COSTAMP GROUP INVESTOR PRESENTATION
1968 │ 2018
COSTAMP GROUP INVESTOR PRESENTATION
IR TOP LUGANO SMALL & MID CAP INVESTOR DAY, SEPTEMBER 21st 2018
COSTAMP GROUP INVESTOR PRESENTATION 2
Foundation
Purchase of the first CNC machines
1968
1982
1994
1999
2003
2004
2011
2013
2014
2015
2016
2017
First automotive mold – Steering Housing
Transfer to the new buildings of Sirone (LC)
First press installation, for the sampling department
Acquisition of 49% of PAMA Srl
Certifications ISO/TS 16949
Opening and launch of the new plant in Rivalta
(TO), for plastic injection molds.
New expansion of the Sirone plant: roughing & drilling
Launch of the new dedicated warehouse for finished parts
Acquisition of PiQ2, which develops
simulation softwares.
Horizon 2020 Award and Reverse Takeover
with Modelleria Brambilla
2018 & Coming soon Takeover bid, Accelerated Bookbuilding and
Environmental certification 14001
Milestones
COSTAMP GROUP INVESTOR PRESENTATION
HPDC DIES
(64% 2017 revenues)
Alloy Aluminum
Magnesium
Market Automotive (95% of 2017 revenues) / lighting / heating / industrial appliances
Main
application Structural parts
Powertrain
Machines
Used by customers
LPDC & GRAVITY DIES
(28% 2017 revenues)
PLASTIC DIES
(8% 2017 revenues)
Plastic
Business Units
Aluminum
Cast iron
Powertrain
Structural parts
Bumpers
Door Panels
3
Costamp Group is the global leader in the engineering,
production and trade of dies for die casting
Business Unit
Injection machines from 160 tons
up to 3000 tons
HPDC machines from 500 tons up
to 4500 tons Pouring machines
COSTAMP GROUP INVESTOR PRESENTATION
65%
17%
5%
4%
3% 3%
3%
Production
Design
Quality
Logistics
Administration
Purchase
Sales
International Presence
4
Production and Sales Office: • Mumbai (India): Sales Office • Bhiwadi (India): Production and Sales Office
Sales Office: • Aichi–ken (Japan)
Sales Office: • Teheran (Iran)
Sales Office: • Shanghai (China)
Sales Office: • Sao Paulo (Brazil)
After Sales Support: • Queretaro (Mexico)
After Sales Support: • Auburn Hills (USA)
EMPLOYEES BREAKDOWN BY COMPETENCES Personnel #
Sirone HQ 176
Turin facility 32
Pama 21
PiQ2 5
Correggio 63
San Giovanni in Persiceto 14
Total 311
COSTAMP GROUP INVESTOR PRESENTATION 5
Costamp Group – Total Revenues over the years (in k €)
8.500
11.80012.500 10.400
14.700
17.200
14.800
17.700
25.800
21.800
31.900
36.700
40.615
*58.700
10.000
20.000
30.000
40.000
50.000
60.000
0
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
CAGR ’10-’17: +18,76%
*2016 and 2017 data are pro-forma consolidated
*58.964
COSTAMP GROUP INVESTOR PRESENTATION 6
Main competitors in EU die-casting mould manufacturers
Aluminum large dies Manufacturers Country 2012
Turnover (€M)
2016 Turnover
(€M) % ∆
EXCO Technologies Ltd.(2) CAN 116 126 9%
Costamp Group SpA(1) IT 23 59 157%
Meco Eckel GmbH(3) D 66 49 -26%
Schaufler D 21 48 129%
Aurrenak E 24 26 8%
Heck & Becker GmbH (4) D 22 25* 14%
Delaware Dynamics (4) USA 15 20* 33%
SAPP Spa IT 13 19 46%
Vetimec Soc. Coop. IT 14 19 36%
SCS Rodegari IT 7 10 43%
SCM Zanussi Srl IT 10 9 -10%
CO.ME.ST. Srl IT 3 6 100%
(1) Pro-forma consolidated 2016
(2) Casting and Extrusion Division only
(3) LPDC sold in 2016
(4) 2015
COSTAMP GROUP INVESTOR PRESENTATION
Value Chain
7
TURN-KEY SERVICE
A) PROJECT
MANAGEMENT B) DESIGN
D) TRY-OUTS/SMALL
PRODUCTIONS C) HPDC/LPDC DIES
1. Equipment
manufacturing;
2. Consultancy service
from A to Z.
1. Part co-design;
2. Die design;
3. Simulation work (PIQ2).
1. Complete dies;
2. Complete sets of casting
inserts;
3. Maintenance &
Refurbishment.
1. Samplings: Costamp
Group is equipped with
an internal foundry
department in the Sirone
plant;
2. Dimensional and
metallurgical controls;
3. Complete set-up
process;
4. Process development;
5. Production of small
batches & special series;
6. Post-sales
service/support.
COSTAMP GROUP INVESTOR PRESENTATION
High Pressure Die Casting (HPDC): Applications Powertrain
8
Cylinder Head Cover Flange Housing
Gearbox housing
Clutch Housing
Cylinder blocks
Steering housing
COSTAMP GROUP INVESTOR PRESENTATION
High Pressure Die Casting (HPDC): Applications_Structural Parts
9
Shock Towers
Front Crossbeam
Bearing Flange
Instrument Panels
Window Frames
COSTAMP GROUP INVESTOR PRESENTATION
High Pressure Die Casting (HPDC): Trucks
10
Cover Cooling Duct
TransmissionHousing
Ladderframe
Flywheel Housing
Oil Pan
COSTAMP GROUP INVESTOR PRESENTATION
Low Pressure Die Casting (LPDC) / Gravity: products and applications
11
Products
Applications
Cylinder Head
Cover
Engine Blocks
( Various
configurations )
Gearbox
Housing Exhaust
Manifold
COSTAMP GROUP INVESTOR PRESENTATION 13
Main Customers
58% of revenues is generated by the first 10 Clients, in line with market concentration
High level of Client loyalty
COSTAMP GROUP INVESTOR PRESENTATION
HORIZON 2020: Puzzle_Die
14
Costamp has been awarded the Horizon 2020 from the European
Commission for the «puzzle die» project.
Objective Costamp, thanks to FEM/CFD simulation suppliers, had been able to
implement a new design and construction technique that allowed to build
tools in a way to make them last longer than ever before.
The need to get FEM results in a shorter time, gave Costamp the idea to start
the development of a brand new software, based on an “easy-to-use”
configuration and with the hope to be possibly having a disruptive impact on
the HPDC market.
COSTAMP GROUP INVESTOR PRESENTATION
PUZZLE DIE: Official Endorsement By Premium OEM
For The Horizon 2020 Funding Program
BMW AG Daimler AG Jaguar Land Rover
15
COSTAMP GROUP INVESTOR PRESENTATION
Regulations in Europe force OEMs
to significantly reduce CO2 emissions
In 2025 penalties of € 12,350 per car if
the car sold overcomes the average of
75 gr CO2 emissions per km
16
Source: McKinsey
ALUMINUM: best balance between
weight reduction vs steel (-40%) and
additional cost involved (+30%)
Source: McKinsey + ITF
COSTAMP GROUP INVESTOR PRESENTATION
Growth Strategy
17
Development of cross-selling on low pressure, coming from Modelleria Brambilla, exploiting Costamp network and the strong demand for high performance aluminum components in the electric market.
New organization of the group workflow through “make or buy” concept, in order to
develop a higher turnover, focusing only on the most critical processes and outsourcing processes with lower added value.
Creation of a new premium line on HPDC, thanks to the proprietary Puzzle Die
technology.
Development of partnerships with OEM and Tier 1 on specific innovative projects: low-pression forging, forged safety parts, aluminum wheel rims in mass production, aluminum chassis, structural parts in magnesium, each as a unique partner of an
international leading Tier 1.
International expansion through a “glocal” approach with a direct and well established
presence in the countries where OEM and Tier 1 operate: Germany, USA, Mexico (today's market), China and India (tomorrow's market).
COSTAMP GROUP INVESTOR PRESENTATION
Income Statement & Balance Sheet
18
Euro (/mln)
2017 Consolidated Pro Forma
Value of Production 59.0
EBITDA 4.6
EBITDA % 7.8%
EBIT 1.7
EBIT % 2.8%
Net Profit 0.4
Net Profit % 0.6%
Euro (/mln)
2017 Consolidated Pro Forma
Net Working Capital (NWC) 9.4
Fixed net assets 50.5
Other funds and provisions (6.3)
Net Capital Employed 53.6
Equity 26.7
Net Financial Position (Cash) 26.9
Sources 53.6
Order Backlog (as of March 31st 2018): € 55 mln
Order Backlog (as of March 31st 2017): € 32 mln
VS. +71.9%
COSTAMP GROUP INVESTOR PRESENTATION
COSTAMP GROUP Via Verdi, 6 - 23844 Sirone (LC)
T +39 031 875195
CONTACTS
19
IR TOP CONSULTING
Equity Research & Investor Relations Maria Antonietta Pireddu
Via C. Cantù, 1 - 20123 Milano
T +39 02 45473883/4
INVEST ITALY SIM
Corporate Broker Via San Clemente, 1 – 20122 Milano (MI)
T +39 02 84924277
BANCA INTERMOBILIARE DI INVESTIMENTI E GESTIONI NomAd
Via Meravigli, 4 - 20123 Milano (MI)
T +39 02 99968111
INVEST BANCA
Specialist Via Luigi Cherubini, 99 – 50053 Empoli (FI)
T +39 05 715331301