ROADSHOW PRESENTATION
JANUARY 2020
NOVEMBER 2019
DNA
A K K A G R O U P
2
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
GROUP OVERVIEW 2018
EU LEADER | 1,505 M€ | 9.5% | >20,000 | 25 |
Digital & Engineering | 2018 Group revenue | Revenue Organic | Skilled Employees | |
Countries | ||||
In Mobility | Up 12.8% YOY* | Growth in FY 2018 | Up 35.5% YOY | |
* PDS Tech is consolidated as of 1st November 2018 | |
JANUARY 2020 | 3 |
1984
Creating AKKA in the automotive sector
in France
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
THE MAKING OF A EUROPEAN LEADER
1999 | 2005 | 2012 | 2015 | 2017 | 2018 |
Reaching | INITIAL | 40% | AKKA | Becoming | Enhanced | |||||
€40M | PUBLIC | Revenue | reaches | a leader in | diversificatio | |||||
revenue | OFFERING | generated | €1BILLION | Germany | n in | |||||
accelerating | in revenue | 60% | aerospace | |||||||
aeronautics | outside of | |||||||||
diversificatio | revenue | in the US | ||||||||
become | France | |||||||||
n in | generated | |||||||||
the main | ||||||||||
aerospace | outside | |||||||||
segment | ||||||||||
of France | ||||||||||
2020
Acceleration
in DIGITAL
with DATA
RESPONS
JANUARY 2020 | 4 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
THE MAKING OF A EUROPEAN LEADER
1984 | 1999 | 2005 | 2012 |
2015 | 2017 | 2018 |
2020 |
Creating | Reaching | INITIAL | 40% |
AKKA in the | €40M | ||
PUBLIC | Revenue | ||
automotive | revenue | ||
OFFERING | generated | ||
sector | |||
accelerating | outside of | ||
in France | aeronautics | ||
diversification | France | ||
become | |||
in aerospace | |||
the main | |||
segment
JANUARY 2020
AKKA reaches
€1BILLION
in revenue
Becoming | Enhanced |
a leader in | diversification |
Germany | in aerospace |
60% | in the US |
revenue | |
generated |
outside of France
5
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
AKKA TECHNOLOGIES RANKS AMONG THE TOP 5 EUROPEAN PLAYERS IN ENGINEERING CONSULTING
OUR | OUR OFFER | OUR STRENGTHS | ||
CLIENTS/PARTNERS | ||||
Largest European OEMs and | Support clients in the conception of |
industrial companies. | new products: |
• over entire product design cycle | |
and the value chain | |
• in their international expansion, | |
globalisation and digitalisation |
- Boost our client's performance through innovation, increased value added, agility & cross-sector expertise.
- Tailored transnational turnkey projects.
o Through 21 skills centres
o Thanks to 20,000 dedicated experts worldwide
JANUARY 2020 | 6 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
STRATEGY OF BALANCES
DELIVERING RESULTS SINCE 1999
JANUARY 2020
GEOGRAPHICAL | CLIENT |
BALANCE | BALANCE |
FINANCIAL | SKILLS |
BALANCE | BALANCE |
7
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
BALANCING OUR SKILL-SETS AND
ANTICIPATING DISRUPTIVE
TECHNOLOGIES
1984 | 1995 | 2006 | 2009 | 2011 | 2012 | 2015 | ||||||
2007 | 2015 | 2019 | ||||||||||
Design | Design, | Embedded IT | ADAS/ | Downstream | Mechatronic, | IoT | ||||||
powertrain, | ||||||||||||
office/ | (Coframi) | Link & Go | aerospace | electric & | Digital | |||||||
vehicle | ||||||||||||
process | (Aeroconseil) | hybrids | ||||||||||
architecture | ||||||||||||
JANUARY 2020 | 8 |
DNA
DATA RESPONS | Q3 2019 | H1 2019 |
AKKA 2018 pro forma
Life sciences 6%
Energy 4%
Railways 3%
Suppliers
8%
Others 8%
- 1.7Bn
Aerospace 34%
Automotive | France | North |
37% | 37% | America |
16% | ||
Mobility | ||
82% | € 1.7Bn |
Intl | Germany |
18% | 29% |
JANUARY 2020
9
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
STRONG CLIENT DIVERSIFICATION
JANUARY 2020 | 10 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
COMBINED ACQUISITIONS & ORGANIC GROWTH
REVENUE (€M)
CAGR | |||||||
€1.7B* | 2006-2018* | ||||||
€1.3B | AKKA: | ||||||
+22% | |||||||
€1.0B | |||||||
€0.5B | VS SECTOR: | ||||||
€0.15B | +9% | ||||||
2006 | 2011 | 2015 | 2017 | 2018 | |||
* Pro forma including PDS Tech | |||||||
JANUARY 2020 | 11 |
DNA | DATA RESPONS | Q3 2019 |
PROFITABLE GROWTH
H1 2019
Revenues in €M
1,505
EBITDA % of Sales
2006 - 2018
1,334 | ||||||||||||
1,123 | ||||||||||||
1,002 | ||||||||||||
827 | 879 | 886 | ||||||||||
400 | 474 | |||||||||||
382 | 333 | |||||||||||
160 | 236 | |||||||||||
FY06 | FY07 | FY08* | FY09 | FY10 | FY11 | FY12 | FY13 | FY14 | FY15 | FY16 | FY17 | FY18** |
- Pro forma before the 2009 divestment
- PDS Tech is consolidated as of 1st November 2018
Average : 8.7%
Always > 7%
Leverage Ratio
2006 - 2018
Average : 1.0x
Highest : 2.0x
JANUARY 2020 | 12 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
UNIQUELY POSITIONED TO DESIGN TOMORROW'S PRODUCTS
SMART | A UNIQUE | |
CAPACITY TO | CONNECTED | |
ANTICIPATE | SOLUTIONS | EDGE ON |
DISRUPTIVE | DIGITAL | |
TECHNOLOGIES | ||
TECHNOLOGY | ||
CONSULTING
CAPACITY TO
DELIVER LARGEENGINEERING TRANSNATIONAL
PROJECTS
STRONG TRACK
RECORD IN
INTEGRATING ACQUSITIONS
UNIQUE VISION | 21 SKILL CENTRES | |
DELIVERING | ||
ON THE | ||
TURNKEY | ||
INDUSTRY | ||
SOLUTIONS | ||
JANUARY 2020 | 13 |
PROPOSED ACQUISITION OF DATA RESPONS
C R E A T I N G A U N I Q U E D I G I T A L L E A D E R
14
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
CLEAR 2022
C | L | E | A | R | ||||
CUSTOMER- | LEADERSHIP IN | EXCELLENCE | ATTRACTIVE | RESULTS- | ||||
ORIENTED | INNOVATION | IN DELIVERY | FOR TALENTS | ORIENTED | ||||
Top 20 clients | 75% of our | Increase | Hire 10,000 | Commited to | ||||
above €50M | activities in the | projects gross | talented digital | best-in-class | ||||
revenue* | digital field | margin by 2% | natives | performance |
*On average | |
JANUARY 2020 | 15 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
A SCALABLE DIGITAL INNOVATION
POWERHOUSE
A GAME CHANGER
Perfect | Strong value | |
strategic fit | creation | |
JANUARY 2020 | 16 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 | |
A COMBINED EXPERTISE IN
ENGINEERING & DIGITAL
DIGITAL
MANUFACTURING
DIGITAL WORKER | IOT, AI & ROBOTICS |
DIGITAL | SERVICE & |
ENGINEERING | AFTER SALES |
PRODUCT IV&V | ANALYTICS |
CONNECTED
PRODUCTS
Cybersecurity
JANUARY 2020 | 17 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 | |
A GAME CHANGER
IMMERSIVE
TECHNOLOGIES
DATA | DIGITAL |
APPLICATIONS | |
INTELLINGENCE | |
DESIGN | |
CONSULTING
SHOPFLOOR | ENGINEERING | SYSTEMS |
SOLUTIONS | SECURITY |
SMART
MANUFACTURINGCONNECTED
SOLUTIONS
JANUARY 2020 | 18 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 | |
CLEAR 2022: LAUNCH OF PHASE II
GROWTH | |||||
€ 2.5Bn | ACCELERATORS | ||||
€1.7Bn | |||||
€ 1.3Bn | Automotive | ||||
1 | |||||
€ 0.9Bn | |||||
Aerospace | |||||
CLEAR 2022 | Digital | ||||
2014 | 2017 | 2018 | 2020 | 2022 | |
* AKKA Proforma figures including PDS Tech |
JANUARY 2020 | 19 |
DATA RESPONS
20
Cloud
Electrification
A complete technology partner
for smarter embedded and IoT solutions
- Digitalisation of the industries of tomorrow!
IoT / Digitalisation
AI / | Security |
Analytics |
Connectivity
Software & APPs
Sensor
Embedded | |
Solutions | R&D Services |
Mobile services
JANUARY 2020 | 21 |
SUCCESFULL & PROFITABLE GROWTH
CLEAR 2022 | OPPORTUNITIES |
16x
2000-2018
1,500 | |
1,300 | |
1,100 | |
17% | 900 |
500 | |
700 |
annual growth | 300 |
2000-2018 | |
100 | |
-100 |
FINANCE
REVENUE
00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18
JANUARY 2020
22
AT A GLANCE
NOK I.5 billion
1 400 specialists
>1 000s R&D projects
40 nationalities
JANUARY 2020
CLEAR 2022
5
LOCATIONS
NORWAY
2
LOCATIONS
DENMARK
Our companies:
OPPORTUNITIES FINANCE
3
LOCATIONS
SWEDEN
7
LOCATIONS
GERMANY
TAIWAN
23
DIVERSIFIED CUSTOMER PORTFOLIO
FINANCE & | |
PUBLIC | OTHER |
4% | 1% |
MEDTECH | |
7% | |
SPACE, DEFENCE | MOBILITY |
36% | |
& SECURIY | |
10% |
STRONG | |
DIVERSIFICATION | |
ENERGY & | across several |
MARITIME | industries |
11% | |
INDUSTRY & | |
AUTOMATION | TELECOM & |
14% | |
MEDIA | |
18% |
JANUARY 2020
A CUSTOMER & TECHNOLOGY
DRIVEN ORGANISATION
Building long-term customer relationships
based on strong industry know-how, niche competence and local touch
18%26%
40%
Top 3 customers | Top 5 customers | Top 10 customers |
24
All numbers are YTD figures
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
MAJOR CONTRACT EXAMPLES
- R&D - Product development
- Business critical
- Long-termR&D projects
- Strategically important
- Domain COMPETENCE & industry knowhow
Data driven DEVELOPMENT | Smart INFRASTRUCTURE for IoT | |
support | applications | |
Contract in Germany of | Contract in Sweden of | |
NOK 225 million | SEK 40 million |
MEDTECH solutions | Smart FACTORY | Advanced |
Frame agrmt. in Norway of | Contract in Germany of | COMMUNICATION solution |
NOK 40 million p.a. | NOK 13 million | Contract in Norway of |
NOK 18 million | ||
JANUARY 2020 | 25 |
THE MOTHER OF ALL
TECH BATTLES
ELECTRIFICATION | AUTONOMOUS | SHARED | CONNECTIVITY |
DRIVING | MOBILITY |
Source: GP Bullhound
JANUARY 2020 | 26 |
CARS ARE BECOMING COMPUTERS ON WHEELS
SW frameworks
Embedded
software
ENTERTAINMENT PLATFORM
APPS AND
SERVICES
Connectivity | In-vehicle | AI/analytics | User based | |
remote SW update | ||||
Security | infotainment | insurance | ||
system | ||||
Testing | Autonomous | |||
driving | ||||
Fleet | Condition | |||
Car sharing | management | |||
monitoring | ||||
systems | ||||
Sensors | IoT |
Digitalisation of the product development cycle
New telematics
solutions
Car-as-a-service
AUTONOMOUS
DRIVE/OPERATING
SYSTEM
DATA
ANALYTICS
JANUARY 2020 | 27 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
POSITIONED IN ATTRACTIVE SEGMENTS
Data Respons is involved in several projects across all growth segments
Connectivity and remote SW update solutions
Electric and hybrid drivetrain technology
In-vehicle infotainment systems
Autonomous driving projects (ADAS)
Fleet Management systems
New telematics solutions
Car-as-a-service projects
Car sharing applications
Source: Deloitte 2019 Global Automotive Supplier Study
JANUARY 2020 | 28 |
| Slide 28 |
EVERYTHING
DIGITALISED, CONNECTED, AUTOMATED
EVERYWHERE
JANUARY 2020 | 29 |
A NEW DIGITAL LEADER
WITH STRONG VALUE CREATION
30
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
A POWERFUL €2BN PLATFORM
FOR A DATA-DRIVEN WORLD
Revenues c. EUR 2BN
> 22,000 experts 25 countries
Combined figures | |
JANUARY 2020 | 31 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
A DRIVER TO ACCELERATE PROFITABLE GROWTH
16%
7%
24%
- Average 2016-18
- AKKA current operating profit
JANUARY 2020
GROWTH
2016-18
CAGR
REVENUE
OF WHICH: ORGANIC1
EBITA2
20%
12%
42%
32
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
AN ACCRETIVE TRANSACTION
6%
8.0%
4.3%
Source: Factset consensus
JANUARY 2020
2019E
ORGANIC | >10% |
GROWTH | |
EBITA | 11.9% |
MARGIN | |
MARGIN | |
7.9% | |
NET INCOME | |
→ Estimated EPS accretion > 20%1 | 33 |
1 Based on 2020 consensus EPS and fully phased-in synergies |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
STRONG COMMERCIAL SYNERGIES
Platform for
attracting more
digital talents
Capacity on
federating other
niche players
JANUARY 2020
Boosting digital
activities in countries
with high-demand
Deploying AKKA offering in Nordics
- EUR200M additional REVENUE and c. EUR25M additional EBITA
expected yearly
by end 2022
Opening new doors
for Data Respons
Leverage Data
Respons' software
expertise
34
Key transaction terms
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
KEY TRANSACTION TERMS
- AKKA to launch a voluntary tender offer with support from Data Respons' Board of Directors on or around 13th January 2020
- NOK 48 per share in cash representing a clear premium (as of 18 Dec 2019) of:
- 20% over spot price
- 29% over last 3 month VWAP
- 34% over last 6 months VWAP
- Corresponds to equity value of NOK 3.7BN / € 366M1
- Offer subject to customary regulatory approval in Germany and 90% acceptance rate from Data Respons shareholders
Key support & | • | Transaction recommended unanimously by both Boards of Directors |
commitments | • | Irrevocables totalling c.43% of the register, including the key shareholders |
• | Committed financing in place via existing credit facilities to fund 100% of the purchase price | |
Financing | • | Ample financial headroom & liquidity post acquisition |
JANUARY 2020 | 1 As of 18 Dec, 2019 - NOK/EUR of 0.09962 exchange rate | 35 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
ENVISAGED TRANSACTION TIMELINE
DecemberJanuary
December 19th | Mid-Jan |
Announcement Board | Tender offer |
recommendation | launched |
Offer document approval period
JANUARY 2020
Closing of transaction expected by Q1 2020
FebruaryMarch
Mid-Feb Tender offer results announced
36
Q3 2019
H I G H L I G H T S
37
+7.4%*
€441.1M
GROUP
- Pro-formagrowth JANUARY 2020
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
STRONG PERFORMANCE IN Q3 2019
+2.4%* | +7.0%* |
€123.5M€163.3M
GERMANY | FRANCE |
+7.8%*+16.8%*
€75.9M€78.4M
INTERNATIONAL | NORTH AMERICA |
38
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
STRONG PERFORMANCE IN YTD 9M 2019
+8.0%*
€1,332.5M
GROUP
- Pro-formagrowth JANUARY 2020
+1.7%* | +7.7%* |
€378.9M€494.1M
GERMANY | FRANCE |
+6.7%*+22.7%*
€228.7M€230.8M
INTERNATIONAL | NORTH AMERICA |
39
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
Q3 2019: REVENUE BY BU
€M | Q3 2019 | Q3 2018 | % CHANGE | ORGANIC | PRO FORMA |
REVENUE | REVENUE | ||||
FRANCE | 163.3 | 152.6 | 7.0% | 7.0% | 7.0% |
GERMANY | 123.5 | 120.6 | 2.4% | 2.4% | 2.4% |
NORTH AMERICA | 78.4 | 6.1 | 1,186.6% | 35.1% | 16.8% |
INTERNATIONAL | 75.9 | 70.4 | 7.8% | 6.9% | 7.8% |
TOTAL GROUP | 441.1 | 349.8 | 26.1% | 5.9% | 7.4% |
JANUARY 2020 | 40 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
YTD 9M 2019: REVENUE BY BU
€M | YTD 9M 2019 | YTD 9M 2018 | % CHANGE | ORGANIC | PRO FORMA |
REVENUE | REVENUE | ||||
FRANCE | 494.1 | 458.7 | 7.7% | 7.7% | 7.7% |
GERMANY | 378.9 | 372.6 | 1.7% | 1.7% | 1.7% |
NORTH AMERICA | 230.8 | 16.2 | 1,327.4% | 43.3% | 22.7% |
INTERNATIONAL | 228.7 | 214.2 | 6.7% | 6.2% | 6.7% |
TOTAL GROUP | 1,332.5 | 1,061.7 | 25.5% | 5.9% | 8.0% |
JANUARY 2020 | 41 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
YTD 9M 2019: A WELL BALANCED REVENUE STREAM
TOTAL GROUP | ||
North | +5.9% ORGANIC GROWTH | |
France | ||
America | ||
37% | ||
18% | ||
France +7.7% | ||
YTD 9M 2019 | North America +43.3% | |
€ 1,332.5M | ||
Germany +1.7% | ||
Intl | Germany | International +6.2% |
17%28%
JANUARY 2020 | 42 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
YTD 9M 2019: STRONG DIVERSIFICATION
Chemistry and health
Energy 5% 4%
Railways 4%
Suppliers 12%
Others 11%
Automotive | ORGANIC GROWTH | ||
33% | (YTD 9M 2019) | ||
YTD 9M 2019 | Mobility | ||
€ 1,332.5M | 80% | Aero | Auto |
+10% | +6% |
Railways | |
Aerospace | +17% |
31% |
JANUARY 2020 | 43 |
FINANCIAL RESULTS
H 1 2 0 1 9
44
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: VERY STRONG PERFORMANCE
+25% YoY | +23% YoY | +38% YoY |
€891.4M €60.0M €1.31
H1 2019 REVENUE | OPERATING PROFIT | EPS |
JANUARY 2020 | 45 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: PROFIT FROM BUSINESS OPERATIONS
+50 BPS
At 10.5%*
+40 BPS | GROUP OPERATING | |
+40 BPS | ||
At 7.7% | MARGIN Excl. PDS: | |
At 11.1% | ||
+250 BPS
+40
BPS
At 3.6%
at 7.3%
France | Germany | North America | Intl | ||
* Incl. CIR | H1 2018 | H1 2019 | 46 | ||
JANUARY 2020 | |||||
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
BECOMING A LEADER IN NORTH AMERICA
STRONG INCREASE OF PDS TECH PROFITABILITY
€161M 23%3.6%
PDS TECH H1 2019 | PDS TECH | PDS TECH H1 2019 |
REVENUE | REVENUE GROWTH | OPERATING MARGIN |
JANUARY 2020 | 47 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
AKKA IN H1 2019: NET INCOME UP +41%
€M | H1 2019 | H1 2018 | % CHANGE | |
REVENUE | 891.4 | 711.9 | 25.2% | |
PROFIT FROM ORDINARY ACTIVITIES | 59.2 | 48.8 | 21.3% | |
IFRS 16 Impact | 0.8 | |||
PROFIT FROM ORDINARY ACTIVITIES (Incl. IFRS 16) | 60.0 | 48.8 | 22.9% | |
% REVENUE | 6.7% | 6.9% | -20 bps | |
OTHER NON-RECURRING | (11.5) | (8.0) | ||
FREE SHARES, STOCK OPTIONS | (3.4) | (3.7) | ||
OPERATING INCOME | 45.1 | 37.1 | 21.6% | |
% REVENUE | 5.1% | 5.2% | -10 bps | |
FINANCIAL RESULT | (8.2) | (9.4) | ||
PRE-TAX INCOME | 61.9 | 27.7 | 33.5% | |
TAX EXPENSE | (10.6) | (7.1) | ||
CONSOLIDATED NET INCOME | 26.3 | 20.6 | 27.8% | |
MINORITY INTEREST | (0.04) | (1.9) | ||
GROUP NET INCOME | 26.3 | 18.7 | 40.8% | |
EPS | 1.31 | 0.95 | 38.2% | |
JANUARY 2020 | 48 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: HEALTHY BALANCE SHEET
Assets
In €M | H1 2019 | H1 2018 |
GOODWILL | 611.3 | 286.1 |
INTANGIBLE ASSETS | 20.4 | 19.4 |
PROPERTY, PLANT & | 93.7 | 89.6 |
EQUIPMENT | ||
Right of use/ IFRS16 | 155.7 | |
OTHER NON CURRENT ASSETS | 156.1 | 153.1 |
NON-CURRENT ASSETS | 787.3 | 548.2 |
INVENTORIES | 9.3 | 8.3 |
RECEIVABLES | 397.2 | 371.0 |
CASH AND CASH | 187.3 | 278.2 |
EQUIVALENTS | ||
CURRENT ASSETS | 593.8 | 657.5 |
TOTAL ASSETS | 1,381.1 | 1,205.7 |
Liabilities
In €M | H1 2019 | H1 2018 |
GROUP SHARE OF EQUITY | 267.8 | 237.1 |
NON-CONTROLLING INTERESTS | 0.4 | 61.3 |
SHAREHOLDERS' EQUITY | 268.2 | 273.4 |
NON-CURRENT LIABILITIES | 644.6 | 544.3 |
CURRENT PROVISIONS | 2.9 | 4.5 |
OTHER CURRENT FINANCIAL | 83.5 | 7.7 |
LIABILITIES | ||
CURRENT LEASE | 28.8 | |
LIABILITIES/IFRS16 | ||
OTHER CURRENT LIABILITIES | 353.1 | 375.8 |
CURRENT LIABILITIES | 468.3 | 388.0 |
TOTAL LIABILITIES | 1,381.1 | 1,205.7 |
x2.3
LEVERAGE
JANUARY 2020
49
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
NET DEBT 30th JUNE 2019 + ODIRNANE
NET DEBT (€M) | GEARING | |
179.8 M€ | 41% | |
11.4
317.5
200
25 | 127.5 | |||||||||
52 | 7.5 | 5 | ||||||||
2019 | 2021 | 2022 | 2023 | 2024 | 2027 | |||||
SSD | UNDRAWN RCF | PDS RCF | CP | |||||||
JANUARY 2020
DEBT PROFILE (%) AS OF 30/06/2019
CP | |
5% | SSD |
93% |
RCF:
€545M (not drawn as of 23/12/2019)
NEU CP ISSUE:
€240M potential unused
DEBT CHARACTERISTICS: | |||
• | Average maturity of 3 years | • | Leverage pos ODIRNANE: |
• | Average cost of debt: 1.4% | 1.15x * | |
• | Gearing post ODIRNANE: | ||
41% * |
*without IFRS16
50
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
NET DEBT SEASONALITY (€M)
369
279
223 | 244 | ||||||||||||||||||||||||||||||||||||||||||||||
195 | |||||||||||||||||||||||||||||||||||||||||||||||
141 | |||||||||||||||||||||||||||||||||||||||||||||||
109 | 94 | 97 | |||||||||||||||||||||||||||||||||||||||||||||
76 | |||||||||||||||||||||||||||||||||||||||||||||||
30 | 46 | ||||||||||||||||||||||||||||||||||||||||||||||
FY 13 | H1 14 | FY 14 | H1 15 | FY 15 | H1 16 | FY 16 | H1 17 | FY 17 | H1 18 | FY 18 | H1 19 | ||||||||||||||||||||||||||||||||||||
JANUARY 2020 | 51 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
PAST 12 MONTHS: EVOLUTION OF NET CASH POSITION (€M)
CHANGE IN | ACQUISITIONS & | ||||||||
NET CASH | WORKING | CHANGE IN | FINANCING | FINANCIAL | NET CASH | ||||
30/06/18 | CASH FLOW | CAPITAL | TAXES | CAPEX | SCOPE | DIVIDENDS | ACTIVITIES | INTERESTS & OTHER | 30/06/19 |
(32.7) (14.9)
125.7
278.2
(25.6)
(119.5)
(13.8) 12.8 (22.9)
187.3
JANUARY 2020 | 52 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
PAVING THE WAY TO CLEAR 2022:
STRONG CAPACITY TO FUEL GROWTH
FINANCING CAPACITY
€907M
GROSS CASH | CF* | ODIRNANE |
30/06/2019 | ||
+ €545M | + €175M | |
€187M |
* Credit Facility | |
JANUARY 2020 | 53 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
2019 TARGETS CONFIRMED
Organic | Operating | Free | |||
cash flow | |||||
growth | margin | ||||
generation | |||||
10% | |||||
≥ 6% | ≥ 8% | ≥ 5% | |||
0% |
JANUARY 2020 | 54 |
THANK YOU!
Q&A SESSION
55
JANUARY 2020 | 56 |
C O N T A C T
AKKATechnologies1 | ||||||
akka-technologies | @akka_tech | |||||
akka-technologies.com
JANUARY 2020 | 57 |
DISCLAIMER
- This presentation does not contain or constitute an offer of securities for sale or an invitation or inducement to invest in securities in France, the United States or any other jurisdiction.
- This presentation may contain information expressed as forward-looking statements. Forward-looking statements are statements that are not historical facts. Forward-looking statements may include anticipations, projections and their underlying assumptions as well as statements (regarding plans, objectives, expectations and intentions, future financial results, potential events, operations, services, products). Such information concerns either trends or targets and cannot be regarded as results forecasts or as any other performance indicator.
- This information is by nature subject to risk and uncertainty, that may cause the actual results to differ from those mentioned in the forward-looking statements. Even though AKKA Group's management believes that the expectations reflected as of the date of this presentation in such forward-looking statements are reasonable, this information does not reflect the Group's future performance and is not intended to give any assurances or comfort as to future results. Therefore no-one should unduly rely on these forward-looking statements. The AKKA Group makes no commitment to update this information.
- More comprehensive information on the AKKA Technologies Group may be obtained on our website.
JANUARY 2020 | 58 |
APPENDICES
59
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: REVENUE BY BU
€M | H1 2019 | H1 2018 | % CHANGE | ORGANIC | PRO FORMA |
REVENUE | REVENUE | ||||
FRANCE | 330.8 | 306.0 | 8.1% | 8.1% | 8.1% |
GERMANY | 255.4 | 252.0 | 1.4% | 1.4% | 1.4% |
NORTH AMERICA | 152.4 | 10.1 | 1,412.5% | 48.2% | 26.1% |
INTERNATIONAL | 152.8 | 143.8 | 6.2% | 5.8% | 6.2% |
TOTAL GROUP | 891.4 | 711.9 | 25.2% | 5.9% | 8.3% |
JANUARY 2020 | 60 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
REVENUE BY QUARTER (€M)
+26.1%
443.7 | 446.3 | 445.2 | 441.1 |
357.6 | 353.9 | 358.0 | 349.8 | |
328.3 | 338.2 | |||
299.5 | 310.3 |
268.3 281.8 272.9
Q1 16 | Q2 16 | Q3 16 | Q4 16 | Q1 17 | Q2 17 | Q3 17 | Q4 17 | Q1 18 | Q2 18 | Q3 18 | Q4 18 | Q1 19 | Q2 19 | Q3 19 |
JANUARY 2020 | 61 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: PROFIT FROM BUSINESS OPERATIONS
H1 2019 | H1 2018 | ||||
€M | % of revenue | €M | % of revenue | Growth | |
FRANCE | 24.9 | 7.5% | 21.9 | 7.2% | 12.3% |
GERMANY | 19.7 | 7.7% | 18.5 | 7.3% | 4.3% |
NORTH AMERICA | 5.6 | 3.6% | 0.1 | 1.1% | 5,400% |
INTERNATIONAL | 17,0 | 11.1% | 15.4 | 10.7% | 9.7% |
OTHER | (7.1) | (7.1) | |||
TOTAL GROUP | 60.0 | 6.7% | 48.8 | 6.9% | 23.0% |
JANUARY 2020 | 62 |
DNA DATA RESPONS Q3 2019 H1 2019
H1 2019: IFRS 16 impact
IN €M | H1 2019 | IFRS 16 | H1 2019 | ||
(W/O IFRS 16) | IMPACT | (IFRS 16) | |||
EBIT | 59.2 | 6.6% | 0.8 | 60.0 | 6.7% |
EBITDA | 69.4 | 7.8% | 16.3 | 85.7 | 9.6% |
FINANCIAL | -6.5 | -1.7 | -8.2 | ||
RESULT | |||||
NET RESULT | 27.1 | 3.0% | -0.8 | 26.3 | 2.9% |
NET DEBT | 618.9 | 41.4% | 157.4 | 526.3 | 59.0% |
LEVERAGE | 2.26x | 2.96x | |||
COVENANT | <3.5x | <4.5x | |||
JANUARY 2020 | 63 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: HEALTHY BALANCE SHEET
Assets
In €M | H1 2019 | H1 2018 |
GOODWILL | 611.3 | 286.1 |
INTANGIBLE ASSETS | 20.4 | 19.4 |
PROPERTY, PLANT & | 93.7 | 89.6 |
EQUIPMENT | ||
Right of use/ IFRS16 | 155.7 | |
NON-CURRENT FINANCIAL | 38.8 | 35.8 |
ASSETS | ||
AFFILIATED COMPANIES & JV | 47.4 | 46.6 |
OTHER NET LONG-TERM | 35.1 | 61.4 |
ASSETS | ||
DEFERRED TAX ASSETS | 34.8 | 34.3 |
NON-CURRENT ASSETS | 787.3 | 548.2 |
INVENTORIES | 9.3 | 8.3 |
ACCOUNTS RECEIVABLE | 302.6 | 254.8 |
OTHER RECEIVABLES | 94.6 | 116.2 |
CASH AND CASH | 187.3 | 278.2 |
EQUIVALENTS | ||
CURRENT ASSETS | 593.8 | 657.5 |
TOTAL ASSETS | 1,381,1 | 1,205.7 |
JANUARY 2020 |
Liabilities
In €M | H1 2019 | H1 2018 |
GROUP SHARE OF EQUITY | 267.8 | 237.1 |
NON-CONTROLLING | 0.4 | 61.3 |
INTERESTS | ||
SHAREHOLDERS' EQUITY | 268.2 | 273.4 |
NON-CURRENT ACCRUALS | 28.7 | 26.0 |
OTHER NON-CURRENT | 487.2 | 518.3 |
LIABILITIES | ||
NON-CURRENT LEASE | 128.7 | |
LIABILITIES/IFRS16 | ||
NON-CURRENT LIABILITIES | 644.6 | 544.3 |
CURRENT ACCRUALS | 2.9 | 4.5 |
OTHER CURRENT FINANCIAL | 83.5 | 7.7 |
LIABILITIES | ||
CURRENT LEASE | 28.8 | |
LIABILITIES/IFRS16 | ||
TRADE PAYABLES | 102.4 | 106.4 |
TAX AND SOCIAL SECURITY | 203.4 | 222.6 |
OTHER LIABILITIES | 47.3 | 46.8 |
CURRENT LIABILITIES | 468.3 | 388.0 |
TOTAL LIABILITIES | 1,381.1 | 1,205.7 |
x2.3
LEVERAGE
64
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
H1 2019: EVOLUTION OF NET CASH POSITION (€M)
NET CASH | CHANGE IN | ACQUISITIONS & | FINANCING | FINANCIAL INTERESTS | NET CASH | |||
31/12/18 | CASH FLOW | WORKING CAPITAL | TAXES | CAPEX | CHANGE IN SCOPE | ACTIVITIES | & OTHER | 30/06/19 |
58.9 | ||||||||
(102.1) | ||||||||
(9.0) | (14.3) | |||||||
(14.2) | ||||||||
3.1 | (6.9) | |||||||
271.8 | ||||||||
187.3 | ||||||||
JANUARY 2020 | 65 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
DSO (DAYS SALES OUTSTANDING)
7675
67 | 64 | 66 |
59 | |||
54 | 53 | 55 | |
53 | 52 | ||
H1 2014 | FY 2014 | H1 2015 | FY 2015 | H1 2016 | FY 2016 | H1 2017 | FY 2017 | H1 2018 | FY 2018 | H1 2019 |
JANUARY 2020 | 66 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
FACTOR (DAYS OF REVENUE)
51 | 52 | |||
49 | ||||
41 | 42 | 40 | ||
37 | 37 | |||
32 | 34 | |||
FY 2014 | H1 2015 | FY 2015 | H1 2016 | FY 2016 | H1 2017 | FY 2017 | H1 2018 | FY 2018 | H1 2019 |
JANUARY 2020 | 67 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
HEADCOUNT (END OF PERIOD)
20,901
15,180 17,144
12,133 13,055
14,913 15,180
16,288
15,515
+1.3%
21,019 | 20,904 | 20,624 | 20,901 |
17,144
16,619
Q1 16 | Q2 16 | Q3 16 | Q4 16 | Q1 17 | Q2 17 | Q3 17 | Q4 17 | Q1 18 | Q2 18 | Q3 18 | Q4 18 | Q1 19 | Q2 19 | Q3 19 |
JANUARY 2020 | 68 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
TURNOVER RATE (YTD)
-20 bps
23.3% 23.1%
19.3% | 20.1% | 20.8% | |||||||||
19.2% | |||||||||||
17.9% | 17.7% | 18.0% | 18.5% | ||||||||
17.6% | 17.6% | 17.6% | |||||||||
17.1% | 17.2% | ||||||||||
Q1 16 | Q2 16 | Q3 16 | Q4 16 | Q1 17 | Q2 17 | Q3 17 | Q4 17 | Q1 18 | Q2 18 | Q3 18 | Q4 18* | Q1 19* | Q2 19* | Q3 19* |
* Excluding PDS Tech | ||||||||||||||
JANUARY 2020 | 69 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
UTILISATION RATE (YTD)
+40 BPS | ||||||||
89.5% | 89.6% | 89.6% | 89.6% | 89.7% | 89.7% | 89.9% | 89.6% | 89.5% |
88.9% | 88.9% | 88.9% | 89.1% | |||||
88.3% |
87.8%
Q1 16 | Q2 16 | Q3 16 | Q4 16 | Q1 17 | Q2 17 | Q3 17 | Q4 17 | Q1 18 | Q2 18 | Q3 18 | Q4 18* | Q1 19* | Q2 19* | Q3 19* |
* Excluding PDS Tech | ||||||||||||||
JANUARY 2020 | 70 |
DNA | DATA RESPONS | Q3 2019 | H1 2019 |
GLOSSARY
Cash flow from operations before tax and financing costs (EBITDA): operating profit adjusted for additions to depreciation and amortization.
EPS (Earnings Per Share): group net income divided
by weighted average number of shares
outstanding less treasury stocks.
Free cash flow: EBITDA +/- change in working capital - net financial charges and taxes paid - capex. Free cash flow generation is measured as % of total revenue.
Leverage: ratio of net consolidated financial debt
to EBITDA.
Net Debt: The aggregate of cash and cash equivalents, overdrafts and short-term bank borrowings, non-current and debt, and financial instruments. surplus cash/(net debt) does not include non-current and current lease obligations
(IFRS 16 impact).
JANUARY 2020
Operating profit: profit form ordinary activities calculated before non-recurring items and expenses relating to stock options and free shares.
Operating margin: ratio of operating profit to
revenue.
Organic growth: Revenue growth at constant scope and exchange rates.
Pro forma growth: revenue growth in North America at constant exchange rate and including PDS Tech H1-18 revenue in total H1-18 revenue.
PDS Tech is consolidated as of 1st November 2018.
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AKKA Technologies SE published this content on 09 January 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 09 January 2020 16:12:07 UTC