Upload
others
View
1
Download
0
Embed Size (px)
Citation preview
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Investor Presentation
Virtual STAR Conference
Rome, 26th May 2020
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Disclaimer
This document has been prepared by Avio S.p.A. (“Avio” or the “Company”). This document might contain certain
forward-looking statements that reflect the Company’s management’s current views with respect to future events and
financial and operational performance of the Company and its subsidiaries. These forward-looking statements are
based on Avio’s current expectations and projections about future events. Because these forward-looking statements
are subject to risks and uncertainties, actual future results or performance may differ materially from those expressed
in or implied by these statements due to any number of different factors, many of which are beyond the ability of Avio
to control or estimate. You are cautioned not to place undue reliance on the forward-looking statements contained
herein, which are made only as of the date of this presentation. Avio does not undertake any obligation to publicly
release any updates or revisions to any forward-looking statements to reflect events or circumstances after the date
of this presentation. Any reference to past performance or trends or activities of Avio shall not be taken as a
representation or indication that such performance, trends or activities will continue in the future. This document does
not constitute an offer to sell or the solicitation of an offer to buy Avio’s securities, nor shall the document form the
basis of or be relied on in connection with any contract or investment decision relating thereto, or constitute a
recommendation regarding the securities of Avio.
This document may not be reproduced, redistributed or published in whole or in part without Avio’s authorization.
2
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Agenda
• The Space launcher business
• Avio’s positioning and evolution
• Recent updates
• Financials
3
AVIO SpA- All rights reserved – subject to the restrictions of last page.
The launch industry is the gateway to the Space economy
Satellite manufacturing
$ 19.5bn+7%
Satellite services(2,4)
$ 126.5bnstable
End users
Global space value chain (2018)
Launch industry(1,2)
$ 6.2bn+5%
Ground Segment(3)
$ 125.2bn+6%
4
(1): Includes launcher manufacturing and launch service activities(2): Commercial services revenues only(3): Includes GNSS chipsets and Related
(4): Includes commercial humanflight
Source: Satellite Industry Association (2018)
x% = 2015-18 CAGR
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Growth in demand of satellite services is driven today largelyby Earth Observation and connectivity services
5
Example End UsersApplication
• Farmers• Insurance companies• Meteorological agencies• Civil Protection agencies
• Investors & financial analysts (Quant, Commodity)
• Intelligence analysts• Customs & Border agents
• Defense• Intelligence agencies• Rescue operations
• Investors & financial analysts(Quant, Commodity)
• Insurance companies
Infrastructure & Transportation
Environment & Climate
Energy & naturalresources
Security & Intelligence
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Increasing gap between geographic origin of demand and supply
6
0
1
2
3
4
5
0
20
40
60
80
100
1957 1962 1967 1972 1977 1982 1987 1992 1997 2002 2007 2012 2017
Countries operating Satellites
Launching countries
Pop. Covered (Right Ax, Bln)
# of Countries
Tot. # world countries: 195Tot. World Pop (2020) = 7.8 BlnTot. World Pop (E2050) = 9.8 Bln
Source: Web Search; United Nations
Population covered
AVIO SpA- All rights reserved – subject to the restrictions of last page. 7
Launch capabilities concentrated in a few countries. Export capacity essentially in Europe and USA
4433
19
42
6 6
26
29
383
1
USA Russia Europe China Japan India
Government Commercial & Export
Average Annual Mass Launched in 2009-18 (Tons)
70
5762
45
7 6
AVIO SpA- All rights reserved – subject to the restrictions of last page.
594
2134
130
174
1521
1358
2009-18 2019-28
For the next decade: stable launch demand in MEO-GEO, fast-growing in LEO
2,312
3,898
World total mass at launch (tons)
-1%
+3%
+14%
GEO
MEO
LEO
Other
Orbit(altitude)
Source : Avio estimate on Euroconsult data; Excludes sats with mass <50 Kg
+3%
X
World Market
= CAGR Keyapplications
Telecom
Navigation
Earth Observation
8
10y LEO expected growth re-assessedat +14% (last year estimate +9%)
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Satellite mass is shrinking quickly
9
4.2
1.2
3.4
1.5
GEO
Source : Avio estimate on Euroconsult and UCS data. For 2020s includes also OneWeb and Starlink
MEO
LEO 0.2 0.1
2009-18 2019-28E
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Agenda
• The Space launcher business
• Avio’s positioning and evolution
• Recent updates
• Financials
10
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Avio : a pure player in Space Launchers
▪ European heavy launcher (10.5 tons in GTO)▪ Avio: partner and supplier for strap-on
boosters11
▪ European light launcher (1.5 tons in LEO)▪ Avio: developer, manufacturer, launcher
system integrator
Ariane 6 Vega C
▪ 360 M€ revenues (10% CAGR 2014-19)
▪ 1.000 employees▪ 400 M€ Mkt Cap▪ 70% free float▪ 4% Mgmt share
NEW 2020
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Industrial operations in Europe and French Guyana
Source: Company information
KourouCity
Kourou European Spaceport (CSG)
• SRM casting and integration
• Vega launcher operation
Colleferro•SRM design, production
•Mission analysis
•Flight Software
•Stage integration
•Testing
12
From East to North launch
Main stage integration
Propellant casting
Launcher integration
Paris •Large SRM
design/integration
Firing tests
Upper stage integration
SRM Manufacturing
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Ariane 5: the workhorse for Geostationary Satellites
13
30 33 31 2436
23 29 3220 25 27 22
31 36 38 39 40 33 39 45 42 40 33 30
1996 97 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 2019
Total # of satellites launched into GTO worldwide
11 4 9 7 9 10 10 12 11 14 12 10 13 7 13 12 12 12 912
1 1 1 1
4
23 3
2
5 56
5
76
4
6
3
56
7
56
4
1996 97 98 99 2000 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 2019
# of Ariane 5 Launches (launches with two satellites)
A stable and resilient business
x = # of sats orbited by Ariane5
4 2 2 1
SOURCE: Web Search
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Ariane: global customer base for GEO launch
= Last 15 yrs flights
Ariane 5
NOT EXHAUSTIVE
StarOneAmazonas
GoldTerrestar-1
AMC-21Galaxy 15
Lemaitre
TelkomBrysat
Amaldi
Galileo BepiColombo
NilesatTIBA
RASCOM
EinsteinKoreaSatChollian
Spainsat
GSAT
MexSat -3
Thor 7Hylas
SICRAL 2
HellasSat
SuperbirdBsat 3b
Arabsat
Azerspace
Al Yah 3
ST-2
Vinasat
Optus
Athena-Fidus
Anik F3
14
AVIO SpA- All rights reserved – subject to the restrictions of last page.
With the Sat miniaturization trend, Vega is ready to increaselaunch cadence to perform 5 flights per year
15
0
1
2
3
4
5
201920182012 2013 2014 2015 2016 2017
Senti-nel 2BP
ERUSA
TSenti-nel 2A
Lisa
P
ath
fin
der
PROBA VCube sats
Mo
ham
me
d V
I A
Veg
a C
MF
Falc
on
Eye
1
SSM
S
Mo
ham
me
d V
I B
2020
PR
ISM
A
2021 2022
EU In
stit
uti
on
al
EU In
stit
uti
on
al
EU In
stit
uti
on
alEU
Inst
itu
tio
nal
Exp
ort
SSM
SES
AEx
po
rtEx
po
rtEU
Inst
itu
tio
nal
SSM
S
Number of Vega Launches per year (cumulative 3 yrs avg)
91 103 119 110 98 140 192 162 292 509 30352 133 195 174 133
330 322 365
848952
968
2012 2013 2014 2015 2016 2017 2018 2019 2020E 2021E 2022E
Total # of satellites launched into Space worldwide
Sats > 500 kg Sats < 500 kg
2.5 1.5 1.1 1.3 1.4 0.8 0.8 0.8 0.7 0.8 0.5
2.5 = average sat mass
AVIO SpA- All rights reserved – subject to the restrictions of last page.
VV07PeruSat
VV074xSkySat
VV01LARES
VV02Proba V
VV02VNredSat-1a
VV03KazEOSat-1
VV05Sentinel 2A
VV04IXV
VV09Sentinel 2B
VV06LISA
VV08GokTurk-1a
VV10OptSat
VV10Venus
VV11Mohammed
VI A
VV12Aeolus
BacklogKompSat 7
BacklogCeres
VV14Prisma
BacklogCosmo 2G
BacklogIngenio
BacklogTheoSat
BacklogSpire
Spaceflight
BacklogLuxSat
BacklogVD20x2
VV13Mohammed
VI B
Backlog
GHGSat
Avio established as a global player through its flagshipproduct Vega dedicated to LEO launch
BacklogNemo HD
Vega Vega C
BacklogSynspective
= Backlog
= Flights
VV15Falcon
Eye
16
BacklogUndisclosed
AVIO SpA- All rights reserved – subject to the restrictions of last page.
2019 – ESA Ministerial Council: secured €490M funding fornew development projects
2020 2020/21
Ariane 64
TODAY
Ariane 62Ariane 5 Vega EVega CVega VegaClight
SpaceRider
2022 2023
Vega C+ Ariane 6 EVO
2025
P120 P120 P120 P120
Z40
AVUM
P120
Z40
2 productsno synergies
3 products with 1st stage in common
5 products with high commonality
Z9
Product roadmap funded at ESA Ministerial Council ‘19
MC ’19: €2.2B funding for launchers(of which ~€490M for Avio)
17
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Automation and standardization to increase cost competitiveness
P80 P230P120
Single main-stage, higher volumes, economies of scale
Vega C Ariane64Ariane 62Ariane 5Vega
2019 2023
P120 Full volume production
Vega C MFAriane 6 MF
First flight items production
2018 2020 2021 2022
18
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Agenda
• The Space launcher business
• Avio’s positioning and evolution
• Recent updates
• Financials
19
AVIO SpA- All rights reserved – subject to the restrictions of last page.
May 2020: Vega on the Launch Pad and ready to return-to-flight
• VV16 integrated, operations to resume on May 25• First European «rideshare mission» for small satellites (booming demand)• More than 50 satellites from the US and the EU including Planet, Spire, GHGSat, Tyvak,
ISIS• Innovative mission delivering on 2 different SunSyncronous orbital planes
VV16 – Vega return to flight with SSMS PoC*
* Proof of Concept 20
AVIO SpA- All rights reserved – subject to the restrictions of last page.
2019: Key accomplishments on new developments
Return to flight: Zefiro23firing test (Sardinia)
Vega E: M10 LOX-CHfiring test (USA)
A6/Vega C: P120firing test (Kourou)
Vega C: Zefiro40firing test (Sardinia)
First successfulCamm-ER tests
Space Rider ProjectDesign Review
1st European Re-entry VehicleLargest carbon fiber SRM
1st Upper stage in LOX-CH
21
AVIO SpA- All rights reserved – subject to the restrictions of last page.
End of the COVID-19 lockdown: adaptation to new normal
22
11 May -Avio VV16 team departing to Kourou on Alitalia charter flight from Rome FCO
Adapted meeting rooms
Individual protection equipment
IN OUT
Modified layout to access facilities
Hand sanitizer dispensers
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Positive outcome of the 2019 ESA Ministerial Council
1,6 2,2
9.0
12,2
MC 2016-19 MC 2019-22
1,32,3
9,3
12,1
MC 2016-19 MC 2019-22
+38% +72%
Total = €10.6 Bn
Total = €14.4 Bn
Total = €10.6 Bn
Total = €14.4 Bn
Other ESA countries
23
Launchers
SOURCE: ESA and ASI
ESA Ministerial Council Subscriptions
+36% +36%
AVIO SpA- All rights reserved – subject to the restrictions of last page.
SOURCE: ESA and ASI
Vega C+2.3 ton in LEO
Space Rider0.8 ton / re-entry
Vega E2.8 ton in LEO
Vega C light0.3 ton in LEO
•Cost reduction•Maint. of Op.Conditions
Development (Step 2) Development (Step 2)Technology Development
24
Key ESA Space transportation programs under Italian leadership
Total expected amount of R&D contracts to be assigned to Avio = € >400 Mln
Positive outlook for the evolution of Vega programs
2022 2022 2023 2025
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Vega C getting ready for Maiden Flight by 1st semester 2020
P120
IS1/2
Z40
Z9
IS2/3
FAIRING
AVUM
System-level testsSub-systems readiness
P120 Firing Test (Jan. ‘19)
Z40 Firing Test (May)
IS1/2
IS2/3
New prop. tanks
Fairing
AVUM new gas tank
Vampire adapter
New facilities
P120 BBP P120 BIP Extension
HWIL tests
Vibration tests
A2 Assy test
Wind Tunnel Test
UCMEC tests
UCEMC test
25
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Ariane 6 getting ready for Maiden Flight by end of 2020
4xP120
VINCI
FAIRING
P120 Firing Test (Jan. ‘19) Ariane 6 P120 Rear SkirtInteg. (Aug.)
Vulcain 6Firing Test (Jul.)
Upper Stage Tanks’Integ. (Jul.)
Vinci Engine QualificationTest (Oct.)
VULCAIN
Ariane 6 Fairing Shell completed (Jun.)
Ariane 6 launch vehiclebuilding under way
Ariane 6 Launch Padalmost ready
Ariane 6 mobile gantryin construction
26SOURCE: ESA, ArianeGroup, Press Search
AVIO SpA- All rights reserved – subject to the restrictions of last page.AVIO SpA- All rights reserved – subject to the restrictions of last page.27
Vega E development : nearing full scale M10 firing test
M10 LOX-CH Upper stage
• Conducted extensive firing test campaign on sub-scale combustion chamber
• M10 LOX-CH Engine components PDR :• Turbopumps (Liquid
Oxygen and Methane)• Combustion Chamber
(realized with additive manufacturing)
• Igniter
• Text performed successfully on February-March 2020 at NASA facilities in the USA
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Recent commercial successes highlight customers’ confidencein Vega and Ariane
28
Earth Explorer Biomass
• Earth Observation satellite to monitor forests degradation and fires through the analysis of carbon dioxide
• Weight: 1.2 tons• Orbit: SSO @666 Km• Launch vehicle: Vega• Launch date: starting in 2022
SOURCE: ESA, Arianespace, Press search
Vega Ariane
Galileo constellation
• European Union costellation of navigationsatellites for EU citizens and enterprises
• Weight per sat: 0.7 tons• Orbit: MEO @23,616 Km• Launch vehicle: Ariane 62• Current number of scheduled flights with
Ariane 62: 6, with 4 additional satsannounced on January 2020
• Launch dates: starting in 2020Undisclosed customer
• Earth Observation satellite to monitor Typhoons
• Orbit: LEO• Launch vehicle: Vega
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Tactical propulsion: Successful Camm-ER tests
29
• MBDA successfully completed trials of the CAMM-ER air defence missile
• Series of firings provingperformance at extended ranges and high altitudes
• CAMM-ER features a larger rocket motor to provide extended range beyond 40 km
• Avio responsible for the propulsion of the CAMM-ER defence system
SOURCE: MBDA Press release
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Agenda
• The Space launcher business
• Avio’s positioning and evolution
• Recent updates
• Financials
30
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Avio stock price vs Consensus Target Price and Benchmarks
31
50
70
90
110
130
150
170
190
210
Oct 03,2016
Jan 11,2017
Apr 07,2017
Jul 05,2017
Sep 28,2017
Dec 21,2017
Mar 20,2018
Jun 15,2018
Sep 10,2018
Dec 03,2018
Mar 04,2019
May 30,2019
Aug 23,2019
Nov 15,2019
Feb 14,2020
May 13,2020
Index Avio Index FTSE All Share Consensus
Avio Stock Price (Index = 100 = 9.2 €)
10 April 2017: Business
Combination
11 July2019: VV15
March 2020: COVID-19
AVIO SpA- All rights reserved – subject to the restrictions of last page.
679
905
776
952 877
2014 2015 2016 2017 2018
669
2019
Net Order Backlog and Revenues
89 120 136 176 205
107110
130
140149
2014 2015 2016 2017 2018
Vega Ariane Tactical Other
Revenues by Line of Business (€ - M)
CAGR=10%
Net Order Backlog Evolution (€ - M)
292.0
343.8
257.4225.4
388.7
32
ESA MC ’14-16 ESA MC ’16-19 ESA MC ’19-22
131
203
2019
368.7
AVIO SpA- All rights reserved – subject to the restrictions of last page.
33
27,9 26,9
39,242,6
2014 2015 2016 2017 2018
EBITDA and EBIT growing – High operating leverage
EBITDA (€ - M) EBIT (€ - M)
CAGR=11%
15,8
10,513,2
25
28,526,5
2014 2015 2016 2017 2018 2019
CAGR=5%
33
42.6
2019
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Growing Earnings and Cash supporting dividends and capex
34
-35 -34-19
42 49 57
2014* 2015 2016 2017 2018 2019
Net Income (€ - M) Net Financial Position (€ - M)
* Extraordinary dividend ** Pro-forma to account for extraordinary dividend financing
Dividends(€ - M)
*
- 220* 10 11.5- 17 14 29 2325CAPEX(€ - M)
6,5 5,43,1
21,8
25,8
2014 2015 2016 2017 2018
CAGR=33%27
2019 G
29
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Q1 2020 financials in line with Q1 2019
Comments
• Slight slowdown in production and development activities• EBITDA benefitting from effective
fixed costs control
• In line with ordinary business cycle
• Increase of non recurring costs relatedto the COVID-19 outbreak (e.g. protection equipment and donations)• Increase in depreciation related to
previous years’ capex
Q1 2019
ACTUAL
MAIN ECONOMICS/
FINANCIALS
Q1 2020
ACTUAL DELTA DELTA
€ - M € - M € - M %
82,6 NET REVENUES 80,0 (2,6) -3%
7,0 EBITDA REPORTED 7,2 0,2 4%
8,4% % on net revenues 9,0%
7,0 EBITDA ADJUSTED 7,8 0,8 11%
8,5% % on net revenues 9,8%
3,1 EBIT REPORTED 3,1 0,0 0%
3,8% % on net revenues 3,9%
3,2 EBIT ADJUSTED 3,8 0,6 18%
3,9% % on net revenues 4,7%
31 DEC 2019
ACTUAL
31 MAR 2020
ACTUALDELTA DELTA
€ - M € - M € - M %
57,9 NET CASH POSITION 42,1 (15,8) -27%
35
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Next steps – Busy 2020 and incoming contracts
• Upcoming flight activity
• VV16 SSMS – mid-June
• VV17 – August
• VV18 – by year-end
• Vega C - launch campaign to start by year-end
• Ariane 5 VA253 – end of July
• Backlog
• Contractualization of the ESA ‘19 MC developments in progress
• Tactical production contracts expected to be signed in the next few weeks
• Development
• Vega C ground qualification review – 3rd quarter
• P120 QM2 test (third and last static firing test for Ariane 6) – by year-end
• 2020 Financial results
• September 14th: HY 2020 – possible definition of the 2020 Guidance
• November 5th: 9M 2020 results
36
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Publicly announced flights in backlog and beyond for Vega and Ariane
37
2020 2021 2022
Vega/ Vega C
Flights in backlog, detailed launch dates and schedule TbD
Source: Arianespace announcements and PRs, ESA, Press releases, Public information, NextSpaceflight.com
Comm.
Some flights have the option to fly alternatively with Vega or Vega CSome flights have the option to fly alternatively with Ariane 5 or with Soyuz
Ariane 5&
Ariane 6
Inst. Inst. Inst. Inst. For. Inst. For. Inst. Inst. Inst.
Comm. Comm. Comm. Inst. Inst. Comm. Comm.Comm.Inst. Inst. Inst. Inst. Inst.
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Structural elements of Avio’s business resilience
Drivers Elements of resilience
• FY 2019Net Order Backlog ~€700M • 2 years-equivalent revenues, 3-4 years business visibility based on planned roll-out
• > 10 Vega flights & > 20 Ariane flights
• ~70% of backlog for government end customers
• Positive NFP ~€60M • Available cash to better manage operations
• Flexibility in Capex planning & execution
• Low-interest Gross Debt ~€50M • EIB 7 years-term debt
• <1% fixed interest rate
• Tax credits >€80M • Deferred tax assets (Income Tax)
• Additional VAT and R&D credits
Co
mm
erc
ial
Fin
anci
al
~€500M
• Own shares ~€4M
• Mgmt Long Term Incentive ~€1M • Bonus payment voluntarily deferred to 2021
• Buyback limit €9M
• New orders from ESA to be received from 2020
• Development projects subscribed at ESA MC ’19
38
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Long-term outlook unchanged by Coronavirus
❑ Covid-19-related uncertanties may lead to short-termexternal turbolence and business slowdown:
• No 2020 Guidance at this time• Dividend distribution suspended
• Deferred Long-Term Incentives’ payment to management
❑ Continuity of operations: • Authorised to continue industrial operations• Vega return-to-flight in mid-June• Strategic supplies already secured• Vega C Maiden Flight preparation on track• Robust Ariane and Vega backlog
❑ Long-Term outlook unchanged
To be reviewed upon HY 2020 closing (September 2020)
39
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Share buyback program launched in August 2019
• Efficient use of liquidity generated by the ordinary business activities through a medium-long term investment
• Offer an additional return to shareholders along with dividend payments
• Possible use own shares in M&A transactions
Objectives Program scheme
• €9M maximum investmentamount (as decided by shareholders in April)
• Initial mandate by BoD in August for €5M lasting until October 2020
• Share Buyback carried out by an independent broker (Equita SIM, S.p.A.)
Following the purchases made so far, as of May 22nd 2020 Avio S.p.A. holds # 315,300 own shares, corresponding to 1.20 % of total Avio’s share capital (9th August – 22nd May)*
40
*Daily purchases capped by law at 25% of average daily volumes of the previous 20 trading days
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Appendix
35
AVIO SpA- All rights reserved – subject to the restrictions of last page.
LEO demand growth and competitive environment
42SOURCE: Launchers’ user manuals
Mini Launchers (<0.5 tons) Small Launchers (>0.5, <2.5 tons) Large Launchers (>2.5 tons)
Overview of LEO Launchers (capacity in tons)
Dedicated launch Rideshare
Avg mass 0.5 tons
= in development
= in place
= Avio involved
0,2 0,2 0,3 0,3 0,71,5 1,8 1,8 2,3
4,4
6,6
14
20
Electron LauncherOne
SSLV VegaLight
Firefly Vega PSLV Minotaur Vega C Soyuz Ariane6.2
Ariane6.4
Falcon 9
AVIO SpA- All rights reserved – subject to the restrictions of last page.
With also private investments in the Space sector continuing to grow rapidly
0,00
0,50
1,00
1,50
2,00
2,50
3,00
3,50
4,00
4,50
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Inve
stm
en
t1($
bn
)
Angels Venture Capital Corporate Other
+28% CAGR
(1) Annual non-governmental equity investment(2) Angels include investments from Jeff Bezos, Richard Branson, Elon Musk, and Robert Bigelow (total $>2 bn)(3) Other includes Foundations, Private Equity, Sovereign Funds, Crowd Platforms, etc.Source: Space Angels Q4 2019 Investment Report
(2) (3)
43
6%
48%
47%
Other Satellites Launch
Breakdown of cumulated 2009-2019 investments by sector (% of 28$ Bn)
$3.0 bn
Equity investment in Space Ventures
2019
$5.8 bn
AVIO SpA- All rights reserved – subject to the restrictions of last page.
50 years of expertise in Space technologies with consistent track record
Ammunitions
44
Ariane6
Ariane 1-3
Separation motors
Ariane 4 9.5 ton
boosters
Ariane 5
230 tonboosters
VegaLaunchsystem
VegaC
1912 1968 1990 2000 20202012 2025
SpaceRider
Vega EVegaCLight
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Launch capabilities concentrated in a few countries. Export capacity essentially in Europe and USA
Domestic players
142 tons50% Gov.
62 tons35% Gov.
12 tons87% Gov.
21 tons98% Gov.
55 tons89% Gov
SOURCE: Avio elaboration on Gunter Space data
Tot. World market: 354 tons, 6.2$ B
Global competitors
New Comers
62 tons98% Gov.
45
AVIO SpA- All rights reserved – subject to the restrictions of last page.
World Governments’ Space Budgets are growing steadily
46
SOURCE: Avio elaboration on Euroconsult data
4.2$ Bn+31%
5.8$ Bn+19%
1.5$ Bn+37%1.5$ Bn
+31%
16.8$ Bn+11%
41.0$ Bn+14%
0.4$ Bn-39%
2018 Government Space BudgetDelta 2016-18
1.4$ Bn+3%
3.1$ Bn+1%
Total 2018 World Government Budget: 71$ BlnForecasted 2025 Budget: 85$ Bln (+20%)
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Managed by a team of Investors
47
70 Avio managers as equity partners
14%
31%
15%
40%
InOrbit shareholding breakdown
CEO
1st line managers
2nd line managers
3rd line and retiredmanagers
4% share in Avio
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Space launch has three main sub-segments by type of orbit
GEO - Geostationary Earth Orbit LEO - Low Earth Orbit
Sources: Spaceworks; International Journal of Science and Research; Avio estimate on Euroconsult data
48
Altitude 36,000km Altitude 500-2,000km
Mature market Booming demand
MEO - Medium Earth Orbit
Altitude 3,000-22,000km
Niche market
Annual avg volume : 30 launches, 160 tons
Annual avg volume : 12 launches, 19 tons
Annual avg volume : 55 launches, 60 tons
AVIO SpA- All rights reserved – subject to the restrictions of last page.
Quarterly pattern of Reported EBITDA and Net Cash Position
6,114,5
22,5
42,6
6,916,1
23,5
42,6
7,2
Q1 HY 9M FY2018 2019 2020
EBITDA Reported (€ - M)
47,2
21,7
48,7 49,148,7
20,4
49,357,9
42,1
Q1 HY 9M FY
2018 2019* 2020*
Net Cash Position quarterly evolution (€ - M)
* Include effects of IFRS 16
49
The information contained in this document is Avio S.p.A. proprietary and is disclosed in confidence. It is the property of Avio S.p.A. and shall not be used, disclosed to others or reproduced, without the express written consent of Avio S.p.A.
Contacts
+39 0697285158
+39 3420726648