Moltiply Group S.p.a. · MIL:MOL
Moltiply — Gruppo MutuiOnline — H1 2022 Earnings Presentation
46 slides from Moltiply's earnings presentation, Sep 9, 2022
Slide 1: First Half 2022 Results
First Half 2022 Results September 9th, 2022
Slide 2: Disclaimer
Disclaimer Certain statements contained herein are statements of future expectations and other forward-looking statements. These expectations are based on management's current views and assumptions and involve known and unknown risks and uncertainties. The user of such information should recognize t
Slide 3: Presenting Today
Presenting Today Marco Pescarmona Alessandro Fracassi Francesco Masciandaro Group Chairman and Head of Broking Division Group CEO and Head of BPO Division Group CFO • Founder and key shareholder (16.05% • Founder and key shareholder • Background in auditing (Arthur indirectly through Alma Ventures S
Slide 4: Agenda
Agenda Business Description 1 Share Information 2 Business Update 3 International Acquisitions 4 Historical Performance 5 4
Slide 5: Business portfolio
Business portfolio Online comparison and intermediation Provision of complex Business Process Broking BPO services operating with a portfolio of Outsourcing services for specific verticals leading brands in the Italian market Division Division within the Italian financial services industry Mortgage
Slide 6: Broking Division – Top brands
Broking Division – Top brands Brand Description Market Position Operations Revenue Model Multi-product aggregator Strong number two Focus on marketing activities, Commission on new policy sales for insurance, personal player in insurance mostly TV and Internet. Relies plus (lower) renewal fees from
Slide 7: BPO Division – Main services
BPO Division – Main services Product Life Cycle DISTRIBUTION UNDERWRITING/CLOSING SERVICING • Commercial activities for online • Income Analysis Mortgage lenders (in lenders’ name) • Technical-Legal Analysis BPO • Centralized packaging • Anti-fraud checks • CRM activities for origination • Notary co
Slide 8: Group structure
Group structure Headcount* 2,329 FTE Group structure as of June 30th, 2022 * 2021 average 8
Slide 9: Broking Division structure
Broking Division structure Group structure as of June 30th, 2022 9
Slide 10: BPO Division structure
BPO Division structure Group structure as of June 30th, 2022 10
Slide 11: Major milestones
Major milestones START-UP GROWTH RESTRUCTURING NEW GROWTH Revenues (€m) 313.5 259.4 Collapse of 219.9 Italian mortgage 185.1 market 152.8 138.1 120.7 71.8 68.3 46.4 47.9 53.4 51.0 37.7 38.5 13.2 21.8 0.1 1.0 2.7 4.5 7.8 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Slide 12: Agenda
Agenda Business Description 1 Share Information 2 Business Update 3 International Acquisitions 4 Historical Performance 5 12
Slide 13: Transparency and governance standards
Transparency and governance standards Gruppo MutuiOnline is listed since IPO (June 6, 2007) in the STAR Segment of Borsa Italiana’s equity market dedicated to mid-size companies with a capitalization less than Euro 1 billion, which voluntarily adhere and comply with a number of strict requirements i
Slide 14: Shareholding Structure
Shareholding Structure Shareholding structure as of September 8th, 2022* Treasury shares 5.86% Alma Ventures** 32.10% Free Float 40.23% 21.81% Investmentaktiengesellschaft für langfristige Investoren TGV * Share ownership as registered in last Shareholders’ meetings and as communicated to the compan
Slide 15: Share Performance since IPO
Share Performance since IPO 3,000 85.0 80.0 KEY STOCK DATA as of Sept. 8th, 2022 2,750 75.0 2,500 Number of Shares 40,000,000 70.0 Treasury Shares 2,342,374 65.0 2,250 Outstanding Shares 37,657,626 60.0 Price per Share € 24.26 2,000 Market Capitalisation € 913.6 M 55.0 1,750 50.0 Since November 2018
Slide 16: Agenda
Agenda Business Description 1 Share Information 2 Business Update 3 International Acquisitions 4 Historical Performance 5 16
Slide 17: H1 highlights
H1 highlights Broking Division BPO Division Revenues EBIT (€m) (€m) 180 158.8 157.0 60 Y-o-Y -1.1% 120 41% 43% 40 Y-o-Y 36.4 31.6 +15.0% 59% 60 20 64% 59% 57% 36% 41% 0 0 H1 2021 H1 2022 H1 2021 H1 2022 EBIT margin 19.9% 23.2% EBITDA Net Income (€m) (€m) 60 60 44.6 Y-o-Y 46.3 +3.6% 40 40 52% 55% Y-o
Slide 18: Evolution of the Italian residential mortgage market
Evolution of the Italian residential mortgage market • In Q2 and in July 2022, in a Y-o-Y comparison, the contraction of the residential mortgage market already observable in previous quarters became more pronounced, as a result of the sharp contraction of remortgage volumes and the lack of growth o
Slide 19: Broking Division – Key Financials
Broking Division – Key Financials EBITDA Revenues (€m) (€m) 30 25.3 23.1 Y-o-Y 100 +9.3% 20 80 10 65.3 Y-o-Y 67.2 +2.9% 0 60 H1 2021 H1 2022 EBITDA margin 35.4% 37.6% 40 EBIT (€m) 20 30 20.2 Y-o-Y 21.6 0 20 +6.8% H1 2021 H1 2022 10 0 H1 2021 H1 2022 EBIT margin 30.9% 32.1% 19
Slide 20: Broking Division – Performance and outlook
Broking Division – Performance and outlook • The Broking Division managed in H1 2022 to cope with an unfavorable mortgage market development with solid growth in all other business lines. Q3 2022 may however be the most difficult of the financial year in a Y-o-Y comparison, as the comparison is affe
Slide 21: BPO Division – Key Financials
BPO Division – Key Financials EBITDA Revenues (€m) (€m) 30 21.5 Y-o-Y 21.0 100 93.5 -2.5% Y-o-Y 89.8 20 -3.9% 80 10 0 60 H1 2021 H1 2022 EBITDA margin 23.0% 23.4% 40 EBIT (€m) 20 30 20 0 Y-o-Y 14.8 H1 2021 H1 2022 11.4 +29.6% 10 0 H1 2021 H1 2022 EBIT margin 12.2% 16.5% 21
Slide 22: BPO Division – Performance and outlook 1/2
BPO Division – Performance and outlook 1/2 • In H1 2022, compared to H1 2021, the BPO Division shows a small decrease in revenues and a slight increase in percentage margin at the EBITDA level. This decrease in turnover is due to the collapse in para-notary services related to remortgages, substanti
Slide 23: BPO Division – Performance and outlook 2/2
BPO Division – Performance and outlook 2/2 • The Loans BPO business line shows results in line with management’s expectations and substantially stable compared to the past two years, thanks to an increasingly complete and diversified offering of both origination and servicing services in both the re
Slide 24: Agenda
Agenda Business Description 1 Share Information 2 Business Update 3 International Acquisitions 4 Historical Performance 5 24
Slide 25: Online insurance broker with comparison model, focused on motor insurance
Key 2021 figures Revenues: €32,4M EBITDA: €4M Headcount: 154 FTE • Online insurance broker with comparison model, focused on motor Description insurance. Increasingly operating as marketplace for non-insurance products, such as mortgages, energy, telco, etc. • Undisputed #1 online comparison & inter
Slide 26: Online insurance aggregator and intermediary for motor insurance
Key 2021 figures Revenues: €25M EBITDA: €2.5M Headcount: 50 FTE • Online insurance aggregator and intermediary for motor insurance, health Description insurance, and other insurance products, as well as energy and other smaller verticals • Category builder in France since 2010 with leading position
Slide 27: Stages of aggregator development
Stages of aggregator development GWP (€m) Italy France Spain 1200 1000 800 600 400 200 0 2010 2021 2010 2021 2010 2021 Motor market size €2.1bn €2.7bn €2.5n Direct % 12% 11% 23% PCW % of direct 52% 16% 23% Source: McKinsey study on European Fintech, insurance and the impact of aggregators. 27
Slide 28: Agenda
Agenda Business Description 1 Share Information 2 Business Update 3 International Acquisitions 4 Historical Performance 5 28
Slide 29: Revenue trends by Division
Revenue trends by Division Group Revenues (€m) Collapse of the Italian Mortgage Market 350 313.5 300 259.4 250 43% 58% 219.9 200 185.1 43% 40% 39% 152.8 150 61% 138.1 43% 45% 120.7 44% 100 44% 71.8 47% 57% 68.3 53.4 57% 46.4 47.9 51.0 61% 50 37.7 58% 38.5 37% 57% 66% 61% 40% 56% 56% 21.8 60% 45% 53%
Slide 30: Revenue Breakdown by Business Line
Revenue Breakdown by Business Line 180 Broking Division Revenues (€m) 150 134.2 1% 8% 120 Other Revenues 111.1 Telco & Energy Comparison* 4% 26% E-Commerce Price Comparison 86.8 Insurance Broking 90 31% 79.1 3% Consumer Loan Broking 61% 45% 3% 18% Mortgage Broking 67.2 27% 61.0 24% 3% 60 57.2 18% 3%
Slide 31: Revenue Breakdown by Business Line
Revenue Breakdown by Business Line BPO Division Revenues 179.2 180 1% (€m) 20% 148.3 150 Other revenues 133.1 6% BPO Leasing/Rental 22% Investment Services BPO 120 Insurance BPO 24% 17% 106.0 6% Loans BPO 5% Real Estate Services BPO* 21% 7% 90 85.6 4% Mortgage BPO 17% 14% 61% 77.1 10% 8% 45% 8% 17%
Slide 32: EBITDA by Division
EBITDA by Division EBITDA EBITDA margin (€m) (%) 150 50% 40.5% 120 40% 37.8% 35.0% 92.6 30% 90 29.1% 76.6 29.5% 29.5% 64.0 25.3% 55% 20% 23.3% 60 21.3% 59% 47% 10% 30 53% 45% 41% 0% 0 2019 2020 2021 2019 2020 2021 BPO Division Broking Division Broking Division BPO Division Group 32
Slide 33: Operating Income by Division
Operating Income by Division EBIT (€m)80 Collapse of the 69.0 Italian Mortgage 63.1 Market 60 + 50.8 46.1 Launch of 39.7 64% 40 Segugio.it 35.2 66% 30.9 32.0 52% 51% 21.9 21.5 22.0 46% 17.6 47% 20 14.5 57% 77% 8.5 78% 84% 5.6 36% 48% 36% 77% 93% 3.6 53% 54% 49% 34% 67% 32% 64% 43% 0 33% 23% 22% 7% 1
Slide 34: Net Income
Net Income Net income (€m) 150 130.7* 120 Tax benefit from the 90 revaluations 85.1 60 47.5** 40.6 34.4 23.5 24.8 27.5 Recalculation of 14.8 14.4 15.3 20.9 30 29.7 DTA due to 9.7 9.9 45.6 regulatory changes 5.2 3.6 3.8 17.8 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 35: Dividend Payout
Dividend Payout Earnings per share, consolidated (€) 4.00 3.42* 3.50 3.00 Tax benefit 2.50 from the revaluations 2.23 2.00 1.50 1.14** 1.07 0.89 1.00 0.59 0.69 Recalculation of 0.56 0.58 0.71 DTA due to 0.38 0.38 0.41 1.19 0.50 0.25 0.24 regulatory changes 0.09 0.09 0.43 0.00 2007 2008 2009 2010 201
Slide 36: Appendix
beh Appendix
Slide 37: H1 Profit & Loss
H1 Profit & Loss (€000) H1 2022 H1 2021 % Var. Rev enues 156,990 158,789 -1.1% Other income 3,479 2,407 44.5% Capitalization of internal costs 2,742 2,134 28.5% Serv ice costs (63,187) (69,014) -8.4% Personnel costs (48,318) (44,950) 7.5% Other operating costs (5,442) (4,726) 15.2% Depreciation and
Slide 38: Quarterly Profit & Loss
Quarterly Profit & Loss (€000) Q2 2022 Q1 2022 Q4 2021 Q3 2021 Q2 2021 Revenues 79,125 77,865 83,231 71,444 80,559 Other income 2,062 1,417 1,704 971 1,413 Capitalization of internal costs 1,589 1,153 1,915 804 1,181 Services costs (30,782) (32,405) (34,087) (27,534) (34,526) Personnel costs (24,542
Slide 39: Q2 Profit & Loss
Q2 Profit & Loss (€000) Q2 2022 Q2 2021 % Var. Rev enues 79,125 80,559 -1.8% Other income 2,062 1,413 45.9% Capitalization of internal costs 1,589 1,181 34.5% Serv ice costs (30,782) (34,526) -10.8% Personnel costs (24,542) (23,383) 5.0% Other operating costs (2,539) (2,589) -1.9% Depreciation and a
Slide 40: Q2 highlights
Q2 highlights Broking Division BPO Division Revenues EBIT (€m) (€m) 100 30 80.6 Y-o-Y 79.1 80 -1.8% 19.9 20 Y-o-Y 60 42% 42% 15.6 +27.3% 56% 40 10 61% 20 58% 58% 39% 44% 0 0 Q2 2021 Q2 2022 Q2 2021 Q2 2022 EBIT margin 19.4% 25.1% EBITDA Net Income (€m) (€m) 30 30 Y-o-Y 24.9 22.7 +10.0% 20 20 16.2 48
Slide 41: Q2 Broking Division – Key Financials
Q2 Broking Division – Key Financials EBITDA Revenues (€m) (€m) 20 Y-o-Y 13.0 10.9 +19.1% 10 40 33.5 Y-o-Y 33.0 -1.6% 0 Q2 2021 Q2 2022 EBITDA margin 32.5% 39.3% 20 EBIT (€m) 20 0 11.0 9.6 Y-o-Y Q2 2021 Q2 2022 10 +15.5% 0 Q2 2021 Q2 2022 EBIT margin 28.6% 33.5% 41
Slide 42: Q2 BPO Division – Key Financials
Q2 BPO Division – Key Financials EBITDA Revenues (€m) (€m) 20 47.1 Y-o-Y 46.2 11.8 Y-o-Y 12.0 -1.9% +1.5% 10 40 0 Q2 2021 Q2 2022 EBITDA margin 25.0% 25.9% 20 EBIT (€m) 20 0 Q2 2021 Q2 2022 10 8.8 Y-o-Y 6.1 +46.0% 0 Q2 2021 Q2 2022 EBIT margin 12.9% 19.1% 42
Slide 43: Balance Sheet – Asset Side
Balance Sheet – Asset Side As of June 30, December 31, (€000) Change % 2022 2021 ASSETS I ntangible assets 217,781 202,758 15,023 7.4% Property, plant and equipment 25,851 24,669 1,182 4.8% Participation measured w ith equity method 1,125 1,058 67 6.3% Financial assets at fair v alue 76,391 40,410 3
Slide 44: Balance Sheet – Liability Side
Balance Sheet – Liability Side As of June 30, December 31, (€000) Change % 2022 2021 LIABILITIES AND SHAREHOLDERS' EQUITY Total equity attributable to the shareholders of the I ssuer 247,421 264,399 (16,978) -6.4% Minority interest 1,741 4,671 (2,930) -62.7% Total shareholders' equity 249,162 269,07
Slide 45: Net Financial Position
Net Financial Position As of June 30, December 31, (€000) Change % 2022 2021 A. Cash and current bank accounts 86,587 165,857 (79,270) -47.8% B. Cash equiv alents - - - N/A C. Other current financial assets 1,843 1,510 333 22.1% D. Liquidity (A) + (B) + (C) 88,430 167,367 (78,937) -47.2% E. Current
Slide 46: Declaration of the manager responsible for preparing the Company’s financial reports
Declaration of the manager responsible for preparing the Company’s financial reports Declaration Pursuant to Art. 154/bis, Paragraph 2 – Part IV, Title III, Chapter II, Section V-bis, of Italian Legislative Decree No. 58 of 24 February 1998: “Consolidation Act on Financial Brokerage Pursuant to Arti