Fluidra, S.a. · BME:FDR
Fluidra — Baird's 2019 Global Industrial Conference
16 slides from Fluidra's conference presentation, Nov 7, 2019
Slide 1: Your perfect pool experience
Your perfect pool experience Baird’s 2019 Global Industrial Conference Bruce Brooks, CEO November 7, 2019
Slide 2: Disclaimer
2 Disclaimer This document is for information purposes only and does not constitute an offer to sell, exchange or buy, or an invitation to make offers to buy, securities issued by any of the companies mentioned. This financial information has been prepared by Fluidra, S.A. ("Fluidra", and with all
Slide 3: Fluidra at a glance
3 Fluidra at a glance Overview Global & balanced presence • Global manufacturing leader in pool equipment and (Sales by business unit PF FY2017A) wellness solutions LatAm • Innovative, user-focused provider of highly engineered 1% products and solutions Rest of World 20% Europe • Listed on the Spani
Slide 4: Highlights, Mission and Values
4 Highlights, Mission and Values Customer Structurally attractive industry that grows collaboration 1 ~2xGDP Passion for Excellence success and innovation Global leader in the Pool & Wellness 2 industry with clear strategic objectives Honesty Teamwork and trust Compelling equity story with strong 3
Slide 5: Highly attractive market with two growth drivers
1,500 Thousands 1,400 5 1,300 Highly attractive market with two growth drivers 1,200 1 1,100 1,000 900 Life of pool & renewal cycle New 800 build growing but still well below pre-crisis levels (Varies depending on use and construction type) 700 New Pools 600 Thousands 500 1,500 400 Thousands Year 1
Slide 6: Growing & resilient market with strong fundamentals
6 1 Growing & resilient market with strong fundamentals Growing market Estimated market growth range Market size (€, bn) CAGR: c. 5% Average Ticket ~1.5–2.5% Growth ~ 7% 7.1 Installed Annual 6.2 Pool Base Growth ~1.5–2% = ~ 4 – 6% = Range of Growth Long Term Average New Build ~1–1.5% ~ 3% Growth 201
Slide 7: Global leadership leveraging a unique and powerful platform
7 2 Global leadership leveraging a unique and powerful platform Broadest geographic footprint with business model adapted to each market Expansive product offering drives growth and expands addressable market Globally recognized brands allow for market segmentation and channel optimization Core comp
Slide 8: Broadest geographic footprint adapted to local market
8 Broadest geographic footprint adapted to local market • Global market leader with access to all major pool markets • Customer & commercial approach by market Geographic Split • Large growth opportunity in the US, the world’s largest market (PF FY2017A) Market Fluidra Sales Rest of World Europe 16%
Slide 9: Expansive product offering drives growth
9 Expansive product offering drives growth • Expansive product offering and portfolio of brands allows for €59m in revenue synergies ambition to be reached by 2022 (€42m net of dis-synergies) • North America: expand residential pool offering and launching of new commercial pool business unit • Europ
Slide 10: Core competency in product development drives future growth
10 Core competency in product development drives future growth Excellence in innovation Cleaners R&D capability with >200 engineers Pumps & and >1,100 patents Filters Robust product road map Heating New – Improving quality and user experience products Water Care – Technology focused on increasin
Slide 11: Four strategic objectives that deliver value through 2022
11 2 Four strategic objectives that deliver value through 2022 Great operating Product category expansion and financial performance Accelerate growth After market penetration in North America New product pipeline and connected pools Sales Growth 5 – 8% EBITDA Margin ~21% Leverage platform in
Slide 12: Strong sales growth and a resilient business model
12 3 Strong sales growth and a resilient business model Strong growth outlook (excludes revenue synergies)… …that is highly resilient… 5–8% 1–2% 8% New Build sales over all-time low 1–1.5% 26% New Build 1.5 –2.5% sales at all-time low Combined Business is 1.5 –2% 92% Resilient Sales Installed Base G
Slide 13: Key margin improvement initiatives
13 2022 PLAN 3 Key margin improvement initiatives Value initiatives and lean update Cost synergies update (€ m) (€ m) 2018A 2019E 2020E 2021E 2022E 2018A 2019E 2020E 2021E • Value initiatives and lean target revised upwards by €5m to €30m • Commercial integration cost synergies provide upside to €17
Slide 14: Significant margin improvement and cash generation
14 3 Significant margin improvement and cash generation EBITDA margin evolution Delivers strong deleveraging for cash allocation NFD / Adjusted EBITDA 60 bps 21% 140 bps 200 bps 3.3x 2.8x 17% 2.5x 400bps of total improvement 3.5x 3.2x 2.6x ~2.0x 2017 PF Cost Synergies Lean & Value Initiatives
Slide 15: Summary
15 Summary 1 Structurally attractive industry that grows ~2xGDP 2 Global leader in the Pool & Wellness industry with clear strategic objectives 3 Compelling equity story with strong value creation
Slide 16: Thank you for your attention!
THANK YOU FOR YOUR ATTENTION! Luis Boada IR, Corporate Communications & Business Development Director lboada@fluidra.com T: +34 93 724 39 00 M: +34 600 930 505 www.fluidra.com/shareholders Bloomberg ticker: FDR:SM Reuters ticker: FLUI.MC