Francotyp-Postalia Holding AG · LSX:FPH100

Francotyp-Postalia — Q1 2012 Earnings Presentation

43 slides from Francotyp-Postalia's earnings presentation, May 2012

  1. Slide 1: Investor's Day 2012 – Unaudited Financial Statements Q1 2012

    FRANCOTYP-POSTALIA HOLDING AG Investor‘s Day 2012 Unaudited Financial Statements 1st Quarter 2012 fp-francotyp.com F00.10 - Rev. 3.0

  2. Slide 2: Disclaimer

    DISCLAIMER This report contains forward-looking statements on the business development of the Francotyp-Postalia Group. These statements are based on assumptions relating to the development of the economic and legal environment in individual countries and economic regions, which we have made on the

  3. Slide 3: Agenda

    AGENDA 1. FP and its Strategic Initiatives 3. Business 2. Tem sequiModel vullupt and atiost Products sum ratiossum disestem 3. Markets Tem sequi vullupt atiost sum ratiossum disestem 3. Unaudited 4. Tem sequi Financial vullupt atiost Statements sum ratiossum Q1 2012 disestem 3. Tem 5. Guidance sequi

  4. Slide 4: Mail Communication for the 21st Century

    MAIL COMMUNICATION FOR THE 21ST CENTURY electronical Global Expert in (digital) The company physical and electronic Mail intends to be a Communication trend-setting global expert in physical and electronic mail communication by (analogue) 2015. pysical Franking Machine Manufacturer 4 Investor‘s Day

  5. Slide 5: Our Multi-Channel Approach for the 21st Century

    OUR MULTI-CHANNEL APPROACH FOR THE 21ST CENTURY Sender Recipient NEW * Consolidation Physical Physical Delivery Service * Public authority Public authority PostBase )Company Computer Hybrid Hybrid Delivery Service )Company Consolidation Citizen Citizen Fully FullyElectronic Electronic First De-Mail-

  6. Slide 6: Our Strategic Initiatives

    OUR 4 STRATEGIC INITIATIVES Markets Expansion New growth opportunities new into emerging through fully markets electronic communication Expansion of traditional Growth in outsourcing traditional and markets consolidation business traditional new Products 6 Investor‘s Day 2012 – Unaudited Financial S

  7. Slide 7: Agenda

    AGENDA 1. FP and its Strategic Initiatives 3. Business 2. Tem sequiModel vullupt and atiost Products sum ratiossum disestem 3. Markets Tem sequi vullupt atiost sum ratiossum disestem 3. Unaudited 4. Tem sequi Financial vullupt atiost Statements sum ratiossum Q1 2012 disestem 3. Tem 5. Guidance sequi

  8. Slide 8: FP Business Model

    FP BUSINESS MODEL Physical Mail: Hybrid-Mail Franking, Inserting, Hybrid-Mail, Consolidation Fully Electronic Mail: Secure E-Mail 8 Investor‘s Day 2012 – Unaudited Financial Statements 1st Quarter 2012 fp-francotyp.com

  9. Slide 9: PostBase – The Future Way of Mail Communication

    POSTBASE – THE FUTURE WAY OF MAIL COMMUNICATION Combination of Analogue and Digital Postal World USP: Features: ƒ Multi Colour Concept ƒ Ease of Use – Only one button to start ƒ FP Navigator and FP Portal ƒ Touch Display to operate ƒ Network connectivity (Plug & Play) ƒ Quiet in operation ƒ Upgradea

  10. Slide 10: FP BusinessMail

    FP BUSINESSMAIL Complete and secure outsourcing/hybrid-mail for every kind of letter volume Main competitors: USP: Features: ƒ Integration of customer-specific ƒ Data are submitted via VPN- solutions and processes connections ƒ Internal production, postage ƒ FP owned printing centre optimisation ƒ F

  11. Slide 11: Further Growth Opportunity: De-Mail

    FURTHER GROWTH OPPORTUNITY: DE-MAIL FP – The First De-Mail Provider in Germany Facts: Competitors: ƒ 2011 De-Mail law has been enacted ƒ De-Mails are ƒ legally binding ƒ secure and ƒ confidential The Future Digital Letter Strategy: Market Potential: ƒ Sales acitivities have been started ƒ 10% of the

  12. Slide 12: Agenda

    AGENDA 1. FP and its Strategic Initiatives 3. Business 2. Tem sequiModel vullupt and atiost Products sum ratiossum disestem 3. Markets Tem sequi vullupt atiost sum ratiossum disestem 3. Unaudited 4. Tem sequi Financial vullupt atiost Statements sum ratiossum Q1 2012 disestem 3. Tem 5. Guidance sequi

  13. Slide 13: FP Is Represented in the Most Important Markets

    FP IS REPRESENTATED IN THE MOST IMPORTANT MARKETS Quantative overview of FP‘s major markets USA Germany Total vol. 166.5 bn (2011) Total vol. 16.4 bn (2010) -4.6% CAGR (2006-2011) -0.6% CAGR (2005-2010) ~500 letters/inhabitant ~200 letters/inhabitant 5% market share 42% market share (4% in 2006) (45

  14. Slide 14: Qualitative Analysis of FP Markets

    QUALITATIVE ANALYSIS OF FP MARKETS Market Structure Revenue Stream Sales Markets Recurring Revenue (GER, AT, UK) Non-Recurring Revenue Rental Markets (US, CAN, F) Sales Structure Environment Shifting of letter volume Direct Sales through digital solutions (De-Mail) Dealer Network Change of competiti

  15. Slide 15: FP Shows Clear Picture for the Future

    FP SHOWS CLEAR PICTURE FOR THE FUTURE Stable Efficient Stable Recurring Clear Strategy Revenue and for further strong Cash flow growth and First Multi- profitability Channel- Provider for digital and Innovative Flexible physical mail Innovative products Customer tailored and service product bundles

  16. Slide 16: Agenda

    AGENDA 1. FP and its Stratigic Intiatives 3. Business 2. Tem sequiModel vullupt and atiost Products sum ratiossum disestem 3. Markets Tem sequi vullupt atiost sum ratiossum disestem 3. Financial 4. Tem sequiStatements vullupt atiost Q1sum 2012ratiossum disestem 3. Tem 5. Guidance sequi2012 vullupt a

  17. Slide 17: Strong Recurring Revenue Characterises FP

    STRONG RECURRING REVENUE CHARACTERISES FP 41.8 41.8 0.0 € million 34.2 9.5 8.0 33.6 12.1 8.9 Non-Recurring Revenue Recurring Revenue 32.3 33.8 24.7 24.7 Q1 2008 Q1 2010 Q1 2011 Q1 2012 ƒ Revenue on prior year's level ƒ Operative growth of €1.5m mainly regarding Mail Services and Software ƒ Ramp-up o

  18. Slide 18: Growth of Sales International

    GROWTH OF SALES INTERNATIONAL Revenue by Segments 41.8 41.8 1.3 Production* Production* 1.0 (Sales Dealer) (Sales Dealer) Sales Sales International* 18.8 19.3 International* Sales Germany* 22.6 22.1 Sales Germany* € million Q1 2011 Q1 2012 ƒ Increase in Sales International ƒ Sales Germany impacted b

  19. Slide 19: One-off Effects Strained EBITDA

    ONE-OFF EFFECTS STRAINED EBITDA € million Q1 2012 Q1 2011 change% Revenue 41.8 41.8 0.0 ƒ EBITDA in 2011 impacted mainly by one-off effects for EBITDA before restructuring 4.1 6.5 -36.9 restructuring of €2.7m as % of revenue 9.8 15.6 ƒ Impacts on 2012 EBITDA: ƒ End of Site Continuation EBITDA 4.1 3.

  20. Slide 20: New Production Site Is the Base for Future Growth

    NEW PRODUCTION SITE IS THE BASE FOR FUTURE GROWTH First Quarter 2012: ƒ All production lines had been moved to Wittenberge and third party vendors (OptiMail30) ƒ All production activities in Birkenwerder are closed ƒ Caused by this move, the FP Group had some challenges to overcome in the ramp-up of

  21. Slide 21: Personnel Expenses Influenced by One-off Effects

    PERSONNEL EXPENSES INFLUENCED BY ONE-OFF EFFECTS 15.3 -0.5 14.8 € million 13.6 12.7 Q1 2009 Q1 2010 Q1 2011 Q1 2012 ƒ No further provisions for restructuring in Q1/2012 (€0.0m; previous year €1.2m) ƒ Less cost savings out of end of Site Continuations Agreement (€0.5m) ƒ Adjusted personnel expenses i

  22. Slide 22: Amortisation Regarding Company Acquisition Finalised

    AMORTISATION REGARDING COMPANY ACQUISITION FINALISED € million 3.1 3.1 0.7 3.0 2.5 3.0 2.4 Q1 2009 Q1 2010 Q1 2011 Q1 2012 Depreciation Amortisation Depreciation/Amortisation ƒ Amortisation regarding company acquisition in the years 2005 and 2006 ended 2011 ƒ Depreciation regarding R&D will increase

  23. Slide 23: Balance Sheet Shaped by Three Major Effects

    BALANCE SHEET SHAPED BY THREE MAJOR EFFECTS ƒ Impact of provisions due to restructuring 138.9 133.1 138.9 (€8.7m end of 2011, 133.1 reduction regarding Equity 19.2 utilisation in Q1 2012 15.9 Non-current of €1.9m) on current liabilities Assets 62.7 ƒ Non-current liabilities 62.3 Non-current 46.3 48.

  24. Slide 24: Provisions Due to Restructuring

    PROVISIONS DUE TO RESTRUCTURING 8.7 Utilisation of € million €1.9m 6.8 6.5 4.9 0.5 0.2 1.6 1.6 2011 Q1 2012 Vacation production hall Legal&Consulting Severance payments ƒ Provisions due to restructuring decrease in total from €8.7m end of 2011 by €1.9m to € 6.8 end of Q1 2012 ƒ Cash out of severance

  25. Slide 25: Cash Position Impacted by Loan and Equity Increase

    CASH POSITION IMPACTED BY LOAN AND EQUITY INCREASE 31.4 31.2 29.6 € million 5.3 25.9 12.8 11.4 11.7 5.7 17.9 18.6 20.2 19.9 2009 2010 2011 Q1 2012 Restricted Cash Cash/Cash equivalents ƒ Stronger cash position due to additional bank loan (€2.4m) and increase of equity (€3.5m) ƒ Cash out due to sever

  26. Slide 26: Further Reduction of Net Debt

    FURTHER REDUCTION OF NET DEBT € million 41.0 Net Debt Q1 2012 in € million -15.3 Financial Liabilitities 39.6 31.7 30.0 Cash and Cash 13.9 25.7 equivalents (= 31.2 cash and cash equivalents - 19.9 restricted cash + 0.7 securities + 1.8 own shares) Total 25.7 2009 2010 2011 Q1 2012 ƒ Financial liabil

  27. Slide 27: Cash Flow Shows First Impact of Severance Payments

    CASH FLOW SHOWS FIRST IMPACT OF SEVERANCE PAYMENTS Cashflow development for the first quarters 2011 and 2012 Q1 2011 Q1 2012 ƒ Cash flow from operating activities burdened by €1.9m due to cash out regarding the utilisation of -3.4 provisions for restructuring 4.9 -0.3 14.5 13.4 -> adjusted FCF of €2

  28. Slide 28: FP Group Is Investing in Future Growth

    FP GROUP IS INVESTING IN FUTURE GROWTH € million 3.4 3.4 3.4 0.3 0.1 0.3 Less investments in tools for 2.4 1.5 0.6 PostBase and production site Wittenberge 0.1 1.4 1.1 Higher investments for US 0.7 rental market 0.5 0.4 0.6 0.9 1.4 Investments in PostBase and 1 1.0 De-Mail 0.5 Q1 2009 Q1 2010 Q1 201

  29. Slide 29: Agenda

    AGENDA 1. FP and its Stratigic Intiatives 3. Business 2. Tem sequiModel vullupt and atiost Products sum ratiossum disestem 3. Markets Tem sequi vullupt atiost sum ratiossum disestem 3. Financial 4. Tem sequiStatements vullupt atiost Q1sum 2012ratiossum disestem 3. Guidance 5. Tem sequi2012 vullupt a

  30. Slide 30: Guidance 2012

    GUIDANCE 2012 ƒ Positive effects of new production site and introduction of PostBase will be seen from Q2 2012 onwards ƒ Revenues will increase to €161m at least ƒ EBITDA will grow to €25m at least ¾ No further negative impact through one-offs (productions facilities and order back-log) ¾ First posi

  31. Slide 31: Goals until 2014

    GOALS UNTIL 2014 FP Group is back on a profitable growth course Revenue EBITDA € million € million 175 30 159.4 147.3 26.8 21.5 2010 2011 2014e 2010* 2011* 2014e *Before restructuring 31 Investor‘s Day 2012 – Unaudited Financial Statements 1st Quarter 2012 fp-francotyp.com

  32. Slide 32: Goals until 2014

    GOALS UNTIL 2014 EBIT 16 Net Profit/Loss € million € million 8 7.5 2.7 -1.3 -4.6 2010 2014e 2010 2014e 2011 2011 Oper. Cash Flow 26 Free Cash Flow € million € million 22.2 17.1 9.4 10 2.4 2010 2011 2014e 2010 2011 2014e 32 Investor‘s Day 2012 – Unaudited Financial Statements 1st Quarter 2012 fp-fran

  33. Slide 33: Three Reasons to Invest in FP

    THREE REASONS TO INVEST IN FP ƒ The FP group is the first multi-channel-provider for digital and electronic mail communication with an innovative product and services portfolio to fulfil customer needs worldwide ƒ Clear strategy for further growth and profitability; not reflected by current share pr

  34. Slide 34: Thank you for your attention

    Thank you for your attention. We will now answer your questions. 34 Investor‘s Day 2012 – Unaudited Financial Statements 1st Quarter 2012 fp-francotyp.com

  35. Slide 35: Appendix

    APPENDIX fp-francotyp.com F00.10 - Rev. 3.0

  36. Slide 36: MyMail

    MYMAIL The smallest postmanager of the world USP: Features: ƒ Smallest digital franking machine ƒ Integrated scale ƒ Ideal entry-level model – clear ƒ Interface to the computer display screen ƒ Compose advertisment text with the ƒ Intelligent features ot frank letters keyboard, just like SMS like a

  37. Slide 37: UltiMail

    ULTIMAIL Professional franking – pulls out all the stops USP: Features: ƒ Easily navigation of the various options and registers ƒ Letter feeder and sealer ƒ Back-lit displays complete ƒ Label dispenser information about every franking ƒ Automatic feeder operation ƒ Flexibility and variety 37 Invest

  38. Slide 38: UltiMail and CentorMail

    ULTIMAIL AND CENTORMAIL Professional Letter Handling for the lower B-Segment USP: Features: ƒ Modular franking machine for users ƒ Ease of Use – with medium and higher mailing Only one button to start volumes ƒ Touch Display to operate ƒ Vertical envelope transport ƒ Quiet in operation ƒ Dymamic sca

  39. Slide 39: FP Stock Information

    FP STOCK INFORMATION Free Float therein: LRI Invest S.A. 9.52%* 3R Investments 9.03% Amiral Gestion 9.00% Alceda Fund Management SA 3.07%* ISIN: DE000FHP9000/ Eric Spoerndli 5.02%* DE000FPH9018 Segment: Prime Standard/ All Industrial Treasury Stock 2.29% IPO: 30 November 2006 *These are data based o

  40. Slide 40: Worldwide Presence of FP

    WORLDWIDE PRESENCE OF FP ƒ International presence covered by high market entry barriers in core business ƒ Asia-Pacific as emerging FP target market ƒ Active in 11 countries = FP centres (subsidiaries) (1) with own subsidiaries = Countries in which FP is active and a worldwide dealer network with ov

  41. Slide 41: Management Board

    Andreas Drechsler (left) Hans Szymanski (right) CSO CEO and CFO) Member of the Board Member of the Board since Dec. 2008. since March 2009. Born in 1963, economics Born in 1968, banking graduate, responsible for and business graduate, Finance, Accounting, responsible for Sales Controlling, Human Ger

  42. Slide 42: Financial Calendar

    FINANCIAL CALENDAR Interim Report 3M/Q1 2011 24 May 2012 Annual General Shareholders‘ Meeting 27 June 2012 Interim Report 6M/Q2 2011 30 August 2012 Interim Report 9M/Q3 2011 12 – 14 November 2012 German Equity Capital Forum (Frankfurt/Main) 42 Investor‘s Day 2012 – Unaudited Financial Statements 1st

  43. Slide 43: Contact

    CONTACT Sabina Prüser Corporate Communication Vice President Investor Relations/ Public Relations Francotyp-Postalia Holding AG Telephone +49 3303 525 410 Fax +49 3303 53707 410 E-Mail s.prueser@francotyp.com Address Triftweg 21-26 16547 Birkenwerder FP-Weblog: http://www.fp-francotyp.com/blog FP au

Francotyp-Postalia Holding — Q1 2012 Earnings Presentation on 6ix