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1 Results 1H25 Analyst & Investor call An Steegen / Ann Desender July 16th, 2025 - Kortrijk
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Preliminary notes 2 The statutory auditor has confirmed that the audit, which is substantially complete, has not to date revealed any material misstatement in the draft consolidated accounts, and that the accounting data reported in the press release is consistent, in all material respects, with the draft accounts from which it has been derived. Safe harbor statement This deliverable may contain forward-looking statements. Such statements reflect the current views of management regarding future events, and involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Barco is providing the information as of this date and does not undertake any obligation to update any forward-looking statements contained in this deliverable in light of new information, future events or otherwise. Barco disclaims any liability for statements made or published by third parties and does not undertake any obligation to correct inaccurate data, information, conclusions or opinions published by third parties in relation to this or any other deliverable issued by Barco. Glossary All definitions for alternative performance measures (APM’s) are available in the glossary of the half year report and on the investor portal (https://www.barco.com/en/about/investors )
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Solid profitable growth, confirming outlook Group results 1H25 5% Sales & Orders growth Growth driven by Entertainment and Healthcare Orderbook strengthened +3% yoy 70% eco-labeled revenues 10.6% EBITDA margin Gross profit up 0.3 ppts; impact tariffs offset by better product mix; OPEX contained Free cash flow of € 21.4m (+6.8m yoy) Net income doubled yoy to € 23m Outlook FY25 Management maintains its guidance for topline and EBITDA margin growth, assuming no major adverse changes in the macro-economic circumstances 2.5ppts 3
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Positive evolution on all group KPIs 5% sales growth, step up in EBITDA to 10.6% • Order and sales growth +5% • Sales growth driven by Entertainment and Healthcare • Orderbook @ € 548.4m, +3% year-over-year • EBITDA at 10.6%, ↑ 2.5 ppts yoy (€ +12.8m) • Gross profit margin sustained (+0.3ppts vs 1H24); better product mix offsetting tariff impact • OPEX contained and € 5m lower yoy • Solid free cash flow € 21.4m • Incl € 14m capex: Cinema-as-a-Service & manufacturing footprint • Working capital at 12.2% of sales, reduced 29% yoy • ROCE at 16% • Net income € 23.3m,↑ € 14.3m SALES € 454.4m Gross profit 40.0%% Sales ORDERS € 487.5m +5% +5% EBITDA 10.6%% Sales In euro € 48.0m Net Income € 23.3m Free Cash Flow € 21.4m +6.8m + 14.3m EPS € 0.27 / Share +0.17 +0.3ppts vs. 1H24 +2.5ppts + 12.8m 4
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1H25 - Solid sales growth, rebound in EMEA 5 Sales growth driven by Entertainment in both EMEA & Americas, and by Healthcare Americas BY DIVISION • Healthcare (+5% yoy): driven by Surgical & Modality in the Americas and software mix improvements • Enterprise (–5% yoy): ClickShare rebound in EMEA and Americas, Control Rooms impacted by US market uncertainty and LED price pressure • Entertainment (+10% yoy): fueled by Cinema momentum across all regions Americas 49% 10% -4% S: O: EMEA 32% S: O: 5% 27% APAC 19% -7% -3% S: O: BY REGION S: sales O: orders
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EBITDA step up to 10.6% of sales 6 1H24 1H25 10.6% of sales Gross profit improvement with revenue growth & better product mix, offsetting impact tariffs Opex controlled R&D at 13% of sales, higher investment last year was linked to multiple new product introductions S&M G&A OtherR&DGross Profit Margin 35 48 Sales growth, stable gross profit margin and lower OPEX Sales Lower result China JV 8.1% of sales Note: Foreign currencies no material impact on 1H25 sales and EBITDA (average EUR/USD 1.08 in 1H25, ~1H24)
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• Depreciations & amortizations stable • Restructuring (lay-off costs) limited to € 2m • Effective tax rate @ 18% (~previous years); interest income ~last year Net income landing > 5% of sales 7 Net income +14.3m year-over-year (in millions of euro) 1H25 Δ24 EBITDA 48.0 12.8 % Sales Change (ppts) 10.6% 2.5 Depreciations & amortizations (22.3) (0.5) Restructuring (2.0) 5.8 EBIT 23.7 18.1 Interest and taxes (1.9) (3.3) Share in the result of joint ventures & associates 1.5 0.3 Non-controlling interest 0.0 (0.9) Net income 23.3 14.3 % Sales Change (ppts) 5.1% 3.1
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ROCE at 16%, up 5ppts yoy Net cash @ € 182m Up € 10m versus a year ago, -77m vs year-end 2024 Net after € 44m dividend & € 53m cash out related to share buyback Net operating cash flow at € 45.1m, up 5.6m yoy Working capital at 12.2% of sales Working capital reduced with 29% versus a year ago DSO at 64 days in balance with DPO at 63 days Inventories remain focus area, turns at 2.2 (vs 2.1 at year-end ‘24) CAPEX investments (€ 14m) focused on Cinema-as-a-Service and revamp of the automated warehouse in Kortrijk 8 1H25 Free cash flow @ € 21.4m, up 6.8m yoy € 21.4m Free cash flow 16% ROCE
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9 Competitive situationMitigating actionsCurrent view • Volatile US trade tariffs during 2Q25, including temporary measures • Current view on tariffs, including exempt categories: • 49% of 1H25 sales were in the Americas, US is largest country • Direct competitors have no material US manufacturing capacity – also supply chain mostly in Asia • Leveraging our agile manufacturing footprint in Europe and Asia Mitigating trade policies and currency exchange rates • Relocation of production between China and Europe, where appropriate • Shipping to US warehouses in 1Q25, pre-tariffs • Adaptations to incoterms and logistic flows • Pricing through the tariff cost to US customers, lagging effect on existing orders EU China Projection 10% 37.5% Healthcare displays 0% 20% CTRL, Nexxis, ClickShare (Taiwan), LCD walls Exempt from reciprocal tariffs Current view • 1H25: average EUR/USD at 1.08 (~1H24) no material impact • 2H25: assuming FX rates at mid year stay till year-end, e.g. 1.18 EUR/USD, would bring average EUR/USD to 1.14 on a full year basis, a yoy change of 5.5%: impact of ~€ 7-8m EBITDA (included in guidance) Mitigating actions • Natural hedge position on foreign currencies is 70-75%, balancing purchases with sales • Forward exchange, option contracts and derivative instruments are used for receivables and foreign currency cash holdings Trade policies Currency exchange rates
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Exceeding the target of 50 Improvement led by Diagnostic Imaging, Cinema & Control Rooms Broader feedback base for Meeting Experience (open channel) Good progress towards 75% Driven by new products and growth in software Stricter methodology based on broader scope, including software and services Further improving on our sustainability KPI’s 10 Sustainability without performance has no impact, performance without sustainability has no future 70% Eco labelled revenues +2% vs FY24 Net Promotor Score 56 +2 vs FY24
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11 Divisional Update Half year 2025
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• Order intake strengthened, especially towards end Q2, supported by digital pathology and OneLook wins • Slower sales start in Americas and EMEA, especially UK due to fewer government tenders • South Asia performed well; China remains low, amid low public investment • Launch of SlideRightQA, an AI-powered QA software tool for pathology • Ongoing shift toward workflow and software solutions Healthcare • Strong first half with double-digit growth in orders and sales versus 1H24 • Surgical software drove demand, especially in the Americas • Growth in EMEA and Americas; APAC remains soft, particularly in China • Further expanding portfolio into mid segment and adding software and workflow solutions continue to expand, lifting the margin profile Strong growth in Surgical & Modality; Digital Pathology gaining traction Margin expansion driven by improved mix and software momentum Diagnostic Imaging Surgical & Modality 1H25 Δ 1H24 Orders 141.6 +15% Sales 137.6 +5% EBITDA 17.2 +50% % Sales 12.5% +3.7 ppts (in millions of euro) Healthcare
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Enterprise ClickShare rebound with double - digit growth Control Rooms impacted by US uncertainties and LED pressure Meeting Experience Control Rooms • Double-digit growth in orders and sales as channel inventories normalized • Growth led by EMEA and the Americas • ClickShare maintained leadership in the declining agnostic market • Launch of ClickShare Hub, Barco’s first MDEP- based Microsoft Teams Room system, first shipping scheduled end 2025 • Sales declined due to delayed government projects in the US and LED price pressure in the Middle East • CTRL software continues it growth, with software sales now over 35% of Control Rooms sales • LED Alliance launched to leverage Barco’s image processing portfolio and expand market reach 1H25 Δ 1H24 Orders 109.5 -1% Sales 107.6 -5% EBITDA 8.6 +79% % Sales 8.0% +3.8 ppts (in millions of euro) Enterprise
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Entertainment M omentum in Cinema with new large contracts and launch of HDR Solid sales growth in Immersive Experience, driven by new products Cinema Immersive Experience • Sales growth driven by strong rebound in Cinema investments across all regions • Several new large frame contracts for laser projectors • First HDR Lightsteering contracts signed in the Americas, EMEA and APAC • Barco remains the clear leader in cinema, with over 45,000 laser projectors installed or committed • Solid sales growth, with strong performance across projector and image processing lines • Growing in the mid-segment, new I600 projector gaining traction e.g. in theme parks • QDX flagship 3-DLP projector ramped up, gradually replacing the UDX series • Encore 3 platform launched in June, contributing to growth and strengthening the orderbook for 2H25 1H25 Δ 1H24 Orders 236.4 +3% Sales 209.3 +10% EBITDA 22.2 +17% % Sales 10.6% +0.7 ppts (in millions of euro) Entertainment
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Outlook & closing 15
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Focused factories Focus areas for 2025 Efficiencies from further investments in automation and focused factories New product introductions delivering growth and margin Continuing transformation towards more software Expansion in adjacencies and mid-segment Barco continues its growth in new products, adjacencies and software, despite high volatility in macro-economics 16
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Outlook 2025 The following statements are forward looking on a like-for-like basis and actual results may differ materially Geopolitical instability, combined with high volatility in trade policies and currency exchange rates, continue to impact market demand and visibility. Assuming no major adverse changes in the macro-economic circumstances, management maintains its guidance for topline and EBITDA margin growth for the full year 2025. 17
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Q&A 18
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Stay tuned Financial calendar 2025 Wednesday 15 October Thursday 23 October Trading update 3Q25 Capital Markets Day 2025 More information? Please visit our webpage https://www.barco.com/en/about/investors Barco’s Capital Markets Day 2025 will be on October 23rd in Barco’s HQ in Kortrijk, Belgium 19
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Visioneering a bright tomorrow