Evs Broadcast Equipment Sa · EURONEXT:EVS
Evs Broadcast Equipment Sa — Q1 2014 Earnings Presentation
28 slides from Evs Broadcast Equipment Sa's earnings presentation, May 15, 2014
Slide 1: EVS Broadcast Equipment 1Q14 results
EVS Broadcast Equipment 1Q14 results May 15, 2014 Joop JANSSEN, Managing Director & CEO Magdalena BARON, CFO Geoffroy d'‘OULTREMONT, VP Investor Relations and Corporate Communication Www.evs.com
Slide 2: Forward Looking Information
FORWARD LOOKING INFORMATION The statements made in this presentation that are not historical facts contain forward- looking information that involves risks and uncertainties. All statements, other than statements of historical fact, which address EVS Group’s [“EVS”, “dcinex” or the “Company”) expect
Slide 3: Highlights 1Q14
HIGHLIGHTS 1014 » 1Q14 results: — EUR 29.3 m revenue :-10.6% vs. 1Q13 ~ As usual, high volatility between quarters, regions and markets due to lumpiness of projects — Successful EVS showcase at Winter Olympics in Sochi — Gross margin of 74.9%, EBIT margin of 34.1% — EPS 0.53, -29.5% vs EUR 0.75 in 1
Slide 4: Agenda
AGENDA [> Financial update >» Business update » 2014 outlook » General meetings » Annexes
Slide 5: Quarterly revenue evolution
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2009 2010 2011 2012 2013 2014
Slide 6: Revenue by quarter and by type
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014
Slide 7: Revenue by region: Americas, EMEA, APAC
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2010 2011 2012 2013 2014 2008 2009 2010 2011 2012 2013 2014 Americas EMEA APAC
Slide 8: 1Q14: Revenue down by 10.6%
1014: REVENUE DOWN BY 10.6% Reported In millions of EUR 1014 4Q13 1Q13 REVENUE 29.3 38.5 32.8 Cost of sales (7.4) (10.3) (6.8) Gross margin 22.0 28.2 26.0 Gross margin % 74.9% 73.3% 79.2% S&A (5.4) (5.8) (5.6) R&D (6.3) (6.0) (5.8) EBIT 10.0 15.9 14.5 EBIT MARGIN 34.1% 41.3% 44.0% Financial result (
Slide 9: 1Q14 EBIT margin at 34.1%, or EUR 10.0 million
1014 EBIT margin at 34.1%, or EUR 10.0 million ; EBIT margin decrease is mainly due to deleveraging on lower sales -- >» Gross margin impact mainly from sales i & deleverage, reclassification and write- -, offs 14.5 : >» Opex impacted by ~ Dyvi Live / SVS (fully consolidated minority stake} — Positi
Slide 10: Staff growth: +32 people in 12 months
STAFF GROWTH: +32 people in 12 months (incl. 17 people in Dyvi Live / SVS) ° 49% in innovation (R&D) Headcount evolution at March 31, 2014 sso, In FTEs Dd +6.9% in last 12 months 500 >» Net +11 FTEs in 1Q14 i 480 excl. Dyvi 450 Live / SVS 400 >» Functional split: : — Innovation: 49% R&D 300 | 4 — Ex
Slide 11: Strong balance sheet
11 STRONG BALANCE SHEET EUR 23.1 million cash March In millions of EUR ANTS ese ANE) — Investments in the new HQ ASSETS __ reflected in: Goodwill and intangibles 19 2.1 — EUR 36.9 million in Lands and Lands, buildings and other tangibles 36.9 33.7 Buildings dcinex and Mecalec at equity 10.0 98 ~ LT
Slide 12: Dividend history and payout
Final dividend (June) Interim Dividend (November) Payout 2.48 2.48 2.64 2.64 2.28 2.36 2.16 1.68 1.20 1.00
Slide 13: 1Q14 vs 1Q13 results summary
In thousands of EUR 1Q14 1Q13 REVENUE EBITDA EBITDA margin Net result EVS share Dcinex result, EVS share
Slide 14: Agenda
AGENDA >) Financial update [> Business update >» 2014 outlook » General meetings > Annexes 14
Slide 15: FIFA World Cup 2014 - Brazil
2 FIFA WORLD CUP 2014 - BRAZIL w FACTS — ait FIFA WORLD CUP Brosil » June 12 - July 13 2014 westerns Map of Brazil 12 Stadiums 64 games - 35+ cameras per game Int. Broadcast Center in Rio de Janeiro Over 400 EVS servers involved in Brazil i FIFA WORLD CUP Brasil rasta, Cuba, Cut to, Fortaleza, Manau
Slide 16: Venues, IBC world feed & unilateral distribution
16 VENUES IBC WORLD FEED & UNILATERAL DISTRIBUTION UNILATERAL PRODUCTION = , a rawsing & Upload 75 BROWSING LICENSES MULTIMEDIA @ FIFA MAX MEDIA SERVER CLIPPING & CONTENT MANAGEMENT. BROADCAST CENTERS WITH IPLINK * MRL: Media rights licensees
Slide 17: FIFA World Cup 2014 - Global EVS contribution
FIFA WORLD CUP 2014 - BRAZIL w GLOBAL EVS CONTRIBUTION - what’s new a \S —_ 2 <i FIFA WORLD CUP » Venues Operations: Brasil ~ MultiReview, allowing faster highlights management and un-viewed actions » IBC and other partners: LSM Connect: faster and more intuitive playlist management |PWeb: Web inter
Slide 18: NAB 2014 Tradeshow
NAB 2014 TRADESHOW NYBSHOW ® ‘ontemt Comes to Lite Highlights >» NAB — Total registered attendees: +4% compared to last year ~ 4K & IP took centre stage at NAB Vs » EVs daa Xs ~ Sports remains the key driver for EVS with many new Software tools for the XT3 server platform ~ C-Cast Xplore {+ content
Slide 19: Agenda
19 AGENDA >) Financial update >» Business update [> 2014 outlook ] » General meetings > Annexes
Slide 20: Order book for event rentals
53.8 9.0 44.9 39.8 7.3 34.2 32.8 Order book for 6.6 event rentals 6.1 21.0 23.3 Orderbook 44.8 May 10, excl. 0.3 37.6 events rentals 33.1 13.1 32.8 28.1 20.6 23.3 13.1 - 2007 2008 2009 2010 2011 2012 2013 2014
Slide 21: Outlook
21 OUTLOOK Fundamentals intact Order book of EUR 44.9 million for 2014 — Includes EUR 7.3 million for big sporting events Current market conditions in broadcast industry have not yet improved and could translate into revenue growing in 2014 at high single digit compared to 2013 Continued investments
Slide 22: Agenda
22 AGENDA >) Financial update >» Business update » 2014 outlook [» General meetings ] » Annexes
Slide 23: General meeting
23 GENERAL MEETING >» Ordinary general meeting — Total dividend of EUR 2.16 (payout of 85.7% yield of 4.4%] — Board changes leading to higher independence » Special general meeting ~ Change of control clauses in relation with credit lines [financing of new headquarters] >» Extraordinary general meet
Slide 24: Conclusions
24 CONCLUSIONS » 1Q14 in line with cautious message from February » Successful EVS showcase at Sochi and NAB, and strong involvement in upcoming World Cup show EVS continued leadership » Short term pressure from market conditions, but EVS business fundamentals intact
Slide 25: Agenda
25 AGENDA >) Financial update >» Business update » 2014 outlook » General meetings [> Annexes }
Slide 26: Corporate calendar
CORPORATE CALENDAR 26 >» Thursday May 15, 2014: >» Tuesday May 20, 2014: ») Wednesday May 28, 2014: » Friday May 30, 2014: » Monday June 2, 2014: » Tuesday June 20, 2014: >» Thursday August 28, 2014: >) Friday November 18, 2014: 1Q14 earnings Ordinary & Extraordinary General Meeting Final dividend:
Slide 27: EVS stock market data
EVS STOCK MARKET DATA 27 » Stock data (March 31, 2014): — Basis: 13,625,000 ordinary shares — Qutstanding warrants : 343,050 @ 39.93 ~ Treasury shares : 56,664 shares (no share buyback in 2014) > Market cap (April 30, 2014): ~ EUR 620 million (@ EUR 45.60) » Liquidity [last 12 months]: ~ Standard ve
Slide 28: Our journey to RIO 2016
OUR JOURNEY TO RI02016 28
EVS Broadcast Equipment — Q1 2014 Earnings Presentation on 6ix