Terveystalo Oy Class A · OMXHEX:TTALO

Terveystalo Oy Class A — Q4 2020 Earnings Presentation

26 slides from Terveystalo Oy Class A's earnings presentation, Feb 11, 2021

  1. Slide 1: Terveystalo 2020 Results

    Terveystalo 2020 Results Strong improvement in profitability in Q4 CEO Ville Iho CFO Ilkka Laurila

  2. Slide 2: Agile response to demand fluctuations rewarded by strong Q4 financial performance

    Agile response to fluctuations in demand was rewarded by strong financial performance in Q4 Revenue Adj. EBITA EPS EUR 279.7 Mill. EUR 39.3 Mill. EUR 0.18 (+3.5%) (+21.5%) (+39.0%) Lorem ipsum dolor sit amet, consectetuer Lorem ipsum dolor sit amet, consectetuer adipiscing elit, sed diam nonummy nib

  3. Slide 3: Strong sales in private and corporate customers as well as public occupational health & services

    Strong sales in private and corporate customers as well as public occupational health & services Q4 Revenue by payer group, M€ 3,5% • > 126,000 coronavirus tests conducted in total 300 280 270 • Growth in insurance company sales, well-being 16 +40% 22 services and vaccinations 250 23 -4% 22 • Appoin

  4. Slide 4: 2020: Strong performance in a challenging year

    2020: Strong performance in a challenging year REVENUE & EBITA +95.1% 1 031 986 745 690 547 506 11.8 11.2 10.0 10.4 10.6 10.3 2015 2016 2017 2018 2019 2020 Revenue, Mill.EUR Adjusted EBITA, % of revenue 4 11.2.2021

  5. Slide 5: We start the second corona year from a position of strength

    We start the second corona year from a position of strength 6.9 26% 1.2 309 Mill. Share of Mill. Locations customer remote Individual visits visits customers 986 2020 Revenue, Mill. Euros 10% 2020 Adj. EBITA margin 13,000 professionals Remote visits include digital and phone appointments

  6. Slide 6: Already 26% of the appointments delivered remotely through our platform

    Already 26% of the appointments delivered remotely through our platform Digital & remote services on care path Fever and sore throat Physical services on care path 6

  7. Slide 7: Already 26% of the appointments delivered remotely through our platform

    Already 26% of the appointments delivered remotely through our platform Digital & remote services on care path Knee injury while playing football Physical services on care path 7

  8. Slide 8: From a single discipline approach to customer centric

    From a single discipline approach to customer centric From local experts to network wide best practices From physical to hybrid • The units focus expertise in selected areas and build multidisciplinary teams around the hybrid care path. • The first Focus specialist units will provide services relate

  9. Slide 9: Outlook

    Outlook In the short term, the market environment is still uncertain because of the changes in consumer behavior resulting from the COVID-19 pandemic, and predicting demand is challenging in the short term. Demand for coronavirus testing is expected to remain high throughout the first half of 2021,

  10. Slide 10: Financial performance

    Ilkka Laurila, CFO Financial performance

  11. Slide 11: 2020 revenue

    2020 revenue 2020 revenue by payer group, % 2020 revenue by payer group, M€ 1 200 -4,3% 1 031 986 28% 1 000 58 87 68 83 800 150 121 42% 600 303 295 400 200 433 419 30% 0 2019 2020 Corporate Private Public Corporate Staffing services Private Service sales, OH and others Outsourcing

  12. Slide 12: Strong trend in wellbeing and digital visits continues

    Strong trend in wellbeing and digital visits continues WELLBEING SALES, M€ DIGITAL VISITS, THOUSANDS +10% +9% -7% +281% 25 250 +11% +282% 20 200 +271% 15 150 +289% 10 100 5 50 0 0 2018 2018 2018 2018 2019 2019 2019 2019 2020 2020 2020 2020 Q4 2018 Q1 Q2 Q3 Q4 Q1 2020 Q2 Q3 2020 Q4 Q1 Q2 Q3 Q4 Q1 Q2

  13. Slide 13: Decent financial performance in a challenging year

    Decent financial performance in a challenging year Target: at least 5% Target: 12-13% Target: Net debt / Adj. Target: distribute a revenue growth Adj. EBITA margin EBITDA not to exceed 3,5 minimum of 40% of earnings in dividends -4% 0,26 1 031 115,1 3,8 0,26 986 72% 101,9 0,24 3,1 3,0 87,7 0,22 745

  14. Slide 14: Revenue back on a growth track, profitability improved

    Revenue back on a growth track, profitability improved REVENUE. ADJUSTED EBITDA * **. % ADJUSTED EBITA* **. M€ AND % 300 30 40 39,3 30 279,7 267,8 270,3 258,6 257,4 35 250 240,2 25 32,4 32,3 25 234,0 30,9 209,2 19,2 30 197,9 19,5 27,1 200 17,9 17,7 20 25,9 20 17,0 25 24,4 16,4 15,8 22,9 14,8 14,0 15

  15. Slide 15: Investments in digital services increased IT costs, PPE procurement increases costs of materials

    Investments in digital services increased IT costs, PPE procurement increases costs of materials M€ 10-12/2020 10-12/2019 Change. % 1-12/2020 1-12/2019 Change. % Revenue 279.7 270.3 3.5 986.4 1 030.7 -4.3 Other operating income 0.8 0.8 2.0 2.7 2.1 29.0 Purchase of materials -9.6 -8.9 7.5 -35.5 -32.0

  16. Slide 16: Liquidity at a good level

    Liquidity at a good level m€ 31.12.2020 31.12.2019 • Cash and cash equivalents EUR 77.1 mill. (40.6). ASSETS • Total assets EUR 1,361.0 mill. (1,359.3). Property. plant and equipment 67.6 69.5 Right of use assets 172.4 193.2 • Equity attributable to owners of the parent company was Goodwill 781.8 77

  17. Slide 17: Indebtedness below target

    Indebtedness below target NET DEBT/ADJUSTED EBITDA OPERATIONAL EFFICIENCY IS REFLECTED IN THE (LAST 12 MONTHS)* NEGATIVE NET WORKING CAPITAL 4,6 150 4,1 6 6 6 6 6 8 100 7 3,5 3,4 3,4 8 3,1 3,2 110 3,0 50 101 101 102 100 83 99 95 0 -58 -59 -58 -52 -61 -50 -70 -73 -86 -174 -176 -166 -165 -179 -177 -15

  18. Slide 18: Further positive development in DSO and DPO

    Further positive development in DSO and DPO DSO, ROLLING 3 MONTHS DPO, ROLLING 3 MONTHS 32,5 32,0 32,3 32,3 58,5 57,5 30,1 30,9 30,5 54,2 28,9 53,4 48,7 49,3 49,1 50,6 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2019 2019 2019 2019 2020 2020 2020 2020 2019 2019 2019 2019 2020 2020 2020 2020 . 18

  19. Slide 19: The share of intangible investments continue to grow (excluding M&A)

    The share of intangible investments continue to grow (excluding M&A) GROSS CAPEX. M€ AND %- OF REVENUE NET CAPEX. M€ AND %- OF REVENUE 44 45 4,5 4,4 50 4,3 4,3 4,3 4,5 45 4,3 4,2 4,3 4,5 46 4,1 4,1 45 3,9 3,9 41 39 3,9 3,9 45 4,0 40 38 8 38 38 4,0 41 40 11 40 38 38 38 4 3,5 35 12 5 5 3,5 35 18 19 16

  20. Slide 20: We met all three sustainability criteria targets linked with financing agreement

    We met all three sustainability criteria targets linked with financing agreement NPS 82.8 Mixed waste eNPS 18.0 intensity (+14.2%) (+100%) 6.0 (+23.7 %) Mixed waste intensity = Amount of mixed waste (metric tons) relative to total revenue (EUR 100 million) Target to decrease y-o-y, increase due to m

  21. Slide 21: Financial calendar and AGM in 2021

    Financial calendar and AGM in 2021 • Annual Report 2020 on week 7, 2021 • Interim report for January-March 2021 on Thursday, 29 April 2021 • Half-Year Report for January-June 2021 on Friday, 16 July 2021 • Interim report for January-September 2021 on Thursday, 28 October 2021 Annual General Meeting

  22. Slide 22: stalo

    11.2.2021 stalo a vy 5 4

  23. Slide 23: stald

    stald

  24. Slide 24: Key Figures

    Key Figures 10–12/ 10–12/ Change, Terveystalo Group, EUR million 2020 2019 Change. % 2020 2019 % Revenue 279.7 270.3 3.5 986.4 1,030.7 -4.3 Adjusted EBITDA * 1) 54.5 47.8 14.1 162.8 176.3 -7.7 Adjusted EBITDA, % * 1) 19.5 17.7 - 16.5 17.1 - EBITDA 1) 53.7 46.8 14.8 158.3 171.2 -7.5 EBITDA, % 1) 19.2

  25. Slide 25: Key Figures

    Key Figures Terveystalo Group, EUR million 10–12/ 10–12/ Change, % 2020 Change. % 2020 2019 2019 Average personnel in person-years – – – 4,900 4,943 -0.9 Personnel (end of period) – – – 8,253 8,685 -5.0 Private practitioners (end of period) – – – 5,057 5,068 -0.2 Adjusted EBITDA, excluding IFRS 16 *

  26. Slide 26: terveystalo.com #terveystalo

    terveystalo.com #terveystalo

Terveystalo — Q4 2020 Earnings Presentation on 6ix