,344 22.98% 665,783 22.03% 22.00% 22.99% 400,000 21.12% 21.38% 574,082 498,553 300,000 20.10% 417,516 396,640 317,684 287,4
Slide 33: Sales by Segments
Sales by Segments Q3 Sales by Segments 9M Q3 2019 Q3 2020 9M 2019 9M 2020 Private Pools 126,823 203,914 Private Pools 626,366 811,783 y/y 16.9% 60.8% y/y 14.9% 29.6% % of Revenues 76.9% 80.6% % of Revenues 83.1% 85.9% Commercial pool 16,984 14,513 Commercial pool 61,797 54,459 y/y 5.0% (-14.5%) y/y
Slide 34: 9 Month/Q3 2020 Regional Growth
9 Month/Q3 2020 Regional Growth % North America 9M + 32% (local +37%) Europe Q3 + 41% (local +45%) 9M + 20% (local +23%) Q3 + 69% (local +66%) Rest of the WW Oceana 9M + 19% 9M + 32% (local +36%) Q3 + 49% Q3 + 41% (local +39%)
Slide 35: Gross Profit Margin Analysis – Q3 2020
Gross Profit Margin Analysis – Q3 2020 35
Slide 36: Gross Profit Margin Analysis – 9 Months 2020
Gross Profit Margin Analysis – 9 Months 2020 36
Slide 37: Exchange Rates Impact on 9 Months 2020 Results
Exchange Rates Impact on 9 Months 2020 Results Local Currency NIS in Prior Period FX rate Actual NIS FX Impact FX rate diff $ 119,750 427,941 417,675 -10,266 -2% € 109,576 443,552 427,594 -15,958 -4% AUD 34,886 85,927 82,761 -3,166 -4% NIS 16,462 16,462 16,462 - Total Revenue 973,881 944,491 -29,390
Slide 38: OPEX 9 Month: R&D
OPEX 9 Month: R&D NIS K Robots WT Other Total % Change Key Focus: • Continued investments in Total R&D Expenses 24,279 17,307 1,945 43,531 +29.6% development of Robots and water technology system. • Additional employees in both Capitalizing (10,552) (10,188) - (20,740) +35% Robotic and Water Technol
Slide 39: OPEX 9 Month: S&M
OPEX 9 Month: S&M NIS K 9M 2020 9M 2019 % Change Key Focus : • Additional human resources in Payroll 46,036 42,708 +8% most territories • Decrease in the costs of Advertising and overseas travel, seminars and 27,345 29,656 -8% sales promotion conferences Freight & • Increase in Freight cost and 16,2
Slide 40: OPEX 9 Month: G&A
OPEX 9 Month: G&A NIS K 9M 2020 9M 2019 % Change Key Focus : • Additional human resources Payroll 36,408 30,386 +20% (IT, HR,FIN) and Option Plan to IT Expenses 6,089 3,809 +60% support the strategy • Increased IT Expenses to Professional Fees 6,817 4,982 +37% support infrastructures. Depreciation 4
Slide 41: OPEX % Out of Total Sales
OPEX % Out of Total Sales 25% 20.8% 20% 19.0% 15% 10.5% 9.5% 10% 7.9% 7.1% 5% 2.4% 2.4% 0% R&D S&M G&A Total OPEX 9M 2019 9M 2020 41
Slide 42: Additional Financial Figures
Additional Financial Figures NIS (K) 9M 2020 9M 2019 % Change EBITDA 251,133 190,924 +31.5% Net Cash flows from 242,568 158,722 +53% Operating Operating Working Capital 232,536 240,160 -3% Customer Days 70 71 Inventory Days 129 159 Supplier Days 53 55 42
Slide 43: CAPEX 9 Month
CAPEX 9 Month NIS K 9M 2020 9M 2019 % Change Leasehold Improvements 9,448 6,536 +45% Machinery equipment & molds 10,822 7,988 +35% Furniture & office equipment 2,917 2,645 +10% Motor Vehicles 315 356 -12% Total 23,502 17,525 +34% 43
Slide 44: Intangible Assets
Intangible Assets NIS K Development costs BF PPA Other TOTAL 30 Sep 2019 63,839 - 5,065 68,904 Additions 25,831 42,431 10,026 78,288 Amortization (8,087) (499) (1,833) (10,419) Translation adjustments (51) 1,559 392 1,900 30 Sep 2020 81,532 43,491 13,650 138,673 BF PPA Other Distribution agreements
Slide 45: Exceptional Experience. Thank You.
Exceptional Experience Uy Thank You.