Rai Way Spa · MIL:RWAY
Rai Way Spa — 9M2017 Earnings Presentation
17 slides from Rai Way Spa's earnings presentation, Nov 7, 2017
Slide 1: 9M2017 Results Presentation
9M2017 Results Presentation Rome, 7th November 2017 7 November 2017 1 9M2017 Results
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements regarding future events and the future results of Rai Way that are based on current expectations, estimates, forecasts, and projections about the industries in which Rai Way operates, as well as the beliefs and assumpti
Slide 3: Rai Way Participants
Rai Way Participants • Aldo Mancino, Chief Executive Officer • Adalberto Pellegrino, Chief Financial Officer • Giancarlo Benucci, Head of Corporate Development & IR 7 November 2017 3 9M2017 Results
Slide 4: Key messages
Key messages Solid results confirming quality of execution Contribution from new services to RAI in line with expectations; finalization of RAI- Government Service Agreement to drive future activities Best-in-class profitability supported by continuous focus on efficiencies Adjusted EBITDA g
Slide 5: 9M2017 Financial Highlights
9M2017 Financial Highlights % YoY growth Mln Eur; % Core Revenues Adjusted EBITDA Net Income Adjusted EBITDA margin 162,1 +0,5% 161,3 89,0 +2,9% 86,4 44,0 +35,3% 54,9% 32,6 53,6% 9M16 9M17 9M16 9M17 9M16 9M17 Capex Net debt Cash conversion(3) Net Debt / 1-y rolling Adjusted EBITDA 93,2% 94,3% 14,5 8
Slide 6: Core Revenues
Core Revenues Eur Mln; % 161,3 162,1 +0,5% • Revenues from RAI broadly flat YoY due to ca. € 1m one- Third-Parties off in 2016 mainly related to cyclical events (European 25,8 26,3 +1,8% Football Cup and Rio Olympic Games) RAI – New services 3,2 3,3 Main contributors to New services to RAI include
Slide 7: Opex (excluding one-offs)
Opex (excluding one-offs) Eur Mln; % • Excluding extraordinary items, personnel costs declined by approx. 3% vs. 9M16 thanks to early retirement plan and optimization of variable components of salary 75,0 73,9 -1,5% Headcount trend (excl. change of scope) # of employees Personnel 33,9 33,6 -0,8% cos
Slide 8: P&L
P&L Eur Mln, % 3Q 2016 3Q 2017 % YoY 9M 2016 9M 2017 % YoY Core Revenues 54,7 54,1 -1,2% 161,3 162,1 0,5% Other Rev enues 0,0 0,7 0,1 0,8 • 9M17 Net Income up 35,3% at € 44,0m driven by: Opex (excl. one-offs) -24,0 -22,6 -5,6% -75,0 -73,9 -1,5% - Higher Other revenues Adj. EBITDA 30,8 32,2 4,6% 86,4
Slide 9: Cash Flow generation
Cash Flow generation Net Debt/1y rolling Adj. EBITDA Eur Mln; % Investments include: - development capex of ca. € 2,1m 0,14x - M&A(3) of ca. € 7,4 m Dividend 0,08x 16,0 payment 2,3 9,4 Net Debt EBITDA Capex Taxes(1) Financial Δ NWC 41,8 Funds & Net Debt 2016YE charges(2) Other 9M2017 (88,5) 17,0 Inc
Slide 10: Balance Sheet
Balance Sheet Eur Mln 9M17 Balance Sheet 12,6 (32,5) 180,0 16,0 199,9 164,0 Net Fixed Net Net Funds Net Net Debt Equity Book (2) Assets (1) Working Invested Value Capital Capital (1) Including long-term financial items 7 November 2017 10 (2) Net funds include employee termination indemnities , provi
Slide 11: 2017 Outlook revised
2017 Outlook revised • ADJUSTED EBITDA 2017 Adjusted EBITDA to continue in the growth trajectory of recent years • CAPEX 2017 Maintenance capex below long-term target of 8,5% of core revenues Going forward, Maintenance capex level expected to remain, on average, around long term target 7 Novem
Slide 12: Q & A session
Q & A session — FUTTTVLUT TTT D TT TTT
Slide 13: Contacts
Contacts - Investor Relations +39 06 331 73973 investor.relations@raiway.it 7 November 2017 13 9M2017 Results
Slide 14: Appendix
Appendix ___§—, TUDTETUT TELE TT TTTT TTT TTT TEE
Slide 15: Detailed summary of Income Statement
Detailed summary of Income Statement (€m; %) 3Q16 3Q17 9M16 9M17 Core revenues 54,7 54,1 161,3 162,1 Other rev enues 0,0 0,7 0,1 0,8 Purchase of consumables (0,2) (0,2) (0,9) (0,8) Serv ice costs (13,2) (12,2) (37,7) (37,1) Personnel costs (9,7) (9,3) (37,2) (33,8) Other costs (0,8) (0,8) (2,7) (2,7
Slide 16: Summary of Balance Sheet
Summary of Balance Sheet 2016FY 9M2017 2016FY 9M2017 (€m) (€m) Non current assets Equity Tangible assets 205,2 189,1 Share capital 70,2 70,2 Intangible assets 2,2 10,3 Legal reserv es 10,1 12,2 Financial assets, holdings and other non-current assets 0,5 0,4 Other reserv es 37,0 37,1 Non-current tax
Slide 17: Summary of Cash Flow Statement
Summary of Cash Flow Statement (€m) 3Q2016 3Q2017 9M2016 9M2017 Earnings before taxes 19,4 23,5 49,1 62,3 Depreciation and amortization 10,8 8,5 32,1 24,9 Prov isions and others 0,6 0,4 1,9 1,0 Net financial Income 0,5 0,4 1,5 1,1 Other non-monetary items 0,0 0,0 0,0 0,0 Net operating CF before chan