Moltiply Group S.p.a. · MIL:MOL
Moltiply — Gruppo MutuiOnline — H1 2017 Earnings Presentation
39 slides from Moltiply's earnings presentation, Aug 11, 2017
Slide 1: First Half 2017 Results
First Half 2017 Results August 11th, 2017
Slide 2: Disclaimer
Disclaimer Certain statements contained herein are statements of future expectations and other forward-looking statements. These expectations are based on management's current views and assumptions and involve known and unknown risks and uncertainties. The user of such information should recognize t
Slide 3: Presenting Today
Presenting Today Marco Pescarmona Alessandro Fracassi Francesco Masciandaro Group Chairman and Head of Broking Division Group CEO and Head of BPO Division Group CFO • Founder and key shareholder (16.25% • Founder and key shareholder • Background in auditing (Arthur indirectly through Alma Ventures S
Slide 4: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 4
Slide 5: Business portfolio
Business portfolio Online comparison and intermediation Provision of complex Business Process Broking BPO services operating with a portfolio of Outsourcing services for specific verticals leading brands in the Italian market Division Division within the Italian financial services industry Mortgage
Slide 6: Broking Division – Top brands
Broking Division – Top brands Brand Description Market Position Operations Revenue Model Multi-product Launched in September Focus on marketing activities, Commission on new policy sales aggregator for 2012, is number two player in mostly TV and Internet. With the plus (lower) renewal fees from insu
Slide 7: BPO Division – Main services
BPO Division – Main services Product Life Cycle DISTRIBUTION UNDERWRITING/CLOSING SERVICING • Commercial activities for online • Income Analysis • Current Account Servicing Mortgage lenders (in lenders’ name) • Technical-Legal Analysis • Collections BPO • Centralized packaging • Anti-fraud checks •
Slide 8: Group structure
Group structure Headcount* 1,368 FTE Group structure as of August 10th, 2017 * 2016 average 8
Slide 9: Major milestones
Major milestones START-UP GROWTH RESTRUCTURING NEW GROWTH € 120.7M € 138.1M € 71.8M € 68.3M € 53.4M € 51.0M € 46.4M € 47.9M € 37.7M € 38.5M € 21.8M € 13.2M € 4.5M € 7.8M € 0.1M € 1.0M € 2.7M 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 BPO Division is Broking:
Slide 10: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 10
Slide 11: Transparency and governance standards
Transparency and governance standards Gruppo MutuiOnline is listed since IPO (June 6, 2007) in the STAR Segment of Borsa Italiana’s equity market dedicated to mid-size companies with a capitalization less than Euro 1 billion, which voluntarily adhere and comply with a number of strict requirements i
Slide 12: Shareholding Structure
Shareholding Structure Shareholding structure as of August 10th, 2017* Treasury shares 5.15% Alma Ventures** 32.50% Free Float 37.12% 20.20% 5.03% Investmentaktiengesellschaft für Frankfurter langfristige Investoren TGV Aktienfonds für Stiftungen * Share ownership as communicated to the company by r
Slide 13: Share Performance since IPO
Share Performance since IPO KEY STOCK DATA as of Aug 8th, 2017 Number of Shares 39,511,870 Treasury Shares 2,032,809 Outstanding Shares 37,479,061 Price per Share € 13.40 Market Capitalisation € 502.2 M Since April 2017, MOL is included in the Italian FTSE Italia MID-CAP Index 13
Slide 14: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 14
Slide 15: H1 highlights
H1 highlights EBIT Revenues (€m) (€m) 25 Y-o-Y 20 +24.3% 90 20.4 15 80 16.4 Y-o-Y 10 70 +16.9% 78.7 5 60 67.3 0 H1 2016 H1 2017 50 EBIT margin 24.4% 26.0% 40 30 Net Income (€m) 20 15 Y-o-Y 10 +26.9% 13.9 0 10 11.0 H1 2016 H1 2017 5 0 H1 2016 H1 2017 NI margin 16.3% 17.7% 15
Slide 16: Performance by Division
Performance by Division EBIT Revenues (€m) (€m) 25 Y-o-Y 20.4 90 20 16.4 +24.3% Y-o-Y 78.7 15 8.8 +24.1% 80 Y-o-Y 7.1 Y-o-Y 10 67.3 +16.9% +15.9% Y-o-Y 70 11.7 5 9.4 +24.4% 60 34.1 0 29.4 H1 2016 H1 2017 50 40 Broking Division BPO Division Y-o-Y 30 +17.7% 20 44.6 37.9 EBIT margin 10 (percent of reve
Slide 17: Revenue breakdown
Revenue breakdown Broking Division Revenues BPO Division Revenues (€m) (€m) 50 50 44.6 Y-o-Y 45 45 +28.3% Y-o-Y +17.7% 4.0 40 40 37.9 Y-o-Y 3.6 Y-o-Y 34.1 Y-o-Y 3.1 +13.5% 35 +50.6% 35 29.4 +15.9% 1.2 3.2 9.0 Y-o-Y 30 Y-o-Y 30 +6.2% 0.8 9.5 -9.4% 8.5 25 25 10.5 Y-o-Y 20 6.4 +22.4% 20 Y-o-Y 15 5.3 3.
Slide 18: Evolution of the Italian residential mortgage market
Evolution of the Italian residential mortgage market • The residential mortgage market is undergoing a progressive slowdown, switching from slight growth in Q1 2017 to contraction in Q2 2017. This phenomenon is attributable to the continuation of the decrease of remortgages, accompanied by the fadin
Slide 19: Broking Division – Business outlook 1/3
Broking Division – Business outlook 1/3 During H1 2017, compared to H1 2016, the performance of the Broking Division is driven by the growth of financial and insurance broking, contrasted by the contraction of E-Commerce Price Comparison in terms of revenues and above all of contribution to operatin
Slide 20: Broking Division – Business outlook 2/3
Broking Division – Business outlook 2/3 • Revenues are slightly up in H1 2017, thanks to the increase 16 Consumer Loan Broking Revenues Consumer (€m) Loan of brokered loans. Nevertheless, marketing costs Broking increased faster than revenues, therefore the contribution 12 of the business line to th
Slide 21: Broking Division – Business outlook 3/3
Broking Division – Business outlook 3/3 E-Commerce Price Comparison Revenues E-Commerce • In H1 2017, E-Commerce Price Comparison suffers a contraction 16 (€m) Price of revenues, more pronounced in percentage terms in Q2 2017, Comparison mainly due to the decrease of free organic traffic from the 11
Slide 22: BPO Division – Business outlook 1/3
BPO Division – Business outlook 1/3 In H1 2017, the BPO Division records a strong increase of revenues if compared to H1 2016, mainly due to the solid performance of Mortgage BPO. Profitability also remains high, thanks to the full utilization of production capacity and some targeted interventions o
Slide 23: BPO Division – Business outlook 2/3
BPO Division – Business outlook 2/3 30 Cessione Quinto BPO Revenues • As expected, CQ Loan BPO shows a lower growth rate (€m) CQ Loan than the average of the Division. Management efforts 25 BPO are focused in two directions: on one side, towards the 20 creation of innovative and more “turnkey” outso
Slide 24: BPO Division – Business outlook 3/3
BPO Division – Business outlook 3/3 Asset • The business line continues to grow organically, even if Asset Management BPO Revenues 30 Management there is still a significant concentration of revenues with (€m) BPO the main client. In the second part of the year, we will 25 implement a pilot which co
Slide 25: Agenda
Agenda Business Description 1 Share Information 2 Current Trading and Outlook 3 Historical Performance 4 25
Slide 26: Revenue trends by Division
Revenue trends by Division Group Revenues Collapse of the Italian (€m) Mortgage Market 138.1 140 120.7 120 44% 100 58% 47% 80 40% 71.8 68.3 60 61% 53.4 51.0 45% 47.9 37% 46.4 58% 37.7 38.5 40 40% 56% 66% 61% 60% 45% 53% 21.8 60% 20 63% 58% 42% 60% 40% 34% 39% 55% 40% 42% 0 2006A 2007A 2008A 2009A 20
Slide 27: Revenue Breakdown by Business Line
Revenue Breakdown by Business Line Broking Division Revenues (€m) 80 70 61.0 Other Revenues 60 57.2 3% 2% E-Commerce Price Comparison 50 41.9 28% 36% Insurance Broking 40 6% 31.7 32.2 17% Consumer Loan Broking 27.8 25% 18% 30 22.7 25.1 32% 33% 20.5 12% 31% 17.3 4% 11% Mortgage Broking 20 18% 2% 32%
Slide 28: Operating Income by Division
Operating Income by Division EBIT (€m) 40 Collapse of the 35.2 Italian Mortgage 32.0 30.9 Market 30 + 47% 21.9 21.5 22.0 Launch of 57% 20 17.6 Segugio.it 77% 14.5 78% 84% 36% 10 8.5 77% 93% 5.6 53% 67% 3.6 43% 23% 80% 32% 64% 33% 23% 22% 7% 16% 20% 68% 0 2006A 2007A (a) 2008A 2009A 2010A 2011A 2012A
Slide 29: Net Income
Net Income Net income (€m) 23.5 24.8 25 20.9 20 14.8 14.4 15.3 15 9.7 9.9 10 5.2 5 3.6 3.8 0 2006A 2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015A 2016A Net income margin (%) 40% 32% 30% 29% 29% 30% 26% 24% 19% 18% 20% 14% 9% 10% 7% 0% 2006A 2007A 2008A 2009A 2010A 2011A 2012A 2013A 2014A 2015
Slide 30: Dividend Payout
Dividend Payout Earnings per share, consolidated Dividends per outstanding share (€) (€) 0.70 0.45 0.59 0.58 0.40 0.60 0.56 0.36 0.37 0.35 0.50 0.30 0.30 0.41 0.40 0.38 0.38 0.25 0.21 0.30 0.20 0.25 0.24 0.15 0.15 0.12 0.12 0.12 0.12 0.20 0.09 0.10 0.09 0.09 0.10 0.05 0.00 0.00 2007 2008 2009 2010 2
Slide 31: Appendix
teh Appendix
Slide 32: H1 Profit & Loss
H1 Profit & Loss (€000) H1 2017 H1 2016 % Var. Rev enues 78,665 67,288 16.9% Other income 1,185 1,269 -6.6% Capitalization of internal costs 513 375 36.8% Serv ice costs (28,779) (25,017) 15.0% Personnel costs (25,096) (21,731) 15.5% Other operating costs (2,565) (2,216) 15.7% Depreciation and amort
Slide 33: Quarterly Profit & Loss
Quarterly Profit & Loss (€000) Q2 2017 Q1 2017 Q4 2016 Q3 2016 Q2 2016 Rev enues 40,131 38,534 39,524 31,257 34,454 Other income 657 528 559 511 703 Capitalization of internal costs 314 199 402 162 213 Serv ice costs (14,800) (13,979) (14,053) (11,632) (13,101) Personnel costs (12,926) (12,170) (12,
Slide 34: Q2 Profit & Loss
Q2 Profit & Loss (€000) Q2 2017 Q2 2016 % Var. Rev enues 40,131 34,454 16.5% Other income 657 703 -6.5% Capitalization of internal costs 314 213 47.4% Serv ice costs (14,800) (13,101) 13.0% Personnel costs (12,926) (11,333) 14.1% Other operating costs (1,062) (1,008) 5.4% Depreciation and amortizati
Slide 35: Q2 highlights
Q2 highlights EBIT Revenues (€m) (€m) 15 50 Y-o-Y 10.6 10 8.2 +29.2% Y-o-Y 4.4 +14.4% 40.1 3.8 40 Y-o-Y 5 34.5 +16.5% 6.2 Y-o-Y Y-o-Y 4.4 +42.0% 16.6 +10.3% 0 30 Q2 2016 Q2 2017 15.0 20 Broking Division BPO Division Y-o-Y 23.5 +21.3% 10 19.4 EBIT margin (percent of revenues) 0 Q2 2016 Q2 2017 Q2 201
Slide 36: Balance Sheet – Asset Side
Balance Sheet – Asset Side As of June 30, December 31, (€000) Change % 2017 2016 ASSETS I ntangible assets 51,768 53,874 (2,106) -3.9% Property, plant and equipment 14,193 13,412 781 5.8% Associates measured w ith equity method 1,068 1,224 (156) -12.7% Deferred tax assets - 1,402 (1,402) -100.0% Oth
Slide 37: Balance Sheet – Liability Side
Balance Sheet – Liability Side As of June 30, December 31, (€000) Change % 2017 2016 LIABILITIES AND SHAREHOLDERS' EQUITY Total equity attributable to the shareholders of the I ssuer 67,560 66,734 826 1.2% Minority interests 7,094 7,874 (780) -9.9% Total shareholders' equity 74,654 74,608 46 0.1% Lo
Slide 38: Net Financial Position
Net Financial Position As of June 30, December 31, (€000) Change % 2017 2016 A. Cash and cash equiv alents 67,060 42,231 24,829 58.8% B. Other cash equiv alents - - - N/A C. Financial assets held to maturity or for trading 912 677 235 34.7% D. Liquidity (A) + (B) + (C) 67,972 42,908 25,064 58.4% E.
Slide 39: Declaration of the manager responsible for preparing the Company's financial reports
Declaration of the manager responsible for preparing the Company’s financial reports Declaration Pursuant to Art. 154/bis, Paragraph 2 – Part IV, Title III, Chapter II, Section V-bis, of Italian Legislative Decree No. 58 of 24 February 1998: “Consolidation Act on Financial Brokerage Pursuant to Arti