Rai Way SpA · MIL:RWAY
Rai Way SpA — 9M2019 Earnings Presentation
17 slides from Rai Way SpA's earnings presentation, Nov 14, 2019
Slide 1: 9M2019 Results Presentation
9M2019 Results Presentation 14 November 2019
Slide 2: Disclaimer
Disclaimer FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements regarding future events and the future results of Rai Way that are based on current expectations, estimates, forecasts, and projections about the industries in which Rai Way operates, as well as the beliefs a
Slide 3: Rai Way Participants
Rai Way Participants • Aldo Mancino, Chief Executive Officer • Adalberto Pellegrino, Chief Financial Officer • Giancarlo Benucci, Head of Corporate Development & IR 14 November 2019 3 9M2019 Results Presentation
Slide 4: Key messages
Key messages ➢ 9M2019 in line with expectations: o Progressive growth in contribution from new services to RAI and activity with non-MNO customers confirmed at sound level o Profitability rising above 60%, also supported by cost control o Net Income up 5,6% ➢ Update on refarming process o Capacity a
Slide 5: 9M2019 Financial Highlights
9M2019 Financial Highlights % YoY growth Mln Eur; % Core Revenues Adjusted EBITDA Net Income Adjusted EBITDA margin +1,5% +2,9% +5,6% 165,7 163,3 100,6 90,6 97,7 49,7 60,7% 47,2 47,0 59,8% 59,4% 55,5% 9M 2018 9M 2019 9M 2018 9M 2018 9M 2019 9M 2018 9M 2018 9M 2019 (1) (1) PF PF Capex Net debt (Net C
Slide 6: Core Revenues
Core Revenues % YoY growth Mln Eur; % +1,5% 165,7 163,3 • 9M2019 Revenues from Third Parties up 1,6%, also benefitting from non-core items 25,2 +1,6% • On a recurring basis, pressure from MNOs offset by rising Third-Parties 24,8 activity in Transmission services and tower hosting with TV & radio bro
Slide 7: Opex (excluding one-offs)
Opex (excluding one-offs) % YoY growth Mln Eur; % 72,7 -0,6% 65,6 65,2 Excluding capitalization, personnel costs up by approx. 2% with the same drivers reported in the Personnel first semester (new hirings as part of the early- 32,9 costs retirement plan implemented in previous years 32,9 32,7 -0,4%
Slide 8: P&L
P&L Eur Mln, % 3Q 2018 3Q 2018 PF(1) 3Q 2019 % YoY 9M 2018 9M 2018 PF(1) 9M 2019 % YoY Core Revenues 54,3 54,3 55,3 1,9% 163,3 163,3 165,7 1,5% Other Rev enues & income 0,0 0,0 0,0 0,1 0,1 0,1 Adj. EBITDA 31,4 33,9 34,9 3,2% 90,6 97,7 100,6 2,9% % margin 57,9% 62,4% 63,2% 55,5% 59,8% 60,7% Non recur
Slide 9: Cash flow generation
Cash flow generation Net Debt/ 1y rolling pro-forma(1) Adj. EBITDA Mln Eur Strong pre-dividend cash generation at approx. € 58m(5) 0,27x 34,7 - IFRS 16 48,2m - Gross Debt 0,5m - Cash&Eq -14,0m (Net Cash) 49,4 2018FY 59,7 Impact of EBITDA Capex(2) Taxes(3) Financial Δ NWC Funds & Dividend Net Debt IF
Slide 10: Balance sheet
Balance sheet Mln Eur 9M2019 Balance Sheet Including rights of use for leasing under IFRS-16 (€ 42,3m) 7,4 (27,9) 205,0 34,7 225,6 170,3 Net Fixed Net Net Funds(2) Net Net Debt Equity Book Assets(1) Working Invested Value Capital Capital (1) Including long-term financial items and the rights of use
Slide 11: 2019FY Outlook (pre-IFRS16) confirmed
2019FY Outlook (pre-IFRS16) confirmed • 2019 ADJUSTED EBITDA ➢ Further organic growth • 2019 CAPEX ➢ Maintenance capex on core revenues ratio expected substantially in line with the 2018 figure, bringing the last 5-year average level at ca. 8% 14 November 2019 11 9M2019 Results Presentation
Slide 12: Q&A Session
Q&A Session vcr
Slide 13: Contacts
Contacts - Investor Relations +39 06 331 73973 +39 06 331 74815 investor.relations@raiway.it 14 November 2019 13 9M2019 Results Presentation
Slide 14: Appendix
Appendix =
Slide 15: Detailed summary of Income Statement
Detailed summary of Income Statement (€m; %) 3Q18 3Q18PF(1) 3Q19 9M18 9M18PF(1) 9M19 Core revenues 54,3 54,3 55,3 163,3 163,3 165,7 Other rev enues and income 0,0 0,0 0,0 0,1 0,1 0,1 Purchase of consumables 0,1 0,1 (0,2) (0,6) (0,6) (0,8) Cost of serv ices (12,5) (10,1) (10,0) (37,3) (30,2) (30,1) P
Slide 16: Summary of Balance Sheet
Summary of Balance Sheet 2018FY 9M2019 2018FY 9M2019 (€m) (€m) Non current assets Shareholders' Equity Tangible assets 180,9 169,5 Share capital 70,2 70,2 Rights of use for leasing 0,0 42,3 Legal reserv es 14,0 14,0 I ntangible assets 12,9 12,5 Other reserv es 37,1 37,1 Financial assets, holdings an
Slide 17: Summary of Cash Flow Statement
Summary of Cash Flow Statement (€m) 3Q2018 3Q2019 9M2018 9M2019 Profit before income taxes 22,7 23,8 64,8 69,4 Depreciation, amortization and w rite-dow ns 8,2 10,7 24,4 31,6 Prov isions and (releases of) personnel and other funds 1,0 0,9 2,6 0,8 Net financial (income)/expenses 0,3 0,3 0,9 0,9 (Reta