Racing Force Spa · MIL:RFG
Racing Force Spa — FY2021 Earnings Presentation
21 slides from Racing Force Spa's earnings presentation, Mar 30, 2022
Slide 1: Management Call
Management Call March 30, 2022
Slide 2: Notice to Recipient - Strictly Confidential
N O T I C E TO R E C I P I E N T - S T R I C T L Y C O N F I D E N T I A L The information contained in this documentation has been prepared by Racing Force S.p.A. (the “Company”) and its consolidated subsidiaries (together, the "Group") for the sole purpose of the presentation made to you concernin
Slide 3: Agenda
AGENDA UPDATE ON 2 0 2 1 FINANCIALS CURRENT TRADING STRATEGY 3
Slide 4: Economic and Financial Data 2021
2021 ECONOMIC AND FINANCIAL DATA
Slide 5: 2021 at a Glance
2 0 2 1 AT A G L A N C E SALES A DJ. EBITDA 1 A DJ. N ET I NCOME1 €46.7m €9.0m €4.9m +38.4% vs 2020 +19.2% EBITDA Margin +10.6% NI Margin +14.2% 2014-2021 CAGR +67.0% vs 2020 +242.9% vs 2020 A DJ. C ASH F LOW1 N ET D EBT PROPOSED D IVIDEND €5.5m ~€1.0m €1.7m +61.5% Cash Conversion 0.1x Leverage €0.0
Slide 6: A Long Term Double-Digit Growth History
A LONG TERM DOUBLE-DIGIT GROWTH HISTORY SALES Acquisition Consolidated turnover (€ M) EBITDA Margin (%) of 52% decrease in FIA # Racing events and 19.2% 46.7 11.4% 2019 Pro-Forma 15.9% Revenues 36.6 33.7 2019 Consolidated Revenues PF 25.7 18.4 2014 2015 2016 2017 2018 2019PF1 2020 2021 1. 2019FY is
Slide 7: Consolidated P&L
CONSOLIDATED P&L REVENUES (€M) AND YOY GROWTH (%) FY2021 REVENUES BREAKDOWN AND GROWTH 2021-2020 GEOGRAPHIES 2019-2021 CAGR 12% EMEA AMER APAC +12.9% 24% +37% + 33% + 56% 64% -7.8% +38.4% 46.7 SEGMENTS 3% DRIVER’S CAR 36.6 26% OTHER EQUIPMENT PARTS 33.7 +53% + 13% + 11% 71% CHANNELS 10% TEAM / DEALE
Slide 8: Consolidated P&L (cont'd)
C O NS O L I DATE D P&L (CONT’ D) ADJ. EBITDA1 (€M) AND MARGIN (%) ADJ. NET INCOME1 (€M) AND MARGIN (%) 11.4% 15.9% 19.2% 6.6% 4.3% 10.6% 9.0 4.9 5.4 4.2 2.4 1.4 2 2 2019PF 2020 2021 2019PF 2020 2021 ▪ The increase of EBITDA margin as a % of sales is due to the increase ▪ Net income has increased by
Slide 9: Consolidated Balance Sheet
CONSOLIDATED BALANCE SHEET CAPEX (€M) NET WORKING CAPITAL (€M) 5.3 12.6 Acquisition of 7.9 9.8 0.9 Ronco Scrivia HQ 7.7 for €3.0m 6.3 6.2 11.6 11.3 14.7 1.5 (7.7) 1.1 (9.1) (10.7) (0.9) (0.1) 2 2019PF 2020 2021 2 2019PF 2020 2021 Inventory Trade receivables Trade payables Other Receivables and Payab
Slide 10: Update on Strategy
UPDATE ON STRATEGY
Slide 11: 3 Clear Main Pillars for Further Growth
3 CLEAR MAIN PILLARS FOR FURTHER GROWTH S OL ID G R OWT H OP P OR T U NIT IES IN COR E M AR KE T S AND NE W T E CHNOLOGY / HIGH P E R F OR M ANCE S AF E T Y NICHE S KEY DRIVERS AT IPO 1 ORGANIC GROWTH IN CORE MARKETS.. 2 … AND NEW NICHES 3 EXTERNAL GROWTH CONSTANT RESEARCH FOR POTENTIAL COMPANIES TO
Slide 12: Key Updates - Pillar 1: Organic Growth in Core Markets
PILLAR 1- ORGANIC GROWTH IN CORE MARKETS C ONS OL ID AT ING R AC ING F OR CE ’ S LE AD E R S HIP IN LOWE R P E NE T R AT ED GE OGR AP HIE S AND P R OD U CT S E GE M E NTS AMERICAS OPEN FACE HELMETS ✓ Sales in USA +37% vs 2020 ✓ Open Face +177% vs 2020 ✓ Brad Keselowski becomes the first NASCAR drive
Slide 13: Pillar 2 - Growth in New Niches: Driver's Eye
PILLAR 2 - GROWTH IN NEW NICHES T HE D R IVE R ’ S E Y E KEY UPDATES ✓ Racing Force Group signs Driver’s Eye agreement with Formula1 CUTTING-EDGE TECHNOLOGY FEEDING LIVE TV FROM BEHIND THE VISOR SCREENS ✓ Racing Force Group signs multiyear Driver’s Eye agreement with ABB FIA Formula E World Champion
Slide 14: Pillar 2 - Growth in New Niches (cont'd)
PILLAR 2 - GROWTH IN NEW NICHES (CONT’D) S P E C IAL F OR C E HE AD P R OT E CT ION & J E T P ILOT HE LM E T S JET PILOT HELMETS (TECHNICAL PARTNERSHIP WITH LIFT LLC) KEY UPDATES NEXT MILESTONES ✓ Successfully presented at the Dubai Airshow ✓ Available to US allied countries ➢ Results of first tende
Slide 15: Current Trading
CURRENT TRADING 15
Slide 16: Outlook
O U T LO O K ▪ The outbreak of conflict between Russia and Ukraine has raised a geo-political risk at a global level, carrying very strong economic and financial tensions on the markets. Regardless of how the current crisis will be resolved, consequences could be long- term and have negative impact
Slide 17: Appendix
APPENDIX 17
Slide 18: Income Statement
Income Statement R AC ING F O R C E G R OU P Financial data for the period % of % of Variance 2021 2020 Revenue Revenue Revenue 46,674,333 33,733,308 12,941,025 Cost of sales (19,470,848) 41.7% (13,597,933) 40.3% (5,872,915) Gross profit 27,203,485 58.3% 20,135,374 59.7% 7,068,111 Other income 1,444
Slide 19: Balance Sheet
Balance Sheet R AC ING F O R C E G R OU P Financial data at year end 12.31.2021 12.31.2020 Variance Total Assets 64,909,689 44,154,689 20,755,000 Fixed Assets 21,239,849 18,610,800 2,629,049 Net Working Capital 11,717,841 9,849,436 1,868,404 Other items in working capital 865,249 (73,301) 938,550 le
Slide 20: Consolidated P&L: Gross Profit & Adjusted EBIT
CONSOLIDATED P&L R AC ING F O R C E G R OU P Gross Profit & Adjusted EBIT GROSS PROFIT (€M) AND MARGIN (%) ADJ. EBIT1 (€M) AND MARGIN (%) 54.3% 59.7% 58.3% 4.9% 8.4% 14.1% 6.6 27.2 19.9 20.1 2.8 1.8 2 2019PF 2020 2021 2019PF 2020 2021 ▪ Gros Profit has increased by 35.1% in 2021, reaching 27.2 ml Eu
Slide 21: Thank You
T H A N K YOU Racing Force Barabino & Partners Roberto Ferroggiaro Luigi Rossi & Paolo Bertuccio Stefania Bassi Giuseppe Fresa Investor Relations Media E-mail: s.bassi@barabino.it E-mail: g.fresa@barabino.it E-mail: ir@racingforce.com E-mail: media@racingforce.com mob: +39 335 6282667 mob: +39 348 5