Gooch & Housego Plc · LSE:GHH
Gooch & Housego — H1 2017 Earnings Presentation
19 slides from Gooch & Housego's earnings presentation, June 2017
Slide 1: Interim Results Half Year Ended 31 March 2017
INTERIM RESULTS HALF YEAR ENDED 31 MARCH 2017 CEO: Mark Webster / CFO: Andrew Boteler
Slide 2: Highlights: Operational & Financial Highlights
Highlights Operational & Financial Highlights Strong revenue growth driven by telecoms, precision inspection equipment and microelectronic manufacturing sectors. Completed the acquisition of StingRay Optics, a specialist designer and manufacturer of opto-mechanical subsystems, in February 2017.
Slide 3: Highlights: Order Book
Highlights Order Book Record order book at 31 March was £66.6 million (HY2016 : £39.2 million), a 70.5% increase. Excluding foreign exchange, this is a 61.8% increase. Excluding foreign exchange and acquisitions, this is an organic increase of 17.2%, reflecting the positive market conditions.
Slide 4: Financial Overview: Income Statement
Financial Overview Income Statement Half Year Ended 31 March 2017 2016 Key points: £’000 £’000 Revenue 52,153 38,361 Revenue growth of 36.0% compared with Gross profit 20,209 13,109 the same period last year. Excluding the impact of foreign exchange Operating expenses (13,874) (7,516) revenue in
Slide 5: Financial Overview: Cash Flow
Financial Overview Cash Flow Key points: Half Year Ended 31 March 2017 2016 £’000 £’000 Cash flow from operations before Cash flow from operating activities after tax 7,069 2,446 tax of £7.9 million, compared with £2.9 million last year. Cash flow from investing activities Purchase of property, pl
Slide 6: Financial Overview: Balance Sheet
Financial Overview Balance Sheet Key points: As at 31 March 2017 2016 £’000 £’000 Strong balance sheet maintained. Non-current assets Tangible assets 34,935 29,645 Intangible assets 44,418 21,074 £3.6 million invested in property, plant & equipment. Other 2,785 2,382 82,138 53,101 £0.4 million
Slide 7: Market analysis: Results by segment
Market analysis Results by segment Industrial Aerospace & Life Sciences Scientific Corporate Group Defence Research Revenue 2017 £31.3m £14.6m £4.8m £1.5m - £52.2m 2016 £24.8m £8.1m £3.9m £1.6m - £38.4m Change £6.5m £6.5m £0.9m (£0.1m) - £13.8m % 26.2% 80.2% 23.1% (6.3%) - 35.9% Adjusted operating p
Slide 8: Technology, Products & Markets: Industrial
Technology, Products & Markets Markets & Applications Industrial Markets Applications Microelectronics & light Revenue • Fibre lasers manufacturing 2017 £31.3m • Strong demand for microelectronic • Solid state lasers components from Far East, driven by the • Other laser sources 2016 £24.8m demand fo
Slide 9: Technology, Products & Markets: Aerospace & Defence
Technology, Products & Markets Markets & Applications Aerospace & Defence Markets Applications Revenue Target designation • Aircraft platforms & range finding • Missile systems 2017 £14.6m • Market position greatly • Land based military enhanced by the acquisition of platforms StingRay and Kent Peri
Slide 10: Technology, Products & Markets: Life Sciences
Technology, Products & Markets Markets & Applications Life sciences Markets Applications Revenue Optical Coherence Tomography • Ophthalmic imaging • Cardiovascular • Increasing investment in a 2017 £4.8m broader portfolio of OCT • Oesophageal products, with new imaging 2016 £3.9m customers, for a ra
Slide 11: Technology, Products & Markets: Scientific Research
Technology, Products & Markets Markets & Applications Scientific research Markets Applications Revenue Inertial Confinement • National Ignition 2017 £1.5m Fusion Facility • Maintain our position as 2016 £1.6m • Laser Mega Joule custodians of this technology. Change (£0.1m) % (6.3%) Adjusted operatin
Slide 12: Our Strategy
Our Strategy Remains consistent Diversify Exploit high-growth opportunities for photonics technology across multiple sectors to provide balance and reduce cyclicality. Aim to establish critical mass in Aerospace & Defence and Life Sciences Exploit near/ medium term opportunities in: Fibre and
Slide 13: Performance Improvement Plan - Progress
Performance Improvement Plan - Progress Operational excellence – Globally focused teams representing the key manufacturing disciplines are now established and will deliver performance benefits in 2017 and beyond. Introduction of company wide lean manufacturing principles and training is well under
Slide 14: Summary & Outlook
Summary & Outlook Full year trading remains in line with our expectations. G&H remains committed to the twin pillars of our strategy, namely diversification and moving up the value chain. Our recent A&D acquisitions and increased investment in R&D have gone some way to achieving our goal of es
Slide 15: Appendices
Appendices dm Gooch & Housego ENABLING PHOTONIC TECHNOLOGIES
Slide 16: About us
About us Gooch & Housego is a photonics technology business headquartered in Ilminster, Somerset, UK with operations in the USA and Europe. A world leader in its field, the company researches, designs, engineers and manufactures advanced photonic systems, components and instrumentation for applicati
Slide 17: G&H photonics – part of our everyday lives
G&H photonics – part of our everyday lives You probably use G&H photonics every time you use the internet or make a transatlantic phone call Your smartphone or tablet was manufactured and tested using G&H photonic components: - Lasers containing G&H acousto- and electro-optics are used in virtuall
Slide 18: New Products & Capabilities introduced in 2017
New Products & Capabilities introduced in 2017 Key: Technology New products Precision Acousto/Electro Fibre Systems & introduced in H1 FY2017 Optics Optics Optics Instrumentation Markets Aerospace & Defence 2 3 Industrial 5 1 2 Life Sciences 1 4 Scientific Research “G&H sees continued investment in
Slide 19: Key Customers
Key Customers PAGE 19 Interim Presentation June 2017