Moltiply Group S.p.a. · MIL:MOL
Moltiply — Gruppo MutuiOnline — FY2017 Earnings Presentation
37 slides from Moltiply's earnings presentation, Mar 14, 2018
Slide 1: Full Year 2017 Results
Full Year 2017 Results 14th March 2018
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 • Founder and key shareholder (16.25% • Founder and key shareholder • Background in auditing (Arthur indirectly through Alma Ventures SA) (16.25%
Slide 4: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 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 Launched in September Focus on marketing activities, Commission on new policy sales aggregator for 2012, is number two player in mostly TV and Internet. With the plus (lower) renewal fees from insu
Slide 7: BPO Division – Main services
BPO Division – Main services Product Life Cycle DISTRIBUTION UNDERWRITING/CLOSING SERVICING • Commercial activities for online • Income Analysis • Current Account Servicing Mortgage lenders (in lenders’ name) • Technical-Legal Analysis • Collections BPO • Centralized packaging • Anti-fraud checks •
Slide 8: Group structure
Group structure Headcount* 1,473 FTE Gruppo MutuiOnline S.p.A. PP&E S.r.l. 100% Real Estate renting and support services Centro Centro MutuiOnline S.p.A. PrestitiOnline S.p.A 100% 100% Finanziamenti S.p.A. 100% 100% Istruttorie S.p.A. CercAssicurazioni.it S.r.l. Segugio.it S.r.l. CESAM S.r.l. Quinse
Slide 9: Major milestones
Major milestones START-UP GROWTH RESTRUCTURING NEW GROWTH € 152,8M € 138,1M € 120,7M € 71,8M € 68,3M € 46,4M € 47,9M € 53,4M € 51,0M € 37,7M € 38,5M € 21,8M € 2,7M € 4,5M € 7,8M € 13,2M € 0,1M € 1,0M 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 BPO Divisi
Slide 10: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 10
Slide 11: 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 12: Shareholding Structure
Shareholding Structure Shareholding structure as of March 12th, 2018* Treasury shares 4,93% Alma Ventures** 32,50% Free Float 32,97% 9,40% 20,20% Investmentaktiengesellschaft für Frankfurter langfristige Investoren TGV Aktienfonds für Stiftungen * Share ownership as communicated to the company by re
Slide 13: Share Performance since IPO
Share Performance since IPO KEY STOCK DATA as of Mar 12th, 2018 Number of Shares 40,000,000 Treasury Shares 1,970,433 Outstanding Shares 38,029,567 Price per Share € 13.60 Market Capitalisation € 517.2 M Since April 2017, MOL is included in the Italian FTSE Italia MID-CAP Index 13
Slide 14: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 14
Slide 15: Full-year highlights
Full-year highlights EBIT Revenues (€m) (€m) 50 40 Y-o-Y 160 Y-o-Y +12.8% +10.7% 30 39,7 152,8 35,2 140 20 138,1 120 10 0 100 2016 2017 80 EBIT margin 25.5% 26.0% 60 Net Income 40 (€m) 30 Y-o-Y 20 +9.7% 27,2 20 24,8 0 2016 2017 10 0 2016 2017 NI margin 18.0% 17.8% 15
Slide 16: Performance by Division
Performance by Division EBIT Revenues (€m) (€m) 50 Y-o-Y 39,7 160 152,8 40 35,2 Y-o-Y +12.8% Y-o-Y 138,1 +10.7% 30 18,4 +12.3% 140 16,4 20 Y-o-Y Y-o-Y 120 67,2 +10.3% 10 18,8 21,3 +13.2% 61,0 0 100 2016 2017 80 Broking Division BPO Division 60 Y-o-Y 40 77,1 85,6 +11.0% 20 EBIT margin (percent of rev
Slide 17: Evolution of the Italian residential mortgage market
Evolution of the Italian residential mortgage market • Year 2017 was characterized by a recovery of the market for purchase mortgages, which progressively lost strength, until it turned into a contraction at the end of the year. As expected, remortgaging activity was significantly down year on year.
Slide 18: Broking Division – Business outlook 1/3
Broking Division – Business outlook 1/3 • In financial year 2017, the Broking Division has recorded an overall growth, for a combination of the following factors: o the significant growth of Mortgage Broking in terms of revenues and margins; o the slight growth of Personal Loan Broking revenues, wit
Slide 19: Broking Division – Business outlook 2/3
Broking Division – Business outlook 2/3 • Consumer Loan Broking revenues are slightly up in Consumer Loan Broking Revenues Consumer 35 (€m) Loan 2017 compared to 2016, coherently with market 30 trends, despite a significant increase of online Broking marketing expenses, whose returns are diminishing
Slide 20: Broking Division – Business outlook 3/3
Broking Division – Business outlook 3/3 • The results of E-Commerce Price Comparison suffers in 35 E-Commerce Price Comparison Revenues E-Commerce (€m) Price 2017 of a non-negligible drop of organic traffic of the 30 Comparison www.trovaprezzi.it website. The year on year drop of 25 21,8 revenues of
Slide 21: BPO Division – Business outlook 1/3
BPO Division – Business outlook 1/3 • 2017 was again a positive year for the BPO Division. Revenues, for the fifth year in a row, show double-digit growth, while operating margins remain in line with stated long term objectives. • All the business lines have contributed to this positive result, but,
Slide 22: BPO Division – Business outlook 2/3
BPO Division – Business outlook 2/3 35 CQ Loan BPO Revenues • Revenues are up in 2017, compared to 2016. We CQ Loan (€m) continue to focus on improving margins thanks to 30 BPO operational excellence initiatives. 25 20 16,5 17,0 • For financial year 2018, revenues will develop as in 15 2017. Discont
Slide 23: BPO Division – Business outlook 3/3
BPO Division – Business outlook 3/3 Asset • Asset Management BPO delivered a performance in 35 Asset Management BPO Revenues line with expectations. Revenues that, in 2016, were (€m) Management 30 BPO linked to a one-off project, with our main client, have been replaced in 2017 by ordinary business
Slide 24: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 24
Slide 25: Revenue trends by Division
Revenue trends by Division Group Revenues (€m) Collapse of the Italian Mortgage Market 160 152,8 138,1 140 120,7 120 44% 58% 44% 100 47% 40% 80 71,8 68,3 61% 45% 60 53,4 51,0 46,4 47,9 37% 58% 37,7 38,5 56% 40 40% 56% 66% 61% 60% 45% 53% 21,8 60% 20 63% 58% 42% 60% 40% 40% 34% 39% 55% 42% 0 2006A 20
Slide 26: Revenue Breakdown by Business Line
Revenue Breakdown by Business Line Broking Division Revenues (€m) 90 80 Other Activities 70 67,2 61,0 3% 57,2 E-Commerce Price Comparison 60 3% 2% 30% 50 Insurance Broking 41,9 28% 36% 40 6% 19% Consumer Loan Broking 31,7 32,2 17% 27,8 25% 25,1 18% 30 22,7 11% 32% 33% 20,5 12% Mortgage Broking 31% 1
Slide 27: Operating Income by Division
Operating Income by Division EBIT (€m) 40 39,7 Collapse of the 35,2 Italian Mortgage 32,0 30,9 Market 30 46% + 47% 21,9 21,5 22,0 Launch of 57% 20 17,6 Segugio.it 77% 14,5 78% 84% 36% 10 8,5 77% 93% 54% 5,6 53% 67% 3,6 43% 23% 80% 32% 64% 33% 23% 22% 7% 16% 20% 68% 0 2006A 2007A (a) 2008A 2009A 2010
Slide 28: Net Income
Net Income Net income (€m) 30 27,2 24,8 25 23,5 20,9 20 14,8 14,4 15,3 15 9,7 9,9 10 5,2 5 3,6 3,8 0 2006A 2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015A 2016A 2017A Net income margin (%) 40% 31,9% 30,1% 28,7% 29,1% 30% 25,7% 23,9% 19,5% 18,0% 20% 17,8% 14,5% 9,4% 10% 7,5% 0% 2006A 2007A 2008
Slide 29: Dividend Payout
Dividend Payout Earnings per share, consolidated Dividends per outstanding share (€) (€) 0,80 0,45 0,70 0,68 0,40 0,36 0,37 0,59 0,58 0,35 0,60 0,56 0.30 0,30* 0,30 0,50 0,41 0,25 0,40 0,38 0,38 0,21 0,20 0,30 0,25 0.15 0,24 0,15 0,12 0,12 0,12 0,12 0,20 0,09 0,10 0,09 0,09 0,10 0,05 0,00 0,00 2007
Slide 30: Appendix
teh Appendix
Slide 31: Quarterly Profit & Loss
Quarterly Profit & Loss (€000) Q4 2017 Q3 2017 Q2 2017 Q1 2017 Q4 2016 Rev enues 40,673 33,457 40,131 38,534 39,524 Other income 1,074 667 657 528 559 Capitalization of internal costs 250 186 314 199 402 Serv ice costs (13,851) (12,537) (14,800) (13,979) (14,053) Personnel costs (13,846) (10,866) (1
Slide 32: Q4 Profit & Loss
Q4 Profit & Loss (€000) Q4 2017 Q4 2016 % Var. Rev enues 40,673 39,524 2.9% Other income 1,074 559 92.1% Capitalization of internal costs 250 402 -37.8% Serv ice costs (13,851) (14,053) -1.4% Personnel costs (13,846) (12,407) 11.6% Other operating costs (1,253) (890) 40.8% Depreciation and amortizat
Slide 33: Full Year Profit & Loss
Full Year Profit & Loss (€000) FY 2017 FY 2016 % Var. Rev enues 152,795 138,069 10.7% Other income 2,926 2,339 25.1% Capitalization of internal costs 949 939 1.1% Serv ice costs (55,167) (50,702) 8.8% Personnel costs (49,808) (43,829) 13.6% Other operating costs (4,874) (4,295) 13.5% Depreciation an
Slide 34: Balance Sheet – Asset Side
Balance Sheet – Asset Side As of December 31, December 31, (€000) Change % 2017 2016 ASSETS I ntangible assets 49,611 53,874 (4,263) -7.9% Property, plant and equipment 14,683 13,412 1,271 9.5% Associates measured w ith equity method 1,986 1,224 762 62.3% Deferred tax assets 1,534 1,402 132 9.4% Oth
Slide 35: Balance Sheet – Liability Side
Balance Sheet – Liability Side As of December 31, December 31, (€000) Change % 2017 2016 LIABILITIES AND SHAREHOLDERS' EQUITY Total equity attributable to the shareholders of the I ssuer 79,813 66,734 13,079 19.6% Minority interests 8,268 7,874 394 5.0% Total shareholders' equity 88,081 74,608 13,47
Slide 36: Net Financial Position
Net Financial Position As of December 31, December 31, (€000) Change % 2017 2016 A. Cash and cash equiv alents 76,569 42,231 34,338 81.3% B. Other cash equiv alents - - - N/A C. Financial assets held to maturity or for trading 920 677 243 35.9% D. Liquidity (A) + (B) + (C) 77,489 42,908 34,581 80.6%
Slide 37: 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