Worldline SA · EURONEXT:WLN
Worldline SA — Investor Presentation (November 2015)
24 slides from Worldline SA's investor presentation, November 2015
Slide 1: Worldline Presentation to Investors November 2015
Worldline Presentation to Investors November 2015
Slide 2: Disclaimer
Disclaimer ● This document contains further forward-looking statements that involve risks and uncertainties concerning the Group's expected growth and profitability in the future. Actual events or results may differ from those described in this document due to a number of risks and uncertainties tha
Slide 3: Worldline ID card
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Slide 4: We are
We are A payment service company, which builds and operates real-time transactional payment systems to allow merchants, banks, governments and other organizations: • to issue, accept and settle payment means in various forms and; • to manage all types of digital transactions with their customers bey
Slide 5: Group Snapshot: Worldline at a glance
Group Snapshot Worldline at a glance - 40 years of expertise in payment systems 2009 2011-12 2013 2014 Start cross selling Creation of a group service Worldline IPO program within Atos line including Carve-out SIS HTTS Businesses 2013 Integration of new countries into Worldline WORLDLINE IS A PROVID
Slide 6: Typical Industry payment four-party card chain
Typical Industry payment four-party card chain Network Visa, Mastercard, …. Card Scheme Scheme incentive fee fee Card Interchange fee Card issuer variable dependingon acquirer country and payment mean Cardholder Cardholder Merchant incentive fee Service Charge Cardholder Surcharge Payment acceptor (
Slide 7: Worldline business is organized in three Global Business Lines
Worldline business is organized in three Global Business Lines 2014 Revenue 2014 Revenue: 2014 Revenue: € 374 m (+2.0%) € 396 m (+1.4%) € 380 m (+5.1%) Leveraging the Transforming cashless Enabling strategic digital customer engagement payments transformation 2014 OMDA (*) margin 21.6 25.2 13.7 % %
Slide 8: Worldline is a leading player in Europe with expanding emerging markets footprint
Worldline is a leading player in Europe with expanding emerging markets footprint Why scale matters: • Price competitiveness #1 Issuing Processor • Innovation in Germany • Outsourcing opportunities • Barriers to entry #1 Commercial Acquirer • Increased operating leverage in Belgium • Positioned for
Slide 9: Comprehensive positioning across the extended payments value chain
Worldline has a comprehensive positioning across the extended payments value chain Issuing Services to Acquiring Services to new Card payment transaction cardholders and ACH¹ Credit/Debit Services to transaction Commercial Acceptance POS digital transfers merchants acquiring /eCommerce Services in E
Slide 10: A Tier 1 diversified client base
A Tier 1 diversified client base High quality customer portfolio, low client concentration Merchant Services Financial Processing and Mobility and and Terminals Software Licensing e-Transactional Services Over 86,000 Merchants contracts 200+ banks and financial institutions 150+ customers Over 45,00
Slide 11: Environment positively impacted by changes in regulations and digital transformation
Worldline’s environment positively impacted by changes in regulations and digital transformation PAYMENT MARKET VOLUME IMPACT OF THE CHANGE IN GROWTH EUROPEAN REGULATIONS ▶ Ubiquitous penetration of electronic payments through mobility and Internet of Things MIF Cap on interchange fee ▶ Growing 3x f
Slide 12: Non-cash payment growth penetration potential in Europe
Non-cash payment growth penetration potential in Europe Number of Non cash Payment Transactions per Capita in Europe (2013) 500 450 400 P 350 P P 300 P P P 250 200 150 P P 100 50 0 Credit Transfer Card Payment Direct Debit P Countries were Worldline operates in Europe Source : ECB Payment statistics
Slide 13: 2014 supported by volume growth, innovation and international cross-selling
2014 supported by volume growth, innovation and international cross-selling m-payment Innovation HCE solution Internet acquiring bundle International Connected cross selling Living M-to-m and data analytics Volumes Value added +6% +11% services Fraud Management commercial Issuing transactions servic
Slide 14: Worldline strategy to take advantage of regulatory and digital changes
Worldline strategy to take advantage of regulatory and digital changes Banks (FPL) • Capture new outsourcing opportunities • Upsell with new innovative products on existing customers (strong authentication, payment data analytics,…) • Consolidate the leadership in new payment means (Mobile payment,
Slide 15: 2014 financial highlights
2014 financial highlights Key P&L items 2014 2013* Key Observations In € million OMDA% in line with mid-term guidance Revenue 1149.3 1135.1 Top line growth accelerating along 2014 Growth %** 2.8% 4.1% FCF progressing by 14% excluding one- OMDA 215.1 203.2 off items As % of sales 18.7% 17.9%***
Slide 16: 2015 and mid term guidance
2015 and mid term guidance 2015 GUIDANCE MEDIUM-TERM OBJECTIVES 5 to 7% 2014-2017 organic revenue CAGR Revenue 4 to 5% organic growth Sales growth to progressively increase over the period OMDA +c.50 bp vs. 2014 +c.250 bps margin for 2017 vs. 2013 FCF €120m to €125m c.€180m by 2017 16
Slide 17: Third Quarter 2014
Third Quarter 2014 Thursday, November 6 2014
Slide 18: Key challenges faced by the retail industry
Key challenges faced by the retail industry: 41% of shoppers are highly likely to leave a store because of unhelpful staff***. What about retaining all these customers? Stores have 3 times less product items than e-commerce. How about multiplying by 3 the product offer in store? 75% of shoppers who
Slide 19: Consumers are demanding on new experience
Consumers are demanding on new experience The cross-touch point experience Consumers, always connected, is the new norm want ultra-personalized and simple interactions with the brand, The digital customer at the very moment he needs it = The new 24/7 buyer They are switching really fast, even faster
Slide 20: The technology has changed and is becoming mature/mainstream
The technology has changed and is becoming mature/mainstream Seller Tablets o Catalog & Demonstrations penetration Market o Order Management o Loyalty programs o Stock Management Consumer Mobile Devices o Order management Kiosks & Digital Signage o Payment o Attract customers o Couponing o Order/Pay
Slide 21: Four enablers required for new digital retail services
Behind the scene, four enablers are required for these new digital retail services Full digital order capture Digital aggregation and 01 system to buy in a digital way any services and products orchestration of data & services Guarantee a seamless and secure digital experience cross 04 channels 04 H
Slide 22: Key components of our offering in Digital Retail
The key components of our offering in Digital Retail - A modular approach Digital Platform Merchant Wallet • Omni-commerce • Leading European Wallet core solution provider with 7M of • Referential store active wallets dedicated to share information and data • True wallet (not just a card in real-tim
Slide 23: Examples of concrete digital transformation supported by Worldline
Examples of true concrete digital transformation supported by Worldline Digital Platform Unattended Retail kiosks … to know better the McDo’s customers …to improve the customer service Barcelona Mobile Ready McDonald’s Experience Interactive Signage Digital Store … to attract the customer and sell m
Slide 24: Thanks
Thanks For more information please contact: David Pierre-Kahn Head of Investor Relations T +33 1 34 34 90 66 M+ 33 6 28 51 45 96 david.pierre-kahn@worldline.net