Caleffi S.p.a. · MIL:CLF
Caleffi — Investor Presentation (January 2006)
28 slides from Caleffi's investor presentation, Jan 25, 2006
Slide 1: Analyst Presentation: Caleffi financial data at 31 December 2005 and growth strategy
Analyst Presentation “CALEFFI: financial data at 31 december 2005 and growth strategy” Milan – January 25, 2006 PARK HYATT MILANO
Slide 2: Agenda
AGENDA • THE WORLD OF “CALEFFI” : G. Caleffi – President • BUSINESS OVERVIEW : G. Ferretti – Managing Director • FINANCIAL RESULTS : E. Gazza – IRM • BRAND AND DEVELOPMENT PLANS : V. Pizzi – Sales and Marketing Manager 2
Slide 3: The World of Caleffi
The World of “CALEFFI” Giuliana Caleffi - President 3
Slide 4: The World of Caleffi
HIGHLIGHTS The World of Caleffi “The best way to predict the future is to build it” “We believe in our Company, We believe in our Work, We believe in our Projects …. Enthusiasm is our winning weapon” 4
Slide 5: Business Overview
BUSINESS OVERVIEW Guido Ferretti – Managing Director 5
Slide 6: Caleffi: Home Fashion in Italy
HIGHLIGHTS CALEFFI: Home Fashion in Italy Combining the values of image, style, innovation and quality with a competitive business system in the Home Fashion sector “Fashion has come to mean more than just clothes. People today are in pursuit of quality of life, comfort of working environment, healt
Slide 7: Background
HIGHLIGHTS Background ….A background marked by Innovation in design and capacity to respond to the new demands of the“Home Fashion” market… Production Launch of Camillo Caleffi Disney licence diversification: flat “Mariella Burani” founded CEO for Italy sheets, terry cloth and CUSCINI Barbie licence
Slide 8: Strategic Business Units (SBU)
Strategic Business Unit (SBU) SBU HOME Fashion Collections for the home dedicated to the family SBU HOTELLERIE SBU Homewear & Nightwear Collections for Hotels (four stars and superior), Tourist Collections of adults and Villages, Wellness Centres, children’s clothing for home Cruise Ships and nightt
Slide 9: Business Performance
HIGHLIGHTS Business Performance SALES : cagr (’01/’05) 7.74% EBIT : cagr (’01/’05) 14.06% ROCE : cagr (’01/’05) 20.65% 48,147 43,559 12.60% 10.26% 3,685 3,871 2004 A 2005 A Sales Ebit Roce 9
Slide 10: KSF & Value Chain
HIGHLIGHTS KSF & Value Chain Capacity to forecast Style & Product Development fashion trends (concept and prototyping) Speeds of the logistic processes Production Operational flexibility Packaging and Product quality Quality Control Control over the distribution network Reliability for quality Direc
Slide 11: Production delocalization
HIGHLIGHTS Production delocalization IRELAND GERMANY ESTHONIA FRANCE RUMANIA CHINA USA INDONESIA ITALY TURKEY PAKISTAN INDIA BRASIL Dati 2004 11
Slide 12: Competitive Positioning
HIGHLIGHTS Competitive Positioning TRENDS LUXURY • Polarization of consumption PRODUCTS toward value price products • Decrease in expenditure on •Clothing textiles/clothing in favour of leisure •Fashion Accessories (Leather Goods, • Consumer sophistication FASHION Footwear) requiring: •Home Collecti
Slide 13: Competitive levers of Fashion
STRATEGIA Competitive levers of “Fashion”… Innovative products Big investments in research for new products, collections, merchandising Service Time to market, fast reordering, vision of “trade” as a partner Great attention to the image both of our trademark and of the Brand policy company Structure
Slide 14: Competitive levers of Caleffi
HIGHLIGHTS ……Competitive levers of Caleffi R&D >= 3.5% of Sales 24 Collections + 6 flash collections presented in 2005 Brand awareness Great control over the Distribution Channels Costs of Brand & Communication = € 8.81 mio (‘01- ’05) Most production outsourced (Italy and Abroad) Deloc
Slide 15: Budget 2006
DATI FINANZIARI Budget 2006 SALES 2006 E : + 6.2 % EBITDA 2006 E : + 12.4 % 60,000 EBIT 2006 E : + 20.0 % 51,132 50,000 48,147 43,559 40,000 30,000 20,000 10,000 5,410 5,467 6,143 3,871 4,645 3,685 0,000 2004 A 2005 A 2006 E SALES EBITDA EBIT 15
Slide 16: IPO Results
STRATEGIA IPO Results Date of IPO 09 / 11 / 2005 Market Price € 2.71 Azionariato post-money M P S IPO 2 .4 4 % C a le f f i S .p.A . M anag er s 0 .9 4 % 4 .0 % Market Expandi F lo a t 3 4 .8 4 4 % Market Cap (mln €) € 33.75 23/01/06 G iulia na C a le f f i No. of Share 12,500,000 3 3 .4 4 % R it a
Slide 17: Financial Results
FINANCIAL RESULTS Emanuela Gazza - IRM 17
Slide 18: Profit and Loss Account
DATI FINANZIARI Profit and Loss Account Var. % 2004 A 2005 A 2004-2005 m€ SALES 43,559 48,147 10.5% EBITDA 5,410 5,467 1.1% Ebitda margin 12.4% 11.4% EBIT 3,685 3,871 5.1% EBIT% 8.5% 8.0% Profit before Tax 3,896 4,227 Net Profit 2,287 2,502 9.4% Earning % on Sales 5.2% 5.2% Net Adjusted Profit 1,737
Slide 19: Statement of Assets and Liabilities
DATI FINANZIARI Statment of Assets an Liabilities 2004 A 2005 A m€ Net Working Capital 20,483 21,172 Net Fixed Assets 8,662 4,089 NET INVESTED CAPITAL 24,051 20,580 ROI % 15.3% 18.8% NET FINANCIAL POSITION 10,799 3,265 D/E 0.8 0.2 NET EQUITY 13,252 17,315 Other Liabilities/Assets 5,094 4,681 19
Slide 20: Sales Breakdown
DATI FINANZIARI Sales Breakdown 2005 - Sales Breakdown 41.4% 58.6% Partially in house Totally in outsourcing 2005 - Sales Breakdown 32.7% 2005 - Sales Breakdown 67.3% 3.4% Normal Trade GDO 96.6% Abroad Italy 20
Slide 21: Brand and Development Plans
Brand and Development Plans Valerio Pizzi – Sales and Marketing Manager 21
Slide 22: Branding & licensing
Branding & licensing BUSINESS OVERVIEW Caleffi is present on the market with its own brands (supervised by the designer Rita Federici) and brands under licence Brands and licences both feature: • high design content • added value in terms of creativity and innovation The Licence products feature hig
Slide 23: Brands and Licences
Branding & licensing BUSINESS OVERVIEW Brands Licences 23
Slide 24: Growth Strategy
STRATEGIA Growth Strategy To consolidate the acquired leadership and pursue growth through the development of the activities with the highest profitability and content of brand awareness SBU Home fashion : extending range of Organic and external products growth SBU Hotellerie : strong accelerati
Slide 25: International Growth
International Growth BUSINESS OVERVIEW Today Caleffi has an international Expanding distribution network in presence in: countries with high rates of growth in expenditure for consumption of Spain branded and “made in Italy” products: Russia East Europe Switzerland India Qatar China
Slide 26: IPO Proceeds: €7.6 mln
Use of Proceeds IPO Proceeds: € 7.6 mln Project Technical Method Investment % vs. proceeds Expansion Abroad Joint-venture 15% Development of SBU Acquisition 80% Homewear/Nightwear Development of SBU Hotellerie Direct Investment 5% “Luxury” 26
Slide 27: Questions & Answers
CALEFFI QUESTIONS & ANSWERS 27
Slide 28: Contacts
Contacts CALEFFI Home Fashion www.caleffispa.it Emanuela Gazza – Caleffi S.p.A. Tel: +39 03757881 [email protected] IR Top - Specialists in Investor Relations Tel: +39 0345473883 [email protected] www.irtop.com 28