Elica — Investor Presentation 2016

Mar 15, 2016

STAR CONFERENCE 2016 Milan

Agenda

Company Overview

Elica Corporation Strategy

2015 Preliminary Results

Performance Development & Guidance 2016

Elica Corporation

19 Mln Hoods + Motors

Cooking Net Sales: Own Brand 41% Client Brand 59 %

2' & 3' Player produce respectively 25% & 50% less than Elica

Unique world wide player

45 Years of Innovation, Design & Creativity

Cooker Hoods Industry Unit Shipments*

Volume Data

Western Europe	1.9%
Eastern Europe (including CIS)	(9.4)%
Europe	(3.0)%
North America	4.6%
Latin America	(3.3)%
Americas	1.3%
Rest of the World	(2.8)%
World	(2.3)%

Last 5Y Market Evolution -6.5%; Last 5Y Elica Net Sales Evolution +25.8%

* Elica Group Estimates

FY'15

Cooker Hood World Wide Leader : Market Share 13%**

Agenda

Company Overview

Elica Corporation Strategy

2015 Preliminary Results

Performance Development & Guidance 2016

Elica Corporation Strategy

How to Growth?

North America 2016 Market Scenario

Main Drivers of North American Growth

PLATFORM

INCREASE

Elica Corporation Strategy

Brand Portfolio

Brand Share Development in Europe

* Sell in data of European major markets

Elica Brand Sales FY 2015

	FY '15
Europe	20.4%
Americas	55.6%
Rest of the World	16.5%
Total	20.9%

Main Drivers of Branded Business Growth

Focus India

Fast Growing performance in the last 3Y

Born in 2010, in 2014 has reached Net Result breakeven

Today Market Leader with 30% market share*

Elica Corporation Strategy

Growth Beyond the Core

VISION

"Create an outstanding value for consumers and professionals in the ventilation, filtration and purification of air at home"

SNAP Launch & Communication

PARTNERSHIP

• Web Vodafone Channel
• Press
• Airport Advertising
• Event

MEDIA

• Web Condé Nast Live!
• Social Network
• Wired.it
• Wired Magazine
• AD Magazine

22

Elica Corporation Strategy

Back Bone

Procurement

MAIN GOALS:

• Optimizing and Boosting Raw Material trend in all the material classes;
• Push purchasing in Best Cost Countries

World Class Manufacturing is Our Way to Efficiency

Hoods Production Capacity

Elica Corporation Strategy

Infrastructure

Agenda

Company Overview

Elica Corporation Strategy

2015 Preliminary Results

Performance Development & Guidance 2016

12M '15 Highlights

• Western Europe and North America growing, even if overall market demand decrease 2.3%
• Net Sales growing by 7.6%, driven by Cooking business. Elica brand world wide over perform growing 20.9%
• EBITDA* growing by 14.7%
• Net Result growing by 113.6%
• Outstanding Managerial Working Capital performance (7.5% on Net Sales)
• FY2015 Guidance beaten:
• Net Sales 421.6 M€ (estimated from 3% to 5%) EBITDA* 35.3 M€ (estimated from 7% to 14%)
• NFP 53.0 M€ (estimated 58 M€)

* Before restructuring costs

Elica Sales 12M 2015

Sales Trend vs. 12M '14

• Cooking 8.0%
• Own Brands: increase 8.5%
• Client brands: increase 7.7%, growing share on yearly basis on Top OEM
• Electric Motors increase 5.2%

Americas	27.8%
Europe	5.0%
Rest of the World	0.0%
Total	7.6%

FY' 15

12M '15 Consolidated Income Statement

€M	12M'15	12M'14	Δ%
Net Sales	421.6	391.9	7.6%
EBITDA before restructuring charges	35.3	30.8	14.7%
%	8.4%	7.9%	0.5 p.p.
EBITDA	33.5	27.9	20.1%
%	8.0%	7.1%	0.9 p.p.
EBIT	16.2	11.3	43.8%
%	3.8%	2.9%	0.9 p.p.
Net Result	7.4	3.5	113.6%
%	1.8%	0.9%	0.9 p.p.
EPS* – Euro cents	9.98	4.18	138.8%

* EPS as at December 31 is calculated by dividing the Net Result pertaining to the Group by the number of ordinary shares outstanding, excluding treasury shares at the same data.

12M '15 Marginality key drivers

Change vs. 2014

	12M '15
Volume/Price/Mix	=
Production efficiency	+++
Currency	++
Cost efficiency	-
EBITDA*	4.5

Net Working Capital as of December, 31

€M	12M'13 12 5	12M'13 12 4	Δ12M '15/'14
Trade receivables	68.5	63.5	5.0
% on annualized sales	16.2%	16.2%	0.0 p.p.
Inventories % on annualized sales	62.7 14.9%	57.6 14.7%	5.1 0.2 p.p.
Trade payables % on annualized sales	(99.5) (23.6)%	(88.2) (22.5)%	(11.2) (1.1) p.p.
Managerial Working Capital % on annualized sales	31.7 7.5%	32.8 8.4%	(1.1) (0.9) p.p.
Short term assets & liabilities % on annualized sales	(14.1) (3.3)%	(11.9) (3.0)%	(2.2) (0.3) p.p.
Net Working Capital % on annualized sales	17.7 4.2%	21.0 5.4%	(3.3) (1.2) p.p.

Consolidated Balance Sheet as of December, 31 €M

	2015	2014		2015	2014
Net Operating Fixed Assets	156.7	146.6	Net Debt (Cash)	53.0	51.4
Net Working Capital	17.7	21.0	Group Equity	112.7	110.0
			Minorities	6.5	5.6
Net Financial Assets	(2.2)	(0.5)	Total Shareholders' equity	119.2	115.6
Net Capital Employed	172.2	167.0	Total Sources	172.2	167.0

Consolidated Cash Flow as of December, 31

€M	12M '15	12M '14
Operating Cash Flow	34.4	27.6
Restructuring Costs	(8.4)	(2.8)
CapEx	(19.9)	(15.3)
Cash Flow Before Financial Activities	6.2	9.5
Financial Operations & Others	(7.5)	(3.9)
Cash Flow to Shareholders	(1.3)	5.6

Net Financial Position Evolution

Q1 '12 Q2 '12 Q3 '12 Q4 '12 Q1 '13 Q2 '13 Q3 '13 Q4' 13 Q1 '14 Q2 '14 Q3 '14 Q4 '14 Q1 '15 Q2 '15 Q3 '15 Q4 '15

* Managerial Working Capital

Agenda

Company Overview

Elica Corporation Strategy

2015 Preliminary Results

Performance Development & Guidance 2016

Market Demand Outlook 2016*

EUROPE +2.0%

AMERICAS +3.0%

ASIA (1.0)%

* Elica Group Estimates

Guidance 2016

• Group Net Sales from +5% to +9%
• EBIT from +13% to +26%
• Net Financial Position 58 M€

Performance Development & Guidance 2016

Disclaimer

This presentation contains forwards-looking information and statements about Elica S.p.A and its Group. Forwardlooking statements are statements that are not historical facts. These statements include financial projections and estimates and their underlying assumptions, statements regarding plans, objectives and expectations with respect to future operations, products and services, and statements regarding future performance.

Although the management of Elica S.p.A. believes that the expectations reflected in such forward-looking statements are reasonable, investors and holders of Elica are cautioned that forward-looking information and statements are subject to various risk and uncertainties, many of which are difficult to predict and generally beyond the control of Elica S.p.A.; that could cause actual results and developments to differ materially from those expressed in, or implied or projected by, the forward-looking statements.

These risks and uncertainties include, but are not limited to, those contained in this presentation. Except as required by applicable law, Elica S.p.A. does not undertake any obligation to update any forward-looking information or statements.