27
Earnings Conference Call 4Q18 and 2018
Earnings Conference Call
4Q18 and 2018
2
Agenda
Unidas in 2018
Highlights
New and Used Cars Sales Scenario
Operating Performance
Financial Performance
Q&A
3
Unidas in 2018
Highlights
New and Used Cars Sales Scenario
Operating Performance
Financial Performance
Q&A
Agenda
4
Value generation for our shareholders
Strong and successful M&A activities
Entry in the RAC segment
1ºa Fleet Management
Leadership consolidation in
South America
Partnership with:
Nationwide presence
Fleet Management / Rent-a-Car
Used Cars Stores
Follow-on: one of the most successful
offerings in the last ten years
Launch of the ADR program
Return to the shareholders:
80, 0
85, 0
90, 0
95, 0
100 ,0
105 ,0
110 ,0
115 ,0
120 ,0
125 ,0
130 ,0
27-nov 6-dez 15-dez
0
500 .000
1.0 00.000
1.5 00.000
2.0 00.000
2.5 00.000
3.0 00.000
3.5 00.000
4.0 00.000
4.5 00.000
ADTV 11/27 - 12/20:
R$ 29.7 MM
LCAM3:+19.5%
IBOV: -3.0%
LCAM3 vs. IBOV (27/11 to 20/12):
CDLDY
Net Profit
ROE
ROIC
R$233.6 MM
25.4%
12.3%
2018 Combined
4Q18 Annualized¹
4Q18 Annualized
1 Adjusted by the exclusion of resources regarding the follow-on of R$922 million at the ending of 2018
5
Intensification of the Relationship with Investors
0
30.000
60.000
90.000
120.000
150.000
jan-18 fev-18 mar-18 abr-18 mai-18 jun-18 jul-18 ago-18 set-18 out-18 nov-18 dez-18
2017 2018
jan-17 feb-17 mar-17 apr-17 may-17 jun-17 jul-17 aug-17 sep-17 oct-17 nov-17 dec-17
R$ Thousands
INVESTOR TYPE – SHARE OVER FREE FLOAT (%)
91.6%
2.2%
0.1%
6.0%
PJ Institucional PJ Não Institucional
Fundos de Pensão Clube de Investimento
PF Trader
*share lower than 0.01% of free float
Financial Volume (R$) higher in 2018Increase of sell-side firms coverage
Diversification of shareholders base with higher exposure to institutional and foreign investorsCar Rental Company with the highest appreciation
in the world
dez jan fev mar abr mai jun jul ago set out nov dez
LCAM3: +96.4%IBOV: +15.0%
SMLL: +8.1%
Local 4Q17 1Q18 2Q18 3Q18 4Q18
Institutional 80.2% 66.1% 71.8% 68.8% 58.1%
Non - Institutional 0.0% 0.3% 0.3% 0.1% 0.0%
Pension Funds 0.0% 0.0% 0.0% 0.2% 1.1%
Investment Clubs 0.6% 0.4% 0.4% 0.3% 0.1%
Physical Person 12.0% 13.6% 10.9% 10.2% 6.0%
Total 92.8% 80.5% 83.3% 79.6% 65.3%
Foreigns 4Q17 1Q18 2Q18 3Q18 4Q18
Institutional 7.2% 19.5% 16.7% 20.2% 33.5%
Pension Funds 0.0% 0.0% 0.0% 0.2% 1.1%
Trader 0.0% 0.0% 0.0% 0.0% 0.0%
Total 7.2% 19.5% 16.7% 20.4% 34.7%
Institutional
Pension Funds
Physical Person
Non Institutional
Investment Clubs
Trader
*
*
jan-18 feb-18 mar-18 apr-18 may-18 jun-18 jul-18 aug-18 sep-18 oct-18 nov-18 dec-18
Volume (R$) 2017 2018 ∆ YoY
Total 162,650,465 1,423,651,753 775.3%
Average Daily 661,181 5,810,823 778.9%
Daily maximum 25,277,210 140,939,500 457.6%
Daily minimum 2,258 210,500 9222.4%
dec jan feb mar apr may jun jul aug sep oct nov dec
6
Reconhecimentos de Nossa Gente, dos Nossos Clientes e da Comunidade em 2018
13th “Company with the Most Satisfied Employees in
Brazil”, according to the ranking of Portal Love Mondays.
Best M&A operation of 2017 - Case: "Fusion between
Locamerica and Unidas”
10th position at Great Place to Work Raking considering
the best companies to work in Brazil and 16h position in
Latin America
19th Modern Consumer Award in Customer Service
Excellence, regarding customer service at category “Car
Rental Company”
1st position regarding Customer Satisfaction at category Car
Rental Company considering the 100 Best Brazilian Companies
in Customer Satisfaction in 2018 and the 16th position in the
general Ranking
2018 Transparency Trophy at category “Companies with Net
Revenue of up to BRL 5 billion” organized by Anefac (National
Association of Finance, Administration and Accounting
Executives)
2018 Customer Experience Award by Tracksale in the case
“Mapping Opportunities and Converting to Promoters”, by using
the NPS methodology in the Fleet Management segment
62% 64%79%
2016 2017 9M18
iSEU: Rent-a-Car¹
1 Methodology: client satisfaction index monthly published. The index is generated from the number of researches that returned to the maximum satisfaction index (“Completely Satisfied”) divided by the total of researches made
201820172016
7
40,319
111,097
74,7044,283
9,956
52,271
1,964
10,046 4,124
46,566
131,099 131,099
2017 2018 2018
Operating Deployment Demobilization
4Q18 and 2018 Operational Highlights
# Daily Rentals – Fleet Management # Daily Rentals – Rent-a-Car
Thousand Thousand
# of Cars Sold Total Fleet
Rent a Car - FranchisesRent a CarFleet Management
Record
+65.0%
+84.7%
+31.9%
Record
+46.0%
+153.7%
+134.2%
+181.5%
11,179
20,647
3,4875,753
0
5.000
10.000
15.000
20.000
25.000
30.000
2017 2018 4Q17 4Q18
6,486
8,554
1,8092,642
2017 2018 4Q17 4Q18
4Q17 4Q18 4Q18
Record Record
16,710
42,386
5,26812,337
0.33%1.77%
0.66%2.47%
-20,00%
-15,00%
-10,00%
-5,00%
0,00%
5,00%
0
10.000
20.000
30.000
40.000
50.000
60.000
70.000
80.000
90.000
2017 2018 4T17 4T18
Record
Record
8
For a further quarter, there was a positive evolution in revenues and EBITDA.
4Q18 and 2018 Financial Highlights
Consolidated Net Revenue
Recurring EBITDA and EBITDA Margin¹²
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18by equity method.
¹ Excludes non recurring expenses 2 Margins calculated over net rental revenues.
+178.8%
255.4 316.3 352.3 525.2
1,408.8
160.1439.3
373.8 392.0 402.4522.9
930.6
161.5
264.8
471.3
192.5629.2 708.3 754.7
1,048.1
2,810.7
321.6
896.6
2014 2015 2016 2017 2018 4Q17 4Q18
Used Cars Sales Fleet Management Rent-a-Car + Franchises
+168.2%
-25.8 -17.8 -11.811.9 42.1 4.4 8.8
222.6 240.5 260.6333.1
603.4
102.3 169.5
187.7
81.7196.8 222.7 248.8
345.0
833.2
106.7
260.0
52.6%56.8% 61.8% 66.0% 59.4% 66.1% 56.8%
-100,0%
-80,0%
-60,0%
-40,0%
-20,0%
0,0%
20,0%
40,0%
60,0%
-100,0
100,0
300,0
500,0
700,0
900,0
1.100,0
Used Cars Sales Fleet Management Rent a Car + Franchises Recurring Rental Margin
2014 2015 2016 2017 2018 4Q17 4Q18
+141.5%
+143.7%
9
Net Profit and Net Margin¹²
For a further quarter, the Company has renewed its net profit historic record. ROIC continuing to present the expected profitability and spread going to be benefited by cheaper debt refinancing in the next quarters.
4Q18 and 2018 Financial Highlights
Record
+205.3%
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18by equity method.
¹ Excludes non recurring expenses 2 Margins calculated over net rental revenues.
24.8 23.4 28.9
67.7
203.4
22.6
69.0
6.6% 6.0% 7.2%12.9% 14.5% 14.0% 15.1%
-60,0%
-50,0%
-40,0%
-30,0%
-20,0%
-10,0%
0,0%
10,0%
0
50
100
150
200
250
300
2014 2015 2016 2017 2018 4T17 4T18
Net Income Net Margin
+200.4%
8,1%5,8%
9,1%
19,0%20,9%
19,7%
2014 2015 2016 4T17Anualizado
4T18Anualizado
2018
Annualized ROE ¹ Spread (ROIC and Debt Cost)
10.7%
10.3%
12.3%
12.9%12.3%
10.5%
12.3%13.2%
10.0% 6.7%
2014 2015 2016 4T17Anualizado
4T18Anualizado
ROIC Custo da Dívida Após IR
0.2 p.p. -2.0 p.p. -0.9 p.p. 2.9 p.p.
Spread
5.6 p.p.
Debt Cost after IR
4Q17 Annualized
4Q18 Annualized
10
Agenda
Unidas in 2018
Highlights
New and Used Cars Sales Scenario
Operating Performance
Financial Performance
Q&A
11
New and Used Cars Sales Scenario
New and Used Car Sales in Brazil ¹
Used Cars by Age in Brazil ¹ Unidas’s Sales (#) and Market Share (%)²
¹ Source: FENAUTO, FENABRAVE Considers Cars, Light Commercials and also heavy cars and motorcycles sales.
(Million of units)
3.32.5 2.0 2.2 2.5
0.6 0.7
10.1 10.0 10.010.8 10.8
2.8 2.8
3.1x
4.0x
5.0x 4.9x4.3x
4.7x4.0x
-3,0x
-2,0x
-1,0x
0,0x
1,0x
2,0x
3,0x
4,0x
5,0x
6,0x
0
2
4
6
8
10
12
14
16
18
20
2014 2015 2016 2017 2018 4Q17 4Q18
# of New Cars Sales # of Used Cars Sales Used Cars Sales/New Cars Sales
+13.6%
+16.7%
(Cars and light commercials – Million of units)
² Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18by equity method.
5.12.4 0.8 0.6
4.5
5.8
1.4 1.5
1.92.8
0.7 0.8
2.7 3.3
0.8 0.9
14.2 14.3
3.7 3.7
2017 2018 4Q17 4Q18
Up to 3 years From 4 to 8 years From 9 to 12 years More than 12 years
-52.1%
-27.1%
16,710
42,386
5,268
12,337
0.33%1.77%
0.66%2.47%
-20,00%
-15,00%
-10,00%
-5,00%
0,00%
5,00%
0
10.000
20.000
30.000
40.000
50.000
60.000
70.000
2017 2018 4T17 4T18
+153.7%
+134.2%
4Q17 4Q18
12
Agenda
Unidas in 2018
Highlights
New and Used Cars Sales Scenario
Operating Performance
Financial Performance
Q&A
13
23,184 23,318 23,80840,319
111,097
74,7043,505 5,070 2,394
4,283
9,956
52,271
3,735 2,796 1,529
1,964
10,046 4,124
30,424 1,184 27,731
46,566
131,099 131,099
2014 2015 2016 2017 2018 2018
Operacional Implantação Desmobilização
Fleet End of Period
Fleet Breakdown (# of vehicles)
Demobilization Fleet (% and # of vehicles - thousand) Average Age of Fleet (months)
Rent-a-Car - FranchisesRent-a-CarFleet Management
+181.5%
Operational Deployment Demobilization
3.72.8
1.5 2.0
10.0
12.3% 9.0% 5.5% 4.2% 7.7%
-100,0%
-80,0%
-60,0%
-40,0%
-20,0%
0,0%
-
2,0
4,0
6,0
8,0
10,0
12,0
14,0
2014 2015 2016 2017 2018
Used Cars Sales Inventory % of Inventory/Total Fleet
+3.5 p.p.
17.915.8
18.6 18.116.9 17.1 16.6
9.4 10.2 10.4
7.9 7.5 7.7 6.9
2014 2015 2016 2017 2018 4Q17 4Q18
Fleet Management Rent-a-Car
-2.9%
-10.4%
14
Fleet Investment
Net Fleet Investment (R$ million)
Net Fleet Investment (# of vehicles)
517.9 509.9329.0
859.4
2,944.8
263.6
1,012.3
255.4 316.3 352.3525.2
1,408.8
160.1439.3
2014 2015 2016 2017 2018 4Q17 4Q18
Cars Acquisition Car Sales Net Revenues
262.5(23.3)
334.2
193.6103,5
1,536.0
573.0
+359.6%
+453.6%
14,177 13,0689,122
19,747
68,702
7,190
22,894
11,565 12,729 12,40216,710
42,386
5,26812,337
2014 2015 2016 2017 2018 4Q17 4Q18
Cars Purchased Cars Sold
2,612 339 (3,280)3,037
1,922
26,316
10,557+449.3%
+766.5%
15
Fleet Management (1/2)
Commercial Pipeline New Contracts
Average Age of the Operating Fleet Average Occupancy Rate
(Months) (Fleet Rented as % of Operating Fleet)
# Cars in Dispute (thousand)
Cars from new hires showed a growth of 64.8% in the quarter. The commercial pipeline expected for the 1Q19 presented again the highest historic amount for a single quarter, totaling 39.5 thousand vehicles.
+2.1%
Record
23.1 22.226.2 24.6 22.4
29.334.5
38.7 39.5
1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19
96.1 thousand
124.9 thousand
+30.0%
8.140 7.950
4.629
7.032
12.759
1.5362.531
335,0 314,0195,1
309,6
575,0
66,5 96,4
-1.000
-800
-600
-400
-200
00
200
400
600
0
2.000
4.000
6.000
8.000
10.000
12.000
14.000
16.000
18.000
20.000
2014 2015 2016 2017 2018 4Q17 4Q18
# of Vehicles Global Value (R$ Million)
+81,4%
+64,8%
17.915.8
18.6 18.116.9 17.1 16.6
2014 2015 2016 2017 2018 4Q17 4Q18
-2.9%
94.8%
96.2%96.8% 97.0%
98.2%97.2%
98.3%
2014 2015 2016 2017 2018 4Q17 4Q18
+1.1 p.p.+1.2 p.p.
16
Fleet Management (2/2)
Number of Daily Rentals (thousand) and Average Monthly Tariff (R$)
Vs.
-14.3%
CDI Delta
Tariff Delta4Q18
4Q18 Net Revenue boosted by the growth of daily rentals and average tariff stabilization in the period.
Net Revenue of Fleet Management (R$ Million)
Record-0.5%
(1) 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18 byequity method.
8,232 8,057 8,33511,179
20,647
3,4875,753
1,502 1,609 1,597 1,546 1,489 1,531 1,523
-2.000
-1.500
-1.000
-500
-
500
1.000
1.500
0
5.000
10.000
15.000
20.000
25.000
30.000
35.000
40.000
2014 2015 2016 2017 2018 4Q17 4Q18
# of Rental Days Average Montlhy Tariff
+65.0%
373.8 392.0 402.4
522.9
930.6
161.5264.8
2014 2015 2016 2017 2018 4Q17 4Q18
+78.0%
+64.0%
Average Monthly Tariff
+84.7%
Record
Record
Record
17
Rent-a-Car (1/2)¹
Average Age of the Operating Fleet
(In Months)
Average Occupancy Rate
¹ Considers Unidas historical results – Rent-a-Car (excludes Franchises), for a better data analysis regarding 4Q18 and 2018.
Number of Stores
(Rented Fleet as a % of Operational Fleet)
Reduction of the average age of vehicles reflecting the Company's strategy to accelerate its fleet turnover in order to reduce maintenance and depreciation costs. Average occupancy rate drop is explained by the expansion of vehicles offering in order to attend next quarters demand.
9.410.2 10.4
7.9 7.5 7.76.9
2
4
6
8
10
12
14
2014 2015 2016 2017 2018 4Q17 4Q18
-10.4%
75.4% 74.8%
81.5%
83.7%
78.8%
85.0%
76.6%
2014 2015 2016 2017 2018 4Q17 4Q18
-4.9 p.p.
-8.4 p.p.
84 94 99 104 121
78102
128 112 89162
196
227 216 210
2014 2015 2016 2017 2018
Rent-a-Car Own Rent-a-Car Franchises
-6 stores
18
3,5093,973
4,797
6,486
8,554
1,8092,642
2014 2015 2016 2017 2018 4Q17 4Q18
Rent-a-Car (2/2)¹
Daily Rentals (thousand) Average Daily Tariff (R$)
Rent-a-Car Net Revenue (R$ million)
+31.9%
Record
Renewal of Company's historic level in daily rentals and average daily tariff annual expansion, boosting revenues growth in both comparisons.
¹ Considers Unidas historical results – Rent-a-Car (excludes Franchises), for a better data analysis regarding 4Q18 and 2018.
+46.0%71.7
74.3 74.2 73.9
70.8
74.576.7
2017 2018 4Q17 1Q18 2Q18 3Q18 4Q18
+3.6%
273.0 289.5324.5
424.4
578.7
122.2184.5
2014 2015 2016 2017 2018 4Q17 4Q18
+36.4%
+51.0%
Record
Record
Record
19
The average selling price was R$ 35.6 thousand in 4Q18 and R$ 33.2 thousand in the accrued of 2018, showing annual growths of 17.1% and 5.7%, respectively, due to the mix of sold vehicles in the periods and the lower consolidated vehicles average age explained by Rent-a-Car segment entrance and by the average age of sold vehicles in
Fleet Management.
Used Cars (1/2)
Used Cars Stores
Number of Cars Sold and Average Selling Price (R$ thousand/car)
6 7 1123
58
23
58
21 21
7 6 34
6
4
6
13 13 14 27
85
27
85
-
20
40
60
80
100
120
140
2014 2015 2016 2017 2018 4T17 4T18
Retail - Own Retail - Franchises Wholesale
+ 58 stores
11,565 12,729 12,40216,710
42,386
5,268
12,337
22.1 24.8 28.4 31.4 33.2 30.4 35.6
-100,0
-80,0
-60,0
-40,0
-20,0
0,0
20,0
40,0
-
10.000
20.000
30.000
40.000
50.000
60.000
2014 2015 2016 2017 2018 4Q17 4Q18
# of Cars Sold Average Price of Cars Sold
+ 153.7%
+ 134.2%
4Q17 4Q18
+ 72 stores2018 vs. 2014
20
Used Cars (2/2)
Gross Revenue per Selling Channel (R$ Million)
Retail sales in 72.5% and 69.5% for 4Q18 and 2018, respectively. Gross Profit of R$ 44.9 million in 4Q18 and R$ 156.5 million in 2018.
75.1 104.7 172.5332.5
980.8
99.3319.3215.3 211.6 179.8
192.9
430.5
60.8
121.0255.4 316.3 352.3525.4
1,411.3
160.1
440.3
29.4% 33.1%49.0%
63.3%69.5%
62.0%72.5%
-90,0%
-80,0%
-70,0%
-60,0%
-50,0%
-40,0%
-30,0%
-20,0%
-10,0%
0,0%
10,0%
20,0%
30,0%
40,0%
50,0%
60,0%
70,0%
-
200,0
400,0
600,0
800,0
1.000,0
1.200,0
1.400,0
1.600,0
1.800,0
2.000,0
2014 2015 2016 2017 2018 4Q17 4Q18
Retail Wholesale % Retail
+ 175.0%
+168.6%
-1.6
6.923.8
64.8
156.5
20.2
44.9
-0.6%2.2%
6.7%12.3% 11.1% 12.6% 10.2%
-50,0%
-40,0%
-30,0%
-20,0%
-10,0%
0,0%
10,0%
-10,0
40,0
90,0
140,0
190,0
2014 2015 2016 2017 2018 4T17 4T18
Used Cars Gross Profit Gross Margin %
4Q184Q17
+ 122.3%
+ 141.5%
Gross Profit (R$ Million) and Gross Margin (%)
(1) 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18 byequity method.
Record
Record
21
Agenda
Unidas in 2018
Highlights
New and Used Cars Sales Scenario
Operating Performance
Financial Performance
Q&A
22
Consolidated Net Revenue
Consolidated net revenue expansion supported by the organic growths of all business divisions, in addition to the incorporation of the operations of Auto Ricci and Unidas.
255.4 316.3 352.3525.2
1,408.8
160.1
439.3
373.8392.0 402.4
522.9
930.6
161.5
264.8
471.3
192.5629.2
708.3 754.7
1,048.1
2,810.7
321.6
896.6
2014 2015 2016 2017 2018 4Q17 4Q18
Used Cars Sales Fleet Management Rent-a-Car + Franchises
+168.2%
+178.8%
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18by equity method.
23
Recurring EBITDA and EBIT¹
4Q18 Recurring (NewCo)
4Q17 Recurring
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 aMar/31/18 by equity method.¹Excludes non-recurring expenses in the amount of R$ 27.4 million in 2018 regarding asset disposal for brand renewal and improvements for the opening of new stores, consulting expenses for the process of theLocamerica-Unidas integration. In 2017, the non-recurring expenses totaled R$ 3.2 million, explained by Auto Ricci acquisition, from hiring specialized consulting firms for the integration and legal and financialadvisory.
Entry inRAC
BetterVehicles
Purchase
100.0%
28.8%
17.6% 12.5%
66.1%
24.4%
41.7%
Rental Revenues Maintenance &Personnel Costs
SG&A Expenses Used Cars Result EBITDA DepreciationExpenses
EBIT
100.0%
31.7%
21.3%9.8%
56.8%
18.3%
38.5%
Rental Revenues Maintenance &Personnel Costs
SG&A Expenses Used Cars Result EBITDA DepreciationExpenses
EBIT
24
Net Profit and Non-Recurring Effects¹
Recurring Financial Results Recurring Net Profit
Reconciliation of Recurring Consolidated Net Income
¹ 4Q18 recurring Financial Result excludes extraordinary revenues of R$ 0.1 million due to Market-to-Market (MtM) swap operations.
20184Q18
R$ Million % of Rental Revenue R$ Million % of Rental Revenue
78.5101.9 114.5 125.1
290.7
36.1
88.1
21.0%26.0% 28.5%
23.9%20.7% 22.4%
19.3%
-40,0%
-30,0%
-20,0%
-10,0%
0,0%
10,0%
20,0%
30,0%
0
50
100
150
200
250
300
350
400
450
500
2014 2015 2016 2017 2018 4T17 4T18
+144.0%
+132.4%
24.8 23.4 28.967.7
203.4
22.6
69.0
6.6% 6.0% 7.2%12.9% 14.5% 14.0% 15.1%
-100%
-80%
-60%
-40%
-20%
0%
20%
0
50
100
150
200
250
300
350
400
2014 2015 2016 2017 2018 4T17 4T18
+200.4%
+205.3%
Record
4Q184Q17 4Q184Q17
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 aMar/31/18 by equity method.
62.3 69.0
6.7
0
10
20
30
40
50
60
70
80
90
4Q18 Reported Net Profit Non-recurring Items afterTaxes
4Q18 Recurring UnidasNet Income
189.2
203.4(6.4)
20.6
2018 Reported Net Profit Unidas Results byEquity Method
Non- recurring Itemsafter Taxes
2018 Recurring UnidasNet Profit
Record
25
10.7% 10.3%12.3%
12.9% 12.3%
10.5%
12.3%13.2%
10.0%
6.7%
2014 2015 2016 4Q17Annualized
4Q18Annualized
ROIC Cost Net of Taxes
0.2 p.p. -2.0 p.p. -0.9 p.p. 2.9 p.p.
Spread
5.6 p.p.
Financial Results
Annualized ROE¹
Spread
¹ Annualized ROE is calculated using recurring net income in 3Q18 divided by the monthly average shareholders’ equity adjusted by the deduction of the premium generated by the mergers with Auto Ricci and Unidas and the sum to the asset valuation adjustment (Tangible Shareholders’ Equity).
Annualized ROIC
8.1%5.8%
9.1%
19.0%20.9%
19.7%
2014 2015 2016 4T17Anualizado
4T18Anualizado
2018
10.7%10.3%
12.3%12.9%
12.3%11.6%
2014 2015 2016 4T17Anualizado
4T18Anualizado
2018
Annualized ROE 1.9 p.p. higher in the annual comparison, even with the increase of equity by follow-on;ROIC in the Company's expected profitability level, even with the Rent-a-Car (RAC) segment entry.
4Q17Annualized
4Q18Annualized
4Q17Annualized
4Q18Annualized
Note: 2017: Includes Auto Ricci as of 3Q17, in addition to its result from May/11/17 to Jun/30/17 by equity method. 2018: Includes Unidas S.A’s results as of 2Q18, in addition to its result from Mar/09/18 a Mar/31/18 byequity method.
26
The Company had a cash balance in the amount of R$1,964.9 million, enough to address the debt principal payment due to 2021 and address 68.7% up to 2022.
Capital Structure
Debt Composition (Principal) Covenants
Amortization Schedule Ratings (National Scale)
Net Debt/ EBITDA LTM Gross Debt/(Gross Debt + Equity)
StableOutlook
StableOutlook
brAFeb-13
brAA-Feb-18
A-(bra)May-12
AA- (bra)Jun-17
A(bra)May-13
AA (bra)Mar-18
1.964,9
242,7354,2
967,8
1.294,5
785,4
171,350,0
Caixa 2019 2020 2021 2022 2023 2024 2025
Total to be paid until 2022: R$2,859.2 MillionCash address 68.7%
brAA+Jul-18
brA+Feb-17
brA-Jun-12
brAAADec-18
BBB+Jun-10
73.5% 75.2%60.5%
2016 2017 2018
2.52x 2.51x2.03x
2016 2017 2018
-0.48x-14.7 p.p.
89.3%
8.0%
1.1%1.1%
0.5%Debentures
Commercial Paper
Leasing
Finame
Working Capital
Cash
Q&A
Legal Notice – The statements contained in this document relating to business prospects, operating and financial results projections and those relating to Unidas growth prospects are merely projectionsand as such are based exclusively on the Board's expectations of the future of the business. These expectations depend substantially on market conditions, the performance of the Brazilian economy, thesector and the international markets and, therefore, subject to change without prior notice.
ri.unidas.com.br
Contact: [email protected]
