Atea Asa · OSL:ATEA
Atea Asa — Q1 2021 Earnings Presentation
32 slides from Atea Asa's earnings presentation, Apr 29, 2021
Slide 1: Q1 2021 Presentation
Q1 2021 PRESENTATION April 29, 2021
Slide 2: Highlights – Q1 2021
Highlights – Q1 2021 Record high first quarter financial results Revenue of NOK 10 billion (up 10.6%) ‒ Revenue growth across all business lines EBIT of NOK 176 million (up from NOK 32 million) ‒ Major progress in Atea Denmark ‒ All other countries report record high EBIT Operating cash flow increas
Slide 3: Income Statement – Q1 2021
Income Statement – Q1 2021 Comments Revenue growth across all business lines, with highest increase within hardware Gross margin impacted by a higher proportion of low margin product deliveries in the revenue mix Lower opex due to fewer employees, tight cost controls, plus reorganization costs in De
Slide 4: Business unit performance – Q1 2021
Business unit performance – Q1 2021 • Atea Denmark shows major progress on turnaround, following reorganization last year - EBIT improves to breakeven, from loss of DKK 90 million last year - Reorganization costs (severance, writedowns) of DKK 51 million in Q1 2020 • All other countries report recor
Slide 5: Cash flow from operations
Cash flow from operations Cash flow from operations is NOK 557 million higher than last year Higher cash flow from operations, driven by: • Improved cash earnings • Smaller seasonal increase in the working capital balance compared with last year
Slide 6: Net financial position
Net financial position Net financial position of NOK +263 million - Net debt / EBITDA ratio* of -0.2 is NOK 4.4 billion below loan covenants CURRENCY: MNOK 31 Mar 2021 31 Mar 2020 Interest-bearing liabilities -532 -1,341 Cash and cash equivavlents 796 822 Net financial position* 263 -519 EBITDA - ro
Slide 7: Atea 5-year financial performance (2015 – 2020)
Atea 5-year financial performance (2015 – 2020) Atea’s financial performance has been very strong outside of Denmark • Atea (excluding DK) has achieved EBIT growth of 20.8% CAGR, with EBIT margin improving from 1.8% to 3.1% • Denmark fell from an EBIT of MDKK 122 in 2015 to a loss of MDKK -64 in 202
Slide 8: Financial performance in Denmark since reorganization
Financial performance in Denmark since reorganization Atea Denmark has greatly improved its financial performance since the reorganization in Q1 2020 - EBIT in last four quarters is MDKK 145 higher than prior year DKK million Q1 2020 Q2 2020 Q3 2020 Q4 2020 Q1 2021 Income statement Revenue 1302 1759
Slide 9: Reorganization in Atea Denmark in 2020
Reorganization in Atea Denmark in 2020 • Kathrine Forsberg appointed Managing Director in January 2020 • New Directors for commercial areas were appointed during 2020 MANAGING DIRECTOR Kathrine Forsberg PUBLIC ENTERPRISE Brian Borella Wulf Henrik Gjerulff Jensen CONSULTING MANAGED SERVICE SALES Hans
Slide 10: Key changes in Denmark under new management
Key changes in Denmark under new management • Staff reduction of 7% (98 FTEs) during 2020 Cost reduction • Other operating expenses (travel, facilities, etc.) down 18% during last four quarters • Reduction in capital expenditures of over 20% since reorganization • Consolidated private sales (enterpr
Slide 11: Atea's brand in Denmark has strengthened
Atea’s brand in Denmark has strengthened Atea received highest quality ranking among IT infrastructure resellers in Computerworld 2021 survey of “Denmark’s strongest IT brands” (# 14 in total*) • Survey conducted among IT professionals in Danish organizations, asking respondents to rank companies in
Slide 12: Looking forward
Looking forward The Danish business has strong momentum, and Management expects profitability to continue a steady improvement trend - Atea has a unique competitive position in the Danish market - Large market opportunity to expand sales of specialist consultant and managed services - Drive operatin
Slide 13: Summary – Q1 2021
Summary – Q1 2021 Cash flow from operations improves by REVENUE Revenue of NOK 10 billion, up 10.6% CASH FLOW NOK 557 million from last year EBIT of NOK 176 million, up from Net financial position of NOK 263 million, EBIT NET DEBT compared with NOK -519 million last year NOK 32 million last year
Slide 14: Specialists in IT infrastructure
ATCA Specialists in IT infrastructure
Slide 15: Q1 2021 Fact Pack
ATCR quzne J FACT PACK
Slide 16: Highlights – Group
Highlights – Group Q1 Q1 Full year NOK in million 2021 2020 2020 Group revenue 9,999 9,043 39,503 Gross profit 2,084 1,997 8,236 Gross margin (%) 20.8% 22.1% 20.8% EBIT 176 32 854 EBIT margin (%) 1.8% 0.4% 2.2% Net profit 128 6 590 Earnings per share (NOK) 1.16 0.05 5.37 Diluted earnings per share (
Slide 17: Consolidated statement of financial position – Group
Consolidated statement of financial position – Group NOK in million 31 Mar 2021 31 Mar 2020 31 Dec 2020 ASSETS Property, plant and equipment 511 558 538 Right-of-use assets 1,201 1,262 1,288 Deferred tax assets 299 383 303 Goodwill 3,940 4,289 4,088 Other intangible assets 285 310 289 Investment in
Slide 18: Full-time employees - Group
Full-time employees - Group FTEs, end of period 31 Mar 2021 31 Mar 2020 31 Dec 2020 Norway 1,662 1,706 1,656 Sweden 2,466 2,595 2,471 Denmark 1,362 1,391 1,363 Finland 414 424 419 Baltics 628 651 667 Logistics 234 250 255 Atea Global Services 453 441 452 Atea ASA 10 11 10 AppXite 48 36 44 Atea Group
Slide 19: Financial performance actual – Segment
Financial performance actual – Segment NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Norway 2,241.9 2,306.5 2,199.9 2,680.0 2,248.5 Sweden 3,526.9 4,575.7 3,192.2 5,099.3 3,887.1 Denmark 1,822.0 2,581.9 1,705.4 2,563.7 2,508.9 Finland 1,183.9 870.3 827.5 904.8 1,095.0 The Baltics 334.3 295.5 287.0 45
Slide 20: Financial performance pro forma – Segment
Financial performance pro forma – Segment NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Norway 2,241.9 2,306.5 2,199.9 2,680.0 2,248.5 Sweden 3,526.9 4,575.7 3,192.2 5,099.3 3,887.1 Denmark 1,822.0 2,581.9 1,705.4 2,563.7 2,508.9 Finland 1,183.9 870.3 827.5 904.8 1,095.0 The Baltics 334.3 295.5 287.0
Slide 21: Income statement actual - Group (NOK million)
Income statement actual - Group (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 4,510.1 4,716.1 4,544.0 5,953.8 5,269.8 Software revenue 2,767.5 4,079.0 2,047.2 3,666.4 2,915.6 Products revenue 7,277.6 8,795.0 6,591.1 9,620.2 8,185.4 Total services revenue 1,765.4 1,803.4
Slide 22: Income statement actual – Norway (NOK million)
Income statement actual – Norway (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 1,154.7 1,188.2 1,223.0 1,493.6 1,142.1 Software revenue 515.4 563.7 502.7 591.0 542.2 Products revenue 1,670.1 1,751.9 1,725.7 2,084.6 1,684.2 Total services revenue 571.8 554.7 474.2 595.4
Slide 23: Income statement actual – Denmark (DKK million)
Income statement actual – Denmark (DKK million) DKK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 651.1 623.8 608.9 906.6 1,169.9 Software revenue 363.0 858.4 301.0 524.4 344.9 Products revenue 1,014.1 1,482.1 909.9 1,431.0 1,514.7 Total services revenue 288.0 277.2 280.9 344.2 303.2 Rev
Slide 24: Income statement actual – Denmark (NOK million)
Income statement actual – Denmark (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 911.1 922.8 872.6 1,308.7 1,614.5 Software revenue 508.0 1,249.0 430.2 757.9 475.9 Products revenue 1,419.0 2,171.8 1,302.8 2,066.6 2,090.5 Total services revenue 403.0 410.1 402.6 497.1 418
Slide 25: Income statement actual – Sweden (SEK million)
Income statement actual – Sweden (SEK million) SEK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 1,813.1 1,867.6 1,760.7 2,182.1 1,801.1 Software revenue 1,119.9 1,893.1 759.2 1,949.5 1,340.0 Products revenue 2,932.9 3,760.7 2,519.9 4,131.6 3,141.1 Total services revenue 668.1 686.8 565.
Slide 26: Income statement actual – Sweden (NOK million)
Income statement actual – Sweden (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 1,775.7 1,929.6 1,814.4 2,276.8 1,827.2 Software revenue 1,096.8 1,936.4 793.3 2,025.0 1,359.5 Products revenue 2,872.5 3,866.0 2,607.7 4,301.9 3,186.7 Total services revenue 654.4 709.6 584.
Slide 27: Income statement actual – Finland (EUR million)
Income statement actual – Finland (EUR million) EUR in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 45.3 42.9 42.5 51.0 47.4 Software revenue 60.2 27.1 27.7 23.9 50.8 Products revenue 105.5 70.0 70.1 74.9 98.2 Total services revenue 7.7 8.1 7.5 9.2 8.5 Revenue 113.2 78.1 77.6 84.1 106.7 Ma
Slide 28: Income statement actual – Finland (NOK million)
Income statement actual – Finland (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 473.5 473.6 453.2 548.0 486.1 Software revenue 629.9 308.1 294.4 257.8 521.8 Products revenue 1,103.4 781.6 747.6 805.8 1,007.8 Total services revenue 80.5 88.7 79.9 99.0 87.2 Revenue 1,183.
Slide 29: Income statement actual – Baltics (EUR million)
Income statement actual – Baltics (EUR million) EUR in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 16.5 16.1 15.2 27.4 15.8 Software revenue 7.2 2.3 2.8 4.5 4.9 Products revenue 23.7 18.4 18.0 31.8 20.7 Total services revenue 8.3 8.3 8.9 10.7 9.0 Revenue 32.0 26.7 26.9 42.5 29.7 Margin 8.
Slide 30: Income statement actual – Baltics (NOK million)
Income statement actual – Baltics (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 172.5 177.7 162.5 294.1 162.3 Software revenue 75.2 26.7 29.8 48.0 50.4 Products revenue 247.7 204.4 192.3 342.1 212.6 Total services revenue 86.6 91.1 94.6 114.7 92.3 Revenue 334.3 295.5 28
Slide 31: Income statement actual – Group Shared Services (NOK million)
Income statement actual – Group Shared Services (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Hardware revenue 1,589.0 1,682.5 1,636.5 1,839.0 1,569.2 Software revenue 5.2 6.7 11.6 10.4 10.1 Products revenue 1,594.2 1,689.2 1,648.1 1,849.4 1,579.3 Total services revenue 121.4 125.8 122.
Slide 32: Specialists in IT infrastructure
ATCA Specialists in IT infrastructure