Sesa S.p.a. · MIL:SES
Sesa — Investor Presentation (July 2021)
27 slides from Sesa's investor presentation, Jul 12, 2021
Slide 1: Corporate Presentation
Corporate Presentation ANNUAL RESULTS AS OF APRIL 30, 2021 Board of Directors – July 12, 2021
Slide 2: Business model evolution and strategic achievements
Alessandro Fabbroni - Chief Executive Officer Conxi Palmero - Investor Relation Manager Business model evolution and strategic achievements Group Results and achievements as of April 30, 2021 and FY 2022E Market trend and long term sustainable growth Group Structure and Business Sectors VAD, SSI, BS
Slide 3: Business Model evolution and Strategic Achievements
Business Model evolution and Strategic Achievements • FY 2021 Eu 2.037 Bn consolidated revenues and Eu 126 Mn EBITDA +33.4% Y/Y (EBITDA margin 6.2% vs 5.3% Y/Y) Organic growth embracing • Long-term continuous growth CAGR 2011-21: Revenues +10.6%, EBITDA +13.9%, EAT Adj +17.5%, HR +15.6% new digital
Slide 4: Organic growth embracing new digital trends
Organic growth embracing new digital trends Human resources development as strategic driver of Digital Enabler of Italian enterprises Group sustainable long-term growth Focus on main digital innovation trends: Collaboration, Cloud, Security, Data Science, A.I. 75% of historical growth is organic a
Slide 5: High Skills on Digital Transformation trends in different geographies
High Skills on Digital Transformation trends in different geographies Italy 3,215 France, Switzerland and Austria 15 dgt engineering, managed svcs Germany 70 digital engineering China 40 digital marketing 1,250 400 400 300 Spain 20 digital engineering Romania 140 software dvps Digital Engineering
Slide 6: M&A as acceleration driver of organic growth
M&A as acceleration driver of organic growth Calendar Year 2015 - 2017 Calendar Year 2018 - 2019 Calendar Year 2020 Calendar Year 2021 FY April 30, 2022E1 Value Revenues Added Revenues Eu 18 Mn Revenues Eu 50 Mn Revenues Eu 20 Mn Revenues Eu 6 Mn Revenues Eu 6 Mn Revenues Eu 30 Mn Eu 175 Mn Distribu
Slide 7: Long term growth and commitment of key people, attention to market
Long term growth and commitment of key people, attention to market Long term commitment of key people Long term track record Long term stock performance Long term commitment of key people as executive partners REVENUES FY 21 CAGR 11-21 +10.6% • STOCK PERFORMANCE SINCE IPO: +1,236%1 of Sesa Group thr
Slide 8: Group Results and achievements and FY 2022E
Alessandro Fabbroni - Chief Executive Officer Conxi Palmero - Investor Relation Manager Business model evolution and strategic achievements Group Results and achievements as of April 30, 2021 and FY 2022E Market trend and long term sustainable growth Group Structure and Business Sectors VAD, SSI, BS
Slide 9: FY 2021 Group Financial Results: growing profitability and cash flow generation
FY 2021 Group Financial Results: growing profitability and cash flow generation Revenues Ebitda Group EAT Adj1 NFP Eu 2,037.2 Mn Eu 126.0 Mn Eu 57.8 Mn Eu 94.7 Mn (net cash) FY 2021 (+14.7% Y/Y) (+33.4% Y/Y) (+40.5% Y/Y) vs (May 20 - Apr 21) Ebitda Margin Group EAT Adj margin Eu 54.7 Mn (net cash) 6
Slide 10: Outlook FY 2022-23 and long term track record
Outlook FY 2022-23 and long term track record Revenues Ebitda Group EAT Adj1 NFP Eu 2,264.8 Mn Eu 150.3 Mn Eu 71.6 Mn Eu 110.1 Mn (net cash) FY 2022E (+11.2% Y/Y) (+19.3% Y/Y) (+23.8% Y/Y) vs (Analysts’ consensus) Ebitda Margin Group EAT Adj margin Eu 94.7 Mn (net cash) 6.6% (vs 6.2% FY 21) 3.2% (vs
Slide 11: EBITDA and EAT margin improvement by segment (FY 2018-22E)
EBITDA and EAT margin improvement by segment (FY 2018-22E) Group Revenues Eu Mn (*) EBITDA Eu Mn EAT Adjusted Eu Mn (**) Revenues by Segment (*) 1.1% 3.2% +11.2% Y/Y +19.3% Y/Y +23.7% Y/Y 19.8% 22.4% 2,265 (E) +33.4% Y/Y 150.3 (E) +40.5% Y/Y +14.7% Y/Y 6.6% 71.6 (E) Apr 30 Apr 30 2,037 2018 2021 126
Slide 12: Cash Flow generation and NWC management - FY 2014 – 2021 by Quarter
Cash Flow generation and NWC management - FY 2014 – 2021 by Quarter Higher Efficiency in NWC management NWC improvement 17.3% NWC/Revenues -0.1% in Q421 vs 3.1% in Q420 15.7% 14.6% 13.3% 13.3% 12.8% 12.0% 12.7% 12.6% 11.7% 11.6% 10.9% 10.7% 11.1% 11.2% 10.5% 10.2% 10.0% 10.3% 9.4% 9.4% 9.2% NWC/Reve
Slide 13: Market trend and long term sustainable growth
Alessandro Fabbroni - Chief Executive Officer Conxi Palmero - Investor Relation Manager Business model evolution and strategic achievements Group Results and achievements as of April 30, 2021 and FY 2022E Market trend and long term sustainable growth Group Structure and Business Sectors VAD, SSI, BS
Slide 14: IT Market Trends
IT Market Trends $ Trillion Worldwide IT market +6.4% 5.8 7 +5.9% 5.5 Y/Y +5.4% -0.3% +5.4% 5.2 Y/Y 4.9 4.9 • 6 4.7 Y/Y Flat technology spending in 2020 due to Covid19 (-0.3% Y/Y), kept afloat by growth in Y/Y Y/Y 5 +15.4 1.2 +14.5 1.4 New Technologies (+16.% Y/Y) 0.7 +17.2 % Y/Y 0.8 +16.3 % Y/Y 0.9
Slide 15: Sesa Group and Sustainability Programs
Sesa Group and Sustainability Programs SUSTAINABILITY GOVERNANCE ACHIEVEMENTS ENVIRONMENTAL RESPONSIBILITY - Mission to create sustainable value for all stakeholders - Efficiency programs to reduce natural resources consumption - Integration of sustainability in corporate bylaws in January 2021 - Re
Slide 16: Sustainable long term growth FY 2011 - 2022E
Sustainable long term growth FY 2011 - 2022E 2,265 (E) 150.3 (E) 113.5 (E) Sales and other Revenues (Eu Mn) 126.0 91.8 2,037 1,776 94.5 +19% 68.5 EBIT Adjusted1 (Eu Mn) +11% +33.4% Y/Y +24% 1,551 +14.7% Y/Y Y/Y Y/Y 55.7 +34.1% EBITDA (Eu Mn) 1,363 Y/Y 74.3 Y/Y 1,230 1,271 63.1 44.9 46.3 48.8 1,060 5
Slide 17: Group Structure and Business Sectors VAD, SSI, BS
Alessandro Fabbroni - Chief Executive Officer Conxi Palmero - Investor Relation Manager Business model evolution and strategic achievements Group Results and achievements as of April 30, 2021 and FY 2022E Market trend and long term sustainable growth Group Structure and Business Sectors VAD, SSI, BS
Slide 18: Group Structure and Market Position
Group Structure and Market Position SeSa Group is a leading Italian digital Consolidated revenues over Eu 2 Bn and services and solutions provider 3,500 employees1 Key player driving digital transformation to the Italian economy Technology, digital services and business applications embracing new
Slide 19: Leadership in Italian VAD market
Leadership in Italian VAD market 1,600 Mn revenues, Ebitda margin 4% and 420 employees1 VAD Italian market Revenues breakdown share2 FY 2021 Customer base of over 15,000 BPs (Software Houses, System Integrators, MSP, CSP) and full coverage of Cloud & Device & the Italian territory (15 B2B branches
Slide 20: Digital and Innovation Partner for Enterprises and SMEs
Digital and Innovation Partner for Enterprises and SMEs 480 Mn revenues, Ebitda margin 11.5% and 2,500 employees1 Revenues breakdown FY 2021 Customer base of around 12,000 Enterprises as SMEs of which 2,000 abroad. Data Science 2% Customer Experience 3% Offering of digital solutions with dedicated
Slide 21: Business Services
Business Services 47 Mn revenues, Ebitda margin 6.2% and 410 employees1 Revenues breakdown FY 2021 70 Mn revenues, Ebitda margin 10% in FY2022E Digital Platform New Sesa Sector since March 2020 13% Business Business Services, Process Outsourcing, Security Services, Digital Transformation for F
Slide 22: Annexes Financial Statements
Alessandro Fabbroni - Chief Executive Officer Conxi Palmero - Investor Relation Manager Business model evolution and strategic achievements Group Results and achievements as of April 30, 2021 and FY 2022E Market trend and long term sustainable growth Group Structure and Business Sectors VAD, SSI, BS
Slide 23: Group Q4 Results by segment
Group Q4 Results as of April 30, 2021 by segment 3-Months as of April 30, 2021 (Q4) Y/Y Highlights Segment Informations 3M period as of April 30, 2021 (Q4) 3M period as of April 30, 2020 (Q4) Q4 2021 results (February 2021 – April 2021) 1 In Euro Mn VAD SSI BS Corporate Group VAD SSI BS Corporate Gr
Slide 24: Group Annual Results by segment
Group Annual Results as of April 30, 2021 by segment Annual Results as of April 30, 2021 Y/Y Highlights Segment Informations Annual Results as of April 30, 2021 Annual Results as of April 30, 2020 Annual results as of April 30, 2021 1 In Euro Mn VAD SSI BS Corporate Group VAD SSI BS Corporate Group
Slide 25: Income Statement as reported
Income Statement as of April 30, 2021 as reported Change Consolidated reclassified Income Statement (Euro/thousand) April 30, 2019 % April 30, 2020 % April 30, 2021 % 2021/20 Revenues 1,539,854 1,762,641 2,022,454 14.7% Other income 10,751 13,384 14,769 10.3% Total Revenues and Other Income 1,550,60
Slide 26: Balance Sheet as reported
Balance Sheet as of April 30, 2021 as reported Change Consolidated Reclassified Balance Sheet (Euro/thousand) April 30, 2019 April 30, 2020 April 30, 2021 2021/20 Intangible assets 54,001 74,273 142,826 68,553 Property, plant and equipment 57,771 83,958 99,942 15,984 Investments valued at equity 10,
Slide 27: Disclaimer
Disclaimer This document has been prepared by Sesa SpA (“SeSa” or the “Company”) or by its subsidiaries (hereinafter “SeSa Group”) solely for this presentation and does not represent any investment research, recommendation, consulting or suggestion, concerning the Company or its shares or any other