Landis+gyr Group Ag · SIX:LAND
Landis+gyr — Investor Day (January 2019)
14 slides from Landis+gyr's investor day presentation, Jan 29, 2019
Slide 1: Capitalizing on the evolving role of smart metering
“Capitalizing on the evolving role of smart metering at the heart of the energy industry revolution” Landis+Gyr Markets & Strategy Update Richard Mora, CEO © Landis+Gyr | January 29, 2019 | Capital Markets Day 1
Slide 2: Landis+Gyr – at a glance
Landis+Gyr – at a glance Global leader in smart metering solutions… … serving three regional segments Landis+Gyr Group: 1’738m Net Revenues in FY17 120 Years Asia-Pacific (8%) USD 138m Swiss HQ with of service to Serving Nearly USD 1b offices in 30+ customers 3’500+ of self-funded Americas1 (56%) co
Slide 3: Why customers choose Landis+Gyr
Why customers choose Landis+Gyr We offer flexible business models… …delivering multiple layers of value to utilities Most comprehensive end-to-end product, solutions End-to-end offering and services offering in the market. Flexible managed Services based business model services model, providing util
Slide 4: Industry disruption drives need for grid edge intelligence
Industry disruption drives need for grid edge intelligence Traditional “3-D” drivers of Decentralized Grid edge intelligence power grid industry disruption power grid ▪ Decarbonization, ▪ Distributed intelligence at decentralization and each endpoint (grid edge) digitalization disrupting the ▪ Near
Slide 5: Three platforms for growth with attractive addressable market sizing and dynamics
Three platforms for growth with attractive addressable market sizing and dynamics 3 | Smart infrastructure 2 | Grid edge intelligence Multi-Utility infrastructure 1 | Smart metering Distribution management before the Smart street lighting Infrastructure Smart electricity, gas and heat meters meter (
Slide 6: Landis+Gyr has established leadership in smart metering and continues to strengthen its core business
Landis+Gyr has established leadership in smart metering 1 Smart metering and continues to strengthen and build its core business Landis+Gyr continues to strengthen core offering Software & Services Smart meters Communication networks for data aggregation and management Meter data Residential Commerc
Slide 7: Core smart metering business has geographic diversity that supports long-term growth
Core smart metering business has geographic 1 Smart metering diversity that supports long-term growth Early stage Mass deployments Replacement ▪ Regions where smart meter penetration <20% ▪ Smart meter penetration well underway ▪ 2nd wave rollouts already started moving towards ▪ Regulation for smar
Slide 8: Grid edge intelligence is a reality today, driving significant utility benefits
Grid edge intelligence is a reality today, driving 2 Grid edge intelligence significant utility benefits Emerging grid edge use cases Role of Landis+Gyr offerings Regulated Enable distributed energy Use smart meters and grid edge devices to improve distribution energy flows on the grid: home energy
Slide 9: Gridstream Connect – new IoT platform at the grid edge
Gridstream® Connect – new IoT platform enabling 2 Grid edge intelligence flexibility, resilience and security at the grid edge Grid edge intelligence is key to operating a decentralized grid Key Benefits ▪ Integrated data visualization and analysis ▪ Network and device management solutions Applicati
Slide 10: Smart infrastructure offers additional avenues for expansion
Smart infrastructure offers additional 3 Smart infra- structure avenues for expansion Smart infrastructure use cases Role of Landis+Gyr Smart streetlighting solutions Continue organic growth in smart infrastructure. Explore inorganic avenues for growth through M&A and partnering Water resource usage
Slide 11: Performance against IPO guidance | FY17
Performance against IPO guidance | FY17 FY17 guidance vs. FY16 actual results FY17 (vs. FY16) actual results Net Revenues c. 3% growth ✓ USD 1’738m (+4.7% or +2.6% in constant currency) Adjusted EBITDA1 Flat in USD terms at USD 208m ✓ USD 208m ✓ Margin: 12.0% Free Cash Flow USD 60-70m ✓ USD 87.5m 1.
Slide 12: Performance v. IPO equity story | Status FY18
Performance v. IPO equity story | Status FY18 IPO Status Outlook Strong performance with robust market activity for NAM USD 1b market, 3% CAGR smart metering solutions continuing in the IOU and ▪ Landis+Gyr expects the second half Resiliency 34% market share of FY18 to be stronger than the first Pub
Slide 13: Mid-term guidance | FY21
Mid-term guidance | FY21 FY21 Guidance Group ▪ Net Revenues expected to grow based on targeted profitable smart metering opportunities ▪ Adjusted EBIDTA margins expected to increase to between 13.5% and Mid single digit annual 14.5% of Net Revenues as EMEA and AP return to profitability Net Revenues
Slide 14: Share buy back
Share buy back ▪ Announced today a share buy back program of up to CHF 100m to run over a three year cycle ▪ May be stopped at any time ▪ Landis+Gyr is undertaking this program ▪ As an opportunity to purchase our stock which we believe is currently priced below industry multiples ▪ As a means to imp