Enav S.p.a. · MIL:ENAV

Enav — H1 2018 Earnings Presentation

13 slides from Enav's earnings presentation, Aug 2, 2018

  1. Slide 1: First Half 2018 Financial Results

    First Half 2018 Financial Results August 2, 2018

  2. Slide 2: 1H 2018 Highlights

    1H 2018 Highlights ▪ Net Revenue increases by 0.2% YoY to €411.0m ▪ Strong growth in revenue from operations, driven by a further acceleration in traffic ▪ Significant growth in en-route revenue, up 9.3% to €301.3m ▪ Marginal increase in terminal revenue, up 0.7% to €102.8m ▪ Non-regulated revenue a

  3. Slide 3: 1H 2018 Main Traffic Trends

    1H 2018 Main Traffic Trends ▪ En-route service units increase 8.7%1 YoY driven by significant growth in Q2 18 En-route (+9.5%) confirming the trend of Q1 18 (+7.6%): National Traffic breakdown Overflight 19% (by Service Unit) 39% ▪ Overflight service units growth further accelerating to 14.5% YoY 1H

  4. Slide 4: Net Sales Performance

    Net Sales Performance Net sales breakdown €m +0.2% 410 411 7 n.m. ▪ Net sales growth driven by strong performance in Revenue from o/w Balance: 32 o/w Balance: +€2m -€24m Operations, up 6.5%, offset by negative balance 102 103 +0.7% ▪ Significant en-route revenue growth of 9.3% YoY driven by exceptio

  5. Slide 5: Cost Efficiency on Track, Labor Contract Renewed

    Cost Efficiency on Track, Labor Contract Renewed Ongoing external cost optimization ▪ External opex efficiency plan delivering strong results with a further €m 74 (3.1)% reduction of €2.3m YoY: 72 ▪ Lower telecommunication costs driven by contract renegotiation and adoption of new E-NET fiber networ

  6. Slide 6: Personnel Costs Evolution

    Personnel Costs Evolution +1.2% 1.1 244 0.9 0.9 0.2 242 2.0 (0.4) 0.5 (2.2) 239 Personnel H1 Lab contract Productivity LTI Voluntary Overtime Personn. Social Security Personnel H1 Increase in Underlying 17 renewal bonus redundancy Insurance Contrib. 18 Capz'd Personnel H1 personnel 18 €0.5m net €2.2

  7. Slide 7: 1H 2018 Financials Overview

    1H 2018 Financials Overview 6

  8. Slide 8: Net Revenue and EBITDA Development

    Net Revenue and EBITDA Development Net Sales €m 16 +0.2% ▪ Net sales increase of 0.2% YoY driven by solid Operating 0.7 revenue performance, mainly 410 26 (0.5) (0.1) (26) 1 411 in en-route, offset by negative Balance ▪ Balance revenue decreases substantially YoY by €26m mainly due to higher balance

  9. Slide 9: Consolidated P&L and Main Movements Below EBITDA

    Consolidated P&L and Main Movements Below EBITDA Euro '000 Change 1H 18 1H 17 Amount % ▪ D&A marginally decreases by Revenue from operations 417,147 391,534 25,613 6.5% €1.5m, due to normalization of Balance (24,026) 1,608 (25,634) n.a CapEx in recent years Other operating income 17,870 16,857 1,013

  10. Slide 10: Cash Flow and Capitalization

    Cash Flow and Capitalization ▪ Cash balance decreases by €82m in 1H 18 vs YE 17, as a result of: ▪ Capex of €53.3m, cash Capex of €39.9m Maturity Total debt Current (<1 outstanding/cash (€m) ▪ Debt repayments of €18.3m year) Non-current Total Debt 21 344 365 ▪ Dividends paid and shares buy back, res

  11. Slide 11: New Organizational Structure

    New Organizational Structure Board of Directors The new structure is intended to: Chairman Internal Audit ▪ Provide a clear and easily understandable organizational representation Chief Executive Officer ▪ Foster the integration Techno Sky S.r.l. ENAV Asia Pacific Sdn. Bhd. within the Group ▪ Ration

  12. Slide 12: Guidance Confirmed

    Guidance Confirmed Flat to low single-digit net revenue growth, with decrease in regulated tariff offset by expected growth in traffic Capex of  €125m EBITDA margin stable YoY at approx. 32% 2019 DPS expected to grow by 4% over 2018 11

  13. Slide 13: Disclaimer

    Disclaimer This presentation contains certain forward-looking statements that reflect the Company’s management current views with respect to future events and financial and operational performance of the Company and its subsidiaries. These forward looking statements are based on ENAV S.p.A.’s curren

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