Esautomotion Spa · MIL:ESAU
Esautomotion Spa — Investor Presentation (October 2021)
33 slides from Esautomotion Spa's investor presentation, October 2021
Slide 1: October 2021
Ce UTM OT LON, ~ October 2021
Slide 2: Company Overview
Section 1 Company Overview 2
Slide 3: At a Glance
At a Glance 3 1H21 Financials • Esautomotion (ESA) develops and sells Integrated Mechatronic CNC Systems (Software and HW), Motors, Drivers and other tools for the €13.9mn 55% automation of industrial production machines Revenue Foreign Revenue +70.2% YoY • ESA is the only manufacturer in the world
Slide 4: At a Glance
At a Glance 4 1H21 Consolidated Financial Results 1H21 Key Numbers €13.9mn 55% 60 42 Employees Revenue Foreign Revenue Value Added Resellers +2%YoY €4.1mn 29.2% 310+ 3 EBITDA EBITDA margin Clients Foreign Branches (Brazil, China and Spain) +12.5pp YoY €2.4mn 18% Net Income Net Income margin +14pp Yo
Slide 5: Key Milestones
Key Milestones 5 Since the management buyout, our strategy is based on the following drivers of growth: FOCUS ON SYNERGIC AND PROFITABLE MARKET NICHES 50, 0% 20, 0 HARDWARE OPTIMIZATION AND A COMPLETE FULL-PACKAGE 18,5 18,6 In 1H21 Business 17,7 45, 0% Growth Goes with INTERNATIONALIZATION 40, 0% 15
Slide 6: Footprint and Distribution
Footprint and Distribution 6 ITALY R&D 1 Department BARCELONA Sales SHANGHAI 1 Subsidiary Production San Brazil 1 Site Spain&Portugal Marin… 2,9% 6,9% Other 8,0% Italy 44,8% SAN PAOLO Turkey 1 Production Site Headquarter 15,2% Subsidiary China 18,2% Value Added Reseller Note: Data as of June 30th, 2
Slide 7: Management and BoD
Management and BoD 7 FRANCO FONTANA ANDREA SENZOLO GIUSEPPE ZOTTOLI Chairman and Founder Sales Manager and Board Member Independent Director and OPC Chairman Andrea Senzolo joined ESA in 2012. Previously, he Having graduated in Economics, Giuseppe Zottoli Franco Fontana boasts 18 years of experience
Slide 8: Business Overview
Section 2 Business Overview 8
Slide 9: Products (1/2)
Products (1/2) 9 INTEGRATED CNC SYSTEM… …FOR CLIENTS’ AUTOMATED MACHINES to process Metal, Wood, Marble and Other Materials The Brain: CNC SOFTWARE CNC Software integrated with HW sends commands to determine and control machine movements The Nervous System: DRIVERS Managed by CN, control motor’s spe
Slide 10: Products (2/2)
Products (2/2) 10 We develop and sell CNC SW and HW dedicated to several applications All the CNC application software share the same user interface Dedicated Software Advantages Better performance Cost reduction CNC APPLICATION SOFTWARE Strong integration with the customer for each type of final ma
Slide 11: Customer Service – Teleassistance
Customer Service – Teleassistance 11 Spare parts reparation Sales/Installation Support 1 On-site and 24/24 online worldwide support and technical assistance throughout the whole cycle 2 Subsidiaries or Local Partners (sales/service) follow our customers in theirs daily needs 3 Our Headquarter gives
Slide 12: R&D
R&D 12 €1.03mn 28 €8.6mn R&D Investments R&D R&D Investments In FY20 Employees since 2012 R&D Investments (€mn) ALL HW, SW, APPLICATIONS SOLD ARE UNDER ESA’S IP • Growing investments in R&D have enabled ESA to create innovative and high-quality solutions at competitive costs • Development and growth
Slide 13: Areas of R&D Investments
Areas of R&D Investments 13 Hardware Software 4.0 / Networking New devices Intel versus ARM technology • 3D Full interconnection • Tool (cpu used for Smartphone) • CAD between machines • Sensors • Predictive maintenance • Laser measurement • Tool changer • Position corrector • Laser 5Axis head Perfo
Slide 14: Industry 4.0: Three New Launches
Industry 4.0: Three New Launches 14 Smart Bending EsaFour4.0 Smart Tracer Assistant A special smartwatch A suite of four 100% Industry An app that allows to capable of receiving the voice 4.0 software, allowing the remotely check in real time commands of an operator bidirectional exchange of product
Slide 15: Customers: growing old ones and adding new ones
Customers: growing old ones and adding new ones 15 Customer Loyalty Dynamics On average, around 76% of the 2011-2020 annual turnover was generated by historical and recurring customers 7.1% CAGR 2011-2020 of sales from recurring customers
Slide 16: Customer Acquisition and Interaction
Customer Acquisition and Interaction 16 Difficult to enter and difficult to exit UP/CROSS SELLING NEEDS ANALYSIS and FIRST CONTACT Acquire new costumers with high- SOLUTIONS PROPOSITION end solutions and then conquer We analyzes customers' shares selling low-end solutions References products and pro
Slide 17: Case Studies (1/3)
Case Studies (1/3) 17 Acquisition Case Study Up-selling Case Study Cross-selling Case Study Golden Arrow Water Jet Equipment CRRC Corporation Limited (CRRC), is the Yawei Wuxi, the largest Chinese Manufacturing Co. of Shanghai is a largest manufacturer of railway rolling manufacturer of press brakes
Slide 18: Case Studies (2/3)
Case Studies (2/3) 18 Acquisition Case Study Up-selling Case Study The US subsidiary of Mitsubishi, SCM is a leading company in the wood producer itself of numerical controls, has sector, with more than 1,200 machines decided to equip part of its press-bending produced per year. machines with ESA CN
Slide 19: Case Studies (3/3)
Case Studies (3/3) 19 Argesystems Automatic Tool Changer May 2019: the biggest Chinese Manufacturer This company developed together with us a The biggest Pressbrake/Laser new device to replace an heavy job: tools manufacturer in the world. We customize changing on press brake. This device uses our C
Slide 20: Market
Section 3 Market 20
Slide 21: CNC market: focus on niches to dominate them
CNC market: focus on niches to dominate them (ante Covid-19) 21 CNC market global evolution Automation 14.0 Market 12.0 Dimension: 200 $/B 10.0 ? COVID-19 ($/billion) 8.0 Mechatronics 6.0 Market Dimension: 54 $/B 4.0 (27% of Automotion) 2.0 0.0 CNC Market CNC Other Machines 2017E 2018F 2019F 2020F 2
Slide 22: Features of market applications
Features of market applications 22 METAL FORMING METAL CUTTING (LASER) ✓ Very strong development in the world, especially in China ✓ Great relevance of Turkey and China ✓ Most of machines equipped with plasma technology, oxy, ✓ Fundamental machine for developing countries punching and shears will be
Slide 23: Main Competitors
Main Competitors 23 Our software is recognized as a CNC standard for industrial machines in the sheet metal segment No turn key solutions No turn key solution No turn key solutions
Slide 24: Counter-cyclical strategy adopted in 2019-2020
Counter-cyclical strategy adopted in 2019-2020 24 STRATEGIC GOAL ACTION PLAN DESCRIPTION 1 Customers don’t invest in additional machines but mainly replace the Facing a lower Intensify high-end old ones. They look for: market demand products development • Cost reduction through more automation (high
Slide 25: Key Financials
Section 4 Key Financials 25
Slide 26: 1H21 Financial Results: Strong Profitability Improvement
1H21 Financial Results: Strong Profitability Improvement 26 REVENUE EBITDA • 1H21 revenue increased by +70.2% vs 1H20 mainly driven by: i) a recovery of investments in computer- controlled equipment seen as key factors for future competitiveness within the automation industry by exiting and new clie
Slide 27: Our Vision and Mission
Our Vision and Mission 27 VISION Italian leader provider of the “intelligent” part of automation machines, aiming to become a leader on complementary, synergetic and profitable market niches. MISSION Worldwide coverage in all the producing and purchasing markets. Provide customers with turn key solu
Slide 28: More Opportunities
More Opportunities 28 Lower Costs More Efficient R&D Assistance Enhancement Delayed project ESA LAB to Lockdown New employment increase China increased of Key R&D production remote support Manager More Remote M&A under Training evaluation
Slide 29: Appendix
Section 5 Appendix 29
Slide 30: 1H21 Income Statement
1H21 Income Statement 30 €/000 1H19 1H20 1H21 YoY Revenues from sales and 9,567 8,121 13,889 +71.1% services Other Revenues 154 70 42 (38.7%) Total Revenues 9,721 8,191 13,941 +70.2% Raw materials and change in stocks of semi-finished/finished (5,178) (4,430) (7,174) +61.9% goods Cost of Services (1
Slide 31: 1H21 Balance Sheet
1H21 Balance Sheet 31 €/000 FY20 1H21 Inventory 3,103 3,602 Trade receivables 6,243 9,452 Trade payables (2,780) (4,478) Other receivables (Payables) 469 (266) Provisions (339) (364) Net Working Capital 6,696 7,946 Goodwill 98 98 Intangible fixed assets 1,069 1,267 Tangible fixed assets 652 568 ROU
Slide 32: Shareholder Structure and Stock Performance
Shareholder Structure and Stock Performance 32 Shareholder Structure Stock Performance Since IPO 60,0% 37,9% 40,0% 20,0% Market 20,08% 0,0% 10,5% -20,0% Franco Fontana * 34,56% -40,0% Treasury shares 2,92% -60,0% Arventia S.p.A. 4,81% ESAU-IT FTSE AIM Italia Fintel S.r.l. Market Data 6,94% IPO Date
Slide 33: ESAUTOMOTION S.p.A.
ESAUTOMOTION S.p.A. Viale della Meccanica, 23/1 41012 Carpi (MO) +39 059 851414 info@esautomotion.com