Ekopak Nv · EURONEXT:EKOP
Ekopak Nv — Investor Presentation (September 2022)
42 slides from Ekopak Nv's investor presentation, Sep 19, 2022
Slide 1: Capital Market meeting
Capital Market meeting 19 September 2021
Slide 2: Disclaimer
Disclaimer This presentation may contain forward-looking statements. Such statements reflect the current views of management regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results,
Slide 3: Participants Ekopak
Participants Ekopak Pieter Loose, CEO Els De Keukelaere, CFO 27 September 2021
Slide 4: Sustained momentum for WaaS business
Sustained momentum for WaaS business Unparalleled pipeline
Slide 5: Executive Summary 1H2022 Results
Executive Summary 1H2022 Results 19 September 2022
Slide 6: WaaS: Sustained momentum in revenue growth
WaaS Sustained momentum in revenue growth 25% YoY revenue growth 1H2021/1H2020 283% YoY revenue growth 2H2021/2H2020 336% YoY revenue growth 1H2022/1H2021 EBITDA-margin consistently 67% 19 September 2022
Slide 7: Strategic rebalancing WaaS/non-WaaS
Strategic rebalancing WaaS/non-WaaS Revenue 1H2021 Revenue 1H2022 281; 6% 1225; 16% 4207; 6248; 94% 84% non-WaaS WaaS non-WaaS WaaS 19 September 2022
Slide 8: High satisfaction rate of WaaS clients induces repeat sales opportunities
High satisfaction rate of WaaS clients induces repeat sales opportunities 19 September 2022
Slide 9: Business Outlook
Business Outlook Ekopak ssa
Slide 10: 2022 Outlook reconfirmed
2022 Outlook reconfirmed !!! WaaS revenue: triple digit growth Non-Waas revenue: double digit growth 19 September 2022
Slide 11: Medium Term Outlook
Medium Term Outlook Ahead of plan at this stage! Medium Term Objective: EUR 50 million revenue by 2026 Of which 50% WaaS – 50% non-WaaS Group EBITDA-margin in 40%-50% range 19 September 2022
Slide 12: WaaS KPI's
WaaS KPI’s Contracted Revenue (excluding Waterkracht) 2021: EUR 28,6 million 2022: EUR 32 million WaaS Construction Value September 15th, 2022
Slide 13: Unparalleled pipeline for mid-term
Unparalleled pipeline for mid-term Waterkracht and NextGen projects to yield an impressive level of contracted revenue (over a lifetime of 35 years) Waterkracht contract is in final stage of negotiations Great interest from key industrial players for Waterkracht project, as illustrated by Tota
Slide 14: Waterkracht and NextGen projects
Waterkracht and NextGen projects Long-term commitments (35 years) Huge volumes (and corresponding revenue) 19 September 2022
Slide 15: Important Cashflow Impact for Ekopak NV
Important Cashflow Impact for Ekopak NV Margin on the construction of the factory (sold to JV) Recurring O&M revenu Dividend income from the JV 19 September 2022
Slide 16: NextGen water plant
NextGen water plant • Servicing Waterkracht joint venture as well as direct Ekopak clients in the Port of Antwerp • New water treatment plant will provide surrounding companies with high-quality and sustainable process water. • Ekopak will give the NextGen District the opportunity to be responsible
Slide 17: NextGen water plant
NextGen water plant 19 September 2022
Slide 18: Reproduce successful concepts
Reproduce successful concepts 19 September 2022
Slide 19: Reproduce successful concepts
Reproduce successful concepts 19 September 2022
Slide 20: Geographic expansion: Priority France
Geographic expansion Priority France • Ekopak France: created in August 2021 • Revenue contribution 1H2022: EUR 0.4 million • Promising bids/tenders/projects for blue chip companies expected to be awarded shortly
Slide 21: Acquisition H2O Production - Strengthen Ekopak in French market
Acquisition H20 Production - Strengthen Ekopak in French market • Annual turnover of over EUR 2.5 million • Commercial network • Ideally located – complementary to Ekopak France’s Lyon and Rouen branches • Instant technical support (15 staff) for installations in France • 20 years of experience – IS
Slide 22: Acquisition H2O Production: Strengthening Ekopak's know-how
Acquisition H20 Production Strengthening Ekopak’s know-how Solutions for PFOS PFAS contamination https://www.h2oproduction.fr/ 27 September 2021
Slide 23: Ekopak solutions for water supply
Ekopak solutions for water supply Ekopak offers • major industrial players different solutions so Offering with or without waste that every company Solutions water can recycle water, for all • SME’s one way or the other customers • Public-private partnerships 19 September 2022
Slide 24: Structural improvements for the future, temporary impact on profitability
Structural improvements for the future, temporary impact on profitability In EUR thousands In 000 € 1H2022/ As a % of revenue 1st Half 2022 1st Half 2021 1H2021 1H2022 1H2021 EBITDA WaaS segment 822 199 +313% 67% 71% non-WaaS segment 111 1 097 -90% 2% 26% Corporate segment -1 402 -1 220 + 15% 19% 27
Slide 25: Innovation never stops
Innovation never stops 19 September 2022
Slide 26: Building a strong organisation to support future growth
Building a strong organisation to support future growth
Slide 27: The future is NOW
The future is NOW • Water market is evolving at a fast pace • The summer droughts have made this tangible and visible • Now is the time to establish Ekopak’s position in the market 19 September 2022
Slide 28: Ekopak's future is being built TODAY
Ekopak’s future is being built TODAY • Strengthen Ekopak’s workforce • Create additional capacity • Further explore geographic expansion • Continue to invest in technologic know-how and in innovation 19 September 2022
Slide 29: Strengthen our workforce
Strengthen our workforce • June 2021: 42,3 FTE • Successfully recruited and retained highly talented staff in • June 2022: 82,3 FTE a challenging labour market • Quality of our business = quality of our staff • Intensive training in initial period (temporary impact on efficiency) 19 September 2022
Slide 30: Create additional capacity
Create additional capacity • New corporate building (Deinze, Belgium), including warehouses and engineering workshops • NextGen water plant in the Port of Antwerp 19 September 2022
Slide 31: New corporate building
New corporate building • Deinze (Belgium), easily accessible • 21 hectares • Offices, warehouses, workshops (into which current Tielt, Ghent and Roeselare sites will be integrated – Genk site to remain operational) • Construction work to start in 1Q2023, commissioning is expected for 2H2024 19 Septe
Slide 32: New corporate building
New corporate building • Beyond legal environmental requirements • Energy neutral, or even energy positive • Circular water system • BREEAM/WELL Setting the ESG standard certified 19 September 2022
Slide 33: Coping in turbulent times
Coping in turbulent times Ukrain war Energy prices Supply chain shortages
Slide 34: Turbulent times
Turbulent times Ukrain war: no direct impact Indirect impact - Inflation • Energy prices : minor impact of energy prices. No industrial operations, mainly engineering, limited impact on installation costsEnergy cost of WaaS installations is carried by the client • Salaries and wages: +6% • Component
Slide 35: Turbulent times – How we cope
Turbulent times – How we cope • WaaS: annual indexation clauses are included in all WaaS contracts • Non-WaaS • Price adjustments have been implemented to our clients for services and consumables • Anticipating in all bids and tenders for new projects, including an indexation clause for bids with lo
Slide 36: Solid balance sheet, careful financial management
Solid balance sheet Careful financial management
Slide 37: Solid balance sheet (30 June 2022)
Solid balance sheet (30 June 2022) • Total Equity EUR 57 576 (000) • Balance Sheet Total EUR 71 970 (000) Available funds for • Acquisitions (e.g. iSERV, H2O Production) • Geographic expansion (e.g. creation Ekopak France) • Autofinancing of WaaS-projects when appropriate 19 September 2022
Slide 38: 2. Financial update – Balance sheet
2. Financial update – Balance sheet in 000 € P6 2022 P12 2021 Variance Goodwill 1.035 1.035 0 305 245 60 PPE increased with EUR 2,6 million. 2,1 million of this increase is Intangible assets related to CAPEX of Water-as-a Service (WaaS) installations and Property, plant and equipment 17.455 14.842 2
Slide 39: 2. Financial update – Balance sheet
2. Financial update – Balance sheet in 000€ P6 2022 P12 2021 Variance Equity 57.576 58.583 -1.007 Increase in borrowings mainly due to the proceeds related to engaged borrowings for WaaS installations amounting to million Borrowings 6.155 2.232 3.923 EUR 4,7. Lease liabilities 420 393 27 Prov isions
Slide 40: 2. Finance update - PL P6 2022
2. Finance update - PL P6 2022 Ekopak Group Actual Actual Δ Actual € 000 P6 2022 P6 2021 P6 2021 67% increase in total revenue compared to prior year. Total revenu 7.473 4.488 2.985 Non WaaS revenue increased with 49% compared to prior year. Non WaaS revenu 6.248 4.207 2.041 This is mainly related t
Slide 41: WaaS business momentum extended: triple digit YoY revenue growth in 2022
• WaaS business momentum extended: triple digit YoY revenu growth in 2022 • Non-Waas: double digit revenue growth in 2022 • Unparalleled pipeline for the medium term
Slide 42: The winning spirit: The best is yet to come
The winning spirit The best is yet to come…27 September 2021