Gooch & Housego Plc · LSE:GHH
Gooch & Housego — Shareholder Meeting (February 2019)
9 slides from Gooch & Housego's shareholder meeting presentation, Feb 20, 2019
Slide 1: Annual General Meeting
ANNUAL GENERAL MEETING 20 February 2019 Chairman: Gary Bullard CEO Mark Webster / CFO Andrew Boteler
Slide 2: Photonics and the future
Photonics and the future • Photonics is the study and design of systems that depend on the transmission, modulation or amplification of streams of photons, the basic unit of light. • Photonics is increasingly providing better solutions than electronics alone • Photonics is already transforming manuf
Slide 3: Key highlights – FY 2018, a record year
Key highlights – FY 2018, a record year Operational & Financial • Strong Group financial performance, in line with our expectations, against a back drop of generally favourable market conditions • Demand for microelectronics manufacturing was high throughout year. Hi- reliability fibre couplers down
Slide 4: Financial Overview
Financial Overview Financial Track Record Revenue £’m H1 H2 Adjusted PBT £’m Key points: 140 20 18 120 100 16 14 The business has 80 12 delivered profitable 10 60 8 growth over an nine 40 6 year period. 4 20 2 0 0 15% CAGR in revenues since Dividends pps Net Debt / Cash £’m FY2009. 12 20 Final 1
Slide 5: 2019 current trading
2019 • During the first four months a downturn in demand for critical components used in industrial lasers for microelectronic manufacturing. Further strengthening of demand for fibre optics and hi- reliability fibre couplers for undersea cables in particular • G&H has long been aware of the risks a
Slide 6: Our Strategy
Our Strategy Remains the twin pillars of diversification & moving up the value chain Diversify Exploit high-growth opportunities for our photonics technologies across our three key market sectors to provide balance and reduce exposure to cyclicality Aim to establish ‘critical mass’ in life sciences
Slide 7: FY 2018 acquisitions
FY 2018 acquisitions Broadening our offering ITL Gould Fiber Optics (GFO) • Acquired on 8th August 2018 • Acquired on 6th September 2018 • Purchased for £14.0 million upfront plus • Purchased for $13.0 million upfront plus earnout of up to £8.0 million earnout of up to $3.4 million • Founded in 1977
Slide 8: R&D – Enabling New Applications
R&D – ENABLING NEW APPLICATIONS Space Defence Sensing Micro- Bio- electronics photonics High-speed Laser Directed LIDAR for wind OCT for constellations Energy Weapons sensing Faster lasers for ophthalmic & higher intra-coronary throughput imaging Supporting Networked UAV Fiber sensors on- missile de
Slide 9: Summary and Outlook
Summary and Outlook • G&H has a world class photonics capability and is well placed to take advantage of our selected opportunities • FY 2018 was another strong year financial year, trading in line with expectations • During FY 2018 continued to make substantial investments in capacity, high return
Gooch & Housego — Shareholder Meeting (February 2019) on 6ix