Lumibird Sa · EURONEXT:LBIRD
Lumibird Sa — Investor Presentation (January 2019)
35 slides from Lumibird Sa's investor presentation, January 2019
Slide 1: Lumibird Investor presentation January 2019
LUMIBIRD MORE THAN LASERS Investor presentation January 2019
Slide 2: Laser, a concentration of light
Laser, a concentration of light External power source Mirror x — Laser beam | Output mirror Amplifier medium 3 Lumibird has £ h e A & Laser technologies specialist With multiple applications Material processing Instrumentation and metrics Surgery, biomedical Research and defense Information and tele
Slide 3: Positioned on diverse markets
Positioned on diverse markets Industrial & Scientific LIDAR Sensors Defense and Space Medical Be Universities <f. Autonomous €y Research i & vehicles centers BS. Ophthalmologists & Laboratories Wind energy A Defense det Hospitals industry “i industrial Sia R Space e Specialist est integrators 7&\" D
Slide 4: Created through the merger of two complementary operators
Ql: 1970 2016 revenues: €63m 2016 headcount: 307 Complementary products Complementary markets €30m of Medical revenues in 2016 Strengthening of vertical integration Optimization of R&D investment programs Critical mass for contracts on a significant scale Strong competitive position on LiDAR for aut
Slide 5: International group that has achieved critical mass
International group. that has achieved critical mass Lumibird exports its solutions Breakdown of to over 110 countries 5 1 5 2018 revenues 2018 headcount fe €25.7m aa oe yee £15.4m €7.2m | Ped 2017 R&D spending me €26.2m +1 8 e 5% es £33.6m & 70% 2018 growth
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Slide 7: Global laser market
Global laser market Sbn +6.3% CAGR 2014-2022 1 14,9 514 13,1 12,4 10,5 9,4 7 | 2014 2015 2016 2017 2018 2020 2022 Source: Laser Focus World
Slide 8: Industrial & Scientific: 25.4% of 2018 revenue
25.4% of 2018 rev > > > > 8/34 +1.5% YTD >
Slide 9: 15.3% of 2018 revenue, +33.8% YTD
15.3% of 2018 rev +33.8% YTD 9/34
Slide 10: 26% of 2018 revenue, +56.9% YTD
> > > > 26% of 2018 rev > > > +56.9% YTD > 10/34
Slide 11: 33.3% of 2018 revenue, +6.3% YTD
33.3% of 2018 rev +6.3% YTD 11/34
Slide 12: Commercial organization with a proven track record
Commercial organization with a proven track record Marketing team Defense/Space, Industrial, LiDAR moO Identification of prospects _ bo on) and potential markets mM ni’ @ Saints 33 os 60% 70% direct through distributors Sales team Prospecting and conversion of prospects into clients Calls for tender
Slide 13: International group with 70% export revenues
y ten international group 2018 export revenues : 70% Export revenues of €70m in over 110 countries 4 production sites: Bozeman (USA), Lannion, Les Ulis, Clermont-Ferrand (France)
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Slide 15: Technological lead driven by innovation engineers and researchers
Technological lead driven by innovation 101 engineers and researchers Portfolio of 30 patents: Laser components Laser architecture Optronics features Medical Partnerships with industry-leading research centers . 2 ones THALES (5k, poli | lob / lab ap A grec amt UNIV ERSI Y ONERA Xlim +s rene uC =o “
Slide 16: Outstanding development capabilities to meet the most complex needs
a Outstanding development capabilities to meet the most complex needs Expertise in the world’s 3 most used Example laser technologies Solid-state lasers Highly powerful Maximum wavelength spectrum Laser diodes Low energy consumption (electrical Tams Cect ESA and NASA programs World leader for electr
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Slide 18: Flexible capacity management
Flexible capacity management Planning and logistics Production planning budget-driven (vs orders-driven) Synergies between the sites Optimum capacity distribution Flexibility for procurement and subcontracting On non-critical components and functions Lean manufacturing Creation / optimization of pro
Slide 19: Increasingly integrated production
Increasingly integrated production Historically strong integration Bragg filters developed and produced All the lasers produced by the Group in-house incorporate the key components (laser mroduice and passive fiber components) The Bragg filters are produced using a very Produced in~nouse complex pho
Slide 20: Production approach inspired by the auto industry
Production approach inspired by the auto industry Core framework for developing several models Possibilities for differentiated product configurations Response to upcoming productivity challenges Increase volumes Reduce costs Maintain product diversity Moving towards a platform rationale New Merion
Slide 21: Financials
FINANCIALS FINANCIAL RESULTS: GROWTH AND PROFITABILITY
Slide 22: Revenue history
Revenue history (€m) +18.5% YTD €100.9m €85.1m mIndustrial and Scientific mLidar Sensors ™ Defense / Space = Medical 2 ac vu c oo c i 2017 2018 proforma
Slide 23: Earnings at June 30, 2018
Earnings at June 30, 2018 lem 018 2017 Change 2017 consolidated proton) Proforma Proforma(1) Revenues 42.3 40.5 +4% 85.1 Purchases consumed 715.4 16.7 -8% 35.1 Gross margin 26.9 23.8 +13% 50 % 64% 59% 59% Staff costs -12.8 -12.3 +4% -24.6 External expenses -7.9 -JA +11% -13.7 Taxes -1 -0.9 +11% -1.7
Slide 24: Balance sheet at June 30, 2018
Balance sheet at June 30, 2018 esers wunza, Desa ff vastus juno, 2018 ec Non-current assets 70.4 67.4 Shareholders’ equity 78.7 75.8 Goodwill 32.6 32.6 Intangible assets 17.5 16.6 Non-current liabilities 14.8 14.9 nore Plant and 8.2 6.1 other non-current financial 93 9.9 Other non-current 12.1 12.1
Slide 25: Balance sheet at June 30, 2018
Balance sheet at June 30, 2018 ASS Jun 30 Dec 31 LIABILITIES Dec 3 €m 2018 2017. €m Jun 30, 2018 2017 Current assets 52.0 51.8 Current liabilities 28.9 28.5 Cash 45 10.7 Current financial liabilities 9.6 10.8 Trade receivables 17.7 15.8 Trade payables 8.7 7.6 Inventories 24.3 Other, sundry liabiliti
Slide 26: Cash-flow statement
Cash-flow statement _ Inventories Dec 3t, Jun 3°) Change Raw materials 10 11.6 1.6 €m Change June Goods 4.9 5 0.1 2018 Work in 1 2 1 . * progress 3 3. 7 Cash-flow from operations (before financial expenses i 6.4 Finished 2 1 and tax) products 3. 4-5 3 Change in working capital -5.0 oes ae 19.6 24.3
Slide 27: Healthy financial position
Healthy financial position €m Jun 30, 2018 Debt from credit institutions 11.7 Finance leases and financing 11 MIKADO bond debt - Total financial liabilities and borrowings 18.9 = Cash assets (4,4) % Total net debt 14.5 = = Shareholders’ equity 78.7 Gearing 18.6% Net leverage ratio 1.06 (1) CIR: rese
Slide 28: Outlook: growth on our key markets and improved margins
OUTLOOK: GROWTH ON OUR KEY MARKETS AND IMPROVED MARGINS
Slide 29: Organization sized for growth and developing synergies
Organization sized for growth and developing synergies Revenue synergies Pooling clients and sales networks Rolling out a vertical integration strategy Achieving critical mass to access larger markets Operational synergies Improving industrial processes Merging the sales teams Pooling support servic
Slide 30: Defense / Space
Defense / Space ys Market: €1,000m* Growth driven by major contracts MegajJoule: 4th tranche over 3 to 4 years, before the start of the long-term maintenance phase Military contracts underway Market share gains in Europe Enabling European manufacturers to free themselves up from dependence outside t
Slide 31: LiDAR: strategic positions on hyper-growth markets
a LiDAR: strategic positions on hyper- growth markets Markets: €1,000m* a a Se Buoyant positioning in the wind energy and Superiority of Lumibird’s fiber mapping sectors LiDARs for the auto industry 30% of LIDAR revenues in 2018 80% market share for wind energy sensors Range 10 times larger than dio
Slide 32: Medical: dynamic innovation and opening up new markets
Medical: dynamic innovation and opening up new markets © Market: €1,000om* 5 new products launched in 2018 Laser: VITRA 810™, SubCyclo® Ultrasound scans: Compact Touch 2™, ABSolu™ Dry eye diagnosis: new market entered with Lacrydiag™ Diversification outside of ophthalmology with the acquisition of E
Slide 33: Vertical integration
Vertical integration Industrialization Increased percentage of direct sales oO 2) © 4) Scale effect Drivers for improving margins Internalize the margin on strategic components through the integration of new technological components Have less than 10 generic platforms to cover over 500 finished prod
Slide 34: Maintain strong growth, increase profitability
Maintain strong growth Capitalizing on the key positions held on the LiDAR and Medical markets Gaining Defense market shares for increased technological independence from the Europe of Defense Making targeted acquisitions to strengthen critical mass and address new markets Increase profitability Cap
Slide 35: Reasons to invest in Lumibird
5 reasons to invest in Lumibird Longstanding operator with a product leadership positioning Diverse target markets of over €1bn each Tech firm backed by a convincing industrial strategy Outstanding prospects for growth and major drivers for improving margins Opportunities for consolidation and a tra