Moltiply Group S.p.a. · MIL:MOL
Moltiply — Gruppo MutuiOnline — Q1 2020 Earnings Presentation
34 slides from Moltiply's earnings presentation, May 18, 2020
Slide 1: First Quarter 2020 Results
First Quarter 2020 Results May 18th, 2020
Slide 2: Disclaimer
Disclaimer Certain statements contained herein are statements of future expectations and other forward-looking statements. These expectations are based on management's current views and assumptions and involve known and unknown risks and uncertainties. The user of such information should recognize t
Slide 3: Presenting Today
Presenting Today Marco Pescarmona Alessandro Fracassi Francesco Masciandaro Group Chairman and Head of Broking Division Group CEO and Head of BPO Division Group CFO • Founder and key shareholder (16.05% • Founder and key shareholder • Background in auditing (Arthur indirectly through Alma Ventures S
Slide 4: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 4
Slide 5: Business portfolio
Business portfolio Online comparison and intermediation Provision of complex Business Process Broking BPO services operating with a portfolio of Outsourcing services for specific verticals leading brands in the Italian market Division Division within the Italian financial services industry Mortgage
Slide 6: Broking Division – Top brands
Broking Division – Top brands Brand Description Market Position Operations Revenue Model Multi-product Launched in September Focus on marketing activities, Commission on new policy sales aggregator for 2012, is number two player in mostly TV and Internet. With the plus (lower) renewal fees from insu
Slide 7: BPO Division – Main services
BPO Division – Main services Product Life Cycle DISTRIBUTION UNDERWRITING/CLOSING SERVICING • Commercial activities for online • Income Analysis • Current Account Servicing Mortgage lenders (in lenders’ name) • Technical-Legal Analysis • Collections BPO • Centralized packaging • Anti-fraud checks •
Slide 8: Group structure
Group structure Headcount* 1,844 FTE Group structure as of May 18th, 2020 * 2019 average 8
Slide 9: Major milestones
Major milestones START-UP GROWTH RESTRUCTURING NEW GROWTH € 219,9M € 185,1M Collapse of Italian mortgage € 152,8M market € 138,1M € 120,7M € 71,8M € 68,3M € 46,4M € 47,9M € 53,4M € 51,0M € 37,7M € 38,5M € 21,8M € 7,8M € 13,2M € 0,1M € 1,0M € 2,7M € 4,5M 2000 2001 2002 2003 2004 2005 2006 2007 2008 2
Slide 10: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 10
Slide 11: Transparency and governance standards
Transparency and governance standards Gruppo MutuiOnline is listed since IPO (June 6, 2007) in the STAR Segment of Borsa Italiana’s equity market dedicated to mid-size companies with a capitalization less than Euro 1 billion, which voluntarily adhere and comply with a number of strict requirements i
Slide 12: Shareholding Structure
Shareholding Structure Shareholding structure as of May 18th, 2020* Treasury shares 6,22% Alma Ventures** 32,10% Free Float 34,82% 5,05% 21,81% Kayne Anderson Rudnick Investmentaktiengesellschaft für Investment Management LLC langfristige Investoren TGV * Share ownership as registered in last Shareh
Slide 13: Share Performance since IPO
Share Performance since IPO KEY STOCK DATA as of May 15th, 2020 Number of Shares 40,000,000 Treasury Shares 2,487,225 Outstanding Shares 37,512,775 Price per Share € 16.08 Market Capitalisation € 603.2 M Since November 2018, MOL is included in the Italian FTSE Italia MID-CAP Index 13
Slide 14: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 14
Slide 15: Q1 highlights
Q1 highlights EBIT Revenues (€m) (€m) 15 Y-o-Y 70 -9.8% 10 12,4 11,2 60 Y-o-Y +8.4% 5 58,1 50 53,6 0 Q1 2019 Q1 2020 40 EBIT margin 23.1% 19.2% 30 Net Income 20 (€m) 10 Y-o-Y 10 8 -11.8% 9,0 0 6 7,9 Q1 2019 Q1 2020 4 2 0 Q1 2019 Q1 2020 NI margin 16.7% 13.6% 15
Slide 16: Performance by Division
Performance by Division EBIT Revenues (€m) (€m) 15 12,4 Y-o-Y -9.8% 11,2 70 10 6,0 Y-o-Y 58,1 6,8 +13.4% 60 Y-o-Y 53,6 +8.4% 5 Y-o-Y +10.1% 6,4 Y-o-Y 50 4,4 22,9 0 -31.3% 20,8 Q1 2019 Q1 2020 40 30 Broking Division BPO Division Y-o-Y 20 +7.4% 32,8 35,2 10 EBIT margin (percent of revenues) 0 Q1 2019
Slide 17: Evolution of the Italian residential mortgage market
Evolution of the Italian residential mortgage market • In the first two months of 2020, the mortgage market continued to grow, following a trend already visible in Q4 2019, powered by a recovery of real estate transactions and the renewed cheapness of remortgages, in an environment of low long-term
Slide 18: Broking Division – Business outlook
Broking Division – Business outlook • The Broking Division recorded an overall positive performance during Q1 2020, both due to the good trends of the first two months and because in the lock-down period the negative impact on the credit and insurance broking businesses was mitigated by the growth o
Slide 19: BPO Division – Business outlook 1/2
BPO Division – Business outlook 1/2 • The performance of the BPO Division, in Q1 2020, is the combined effect of two positive months, in which the growth trends of the final months of 2019 continued, and of the month of March, in which, instead, the impact of the lockdown imposed on the entire count
Slide 20: BPO Division – Business outlook 2/2
BPO Division – Business outlook 2/2 • As mentioned above, it was difficult to finalize the financing and property valuation operations due to the service limitations of some public counterparties involved in the process and the restrictions on mobility in the territory. • Still in the credit area, t
Slide 21: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 21
Slide 22: Revenue trends by Division
Revenue trends by Division Group Revenues (€m) Collapse of the Italian Mortgage Market 240 219,9 200 185,1 39% 160 58% 152,8 138,1 43% 120,7 40% 120 44% 61% 44% 45% 47% 80 71,8 68,3 53,4 61% 46,4 47,9 51,0 37% 57% 37,7 58% 38,5 40 66% 40% 56% 56% 60% 61% 21,8 45% 53% 60% 63% 58% 42% 60% 40% 40% 34%
Slide 23: Revenue Breakdown by Business Line – Broking
Revenue Breakdown by Business Line 90 Broking Division Revenues 86,8 (€m) 3% 79,1 80 Other Revenues 3% E-Commerce Price Comparison 27% 70 Insurance Broking 67,2 24% Consumer Loan Broking 3% 61,0 Mortgage Broking 60 57,2 3% 2% 30% 19% 50 18% 28% 36% 41,9 6% 40 61% 6% 8% 45% 19% 31,7 32,2 25% 17% 18%
Slide 24: Revenue Breakdown by Business Line – BPO
Revenue Breakdown by Business Line 140 BPO Division Revenues 133,1 (€m) 120 24% 106,0 Other revenues Leasing/Rental BPO 100 7% Investment Services BPO 21% 85,6 Insurance BPO 6% CQ Loan BPO 80 77,1 10% 8% Real Estate Services BPO* 11% 8% 14% 9% Mortgage BPO 63,6 8% 61% 20% 60 45% 10% 17% 11% 21% 13%
Slide 25: Operating Income by Division
Operating Income by Division EBIT (€m)60 Collapse of the Italian Mortgage 50,8 Market 46,1 + 39,7 40 35,2 30,9 Launch of 32,0 52% 51% Segugio.it 46% 21,9 21,5 22,0 47% 17,6 57% 20 77% 14,5 8,5 78% 93% 84% 36% 49% 48% 77% 5,6 53% 54% 3,6 43% 67% 23% 80% 32% 64% 0 33% 23% 22% 7% 16% 20% 68% 2006 2007
Slide 26: Net Income
Net Income Net income (€m) 50 40,6 40 34,4 30 27,5 23,5 24,8 20.9 20 14.8 15.3 14.4 9.7 9,9 10 5.2 3.6 3.8 0 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Net income margin (%) 40% 31,9% 30,1% 28,7% 29,1% 30% 25,7% 23,9% 19,5% 18,0% 18,0% 18,6% 18,5% 20% 14,5% 9,4% 10% 7,5% 0
Slide 27: Dividend Payout
Dividend Payout Earnings per share, consolidated Dividends per outstanding share (€) (€) 1,20 1,20 1,07 1,00 1,00 0,89 0,80 0,80 0,69 0,59 0,58 0,60 0,56 0,60 0,41 0,38 0,38 0,36 0,37 0,40 0,40 0.30 0,30 0,30 0,25 0,24 0,21 0,20 0,20 0.15 0,12 0,12 0,12 0,12 0,12* 0,09 0,09 0,09 0,00 0,00 2007 2008
Slide 28: Appendix
teh Appendix
Slide 29: Quarterly Profit & Loss
Quarterly Profit & Loss (€000) Q1 2020 Q4 2019 Q3 2019 Q2 2019 Q1 2019 Revenues 58,142 63,332 48,627 54,358 53,618 Other income 840 1,145 1,179 980 906 Capitalization of internal costs 769 585 540 927 165 Service costs (24,940) (24,718) (18,947) (20,856) (21,418) Personnel costs (17,693) (18,855) (1
Slide 30: Q1 Profit & Loss
Q1 Profit & Loss (€000) Q1 2020 Q1 2019 % Var. Revenues 58,142 53,618 8.4% Other income 840 906 -7.3% Capitalization of internal costs 769 165 366.1% Service costs (24,940) (21,418) 16.4% Personnel costs (17,693) (16,497) 7.2% Other operating costs (2,511) (1,760) 42.7% Depreciation and amortization
Slide 31: Balance Sheet – Asset Side
Balance Sheet – Asset Side As of March 31, December 31, (€000) Change % 2020 2019 ASSETS Intangible assets 105,884 107,282 (1,398) -1.3% Property, plant and equipment 25,233 25,512 (279) -1.1% Participation measured with equity method 1,745 1,786 (41) -2.3% Financial assets at fair value 26,662 54,3
Slide 32: Balance Sheet – Liability Side
Balance Sheet – Liability Side As of March 31, December 31, (€000) Change % 2020 2019 LIABILITIES AND SHAREHOLDERS' EQUITY Total equity attributable to the shareholders of the Issuer 105,405 112,571 (7,166) -6.4% Minority interest 1,905 1,627 278 17.1% Total shareholders' equity 107,310 114,198 (6,8
Slide 33: Net Financial Position
Net Financial Position As of March 31, December 31, (€000) Change % 2020 2019 A. Cash and cash equivalents 74,641 34,654 39,987 115.4% B. Other cash equivalents - - - N/A C. Financial assets held to maturity or for trading 1,974 2,184 (210) -9.6% D. Liquidity (A) + (B) + (C) 76,615 36,838 39,777 108
Slide 34: Declaration of the manager responsible for preparing the financial reports
Declaration of the manager responsible for preparing the Company’s financial reports Declaration Pursuant to Art. 154/bis, Paragraph 2 – Part IV, Title III, Chapter II, Section V-bis, of Italian Legislative Decree No. 58 of 24 February 1998: “Consolidation Act on Financial Brokerage Pursuant to Arti