Eurazeo Se · EURONEXT:RF
Eurazeo — Investor Day (November 2014)
123 slides from Eurazeo's investor day presentation, Nov 17, 2014
Slide 1: Investor Day: Drivers of Growth Acceleration
November 17, 2014 - Molitor INVESTOR DAY Drivers of Growth Acceleration 1
Slide 2: Agenda
Agenda 8:30–8:40 Introduction 8:40–9:40 Foncia Presentation 9:40–10:40 Asmodee Presentation 10:40–11:00 Break 11:00–12:00 Desigual Presentation Round table discussion with 12:00–13:00 Vignal Lighting Group, IES Synergy & Cap Vert Finance Conclusion 2 Investor Day, November 17, 2014
Slide 3: The Path to Growth
November 17, 2014 The Path to Growth
Slide 4: Speakers
Speakers François DAVY CEO Previously member of the Executive Board of Adecco Group Worldwide Prior to Adecco, various top management positions at La Poste, Motorola and Cadbury Schweppes President of Employment Committee at Medef (French Association of Employers) Nicolas CHANDOU CFO Previou
Slide 5: What are FONCIA businesses?
What are FONCIA businesses? Shared areas • FONCIA manages building areas jointly-owned (Roof, Façade, by apartment owners (financial and technical Lift, Parking, standpoints) Heating system…) “Joint-Property Management” • FONCIA manages landlord’s rented apartments, Rented and, in particular, help
Slide 6: My ambition for Foncia
My ambition for Foncia • Bring deep changes to our industry in terms of processes, client relationship and innovation • Focus on growth, transformation and differentiation, with digitalization as a cornerstone of our strategy, for Foncia to become a wholly digital leader by the year 2020 6
Slide 7: 88% of FONCIA Group revenues come from recurring and predictable businesses
88% of FONCIA Group revenues come from recurring and predictable businesses Revenue (€m) Units/year FTE FONCIA key data Total €595m (2013A) Real estate brokerage 12% 9,400 69 Joint property management 31% ~1m 187 Lease management 28% ~260,000 164 ~6,200*** Renting 10% 63,000 62 88% recurring Tagerim
Slide 8: Path to Grow Strategy
1. Path to Grow Strategy aaa FONCIA Etre votre référence habitat
Slide 9: Reminder: strategic priorities defined in 2012
Reminder: strategic priorities defined in 2012 5 key dimensions • Compensation aligned with strategy Human Resources • Improved mobility and training • Dynamic network management • Improved client satisfaction Clients • Improved commercial organization • Increased commercial focus ORGANIC GROWTH • P
Slide 10: Results and next key projects: build differentiation by leveraging Group size
Results and next key projects: build differentiation by leveraging Group size NEXT KEY PROJECTS: • Lower churn and better talent • More efficient management & Human Resources management in the network organization in Strategic areas • Improved retention and • Structured Commercial Clients accelerate
Slide 11: Human Resources Achievements
Human Resources Achievements OBJECTIVES ACTIONS RESULTS New comp for 600 managers and 1,200 • Alignment of objectives Redefined Compensation sales staff • Profit-sharing spread over twice New profit-sharing scheme for 2012-14 as many employees as in 2011 New processes set-up to feed • 9,000 ma
Slide 12: Clients Achievements
Clients Achievements OBJECTIVES ACTIONS RESULTS myFoncia Extranet launched mid-2012 • 330K clients connected Improved client NPS measure by branch, with local satisfaction improvement plans rolled-out over • Early success of NPS pilots 2014-2015 on 10 branches Reinforced resources on newly bui
Slide 13: Clients: Next key project
Next key project Clients Structured Commercial Development Ambition • Leverage Group size by building a BU dedicated to the capture of new LM & JPM clients (“DevCo”) Ambition • Ensure strong coordination with Branch managers, while letting them focus on client retention • Capture opportunities on sp
Slide 14: Digitalization of Foncia on 3 dimensions
Clients Digitalization of Foncia on 3 dimensions Capture of new leads More efficient client relationship Internal efficiency Leverage 3 recent acquisitions: Keep investing on myFoncia: Keep digitalizing information • Syndic+ (JPM) More documents and financial flows (internal Easier e-payments an
Slide 15: Operational Efficiency Achievements
Operational Efficiency Achievements OBJECTIVES ACTIONS RESULTS Client mailings: volumes and costs limited • 2.5M fewer mail items handled Paperless workflows by branches Progressive digitalization of processes, with planned automatization of accounting • -12% client cheques Continuous improvem
Slide 16: Specific Strategies Achievements
Specific Strategies Achievements OBJECTIVES ACTIONS RESULTS Sales staff recruited in high-potential Achieve targeted growth • +180 net staff since September 2012 wealthy geographies in sales brokerage • Stabilized revenue/FTE in a tough & renting Focus on Managers: additional FTEs environment an
Slide 17: Mass procurement services for JPM clients
Specific Next key project Strategies Mass procurement services for JPM clients Ambition • Build strong differentiation vs smaller competitors by reducing condo charges • Establish direct contacts with large suppliers, to simplify role of local JPM teams Ambition • Local suppliers: reduce costs and i
Slide 18: Competitive landscape after the acquisitions of Tagerim and Oralia
Competitive landscape after the acquisitions of Tagerim and Oralia 1 375 Number of dwellings under management (k units) 970 720 489 291 115 114 105 59 28 Foncia + Tilleul Nexity Citya - Urbania Procivis Square Habitat Loiselet Sergic Akerys Billon Dauchez Further room for consolidation 18
Slide 19: Tagerim successful integration
Tagerim successful integration Acquisition of Tagerim in September 2013 • 8th largest RRES player in France in terms of turnover Overview • c. 500 FTEs • 17 branches in France • Over 100,000 dwellings Progressive integration within Foncia’s network • As of today, 16 branches out of 17 work with Fonc
Slide 20: Financial Update
2. Financial Update aaa FONCIA Etre votre référence habitat
Slide 21: Key Figures 2011A to H1 2014
Key Figures 2011A to H1 2014 End-11: Closure of H2-13: Tagerim 40 brokerage branches Acquisition 595 565 595 Revenues (€M) 315 288 2011A 2012A 2013A 2014A EBITDA Margin 14.6% 15.9% 17.3% Upper-end of the > 120 5–10% growth objective 103 87 90 EBITDA (€M) 59 44 Half-Year Full-Year 2011A 2012A 2013A 2
Slide 22: Current performance - Q3 2014 vs Q3 2013
Current performance - Q3 2014 vs Q3 2013 Q3 2013 to Q3 2014 Group revenues (in M€) Q3 2013 to Q3 2014 Group EBITDA (in M€) 16.4% 18.7% EBITDA Margin 52.6 Brokerage 50.5 Revenues 384.3 421.8 88.6 (exc. Brokerage) 71.3 Q3 2013 Q3 2014 Q3 2013 Q3 2014 449 422 Net Debt (€M) 4.1x 3.5x Leverage Resilien
Slide 23: ALUR Law Update
« ALUR(1) Law » Update • Redefinition of tasks included in perimeter of base fees, possibly with caps on some non-base fees JPM • JPM separate account to be mandatory for buildings >15 units, with an impact on Client Account Income and additional complexity for some tasks (e.g. bank statement matchi
Slide 24: Guidance – revenue and EBITDA growth
Guidance – revenue and EBITDA growth • Foncia reaffirms its ambition of 5-10% annual EBITDA growth • Our ambition aims at achieving 3-5% annual revenue growth 24
Slide 25: Slide 25
Slide 26: Speakers
Speakers Stéphane Carville Valérie Truelle Chief Executive Officer Chief Financial Officer • Joined Asmodee in 2009 • Joined Asmodee in 2014 • Previous senior positions: 2007-2009 CFO of LexisNexis • Previously Director at PricewaterhouseCoopers, 2003-2007 Business Development and CFO Europe of Cele
Slide 27: I. Introduction
ry DSMODEe} I. Introduction
Slide 28: Asmodee's core business and strategy
aN DSMODEe} Asmocdee’s core business o and strategy
Slide 29: Asmodee Group - Facts & Figures
Asmodee Group - Facts & Figures (as of Sept-14) ~€200m 25% Revenue annual growth (LTM Sept 2014) rate over the past 5 years* Up from €125m 9m ago 300+ 350 Novelties Employees per year in the group Up from 200 9m ago Up from 180 9m ago 10m 44 Games sold in Countries where the world in 2013 our produc
Slide 30: A leading publisher and distributor of games
A leading publisher and distributor of games Authors Publisher Other Established in 1995, Asmodee is now Publishers a leading European board games and trading cards publisher and distributor • A success built on very strong relationships with authors, game studios & publishers Distributor and recogn
Slide 31: Competition and market structure
Competition and market structure Generalist players Brand strategy with focus on limited number with worldwide reach of blockbuster Single product strategy Specialist players but innovation and with worldwide reach dynamism Room for an innovating game specialist with worldwide reach Small / very sma
Slide 32: An uninterrupted growth story
An uninterrupted growth story A track-record of sustainable growth and market share gain • Sales multiplied by 18 times over the last 10 years i.e. +34% CAGR • Market share >x2 in Board & Card games in France and entry in action games • Entry in new geographies through spot-on acquisitions (Belgium,
Slide 33: Key pillars of Asmodee's strategy
Key pillars of Asmodee’s strategy Innovate, animate and Increase Intellectual Build a global Explore digital keep focus on products Property (IP) content footprint opportunities • Keep launching exciting • Pursue development of current • Accelerate US development • Collect appropriate new games, lev
Slide 34: Game origination & development
Bef Game origination & devel opment
Slide 35: A best-in-class origination management as a key factor of success
A best-in-class origination management as a key factor of success 1 Several distinct dedicated origination teams 4 2 Privileged Identification of new relationships with games & animation game creators of the network 3 An efficient selection process 35
Slide 36: An origination team fully dedicated to identify new games
An origination team fully dedicated to identify new games and keep in relation with authors Main events dedicated to the animation of networks – In order to guarantee a maximum coverage of emerging ideas and game concepts worldwide, Asmodee maintains a high level of animation of its networks through
Slide 37: A bespoke origination process from origination to selection of new games
A bespoke origination process from origination to selection of new games Selection process overview (from 1 to 2 months) 1 2 3 4 5 Evaluation of concepts Intensive internal Evaluation vs. Design Contract negotiation & rules of the game play testing: “Wish publishing criteria recommendation with auth
Slide 38: Asmodee's sales & marketing model – the French example
Asmodee’s sales & marketing model – the French example Independent Specialists Mass Market Depending on market appetite & games’ A unique penetration strategy ~400 stores ~500 stores ~1,200 stores universe, selected products are pushed up to mass market Different products A unique approach for each
Slide 39: Asmodee's publishing universe
Asmodee’s publishing universe Volume / mass market Price per unit Action Party Family Board Hobby Hard Core La Guerre Dobble Hotel des Œufs Splendor Black Fleet Witness Industry Amyitis Arkham Star Wars Horror Ticket to Ride Five Tribes Les Dames Deus de Troyes 39
Slide 40: Ongoing transformation
DS O ao o & Ongoing transformation...
Slide 41: Our key achievements to date
Our key achievements to date More and more Turning into a true First steps into A new organization publishing studios international company the digital world to support this under Asmodee’s transformation • 2 major acquisitions in the • Tremendous experience umbrella United States (DOW & FFG), of DO
Slide 42: Growing abroad with Asmodee International
Growing abroad with Asmodee International Expansion through active export Opportunities • Creation of Asmodee International in 2010: selling our best seller • We help our local partner to grow following product and our partners portfolio where we have no local offices. the Asmodee Model: • Grow step
Slide 43: Days of Wonder acquisition (July 2014)
Days of Wonder acquisition (July 2014) Best-in-class board game publisher Ticket to Ride Ticket to Ride Online 451k units via: iOS, Android, Steam • Highly recognized US publisher of board games, (2013) distributed all over the world • Main asset representing 2/3 of total sales: Ticket to Ride, cons
Slide 44: Fantasy Flight Games acquisition (November 2014)
Fantasy Flight Games acquisition (November 2014) Worldwide recognition in the hobby market • US publisher specialized in hobby games, with complex gameplay, numerous miniatures and long-lasting game • High recognition from core gamers, both in the US (its domestic market) and worldwide • Strong know
Slide 45: Towards a New Organisation
Towards a New Organisation Publishing Digital Distribution France Asmodee Strong independence Asmodee Digital kept at studio level Board Games Development United Kingdom Space Cowboy Each studio has its United States own DNA Ystari Asmodee Digital Benelux Distribution Germany New studios either FFG
Slide 46: Asmodee standalone performance
Asmodee standalone performance Topline (in m€) Strong standalone performance +26,3% • A very strong organic performance supported by all product lines and geographies including in particular: - Games - Pokémon - Kanaï Kids • France, United Kingdom, Benelux and United States strongest contributors to
Slide 47: Pro-forma impact of DOW & FFG acquisitions
Pro-forma impact of DOW & FFG acquisitions Topline (in m€) Appealing profiles of acquired publishers • Additional external sales contribution for Asmodee group: 11m€ for DOW and 31m€ for FFG • Average EBITDA margin for DOW and FFG at 25% (ie 14ppt above Asmodee standalone) Accelerated transformation
Slide 48: Reminder: our initial long-term targets
Reminder: our initial long-term targets Geographies Products Activities (Games only) Spain Export Others Germany Publishing USA Games Benelux France Trading cards & collectibles UK Distribution Long-term targets: International > 66% Trading cards < 33% Publishing > 60% Growing international Seize M&
Slide 49: Less than 1 year later…
Less than 1 year later… Geographies Products Activities (Games only) Export Others Spain Publishing Germany France Games USA Trading cards & collectibles Benelux Distribution UK Long-term targets: International: 52% 57% Trading cards < 33% Publishing > 60% • Asmodee progressing rapidly • Combinatio
Slide 50: Investor's day Eurazeo: Desigual
Investor’s day Eurazeo Paris 17.11.14 M. Jadraque, CEO Desigual
Slide 51: Contents
Contents 1. Our history & brand DNA 2. The power of the brand 3. Business 4. People
Slide 52: 1. Our story & brand DNA
1. Gur story & bared DRA
Slide 53: Desigual history
Desigual history 1984 - 1994 1995 - 2005 2006 - 2014 2015 Building our DNA Wholesale Spain International multichannel Becoming a global brand multicategory
Slide 54: Unique & original clothes for a reasonable price
“… unique & original clothes for a reasonable price”
Slide 55: Slide 55
Slide 56: Vision
Vision La vida es chula Inspire and create positive emotions through unique garments Share happiness, passion and a non-conventional spirit
Slide 57: Desigual values
Desigual values Innovation Respect Positivism Commitment Constant improvement Fun & Profit
Slide 58: Happy 2)
i Happy 2) N FANT ISTIC Rl ‘¥ x0 1 Gx a . romantic
Slide 59: Love brands
Love brands
Slide 60: 2. The power of the brand
2. The power
Slide 61: Desigual status at May '14
Desigual status at May ‘14 Brand Health Spain Italy France Austria Belgium Germany Top Of Mind 4% 4% 6% 1% 4% 0% Awareness 95% 87% 84% 70% 77% 49% Favorite brand 15% 15% 17% 2% 13% 1% Core target women aged 30-45
Slide 62: The brand is built up by…
The brand is build up by… Friends & Family in stores Direct powerful communications & events
Slide 63: The Color Run Barcelona
The Color Run Barcelona Direct powerful communications & events
Slide 64: Seminaked Party
Seminaked Party Direct powerful communications & events
Slide 65: Festive catwalks: New York Fashion Week
Festive catwalks New York Fashion Week
Slide 66: Festive catwalks: Madrid Fashion Week
Festive catwalks Madrid Fashion Week
Slide 67: Festive catwalks: Barcelona
Festive catwalks 080 Barcelona
Slide 68: TV spot
TV spot 2014 approche, tu as un plan? #jaiunplan Direct powerful communications & events
Slide 69: Social Media
Social Media 3.3 Million 150.000 16 Million +30 social networks Profiles in 9 languages!
Slide 70: New logistics center '15
New logistics center ‘15 |
Slide 71: Slide 71
Slide 72: 30Mio garments moved in '14
30Mio garments moved in ’14 5.000 customers 5.000 B2C orders
Slide 73: Desigual growth strategy
Desigual growth strategy Multi-channel, multi-category and multi-geography Categories 8 17 Channels Women The largest being: Men Retail Kids Wholesale core Accessories Department Stores Shoes Franchise Sportswear E-commerce Living Specialized Beauty wholesale 109 Geographies
Slide 74: Product
w is) = S fe) i A. BS O ©
Slide 75: New galactic
New galactic
Slide 76: Slide 76
Slide 77: Slide 77
Slide 78: Slide 78
Slide 79: Lacroix
Lacroix
Slide 80: Innovation
Ly Innovation
Slide 81: Low gas
Low gas
Slide 82: Man
Man 9%
Slide 83: Slide 83
Slide 84: Slide 84
Slide 85: Kids
Kids 7%
Slide 86: Accessories
Accessories 19% "
Slide 87: Slide 87
Slide 88: Slide 88
Slide 89: Slide 89
Slide 90: Slide 90
Slide 91: Living
Living 1%
Slide 92: Shoes
Shoes 3%
Slide 93: Beauty
< —~ a Ae | x ii Deeigual.
Slide 94: Fresh
~Deeigual. i 1 atk Fresh Loa A 4 = A Ww
Slide 95: Sport
Sport <1%
Slide 96: Slide 96
Slide 97: Slide 97
Slide 98: Desigual growth strategy
Desigual growth strategy Multi-channel, multi-category and multi-geography Categories 8 17 Channels Women The largest being: Men Retail Kids Wholesale core Accessories Department Stores Shoes Franchise Sportswear E-commerce Living Specialized Beauty wholesale 109 Geographies 98
Slide 99: Retail: Aeroville, Paris
Retail Aeroville, Paris = 7
Slide 100: Maquinista, Barcelona
Madquinista, Barcelona
Slide 101: Slide 101
Slide 102: Slide 102
Slide 103: Outlet: Metzingen, Germany
Outlet [| lal Metzingen, Germany =
Slide 104: Franchise: Saudi Arabia
Franchise : Saudi Arabia
Slide 105: Dshop: Logroño, Spain
Dshop Logroño, Spain
Slide 106: Hotels & Resorts
Hotels & Resorts Dominican Republic
Slide 107: Lacroix corner DS
Lacroix corner DS ECI Valencia, Spain
Slide 108: Web visits
Web visits 900K visits/week Total visits YTD = 33M (in 35 weeks) Estimated visits FY 2014 = 50M
Slide 109: Desigual growth strategy
Desigual growth strategy Multi-channel, multi-category and multi-geography Categories 8 17 Channels Women The largest being: Men Retail Kids Wholesale core Accessories Department Stores Shoes Franchise Sportswear E-commerce Living Specialized Beauty wholesale 109 Geographies 109
Slide 110: 19.696 Points of Sale
19.696 Points of Sale 109 countries | Retail: 19 countries | Franchise: 30 countries
Slide 111: 17.685 Points of sale in Europe
17.685 Points of sale in Europe
Slide 112: 3. Business
=. BUSINess
Slide 113: Turnover
Turnover CAGR: +29% 828 +19% 741 700 621 566 CAGR: +52% 440 304 162 85 30 49 8 12 19 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 M09 M09 Sales 8 12 19 30 49 85 162 304 440 566 700 829 Growth 47% 56% 60% 63% 76% 89% 87% 45% 25% 24% 18% YTD YTD 2013 2014
Slide 114: Net sales by country
Net sales by country 2012 FY 2013 FY M09 YTD 2014 33% 25% 32% 22% 29% 22% 18% 19% 12% 19% 13% 12% 12% 18% 15% Spain France Italy Germany RoW
Slide 115: Net sales by channel
Net sales by channel 2012 FY 2013 FY M09 YTD 2014 8% 1% 3% 10% 2% 11% 12% 11% 9% 21% 58% 54% 20% 57% 23% Big Big Retail Big Retail Big Retail Big Big Retail Big Wholesale Retail Big Wholesale Big Wholesale Big Wholesale Wholesale D Store D Store D Store Big D Store DBig Digital Store Big Digital Big
Slide 116: Net profit
Net profit In Mio € 2012 2013 M09 YTD 2014 Net Sales 701 828 741 Net Profit 74 129 118 % on Sales 11% 16% 16%
Slide 117: Other financial information
Other financial information In Mio € M09 YTD 2014 Net Financial Debt (cash +, debt -) 216 CAPEX 59 CAPEX 2014 Full Year Estimated 114 Capex 2014: strong increase in Q4, due to new logistics center and Retail openings effort
Slide 118: 4. People
Sa ee 970 4.262
Slide 119: Thanks!
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Slide 120: Round table discussion
INVESTOR DAY Round table discussion Vignal Lighting Group, IES Synergy & Cap Vert Finance 120 November 17, 2014
Slide 121: Vignal Lighting Group
Vignal Lighting Group Business Some products Investment case Rear, Side Safety Work and European leader in signaling lights and Front Signaling Equipements Head lights • Resilient platform, niche and captive market for industrial and commercial vehicles • Embedded organic growth with major technolog
Slide 122: IES Synergy
IES Synergy Business Products Investment case Auto and EV Industrial Leading supplier of onboard Manufacturers EV • Promising electric vehicle and charging stations markets supported by macro and external battery charging Onboard trends: reduction of CO2 emissions, solutions for Electric Vehicles ch
Slide 123: Cap Vert Finance
Cap Vert Finance Business Activities Investment case European leader in electronics Financing • Sustainable strong growth in Management IT equipment maintenance recycling through PLC Management of IT assets • High recurring revenues Maintain in • Premium service: technological Sales 2013 €83m Recycl