3u Holding Ag · XETR:UUU
3u — Investor Presentation (March 2020)
36 slides from 3u's investor presentation, Mar 25, 2020
Slide 1: 3U HOLDING AG Success in Megatrends
3U HOLDING AG Success in Megatrends
Slide 2: Contents
CONTENTS Investment Case 3U HOLDING AG 4 Events and results of the 2019 financial year 6 Successful in megatrends – cloud computing 12 Successful in megatrends – online trading 18 Successful in megatrends – renewable energies 22 Summary 24 Option: IPO of weclapp 27 Annex 32 2
Slide 3: Successful business in three megatrends
SUCCESSFUL BUSINESS IN THREE MEGATRENDS ITC Segment RE Segment SHAC Segment Information and Renewable Sanitary, Heating, Telecommunication Technology Energies Air Conditioning – Cloud Computing – Power Generation – E-Commerce ERP/CRM for SME – Project – Production – Telecommunications Acquisitions a
Slide 4: Investment Case 3U Holding
INVESTMENT CASE 3U HOLDING 3U Growth Strategy: Enhance Technologies, Overcome Barriers to Growth, Tap Potential Successful business models in three megatrends: cloud computing e-commerce renewable energies Ongoing strategic focus on the core growth areas: Cloud Computing and E-Commerce - G
Slide 5: Key growth drivers: e-commerce and cloud computing
KEY GROWTH DRIVERS: E-COMMERCE AND CLOUD COMPUTING Revenue in EUR mn CAGR: 40 % 20.6 ~ 24.0 17.4 15.7 12.9 11.7 9.5 6.0 4.0 1.5 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 (e) CAGR: >100 % 4.6 ~ 7.0 3.0 1.9 1.0 0.3 0.5 0.1 2013 2014 2015 2016 2017 2018 2019 2020 (e) Organic Growth Continues –
Slide 6: Events and results of the 2019 financial year
Events and results of the 2019 financial year 6
Slide 7: weclapp and Selfio continue their unchecked growth course
WECLAPP AND SELFIO CONTINUE THEIR UNCHECKED GROWTH COURSE Revenue development in EUR mn since 2015 Multi-award-winning cloud-based ERP-System Sustainable organic growth thanks to effective online marketing, technology and price leadership, 4.6 R & D: Focus on Artificial Intelligence 3.0 genu
Slide 8: 2019 financial year: positive developments in all segments
IN 2019 FINANCIAL YEAR: POSITIVE DEVELOPMENTS IN ALL SEGMENTS Revenue and EBITDA in EUR mn: Q4/2018 vs. Q4/2019 and FY2018 vs. FY2019 ■ Revenue ITC • ITC: Cloud Computing with high growth EBITDA 14.8 and earnings contribution, 14.1 Voice Retail decreasing as expected • Renewable Energies: wind yield
Slide 9: Revenue growth in the 2019 financial year
REVENUE GROWTH IN THE 2019 FINANCIAL YEAR: FURTHER MARKED GROWTH OF GROUP REVENUE Development in EUR mn (consolidated): Q4/2018 vs. Q4/2019 and FY2018 vs. FY2019 Revenue • Increased revenue and earnings forecast fully reached • Positive earnings effects thanks to sale of two real estate properties 4
Slide 10: 3U Group: strong balance sheet and solid cash flow
3U GROUP: STRONG BALANCE SHEET AND SOLID CASH FLOW in EUR mn / % 31 December 31 December 2019 2018 Total assets 80.5 74.5 Inventory 7.8 7.0 Cash and cash equivalents 20.6 12.3 Shareholdersʼ equity 46.5 41.4 Equity quota 57.8 % 55.6 % Debt ratio 73.0 % 79.7 % (financial liabilities/equity) Net debt -
Slide 11: Forecast 2020: significant growth, stable earnings
FORECAST 2020: SIGNIFICANT GROWTH, STABLE EARNINGS Development in EUR mn: 2017 – 2020 (e) Revenue EBITDA-Margin 58– 63 19,6 % 17 %–19 % 14.2 % 14.0 % 51.5 48.0 46.9 2017 2018 2019 2020 (e) 2017 2018 2019 2020 (e) EBITDA Net result 10 – 12 4.1 10.1 2–3 6.7 6.7 1.9 1.1 2017 2018 2019 2020 (e) 2017 201
Slide 12: weclapp: Technology leader, price leader, goal market leader
weclapp: Technology leader Price leader Goal: Market leader! 12
Slide 13: weclapp: Built for teams
WECLAPP: BUILT FOR TEAMS Unique selling proposition: Joy of use Genuinely cloud-based: consistent, scalable, expendable, universal, low price International: focus on materials management (not accounting!) multi-lingual, multi-currency, multi-location Platform: Java EE kernel, many extens
Slide 14: ERP systems: evolutionary steps
ERP-SYSTEMS: EVOLUTIONARY STEPS Highly advanced, flexible and Maximum automatization and More affordable scalable, ubiquitous working. hence maximum efficiency of Large Corporations Server- and Affordable for SME business processes requires Mainframe Computers desktop-based 100 % cloud-based and hen
Slide 15: weclapp: Serving growth markets
WECLAPP: SERVING GROWTH MARKETS Market potential Number of SMB Cloud software spending (2015, 18%CAGR) • Cloud computing as a Worldwide megatrend: growth of 25 % $ 27.9 bn p.a. in Germany 200+ million • Above-average potential at small and medium-sized companies • Trend away from on-premises Europe
Slide 16: weclapp: Performing successfully
WECLAPP: … PERFORMING SUCCESSFULLY! Marburg • Sales growth of over 100 % p.a. Frankfurt Würzburg Kitzingen in the past 3 years Mumbai • Now more than 2,500 corporate customers and more than 12,000 users per day in 35 countries, 7 languages with a focus on Germany • EBITDA sustainably > 20 % 3.000 2.
Slide 17: Goals and growth drivers
GOALS Market leadership International expansion IPO GROWTH DRIVERS CONTINUOUS IMPROVEMENT Ensure profitability, invest in the future Increase pace and developer capacity (internal and external) 17
Slide 18: Selfio: Successful in online trading
Selfio: Successful in online trading thanks to high quality of advice and sales 18
Slide 19: Selfio: Facts and figures
SELFIO: FACTS AND FIGURES • Founded in 2011, Selfio operates an online shop (www.selfio.de) for professional DIY products, including well-known brands such as Buderus, Wilo, Grundfos, Biral, Junkers, Viessmann and Wolf. • Over 120,000 paying customers in FY 2019 • USP: high quality of advice – onlin
Slide 20: Selfio: Future market of online trading
SELFIO: FUTURE MARKET OF ONLINE TRADING Strategy • Expansion of 3U’s online trading activities into a leading, profitable trading platform for sanitary, heating and air conditioning technology (SHAC) by means of internal and external growth • Improvement in profitability Growth rate German online
Slide 21: Selfio goals and growth drivers
Gain market share GOALS Top 100 Online Vendors International expansion Profitability GROWTH DRIVERS CONTINUOUS IMPROVEMENT Logistics optimisation and enhancement Optimisation data usage/algorithms/software 21
Slide 22: Renewable Energies: Wind and solar power
Renewable Energies: Wind and solar power 22
Slide 23: Good earnings and cash flow in the Renewable Energies segment
GOOD EARNINGS AND CASH FLOW IN THE RENEWABLE ENERGIES SEGMENT Successful project manager in the field of renewable energy • Cash flow is generated from income from power generation • 3U Group as buyer and seller of already constructed wind farms • Power generation capacity currently at around 60 M
Slide 24: Summary
3U a HOLDING Summary 24
Slide 25: Research focus artificial intelligence: innovation driver
RESEARCH FOCUS ARTIFICIAL INTELLIGENCE: INNOVATION DRIVER – LINK BETWEEN BUSINESSES Efficient goods and warehouse management B2B PELIA B2C Trading algorithms ITC weclapp Optimisation of online marketing Selfio SHAC DCS ClimaLevel Added value + Unique selling AI propositions Optimum use + of data + R
Slide 26: Enhance our technologies, overcome barriers to growth, develop new potential
ENHANCE OUR TECHNOLOGIES, OVERCOME BARRIERS TO GROWTH, DEVELOP NEW POTENTIAL 2019 was a successful year and 2020 will be even better. We see strong potential for further sales growth and increased earnings in the following years. We create value • thanks to the rapid growth story in cloud comp
Slide 27: Option: IPO of weclapp
3U a HOLDING Option: IPO of weclapp 27
Slide 28: weclapp: The success story continues
WECLAPP: … THE SUCCESS STORY CONTINUES ! Medium and long-term strategy • Accelerated growth, partly by means of increasing focus on bigger customers • Internationalisation of the online marketing strategy, gradual expansion of the online marketing strategy that we have applied very successfully so f
Slide 29: Growth scenario requires and justifies IPO and valuation
GROWTH SCENARIO REQUIRES AND JUSTIFIES IPO AND VALUATION Ambitious Goals Organic revenue growth CAGR 2019 – 2023: approx. 50 % (planning assumptions) Revenue growth M&A: strategic assumptions dependent on financing and opportunities EBITDA-margin: sustainably 20 – 30 % EUR mn 80 0.0 70 60 12.5
Slide 30: weclapp M&A growth from 2019 to 2023
WECLAPP M&A GROWTH FROM 2019 TO 2023 INVESTMENT CRITERIA FOR CLOUD COMPUTING Investment criteria for cloud computing • ERP on-premises software • “Functional fit” as high as possible • Degree of standardisation as high as possible (customisation for each customer as low as possible) • Number of cust
Slide 31: Growth with support from the capital market
GROWTH WITH SUPPORT FROM THE CAPITAL MARKET Option: IPO of weclapp SE in 2020/2021 • In view of weclapp’s excellent international growth prospects, with significant investments required • in internationally effective online and offline marketing • in establishing and expanding internationally positi
Slide 32: Annex
3U a HOLDING 32
Slide 33: Dividend, share price and shareholder structure
DIVIDEND, SHARE PRICE AND SHAREHOLDER STRUCTURE Share price performance (12 months) Shareholder Structure 3.4 % 29.6 % 67.0 65.2 % % 67,0 % Dividend policy: Information on the share • Roughly half of the consolidated net profit shall be Market segment Prime Standard distributed in the form of divide
Slide 34: Financial calendar & contact
FINANCIAL CALENDAR & CONTACT Date Event 13 May 2020 Publication of Quarterly Announcement Q1 2020 20 May 2020 Annual General Meeting of Shareholders 12 August 2020 Publication of Half Year Financial Report H1 2020 2 September 2020 Participation in Equity Forum Fall Conference (Frankfurt) 11 November
Slide 35: Disclaimer
Disclaimer The information in this presentation does not constitute an offer to sell or an invitation to submit an offer to purchase or subscribe for shares of 3U HOLDING AG but rather is intended exclusively for information purposes. German legal framework The information contained in this presenta
Slide 36: Contact: 3U HOLDING AG
Contact: 3U HOLDING AG Joachim Fleïng Head of Investor Relations Frauenbergstraße 31-33 35039 Marburg Tel. +49 6421 / 999 1200 Fax +49 6421 / 999 1222 ir@3u.net www.3u.net 36