Txt E-solutions S.p.a. · MIL:TXT

Txt E-solutions — Investor Presentation (December 2013)

23 slides from Txt E-solutions's investor presentation, Dec 17, 2013

  1. Slide 1: Meeting with Investors & Analysts

    Meeting with Investors & Analysts December 17th, 2013

  2. Slide 2: 9-Months 2013 - Results

    9-Months 2013 - Results 9 Months - 2013  Revenues: 39,6 m€ (+16,2% vs. 9-months 2012) (vs. 40,1 m€ Full Year 2011) of which 54% International 26% Software  EBIT from Operations: 3,8 m€ (vs. 3,6 m€ in 9-months 2012) (vs. 0,9 m€ Full Year 2011)  NFP: 6,3 m€ (vs. 6,0 m€ on 31/12/2012)  Treasury Sto

  3. Slide 3: Key Investments & Shareholder's Return in the last 2 Years

    Key Investments & Shareholder‘s Return in the last 2 Years • Acquisitions: Maple Lake in September 2012 (8,8 m€ Cash + 1,5 m€ Shares) • New TXTPerform Products: – TXT On-Cloud; – TXT Mobile; – 4 new Mobile PLM & Planning modules • Dividends distributed in 2011, 2012 & 2013; planned for 2014 – Dec. 2

  4. Slide 4: End-to-end Retail Planning – Major Growth & Profit opportunity for TXT Group

    End-to-end Retail Planning – Major Growth & Profit opportunity for TXT Group 4

  5. Slide 5: Fashion, Luxury & Specialty Retail: Large, Healthy & Growing Target Market

    Fashion, Luxury & Specialty Retail: Large, Healthy & Growing Target Market • ~1.000 mid-large (> 300 m€) Retailers in Europe & North America • A dynamic Industry transforming itself, challenged by increasing complexity, speed and economic, social & technology changes • Retailers are big IT spenders:

  6. Slide 6: End-to-end Integrated Retail Planning: Top Priority in Retailers' Budgets

    End-to-end Integrated Retail Planning: Top Priority in Retailers’ Budgets • Planning Processes are «THE» enabler to ongoing Industry transformation, ensuring consistency of decisions: – Across Functions – From Strategy to Execution – Across the extended Retailers’ organisation; • They deliver direct

  7. Slide 7: End-to-end Integrated Retail Planning: Growing in Depth & Breadth

    End-to-end Integrated Retail Planning: Growing in Depth & Breadth • Deeper integration across Processes, Actors & Channels • Traditional boundaries across Planning, PLM & Supply Chain applications are blurring • More Processes, more Actors (internal & external), new Channels (physical & on-line) are

  8. Slide 8: TXT Perform Competitive Position: Strong in the Target Markets

    TXT Perform Competitive Position: Strong in the Target Markets Recognised leadership in an already consolidated competitive landscape … … with high barriers to entry #1 in Core Functional Scope #3 Overall (Functionality & Market Presence) TXT Market share:  ~ 15% in Europe  ~ 5% “W-wide” Source: M

  9. Slide 9: How Do We Plan to Capture this Opportunity?

    Long-term Opportunity Global leader (= in Top-3 Vendors in Europe & North America) in: • Fashion, Luxury & Specialty Retail market • End-to-end Integrated Retail Planning (= Planning, PLM, Supply Chain & Retail Execution) MATRIX Specialisation vs. Geographical reach Source: Management assessment bas

  10. Slide 10: How to Capture the Opportunity: Growth & Profit Drivers

    How to Capture the Opportunity: Growth & Profit Drivers Growth 1. Extend Geography: short-/mid-term North America; in APAC now leveraging on our Customers’ presence, longer-term native APAC Retailers. 2. Expand in other Retail segments, in addition to Fashion & Luxury; longer-term sell to smaller Re

  11. Slide 11: A Unique (by Quantity & Quality) Customer Base, growing each Year

    A Unique (by Quantity & Quality) Customer Base, growing each Year Retail Planning Expertise across Product Categories & Channels 15 New Customers so far in 2013 LUXURY BRANDS FAST FASHION MULTI CATEGORY 11

  12. Slide 12: Harvest the Customer Base: Upselling Services & Licenses

    Harvest the Customer Base: Upselling Services & Licenses Retail Planning Expertise across Product Categories & Channels Existing Customers with major Projects in 2013 LUXURY BRANDS FAST FASHION MULTI CATEGORY 12

  13. Slide 13: How to Capture the Opportunity: Growth & Profit Drivers

    How to Capture the Opportunity: Growth & Profit Drivers Growth 1. Extend Geography: short-/mid-term North America; in APAC now leveraging on our Customers’ presence, longer-term native APAC Retailers. 2. Expand in other Retail segments, in addition to Fashion & Luxury; longer-term sell to smaller Re

  14. Slide 14: Extend the Product (Depth & Breadth) and Exploit Technology Innovation

    Extend the Product (Depth & Breadth) and Exploit Technology Innovation End-to-End Integrated Retail Planning is the driving Value Proposition - Continue strengthening existing Modules: more “best practices”, deeper functionality, deeper integration - New Modules: broaden the range of processes cover

  15. Slide 15: How to Capture the Opportunity: Growth & Profit Drivers

    How to Capture the Opportunity: Growth & Profit Drivers Growth 1. Extend Geography: short-/mid-term North America; in APAC now leveraging on our Customers’ presence, longer-term native APAC Retailers. 2. Expand in other Retail segments, in addition to Fashion & Luxury; longer-term sell to smaller Re

  16. Slide 16: TXT Next - Priorities & Strategic Guidelines for the next 3 Years

    TXT Next - Priorities & Strategic Guidelines for the next 3 Years Healthy (+12% in 2011-13) & profitable; opportunity to keep growing organically in the long run: • Around the «as-is» perimeter and preserving the current good margins • Building on a baseline revenue stream from solid, long-lasting r

  17. Slide 17: Why TXT should Outperform the Market in the next 3 Years

    Why TXT should Outperform the Market in the next 3 Years • TXT Perform: – Retail Industry is large, growing and healthy – End-to-end Integrated Retail Planning is a «big niche» and a growing investment area for target clients – TXT has a unique offering in End-to-end Integrated Retail Planning, from

  18. Slide 18: Why invest in TXT?

    Why invest in TXT? • International profile: 50+% of Revenues from Int’l markets • Good Growth in Revenue, Profit & Cash in 2011 - 13 • Large fidelised customer base of 350+ blue-chip customers: a key asset in good & bad times, hard to replicate for new competitors • Solid presence in large, healthy

  19. Slide 19: APPENDIX

    • Financial Details APPENDIX

  20. Slide 20: 9-months 2013 - Revenues' Growth & Investments

    9-months 2013 - Revenues’ Growth & Investments € thousand 9m 2013 % 9m 2012 % Var % REVENUES 39.611 100,0 34.103 100,0 16,2 In 9-months 2013: Direct costs 18.762 47,4 16.095 47,2 16,6 GROSS MARGIN 20.849 52,6 18.008 52,8 15,8  Revenues grew +16.2% Research and Development costs 3.618 9,1 2.931 8,6

  21. Slide 21: Strong Balance Structure

    Strong Balance Structure 31.12.2012 € thousand 30.09.2013 Var Restated * Intangible assets 15.732 16.621 (889) Tangible assets 1.170 1.154 16 Other fixed assets 532 795 (263) Fixed Assets 17.434 18.570 (1.136) Inventories 1.608 1.388 220 Trade receivables 18.666 17.274 1.392 Other short term assets

  22. Slide 22: Shareholding Structure

    Shareholding Structure Management A. Braga Illa 11,2% 13,3% Market 37,9% E-Business Consulting 26,4% Treasury Shares 11,2% • Support of Treasury Stock Purchase Plan, authorised up to 20% 22

  23. Slide 23: 2012-2013: Strong Stock Performance

    2012-2013: Strong Stock Performance 20 400.000 2013 Performance +154% 18 350.000 2012 Performance +46% 16 300.000 14 250.000 12 Daily Volumes TXT Price € 10 200.000 8 150.000 6 100.000 4 50.000 2 0 0 Daily Volumes TXT Price € FTSE MIB Index 23

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