Gooch & Housego Plc · LSE:GHH
Gooch & Housego — Investor Presentation (September 2008)
18 slides from Gooch & Housego's investor presentation, September 2008
Slide 1: Investor Presentation September 2008
Investor Presentation September 2008 Company Opportunity Vision Markets How to Achieve Developments in 2008 Where we are today Financial overview
Slide 2: Gooch & Housego PLC: A Global Technology Business
Gooch & Housego PLC A Global Technology Business The medium we work with is LIGHT The technology is PHOTONICS G&H provides ‘enabling optical technologies’
Slide 3: Global Locations
Global Locations Norderstedt, Cleveland, Torquay Hamburg Ohio Ilminster San Francisco, California Boston, Moorpark, Hong Kong Massachusetts California Denver, Colorado Orlando, Florida Melbourne, Founded in Ilminster 1948 Florida Lakewood, New Jersey Total Number of Employees: 525 8 Facilities 4 Sal
Slide 4: The Company
The Company - Innovative, dynamic, successful - Technically superior - Peerless performance, quality, delivery and service - A trusted partner - A provider of critical products and services - The market leader – the one to beat Mission statement – To be our customer’s first choice
Slide 5: The Opportunity
The Opportunity Photonics is becoming ubiquitous - optical communications - laser surgery - solar energy - ophthalmic imaging - aerospace, defence & security - displays - lighting - diagnostics
Slide 6: Realising the opportunities
Realising the opportunities We Need to - Know our customers & markets – be market led - Anticipate the trends - Reach a global market (routes to market) - Introduce new products for new markets - Leverage our components & materials expertise - Move up the value chain - Build a strong IP portfolio i.
Slide 7: Our Vision
Be a Global Technology Business Complete the ‘Components & Materials’ Platform Near term - Annualised revenue to £50m Derive Benefits from Integration - New products - Move up the value chain - More value from existing customer base Our Develop New Markets - Biomedical & Life Sciences Vision - Aeros
Slide 8: Today's Core Market
Today’s Core Market Industrial - Laser - Metrology - Research - Analytical - Semiconductors
Slide 9: Tomorrow's Markets
Tomorrow’s Markets Aerospace & Defence Biomedical & Life Sciences - Fibre optics network in civil & military - Ophthalmic imaging (OCT) aircraft - Ophthalmic surgery - Inertial navigation systems - Urology - Counter measures - Diagnostics - Range finders & target designators - Biomedical research -
Slide 10: Product Strategy
Product Strategy Instruments + Systems (e.g. a $50K imaging Systems) IP DOMIMANT Assemblies, Modules (e.g. a $1000 OCT Module) Higher-level components (e.g. a $500 Q-Switch) Low-level components (e.g. a $50 Lens) Materials Know-how dominant
Slide 11: The Last 12 Months
- Strengthened the board - Strengthened the management team The Last 12 Months - Established global sales force - Launched ~ Re-Branded ~ Integrated - Re-located Gooch & Housego Headquarters - Launched exciting New Products - Extended Torquay manufacturing facility - Acquired General Optics
Slide 12: Where we are today
Where we are today - Making the most of challenging market conditions - Driving efficiency & effectiveness - Investing in New Product development - Optical isolator - Fibre coupled AO device platform - Maintaining our leading / dominant market positioning - Positive outlook for 2009
Slide 13: Revenue and Operating Profit - FY2003 to March 2008
35.0 Revenue and Operating Profit - FY2003 to 31 March 2008 30.0 25.0 20.0 15.0 10.0 5.0 0.0 2003 2004 2005 2006 2007 2008 HY Op Profit / £m 0.8 1.4 2.2 2.8 3.2 2.5 YE Op Profit / £m 2.6 3.9 5.1 6.1 7.0 0.0 HY Sales / £m 7.3 8.9 10.9 12.6 13.6 15.7 YE Sales / £m 15.9 18.8 22.3 25.4 30.7 0.0
Slide 14: Income Statement - FY2003 to HY 2008
Income Statement - FY2003 to HY 2008 2003 2004 2005 2006 2007 2008 Full Year Full Year Full Year Full Year Full Year Half Year £m £m £m £m £m £m Revenue 15.9 18.8 22.3 25.4 30.7 15.7 Profit before income taxation 2.2 3.3 4.7 5.5 6.5 2.2 Income taxation expense (0.9) (1.2) (1.8) (2.1) (2.4) (0.6) Pro
Slide 15: Sales by Geographic Area – HY 2006 to HY 2008
£16,000 Sales by Geographic Area – HY 2006 to HY 2008 £14,000 £12,000 £10,000 £8,000 £6,000 £4,000 £2,000 £0 ROW EU US Total 2006 HY 2007 HY 2008 HY
Slide 16: Cash Flow Highlights - FY 2003 to HY 2008
Cash Flow Highlights - FY 2003 to HY 2008 2003 2004 2005 2006 2007 2008 Full Year Full Year Full Year Full Year Full Year Half Year £m £m £m £m £m £m Cash flow from operating activitie 2.7 4.8 5.5 5.7 6.5 1.9 Interest, Dividends & Tax (1.3) (2.0) (2.5) (2.6) (3.5) (1.3) Cash flow before investing ac
Slide 17: Earnings per Share – FY 2003 to HY 2008
Earnings per Share – FY 2003 to HY 2008 2003 2004 2005 2006 2007 2008 Full Year Full Year Full Year Full Year Full Year Half Year EPS - Basic 7.3p 11.5p 16.1p 18.7p 22.6p 8.4p Amortisation of acquired intangible assets/goodwill £0.30m £0.31m £0.34m £0.38m £0.55m £0.22m EPS excluding amortisation 9.0
Slide 18: Financial Impact - General Optics
- Financial Performance – FY 2007 - Revenue $11.7m (i.e. £5.9m) - EBITDA $ 2.8m (i.e. £1.4m) Financial Impact - General Optics - Impact on Gooch & Housego FY 2007 - Revenue £30.7m plus £5.9m = £36.6m - Up 19.2% - EBITDA £ 7.7m plus £1.4m = £ 9.1m - Up 18.2% - Impact on Adjusted EPS FY 2007¹ - Basic
Gooch & Housego — Investor Presentation (September 2008) on 6ix