Slide 1: H1 2016 Results
H1 2016 Results 1 September 2016 1
Slide 2: First-half 2016 highlights
FIRST-HALF 2016 HIGHLIGHTS » ACQUISITION OF LOGITERS Revenues » STRONG ORGANIC GROWTH +10.1% At constant exchange rates » FIRM COMMERCIAL MOMENTUM » SOLID RESULTS 2
Slide 3: Agenda: First-half 2016 highlights
1 2 3 FIRST-HALF 2016 HIGHLIGHTS FINANCIAL 2016 RESULTS OUTLOOK 30 JUNE 2016 3
Slide 4: Acquisition of Logiters; strong organic growth
» ACQUISITION OF LOGITERS » STRONG ORGANIC GROWTH 4
Slide 5: Presentation of Logiters
PRESENTATION OF LOGITERS » Leading contract logistics player in Spain and 2015 revenues: €250 million Portugal » 2015 revenues: €250 million 84% 16% • No. 1 independent contract logistics group Spain in Spain Portugal • 3,300 employees » An "asset-light" business model • 53 sites with total warehous
Slide 6: Complementary business areas
COMPLEMENTARY BUSINESS AREAS » Complementary client portfolios » Growth in high-potential sectors Logiters clients FMCG AUTOMOTIVE / RETAIL HEALTHCARE AEROSPACE 6
Slide 7: Financial terms of the deal
FINANCIAL TERMS OF THE DEAL ENTERPRISE VALUE: €85 MILLION » Equity: €50.5 million » Net debt: €34.5 million (mainly short-term debt, e.g. factoring) 100% PAID IN CASH ENTIRELY FINANCED BY A 5-YEAR BANK LOAN » Including refinancing of existing debt at ID Logistics and Logiters 7
Slide 8: Financial terms of the deal
FINANCIAL TERMS OF THE DEAL POSITIVE IMPACT ON EARNINGS SOLID POST-ACQUISITION FINANCIAL 2015 2015 2015 POSITION » Net debt / EBITDA ID Combined (€ m) Logiters Logistics * 2.6 - Acq. of CEPL Revenues 931 250 1,181 EBITDA 63.5 12.0 75.5 1.7 1.2 1.3 - Acq. of Logiters * % of 6.8% 4.8% 6.4% 0.9 revenue
Slide 9: A group with a broader client portfolio
A GROUP WITH A BROADER CLIENT PORTFOLIO Two new sectors Healthcare Automotive 4% 3% 7% Retail FMCG 8% 37% E-commerce 37% High-Tech Fragrance & Cosmetics 9% Fashion Healthcare Automotive 9% 9% 24% Stronger position in the FMCG sector 20% -> 24% 9
Slide 10: Strengthening our European position
STRENGTHENING OUR EUROPEAN POSITION MAJOR PLAYER IN EUROPE » 8 countries » 200 sites » More than 4,200,000 sqm of warehouse space RUSSIA 18% POLAND GERMANY 11% 44% BENELUX 27% FRANCE France Iberia Europe (except Iberia) PORTUGAL SPAIN International (except Europe and Iberia) 10
Slide 11: An acquisition in line with ID Logistics' strategy
AN ACQUISITION IN LINE WITH ID LOGISTICS' STRATEGY » GAINING CRITICAL MASS IN EACH OF OUR MARKETS TO BECOME A LEADING EUROPEAN PLAYER IN CONTRACT LOGISTICS » ONGOING DYNAMIC PURE-PLAYER STRATEGY » STRONGER CLIENT PORTFOLIO • Increased expertise in established sectors: FMCG & Retail • Entry into high
Slide 12: Acquisition of Logiters; strong organic growth
» ACQUISITION OF LOGITERS » STRONG ORGANIC GROWTH 12
Slide 13: A year of very strong organic growth
A YEAR OF VERY STRONG ORGANIC GROWTH France France Russia Netherlands Belgium France Russia France France Germany France 13
Slide 14: Agenda: Financial results 30 June 2016
2 1 3 FINANCIAL FIRST-HALF 2016 RESULTS 2016 HIGHLIGHTS 30 JUNE 2016 OUTLOOK 14
Slide 15: Revenue growth: 4.3%
REVENUE GROWTH: 4.3% +10.1% Like-for-like €m France 277.6 €442.1m €460.9m International 183.3 -5.8% +11.8% +7.6% H1 2015 Currency effects l-f-l l-f-l H1 2016 France international 15
Slide 16: Stable operating margin
STABLE OPERATING MARGIN H1 2016 H1 2015 Change (€ m) France Internat. TOTAL France Internat. TOTAL Underlying operating income 14.6 (0.1) 14.5 12.4 1.9 14.3 + 1% % of revenues 5.3% -0.1% 3.1% 5.0% 1.0% 3.2% - 10bp » France: up €2.2 million • Ongoing improvement in established contracts • Good contro
Slide 17: Net income stable at €6.5 million
NET INCOME STABLE AT €6.5 MILLION (€ m) H1 2016 H1 2015 Recurring operating income 14.5 14.3 Reduction in financial expense Financing costs down to €2.3 million Depreciation of customer relationships (0.3) (0.3) vs. €2.7 million, due in particular to early repayments of debt Operating income 14.2
Slide 18: Cash generation affected by the WCR
CASH GENERATION AFFECTED BY THE WCR (€ m) H1 2016 H1 2015 Cash flow from operating activities before WCR and capex 16.5 23.1 Change in working capital requirement (24.2) (9.9) Operating capex (6.8) (7.6) Reduction in negative WCR Temporary delay in payment Cash flow (used in) from operating (14.5)
Slide 19: Debt repayments
DEBT REPAYMENTS (€ m) 30/06/2016 31/12/2015 CEPL acquisition debt 25.4 42.4 CEPL acquisition debt Normal repayment of €12.5 million Property finance leases 18.7 21.0 and early repayment of €4.5 million Finance leases 12.1 16.0 Operating capex Other debts 13.7 4.8 mainly financed through loans Gros
Slide 20: Solid financial position
SOLID FINANCIAL POSITION (€ m) 30/06/2016 31/12/2015 Goodwill 117.0 117.0 Other non-current assets 118.2 124.4 Ongoing asset-light strategy Non-current assets 235.2 241.4 241.4 Working capital requirement (66.4) (96.2) Net current cash 39.0 69.7 Gross debt 69.9 84.2 Net debt 30.9 14.5 Equity 130.7 1
Slide 21: Solid investment capacity
SOLID INVESTMENT CAPACITY Pre-tax Net debt/ Gearing * ROCE* EBITDA* 2,6 150% 27,5% 25,5% 24,4% 25,2% 1,7 19,7% 90% 0,9 52% 0,8 46% 0,5 22% 0,2 11% FY 2013 FY 2014 H1 2015 FY 2015 H1 2016 * See definitions in the appendix ** Proforma including the effects of the CEPL acquisition as if it had been car
Slide 22: Agenda: Outlook
1 2 3 FIRST-HALF 2016 FINANCIAL HIGHLIGHTS RESULTS 2016 30 JUNE 2016 OUTLOOK 22
Slide 23: Making a success of the Logiters integration
MAKING A SUCCESS OF THE LOGITERS INTEGRATION September October November December January 2016 2017 Meeting with Logiters clients individually Defining and organising our activities in Spain for implementation by end-December 2016 Training the various Country Heads in Logiters' areas of expertise (He
Slide 24: Other strategic and operational priorities
OTHER STRATEGIC AND OPERATIONAL PRIORITIES » CONTINUING OUR ORGANIC GROWTH WHILE LIMITING OUR START-UP COSTS » MOVING INTO NEW BUSINESS SECTORS IN EUROPE » MAINTAINING OUR POSITIONS IN EMERGING MARKETS » LOOKING OUT FOR OTHER ACQUISITION OPPORTUNITIES IN EUROPE 24
Slide 25: Agenda: 30 June 2016
1 2 3 FIRST-HALF 2016 FINANCIAL 2016 HIGHLIGHTS RESULTS OUTLOOK 30 JUNE 2016 25
Slide 26: Appendix: Definition of alternative performance indicators
APPENDIX: DEFINITION OF ALTERNATIVE PERFORMANCE INDICATORS » EBITDA Underlying operating income before net additions to depreciation of property, plant and equipment and amortisation of intangible assets » Net debt Gross debt plus bank overdrafts and minus cash and cash equivalents » Gearing Ratio o