Luceco Plc · LSE:LUCE
Luceco — H1 2017 Earnings Presentation
21 slides from Luceco's earnings presentation, Sep 11, 2017
Slide 1: Interim Results Presentation
INTERIM RESULTS PRESENTATION Strong start to the year, with a strong order book for the second half of 2017 11 September 2017
Slide 2: Agenda
Luceco plc | Interim results presentation 2017 AGENDA Introduction and highlights John Hornby Financial review David Main Strategic progress and outlook John Hornby Questions 1
Slide 3: Introduction
Luceco plc | Interim results presentation 2017 INTRODUCTION Who we are Luceco is a rapidly growing manufacturer and distributor of high quality, innovative LED lighting products and wiring accessories supplying a global customer base. The Group supplies the following market recognised brands: Luce
Slide 4: H1 Highlights
Luceco plc | Interim results presentation 2017 H1 HIGHLIGHTS Operational Financial Strong revenue growth across all product Revenue increased for the first six months of the year by categories 25.5% to £75.3m (H1 2016: £60.0m) Consistent operating margins On a constant currency basis, revenu
Slide 5: Financial Highlights
Luceco plc | Interim results presentation 2017 FINANCIAL HIGHLIGHTS Revenue Gross Profit Gross Margin (£m) (£m) (%) 75.3 35.3% 35.0% 31.5% 60.0 26.4 48.0 21.2 15.1 CAGR 25.2% CAGR 32.2% H1 2015 H1 2016 H1 2017 H1 2015 H1 2016 H1 2017 H1 2015 H1 2016 H1 2017 EBITDA Adjusted operating profit Operating
Slide 6: Well Positioned for Continued Growth
Luceco plc | Interim results presentation 2017 WELL POSITIONED FOR CONTINUED GROWTH 5
Slide 7: Financial Overview
Luceco plc | Interim results presentation 2017 FINANCIAL OVERVIEW 6
Slide 8: Summary Consolidated Income Statement
Luceco plc | Interim results presentation 2017 SUMMARY CONSOLIDATED INCOME STATEMENT H1 H1 FY Chg '17 Revenue growth of £15.3m (25.5%), £m 2017 2016 2016 v '16 Chg % £10.4m (17.3%) on a constant currency basis Revenue 75.3 60.0 133.8 15.3 25.5% Gross profit 26.4 21.2 47.8 5.2 24.5% Gross margin
Slide 9: Profit After Tax Bridge
Luceco plc | Interim results presentation 2017 PROFIT AFTER TAX BRIDGE 0.7m 5.4m (0.2m) (1.6m) 6.5m (1.8m) 4.0m H1 2016 Volume Interest and tax Product mix Overhead Investment H1 2017 growth in growth (Sales and Marketing) Strong revenue and gross profit growth despite on-going investment in sales
Slide 10: Net Debt Bridge
Luceco plc | Interim results presentation 2017 NET DEBT BRIDGE (29.4m) (26.1m) (3.6m) (1.7m) 9.0m (0.7m) (0.6m) (0.5m) 1.8m (0.4m) Dec 2016 Operating Depn & Tax paid Dividend Mvt in NWC FX Financing CAPEX June 2017 profit amortn paid Reduced NWC outflow versus H1 2016 and full year 2016 Capex in
Slide 11: Segmental Performance
Luceco plc | Interim results presentation 2017 SEGMENTAL PERFORMANCE LED lighting Wiring accessories 17.0m 34.9m 13.9m 30.7m 1.5m 1.0m 5.5m 4.9m Revenue £m Op profit £m Revenue £m Op profit £m Revenue £m Op profit £m Revenue £m Op profit £m H1 2017 H1 2016 H1 2017 H1 2016 Revenue up 22.4% to £17.0
Slide 12: Segmental Performance
Luceco plc | Interim results presentation 2017 SEGMENTAL PERFORMANCE Portable Power Ross and other 20.2m 3.2m 13.3m 2.1m 1.6m 0.3m 1.0m 0.2m Revenue £m Op profit £m Revenue £m Op profit £m Revenue £m Op profit £m Revenue £m Op profit £m H1 2017 H1 2016 H1 2017 H1 2016 Revenue up 52.2% to £20.2m (c
Slide 13: Summary Consolidated Balance Sheet
Luceco plc | Interim results presentation 2017 SUMMARY CONSOLIDATED BALANCE SHEET H1 H1 FY Chg '17 £m 2017 2016 2016 v '16 Chg % Non-current assets Continuing innovation and product Intangible assets 13.7 12.4 12.9 1.3 10.5% Tangible assets 21.0 19.3 20.6 1.7 8.8% development both in the UK and Ch
Slide 14: Summary Consolidated Cash Flow
Luceco plc | Interim results presentation 2017 SUMMARY CONSOLIDATED CASH FLOW Chg Effective management of NWC has H1 H1 FY '17 v further enhanced the cash flow for the £m 2017 2016 2016 '16 Chg % Operating profit* 9.0 7.2 15.0 1.8 25.0% Group thus slowly reducing the net debt Depn and amortisation
Slide 15: Revenue by Geography
Luceco plc | Interim results presentation 2017 REVENUE BY GEOGRAPHY – UK revenues have grown strongly, increasing 22.2% H1 H1 Chg '17 Chg during the year to £62.8m (H1 2016: £51.3m). This £m 2017 2016 v '16 % growth has been driven by the full period impact of UK 62.8 51.3 11.5 22.2% significant new
Slide 16: Strategic Progress
Luceco plc | Interim results presentation 2017 STRATEGIC PROGRESS 15
Slide 17: Overview
Luceco plc | Interim results presentation 2017 OVERVIEW Established routes to market – Highly regarded UK business; quality blue-chip customer base – Expanding UK and International sales networks; well placed for LED growth opportunity Fully integrated model – Wholly-owned Chinese manufacturing
Slide 18: Strategic Update
Luceco plc | Interim results presentation 2017 STRATEGIC UPDATE Expansion of product range to deliver growth in revenue and profits – Strong new product launches in the period, especially within the LED category – Strong pipeline of new product launches into H2 and beyond – Internationalisation of
Slide 19: Strategic Update
Luceco plc | Interim results presentation 2017 STRATEGIC UPDATE Develop international sales for all product offerings – New offices, which began trading in Hong Kong and Spain in 2016, have gained momentum in the six month period – USA and Mexico gain increased market penetration – Germany and Fra
Slide 20: H1 2017 Summary
Luceco plc | Interim results presentation 2017 H1 2017 SUMMARY Ongoing growth in the manufacturing Successful new product launches New business wins key driver to growth both Continued growth in all Brands, particular facility and supply chain domestically and internationally LED Lighting Strong r
Slide 21: Disclaimer
Luceco plc | Interim results presentation 2017 DISCLAIMER This presentation and information communicated verbally to you may contain certain projections and other forward- looking statements with respect to the financial condition, results of operations, businesses and prospects of Luceco plc. These