Elica S.p.a. · MIL:ELC
Elica — 9M 2022 Earnings Presentation
26 slides from Elica's earnings presentation, Oct 27, 2022
Slide 1: 9M Results 2022 Analysts Presentation
9M Results 2022 ANALYSTS PRESENTATION THURSDAY OCTOBER 27TH, 2022
Slide 2: Agenda
AGENDA 1 9M 2022 HIGHLIGHTS 2 INDUSTRY TREND 3 SALES DYNAMICS ECONOMICS 4 & FINANCIALS 5 CLOSING REMARKS 2
Slide 3: 9M 2022 Highlights
9M 2022 HIGHLIGHTS INDUSTRY TREND & MKT SHARE INDUSTRY TREND & MKT SHARE EVOLUTION 3
Slide 4: 2022 in a Nutshell
2022 IN A NUTSHELL FIRST HALF SECOND HALF ▪ Slow down in demand impacted by supply chain ▪ The inflationary trend (rocketing energy and gas prices) and macroeconomic disruptions with increasing is driving down consumer confidence, sharpening and significant inflation customers destocking measures ▪
Slide 5: Q3 2022 Results Highlights
Q3 2022 RESULTS HIGHLIGHTS NET SALES YoY Change ▪ Positive organic growth driven by Cooking own 128,8 M€ -8,6 M€ brands and Motor division performance despite a -6,3% massive drop in demand (organic: +0,6%) EBIT ADJ YoY Change ▪ Very strong organic margin offsetting 14 M€ cost 7,0 M€ -1,2 M€ inflati
Slide 6: 9M 2022 Results Highlights
9M 2022 RESULTS HIGHLIGHTS NET SALES YoY Change ▪ After a record year in 2021, and despite the negative 419,0 M€ +12 M€ market demand scenario, Organic sales growth of +3,0% +4,1% (organic: +4,1%) EBIT ADJ YoY Change ▪ Robust operating margin achieved in an unfavorable 25,6 M€ +0,6 M€ inflationary e
Slide 7: Industry Trend & Market Share
INDUSTRY TREND & MKTTREND INDUSTRY SHARE INDUSTRY TREND & MKT SHARE EVOLUTION 7
Slide 8: 2022 Cooker Hoods Industry Shipments
2022 – COOKER HOODS INDUSTRY SHIPMENTS (Units YoY Change) Q1‘22 H1 ‘20 Q2’22 Q3’22 H1 ‘20 9M’22 H1 ‘20 Key evidence GENERAL REMARKS The situation of the global economy remains challenging, as the war in Ukraine lingers and Western Europe (1.9%) (9.7%) (14.7%) (8.8%) private consumption shows signs o
Slide 9: Sales Dynamic
SALES DYNAMIC 9
Slide 10: Sales Key Drivers
SALES KEY DRIVERS Q3 9M -8,6 M€ -6,3% +12,1 M€ +3,0% +0,8 -12,6 137,4 +0,6% +16,6 -30,1 +6,7 419,0 +3,2 128,8 +19,0 406,9 -9,2% +2,3% +1,6% +4,1% M€ M€ -7,4% +4,7% Q3 2021 Organic Divestiture Acquistion Currency Q3 2022 9M 2021 Organic Divestiture Acquistion Currency 9M 2022 Net Sales growth Net Sal
Slide 11: Sales Drivers & Regional Overview
SALES DRIVERS & REGIONAL OVERVIEW Q3 9M -6,3% +3,0% +2,7 -12,4 +1,1 +36,0 -28,2 137,4 419,0 128,8 +4,4 406,9 M€ M€ Q3 2021 Americas Emea Asia Q3 2022 9M 2021 Americas Emea Asia 9M 2022 Net Sales Net Sales Net Sales Net Sales Q3 2021 20,3 95,9 21,3 137,4 9M 2021 58,6 291,7 56,6 406,9 Divestiture -12,
Slide 12: Sales by Business
SALES BY BUSINESS Q3 9M -6,3% +3,0% +8,1 +32,9 -20,7 137,4 -16,8 419,0 128,8 406,9 M€ M€ Q3 2021 Motors Cooking Q3 2022 9M 2021 Motors Cooking 9M 2022 Net Sales Net Sales Net Sales Net Sales Q3 2021 23,4 114,1 137,4 9M 2021 62,4 344,5 406,9 Divestiture -12,6 -12,6 Divestiture +19,0 -30,1 -11,1 & M&A
Slide 13: Cooking Sales by Brand
COOKING SALES BY BRAND Q3 9M -14,7% -6,0% 344,5 -15,7 114,1 -9,7 -7,0 97,3 -5,0 323,8 M€ M€ Q3 2021 OEM OWN BRAND Q3 2022 9M 2021 OEM OWN BRAND 9M 2022 Net Sales Net Sales Net Sales Net Sales Q3 2021 51,1 62,9 114,1 9M 2021 157,9 186,6 344,5 Divestiture -12,6 -12,6 Divestiture -30,1 -30,1 & M&A - &
Slide 14: Key Product Categories Performance
KEY PRODUCT CATEGORIES PERFORMANCE ▪ Persistent growth trend in all strategic product families ▪ NikolaTesla range @ 16% of Cooking Sales. ASPIRATION HOBS CEILING BUILT-IN HIGH-END CATEGORIES Vs. LY KEY CAGR CAGR CAGR +40% +38% +42% GROWTH 56 M€ 5,0 M€ 5,0 M€ 16 M€ +26% vs vs +21%3,3 M€ vs 32 M€ vs
Slide 15: Economics & Financials
ECONOMICS & ECONOMICS & FINANCIALS FINANCIALS 15
Slide 16: Margins & Key Result Drivers
MARGINS & KEY RESULT DRIVERS Q3 9M CHANGES vs. PRIOR YEAR €M 2022 2021 % VAR 2022 2021 % VAR Q3 9M NET SALES 128,8 137,4 (6,3)% 419,0 406,9 3,0% ADJ EBITDA 12,8 14,7 (12,8)% 43,3 43,3 0,0% VOLUME -- - % NET SALES 10,0% 10,7% -70 bps 10,3% 10,6% -30 bps PRICE / MIX ++ + RAW MATERIAL INFLATION -- -- A
Slide 17: Focus: NRI & Minorities
FOCUS: NRI & MINORITIES RESTRUCTURING COSTS & NRI MINORITIES €M 2022 2021 €M MINORTY 2022 2021 SHARES Q3 Q3 9M Q3 9M 9M Q3 9M PATENTS AGREEMENT --- -3,2 --- --- RESTRUCTURING SG&A 0,1 1,0 1,5 2,9 ELICA PB INDIA —% — — 1,6 3,4 INDUSTRIAL PLAN 1,3 5,6 15,0 15,0 ARIAFINA 49,0% 0,6 1,2 0,4 1,2 CHINA BUS
Slide 18: 9M 2022 Net Financial Position
9M 2022 – NET FINANCIAL POSITION €M 9M 2022 9M 2021 VAR COMMENTS OPENING NFP (35,1) (61,0) 25,9 IFRS16 EFFECT 12,4 9,7 2,7 ▪ Significant ongoing cash conversion (+16 M€ like for like) OPENING NFP NET of IFR16 (22,7) (51,4) (28,7) financing the payment of the key strategic initiatives: (industrial fo
Slide 19: Closing Remarks & 2022 Guidance
CLOSING REMARKS & 2022 GUIDANCE 19
Slide 20: Closing Remarks
CLOSING REMARKS ▪ H2 2022 still challenging market scenario: ▪ Expected FY2022 revenues: 545 – 550 M€ with positive organic growth (~2%) ▪ Margins trend in line with consensus @6% despite ~60 M€ raw materials, components and energy cost inflation ▪ Solid Net Financial Position supported by destockin
Slide 21: Annex: Financial Highlights
ANNEX: FINANCIAL HIGHLIGHTS 21
Slide 22: Q3 Consolidated Income Statement
Q3 CONSOLIDATED INCOME STATEMENT (*) EPS is calculated by dividing the Net Result pertaining to the Group by the number of ordinary shares outstanding, excluding treasury shares at the same data. 22
Slide 23: Net Working Capital
NET WORKING CAPITAL 2 elica 0 =e Ee a Trade receivables 68.0 85.4 (17.4) % on annualized sales 12.2% 15.7% (350) bps Inventories 121.6 79.8 41.9 % on annualized sales 21.8% 14.7% 710 bps Trade payables (163.8) (128.4) (35.4) % on annualized sales (29.3)% (23.7)% (560) bps Managerial Working Capital
Slide 24: Consolidated Cash Flow
CONSOLIDATED CASH FLOW €M 2022 2021 Operating Cash Flow 14.4 32.6 Capex (*) (12.2) (12.3) Cash Flow from Financial Activities (19.2) (1.3) A Net Financial Position (17.0) 18.9 2 elica 24
Slide 25: Consolidated B/S
CONSOLIDATED B/S (*) Including IFRS 16 effect 25
Slide 26: Slide 26