Telelink Business Services Group Ad · BSESOF:TBS
Telelink Business Services Group Ad — Telelink Business Services Group — H1 2022 Earnings Presentation
33 slides from Telelink Business Services Group Ad's earnings presentation, Sep 30, 2022
Slide 1: Telelink Business Services Semi-Annual Financial Review 2022
TELELINK BUSINESS SERVICES SEMI-ANNUAL FINANCIAL REVIEW 2022 UPDATED OUTLOOK 2022-2026 September 30 2022
Slide 2: Financial Review H1'2022 & TTM
FINANCIAL REVIEW H1’2022 & TTM* *Trailing 12 months period from July 01 2021 to June 30 2022
Slide 3: Quarterly P&L
QUARTERLY P&L 25.0 0 • Revenue: 23.9% 20.6 0 • Q2’22/Q1’22 = +28% 20.0 18.4 16.0 16.1 18.4% • Gross Profit: 0 16.5% 16.8% 15.0 • Q2’22/Q1’22 = +40% EUR million 12.9% 0 • Margin (chg.) = +1.6% 10.0 9.2% 10.0% 9.2% • EBITDA: 0 6.1% 6.6% 7.0% • Q2’22/Q1’22 = +133% 5.0 3.8 3.7% 3.8 • Margin (chg.) = +5.
Slide 4: Q2 P&L
Q2 P&L 35.0 0 21.1% • Revenue: 20.0% 29.4 30.0 18.4% • Q2/Q2 22/21 = -30% 0 25.0 14.1% • Gross Profit: 20.6 12.5% 12.4% 12.9% 0 • Q2/Q2 22/21 = +4% EUR million 20.0 10.1% • Margin (chg.) = +6.0% 9.2% 14.5 9.2% 15.0 13.7 7.9% 0• EBITDA: 5.5% • Q2/Q2 22/21 = +14% 10.0 0 • Margin (chg.) = +5.0% 5.0 3.1
Slide 5: H1 P&L
H1 P&L 60.0 0 • Revenue: 19.5% 50.3 • H1/H1 22/21 = -27% 50.0 17.6% 17.7% 0 16.3% 40.0 • Gross Profit: 36.7 13.4% 33.3 0 • H1/H1 22/21 = -21% EUR million 11.1% • Margin (chg.) = +1.4% 30.0 9.8% 10.3% 23.9 9.2% 8.3% 6.8% 0• EBITDA: 20.0 6.0% • H1/H1 22/21 = -32% 0 • Margin (chg.) = -0.8% 10.0 8.2 6.5
Slide 6: H1 P&L (Detailed)
H1 P&L (DETAILED) 28% 50.3 13% Combined SG&A 36.7 19% -21% EUR million -27% -32% -40% -46% 8.2 6.5 5.6 5.0 3.8 2.7 4.2 2.0 2.2 1.3 1.7 2.5 0.2 Revenue Gross Profit S&M G&A EBITDA Operating Net -0.3 Fin. Net Profit Profit 06M2021a 06M2022a y/y growth S&M = Sales & Marketing Expenses, G&A = General &
Slide 7: TTM P&L
TTM* P&L 100.0 0 89.8 • Revenue: 90.0 86.3 84.7 18.8% • TTM 06’22/03’22 = -11% 80.0 80.0 17.8% 17.8% 0 16.7% 16.5% 71.2 70.0 • Gross Profit: 60.0 0 • TTM 06’22/03’22 = +1% EUR million 11.4% • Margin (chg.) = +2.3% 50.0 10.2% 10.5% 10.0% 8.5% 8.5% 40.0 7.4% 7.5% 0• EBITDA: 6.6% 30.0 5.5% • TTM 06’22/
Slide 8: Interim Revenue by Invoicing Region
INTERIM REVENUE BY INVOICING REGION -42% 19% -68% EUR million, % = share in total 73% 36.5 58% 21.2 41% 25% 15.2 12.8 2% 1% 1.1 0.3 BG MWB SWB BG = Bulgaria, incl. International Clients 06M 2021a 06M 2022a serviced by TBS EAD; MWB (Mid-Western SWB (South-Western Balkans) = Balkans) = Serbia, Montene
Slide 9: Interim Revenue by Sector
INTERIM REVENUE BY SECTOR 9% -51% 14% EUR million, % = share in total 61% | 30.6 28% | 14.0 41% | 15.2 41% | 15.0 11% | 5.7 18% | 6.5 Telecom Public Enterprise 06M 2021a 06M 2022a growth Q1/Q1
Slide 10: Interim Revenue by Product Group
INTERIM REVENUE BY PRODUCT GROUP 12% 34% -39% 71% -31% -98% 287% 66% 1% growth Q1/Q1 EUR million, % = share in total 30% | 15.0 25% | 12.6 27% | 10.0 18% | 9.0 21% | 7.7 18% | 6.6 12% | 5.8 15% | 5.6 10% | 4.9 11% | 4.0 0% | 0.2 0% | 0.2 0% | 0.2 2% | 0.7 1% | 0.8 1% | 0.3 1% | 0.3 3% | 1.4 3% | 1.2
Slide 11: Interim Cash Flow
INTERIM CASH FLOW 2020a 2021a 06M 2022a • Operating: • (+) positive EBITDA • (-) moderate increase in net non-cash working capital before financing due to inventory stock-up in Bulgaria and Slovenia EUR million 11.1 4.9 7.5 • Investing: 0.5 1.3 • (-) accelerating investments in -0.7 -0.7 -0.9-0.8 Eq
Slide 12: Net Cash Position
NET CASH POSITION 2020a 2021a 06M 2022a • Borrowings: • (-) near-full repayment of utilized credit limit in Serbia 5.4 5.4 • (=) maintained zero credit line 4.3 utilization in Bulgaria 6.0 6.6 5.8 • Finance leases: EUR million • (-) repayment > new leasing • Cash & Cash Equivalents: -0.7 -0.3 -0.2 -
Slide 13: Shareholder Returns: Dividend 2022
SHAREHOLDER RETURNS Dividend 2022
Slide 14: Approved Dividend 2022
APPROVED* DIVIDEND 2022 • Maintained substantially on par with 2021: 97% • EUR 5.2 M (BGN 0.81 DPS): • EUR 1.2 M from FY’2021 81% 82% • EUR 4.9 M from H1’2022 76% • 82% of consolidated profit EUR million for FY’2021 6.4 6.3 • Continuing to surpass A.o.A. 5.2 5.2 minimum of 50%: 4.2 • 98% (100% of di
Slide 15: Updated Financial Outlook FY'2022 & 2023-2026
UPDATED FINANCIAL OUTLOOK FY’2022 & 2023-2026
Slide 16: P&L 2022: Outlook vs. Budget
P&L 2022: OUTLOOK VS. BUDGET 95.5 19% 18% 83.4 8% 10% 7% 7% 7% 6% 3% 0% -3% -8% -5% -13% -13% EUR million Combined SG&A -10% 16.9 15.6 6.4 5.6 8.0 8.0 6.4 6.2 5.4 5.5 4.1 3.9 0.2 Revenue Gross Profit S&M G&A EBITDA Operating -0.1 Net Fin. Net Profit Profit budget confirmed margin (budget) margin (co
Slide 17: P&L Outlook 2022
P&L OUTLOOK 2022 84.7 83.4 • Revenue: • Y/Y 22/21 = -2% • 3Y CAGR 22/19 = +14% 69.3 19.7% 18.0% 18.7% • Gross Profit: 17.8% 56.4 • Y/Y 22/21 = +4% • margin 22-21 = +0.9% EUR million • 3Y CAGR 22/19 = +15% 12.6% 10.6% 10.4% • EBITDA: 9.3% 9.6% • Y/Y 22/21 = -9% 7.4% 7.4% • margin 22-21 = -0.8% 6.6% 1
Slide 18: P&L Outlook 2022 (Detailed)
P&L OUTLOOK 2022 (DETAILED) 84.783.4 28% 18% 19% 18% 10% 10% 9% 7% 7% Combined SG&A 7% 3% -2% 24% -9% -12% EUR million -17% 15.1 15.6 8.8 8.0 7.5 6.2 4.3 5.6 6.3 5.5 3.3 3.9 0.3 Revenue Gross Profit S&M G&A EBITDA Operating -0.1 Net Fin. Net Profit Profit 2021a 2022f margin 2021a margin 2022f y/y gr
Slide 19: Investments 2022
INVESTMENTS* 2022 • Total Outlook 2022: • EUR 2.1 M Operational Improvements 0.585 EUR million New Markets • Outlook 2022 - 2021: Development TBS Academy 1.125 • + 124 % / EUR 1.1 M 0.175 Technical • Outlook – Budget 2022: Business Development New Product • - 13 % / EUR 0.3 M 0.130 Sales Engineers G
Slide 20: Revenue by Invoicing Region 2022
REVENUE BY INVOICING REGION 2022 2% 6% -67% EUR million, % = share in total 64% 67% 54.4 55.6 29% 31% 24.3 25.7 7% 2% 0% 0% 6.1 2.0 0.0 0.1 BG MWB SWB RO DE+US BG = Bulgaria, incl. International Clients 2021a 2022f SWB (South-Western Balkans) = serviced by TBS EAD; MWB (Mid-Western Macedonia & Alban
Slide 21: Revenue by Sector 2022
REVENUE BY SECTOR 2022 -4% -9% 30% EUR million, % = share 55% | 46.6 51% | 42.3 29% | 24.8 29% | 23.9 21% | 17.2 16% | 13.2 Telecom Public Enterprise 2021a 2022f growth 22/21
Slide 22: Revenue by Product Group 2022
REVENUE BY PRODUCT GROUP 2022 -14% 60% -3% -41% -14% -94% 259% 397% 10% growth 22/21 EUR million, % = share 24% | 20.4 24% | 20.0 24% | 19.8 22% | 19.0 21% | 18.2 19% | 15.7 15% | 12.5 11% | 9.5 10% | 8.1 0.3% | 0.2 0.8% | 0.7 8% | 7.0 8% | 6.9 1% | 0.9 1% | 0.5 2% | 1.9 2% | 1.9 2% | 1.8 2% | 1.9 1
Slide 23: Revenue by Product Family 2022
REVENUE BY PRODUCT FAMILY 2022 -19% 272% 397% 10% growth 22/21 EUR million, % = share 93% | 79.1 77% | 64.1 0.8% | 0.7 11% | 9.5 9% | 7.2 2% | 1.9 2% | 1.9 2% | 1.8 2% | 1.9 IT Infrastrusture Digital Transformation Information Security IoT Other 2021a 2022f IT Infrastructure = Service Provider Solut
Slide 24: Personnel by Invoicing Region 2022
PERSONNEL BY INVOICING REGION 2022 320 1% | 2 6% | 18 1% | 4 as of period end, % = share in total 271 9% | 28 241 5% | 13 10% | 26 215 5% | 12 DE+US 4% | 9 9% | 22 RO 11% | 24 SWB MWB 84% | 268 BG 86% | 232 86% | 207 total 85% | 182 2019a 2020a 2021a 2022f
Slide 25: P&L Outlook 2022-2026
P&L OUTLOOK 2022-2026 178.8 • Revenue: 21.5% • 5Y CAGR 26/21 = +16% 157.6 20.3% 18.7% 143.6 19.0% 18.1% • Gross Profit: 117.0 15.8% • 5Y CAGR 26/21 = +21% EUR million 13.0% • margin 26-21 = +3.7% 83.4 11.2% 10.7% 9.6% 9.4% • EBITDA: 8.9% 8.5% • 5Y CAGR 26/21 = +26% 6.6% 6.3% 38.5 32.0 • margin 26-21
Slide 26: Revenue by Invoicing Region 2022-2026
REVENUE BY INVOICING REGION 2022-2026 11% 1% 16% EUR million, % = share in total 68% | 97.3 59% | 92.4 52% | 92.6 71% | 83.3 67% | 55.6 19% | 22.8 17% | 23.8 17% | 27.0 31% | 25.7 15% | 27.7 15% | 26.1 10% | 16.1 11% | 19.8 8% | 12.3 7% | 10.5 7% | 12.6 0% | 0.0 2% | 2.0 4% | 4.8 4% | 4.5 4% | 5.8 6
Slide 27: Revenue by Sector 2022-2026
EUR million, % = share 29% | 23.9 23% | 26.9 23% | 32.5 3% Telecom 19% | 30.7 16% | 28.4 2022f 51% | 42.3 2023f 60% | 69.8 57% | 82.0 12% Public 2024f 5Y CAGR 26/21 51% | 81.1 47% | 83.9 2025f REVENUE BY SECTOR 2022-2026 2026f 21% | 17.2 17% | 20.2 20% | 29.0 38% Enterprise 29% | 45.8 37% | 66.5
Slide 28: Revenue by Product Group 2022-2026
REVENUE BY PRODUCT GROUP 2022-2026 4% 32% 14% 28% -1% -19% 33% 76% -100% 5Y CAGR 26/21 EUR million, % = share 28% | 50.9 22% | 38.7 18% | 32.2 12% | 21.9 24% | 20.0 24% | 19.8 0.3% | 0.2 0.8% | 0.7 19% | 15.7 11% | 9.5 0% | 0.0 4% | 8.0 2% | 2.9 4% | 6.5 4% | 6.8 8% | 6.9 8% | 7.0 4% | 7.7 1% | 0.5
Slide 29: Revenue by Product Family 2022-2026
REVENUE BY PRODUCT FAMILY 2022-2026 10% 50% 76% -100% 5Y CAGR 26/21 EUR million, % = share 72% | 129.1 77% | 64.1 18% | 32.2 0.8% | 0.7 8% | 14.5 11% | 9.5 0% | 0.0 2% | 2.9 9% | 7.2 2% | 1.9 IT Infrastrusture Digital Transformation Information Security IoT Other 2022f 2026f IT Infrastructure = Serv
Slide 30: P&L Outlook 2022-2026 vs. Initial Guidance
P&L OUTLOOK 2022-2026 VS. INITIAL GUIDANCE 2022f 2023f 2024f 2025f 2026f • Revenue: % = deviation from projected result | margin 0% | 0.0 2% | 0.6 2% | 0.1 • Change in 5Y CAGR 6% | 1.2 7% | 1.0 26/21 = -1.2% difference in EUR million, -3% | -0.9 -1% | -0.3 -9% | -2.2 -3% | -0.5 -3% | -0.6 0% | -0.4
Slide 31: Investor & Corporate Highlights
INVESTOR & CORPORATE HIGHLIGHTS
Slide 32: Investor Calendar
INVESTOR CALENDAR • Dividend 2022: • Oct 03, 2022: • Latest date at which purchased shares will bear the right to dividend for 2022 • Oct 14, 2022: • Planned start of dividend payout • Notification of Financial Condition as of Sep 30 2022: • Oct 30, 2022: • Individual • Nov 30, 2022: • Consolidated
Slide 33: Thank You!
STHANK You! il Acco oe > aii ear itl i
Telelink Business Services Group — H1 2022 Earnings Presentation on 6ix