Gpi Spa · MIL:GPI
Gpi Spa — Investor Presentation (May 2019)
40 slides from Gpi Spa's investor presentation, May 2019
Slide 1: Investor Presentation
Investor Presentation May 2019
Slide 2: Corporate Video
Corporate Video Being the leading partner in the route to innovation for care, therapy and preventive models to ensure health and well- being
Slide 3: A History of Growth: Figures
2016 – 2018 A History of Growth: Figures M&A ≈ 65 M€ Deals REVENUES M€ +13% Vs 2017 203.7 + 32% CAGR Total Rev. 2018 +16% CAGR Organic Growth 179.9 2017 136.2 2016 Adj. EBITDA M€ HEADCOUNT Avg. Age 39.5 +10% Vs 2018 28.6 4,377 2018 2018 2017 26.1 2017 3,904 20.1 3,675 2016 2016 3
Slide 4: Vision
VISION Being the leading partner in the route to innovation for care, therapy and preventive models to ensure health and well-being 4
Slide 5: Mission
MISSION Partnering up with the Healthcare Institutions to ensure the continuous improvement of internal processes, so that they can provide accurate and efficient care pathways through bespoke software, services and technologies 5
Slide 6: The Healthcare Partner. The Patient at the Centre
THE HEALTHCARE PARTNER. THE PATIENT AT THE CENTRE
Slide 7: Strategic Business Areas
Strategic Business Areas > Y GM OW Automation Ict
Slide 8: Software and Care Revenues
SOFTWAREREVENUES GPI REVENUES CARE REVENUES ∆ +18% ∆ +13% ∆ +6% 76.7 M 90.7 M 179.9 M 203.7 M 83.2 M 88.2 M 43 % 45 % 100 % 100 % 46 % 43 % 2017 2018 2017 2018 2017 2018 18.1 M 22.3 M 26.1 M 28.6 M 5.0 M 3.7 M 23.8 % 24.7 % 14.5 % 14.0 % 6.7 % 4.7 % Adj. EBITDA Adj. EBITDA Adj. EBITDA Others Others
Slide 9: Revenues: Domestic Market vs Overseas
Revenues Domestic Market vs Overseas ITALY OVERSEAS 184.8 M 17.1 M 2018 91.5 % 8.5 % ∆ +12% ∆ +30% 165.7 M 13.1 M 2017 92.6 % 7.4 % in Euros. 9
Slide 10: Significant Growth in 2018
Significant Growth in 2018 Revenues +13%, Net Profit +21% Dividend equal to 0.33 € d.p.s. +10% • Revenues 203.7 M€, +13% thanks to the M€ 2018 2017 contribution of the two business areas: restated • Software +18%, • Overseas +30% Revenues & others income 203.7 179.9 Adjusted Revenues 192.9 170.9 • 2
Slide 11: Economic-Financial Highlights 2018
Economic-Financial Highlights 2018 A3.1 CERVED Rating confirmed A- S&P |A3 Moody’s | A-1 Fitch • Net Working Capital M€ 2018 2017 75.6 M€ (66.0 M€ in 2017): • increase in trade receivables linked to significant revenues increase in 2018 and commercial cycle of Net Working Capital 75.6 66.0 some work
Slide 12: Highlights 2018
HIGHLIGHTS 2018 INTERNATIONAL • Contract awarded for BPO CUP Lazio region (72 M€ • 17,1 M€ revenues in 2 years + 1 year extension) + 30% 2018 vs 2017 • Entry into the market of the public sector with e- • Malta National Electronic Patient Payments and Collection Record (5 M€) & State Police (1M €) (
Slide 13: Outlook 2019
Outlook 2019 REVENUES > 230 M EBITDA > 14% Others 8% + 5% +20% • new contracts / Care • Increase of 19% Software extensions Automation in 73% the retail markets in Italy and overseas +20% • PA increase by reinforcement of • Strengthening of the business of target H_PUB - Region Uni.IT and PAROS Lazi
Slide 14: Competitive Scenario, Business Models, Strategic Guidelines 2020-2022
Investor Presentation Competitive Scenario, Business Models, Strategic Guidelines 2020-2022
Slide 15: Market Analysis
Cs Market eZ Analysis
Slide 16: Market Analysis | Software
Market Analysis | Software MARKET VALUE $59 B > Global market value of software & services - IT Healthcare (2018) +5,1 % vs 2017 47 % North America Market 29 % West Europe Market || Source: Gartner (2018) $0,8 B > Italian market value of software & services - IT Healthcare (2018) 1,41% vs the global
Slide 17: Market Analysis | Software: Market Share
Market Analysis | Software MARKET SHARE Market SW and SVC. - Italy 2017 6.2% GPI’s market share Focus on Company Brief Description Ranking Healthcare ICT system and related services 1st for public & private Healthcare institutions ICT services for finance, Through its 2nd industry, telco&utilities
Slide 18: Market Analysis | Care
Market Analysis | Care MARKET VALUE n.a. > Global market value for Administrative Services – not available because of its eterogeneus nature, impossible comparison at an international level € 155 M > Italian market value for Administrative Services – 2017 underestimated market size – a share of the
Slide 19: Business Model
Business Model
Slide 20: Software
SOLUTIONS THAT MAKE DIFFERENCE ERP - Enterprise Resource Planning HR - Human Resources HIS - Hospital Information System Software Population Health Management Veterinary & Food Safety Blood Bank Management Integration Middleware Content Access Portals 20
Slide 21: Care
ALWAYS CARING, ALWAYS HERE Business Process Outsourcing Auxiliary Administrative Services such as: Health Services Booking, Contact & Call Centre, Front-end/desk, Secretariat, Care Cultural Mediation for foreign citizens, etc. Social and Virtual Care Health- and Social-care Services, Telemedicin
Slide 22: Customers
Customers +1,900 Public and private customers Hpub Hpri NHpub NHpri 2018 72% 9% 9% 10% 2017 80% 5% 7% 8% • Health Authorities • Analytics, Providers • Municipalities • Large-Scale Distributors • Hospitals • Trade Associations, • Provinces • Banking Institutions • Nursing Homes, Insurance Companies •
Slide 23: Main Customers
Main Customers LOCAL AUTHORITIES REGIONAL AUTHORITIES PRIVATE ENTITIES INTERNATIONAL AUTHORITIES 23
Slide 24: Italy and Worldwide Solutions
ITALY + 40 Branches WORLDWIDE 18 Branches SOLUTIONS + 60 Countries 24
Slide 25: High Visibility: 68% of Revenues from Recurring Fees
High Visibility: 68% of Revenues from Recurring Fees Business Models Revenues 2018: 90.7 M€ (45%) Revenues 2018: 88.2 M€ (43%) ● 50% of Revenues from recurring fees ● 95% of Revenues from recurring fees ● Revenues = software development ● Revenues = € 1-3 per contact + periodic maintenance + fixed a
Slide 26: Promising Core Business Portfolio
Promising Core Business Portfolio ● 10.8 M€/year awarded contracts in the ● 20.3 M€/year awarded contracts in the last 3 years last 3 years ● Tender portfolio: 38 M € revenues to ● Tender portfolio: 68 M € revenues to book in 2018-2020 book in 2018-2020 745 M€ value of procurements in which GPI part
Slide 27: Strategic Guidelines 2020-2022
Strategic Guidelines 2020-2022
Slide 28: Guidelines 2020-2022
Guidelines 2020-2022 01 02 03 04 05 MORE GLOBAL PRIVATE HC LEADERSHIP FROM PROVIDER FROM • +10% revenues 2019 (Software, Automation, Pay) GROWTH HEALTHCARE TO PARTNER PRODUCTS/SERVICES • +300% in the triennium • Strong development of the private ITA • Multi-business nature TO INTEGRATED (M&A Softwar
Slide 29: M&A Strategies 2019
Investor Presentation M&A Strategies 2019
Slide 30: Vision Mission M&A
VISION MISSION MA & 30
Slide 31: Our M&A Pathway
Our M&A Pathway GPI was incorporated in 1988 acquisitions and strategic alliances has been driving its growth. In 2013 Orizzonte SGR became a shareholder. In december 2016 the consolidation with the SPAC Capital for Progress 1 was effective; GPI’s stocks and warrants were listed on the AIM Italia. T
Slide 32: M&A Guidelines: Market
M&A Guidelines MARKET MA & 1. Slow to decide and to change the planning (ITA) 2. Software is a commodity of service 3. Fragamentation (ITA) 32
Slide 33: M&A Guidelines: Organisation
M&A Guidelines ORGANISATION 1. Diversified Team of Lawyers 2. External Team of Advisers / Tax 3. Internal Team Finance 4. Internal Team Techincal Analysis 5. Whole Process Internal Management 33
Slide 34: M&A Guidelines: Integration
M&A Guidelines INTEGRATION INTERNAL TEAM • 2 years for internal integration • Immediate Integration Costs • 1 year for the first savings 34
Slide 35: M&A Guidelines: Target
M&A Guidelines TARGET ITALY 1. Software / Services / Area Completion (1-10 M€) 2. Big Player OVERSEAS 1. Structured Companies Software (20-30 M€) 2. Software Completion 35
Slide 36: M&A Guidelines: Resources
M&A Guidelines RESOURCES • BOND • TRADIZIONAL LOAN • WARRANT • STOCK / STOCK • Big Player • Abroad 36
Slide 37: Investment Opportunity: GPI in the Stock Market
GPI IN THE STOCK MARKET INVESTMENT OPPORTUNITY Bloomberg: GPI:IM 15,909,539 Ordinary Shares (ISIN: IT0005221517) Price: 8.40 (6 June 2019) Capitalisation: M€143 (13 May 2019) SHAREHOLDING STRUCTURE (10 May 2019) Leadership and Uniqueness FM SRL: 64.09% Treasury Shares: 0.51% Float: 35.40% Grow
Slide 38: investor.relations@gpi.it
investor.relations@gpi.it 38
Slide 39: IR Contacts
IR Contacts Fabrizio Redavid Lorenzo Giollo Maria Antonietta Pireddu C. +39 335 1035499 C. +39 340 8223333 Via C. Cantù, 1 - 20123 Milan fabrizio.redavid@gpi.it lorenzo.giollo@gpi.it Tel. +39 02 45473883/4 m.pireddu@irtop.com Via Ragazzi del '99, 13 - 38123 Trento T +39 0461 381515 investor. relatio
Slide 40: Disclaimer
DISCLAIMER The material in this presentation has been prepared by GPI S.p.A. (“GPI” or “the Company”) without independent verification and it is general background information about GPI’s activities current as at the date of this presentation. This information is given in summary form and does not p