Datalogic S.p.a. · MIL:DAL
Datalogic — STAR Conference London 2017
33 slides from Datalogic's conference presentation, Oct 10, 2017
Slide 1: STAR Conference London 10 October 2017
STAR Conference London 10 October 2017
Slide 2: Disclaimer
Disclaimer This document has been prepared by Datalogic S.p.A. (the "Company") for use during meetings with investors and financial analysts and is solely for information purposes. The information set out herein has not been verified by an independent audit company. Neither the Company nor any of it
Slide 3: Group Overview
Group Overview DATALOGIC
Slide 4: Datalogic at a glance
Datalogic at a glance ▪ Global leader of barcode readers, mobile computers, sensors, vision systems and laser 1972 2001 marking systems with cutting-edge solutions in Foundation IPO verticals market: Retail, Transportation & 2,700 EMPLOYEES Logistics, Manufacturing, Healthcare Industries 48% EMEA ▪
Slide 5: Over 40 years of Technological Innovation
Over 40 years of Technological Innovation 1972 FOUNDATION Established in Bologna 1988 Escort Memory Systems Inc. EXPANSION IDWare Mobile Computing&Comm. 1997 2001 LISTING Listed on the STAR segment of Italian Stock Exchange Minec AB Laservall SpA Informatics Inc. PSC Inc. 2002 EXPANSION Datasensor S
Slide 6: A continuous improving Strategy
A continuous improving Strategy 1970 1980 1990 2000 2017 Pioneers New horizon “Il punto di Volta” Innovation to growth ONE DATALOGIC Foundation: Focus on optical New organizational Listing at the Italian From a product- development and readers and model to support Stock Exchange oriented strategy to
Slide 7: A Wide Geographical Footprint
A Wide Geographical Footprint EMEA 53% NORTH AMERICA 30% APAC 13% LATIN AMERICA 4% Direct presence in 30 countries 8 Manufacturing Sites 10 R&D Centers 3 DL LABS Note: Breakdown by area based on 1H2017 revenues 7 7
Slide 8: Stock and Governance
Stock and Governance Market Segment: STAR MTA Ticker: DAL Reuters Code: DAL.MI Price (October 4, 2017): 30.52 Euro Bloomberg Code: DAL IM Market Cap (October 4, 2017): 1.78 B Euro Outstanding Shares: 58,446,491 Specialist: Intermonte SIM Share Par-Value: 0.52 Euro each Auditing Company: EY DATALOGIC
Slide 9: Strategy
Strategy DATALOGIC
Slide 10: Unique Player across IA and ADC Markets
Unique Player across IA and ADC Markets DATALOGIC is the only player across the Global competitive landscape who can boast a wide and consolidated experience in both the two fields of: ▪ Industrial Automation (dating back to the foundation of the company) ▪ Automatic Data Capture (leadership derivin
Slide 11: A New Organisation by Verticals…
11 A New Organisation by Verticals… 11
Slide 12: …with a Wide and Complementary Offer
…with a Wide and Complementary Offer www.datalogic.com 12 Copyright Datalogic 2017 – Confidential & Proprietary Information
Slide 13: Total Addressable Market
Total Addressable Market Total Addressable M arket @ $9 BN Healthcare 3% T&L 18% Healthcare T&L Retail Manufacturing Retail Manufacturing 22% 57% 2017E Source: VDC 2017 and Management estimates
Slide 14: Market Drivers
Market Drivers Retail Manufacturing ▪ E-commerce and multichannel- ▪ Industry 4.0 is pushing for multi- related trends drive purchase of data technology adoption, product capture products interoperability and enhancement self diagnostic capabilities for added ▪ Technology enhancement for value solut
Slide 15: Datalogic's offer along the value chain
Datalogic’s offer along the value chain Retail Flows and Applications T&L Flows and Applications Manufacturing Flows and Applications Healthcare Flows and Applications 15
Slide 16: New One DATALOGIC Group Organization
New One DATALOGIC Group Organization Group CEO Informatics Operations Finance Solution Net System Inc.* Human Business Resources Development Customer Service IT Technology/Product Legal Innovation/R&D Group Marketing INDUSTRY UNITS Retail & GCO Manufacturing T&L HealthCare *The newco Solution Net Sy
Slide 17: A clear new strategy
17 A clear new strategy THE OBJECTIVE THE SCOPE THE ADVANTAGE Remain a product company with new Moving from a product to emphasis on solutions to a Customer-centric satisfy the needs of End Company, leveraging on Keep on constantly Users in the following our wide range of growing, above Industries:
Slide 18: Technologies and Products
Technologies and Products DATALOGIC
Slide 19: Product Innovation and Development
Product Innovation and Development ▪ New product development process that starts from the Customers’ needs – 1st milestone of the new product development ▪ A large and growing portfolio of more than 1,200 patents and pending patent applications Portal Scanning ▪ About 300 pending patent applications
Slide 20: NRF – Retail's big show 2017
NRF – Retail’s big show 2017 VISITORS ▪ 655 registered leads (more than doubled vs. 2016) TOP VISITED PRODUCTS ▪ Jade ▪ Joya Touch NEW CONCEPT AND PRODUCTS ▪ Joya Touch Android 6 ▪ Powerscan Retail ▪ Rida – companion scanner ▪ RFID indoor Geo-Location ▪ Digital Tailor – 3D imaging body scanner ▪ New
Slide 21: Market split by Technology
Market split by Technology Datalogic can offer all the technologies available for products identification Data Capture Technology RFID 5% Laser Scanner 28% 2D Imager 57% Linear OPTICAL Imager 95% 16% includes only Hand Held Scanners, Industrial Market Value: $4.3 Bn Stationary Scanners and Point of
Slide 22: New Products launched in 2017
New Products launched in 2017 Q3 PowerScan Joya Touch Retail A6 RFID solution Q1 QuickScan Lite QW2400 Impact 11.10 release MATRIX 300N™ POLARIZED Magellan 3400 Vsi Magellan 3500 HSi HALOGEN™ PowerScan 9100 DE2012-WA-DL (with breakthrough scan engine inside) Q2 MATRIX 120™ MEMOR™ SG4 Fieldbus X3 HC
Slide 23: Financials
Financials Seer esos SDATALOGIC
Slide 24: Improvements across the whole P&L
Improvements across the whole P&L H12017 H12016 Var% € mln ▪ Revenues up 6.2% to €299.3 mln (+4.8% at constant Revenues 299.3 281.8 6.2% exchange rate) Gross Operating Margin 142.3 130.9 8.6% %on Revenues 47.5% 46.5% ▪ GOM steady improving trend QoQ, at 47.5% Operating expenses (98.3) (94.9) 3.6% %o
Slide 25: Steady Growth over the Years
Steady Growth over the Years REVENUES 576.5 535.1 464.5 € mln 299.3 157.8 135.2 133.8 143.8 135.4 146.5 139.9 154.7 141.5 108.2 115.8 116.0 124.5 122.3 Q1-14 Q2-14 Q3-14 Q4-14 FY-14 Q1-15 Q2-15 Q3-15 Q4-15 FY-15 Q1-16 Q2-16 Q3-16 Q4-16 FY-16 Q1-17 Q2-17 H1-17 90.3 EBITDA EBITDA margin % € mln 73.8 6
Slide 26: Group Revenues by country
Group Revenues by country REVENUES BY GEOGRAPHIC AREA ▪ Revenues up 6.2% to € 299.3 mln (+4.8% at a constant H1 2017 H1 2016 Var% exchange rate) € mln EMEA 158.7 148.2 7.1% ▪ Strong growth in APAC driven North America 90.4 87.2 3.7% by China (+28%) in Latin America 12.0 13.5 (11.4%) Manufacturing an
Slide 27: Group Revenues & EBITDA by division
Group Revenues & EBITDA by division REVENUES BY DIVISION Informatics Solution Net 4% H12017 H12016 Var% € mln Systems 3% Datalogic 279.2 260.2 7.3% Solution Net 10.6 10.0 6.3% Systems Informatics 11.2 12.8 (11.9%) Adjustments (1.7) (1.0) n.m. Total Revenues 299.3 281.8 6.2% Datalogic 93% ▪ Datalogic
Slide 28: Focus on Datalogic Division
Focus on Datalogic Division DL Revenues Breakdown by Industry DL Revenues Breakdown by Geo Area CHANNEL APAC (Unallocated)* 14% 9% HC 6% Latin America 4% T&L 10% RTL EMEA 49% 57% North America 25% MFG 26% Retail Manufacturing T&L Healthcare • €137.4 mln (-0.4%) • €74.0 mln (+10.7%) • €27.8 mln (+5.3
Slide 29: EBITDA: actual vs last year
EBITDA: actual vs last year € mln Of which Material Saving 2.9 17.3 % on 16.0 % on Receiving & Packing 1.2 Group Group Ind Fix OH -1.0 Revenues Revenues 2.5 1.9 1.7 51.8 6.8 (0.7) 45.0 5.1 (5.4) (5.1) -1.8% on 2017 DL business revenues H1 2016 Price Volume Mix Service COGS FX Structure SNS/INF H1 20
Slide 30: Consolidated Balance Sheet
Consolidated Balance Sheet Dec 2016 Jun 2017 Dec 2016 Jun 2017 Net Financial Total Fixed Assets 371.7 354.0 (3.5) (5.5) Position Trade receivables 75.5 87.1 % on 12m rolling sales 13.1% 14.7% Inventories 82.3 88.5 % on 12m rolling sales 14.3% 14.9% Trade payables (104.6) (105.4) Net Equity 336.4 330
Slide 31: Net Debt Analysis: December'16 – June'17
Net Debt Analysis: December’16 – June’17 € mln 51.8 Acc. Receivable (11.6) Inventory (6.1) Acc. Payable 0.8 (16.9) (5.1) (3.5) 2.0% on (4.0) Revenues 5.5 3.5 (17.4) (2.9) Net Debt EBITDA Ch TWC Capex Taxes Net Financial Dividend Other Net Debt Dec 16 Charges Paymemt Jun 17 Of which: Electronics mach
Slide 32: 2017 Outlook
2017 Outlook ▪ Keep on growing in revenues at rates substantially in line with H1 ▪ Strong focus on gross operating margin to maintain a sound profitability ▪ Increasing R&D & Distribution operating expenses in H2 to boost further growth & maintain leadership in the market ▪ Cash Generation through
Slide 33: Contact
Contact IR CONTACTS NEXT EVENTS IR Manager November 13th, 2017 Vincenza Colucci 9M results CDR Communication Srl Tel. +39 335 6909547 vincenza.colucci@cdr-communication.it IR Assistant Daniela Giglioli Tel. +39 051 3147109 Fax +39 051 3147205 E-mail daniela.giglioli@datalogic.com DATALOGIC ON LINE V