Velan Inc. · TSX:VLN
Velan — Q3 FY2023 Earnings Presentation
14 slides from Velan's earnings presentation, Jan 12, 2023
Slide 1: Q3-F2023 Investor Presentation
Q3-F2023 Investor Presentation January 12th, 2023
Slide 2: Disclaimer
Disclaimer The following investor presentation provides an analysis of the consolidated operating results and financial position of Velan Inc. (“the Company”) for the quarter ended November 30, 2022. This investor presentation should be read in conjunction with the Company’s audited consolidated fin
Slide 3: Presenters
Presenters Thank you for your attendance to our Q3 FY23 Financial Results Investor Call. We will be happy to take questions at the end of the presentation. Bruno Carbonaro Rishi Sharma CEO and President Chief Financial Officer +1 438 817-7593 +1 438 817-4430 bruno.carbonaro@velan.com rishi.sharma@ve
Slide 4: Our markets
Our markets Process & Navy Nuclear Power Severe MRO & Oil & gas Service After-Market
Slide 5: Key Highlights – Q3
Key Highlights – Q3 ◼ $95.2 m sales, improvement of $10.2 m or +12.0% vs Q2-2023, Sales ($ m) however, a decrease of $14.7 m or -13.4% vs Q3-2022 411 367 372 ◼ $6.1 m EBITDA2 is better than the $1.4 m posted in the previous quarter and lower than the $13.2 m achieved last year. Both 125 comparatives
Slide 6: Backlog
Backlog1 Backlog1 ($ m) ◼ $488.3 m backlog1 700 ◼ $336.2 m shippable in the next 12 months 600 ◼ 1.04 book-to-bill ratio1 for the quarter 500 ◼ Within 12 months backlog1 increased compared to year-end due 400 to a year-to-date book-to-bill ratio1 of 1.04 > 1 year 300 ◼ The backlog1 was negatively im
Slide 7: Sales – Decrease in sales in Italy partially offset by increased volume in North America
Sales – Decrease in sales in Italy partially offset by increased volume in North America Q3 2022 geographical sales* (in millions) Q3 2023 geographical sales* (in millions) Other Other Italy 5,2 13,0 7,0 North America Italy 22,1 France 20,9 54,5 62,1 20,4 North America France ▪ Positive sales moment
Slide 8: EBITDA evolution
EBITDA1 evolution Historic ($ m) Q3 Bridge ($ m) 18 -7,2 16 13,3 14 12 Restructuring and 5,1 10 transformation 2 income 8 6 2,0 4 0,9 1,0 6,1 2 0 -2 -4 -6 2018 2019 2020 2021 2022 2023 Q3 2022 Volume Mix Administration Other Q3 2023 costs ▪ Significant increase vs Q2-F2023 from $1.4 m EBITDA1 to $6.
Slide 9: Net cash analysis
Net cash analysis Free Cash Flow2 ($ m) Net cash bridge ($ m) 5,4 0,5 1,4 0,1 6,1 8,3 4,8 12,0 3,5 29,7 29,3 1,4 0,9 1,4 -4,8 2 1 2 End of FCF Revolving Repay. of FX Other End of EBITDA AR AP Cust. Dep. Other Interest, Capex FCF 3 Q2 2023 credit facility LT debt and Q3 2023 WC mov. tax and lease lia
Slide 10: Closing Comments FY23 Q3
Closing Comments FY23 Q3 ◼ We continue to prudently manage the business across various global volatilities: • Our backlog continues to remain strong, with an ongoing renewal of opportunities • Execution remains our top priority, and we continue to work closely with all stakeholders to ensure we impr
Slide 11: Presenters
Presenters Thank you for your attendance to our Q3 FY23 Financial Results Investor Call. We are happy to answer any questions. Bruno Carbonaro Rishi Sharma CEO and President Chief Financial Officer +1 438 817-7593 +1 438 817-4430 bruno.carbonaro@velan.com rishi.sharma@velan.com www.velan.com www.fac
Slide 12: Non-IFRS and Supplementary Financial Measures – EBITDA
NON-IFRS AND SUPPLEMENTARY FINANCIAL MEASURES Earnings before interest, taxes, depreciation and amortization ("EBITDA") 2018 2019 2020 2021 2022 2023 (in millions of USD) Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Net income (loss)1 (8.2) (3.7) (2.4) (0.2) 1.5 (5.8) 1.4 (0.8) (11.1)
Slide 13: Our Board of directors
Our Board of directors Suzanne Blanchet Bruno Carbonaro Dahra Granovsky Edward Kernaghan La Prairie, Québec, Canada Montréal, Québec, Canada Toronto, Ontario, Canada Toronto, Ontario, Canada Director since: 2021 Director since: 2022 Director since: 2019 Director since: 2021 James A. Mannebach Chair
Slide 14: Q3-F2023 Investor Presentation
Q3-F2023 Investor Presentation January 12th, 2023