Envipco Holding N.v. · EURONEXT:ENVI
Envipco — Q3 2024 Earnings Presentation
22 slides from Envipco's earnings presentation, Nov 21, 2024
Slide 1: Results Presentation Q3 24
Results Presentation Q3 24 21 November 2024
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION may contain forward looking statements. These statements are based on current expectations, estimates and projections of Envipco’s management and information currently available to the company. Envipco cautions that such statements contain elements of risk and uncertaint
Slide 3: Financial Highlights Q3 24
Financial Highlights Q3 24 Revenue development EUR million, unaudited ● Group revenues EUR 27.4m (+9% y/y) 35.4 27.4 27.4 LTM revenues EUR 116.9m (+78% y/y) 25.3 26.6 ● ● Gross margin 36.6% with gross profit EUR 10.0m ● Adjusted EBITDA EUR 2.9m, 10.5% margin Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 ● Improved
Slide 4: Operational highlights Q3 24
Operational highlights Q3 24 Continued growth in existing markets, solid operational execution, investing for the future ● Continued growth from existing markets ○ Romania, Hungary and Greece ● Quantum into the Netherlands ○ Strong collection statistics ○ Pursuing new BD opportunities ● Building for
Slide 5: A global recycling technology company set for growth
A global recycling technology company set for growth Building from… ● Engaging a vast global market opportunity, mainly driven by EUR 116.9 million deposit legislation rolled out across all EU countries LTM Q3 24 revenues ● Captured leading position in European growth markets, 3.0x building on ~40%
Slide 6: Financial review
Financial review
Slide 7: Executing on growth in existing markets
Executing on growth in existing markets in EUR millions, unaudited Q3 24 Q3 23 YTD 24 YTD 23 Revenues 27.4 25.3 81.5 52.2 Q3 24 - Europe 18.3 16.9 55.5 27.6 ● Group revenues EUR 27.4m (+9% y/y) - North America & RoW 9.1 8.4 25.9 24.6 ● Gross margin 36.6%, up from 34.9% in Q3 23 ○ Gross earnings EUR
Slide 8: Europe
Europe Quarterly revenues (EUR million, unaudited) Q3 24 Program services RVM sales ● Q2 revenues EUR 18.3m, +9% y/y 28.0 19.9 17.3 18.3 16.9 ● RVM sales EUR 16.9m, driven by Romania, 27.4 Hungary and Greece 16.6 19.2 16.4 16.9 0.3 0.5 0.7 0.9 1.4 ● Program services EUR 1.4m, +427% y/y. Q3 23 Q4 23
Slide 9: North America
North America Quarterly revenues (EUR million, unaudited) Q3 24 Program services RVM sales ● Revenues of EUR 9.1m (+8% y/y) 9.3 9.1 8.4 7.5 7.6 1.5 0.9 0.8 0.4 0.5 ● Program services revenues up 8% y/y to EUR 8.2m 7.6 7.0 7.1 7.7 8.2 ● RVM sales of EUR 0.9m, +8% y/y Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 LTM
Slide 10: Building for the future
Building for the future Operating expenses (EUR million, unaudited) Q3 24 10.0 ● Operating costs up 51% y/y to EUR 10.0m 0.8 8.8 8.8 8.8 8.8 ○ G&A expenses EUR 8.1m (5.5m) 0.8 0.6 0.4 0.8 ○ S&D cost EUR 1.1m (0.5m) ○ R&D expenses EUR 0.8m (0.6m) 6.6 0.6 ● Non-recurring costs EUR 1.1m in Q3 24 8.1 7.
Slide 11: Financial position
Financial position Balance sheet (EUR million, unaudited) Q3 24 ● Non-current assets EUR 37.0m (32.5) 125.3 120.4 125.3 120.4 ○ Primarily PPE EUR 17.7m and intangible assets EUR 28.7 15.1m from activated development expenses and EUR 24.4 44.1 37.2 6.6m identified intangibles from Sensibin acquisitio
Slide 12: Cash flow
Cash flow Cash flow (EUR million, unaudited) Q3 24 -2.5 ● Cash from operating activities EUR +7.3m +7.3 -1.5 +1.0 ○ EBITDA EUR 1.7m ○ Working capital release of EUR 6.8m on lower inventories and higher trade payables ● Cash flow from investing activities EUR –4.0m ○ Capital expenditures EUR 2.3m and
Slide 13: Outlook
Outlook
Slide 14: Advancing Envipco's positioning into the C-store segment
Advancing Envipco’s positioning into the C-store segment Envipco Compact will be instrumental in building a strong market position Envipco closed Sensibin acquisition in Q3 24 ● Broadens Envipco's portfolio and adds innovative technology ● Advances our position in the large and rapidly growing conve
Slide 15: Leading product portfolio to capture market position
Leading product portfolio to capture market position Addressing needs from the convenience store to supermarkets and recycling centers Compact Flex Optima Ultra Modula Quantum Mini Small Medium Medium Large X-Large 15
Slide 16: Delivering on European growth strategy
Delivering on European growth strategy Revenue development EUR million, unaudited 116.9 87.6 83.5 56.4 55.5 18.1 36.3 38.4 35.4 3.1 3.6 30.8 7.2 4.1 38.2 33.4 32.3 32.7 31.2 32.1 26.7 2018 2019 2020 2021 2022 2023 LTM Q3 24 Increased awareness and legislative initiatives largely DRS second wave (EU)
Slide 17: Markets prioritized from DRS second wave
Markets prioritized from DRS second wave Anticipated next wave of DRS legislation in European markets Legislative considerations and plannin g Preparations Implementation and execution Publicly anno unced launch Expected launch EU legislation1 Note: 1. Key milestones taken from the Regulation of the
Slide 18: Vast market opportunity
Vast market opportunity Market potential Market potential (k units) EU Packaging and Packaging Interoperable national UK DRS** (k units) Waste Regulation (PPWR)* Deposit Management Organization 90% 1 (DMO) appointed Collection rate for plastic bottles and By Spring 2025 200 cans using DRS by 1 Janua
Slide 19: Our journey ahead
Our journey ahead Ambitions Continue to deliver on our growth strategy Market share in new markets Legislation momentum continues to drive markets 2030+ +30% ● ● Envipco will continue to invest to secure market share Promising revenue outlook for 2025 and beyond Revenue growth 2021 - ‘ ● Preparing t
Slide 20: Q&A
Q&A Next event: 5 March 2025 – Q4 24 results
Slide 21: Contact
Contact: envipcoinvestorrelations@envipco.com For further information: www.envipco.com/investors
Slide 22: Making recycling easier.
© envipco Making recycling easier.