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Fidia Interim / Quarterly Report 2016

Oct 7, 2016

4258_10-k-afs_2016-10-07_24234dd4-b9dc-418e-9ec9-c39c937e596f.pdf

Interim / Quarterly Report

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Table of contents

Company profile 3 Order acquisition 13
Fidia Group Organisation 4 Order Backlog 14
Consolidated financial statement 6 Research and Development 15
Main financial data 10 Products 18
Group Net Revenues 11 Fidia communication media 22
Order acquisition 14
Order Backlog 14
Research and Development 15.
Products 18
Fidia communication media ככ

Company profile

FIDIA S.p.A., established in Turin since 1974, designs, manufactures and sells Numerical Controls and Milling Systems for the production of complex shapes mainly for the automotive, aerospace and energy sectors.

With three industrial sites in Italy, one Joint Venture in China and eight Subsidiaries overseas, the FIDIA Group employs approx. 340 people and reached 60,3 MEuro of turnover in 2015.

The Company is focused on high-quality products and customizable machines being, since its creation, among the world leaders in the field of Numerical Controls for machining of complex surfaces as well as in the one for High-Speed Five Axis Milling Centers. In the last years due to their outstanding performances, the new gantry type machines "GTF" have encountered a considerable success in the global market both in the mould & die and aerospace industries.

A significant percentage of the Group's annual turnover is invested every year in research and development. Certified ISO9001 since 1996, FIDIA S.p.A. is constantly focused on improving the performances, quality and reliability of its products.

Technological excellence, constant innovation, highly skilled human resources and international business presence are the key factors of the FIDIA success over more than 40 years of activity.

Subsidiares Service Center Joint Ventures

Fidia Group: consolidated financial statement as at 30.06.2016

Consolidated profit and loss statement
(Euro/thousands)
30/06/2016 % 30/06/2015 %
Net revenues 26.985 86,80% 28.807 87,20%
Change in finished goods and W.I.P. 3.121 10,10% 3.166 9,60%
Other operating revenues 978 3,10% 1.063 3,20%
Value of production 31.083 100,00% 33.036 100,00%
Raw materials and consumables (11.170) -35,90% (11.478) -34,70%
Commissions, transport and
subcontractors
(3.429) -11,00% (4.779) -14,50%
Other services and operating costs (5.398) -17,40% (5.369) -16,30%
Added value 11.087 35,70% 11.410 34,50%
Personnel costs (8.831) -28,40% (8.668) -26,20%
Gross operating margin (EBITDA) 2.257 7,20% 2.742 8,30%
Provision for bad debts & tax credits loss (82) -0,30% (644) -1,90%
Depreciation and amortization (325) -1,00% (320) -1,00%
Operating margin of the ordinary
activity
1.849 5,90% 1.778 5,40%
Non-recurring cost - 0,00% - 0,00%
Operating margin (EBIT) 1.849 5,90% 1.778 5,40%
Net financial income (expenses) (113) -0,40% (159) -0,50%
Profit (loss) on exchange rates 201 0,60% (465) -1,40%
Margin before taxes (EBT) 1.937 6,20% 1.154 3,50%
Income taxes (current and deferred) (715) -2,30% (443) -1,30%
Net income (loss) for the accounting
period
1.222 3,90% 711 2,20%
Income (loss) attributable to minority
interest shareholders
8 0,00% 162 0,50%
Income (loss) attributable to the Group 1.230 4,00% 873 2,60%

Fidia Group: consolidated financial statement as at 30.06.2016

Consolidated statement of financial position
(Euro/thousands)
30/06/2016 31/12/2015 30/06/2015
Property, plant and equipment 8.924 6.452 4.777
Intangible fixed assets 1.212 1.099 894
Investments 16 16 16
Other financial assets 2.087 2.445 2.579
Fixed assets – (A) 12.239 10.012 8.266
Net trade receivables 11.867 9.646 13.402
Inventory 24.088 19.825 23.139
Other current assets 2.084 1.021 1.762
Current assets – (B) 38.038 30.492 38.303
Supplier payables (11.477) (11.335) (14.598)
Other current liabilities (11.957) (13.827) (14.983)
Current liabilities – (C) (23.434) (25.162) (29.581)
Net working capital (D) = (B+C) 14.604 5.330 8.722
Provision for employee severance indemnities (E) (2.501) (2.372) (2.633)
Other long-term liabilities (F) (198) (408) (429)
Net invested capital (G) = (A+D+E+F) 24.144 12.562 13.926
Financial position
Financial assets available for sale - -
Bank deposits and cash (8.061) (16.041) (12.657)
Short-term loans 3.083 3.347 3.487
Current (Assets)/Liabilities for derivatives 64 148 414
Other current financial liabilities 69 69 587
Current financial position (credit)/debit (4.846) (12.477) (8.169)
Long-term loans, net of current portion 11.293 6.006 5.017
Non current (Assets)/Liabilities for derivatives 36 6 9
Net financial position (credit)/debt (H) 6.483 (6.465) (3.143)
Share capital 5.123 5.123 5.123
Reserves 8.969 8.739 8.569
Net income (loss) for the accounting period attributable to
the Group
1.230 2.723 711
Total shareholders' equity attributable to the Group 15.322 16.585 14.403
Shareholders' equity attributable to minority interests 2.339 2.442 2.666
Shareholders' equity (I) 17.661 19.027 17.069
Shareholders' equity and net financial position (L) = (H+I) 24.144 12.562 13.926

GTFM V3

GTF GTFM The most compact version in GTF family relies on a monolithic structure of steel and cast iron. Perfect size for plastic injection moulds and prototyping. The GTF Line fulfills the most demanding requirements of main industrial applications.

Fidia Group: main consolidated financial data as at 30.06.2016

Euro/thousands 30/06/2016 % 30/06/2015 %
Net revenues 26.985 86,80% 28.807 87,20%
Value of production 31.083 100,00% 33.036 100,00%
Gross operating margin (EBITDA) 2.257 7,20% 2.742 8,30%
Operating margin (EBIT) 1.849 5,90% 1.778 5,40%
Earning before tax (EBT) 1.937 6,20% 1.154 3,50%
Net consolidated profit/(loss) 1.222 3,90% 711 2,20%
- Bank deposits and cash (8.061) (12.657)
- Long and short term loan 14.376 8.504
Net financial position (credit)/debt (H) 6.483 (3.143)
Net equity 17.661 17.069

Electronic division (CNC) revenues highlighted a drop compared to Half-Yearly 2015 (-7,9%), moving from 2,016 MEuro, to 1,812 MEuro in Half-Yearly 2016.

High Speed Milling system division (HSM) moved as well. Turnover passed from 20,208 MEuro, to 18,605 MEuro in Half-Yearly 2016.

Orders portfolio at the Half-Yearly 2016 diminished vs. same period 2015, due to a slowdown first HY of new orders acquisition.

5-axis milling center G996 RT

Upper gantry structure with high rigidity monolithic basement and integrated roto-tilting table. Ideal for high precision 5 sides and 5 axis machining. The machine is fully equipped with active thermal control.

by business line Consolidated Net Revenues 63% 28% 9% 70% 7% 23% 69% 7% 24% 06/2014 06/2015 06/2016 Total milling systems line (HSM) Total numerical controls line (CNC) Service (HSM - CNC)

Velocity 5™

High speed and accuracy of complex surfaces machining are the most known and appreciated features of Fidia CNC Numerical Controls.

Years of rigorous and close collaboration with top End Users and Machine Tools Builder has allowed Fidia to be on the leading edge in CNC's technology of complex surface milling.

Velocity 5™ is a further significant step in speed and quality improvement.

It is available on the full current range of Fidia numerical controls and can be installed as retrofitting on many of those already operating.

Research and Development

The R&D activities, carried out mainly by the parent company Fidia S.p.A., have always been one of the strengths of the Group and received substantial investments over the years. A team of approx. 34 people supported by specialized consultants is currently dedicated to R&D activities.

The R&D activities are carried out mainly by in-house resources and a substantial part of the expenses incurred consisted of costs for personnel (about 2 million in the FY 2015). All costs incurred are posted directly to the income statement.

R&D allows the Group to pursue the goal of constantly adapting its products to customer needs and to be always at the forefront thanks to technological innovation in its commodity sector.

Research covers both lines of business of the Group.

The costs incurred by the Group in 2015 amounted to approx. 2,7 million (about 4,5% of revenues).

In cooperation with Italian and European Research Centres and several leading Industrial companies, the Group is engaged in:

  • Q 5 projects co-financed by the European Commission (FP7 and H2020 Programs)
  • Q 2 projects co-financed by the Regione Piemonte
  • Q 2 projects co-financed by the Italian Ministery for the Economic Development

C40 Rack Service Terminal

XPower Drives

ViMill®

ViMill® real-time 3D virtual collision look-ahead software effectively help the machine operator in avoiding unforeseen and always very costly collisions.

While milling is in progress, ViMill® is monitoring any unexpected collision situation by graphically executing the actual milling process comfortably ahead in the part program future blocks.

Additionally, ViMill® 3D anti-collision graphic simulation software is also active in JOG Mode, allowing a highly safe operation of manual axis displacements. Such feature is of great support to the operator especially in case of low reciprocal visibility of the tool, workpiece or milling head.

Despite the safety provided by off-line part-program simulation software products, actual machining conditions may vary due to the need of modifying a range of machining set-up, like a different positioning of the workpiece, the off settings of tools or "return to job" and stop and go operations.

ViMill® acts like a safety guard of the machine: a 3D virtual reality "avatar" focused on observing and safely controlling the resulting situations of the given milling toolpath in the near future.

C40 Vision

The C40 Vision numerical control is an innovative solution for machining in a modern and efficient way. By integrating the software ViMill® offers performance and features of highest level and extraordinarily effective for the control and the safety of machine tools.

KR199

The platform integrates a pallet system shared by two or more machines. A powerful dedicated software, automatically manages and optimizes the flow of production without intervention of the machine operator. Each machine can be also used in a standalone way, nonetheless granting the normal functioning of the FMS system with the other machines.

GTF line

The new GTF Gantry machine Line, identified by a wide operative volume modularity, combines High Speed performances with great structural stiffness.

Heads

Numerical Controls

The FIDIA numerical control line can be installed on a wide range of machine tools: from traditional milling and boring machines to machining centres, including the most complex high speed milling systems.

HMS

The HMS system is a device designed to check and correct geometric errors of continuous and indexed bi-rotary heads as well as roto-tilting tables.

FIDIA S.p.A. Corso Lombardia, 11 10099 San Mauro Torinese - TO - ITALY Tel. +39 011 2227111 Fax +39 011 2238202 [email protected] www.fidia.com

FIDIA GmbH

Robert-Bosch-Strasse 18 63303 Dreieich-Sprendlingen - GERMANY Tel. +49 6103 4858700 Fax +49 6103 4858777 [email protected]

FIDIA Co.

3098 Research Drive Rochester Hills MI 48309 - USA Tel. +1 248 6800700 Fax +1 248 6800135 [email protected]

FIDIA Sarl

47 bis, Avenue de l'Europe B.P. 3 - Emerainville 77313 Marne La Vallee Cedex 2 - FRANCE Tel. +33 1 64616824 Fax +33 1 64616794 [email protected]

FIDIA Iberica S.A.

Parque Tecnológico Laida Bidea, Edificio 208 48170 Zamudio - Bizkaia - SPAIN Tel. +34 94 4209820 Fax +34 94 4209825 [email protected]

FIDIA DO BRASIL LTDA

Av. Salim Farah Maluf, 4.236 - 3º andar Móoca - SÃO PAULO - Cep 03194-010 - BRAZIL Tel. +55 11 29657600 Fax +55 11 20212718 [email protected]

FIDIA JVE

Beijing Fidia Machinery & Electronics Co., Ltd Room 1509, 15/F Tower A. TYG Center Mansion C2 North Road East Third Ring Road, Chaoyang District 100027 BEIJING - P.R. CHINA Tel. +86 10 64605813/4/5 Fax +86 10 64605812 [email protected]

FIDIA JVE

Shanghai Office 28/D, No.1076, Jiangning Road Putuo District Shanghai 200060 - CHINA Tel. +86 21 52521635 Fax +86 21 62760873 [email protected]

OOO FIDIA

c/o Promvost Sushovskiy Val, Dom 5, Str. 2, Office 411 127018 Moscow - RUSSIA Tel.: +7 499 9730461 Mobile: +7 9035242669 [email protected] [email protected]

Service centres:

FIDIA GmbH - SERVICE CZ CZ- 74706 Opava Tel/Fax +420 553 654 402 [email protected]

FIDIA S.p.A. - SALES & SERVICE UK 32 Riverside, Riverside Place

Cambridge - Cambridgeshire CB5 8JF - United Kingdom Mobile: +44 - (0)7425 838162 [email protected]

3H MAKINA

Atasehir Bulvari, Ata 2/3 Plaza, Kat: 9 No: 80 Atasehir - Istanbul - TURKEY Tel.: +90 216 456 10 43 Fax: +90 216 456 75 23 [email protected] [email protected]

AXIS SYSTEMS

T8 ~ T9 ~ T20, "INSPIRIA" Old Mumbai - Pune Highway, Pune – 411044, India Cell : +91 9881245460 [email protected]

P.V. ELECTRONIC SERVICES C.C.

P.O. Box 96 Hunters Retreat 6017 Port Elisabeth SOUTH AFRICA Tel. +27 41 3715143 Fax +27 41 3715143 [email protected]

SHIYAN FIDIA SERVICE CENTRE

N.84 Dong Yue Road, Shiyan, Hubei - CHINA Tel. +86 719 8225781 Fax +86 719 8228241

CHENGDU FIDIA SERVICE CENTRE

Huang Tian Ba Chengdu, Sichuan - CHINA Tel. +86 28 87406091 Fax +86 28 87406091

IE-MAT s.r.l.

Bv. De Los Calabreses 3706 Barrio: Boulevares. Córdoba - ARGENTINA CP: X5022EWW Tel. +54 351 5891717 [email protected]

Manufacturing plants:

FIDIA S.p.A.

Via Valpellice, 67/A 10060 San Secondo di Pinerolo TO - ITALY Tel. +39 0121 500676 Fax +39 0121 501273

FIDIA S.p.A.

Via Golfarelli, 123 47100 Forlì ITALY Tel. +39 0543 770511 Fax +39 0543 795573 [email protected]

SHENYANG FIDIA NC & MACHINE CO., LTD.

No. 1 17 Jia Kaifa Rd. Shenyang Economic & Technological Development Zone 110141 Shenyang - P.R. CHINA Tel. +86 24 25191218/9 Fax +86 24 25191217 [email protected]

Research centres:

FIDIA S.p.A.

c/o Tecnopolis Str. Provinciale per Casamassima Km 3, 70010 Valenzano Bari - ITALY Tel. +39 080 4673862