Agfa-gevaert Nv · EURONEXT:AGFB
Agfa-gevaert Nv — FY2019 Earnings Presentation
31 slides from Agfa-gevaert Nv's earnings presentation, Mar 11, 2020
Slide 1: FY 2019 Results
FY 2019 Results Agfa-Gevaert Group March 11, 2020
Slide 2: Key strategic highlights
Key strategic highlights Sale of part of Agfa HealthCare’s IT business Key strategic The parties received all regulatory approvals and all employee highlights consultation requirements have been met. Both parties aim to close the transaction in the course of the second quarter of 2020. Strategic
Slide 3: Key financial highlights
Key financial highlights Strong cash generation and lower net financial debt Key financial The Agfa-Gevaert Group generated strong cash flows and a highlights dedicated program allowed it to substantially decrease the working capital. As a result, the net financial debt decreased by 38 million Eur
Slide 4: Key priorities
Key priorities Key priorities Implementation of a comprehensive plan to improve the profitability of the Offset Solutions division. Execution of a growth plan for the Imaging IT business, the the Digital Print & Chemicals division and the Radiology division Optimization of cash generation with
Slide 5: Agfa-Gevaert Group FY 2019 = 2,239 million Euro
Agfa-Gevaert Group Sales by division FY 2019 = 2,239 million Euro 16% 38% Offset Solutions 22% Radiology Solutions HealthCare IT Digital Print and Chemicals 24% 5
Slide 6: Agfa-Gevaert Group
Agfa-Gevaert Group Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Sales 599 587 2.1%(0.6%) 2239 2191 2.2%(0.8%) Gross Profit* 194 190 2.1% 729 710 2.8% as a % of s
Slide 7: Agfa-Gevaert Group
Agfa-Gevaert Group Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (incl. IFRS 16) (excl. IFRS 16, (incl. IFRS 16) (excl. IFRS 16, in million Euro restated) restated) Profit & Loss Adjusted EBIT* 39 45 126 128 Restructuring/non- -84 -37 -112 -66 recurring Operating result -46 7 14 62 Non-operating resul
Slide 8: Agfa-Gevaert Group
Agfa-Gevaert Group Based on the solid performances of the growth engines and Main drivers behind the hardcopy product line, the Agfa-Gevaert Group’s top key figures line grew by 2.2%. Both the Radiology Solutions division and the HealthCare IT division delivered profitable growth. Excluding the
Slide 9: Agfa-Gevaert Group: Net financial debt
Agfa-Gevaert Group Net financial debt in million Euro 311 311 276 255 117 219* 115 118 112 194 161 140 144 137 99 106 40 52 55 27 22 18 19 -18 Q 1 ' 1 6Q 2 ' 1 6Q 3 ' 1 6Q 4 ' 1 6Q -37 1 ' 1 7Q 2 ' 1 7Q 3 ' 1 7Q 4 ' 1 7Q 1 ' 1 8Q 2 ' 1 8Q 3 ' 1 8Q 4 ' 1 8Q 1 ' 1 9Q 2 ' 1 9Q 3 ' 1 9Q 4 ' 1 9 * IFRS 1
Slide 10: Agfa-Gevaert Group: Working capital
Agfa-Gevaert Group Working capital* in million Euro Q4 2018 Q4 2019 in million Euro Inventories 498 437 DIOH (in days) 117 103 Trade Receivables, Contract Assets, 374 378 Contract liabilities DSO (in days) 56 57 Trade Payables (219) (234) DPO (in days) 52 55 Trade Working Capital 653 579 as a % of s
Slide 11: Corporate Services
Corporate Services Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Adjusted EBITDA* -5.1 -3.4 51.6% -17.2** -14.3 20.1% Adjusted EBIT* -5.1 -3.4 53.3% -17.4** -14.3
Slide 12: HealthCare IT
HealthCare IT
Slide 13: HealthCare IT FY 2019 = 505 million Euro
HealthCare IT Sales by business FY 2019 = 505 million Euro segment 41% HCIS Imaging IT Solutions 59% 13
Slide 14: HealthCare IT
HealthCare IT Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Sales 131 130 0.7% 505 490 3.0% (-0.3%) (1.6%) Gross Profit* 62 59 4.8% 235 217 8.6% as a % of sales 4
Slide 15: HealthCare IT
HealthCare IT The HealthCare IT division’s top line increased by 3.0%. Throughout the year, the HealthCare Information Solutions business Main drivers behind continuously recorded solid top line growth, confirming its leading key figures position in the German speaking countries of Europe and in F
Slide 16: Radiology Solutions
Radiology Solutions
Slide 17: Radiology Solutions FY 2019 = 536 million Euro
Radiology Solutions Sales FY 2019 = 536 million Euro by business segment 6% Hardcopy 36% CR/DR 58% Classic Radiology 17
Slide 18: Radiology Solutions
Radiology Solutions Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Sales 153 150 1.8% 536 514 4.2% (-0.7%) (3.2%) Gross Profit* 61 51 18.3% 201 179 12.3% as a % of
Slide 19: Radiology Solutions
Radiology Solutions In the Radiology Solutions division, the top line growth of Main drivers behind the hardcopy and Direct Radiography ranges was partly counterbalanced by the market-driven decline in Computed key figures Radiography sales. Clearly benefiting from the reorganization of the distri
Slide 20: Digital Print & Chemicals
Digital Print & Chemicals
Slide 21: Digital Print & Chemicals FY 2019 = 355 million Euro
Digital Print & Chemicals Sales FY 2019 = 355 million Euro by business segment 42% 42% Inkjet Electronic Print Films and Foils 16% 21
Slide 22: Digital Print & Chemicals
Digital Print & Chemicals Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Sales 89 88 1.5% 355 337 5.5% (0.8%) (4.1%) Gross Profit* 23 24 -4.6% 101 93 8.2% as a % o
Slide 23: Digital Print & Chemicals
Digital Print & Chemicals Main drivers behind The core businesses of the Digital Print & Chemicals division key figures performed strongly in 2019. The division’s gross profit margin improved from 27.7% of revenue in 2018 to 28.4%. Adjusted EBIT amounted to 22.3 million Euro (6.3% of revenue),
Slide 24: Offset Solutions
| \ ‘ \ Offset Solutions '
Slide 25: Offset Solutions FY 2019 = 843 million Euro
Offset Solutions Sales FY 2019 = 843 million Euro by business segment 12% Digital computer-to-plate Analog computer-to-film 88% 25
Slide 26: Offset Solutions
Offset Solutions Q4 ’19 Q4 ’18 ∆% FY’19 FY’18 ∆% Key figures (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) (excl. IFRS 16) (excl. IFRS 16, (excl.curr.) in million Euro restated) restated) Profit & Loss Sales 226 218 3.3% 843 850 -0.8% (1.9%) (-2.5%) Gross Profit* 48 55 -12.8% 193 222 -13.0% as a % of
Slide 27: Offset Solutions
Offset Solutions The Offset Solutions division’s revenue remained almost stable at 843 million Euro. Mid 2019, the consolidation of the sales coming Main drivers behind from the alliance with Lucky HuaGuang Graphics started to show in key figures the division’s top line. The Offset Solutions divis
Slide 28: Pensions
Pensions AGFA &
Slide 29: Pension Status (4 material countries)
Pension Status (4 material countries) Excluding Belgian DC Plans 2018 2019 ∆ Funded status in million Euro Funded Status (1001) (1068) (67) Obligations 1970 2041 (71) Assets 969 973 4 29
Slide 30: Pension cost and cash outflow (4 material countries)
Pension cost and cash outflow (4 material countries) Excluding Belgian DC Plans Cost and cash outflow in million Euro 2018 2019 2020 (Est) Pension cost expected to Pension Cost in EBIT 21 21 24 increase and net interest cost expected to decrease versus Net interest cost 22 21 15 2019 mainly due to a
Slide 31: Questions & Answers
Questions & Answers AGFA &