Elior Group Sa · EURONEXT:ELIOR
Elior Group Sa — H1 2020-2021 Earnings Presentation
31 slides from Elior Group Sa's earnings presentation, May 20, 2021
Slide 1: First Half 2020-2021 Financial Results
First Half 2020 - 2021 Financial Results Thursday, May 20, 2021
Slide 2: Disclaimer
Disclaimer This document was prepared by Elior Group for the sole purpose of this presentation. This presentation includes only summary information and does not purport to be comprehensive. The information contained in this document has not been independently verified. No representation or warranty,
Slide 3: First half highlights
01 First half highlights
Slide 4: First Half 2020-2021: Positive FCF despite persisting Covid-19 impact
First Half 2020-2021: Positive FCF despite persisting Covid-19 impact Persisting Covid-19 impact: › Organic revenue contraction of 22.3% in H1 2020-2021 › Tightening of restriction measures in all our geographies during the period Elior’s agility has continued to deliver: › Drop-through of 14% in H1
Slide 5: Elior is accelerating its transformation
Elior is accelerating its transformation 5 Value Creation Drivers 1 Attractive Markets Catering Customer 5 Centricity/CSR 2 Cash Management Services Cross-sell /upsell Cost Client Optimization Retention 4 3 4
Slide 6: Leveraging Central Production Units
Leveraging Central Production Units 21 16 177 sites 88 52 Cross market segment collaboration driving more opportunities North America France to our central production units Spain Italy 5
Slide 7: Elior North America: Kitchen on Demand Initiatives
Elior North America: Kitchen on Demand Initiatives Proven Track Record: Emergency Meals Growth Opportunity › Kitchen on Demand Strategy Council put in place to leverage our collective efforts to drive the full Feeding those Feeding People Helping those Helping capacity utilization Impacted by our po
Slide 8: Elior Italy: Innovation Driving New Opportunities
Elior Italy: Innovation Driving New Opportunities Proven brand & technology Growth Opportunity › 30-year old iColti brand at the forefront › Untapped profitable opportunities up to 150km of innovation away from our central production units › 6 product lines, 5 lifestyles, 400 recipes › Agile concept
Slide 9: Elior France: Acquisition of Start-up Nestor
Elior France: Acquisition of Start-up Nestor Elior and Nestor share the same values, culinary experience and a common identity Nestor stands out from the competition by: Elior acquired Nestor to: › Offering global cuisine using fresh, › Complement traditional B&I offering and expands healthy and sea
Slide 10: Elior, sustainable by essence, activist by choice
Elior, sustainable by essence, activist by choice A long-term philosophy Every day at Elior we passionately Elior’s sustainability strategy is Elior’s Carbon ambitions, underpins accompany our guests transition built around four pillars of our CSR policy, are aligned with our toward better food choi
Slide 11: Elior's carbon commitments
Elior's carbon commitments Greenhouse gas emission -12% by 2025, compared to 2020, Food waste per meal, scope 1-2-3* -30% reduce by 2025, compared to 2020, per meal Context Renewable electricity Efforts adjusted to the Paris agreements › We have an active role in the transition to a less carbon-inte
Slide 12: Dynamic Business Development
Dynamic Business Development Key First Half 2020-2021 Contract won and renewed: › Catering France: Amazon, Atomic Energy Commission in Grenoble, the Ferrandi culinary & hotel management school & Amreso Bethel senior care home in Strasbourg › Services France: Auvergne-Rhône-Alpes region, Airbus Unive
Slide 13: First Half 2020-2021 performance
02 First Half 2020-2021 performance
Slide 14: Revenue Analysis
Revenue Analysis (in €m) 2,459 -547 1,869 1 -44 -22.3% -1.7% First Half Organic Growth Acquisitions Forex First Half 2019-2020 2020-2021 13
Slide 15: First Half 2021 Revenue Analysis
First Half 2021 Revenue Analysis (in €m) Group Revenue by Geographic Segment Group Revenue by Market 2,459 2,459 France Business 1,869 & Industry 1,869 1,086 1,086 1,056 International Education 618 890 890 788 Corporate Health 679 & Other 1,367 & Welfare 1,367 979 979 615 572 6 0 H1 2020 H1 2021 H1
Slide 16: EBITA Analysis
EBITA Analysis (in €m) Group Adjusted EBITA Group Adjusted EBITA margin 52 52 37 2.1% France 26 -4 -11 -12 -1.3% -9 International -50 -25 -25 -8.0% Corporate -56 & Other -15 -121 -121 H1 2020 H2 2020 H1 2021 H1 2020 H2 2020 H1 2021 15
Slide 17: P&L
P&L (in €m) H1 2021 H1 2020 YoY change Revenue 1,869 2,459 -24% Adjusted EBITA (25) 52 -77 Adjusted EBITA margin (1.3)% 2.1% -3.4pts Share based compensation (0) (2) +2 Net amort. of intangible assets recognized on consolidation (9) (10) +1 EBITA (34) 40 -74 Impairment of goodwill 0 0 0 Non-recurrin
Slide 18: Financial Results
Financial Results (in €m) H1 2021 H1 2020 YoY change Financial interests (net) (20) (13) -7 Amortization of issuing fees (1) (1) 0 Net foreign exchange 3 (2) +5 Other (2) (1) -1 Net financial expenses (20) (17) -3 17
Slide 19: Income Tax
Income Tax (in €m) H1 2021 H1 2020 YoY Tax on added value (CVAE) (7) (9) +2 Current Tax 2 (8) +10 Deferred Tax 9 2 +7 Total Income Tax 4 (15) +19 18
Slide 20: First Half 2021 Free Cash Flow Analysis (IFRS16)
First Half 2021 Free Cash Flow Analysis (IFRS16) (in €m) -29 -7 1 18 -11 2 57 Change in OWC: €12m 31 29 H1 2021 CAPEX Securitization US Minority Other Change Other Cash Items H1 2021 Tax Paid H1 2021 Adjusted EBITDA shareholders in OWC Op. FCF Free Cash-Flow buyout 19
Slide 21: CapEx Evolution
CapEx Evolution As a % of revenue* 4.0% 3.8% 3.5% 2.9% 2.3% 2.3% 2.4% 2.2% 1.5% H1 2017 H2 2017 H1 2018 H2 2018 H1 2019 H2 2019 H1 2020 H2 2020 H1 2021 * Excluding Areas 20
Slide 22: Net Debt Analysis, excluding IFRS16
Net Debt Analysis, excluding IFRS16 (in €m) -29 -1 -767 -16 -4 -2 -6 -796 Sept. 2020 Free Cash Flow Financial Discontinued Net FX and Mar. 2021 Net Debt excluding IFRS16 Fees Activities Acquisitions Other Net Debt Including IFRS16 Elior Group’s net debt was €1,038m compared to €995m at September 30,
Slide 23: Liquidity Analysis
Liquidity Analysis (in €m) -36 +189 819 225 630 -18 9 -16 594 -4 -7 Sept. 2020 FCF excl. Securitization Financial Discontinued FX and Mar. 2021 State Mar. 2021 Available securitization Fees Activities Other Available Guaranteed Available Liquidity Liquidity before Loan (PGE) Liquidity PGE 22
Slide 24: Concluding remarks
Concluding remarks
Slide 25: Conclusion
Conclusion IR Short-term outlook › North America and the UK is well positioned to bounce back sooner than France, Italy and Spain › French Education market impacted by stricter Covid-19 protocol in place since end-March › September will be key given planned easing of restriction measures and structu
Slide 26: Q&A
Q&A
Slide 27: Appendices
OW e rf OL? eliorsroup APPENDICES
Slide 28: First Half 2020-2021: IFRS16 Impact on P&L
First Half 2020-2021: IFRS16 Impact on P&L (in €m) H1 2021 H1 2021 IFRS 16 As Published Before IFRS 16 Impact Other operating expenses (195) (226) +31 D&A (90) (61) -29 Recurring operating profit (34) (36) +2 Adjusted EBITA (25) (27) +2 Financial expenses (net) (20) (16) -4 Net result from discontin
Slide 29: First Half 2020-2021 Free Cash Flow Year-on-Year (IFRS16)
First Half 2020-2021 Free Cash Flow Year-on-Year (IFRS16) (in €m) -5 0 42 31 57 -81 0 -7 25 Change in OWC YoY: €50m H1 2020 Adjusted CAPEX Securitization US Minority Other Other Tax Paid H1 2021 Free Cash Flow EBITDA Shareholders Change in OWC Cash Items Free Cash Flow buyout 28
Slide 30: Net Debt Analysis (IFRS16)
Net Debt Analysis (IFRS16) (in €m) -43 -16 31 -4 -2 -6 -995 -14 -32 -1,038 Sept. 2020 Free Cash Flow Financial Fees Discontinued Net FX and OBS IFRS16 Mar. 2021 Net Debt Activities Acquisitions Other adjustment Net Debt 29
Slide 31: Financial Agenda
Financial Agenda July 28, 2021 November 24, 2021 Third quarter revenues Full year results 2020-2021 2020-2021 30