Shelly Group Plc · BSESOF:SLYG

Shelly — Allterco Group — Q3 2022 Earnings Presentation

40 slides from Shelly's earnings presentation, 2022

  1. Slide 1: Allterco Group Trading Update Q3 2022

    Allterco Group Trading Update Q3 2022

  2. Slide 2: Contents

    Contents Scalable growth across Europe in 2022 and Highlights Wolfgang Kirsch beyond, enabling a eco-friendly connected CO-CEO world. Strategy & Operations Product Dimitar Dimitrov CO-CEO Research & Development Financial Wolfgang Kirsch Updates CO-CEO & Strategy Strategy & Operations

  3. Slide 3: Smart Home IoT Solutions

    Search Smart Home IoT Solutions Smart Home has reached the point of readiness for the mass market and is beyond being “just for fun”. Smart Home products help to control and save energy - proven!

  4. Slide 4: Market Size

    Market Size 2022 - 2027 Consistent Global IoT Adoption Global home IoT is driven by the emergence of the Global Impact 20% CAGR IoT and Wireless Technologies across technologically developed regions The IoT Smart Home Market is Global IoT market estimated to grow with an 20% CAGR average CAGR of +20

  5. Slide 5: Where we’re located

    Where we’re located Focused on Regional Expansion Regional HQs Munich Sofia Las Vegas Shenzhen Allterco has customers in all major global regions. Boca Raton For this reason, we have diverse teams in each of the following locations to better suit our customers demands: ● Western Europe ● Eastern Eur

  6. Slide 6: Highlights

    Highlights Revenue Growth (Products) EBIT EBITDA +26,2% +00.00% +29,6% +50.1% +20% +22,9% ● Strong revenue growth ● Very positive EBIT ● ●FCFEBITDA In development in line ● Above budget and FC development with EBIT development ● Growth rate is growing each ● EBIT margin: 23.8% ● 9M21:1959 EBITDA mar

  7. Slide 7: Overview ESG Approach

    Overview ESG Approach Ecological Social Governance Developing a Connecting Guiding the industry sustainable future communities across the globe through early adoption Enabling Communities Diverse Leadership On target to reduce company energy Committed to a sustainable environment for Committed to a

  8. Slide 8: Product

    Allterco Group Product Dimitar Dimitrov CO - CEO Research & Development

  9. Slide 9: Alexa… OK Google…

    Okay Google, turn on the air conditioning Alexa… Alexa, open the garage door OK Google…

  10. Slide 10: Why is Shelly so special?

    Why is Shelly so special? WiFi repeater function Customer orientation – Acts as Bluetooth Gateway ● Richness and Acts as Bluetooth Gateway NPS >60 uniqueness of features Endless possibilities per in every device device & to add other devices Scripting No hub needed – ● 2-3 years ahead of (for specia

  11. Slide 11: Solution Driven

    Solution Driven +7M Every 7.7s +2M Households Devices sold since launch A Shelly Device is installed Active users in our cloud apps Fastest growing Smart Home Brand

  12. Slide 12: Customer Engagement

    Customer Engagement +10 Social Media Interaction tools +1M Reaches On Facebook & Instagram +100K Active Shelly Support Members Growing by 30K last 6 months 12

  13. Slide 13: Integrating with Partners

    Integrating with Partners +60 Partners +40 in waiting

  14. Slide 14: Take control of your energy costs

    Take control of your energy costs

  15. Slide 15: Shelly App Improvements

    Shelly App Improvements ● Significantly improved integration of new products ● Improved UX ● New scenarios & capabilities ● Higher stability ● Improved local device control Launch of new App in Q4 Alpha Version

  16. Slide 16: Myki App Improvements

    Myki App Improvements ● Significantly improved integration of new products ● Improved UX ● New scenarios & capabilities ● Higher stability ● Improved local device control Launch of new App in Q4

  17. Slide 17: Here’s what’s to come…

    Here’s what’s to come… New App IU/UX Say hello to a new Shelly experience from optimized Scenes to a groundbreaking user A variety of new Products to be experience, all in one App launched at CES 2022 Shelly Pro Relays Now with UL certification for USA and Canada Every 8.6s A Shelly Device is instal

  18. Slide 18: Financial Updates & Strategy

    Allterco Group Financial Updates & Strategy Wolfgang Kirsch CO-CEO Strategy & Operations

  19. Slide 19: Product Financials - Strong Performance in-line with Targets - 9M 2022

    Product Financials - Strong Performance in-line with Targets - 9M 2022 Revenue YoY Revenue Split Brands 15,5-16,5 +30.5% +51.4% Forecast ● Consistent revenue growth QoQ ● Product Sales +50% ● Sales successfully balanced across the ● Shelly Sales increased period over period Quarters +51.4% ● Seasona

  20. Slide 20: Product Financials - Strong Performance In-line with Targets 9M 2022

    Product Financials - Strong Performance In-line with Targets 9M 2022 D2C - Online B2B Total Revenue +37.41% +53.20% ● Both B2B and D2C revenue growing ● B2B growing faster than D2C Shelly - Revenue +37.54% +55.08% ● Acceleration of revenue development as planned Myki - Revenue +31.32% +30.44% ● Myki

  21. Slide 21: Balanced regional shares 9M

    Balanced regional shares 9M DACH 35% Southern Europe 25% 14% Northern Europe 14% Rest ofof Rest Europe Europe Rest of 12% World

  22. Slide 22: DACH, North- & South Europe, 9M 2022

    DACH, North- & South Europe, 9M 2022 % of Group Revenue Markets Development ● Strongest region with very good DACH development 35% % of Group Revenue Markets Development Southern ● Extremely positive development Europe in Iberia and Italy 25% ● Catching up to DACH % of Group Revenue Markets Developm

  23. Slide 23: Rest of Europe & Rest of the World, 9M 2022

    Rest of Europe & Rest of the World, 9M 2022 % of Group Revenue Markets Development Rest of ● Good level of B2B business Europe ● Strong potential for further growth 14% % of Group Revenue Markets Development Rest of ● Good development due to strong World B2B sales 12% ● High potential for future gro

  24. Slide 24: EBIT - 9M 2022

    EBIT - 9M 2022 EBIT (KEUR) Adj: EBIT Q2/22 1915K€ ● EBIT on expected level ● Influenced by ○ Expansion of global teams ○ German team on board ○ Local sales in Nordics ○ R&D capacity increased ○ Investments in future growth ○ New digital tools *2021 Revenue includes one-off effects from FX & sales of

  25. Slide 25: Free Cash Flow 9M 2022

    Free Cash Flow 9M 2022 Free Cash Flow FCF in-line with Guidance & Growth Main drivers: ● 5 Mio. € increased stock ● 2.5 Mio. € higher customers receivables and prepayments to suppliers ● 2.1 Mio. € higher salary costs ● 1 Mio. € paid dividend *2021 Revenue includes one-off effects from FX & sales of

  26. Slide 26: Guidance 2021 - 2022

    *YoY change from FY2020 to FY2021 Guidance The adjustment is for the written off receivable form Link (385K€) 2021 - 2022 All numbers are IOT only Guidance in € Targets FC 9M 2022 ACT 9M 2022 2022 Guidance 2022 New FC Regional Expansion, Increase Revenue Revenue CAGR 28.2M 29.5M 43.5M 45 - 46M YoY G

  27. Slide 27: Guidance 2022 - 2025

    *YoY change from FY2020 to FY2021 Guidance 2022 - 2025 All numbers are IOT only Guidance in € Targets 2022 new FC 2023 2024 2025 Regional Expansion, Increase Revenue Revenue CAGR 42,5% 45 - 46M 62.5M 89M 125M YoY Growth 48 - 51% 44% (37%) 42% 40% Gross Profit % 50% 49.5% 49.0% 48.5% EBIT 10 -10.5M 1

  28. Slide 28: Outlook

    Allterco Group Outlook

  29. Slide 29: Other success

    Other success …to prepare next steps in development 01 02 03 Shelly @ School Shelly @ School Schelly in News Shelly in 5 German Several German schools Magazines 6 Danish school work with integrate Shelly as well in Shelly on the front page of Shelly to educate future the education of future the bigg

  30. Slide 30: Q4 Outlook

    Q4 Outlook 01 02 03 Black Friday Campaigns New Webshop Preparing 2023 Already live in the US Early preparation of Budget of Sales and Costs Launch in Europe after Black promotions and processes Preparing Q1/2023 Friday

  31. Slide 31: Leveraging Challenges

    LEVERAGING CHALLENGES Undeterred by Macro Changes 01 02 03 Macroeconomic Revenue Supply Chain Changes Scaling Risks Prepared for inflationary & Ensuring consistent growth Managed logistics costs FX impacts in unsure times across entire supply chain

  32. Slide 32: Summary - Q3 2022

    Summary - Q3 2022 ● 3rd consecutive Quarter of overachievement ● Investments in future developments - growth Transformation ● Very solid financial situation - equity ratio of 90.4% ● Headcount nearly doubled in last 12 month - from 80 to 152 ● New online shop live in the USA - go live in Europe post

  33. Slide 33: Forward Looking Goals

    Forward Looking Goals ● Planned growth from 30 Mio. € (2021) to 125 Mio. € (2025) ● Planned EBIT margin of around 30% by 2025 ● Addressing regions with high potential (France, UK, Nordics) ● KPI driven capital allocation across all regions - Investing for future growth ● Commercial momentum in Digit

  34. Slide 34: Investor Relations

    Allterco Group Investor Relations Upcoming events APR JUN JUN AUG NOV MAR 27th 16th 15th 2023 1st Research Q1 Trading General H1 Trading Q3 Trading Q4 started with Update Meeting of the Update Update Consolidated Montega Shareholders Financial Report Update on Strategy & Revenue Guideline Investor R

  35. Slide 35: Q&A

    ) ‘ Q&A ®, ALLTERCO

  36. Slide 36: Supporting Information

    Supporting Information Quarterly Revenue The information opposite is available in spreadsheet format via invest Accounting Notes Quarterly Report on Activities Annex Additional Information Inside Information

  37. Slide 37: Definitions

    Definitions Term Definition Term Definition Earnings before interest and taxes (EBIT) is an indicator of a company's EBIT profitability. EBIT can be calculated as revenue minus expenses excluding Inorganic Inorganic growth arises from mergers or takeovers rather than an increase tax and interest. in

  38. Slide 38: Appendix - Notice to Reporting

    Appendix - Notice to Reporting The following presentation, including any printed or electronic copy of these slides, the talks given by the presenters, the information communicated during any The Presentation includes statements that are, or may be deemed to be, forward-looking statements. These sta

  39. Slide 39: Investor Relations

    Allterco Group Investor Relations Denitsa Stefanova Investor Relations Officer investors@allterco.com

  40. Slide 40: Allterco Group Q3 2022 Trading Update

    Allterco Group Q3 2022 Trading Update

Allterco Group — Q3 2022 Earnings Presentation on 6ix