Cembre S.p.a. · MIL:CMB
Cembre — FY2016 Earnings Presentation
31 slides from Cembre's earnings presentation, Mar 17, 2017
Slide 1: Investor Presentation: 2016 Consolidated results
Investor Presentation 2016 Consolidated results
Slide 2: Cembre at a Glance
Investor Presentation Cembre at a Glance Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools; The Group has grown its revenues by a CAGR of 5.4% in the last 16 years (2001-2016), from €56 mn in 2001 to €122.6 mn in 2016; It is a dividend-payer w
Slide 3: Contents
Investor Presentation Contents Management Team Business overview 2016 results 2016 guidance Stock data & shareholding structure Contact 3
Slide 4: Management team
Investor Presentation Management team Giovanni Rosani Chief Executive Officer (CEO) OUR MISSION Cembre cooperates with the users of its products to find the best technical Aldo Bottini Bongrani and economical solutions related to electrical connection applications. Sales and Marketing Director Claud
Slide 5: Group Structure
Investor Presentation Group Structure 454 S.p.A 100% 95% 95% 95% 71% Cembre Cembre Ltd. Cembre Sarl Cembre GmbH Cembre Inc. España SL Great Britain France Germany USA Spain 5% 5% 5% 29% 98 27 49 25 25 Production and commercial units Commercial units Number of employees at December 31, 2016 5
Slide 6: Business Overview
Investor Presentation Business Overview Cembre is Europe’s leading manufacturer of electrical crimp type connectors and related installation tools. Electrical Connectors Tools Railway Products Identification Cable Glands, Systems Accessories and other 6
Slide 7: Made in Brescia…
Investor Presentation Made in Brescia… Cembre, established in 1969, manufactures its products in its state-of- art production facility located in Brescia. The facility covers an area of 51,000 m2 on a total land area of 121,000 m2. 7
Slide 8: … and U.K.
Investor Presentation … and U.K. In addition, Cembre has a production facility in the UK which operates on a 8,800 m2 land. This plant in Birmingham manufactures mainly for the local market. The sales generated in the UK are 15% of the 2016 consolidated turnover. Cembre Ltd. Factory in Curdworth Bir
Slide 9: An Integrated Business Partner…
Investor Presentation An Integrated Business Partner… The Group employs 678 employees worldwide. R&D Production Marketing/Sales/Distribution Administration/Services 23 397 175 83 Cembre has extensive know-how Sharp focus on customer needs in its operating field, and its strong and the efficient inte
Slide 10: Very Strong in Europe…
Investor Presentation Very Strong in Europe… Cembre is present all over the Italian territory through a network of salesmen and representatives who are able to offer fast and constant technical assistance. Abroad, it operates through 4 subsidiaries in Europe (UK, France, Spain, Germany) and 1 in the
Slide 11: Present All Around the World…
Investor Presentation Present All Around the World… Cembre has a network of importers and agents who provide technical and commercial assistance and rapid delivery all around the world… 11
Slide 12: Revenues breakdown by Product Family
Investor Presentation Revenues* breakdown by Product Family (€ ‘000) 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Electrical Tools Railway Products Cable Markers Cable Glands Terminal Blocks Others Total connectors *Customers’ bonuses not included 42,892 25,374 24,743 19,958 8,976 2,479 2,165 126,587
Slide 13: Geographical Revenue Breakdown
Investor Presentation Geographical Revenue Breakdown Italy 2016 2015 Δ Sales 49.0 mn 48.6 mn 1.0% % in total 40.0% 40.0% - Europe (ex-IT) 2016 2015 Δ Sales 51.5 mn 52.2 mn -1.3% % in total 42.0% 43.0% -1.0 pp Rest of the World 2016 2015 Δ Sales 22.1 mn 20.6 mn 7.1% % in total 18.0% 17.0% 1.0 pp 13
Slide 14: 16-Year Revenue Evolution
Investor Presentation 16-Year Revenue Evolution € Millions Economic Back to Growth 140 Crisis 121,4 122,6 120 112,9 103,0 103,9 104,5 100 93,4 94,3 93,9 84,1 80 76,0 70,0 65,1 59,9 60 56,0 56,9 40 20 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 14
Slide 15: A Wide Product-Mix
Investor Presentation A Wide Product-Mix In order to maintain its leading position and increase the penetration of market, Cembre had sensibly enlarged the range of products offered through: •Research activities mainly focused on the development of innovative products for the sectors with the highes
Slide 16: Electrical Connectors: 2.0% decrease in Sales
Investor Presentation Electrical Connectors: 2.0% decrease in Sales Electrical Connectors: 2016 2015 Δ Total Sales 42.9 € mn 43.8 € mn -2.0% Sales in Italy (% share) 20.7 € mn (16.3%) 20.0 € mn (16.2%) 3.2% Sales in Europe ex-IT (% share) 18.3 € mn (14.5%) 20.0 € mn (16.2%) -8.5% Sales in RoW (% sha
Slide 17: Tools: 5.5% increase in Sales
Investor Presentation Tools: 5.5% increase in Sales Tools: 2016 2015 Δ Total Sales 25.4 € mn 24.0 € mn 5.5% Sales in Italy (% share) 5.9 € mn (4.6%) 5.4 € mn (4.4%) 8.9% Sales in Europe ex-IT (% share) 9.7 € mn (7.6%) 9.6 € mn (7.8%) 0.6% Sales in RoW (% share) 9.8 € mn (7.8%) 9.1 € mn (7.3%) 8.7% C
Slide 18: Railway Products: 2.4% decrease in Sales
Investor Presentation Railway Products: 2.4% decrease in Sales Railway Products: 2016 2015 Δ Total Sales 24.7 € mn 25.3 € mn -2.4% Sales in Italy (% share) 1.9 € mn (1.5%) 2.8 € mn (2.3%) -33.4% Sales in Europe ex-IT (% share) 16.1 € mn (12.7%) 16.1 € mn (13.0%) 0.0% Sales in RoW (% share) 6.8 € mn
Slide 19: Cable Markers: 14.6% increase in Sales
Investor Presentation Cable Markers: 14.6% increase in Sales Cable Markers: 2016 2015 Δ Total Sales 20.0 € mn 17.4 € mn 14.6% Sales in Italy (% share) 12.8 € mn (10.1%) 11.3 € mn (9.1%) 13.5% Sales in Europe ex-IT (% share) 6.1 € mn (4.8%) 5.4 € mn (4.3%) 13.1% Sales in RoW (% share) 1.1 € mn (0.9%)
Slide 20: Cable Glands: 2.3% increase in Sales
Investor Presentation Cable Glands: 2.3% increase in Sales Cable Glands: 2016 2015 Δ Total Sales 9.0 € mn 8.8 € mn 2.3% Sales in Italy (% share) 7.5 € mn (6.0%) 7.5 € mn (6.1%) 0.7% Sales in Europe ex-IT (% share) 1.2 € mn (0.9%) 1.1 € mn (0.9%) 6.7% Sales in RoW (% share) 0.3 € mn (0.2%) 0.2 € mn (
Slide 21: 2016 Consolidated Results
Investor Presentation 2016 Consolidated Results Euro Millions 2016 2015 Changes 2014 % Sales 122.6 121.4 1.0% 112.9 EBITDA 30.0 28.5 5.2% 24.4 In % of sales 24.5% 23.5% 21.6% EBIT 24.1 22.8 5.5% 19.4 In % of sales 19.7% 18.8% 17.2% EBT 24.1 22.9 5.2% 19.7 In % of sales 19.6% 18.8% 17.5% Net Profit 1
Slide 22: 2016 Group's Companies Turnover
Investor Presentation 2016 Group’s Companies Turnover* Company 2016 2015 Change 2014 (Euro thousands) % Cembre S.p.A. (Italy) 67,134 65,725 2.1% 58,554 Cembre Ltd. (UK) 18,143 19,710 -8.0% 20,577 Cembre S.a.r.l. (France) 8,976 8,677 3.4% 8,354 Cembre España S.L. (Spain) 7,979 8,200 -2.7% 7,016 Cembr
Slide 23: December 31, 2016 Consolidated Balance Sheet
Investor Presentation December 31, 2016 Consolidated Balance Sheet Euro Millions Dec. 31, 2016 Dec. 31, 2015 Dec. 31, 2014 a Net operating working capital 44.2 47.6 43.9 % of sales 36.0% 39.2% 38.9% b Net fixed assets 71.8 71.0 69.6 c Assets available for sales - - - d Severance indemnities 2.6 2.6
Slide 24: Cembre's Revenue and Profitability Trend
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 140.000 121.377 122.605 120.000 112.905 103.899 104.547 103.028 100.000 93.417 94.288 93.934 84.127 80.000 75.984 69.997 59.870 65.149 Revenues 56.003 56.946 60.000 40.000 20.000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 20
Slide 25: Cembre's Revenue and Profitability Trend
Investor Presentation Cembre’s Revenue and Profitability Trend (€ ‘000) 28.000 50,0% 24.095 45,0% 24.000 22.836 40,0% 20.000 19.433 18.420 35,0% 17.379 17.291 15.941 16.221 16.456 15.838 30,0% 16.000 25,0% Ebit 12.000 11.023 10.581 20,0% 7.656 19,7% 18,8% 19,7% 6.932 18,9% 18,5% 15,0% 8.000 6.271 6.
Slide 26: Index analysis
Investor Presentation Index analysis ROI (EBIT/Investments ROACE (EBIT/Net Capital Employed) 25,00% 35,00% 29,45% 30,00% 19,67% 29,05% 20,00% 24,34% 19,06% 16,60% 16,57% 25,00% 15,11% 23,39% 21,49% 22,23% 21,23% 20,61% 15,00% 20,00% 14,15% 14,65% 15,09% 16,85% 17,12% 11,04% 13,75% 18,35% 12,80% 15,6
Slide 27: Investments trend
Investor Presentation Investments trend 18.000 16.000 14.000 12.000 10.000 8.000 6.000 4.000 2.000 0 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Investments in tangible assets Investments in intangible assets Total investments € ‘000 2001 2002 2003 2004 2005 2006
Slide 28: 2016 and onwards…
Investor Presentation 2016 and onwards… Cembre focused on these targets: Increase of turnover thanks to: •A strengthening of Cembre competitive advantage by developing new products and continuous product range renewing by an intense R&D activity, •An higher penetration in the foreign markets, especi
Slide 29: 2016 and onwards…
Investor Presentation 2016 and onwards… •The construction of a new 4,800 m2 industrial building which is the new logistic center. This center include an automated warehouse with 16-metre-high shelves. The construction started in March 2012, and the new automatic warehouse is operative since January
Slide 30: Stock Data & Shareholding Structure
Investor Presentation Stock Data & Shareholding Structure Cembre FTSE Italia STAR Shareholders: Share: LYSNE Spa 55,92% Sara Rosani 8,65% Giovanni Rosani 8,53% Anna Maria Onofri 0,71% Altri 26,19% Cembre has been listed since December 1997, and is a part of the Star Index since September 2001. 2016
Slide 31: Contact
Contact Claudio Bornati: CFO and IR Via Serenissima 9, 25135 Brescia (BS) Italy Phone: ++39 030 36921 Email: claudio.bornati@cembre.com The manager responsible for preparing the Company’s financial reports, Claudio Bornati, declares, pursuant to paragraph 2 of Article 154 bis of the Consolidated Law