Investors Presentation · 2021. 6. 14. · Investors Presentation June 2021. 2 ... Only 18 Spanish...
Transcript of Investors Presentation · 2021. 6. 14. · Investors Presentation June 2021. 2 ... Only 18 Spanish...
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Investors Presentation
June 2021
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This presentation has been produced by Indra for the sole purpose expressed therein. Therefore, neither this presentation nor
any of the information contained herein constitutes an offer sale or exchange of securities, invitation to purchase or sale shares
of the Company or any advice or recommendation with respect to such securities.
Its content is purely for information purposes and the statement it contains may reflect certain forward-looking statements,
expectations and forecasts about the Company at the time of its elaboration. These expectations and forecasts are not in
themselves guarantees of future performance as they are subject to risks, uncertainties and other important factors beyond
the control of the Company that could result in final results materially differing from those contained in these statements. The
Company does not assume any obligation or liability in connection with the accuracy if the mentioned estimations and is not
obliged to update or revise them.
This document contains information that has not been audited. In this sense, this information is subject to, and must be read in
conjunction with, all other publicly available information.
This disclaimer should be taken into consideration by all the individuals or entities to whom this document is targeted and by
those who consider that they have to make decisions or issue opinions related to securities issued by Indra.
Disclaimer
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IndexWhat is Indra?
Transport & Defence (T&D)
Minsait (IT)
Annex 1: Last quarterly results
1
2
3
4
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What is Indra?
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Indra at the core
Transport & Defence (T&D)
Leading worldwide provider of proprietary solutions
in niche areas
Minsait (IT)
Leading Digital company in Spain and LatAm
€ 3.0Bn Revenues 2020
>135Countries
>48.000Employees
Indra: A global Consulting and Technology company
€ 265m In R&D
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1,924
521
323
276
Transport
9%
€3,043m
Defence &Security
11%
ATM
2020
Transport
Defence & Security
ATM
We deliver core business operations technology in various industries
Minsait
Minsait
17%
Digital 26%
63%
Revenue Collection Control & Enforcement Safety & Signalling
Security & Border Surveillance
Electronic Warfare & Logistics
SimulationSpace & Satellite Communications
ATM systems Communications Navigation Surveillance
Operational systems & Communications
Energy & Industry Financial Services Telecom & MediaPublic Administrations &
Healthcare
%
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€587
19%
€680
22%
€249
8%
€409
14%
€521
17%
€599
20%
Telecom &
Media
Financial Services
Public Admin &
Healthcare
Energy & Industry
Sales 2020
Revenues and Ebit by division
EBIT 2020(1)
Transport &
Traffic
Defence &
Security 82
68%
39
32%
T&D
€ m
mm
€ m
€ m
7.3% EBIT margin
2.0% EBIT margin
T&D
m
m m
Minsait37%
63%
(1) Before non-recurrent items of €153m (o/w €27m in T&D and o/w €127m in Minsait)
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27.476
16.094
2.336 2.074
0
5.000
10.000
15.000
20.000
25.000
30.000
52%
20%
18%
10%
Sales 2020 Employees 2020
Spain America Europe Asia, Middle East & Africa (AMEA)
With a strong presence in international markets
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(*) Board of Directors representation
CNMV data. Identified shareholders with a position in excess of 3%
Main Shareholders
Figures updated as of 14/06/2021
18,7%
10,0%
9,8%
3,2%
3,1%3,0%
52,2%
Sociedad Estatal de Participaciones
Industriales S.E.P.I (*)
Corporación Financiera
Alba (*)Others
T. Rowe Price
Fidelity
Management Research
Santander Asset Management
Norges Bank
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5,229
3,858
3,043
230(2)
120(2)
4.0%(2)
-65
39
83
481
(1) Before non-recurrent items of €687M
Main figures 2015-2020
FY16FY15
Backlog (€M)
Revenues (€M)
EBITDA (€M)
EBIT margin
Net profit Reported (€M)
CAPEX (€M)
FCF (€M)
Net Debt (€M)
FY17 FY18
EBIT (€M)
FY19
3,193
2,651
2,850
131
45(1)
1.6%(1)
-641
37
-50
700
3,129
2,744
2,709
229
162
6.0%
70
28
184
523
3,612
3,248
3,011
266
196
6.5%
127
40
186
588
4,065
3,437
3,104
293
199
6.4%
120
79
168
483
4,511
3,686
3,204
343
221
6.9%
121
76
8
552
Order Intake (€M)
FY20
(2) Before non-recurrent items of €153M
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1.15x 1.15x 1.31x 1.41x1.72x
FY16 FY17 FY18 FY19 FY20
Total Indra
0% +14% +8%+22%
Backlog evolution
Indra backlog (€m) Backlog/revs LTM
Transport & Defence
Minsait0.55x 0.64x 0.70x 0.74x 0.83x
FY16 FY17 FY18 FY19 FY20
Minsait
+15% +10% +6%+11%
8241,248 1,345 1,498 1,591
2,305
2,3642,719
3,014
3,6393,1293,612
4,0654,511
5,229
FY16 FY17 FY18 FY19 FY20
+15%
+13%+11%
+16%
+3%
+15%+11%
+21%
+52%+8% +11%
+6%
1.88x 2.00x 2.29x 2.54x3.25x
FY16 FY17 FY18 FY19 FY20
Transport & Defence
+6%+15% +11% +28%
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AA
Relevant presence in the main ESG indexes Supporting gender equality
Only 18 Spanish
companies listed
Leading its industry in
managing the most
significant ESG risks and
opportunities
Top 15%
Best score of the sector in
Social practices
- Member since 2015 –
Top 16%
84 4,1 Prime
ESG performance above
the sector fulfilling
ambitious absolute
performance
Committed to talent
Acting on Climate Change
Score B
Key ESG figures 2020*
Scope 1+2 -50% in 2030
and carbon neutral in 2040
Scope 3 -14% in 2030
and -50% in 2040
2050 net zero emissions
34% Women on staff
80% Local providers38% Women on the Board of Directors
Professionals trained on Code of
Ethics and Legal Compliance in the
last 3 years
89%
Significant achievements in our ESG strategy
Committed with the Science Based Targets initiative (SBT)
* Figures not audited
- Member since 2006 –
Within Top 1%
Emissions target**
** Baseline year 2019
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Transport & Defence
(T&D)
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All our clients are facing the digital transformation of their operations
Satellite
Communications>10%
Simulation 4%
Electronic Warfare 4%
Border Surveillance 6%
Air Defence 3%
Safety &
Signalling>10%
Operational Systems >10%
Control &
Enforcement6%
Revenue Collection 8%
Sources: Markets and markets, Indra Analysis
TransportAir Traffic ManagementDefence & Security
Communications,
Navigation,
Surveillance
5%
Air Traffic
Management 3%
The smart
segment
of all
these
solutions
is growing
over 20%
Expected CAGR 17-22 (%)Expected CAGR 17-22 (%) Expected CAGR 17-22 (%)
Positive market outlook in every business in T&D
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1. Defence Simulations
2. Simulation Solutions
for Training
PlatformsDefence
SystemsSecurity Cyberdefence Space
Training
Solutions &
Services
1. Airborne Systems
2. Naval Platforms
3. Eurofigther and
A400M participation
1. Electronic Defence
2. Countermeasures
3. Military Air Bases
4. Integrated
Command and
Control Systems
5. Airspace
surveillance and
control
1. Border surveillance
and protection
2. Safe Cities
3. Smart Borders
4. Safe Communication
1. Cyberdefence
Systems
2. Simulation and
Training
1. Communications
Solutions
2. Navigation and
positioning
3. European Space
Surveillance and
Tracking Service
1. Aeronautical MRO
Services
2. Technical support
3. Full Maintenance
Logistics &
Maintenance
Indra is a significant European player with a renewed and complete offer
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Tactical Radio Systems
SCRT-MC3,Tactical
Comms and C2
New programs already signed entering into production
Aeronautical Programs
SIRTAP, MRTT, Maritime
Patrol, Trainer
EDF
2017-2027
Tiger
1988-…
Eurofighter
1986-…
FCAS
2020-…
Existing and new long-term high volume programs
New aircrafts for Germany
(Quadriga) and Spain (Halcon)
Sustainment, sales and export
opportunities
Systems for MKIII (e.g. Electronic
Warfare, AMPS: Automatic
Mission Planning System)
and aftermarket
European R&D Programs:
Command and Control,
Cyberdefence, Airborne
Systems, Space Systems, etc.
Spanish National Coordinator
and Sensor Pillar global leader
of the Future Combat Air
System
Integrated frigate mast
F110 (2020-2027)
Defence & Security order intake and pipeline
348 Vehicle systems
8x8 (2020-2027)
Additional big programs in the pipeline
ChinookNH90 Air Defence
Radars
SPAIN INTERNATIONAL
Naval Platform
Middle East
2019-…
Systems for naval platforms
(e.g. Electronic Warfare, IFF:
Identification Friend or Foe)
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Airborne
Platforms
•BPE
•BAC
•BAM
•FFG
•F122
•K130
•Eurofighter
•A400M
•C-295
•F/A-18
•F1
•NH90
•P3
•B707
Naval
Platforms
•Chinook
•CH53
•Tigre
•Cougar
•U212/214
•T-209
•OPV
•F100
•F105
•S70
Land based
Air Defence Electronic Warfare
Border Surveillance
Naval
Land
based
•BPE
•BAC
•BAM
•F100
•F105
•FFG
•S70
•S80
•F122
•K130
•U212
•U214
•T-204
•AWD
•ASW
•OPV
Satellite Communications
• Eurofighter
• A400M
• A330 MRTT
• F-18
• AV-8B
• Tiger
• Seahawk
• NH90
• Wildcat
•Chinook
•Cougar
•H135
•H225
•H175
•H145
•A320
•B737…
Military Simulation
Indra has a proven track record with an already relevant international
business
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18Indra General.
NGWS/FCAS structure and Indra’s participation
FCAS
Scope: Define NGWS capabilities and common architectures
Define and update technology development roadmaps
Establish program framework for all the phases
Indra’s Role: SP´s nominated Co-Contractor, together with Dassault in FR and Airbus D&S in GE.
Scope: Ensure timely results for various demonstration projects during NGWS Design Phase
Activities to be supported by SIMLAB to allow consistency amongst main stakeholders
Indra’s Role: SP’s nominated Co-Contractor, together with Dassault in FR and Airbus D&S in GE.
Scope: Development of technical breakthroughs in Sensors, Defensive Aids and EM effectors.
Next generation of smart distributed systems to be more sensitive, flexible and robust
Incorporating Big Data, Artificial Intelligence and advanced communications.
Indra’s Role: International Prime contractor and Program leader in this pillar in all three countries.
Scope: Information and Intelligence gathering, sharing and exploitation, operating in cloud
Rely on advanced architectures, cybersecurity, distributed computing and communications.
Indra´s Role Prominent role at international level and Pillar leader/Main contractor in Spain.
1) Joint Concept Study (JCS)
2) JCS Inter-Pillars Consistency / SIMLAB
Ne
xt
Ge
ne
rati
on
Fig
hte
r
En
gin
e
Re
mo
te C
arr
iers
4)S
oS
/Co
mb
at
Clo
ud
3)
Se
nso
rs
En
ha
nce
d L
ow
Ob
serv
ab
ilit
y T
ech
.National
Coordinator
NationalCoordinator
Pillar Leader
3-Nation
Pillar Leader Spain
NGWS
The NGWS is a System of Systems (SoS) that includes a New Generation Fighter (NGF)and a set of unmanned vehicles (Remote Carriers - RC) to expand the capabilities of the fighter, with all those assets interconnected and operated through a Combat Cloud
MAIN AREAS OF PARTICIPATION FOR INDRA
1) Joint Concept Study:
2) JCS Inter-Pillars Consistency / SIMLAB:
4) Systems of Systems/Combat Cloud:
3) Sensors:
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19Indra General.
Estimated Planning and Investment
2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 Until 2040
IA1: Joint Concept Study
IA2: Phase 1APrototypes
and Concepts
Phase 1BArchitectures, technology
maturation and demonstrators
Phase 2Phase 1A continuation and
individual flight demonstrations
Phase 3NGWS capabilities demonstrations and initial phase of Development
NGWSPreliminary
Design
Review
IOC
Framework Agreement signed by the Ministries of Defence of France, Germany and Spain in Le Bourget’19
System Concept
Phase
(incl. launching of
R&T and
demonstrators)
Demonstration
Phase
(incl. R&T
maturation and
ground and flying
demonstrators)
Development and Industrialization
Program
Demonstrators 1st flights
Development,
production…
Initial
Operational
Capability
NGWSLaunching
Design
Review
>€6bn
€8-10bn total investment
IDR under contract
IDR under contract
IDR participation (proposals submitted)
IDR participation
IDR
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20
10
20
30
0
7
17
2016
Passenger traffic (RPKs Bn)
4.7%
2036
Note: RPKs (Revenue per kilometre). Source: Boeing Market Outlook 2017-2036; Markets and markets; Global airport construction review, CAPA
Maintenance and replacement
of legacy systems
Very long development cycles,
high client loyalty
Potential new ATM systems operators
Already ~400 airports under
construction or planned for
Innovative technology to solve
aerospace congestion (e.g. Europe)
Increase of air passenger traffic worldwide
Increase of flying aircrafts worldwide
3 drivers of sustained demand for ATM systems
80
0
20
60
40
23
Aircrafts in service worldwide (k)
2016
47
3.5%
2036
ATM is a growing market with very strong fundamentals
Expected stable ~4% growth in the ATM market
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Indra provides its clients with a complete technological roadmap of
critical ATM systems
1. Aeronautical
Information
Management
2. Message Handling
Systems
3. System Wide
Information
Management
4. Air Traffic
Management
5. Operational
Meteorological
Information
Indra Air
Automation
Indra Air
CommunicationIndra Air
NavigationIndra Air
SurveillanceIndra Air
DronesIndra Air
Information
1. Air Traffic Control
Automation Systems
2. Air Traffic
Management
Solutions
3. Advanced Controller
Working Position
1. Automated
Communications
Functionalities
2. Digital Voice
Communications
Control Systems
1. Navigational
Products (ILS, DME,
DVOR, GBAS)
1. Surveillance
Solutions1. Connect drones
safely
2. Manage unmanned
traffic
3. Neutralize drones
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~200 Control Centres
~1,700 Instrument
Landing Systems (ILS)
~400 Secondary Radars
(MSSR)
Note: Most significant countries with Indra's presence highlighted
Indra ATM businessis present in
176 countries
Indra is one of the leading ATM systems providers in the world,
having a large footprint of references globally...
Developing long lasting relationships with international reference clients
Enaire in Spain >35 years
DFS in Germany >20 years
iNATS n the UK >10 years
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Europe has a challenge in air traffic management due to air
traffic congestion and the fragmentation of aerospace
Note: SESAR (Single European Sky ATM Research)
iTEC by Indra
Coflight
Coopans
Other potential
iTEC partners
In 2004 Eurocontrol, the European Commission and a
selection of industrial partners took the lead to solve this
issue and increase interoperability
Indra is one of the key industrial partners of SESAR
7 European countries have already joined the iTEC Alliance along
with Indra to fulfil present and future SESAR requirements, and
+20 countries still pending to adopt a decision
... and also a leading player in the Single European Sky
with the iTEC system
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Further develop remote
towers to be a reference supplier, leveraging SESAR
Indra already has leading technology installed (e.g. Norway)
Grow on aftermarket
leveraging our significant asset base of ~200 control centres, ~1700 ILS and ~400 radars
installed
Develop leading
Cybersecurity technology, fulfilling latent demand
Successfully evolve iTEC
with the future requirements of the Single European Sky, leading the SESARinteroperability
Evolve CNS products
and service model (e.g. GBAS) to maintain the technological and commercial leading
position
Expanding into new segments to complement Indra's offering
Keep evolving leading products in current segments with technological updates
Note: ILS (Instrument Landing System). GBAS (Ground Based Augmentation Systems). ADS–B (Automatic dependent surveillance – broadcast). SESAR (Single European Sky ATM Research)
We are evolving and expanding our offering
into new segments
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Change in infrastructure operating models are generating additional opportunities
Increased demand for intelligent systems adapting to
the coming trend of Smart Transport
Requiring mobility, interconnectivity and real time
steering
More flexible asset management demand is requiring
new systems
More efficient and scalable
New opportunities for private players, as public
administrations are externalising their operations and
sharing risks (PPPs)
Change of cycle in infrastructure investment and therefore increased technology demand
+5% growth in global
investment for Transportinfrastructure
expected until 2025
Changed trend in
Spanish infrastructureinvestment
• -4% growth 2010-2014
• +2% growth 2015-2025
Indra has the perfect mix: transport business
know-how, proprietary products and digital capabilities
+10% expected growth
(+20% for Smart Transport)
Transport infrastructure technology demand increased by
• New investment cycle
• Need for maintenance and upgrade of already existing
infrastructure
+
Source: Oxford Economics, Assessing the global transport infrastructure market
Very attractive technology Transport market, entering into a phase
of expansion
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Indra has now a complete portfolio of end-to-end services and a
new brand…
Mova
Consulting
Mova
Collect
Mova
Traffic
Mova
Protect
Mova
Experience
Mova
Comms
Mova
Care
1.Ticketing
2.Toll
3.Back Office
1.Safety
2.Enforcement
3.Video surveillance
4.Cybersecurity
5.On-board systems
1.Information and Publicity for passengers
2.Entertainment
3.Digital User Experience
1.Communications
2.IoT Platforms
3.IT Transport Infrastructure
1.Infrastructure O&M
2.Technology O&M
3.Transportation Services O&M
4.New operation models
1.Planning & Optimization Systems
2.Bus Control Systems
3.Rail Control Systems
4.ITS Control Systems
5.Tunnels Control Systems
6.Airports Control Systems
7.Ports Control Systems
8.Design and Building of Control Centers
9.Transport Control Terminals
1.Consulting and Planning for Transport and Infrastructures
2.Design Engineering for Transport Infrastructure.
3.Construction Engineering for Transport Infrastructure
4.Project Management Services
5.Operations Consulting
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Note: ASFA-Digital (Safety & Signalling System)
... with strong references in the most innovative projects globally
Mova
Consulting
Mova
Collect
Mova
Traffic
Mova
Protect
Mova
Experience
Mova
Comms
Mova
Care
Riyadhticketing
AFC system for
public transport in
Riyadh
T-Mobilitat
Greater
integration of
collection and
Contactless
Urban Tunnels Control Centre
Tunnel control
centre in London
ASFA-D
High-end solution
for rail safety in
Spain
High SpeedMecca-Medina
Most complex
project in the
Middle East
Panama Canal
Expansion of the
canal, a reference
in technology and
security systems
Electronic Toll Management in Texas
Integrated tolling
operation
Sidney Trains
Intelligent video
surveillance
technology
ITS ColombiaSystems for control
and radio-
communications for
the Bogotá-
Villavicencio highway
Port CommunitySystem
National Port
Network
High SpeedControl Centre
Rail Traffic Control
Systems
Renfe High Speed Systems
On-board systems
and equipment
Algiers Airport
Project and
supervision of the
construction of
the new terminal
of the Int. Airport
Kenia AirportOperations
Integration of all the
land operations
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Minsait (IT)
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We have strengthened the fundamentals of our business, setting
up a solid starting point for the next growth cycle
Minsait commercial
brand for Indra
Launched in 2016, focused on digital transformation
Transformation trigger of our move to high value
Now becomes the brand for our whole IT division
Rationalisation and standardisation of our product portfolio easing implementation
Creation of a new set of value propositions tackling all challenges derived from required
business transformations of our clients
Migration of our products to Cloud
New product delivery model with specialised centres of excellence
Portfolio enhancement
Consolidated leadership in Spain and LaTam with high
complementarity
Payment Processing solution to enhance our product portfolio
Operating synergies delivered as expected. Restructuring
process is over
Reinforced control and
delivery model
Increased control in tender offering process
Closer monitoring of less profitable projects
Sharp reduction in the number of unprofitable projects
Selective Acquisitions
Reinforcement of Digital and Proprietary Products
Improves our time-to-market
Completes our end-to-end offering
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€409
€249
€680
€587
2020
30%
35%
13%
21%
(
(
(
)
)
)
)(
Minsait Revenues breakdown
Oil & Gas Utilities Airlines Industry ...
Banking Insurance
Media Telecom
Energy & Industry
Financial Services
Telecom & Media
Public Administrations
& Health
Elections Health Public Sector
€ 1,924 m
Technological
and Process
Outsourcing
Implementation of
third party solutions &
Others
Proprietary
Solutions
Digital26%
9%
16%
50%
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Minsait Services provide value propositions via strong expertise and
knowledge of our clients' needs
Digital division
Digital Consulting and Technology
ERP Consulting Cybersecurity Operations
We optimize and evolve key processes through leading business management solutions
We preserve our clients’ assets and digital identity creating secure client experiences
We manage our clients’ operations through a differential approach
We open up new paths in the strategic definition and transformation of our clients’ businesses
We create differential experiences and state-of-the-art generation solutions that drive our clients’ businesses
Business Consulting
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Minsait Products under the brand
Energy & Industry
Telecom & Media
PublicAdministrations & Health
Airlines
Revenue accounting
Multi-channel reservation
Payments
Banking
Digital bank
B2B relations
Opening accounts
Oil & Gas
Refining
Transportation
Safety & Environment
Elections
Electoral solutions
Digital Democrazy
Protection
Public Sector
Taxes
Justice
E-goverment
Health
Management system
B2B processes
Network
Financial Services
Utilities
Generation
Distribution
Commercialization
Insurance
Complete platform
Integral solution for the sales forces
Multi-channel tools
Telecom
Advanced analytics
Customer´s
experience
Media
Corporate Services
Customers & channels
Operations
Industry
Manufacturing
Assets
Workforce
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We are helping the
Regional Government of
Andalusia in its digital
transformation
We drive the
implementation of the
new home medical
assistance concept
We are experts in
technology solutions
used to manage electoral
processes
We help private banks
during their transition with
our platform
We create the first fully
digital bank in Argentina
Minsait counts with strong references in all Industries (1/2)
Financial ServicesEnergy & Industry Telecom & Media Public Administrations
& Health
Transforming the core
insurance industry from
customer’s perspective
We improve the
competitiveness of the
nº1 airline in Brazil
We reduce costs through a
new billing model for
Telefonica
We are leaders in energy
industry solutions for the
transmission and
distribution grid
We developed, together
with Repsol, a solution for
early detection of
hydrocarbon spill
We build the new online
sales channel for a leading
retailer in optical services
(eCommerce)
We are leaders in card
processing in Spain and
America
We help customers port their
number, with processes
adapted to the customer and
country
We improve the
customer’s experience
optimizing the back office
We guarantee optimized
communications for Vivo,
using more than 33,000
km of fiber optic
We make a difference in
the management of
more than 400 electoral
processes
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Minsait counts with strong references in all Industries (2/2)
Business Analytics··Big Data··Robotics··Automation··Artificial Intelligence
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Annex I: Last quarterly results
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Main 1Q21 headlines
• Net Profit reached €22m in 1Q21 vs €6m in 1Q20 (+255%) and €18m in 1Q19 (+22%)
• 1Q21 Revenues went up +5.5% in local currency (+2.2% in reported terms) vs 1Q20 recovering 1Q19 levels, driven by
Defence and Minsait
• Reported EBITDA and EBIT grew +25% and +104% respectively vs 1Q20
• 1Q21 Revenues in Minsait increased by +4.2% in constant currency, boosting its EBIT margin above 4% in the period
(1.5% in 1Q20)
• T&D revenues went up +7.3% and EBIT increased +58% in 1Q21 vs 1Q20. Sales in Defence grew by +21%, mainly
pushed by its International Business
• Cash generation in 1Q21 was €-17m (includes €-11m of the workforce transformation plan) vs €-59m in 1Q20
• Net debt reached €505m vs €633m in March 2020. Net Debt / EBITDA LTM ratio stood at 2.4x in March 2021 vs 2.2x in
March 2020
• Backlog reached again new historic high for Indra (€5,322m). Backlog/Revenues LTM stood at 1.74x in 1Q21
1
6
5
4
3
2
7
8
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Guidance 2021
Revenues(in constant currency)
EBIT guidance
FCF before cash
out workforce
transformation plan
FY20 results
€3,043m*
€120m**
€121m
* Revenues in reported terms ** EBIT before impact of the efficiency plan (189 M€) and Metrocall capital gain (36 M€)
Guidance 2021
>€200m
>€120m
>€3,200m
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472 490 489
264 245 263
736 735 751
1Q19 1Q20 1Q21
+6% / +2%+2% / 0%
+8% / +2%
Revenues evolution
1. Excluding the impact of the SmartPaper acquisition which started to consolidate on January 1st, 2021 and the FX impact
Organic1 +4.3%
Reported +2.2%
Local Currency +5.5%
€m
1Q21 Revenues Evolution
Minsait
T&D
Local Currency / Reported
€m
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3,0573,595
1Q20 1Q21
4,8005,322
1Q20 1Q21
1,743 1,727
1Q20 1Q21
2.613.16
1Q20 1Q21
1.501.74
1Q20 1Q21
0.86 0.90
1Q20 1Q21
+11% +18% -1%
+16% +21% +5%
Backlog +11% reaching again a new historic high
Minsait backlog (€m)Indra backlog (€m) T&D backlog (€m)
Indra backlog/revs LTM T&D backlog/revs LTM Minsait backlog/revs LTM
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Operating Margin and EBIT evolution
1Q21 EBIT and Margin1Q21 Operating Margin1
1. EBIT before Other Operating Income & Expenses, including: staff reorganization, integration and acquisition costs, fines, amortization of intangible assets (PPA from acquisitions)
and equity based compensation.
31
52
1Q20 Op.Margin (€m) 1Q21 Op.Margin (€m)
68%
2.7pp
4.2%
6.9%
19
39
1Q20 EBIT (€m) 1Q21 EBIT (€m)
104%
2.6pp
2.6%
5.2%
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40,664 40,024
7,6847,516
1,6501,439
20,000
25,000
30,000
35,000
40,000
45,000
50,000
ene-00 ene-00
-211
-168
-640
March 20 March 21
49,998 -1,01948,979¹
637 162
38,977 40,024
7,5407,516
1,4631,439
20,000
25,000
30,000
35,000
40,000
45,000
50,000
ene-00 ene-00
-24
-24
1,047
Workforce evolution
Minsait
T&D
Overheads & Others
Total workforce
Dec 20 March 21
47,980
1. SmartPaper workforce included (1,047 employees as of 31/12/2020)
999 48,979¹
Workforce unassigned to
projects256 162
¹ ¹
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138 134
107 129
1Q20 1Q21
245
263
+21% / +21%
-2% / -3%
+8% / +7%
T&D order intake and revenuesT&D
1Q21 Order Intake (€m)
Transport & Traffic
Defence & Security
Local Currency / Reported
1Q21 Revenues (€m)
Local Currency / Reported
169148
97 124
1Q20 1Q21
266272
+28% / +28%
-10% / -12%
+3% / +2%
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T&D Operating Margin and EBIT evolutionT&D
1Q21 EBIT and Margin1Q21 Operating Margin1
1. EBIT before Other Operating Income & Expenses, including: staff reorganization, integration and acquisition costs, fines, amortization of intangible assets (PPA from acquisitions)
and equity based compensation.
1524
1Q20 Op.Margin (€m) 1Q21 Op.Margin (€m)
57%
2.9pp
6.2%
9.1%
12
19
1Q20 EBIT (€m) 1Q21 EBIT (€m)
58%
2.3pp
4.9%
7.2%
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175 169
159 152
91 107
65 61
1Q20 1Q21
490 489
-1% / -7%
+21% / +18%
+1% / -4%
+1% / -4%
+4% / 0%
231 191
225242
163141
135
91
1Q20 1Q21
754
665-30% / -33%
-13% / -13%
+15% / +8%
-14% / -18%
-8% / -12%
Minsait order intake and revenues
Financial Services
Energy & Industry
Telecom & Media
PPAA & Healthcare
MINSAIT
1Q21 Order Intake (€m)
Local Currency / Reported Local Currency / Reported
1Q21 Revenues (€m)
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MINSAIT
1Q21 EBIT and Margin1Q21 Operating Margin1
1. EBIT before Other Operating Income & Expenses, including: staff reorganization, integration and acquisition costs, fines, amortization of intangible assets (PPA from acquisitions)
and equity based compensation.
Minsait Operating Margin and EBIT evolution
16
28
1Q20 Operating Margin (€m) 1Q21 Operating Margin (€m)
78%
2.6pp
3.2%
5.8%
7
20
1Q20 EBIT (€m) 1Q21 EBIT (€m)
180%
2.6pp
1.5%
4.1%
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132104
184 186 185157
96
168
66
-9 -258
57
157 171
83125
Marc
h 1
7
June 1
7
Sept 17
Dec 1
7
Marc
h 1
8
June 1
8
Sept 18
Dec 1
8
Marc
h 1
9
June 1
9
Sept 19
Dec 1
9
Marc
h 2
0
June 2
0
Sept 20
Dec 2
0
Marc
h 2
1
-5-26
75
142
-6
-55
15
213
-108-129
-1
246
-59
-29
14
158
-17
1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21
Cumulative FCF LTM (€m)
FCF GenerationFY19 €8mFY17 €186m
Quarterly FCF
(€m)
FY18 €168m FY20 €83m 1Q21 €-17m
* Includes €-38m of the workforce transformation plan
** Includes €-11m of the workforce transformation plan
11,2
1 2
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Net Debt 2020 Operating
Cash Flow
Net Working
Capital
Capex Taxes Other Financial
Liabilities Variation
Net interest Net Debt 1Q21
Financial
Investments,
FX Impact,
Non-CF
Items and
Others
Net Debt Bridge
(€m)
FCF €-17m
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279 13
-64 -67 -67
53
4954
0-9
15
-4
-18
-2
+5
+5
0
Net Working Capital Evolution
Net Working Capital (DoS)
Inventory
Accounts
Receivable
Accounts
payable
March 20 Dec 20 March 21
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700
659
532
602 592
633
505
5.4x
4.7x
2.3x 2.3x1.9x 2.2x
2.4x
4Q
15
1Q
16
1Q
17
1Q
18
1Q
19
1Q
20
1Q
21
Net Debt Evolution
Net Debt (€m)
Net Debt
Net Debt / EBITDA LTM2
(Factoring)1
(187)
(187)
(187)
(187)(187)
(187)
1. Non-recourse factoring; 2.EBITDA LTM excluding IFRS 16 (€37M).
(187)
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2023
€735m
0
50
100
150
200
250
300
350
2021 2022 2023 2024 and…
€33m€50m
€735m
€844m
2024 andbeyond
€844m
75
870
72
505
248
187
505
396
970
Gross Debt Cash & Cash Equivalents Net Debt
€1,662m €1,157m
€505m
Diversified debt structure
Gross Debt Maturity Profile
Bank Loans
Convertible Bonds
R+D Loans
Factoring
Other available credit facilities: €162m
Corporate Bonds
EIB(1) Loans
1. European Investment Bank. 2. Including €247m Convertible Bond with 2023 maturity and €296m Corporate Bond with 2024 maturity. 3. The 2023 convertible bond has a put option in October 2021 which has not been considered as part of 2021 maturities
Average life (years) 3.0 3.2
FY20
Gross and Net Debt Structure
1Q21
(2)(2),(3)(3)
1Q21 % total 2020 % total
L/T Debt 1,355 82% 1,373 82%
S/T Debt 307 18% 293 18%
Gross Debt 1,662 100% 1,666 100%
Cost of Gross Debt 1.9% 1.9%
Cash & Others 1,157 n.m. 1,185 n.m.
Net Debt 505 n.m. 481 n.m.
Cost of Net Debt 4.8% 3.0%
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Investor [email protected]
Avenida de Bruselas, 3528108 AlcobendasMadrid Spain
T +34 91 480 98 00www.indracompany.com