Gimv Nv · EURONEXT:GIMB
Gimv Nv — FY2016/2017 Earnings Presentation
43 slides from Gimv Nv's earnings presentation, May 18, 2017
Slide 1: Press conference / Analyst meeting FY 2016/2017 - results
Press conference / Analyst meeting FY 2016/2017 - results Brussels, 18 May 2017 P-1130
Slide 2: Disclaimer
Disclaimer • This document is being provided to you solely for your information. It is confidential, is not intended for distribution to the press or other media, and may not be reproduced or redistributed by mail, facsimile, electronic or computer transmission or by any other means to any other per
Slide 3: Gimv Group's results FY 2016-2017 by CEO and CFO
Gimv Group’s results FY 2016-2017 by CEO Koen Dejonckheere & CFO Kristof Vande Capelle 3 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 4: Key messages
Key messages Excellent results for the 3rd consecutive year • Attractive realised results on record exits • Solid sales & ebitda growth in majority of portfolio companies • Portfolio return of 19% above LT-target • Excellent net result for 3rd consecutive year • Increased dividend of EUR 2.5 per sha
Slide 5: 1. Excellent results backed by record exits and value creation within the portfolio
1. Excellent results backed by record exits and value creation within the portfolio 5 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 6: Portfolio companies' performance and record exits
Portfolio companies’ performance and record exits … Sales growth EBITDA growth +11% +17 % 75% of portfolio cies show positive growth 27% uplift on exits in 2016 6 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 7: ...lead to strong FY results for Gimv
…lead to strong FY results for Gimv Net profit Portfolio return EUR 132 mio 19 % Equity (NAV) Return on equity EUR 1 233 mio 11% EUR 48.5 per share 7 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 8: Return on equity of 11% driven by strong portfolio result
Return on equity of 11% driven by strong portfolio result Portfolio result of EUR 190.9 mio = 19% portfolio return 1.400 51,0 -41,3 1.300 55,7 -62,3 1.200 84,3 -22,1 1.100 1.233,2 1.000 1.167,9 900 800 Equity Net realised Net Dividend & Other results Dividend Share of Equity 31/3/2016 capital gains
Slide 9: Realised value creation on exits over the past 3 years
Realised value creation on exits over the past 3 years Exits over the past 3 years (35 portfolio companies) EUR mio 1.400 300 757 1.213 1.200 84 300 1.000 216 419 457 800 216 457 600 242 549 455 85 400 119 794 Realized money multiple of 2,7x 200 464 337 - Investment Cost Valuation result + Realized
Slide 10: Strong uplift on exits confirmed
Strong uplift on exits confirmed • Proceeds from FY 2016-17 divestments (incl. income received): EUR 396.0 mio • Uplift on opening equity of 31 March 2016: 27% Total uplift on opening equity 140% 120% 100% 80% 60% 40% 20% 0% FY05 FY06/07 FY07/08 FY08/09 FY09/10 FY10/11 FY11/12 FY12/13 FY13/14 FY14/1
Slide 11: Unrealised results driven by portfolio performance and increased stock-prices
Unrealised results driven by portfolio performance and increased stock-prices • 56% of portfolio has a 20,8 Net Financial Debt multiple-based valuation (= excluding third-party 16,6 Listed funds) 15,2 Ebitda or Sales First Time Valuation • Weighted average 12,7 EV/EBITDA-ratio: 7.0x 4,5 Imminent Sal
Slide 12: Portfolio size remains stable notwithstanding record exits
Portfolio size remains stable notwithstanding record exits 1.400 124,5 -68,9 1.200 179,6 -312,1 1.000 26,5 800 600 1.013,9 963,6 400 200 0 Portfolio Investments Value Value Divestments Other Portfolio 31/03/2016 increases decreases Portfolio value 31/03/2017 12 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 13: Sound financial position allows future growth
Sound financial position = 20% of our balance sheet (after dividend payment) allows future growth • Net treasury at EUR 314 mio (EUR 250 mio when taking into account the dividend to be paid) • Remaining external commitments in our co-investment funds : EUR 167 mio • Unused credit lines of EUR 200 mi
Slide 14: 2. Record exits and continued portfolio expansion
2. Record exits and continued portfolio expansion 14 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 15: High investment and divestment activity
High investment and divestment activity Divested Invested EUR 394 mio EUR 180 mio (EUR 171 mio historical investment cost) 11 new investments + multiple add-on 12 full exits investments 15 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 16: High investment activity
High investment activity • Entry: April 2016 • Entry: April 2016 • Entry: May 2016 • Premium baby strollers • Implantable • Neurostimulation therapy • Minority stake (40%) neurostimulator device for gastroesphageal reflux • EUR 6 million disease investment • USD 2.7 million investment • Entry: May 2
Slide 17: High investment activity
High investment activity • Entry: September 2016 • Entry: September 2016 • Entry: October 2016 • Medical device company • Inspection and • Provider of business and IT active in spine surgery certification services for transformation software • EUR 30 million investment buildings and elevators and ad
Slide 18: Positive design
Positive design • Dutch cy designing and manufacturing award- OPPORTUNITIES FOR VALUE CREATION winning premium pushchairs • Rolling out its core offering in both • Gimv acquired a 40%-stake, next to the existing and new geographical markets management / founders • Launch of new products • Growing it
Slide 19: New investment > the Joolz case
New investment > the Joolz case 19 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 20: Covered
Covered • Dutch leading supplier of airbag components and labels for durable goods OPPORTUNITIES FOR VALUE CREATION • Gimv acquired a 67%-stake, next to the • Further penetrate in existing markets management team • Grow its Chinese business and expanding its activities in the US • Maintain cost & qu
Slide 21: New value creation processes started
New value creation processes started Deal thesis: growth acceleration by Focused Organic International Product Buy & Build platforms growth expansion development Connected Joolz Consumer Real Impact Analytics Breath Therapeutics Endostim Health & Care G-Therapeutics Spineart
Slide 22: Every value creation process is a continuum
Every value creation process is a continuum • The largest independent bus transport OPPORTUNITIES FOR VALUE CREATION company in Flanders, operating bus lines for • New public framework agreement with regional public transport authorities (De Lijn, public transport company De Lijn > full TEC), organi
Slide 23: Continuous value creation > the Hansea case
Continuous value creation > the Hansea case 23 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 24: Record realisations
Record realisations • April 2016 – full exit • April 2016 – full exit • Sept 2016 – full exit • Acquired by Motion Equity • Acquired by Qorvo, a • Acquired by Total, the Partners, a mid-market Nasdaq-listed provider of world’s 4th listed oil & gas company and second- European PE firm core technologi
Slide 25: Record realisations
Record realisations • December 2016 – full exit • January 2017 – full exit • May 2016 – full exit • Cargill bought out both • Acquired by employment • Acquired by Safinco, the Biodiesel Holding and Vanden agency BMC holding company of the Avenne, thus becoming the sole family shareholders of owner o
Slide 26: Multiplicom
Multipl(e)(i)com • Spin-off from University of Antwerp and VIB • Focused on R&D and commercialization of diagnostic kits for genetic diseases and oncology • Gimv and Biotech Fonds Vlaanderen acted as lead investors in both the Series A (2011) and B round (2013) of Multiplicom, which totaled EUR 7.7
Slide 27: 51 companies with a value of ~EUR 1 billion
51 companies with a value of ~EUR 1 billion 27 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 28: 3. Wrap-up
3. Wrap-up 28 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 29: Key conclusions
Key conclusions Excellent full year results, for the third consecutive year Gross dividend / share increases to EUR 2.5 Record divestments Continued strong performance of our portfolio companies Strong investment activity Solid financial position enables realisation of further growth ambitions 29 RE
Slide 30: Questions & Answers
Questions & Answers 30 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 31: Annexes: Additional information
Annexes: Additional information 31 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 32: Twenty largest investments > rank 1 to 5
Twenty largest investments make up 55% of portfolio (based on NAV of 31 March 2017) > rank 1 to 5 Company Activity Platform Location Entry HVAC solutions in residential renovation and new The Netherlands 2016 build markets Wall covering producer Belgium 2007 Specialised clinics France 2013 Independe
Slide 33: Twenty largest investments (ctd) > rank 6 to 10
Twenty largest investments (ctd) > rank 6 to 10 Company Activity Platform Location Entry Solutions for glass daylight constructions, The Netherlands 2015 ventilation & fire safety systems Video advertising on social and premium media France 2011 Production of substrate for the cultivation of The Net
Slide 34: Twenty largest investments (ctd) > rank 11 to 15
Twenty largest investments (ctd) > rank 11 to 15 Company Activity Platform Location Entry Software solution company Belgium 2013 Plastic pallet pooling Belgium 2016 Medical device company active in spine surgery Switzerland 2016 Transport & logistic services Belgium 2014 Leading supplier of airbag c
Slide 35: Twenty largest investments (ctd) > rank 16 to 20
Twenty largest investments (ctd) > rank 16 to 20 Company Activity Platform Location Entry High-tech ultrasound transducers The Netherlands 2012 Specialty pharma & medical homecare The Netherlands 2013 Roll and flatbed digital cutting machines Belgium 2016 User workspace management The Netherlands 20
Slide 36: Record divestments and increased results lead to excellent FY 2016/17 results
Record divestments and increased results portfolio companies lead to excellent FY 2016/17 results of EUR 132 million IFRS FY 15/16 1H 16/17 2H 16/17 FY 16/17 Net group results 137,2 85,1 46,8 131,9 Investments (balance sheet) 130,2 116,0 63,6 179,6 Investments (incl. FuM) 162,5 128,7 67,1 195,8 Dive
Slide 37: Equity matrix: diversified portfolio
Equity matrix: diversified portfolio ~ 51 companies Net Business Unit Third Other Connected Health & Smart Sustainable treasury & Equity party participations Total Consumer Care Industries Cities other net group Region funds (incl. infra) assets Belgium 79,6 3,5 69,2 80,5 6,0 64,4 303,2 France 68,6
Slide 38: Continued strong investment activity and record divestments
Continued strong investment activity and record divestments 450 400 300,7 350 300 250 16,9 200 18,6 26,5 20,6 29,7 56,5 12,7 150 12,3 24,1 46,6 52,3 55,3 13,7 100 50 26,7 3,5 52,5 12,8 50,3 17,5 45,8 17,8 53,1 3,4 28,4 16,1 20,1 20 50 133,6 105,3 123,7 138,3 125,9 193,7 103,3 110,1 123,9 341,8 79,2
Slide 39: Above-average portfolio return driven by record exits
Above-average portfolio return driven by record exits Connected Health & Smart Sustainable Other Total Consumer Care Industries Cities portfolio(i) Realised gains & losses 11.4 6.3 51.2 5.4 9.9 84.3(ii) Unrealised gains & losses/impairm. 21.8 7.4 14.1 22.9 -10.5 55.7 Dividends/interests 4.1 2.8 3.4
Slide 40: 51 portfolio companies with a value of ~EUR 1 billion
51 portfolio companies with a value of ~ EUR 1 billion 7% 23% 18% 14% 19% 19% Connected Consumer Health & Care Smart Industries Sustainable Cities Third party funds Other shareholdings (incl. infra) 40 RESULTS FY 2016-2017 (18 MAY 2017)
Slide 41: Young portfolio: 60% was newly invested in the past 5 years
Young portfolio: 60% was newly invested in the past 5 years by valuation method Weighted average EV/EBITDA-ratio: 7.0x by vintage** 3% 2% (after 27% discount)* 4% 4% 6% 26% 6% 24% 46% 15% 14% 32% 18% Multiple Third party funds Cost Loans ≤ 2006 2007-2009 2010-2012 2013-2015 ≥ 2016 Listed Other Price
Slide 42: Weighted average multiple at 7,0x
Weighted average multiple at 7,0x • Stable ebitda multiple after discount • Average discount at 27% 12,00x 30% 10,00x 25% 8,00x 20% 6,00x 15% 4,00x 10% 2,00x 5% 0,00x 0% EV/Ebitda (weighted average) Market pricing (Ave Price/EBITDA EUR 10-100 mio transactions) Discount to peer group 42 RESULTS FY 20
Slide 43: Contact
CONTACT Frank De Leenheer T +32 3 290 22 08 [email protected] Belgium The Netherlands France Germany Gimv nv Gimv Nederland Holding BV Gimv France SAS Gimv Karel Oomsstraat 37 Berlage-Huis 83, rue Lauriston Promenadeplatz 12 2018 Antwerpen Groenhovenstraat 2 75116 Paris 80333 München T +32 3