COPENHAGEN | 3 MAY 2019 RTX PRESENTATION Q2 2018/19 PRESENTATION BY CEO PETER RØPKE & CFO MORTEN AXEL PETERSEN WIRELESS WISDOM WORKS IN ANY ENVIRONMENT
DISCLAIMER This presentation contains statements regarding expectations for the future development of RTX A/S, in particular the direction of future product development, future sales, operating profits and business expansion. Such statements are subject to risks and uncertainties as various factors, many of which are outside the control of RTX, may cause the actual development and results to differ materially from the expectations expressed directly or indirectly in this presentation. Factors that might affect such expectations include, among others, rapid technological changes and evolving markets, overall economic and business conditions, fluctuations in currencies, demand for RTX’s services, competitive factors in the market and uncerta inties concerning possible investments. 2 RTX Presentation Q2 18/19 - 3 May 2019
AGENDA 1. 1. RTX @ A A GLA LANCE 11:45 :45 – 12:00 :00 2. FINANCIAL RESULTS Q2 AND H1 2018/19 12:00 – 12:15 3. BUSINESS UPDATE Q2 2018/19 12:15 – 12:30 4. OUTLOOK 2018/19 12:30 – 12:35 5. Q&A SESSION 12:35 – 12:45 3 RTX Presentation Q2 18/19 - 3 May 2019
STRENGTH PROFILE RTX has has a: a: • Mark arket-leading pos positio ion in wireless solutions. • Proven abil ability to develop, innovate and manufacture customized solutions. • Dedicated gr Ded growth strategy - focus on 4 business areas: Enterprise, Headset, ProAudio and Healthcare. • Solid bu Soli business ss mod odel with high degree of recurring revenue from loyal customers. • Hig High pr profitabilit ity, that can be maintained with the right product mix. • Le Leverage opp opportunity within the current business setup. • Sus Sustained foc ocus on on sha shareholder valu lue - CFFO invested in value creation or paid back to the shareholders. 4 RTX Presentation Q2 18/19 - 3 May 2019
RTX @ A GLANCE RTX is a global company with 25 years of extensive experience and knowledge in design of advanced wireless short-range radio systems and products. Our heritage has provided us with a unique combination of software and hardware capabilities through which RTX manages projects for globally recognized customers, from conceptualization to finished products and modules. Globally certified 264 ISO 9001 1993 +1,000 Projects Founded in 1993 and FTE employees by 30 according to headquarter in Denmark completed September 2018 ISO 9001:2015 EBITDA & EB & EB EBITDA-MARGIN EB EBIT & & EB EBIT-MARGIN REVENUE & & GRO ROWTH DKKm % DKKm % DKKm % 500 25 100 20 100 20 400 20 80 80 15 15 300 15 60 60 10 10 200 10 40 40 5 5 100 5 20 20 0 0 0 0 0 0 201 013/1 3/14 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 201 013/1 3/14 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 201 013/1 3/14 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 Revenue Growth % EBITDA EBITDA % EBIT EBIT-margin 5 5 RTX Presentation Q2 18/19 - 3 May 2019
WHAT WE DO ProAudio Enterprise In the Enterprise segment, RTX designs, develops, With years of experience in ProAudio and supplies wireless IP telephony solutions used design, development and manufacturing, RTX has gained the in communication systems for professional use, e.g. in office environments, call centers, retail or expertise to deliver incredible sound quality in high-density RF storage facilities etc. The wireless IP telephony solutions are supplied on both an ODM and an environments as well as in challenging OEM / white label basis. radio environments having high inter- symbol interference. Healthcare In the Healthcare segment, RTX is involved Headsets in the development, design and supply of The RTX headset range for call centers wireless modules and products used for & offices consists of several different continuous patient monitoring in hospitals models from high-end to low-end, as well as the design of wireless solutions supporting customer demand for high for projects in assisted living such as hearing quality and deep integration. aid accessories. 6 RTX Presentation Q2 18/19 - 3 May 2019
HOW WE WORK: MOVING FROM DESIGN TO PRODUCTS Taking a customer-centric approach, understanding market trends and acting as a professional partner is an integral part of how we do business at RTX. We believe that we provide a true value proposition and best results when collaborating closely with our customers – either through projects or in ODM or OEM solutions. SPECIFICATION AND DEVELOPMENT AND TESTING AND PRODUCTION AND SUPPLY INTEGRATION CERTIFICATION CHAIN MANAGEMENT DESIGN At RTX, we start by converting Following agile development Based on years of experience, Using a well-established customers’ requirements and user practices, we develop prototypes our in-house pretest services network of ISO9001, SO14001, needs into a Product Requirement to evaluate system performance in- reduce your time to market and ISO13485, TS16949 and AS9100 Specification. Our engineering teams house. We integrate each design at lower approval and certification certified manufacturers, then design a solution that is based on system level so that every costs. If required, we can also we guarantee a production the right combination of mechanics, component and sub-system works handle the full type approval through the entire product life- hardware and software. Combined with perfectly, evaluating performance service for our customers. cycle. our list of patented solutions and in- against test cases for the fully house developed protocols, we promise integrated system. our customer a compelling result. 7 RTX Presentation Q2 18/19 - 3 May 2019
FOCUSED STRATEGY Expand leadership in Enter erpris ise Establish a presence in He Headsets Secure unique position in Proaudio Strengthen position within He Healt lthcare 8 RTX Presentation Q2 18/19 - 3 May 2019
WHO WE WORK FOR 9 RTX Presentation Q2 18/19 - 3 May 2019
AGENDA 1. RTX @ A GLANCE 11:45 – 12:00 2. 2. FI FINANCIAL RE RESU SULTS Q2 Q2 AN AND H1 1 20 2018 18/19 19 12 12:00 :00 – 12 12:15 :15 3. BUSINESS UPDATE Q2 2018/19 12:15 – 12:30 4. OUTLOOK 2018/19 12:30 – 12:35 5. Q&A SESSION 12:35 – 12:45 10 RTX Presentation Q2 18/19 - 3 May 2019
GROUP HIGHLIGHTS FROM Q2 2018/19 REVENUE EBITDA EBIT EBITDA-MARGIN EQUITY RATIO DKK 20 m DKK 138 m DKK 23 m 17 % 77 % EBITDA EB EB EBIT REVENUE DKKm DKKm DKKm 25 140 25 120 20 20 100 15 15 80 10 60 10 40 5 5 20 0 0 0 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 Q2 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 201 018/1 8/19 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 201 018/1 8/19 201 014/1 4/15 201 015/1 5/16 201 016/1 6/17 201 017/1 7/18 201 018/1 8/19 11 11 RTX Presentation Q2 18/19 - 3 May 2019
GROUP P&L Q2 AND H1 2018/19 • Net t revenue increased by 29.2% in Q2 to DKK 137.9 million. Both Business DKK mil DK million Q2 2018/19 Q2 2017/18 H1 H1 2018/19 H1 H1 2017/18 Communications (+33.4%) and Design Services (+21.5%) achieved revenue growth. In Business Communications both the handset related product ranges Revenue 137.9 106.8 254.4 207.7 and the new strategic focus area within the headset product ranges grew. Within Design Services growth was seen from both ODM product sales as a Cost of sale -59.6 -41.9 -109.3 -85.9 strategic focus area and from continued high activity for customer financed projects. H1 growth was 22.5 % from last year (Business Communications Gross profit 78.3 64.8 145.1 121.8 +25.6% and Design Services +16.8%). Gross margin. % 56.8% 60.7% 57.0% 58.6% • The revenue growth in Q2 and H1 was positively affected by the USD exchange rate with FX corrected revenue growth of 21.1% and of 16.9% respectively as Other external cost -15.1 -11.9 -31.8 -23.0 well as by the implementation of IFRS15. Staff cost -45.3 -37.8 -88.7 -73.6 • The he Gross s Margin in H1 was 1.6 %-points below last year due to changes in the Value of own work transferred to assets 5.1 6.3 9.1 9.7 product mix. EBITDA EBI 23.1 .1 21.4 .4 33.7 .7 34.9 .9 • Capacity cost osts increased as planned both for ramping-up capacity in order to execute the two major framework agreements announced during 2017/18 and Depreciation and amortization -3.4 -1.8 -6.3 -3.2 for continuing to build the organization and infrastructure necessary for further growth. Thus, the average number of FTEs increased to 270 in H1 2018/19 Ope perating Profit (EBIT (EBIT) 19 19.6 .6 19.6 19 .6 27 27.4 .4 31.7 31 .7 compared to 239 in H1 2017/18. • Oper perating per performance in Q2 improved with EBI BITDA increasing by 7.8% while EBI EBIT was at a similar level as the same period last year. In H1, EBITDA decreased by 3.6% and EBIT by 13.7% due to the effect of the planned capacity cost ramp- up and higher depreciation and amortization. 12 RTX Presentation Q2 18/19 - 3 May 2019
Recommend
More recommend
