Sesa S.p.a. · MIL:SES
Sesa — FY2023 Earnings Presentation
26 slides from Sesa's earnings presentation, Jul 18, 2023
Slide 1: Group Presentation FY 2023 Consolidated Results
Group Presentation FY 2023 Consolidated Results July 18, 2023
Slide 2: Agenda
Agenda Alessandro Fabbroni → Business model and strategic achievements Chief Executive Officer → Group Results as of April 30, 2023 and FY 2024E Guidance → Group Structure and Business Sectors VAD, SSI, BS Elisa Gironi Corporate Governance, Integration and M&A → Annexes Financial Statements Director
Slide 3: Business Model and Strategic Achievements
Business Model and Strategic Achievements Leading digital Leading digital partner for the business segment: technology, digital services and business applications partner for About 40,000 customers (o/w 4,000 abroad) and over Eu 2.9 Bn revenues in FY as of April 30, 2023 Enterprises and Organiza
Slide 4: Technology innovation and digital services for the Business segment
Technology innovation and digital services for the Business segment Italian leading player in technological innovation and digital services with 4,720 employees and Eu 2.908 Bn revenues in the FY 2023 Outstanding Growth in the last 4Y period 2020-23: CAGR revenues +17.0%, EBITDA +29.6%, EAT Adjusted
Slide 5: Human capital and skills development programs
Human capital and skills development programs 5,700 CAGR 2012-2023 ∼ 15.7% (+13.3% in FY 2023) 2,908 Hiring programs M&As contribution • 166 hires in Jan-Dec 2018 • 2015-17: 7 M&As, 355 HRs 2,390 5,200 Revenues Eu Mn in the FY as of April 30 • 245 hires in Jan-Dec 2019 (+48% Y/Y) • 2018-19: 5 M&As,
Slide 6: Bolt-on industrial M&As to accelerate long-term organic growth
Bolt-on industrial M&As to accelerate long-term organic growth To attract and integrate skills and competences, enhancing long-term organic growth: • Over 60 M&As starting from 2015 with additional 2,400 HRs and over Eu 600 Mn annual revenues at acquisition time (Eu 1 Bn as of today) • 18 M&As in 20
Slide 7: Long-term commitment of key people and value generation
Long-term commitment of key people and value generation Key people equity commitment and sustainable growth Group Long-term track record achievements Sesa Group equity partners’ focus on long term Group REVENUES FY11 Eu 747 Mn EAT Adj FY11 Eu 12 Mn REVENUES FY23 Eu 2,908 Mn EAT Adj FY23 Eu 100 Mn de
Slide 8: Market Trends confirm digitalization path
Market Trends confirm digitalization path ICT Worldwide Market, source Gartner May 2023 Bn Dollars 2018 2019 2020 2021 2022 2023E 2024E Worldwide ICT market Data Centre Systems 210 203 208 190 216 224 238 Enterprise Software 419 457 507 732 794 891 1,008 After the acceleration of 2021 Year (+13.4%
Slide 9: Sustainability programs improvement
Sustainability programs improvement Sustainable growth in corporate bylaws as Carbon Neutrality programs in line with EU Agenda strategic target of Sesa BoD (Jan 2021) Environmental performance in FY 2023: SUSTAINABILITY emissions per capita 1.22 tCO2 (10.3% reduction Y/Y); Sesa Group certif
Slide 10: Agenda
Agenda Alessandro Fabbroni → Business model and strategic achievements Chief Executive Officer → Group Results as of April 30, 2023 and FY 2024E Guidance → Group Structure and Business Sectors VAD, SSI, BS Elisa Gironi Corporate Governance, Integration and M&A → Annexes Financial Statements Director
Slide 11: Annual Results as of April 30, 2023
Annual Results as of April 30, 2023 Segment Informations Annual Results as of April 30, 2023 Annual Results as of April 30, 2022 In Euro Mn VAD SSI BS Corporate Group VAD SSI BS Corporate Group Total Revenues and Other Income 2,235.7 702.6 84.4 19.6 2,907.6 1,857.3 572.2 58.9 15.9 2,389.8 Change Y/Y
Slide 12: FY 2018-2023 Revenues, EBITDA and EAT by segment
FY 2018-2023 Revenues, EBITDA and EAT by segment Revenues1 Eu Mn EBITDA Eu Mn Group EAT Adjusted2 Eu Mn Revenues1 by Segment 703 572 19.8% 1.1% 23.1% 3.4% 482 Software and 396 +22.8% 84.9 343 +18.7% 67.9 System Integration 289 +21.7% 55.5 12.1% 24.4 31.2 +15.4% 37.8 11.9% 20.0 Apr 30 Apr 30 +18.7% 2
Slide 13: FY 2019-2023 Financial Results and FY 2024 Outlook
FY 2019-2023 Financial Results and FY 2024 Outlook Reported Results FY 2019 – FY 2023 Group CAGR FY 2024 Guidance FY FY FY FY FY 12Year 4Year FY 2023 FY 2024 Eu million 2019 2020 2021 2022 2023 CAGR CAGR FY 20243 Y/Y Y/Y 12M 12M 12M 12M 12M 2012-23 2020-23 Revenues 1,550.6 1,776.0 2,037.2 2,389.8 2,
Slide 14: Cash Flow generation and NWC management FY 2014-23 by Quarter
Cash Flow generation and NWC management FY 2014-23 by Quarter NWC/Revenues NWC and NWC/Revenues FY 2014 – FY 2023 Quarterly1 • Growing Efficiency in NWC management in the 2014-2023 NWC Data in Euro Million 155.9 160.7 149.8 150.1 146.1 135.6 138.5 142.3 133.8 127.3 130.0 128.2 132.6 118.5 120.4 128.
Slide 15: Group sustainable long-term growth
Group sustainable long-term growth EBITDA (Eu Mn) Sales and other Revenues (Eu Mn) 3,200-3,3001 240-2501 2,908 209.4 CAGR 2012-23 +12.0% 2,390 +10- 15% CAGR 2012-23 +16.2% CAGR 2020-23 +17.0% 2,037 +22% Y/Y CAGR 2020-23 +29.6% 167.7 +15- Y/Y +17% 20% 1,776 Y/Y +25% Y/Y Y/Y 1,551 126.0 +33% +15% 1,36
Slide 16: Agenda
Agenda Alessandro Fabbroni → Business model and strategic achievements Chief Executive Officer → Group Results as of April 30, 2023 and FY 2024E Guidance → Group Structure and Business Sectors VAD, SSI, BS Elisa Gironi Corporate Governance, Integration and M&A → Annexes Financial Statements Director
Slide 17: SSI: Digital Partner for European SMEs and Enterprises
SSI: Digital Partner for European SMEs and Enterprises 703 Mn revenues, Ebitda margin ∼ 12% and 3,345 employees1 Revenues breakdown1 Customer & Data Customer base of around 15,000 Enterprises and SMEs of which over 2,500 abroad. Coverage of all Italian Business Science 2% Digital Experience Workspac
Slide 18: Business Services: Digital Transformation for Financial Services
Business Services: Digital Transformation for Financial Services 84 Mn revenues, Ebitda margin ∼ 13% and 570 employees1 Revenues breakdown1 Group Sector focusing on digital transformation, business applications and business services for Financial BDX - Base Services Industry lunch on February 2020 D
Slide 19: VAD: Digital partner of ICT ecosystems
VAD: Digital partner of ICT ecosystems 2.24 Bn revenues, Ebitda margin ∼ 5% and 655 employees1 VAD Italian market share2 Revenues breakdown1 ∼ 20,000 Business Partners (Software Houses, System Integrators, MSP, CSP) of which 2,000 abroad in the DACH Region Networking& collaboration Cloud Security Lo
Slide 20: Agenda
Agenda Alessandro Fabbroni → Business model and strategic achievements Chief Executive Officer → Group Results as of April 30, 2023 and FY 2024E Guidance Elisa Gironi → Group Structure and Business Sectors VAD, SSI, BS Corporate Governance, Integration and M&A Director → Annexes Financial Statements
Slide 21: Income Statement as of April 30, 2023 as reported
Income Statement as of April 30, 2023 as reported Consolidated reclassified Income Statement Change April 30, 2021 % April 30, 2022 % April 30, 2023 % (Euro/thousand) 2023/22 Revenues 2,022,454 2,362,603 2,867,700 21.4% Other income 14,769 27,220 39,939 46.7% Total Revenues and Other Income 2,037,22
Slide 22: Balance Sheet as of April 30, 2023 as reported
Balance Sheet as of April 30, 2023 as reported Consolidated Reclassified Balance Sheet (Euro/thousand) April 30, 2021 April 30, 2022 April 30, 2023 Change 2023/22 Intangible assets 142,826 228,280 368,488 140,208 Property, plant and equipment 99,942 111,943 125,901 13,958 Investments valued at equit
Slide 23: ESG key numbers as of April 30, 2023
ESG key numbers as of April 30, 2023 ESG performance indicators April 30, 2022 April 30, 2023 Change 2023/22 Energy consumptions (GJ) 39,264 38,392 -2.2% Electricity (GJ) 33,011 32,016 -3.0% Natural gas (GJ) 6,253 6,376 2.0% Emissions per capita (tCO2) 1.36 1.22 -10.3% Emissions of GHG (tCO2) 5,165
Slide 24: Sesa Group M&As starting from 2015
Sesa Group M&As starting from 2015 SSI Sector Business Services Sector VAD Sector Company Revenues Company Revenues Company Revenues • APRA Eu 16 Mn • ACCADIS Eu 18 Mn • VAR BMS Eu 14 Mn • ICOS Eu 50 Mn • VAR PRIME Eu 5 Mn • PICO Eu 20 Mn • SAILING Eu 2.5 Mn New Group Sector since March 2020 2015-20
Slide 25: Thank you for your kind attention
THANK YOU FOR YOUR KIND ATTENTION For additional information Stakeholder Relations Department Francesco Billi, Group CFO f.billi@sesa.it Elisa Gironi, Corporate Governance, Integration and M&A Director e.gironi@sesa.it Jacopo Laschetti, Sustainability, Stakeholders and IR Manager j.laschetti@sesa.it
Slide 26: www.sesa.it
www.sesa.it This document has been prepared by Sesa SpA (“SeSa” or the “Company”) solely for this presentation and does not represent any investment research, recommendation, consulting or suggestion, concerning the Company or its shares or any other securities/financial instruments issued by the Co