Slide 1: Investor Presentation Preliminary Results FY 2017
INVESTOR PRESENTATION PRELIMINARY RESULTS FY 2017
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Strix Group Plc (the “Company”) and comprises the following presentation slides (the “Slides”) for the sole use at a presentation concerning the Company. The Slides contain statements that are or may be deemed to be “forward-looking statements”, whic
Slide 3: Agenda
Agenda Highlights and Business Overview Financial Review Market Development Growth Strategy New Product Development Current Trading and Outlook Safer by design 3
Slide 4: Highlights and Business Overview
Highlights and Business Overview Safer by design 4
Slide 5: 2017 Highlights
2017 Highlights Strong performance in line with market expectations •Revenues up 2.9% and Adjusted EBITDA up 4.8% •Gross Margin improved by 1.2% to 40.7% Strong cash flow and significantly improved net debt position •Net cash from operating activities increased by 5.6% to £33.8m •Net debt reduced to
Slide 6: Financial Review
Financial Review Safer by design 6
Slide 7: Financial Highlights
Financial Highlights 5.4% pro-rata yield3 Notes: 1 Adjusted results excludes royalty charges and exceptional items which includes share based payment costs, is a non-GAAP metric used by management and is not an IFRS disclosure 2 Net cash generated from operating activities is sourced from consolidat
Slide 8: Profit and Loss Summary
Profit and Loss Summary £m 2017 2016 % Change Revenue 91.3 88.7 +2.9% Gross Profit 37.2 35.0 +6.3% Other Operating Costs - before exceptional (8.5) (8.5) - Other Operating Costs - after exceptional (11.3) (11.0) +2.7% Adjusted PBT* 28.3 26.8 +5.6% Adjusted EBITDA* 35.1 33.5 +4.8% Adjusted PAT* 27.5
Slide 9: Net Debt
Net Debt Net debt at 31 December 2017 RCF balance at 31 December 2017 £45.9m £56.0m (2016: n/a) after £60.8m drawn down in August 2017 Revolving credit facility Unutilised facility at 31 December 2017 £70.0m £14m with facility termination date of July 2022 Net debt: Adjusted EBITDA ratio Covenant re
Slide 10: Market Development
Market Development Safer by design 10
Slide 11: Kettle Controls Market Development – Historical Growth
Kettle Controls Market Development – Historical Growth HISTORICAL MARKET PERFORMANCE (Volume in millions) LESS REGULATED MARKETS Historically penetration has been low, driving growth Demand driven by rising living standards and demand for Western-style convenience goods The Far East and Middle
Slide 12: Growth Strategy
Growth Strategy Safer by design 12
Slide 13: Growth Strategy
Growth Strategy Core KJC New Technologies Aqua Optima Continue to develop “Best in Class” control Leverage on relationships across value chain to launch Position Aqua Optima as the Global portfolio raising the bar for competition across mature technologies and develop full portfolio of Challen
Slide 14: New Product Development
New Product Development Safer by design 14
Slide 15: Product Update: U9 Series – Growth Across all Markets
Product Update: U9 Series – Growth Across all Markets OEM AND BRAND BENEFITS U90/U91/U92 LAUNCHED TO ALL MARKETS GROWTH THROUGH NEW VARIANTS U9 Series offers OEM and Brand benefits External approvals from Intertek, UL and New variants U9 mini and U7 in development CCC/CQC are in place (on same
Slide 16: Market Safety Actions and IPR Update
Market Safety Actions and IPR Update Intellectual Property Rights Safety COPYRIGHT CASE FOR FACSIMILE COPY OF IMMERSED SWITCH IN GERMANY NETHERLANDS Two Rapex issued against copy fitted appliances for fire risk and Successfully settled out of court. earthing risk. EK3 INFRINGMENT CASES IN CHINA
Slide 17: Current Trading and Outlook
Current Trading and Outlook Safer by design 17
Slide 18: Current Trading and Outlook
Current Trading and Outlook Q1 performance positive and in line with market expectations Secured c.50 new specifications following the successful launch of the U9 series of controls Aqua Optima UK distribution has doubled with 1,000 new distribution points The new Baby Prep appliance was lau
Slide 19: Safer by design
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