Banca Profilo S.p.a. · MIL:PRO
Banca Profilo — Q1 2023 Earnings Presentation
25 slides from Banca Profilo's earnings presentation, Apr 3, 2023
Slide 1: EGM Analysis - 1Q23
EGM Analysis - 1Q23 3 April 2023 Banca Profilo Research Francesca R. Sabatini – Head of Equity Research Eleonora Chetrì – Equity Research Analyst Michele Calusa - Equity Research Analyst
Slide 2: Agenda
EGM ALL COMPANIES Agenda 1Q23 NEW LISTINGS OUR COVERAGE
Slide 3: EGM in 2022
EGM in 2022 Euronext Growth Milan is dedicated to dynamic and competitive listed SMEs seeking capital to finance growth through a balanced regulatory approach. Through listing, EGM offers a pathway calibrated to the structure of Small and Medium-sized Enterprises, relying on the central figure of an
Slide 4: EGM performance
EGM performance 1-year relative EGM performance vs other segments 120 110 100 90 80 70 Jun-22 Jan-23 Apr-22 Nov-22 Jul-22 Feb-23 Mar-23 Dec-22 May-22 Aug-22 Sep-22 Oct-22 FTSE Italia Growth (EGM) FTSE Italia STAR FTSE Italia All Shares In absolute terms, last year EGM performed -10.4%, below -9.4% o
Slide 5: EGM by sector and geography
EGM by sector and geography EGM segment by Sector EGM segment by Region Consumer Discretionary 26% Industrials 21% Technology 19% Financials 10% Health Care 5% Utilities 4% Energy 4% Consumer Staples 4% Real Estate 2% Telecommunications 2% Basic Materials 2% 0% 5% 10% 15% 20% 25% 30% 66% of companie
Slide 6: EGM by market capitalization and revenue
EGM by market capitalization and revenue EGM segment based on market capitalization (as of 31st March) EGM segment based on FY21 Revenues 35% 25% 24% 23% 30% 21% 30% 20% 25% % of Companies 21% 15% % of Companies 20% 18% 16% 10% 10% 9% 9% 15% 9% 10% 5% 3% 1% 5% 3% 1% 2% 1% 0% >1000 1000-500 500-200 2
Slide 7: EGM by daily trading volumes
EGM by daily trading volumes 3-month average daily trading value/market cap Largest 3-month average daily trading volume 40% Comal SPA 201 34% 35% Ulisse Biomed SpA 216 30% Italian Wine Brands… 237 25% 22% Ilpra Industria… 238 20% Reway Group SpA 257 % of Companies 15% 13% Portobello SpA 337 10% 7%
Slide 8: EGM by EBITDA
EGM by EBITDA EGM segment by EBITDA 2021 range Average Sales, EBITDA and EBITDA Margin EGM segment by EBITDA margin 2021 range 120 40% 60% 25% 54% 22% 35% 99 50% 100 20% 20% 85 30% 18% 80 40% 71 25% 15% % of Companies 12% % of Companies 60 19% 21% 20% 30% 21% 11% 26% 18% 15% 10% 40 40 20% 28 10% 5%
Slide 9: M&A transactions in EGM
M&A transactions in EGM # of M&A transaction of all EGM from 2015 to 2022 #Companies that carried out #M&A transactions in 2022 80 35 32 30 60 25 # Companies 20 # Deals 40 15 10 8 20 5 1 1 1 0 6 5 3 2 1 0 2015 2016 2017 2018 2019 2020 2021 2022 # M&A transactions Since 2020 there has been a growth i
Slide 10: EGM performance from IPO
EGM performance from IPO Returns since IPO Best ten performance since IPO Comer Industries SpA Our coverage ■ Finlogic SpA Solid World Group SPA ABC Co SpA Societa… Culti Milano SpA Digital360 SpA Sciuker Frames SpA Ediliziacrobatica SpA Digital Value SpA FOPE SpA 0% 200% 400% 600% 800% 1000% Since
Slide 11: EGM performance and market multiples
EGM performance and market multiples 1-year returns distribution EV/EBITDA 21-22 by sector Basic Materials 11.8 7.1 Utilities 14.4 12.5 Energy 10.5 8.9 Financials 9.6 8.9 Consumer Discretionary 9.1 6.5 Telecommunications 10.3 6.6 Consumer Staples 9.6 10.4 Industrials 9.7 7.0 Technology 12.4 9.5 EV/E
Slide 12: Agenda
EGM ALL COMPANIES Agenda 1Q23 NEW LISTINGS OUR COVERAGE
Slide 13: 1Q23 New Listings by Sector, Market Cap, Trading Value
1Q23 NEW LISTINGS BY SECTOR, MARKET CAP, TRADING VALUE 1Q23 New Listings by Sector 1Q23 New Listing by Market Capitalization % of average daily trading value/market cap (3M) 140 128 Creactives Group 0.05% 120 Gentili Mosconi 0.16% Technology 1 100 Industrials 2 Deodato Gallery 0.16% 80 71 Financials
Slide 14: 1Q23 New Listings Revenues, Margin and Valuation
1Q23 NEW LISTINGS REVENUES, MARGIN and VALUATION New listing by 2022 EBITDA and EBITDA EV/EBITDA 22 1Q23 new listings compared to New listing by FY22 revenues margin EV/EBITDA 22 by sector of all EGM companies 120 110.5 EBITDA 2022 EBITDA Margin 2022 (rhs) Consumer Discretionary, 6.5x 21 40% 100 TMP
Slide 15: Agenda
EGM ALL COMPANIES Agenda 1Q23 NEW LISTINGS OUR COVERAGE
Slide 16: Our Coverage
OUR COVERAGE Our Coverage by Market Capitalization % of average daily trading value/market cap (3M) Market Cap (Mln) 180 Average EGM Cofle SpA 0.03% 150 140 Svas Biosana SpA 0.05% 120 Beghelli SpA 0.12% 90 69 Arterra Bioscience SpA 0.33% 60 50 54 Sciuker Frames SpA 0.33% 30 17 12 TMP Group SpA 0.36%
Slide 17: Our Coverage by FY22 Revenues, EBITDA and EBITDA Margin
OUR COVERAGE BY FY22 REVENUES, EBITDA and EBITDA MARGIN Our Coverage by FY21 & FY22 revenues Our coverage by EBITDA and EBITDA margin 200 194 48 60% 40 148 146 150 32 40% 97 100 81 24 73 52 55 16 20% 50 8 4 5 4 7 0 Sciuker Cofle Arterra Svas Biosana TMP Group Beghelli 0 0% Sciuker Cofle Arterra TMP
Slide 18: Performance and EV/EBITDA 2022: Our Coverage vs EGM
PERFORMANCE and EV/EBITDA 2022: OUR COVERAGE vs EGM 1-Year relative performance: our coverage vs EGM segment EV/EBITDA 2022 of our coverage compared to EV/EBITDA 2022 by sector of all EGM companies 110 Health Care, 5.9x 105 Svas Biosana SpA, 5.7x 100 Health Care; 5.9x 95 Arterra Bioscience SpA; 4.8x
Slide 19: Arterra Bioscience
ARTERRA BIOSCIENCE Reccomendation BUY TP Under Review • Investment case: Arterra keeps working on its corporate strategy to diversify into new-end markets and grow in Cosmetics even beyond Intercos and through Vitalab. In fact, the Company set up a team of experienced managers 1-year Relative Perfor
Slide 20: Beghelli
BEGHELLI Reccomendation BUY TP Under Review • Business Description: Beghelli Group is an Italian company specialized in projecting, developing, manufacturing, and marketing emergency and non-emergency lighting systems for industrial plants and home use. To a lesser extent, the Company is engaged in
Slide 21: Cofle
COFLE Reccomendation BUY TP Under Review • Business Description: Cofle is a multinational company operating as Original Equipment Manufacturer (OEM) mainly for top worldwide producers of Agricultural & Earthmoving machineries, but also for Luxury Automotive and Light Vommercial vehicles manufacturer
Slide 22: Sciuker
SCIUKER Reccomendation BUY • Business Description: SCK Group is the leading Italian company in the design and production of environmentally TP Under Review sustainable windows and has established the first Made in Italy window and sunscreen design cluster. Through Ecospace, SCK Group offers solution
Slide 23: Svas Biosana
SVAS BIOSANA Reccomendation BUY TP €17 • Business Description: Svas operates in Medical Devices, acting as a producer and distributor through 5 business 1-year Relative Performance units. Farmex produces and sells incontinence products; Svas distributes consumables addressed to a vast range of medic
Slide 24: TMP Group
TMP GROUP Reccomendation BUY TP €16.5 • Business Description: TMP Group provides digital communications solutions and designs hybrid events with high technological content. The Group organizes physical, digital and hybrid events through its Experience division; it provides technological services in
Slide 25: Riferimenti
Riferimenti Via Cerva 28 20122 Milano Tel. +39 02 58408.1 www.bancaprofilo.it Francesca Sabatini [email protected] Responsabile Analisi e Ricerca Tel. +39 02 58408.461 Eleonora Chetrì [email protected] Analisi e Ricerca Tel. +39 02 58408.298 Michele Calusa michele.calu