Slide 1: Amplifon Q3 2015 Financial Results
Amplifon Q3 2015 Financial Results Milan, October 22nd, 2015
Slide 2: Disclaimer
Disclaimer ̶ The information contained herein and other material discussed during the analysts’ presentation, particularly the ones regarding any possible or assumed future performance of the Amplifon Group, are or may be forward looking statements and in this respect they involve some risks and unc
Slide 3: Q3 2015: another quarter of strong growth across geographies
Q3 2015: another quarter of strong growth across geographies ̶ Group sales up by 12,8% on very challenging PY comparison − Very well balanced growth: Organic +6,3%, Acquisitions +2,9% − Positive forex effect +3,7% − Market share gains in almost all the Markets − Solid Group operating leverage: +30bp
Slide 4: 9M 2015: strong and profitable growth and market share gains
9M 2015: strong and profitable growth and market share gains ̶ Double digit revenue growth across all geographic areas: − 9M 2015 revenue of €733,7m up 17,7% y-o-y (OG +8,9%, Acq. +3,2%, FX 5,6%) − Q3 2015 strong growth confirmed on very challenging PY comparison – sales up 12,8% (OG +6,3%, Acq. +2,
Slide 5: Ongoing network expansion sustained by solid balance sheet & cash generation
Ongoing network expansion sustained by solid balance sheet & cash generation ̶ Ongoing footprint expansion: ̶ over 100 corporate shops and SIS acquired in 9M 2015 for a total consideration of €34,7m of which: ̶ 57 corporate shops acquired in Germany ̶ 27 corporate shops/SIS in France ̶ Over 20 shops
Slide 6: 9M-2015 Financial Results: strong growth in sales, profitability and cash generation
9M-2015 Financial Results: strong growth in sales, profitability and cash generation 9M 2015 9M 2014 SALES by Region Non- Non- Δ % on € millions Recurring % Total % Recurring % Total % Recurring Recurring Recurring APAC REVENUE 733,7 100% - 733,7 100% 623,3 100% - 623,3 100% 17,7% 15,1% EBITDA 108,3
Slide 7: Global leader outperforming the steady growth of the hearing solutions market
Global leader outperforming the steady growth of the hearing solutions market EMEA Europe: +9,4% y-o-y at constant FX ME & A: +71,3% y-o-y at constant FX Americas APAC +17,1% in LC y-o-y +12,1% in LC y-o-y Hearing aid users growing steadily but represent only ca. 20% of hearing impaired Amplifon 7 A
Slide 8: EMEA: solid sales on strong comps and more investments to sustain future growth
EMEA: solid sales on strong comps and more investments to sustain future growth € millions 9M 2015 9M 2014 Δ% € millions Q3 2015 Q3 2014 Δ% REVENUE 477,9 100,0% 424,6 100,0% 12,6% REVENUE 147,1 100,0% 135,2 100,0% 8,8% EBITDA 39,0 8,2% 37,9 8,9% 2,7% EBITDA 8,3 5,6% 8,6 6,3% -3,6% EBIT 12,7 2,7% 14,
Slide 9: AMERICAS: strong sales momentum and MS gains in a structurally growing market
AMERICAS: strong sales momentum and MS gains in a structurally growing market € millions 9M 2015 9M 2014 Δ% € millions Q3 2015 Q3 2014 Δ% REVENUE 145,0 100,0% 101,4 100,0% 43,0% REVENUE 49,1 100,0% 35,1 100,0% 40,0% EBITDA 30,5 21,0% 18,3 18,0% 67,0% EBITDA 12,0 24,5% 6,4 18,2% 88,7% EBIT 27,1 18,6%
Slide 10: APAC: strong business growth sustained by further operational improvement
APAC: strong business growth sustained by further operational improvement € millions 9M 2015 9M 2014 Δ% € millions Q3 2015 Q3 2014 Δ% REVENUE 110,8 100,0% 97,4 100,0% 13,8% REVENUE 37,3 100,0% 36,6 100,0% 1,8% EBITDA 34,1 30,7% 27,0 27,8% 26,0% EBITDA 11,4 30,6% 10,8 29,5% 5,8% EBIT 25,7 23,2% 18,8
Slide 11: Solid capital structure to sustain future growth
Solid capital structure to sustain future growth Net debt to Equity Net Debt € millions € millions 384,5 252,5 252,5 ̶ In May 2015 prepayment of the €55,2m USPP tranche Net Debt 17,8 Total Equity 454,7 ̶ €150m war chest ready to support strong M&A activity -149,8 Cash Short-term Long-term Net debt 3
Slide 12: Strong operational cash flow sustains higher investments in acquisitions
Strong operational cash flow sustains higher investments in acquisitions € thousands 9M 2015 9M 2014 EBIT 65.501 48.962 D&A 38.003 34.274 FCF follows normal seasonality Other non cash adjustments and gains/losses on sale 16.872 11.649 Net financials 1 -19.101 -15.659 Strong improvement vs PY (€+
Slide 13: Annexes
Annexes
Slide 14: Revenue Breakdown by Country: Q3 confirming strong growth on very challenging PY comparisons
Revenue Breakdown by Country: Q3 confirming strong growth on very challenging PY comparisons € millions 9M 2015 9M 2014 Δ% Δ FX OG% Q3 2015 Q3 2014 Δ% Δ FX OG% Italy 168,1 22,9% 152,5 24,5% 10,2% 9,3% 47,7 45,1 5,9% 5,9% France 84,2 11,5% 73,6 11,8% 14,6% 8,2% 25,4 23,2 9,5% 2,7% The Netherlands* 48
Slide 15: Q3 2015 Income Statement
Q3 2015 Income Statement Q3 2015 Q3 2014 Non Non Δ % on € millions Recurring % Total % Recurring % Total % recurring recurring Recurring 1. Non recurring network optimization REVENUE 233,5 100,0% 233,5 100,0% 206,9 100,0% 206,9 100,0% 12,8% Operating costs (204,2) -87,5% - -87,5% (181,1) -87,5% - (1
Slide 16: 9M 2015 Income Statement
9M 2015 Income Statement 9M 2015 9M 2014 1. One-off provision related to the Non Non Δ % on termination of the CEO € millions Recurring % Total % Recurring % Total % recurring recurring Recurring REVENUE 733,7 100,0% - 733,7 100,0% 623,3 100,0% - 623,3 100,0% 17,7% 2. One-off income of $2,8m in US,
Slide 17: Balance Sheet: perimeter growth and FX effect
Balance Sheet: perimeter growth and FX effect € thousands 30/09/2015 31/12/2014 30/09/2014 € thousands 30/09/2015 31/12/2014 30/09/2014 Trade payables -93.777 -101.788 -87.188 Goodwill 555.118 534.822 534.322 Other payables -118.423 -124.418 -106.301 Cust. lists. non-compet. agreem.. Provisions for
Slide 18: Investor relations contacts
Investor relations contacts Investor Relations Office Investor Relations Team Amplifon Emilia Trudu Via G. Ripamonti. 133 Investor Relations Director 20141 Milano (MI) Phone: +39 02 5747 2454 Italy Fax: +39 02 5740 9427 Phone: +39 02 5747 21 emilia.trudu@amplifon.com Fax: +39 02 5730 0033 Amanda Har