Arribatec Group ASA · OSL:ARR
Arribatec Group ASA — Q1 2022 Earnings Presentation
26 slides from Arribatec Group ASA's earnings presentation, May 2022
Slide 1: Quarterly Results Q1 2022
Quarterly Results Q1 2022 Geir Johansen, CEO 1
Slide 2: Shows continued strong growth
Q1 HIGHLIGHTS Shows continued strong growth Revenue Recurring Adj. EBITDA 27% 51% - 2% NOK 125.9m NOK 46.8 NOK -2.6m Highest on record 37% of Q1 revenue 2
Slide 3: Geographic revenue growth & share of total
Q1 HIGHLIGHTS Geographic revenue growth & share of total 17% 67% 15% NOK 78.2m NOK 41.0m NOK 6.8m 62% share 33% share 5% share Highest on record Highest on record 3
Slide 4: Arribatec's five business areas
BUSINESS AREAS Arribatec’s five business areas • All five BAs are managed as separate profit generating units • All five BAs have separate management teams Business Services EA&BPM – BS - Cloud • The three largest BAs both in terms of people, revenue, and EBITDA • Represent 90% of Group revenue and
Slide 5: Q1 performance
BUSINESS AREAS Q1 performance BizS EA-BPM Cloud 40% 13.5% 85%*** 9.0% 39% 7.5% Revenue Growth EBITDA margin Revenue Growth EBITDA margin Revenue Growth EBITDA margin 78m* 10.5m** 22m* 2.0m** 27m* 2.0m** Revenue EBITDA Revenue EBITDA Revenue EBITDA • Strong growth in particular from services • Almost
Slide 6: Q1 performance
BUSINESS AREAS – the verticals Q1 performance HspT Marine -12.6% -34.1% Revenue Growth EBITDA margin Revenue Growth EBITDA margin 0.8m* -2.8m** 12.9m* -4.4m** Revenue EBITDA Revenue EBITDA • Hospitality had no revenue in Q1 last year • Marine is undergoing a restructuring process to mitigate effects
Slide 7: Organization and people
Organization — wi P a mr so — — Arribatec.
Slide 8: Offices around the globe
28 400+ 1000+ Offices around Employees across Customers across the globe 5 business areas industries 8
Slide 9: Headcount
PEOPLE Headcount 250 231 206 200 150 100 88 75 50 55 50 44 38 9 10 12 12 0 Cloud EA&BPM Business Services Hospitality Marine Group 31.12.2021 31.03.2022 9
Slide 10: Gender Balance and Age distribution
PEOPLE Gender Balance and Age distribution GLOBAL ORGANIZATION MANAGEMENT POSITIONS AGE DISTRIBUTION Q1 Male Female Male Female Over 60 4,2% Between 51-60 17,1 % Between 41-50 21,8 % 23% 32% Between 31-40 29,1% Less than 30 27,8 % 0 20 40 60 80 100 120 68% Number of employees per age group 77% 10
Slide 11: High job satisfaction – above industry index
PEOPLE High job satisfaction – above industry index… Arribatec temperature Q1 9 8.4 8.1 8.1 8.3 7.9 7.8 8 7.9 8 7.5 7.6 7.6 7.5 7.6 7 7.1 7.2 7.1 7 6.6 6 5 4 3 2 1 0 Commitment Job satisfaction Meaningfulness Autonomy Work situation Participation Personal Team spirit Leadership development Arribatec
Slide 12: Sustainability initiatives in Q1
ESG Sustainability initiatives in Q1 Football Shirt Friday Bee hives installed at our office roof-top terrace We celebrated Football Shirt Friday in Norway to Thousands of new co-workers started at Arribatec spread awareness and unite the whole of EA&BPM with a goal of solving the worlds climate Nor
Slide 13: Financial Review
Financial Review 13
Slide 14: Growth continues - driven by international expansion
FINANCIAL REVIEW Growth continues - driven by international expansion % outside 33% 31% 34% 37% 38% % Recurring 31% 37% 43% 32% 37% Norway 130 126 130 126 NOK mill. NOK mill. 120 116 10 120 116 1 110 104 10 110 104 99 1 99 100 24 100 47 12 94 94 37 13 20 90 90 14 38 21 31 80 22 80 22 22 40 70 19 70
Slide 15: Source of recurring revenue
FINANCIAL REVIEW Source of recurring revenue % outside 33% 31% 34% 37% 38% % Recurring 27% 25% 76% 34% 39% Norway NOK mill. NOK mill. 130 126 70 70 120 116 10 65 1 110 104 10 60 19 99 1 100 24 55 12 94 13 20 90 50 14 80 21 22 45 22 22 40 70 19 35 60 19 12 19 30 50 25 51 24 22 40 70 20 5 30 64 52 51
Slide 16: Financials results impacted by integration
FINANCIAL REVIEW Financials results impacted by integration NOK mill. 12 10 The decrease year-on-year is mainly explained by: 8 • Operating losses and restructuring cost within 6 BA Marine 9,8 10,3 4 2 • Operating losses (start-up cost) for BA 1,8 2,2 Hospitality 0 -0,9 -2,6 -2 -4,5 • Significant am
Slide 17: Business area size and profitability
FINANCIAL REVIEW Business area size and profitability Revenue * EBITDA** • The 3 larges BAs have a combined annualized revenue of NOK 464m and EBITDA of NOK 60m NOK mill. NOK mill. 75 11 • We expect revenue growth as new employees 70 70 10 as onboarded through the year 65 9 60 19 8 55 7 50 6 5 11 45
Slide 18: Cash flow development
FINANCIAL REVIEW Cash flow development Events after balance sheet date NOK mill. 18
Slide 19: Balance sheet development
FINANCIAL REVIEW Balance sheet development Equity & Liabilities Assets 552 567 500 500 148 181 Goodwill 205 204 400 Current 400 Intangibles 87 92 300 Non- current 300 97 Other non- 111 current Equity 200 72 Other current 200 58 316 294 45 54 Trade 100 receivables 100 89 92 Cash - 44 37 Y.E 2021 Q1 2
Slide 20: Equity development
FINANCIAL REVIEW Equity development Events after balance sheet date 20
Slide 21: 21
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Slide 22: Appendix Financial Figures
Appendix Financial Figures 22
Slide 23: Profit & Loss
23 Profit & Loss Year to date NOK thousand Note 31Mar2022_31Mar2021__—_Full year 2021 Revenue 3 125 943 99173 413.938 Materials, software and services (28 375) (22729) (92 859) Gross profit ‘97 567 76 444 321079 Salary and personnel costs (88 490) (56 563) (272 679) Other operating expenses (15 308)
Slide 24: Balance Sheet
Balance Sheet NOK thousand Note 31Mar 202231 Dec 2021 NOK thousand Note 31Mar2022___31Dec 2021 ASSETS EQUITY AND LIABILITIES Non-current assets Equity Property, Plant and equipment 7698 7445 Share capital 2 163.773 163.773 Right-of-use assets 6 43 456 30 266 Other paid in capital 196 268 196 700 Goo
Slide 25: Cash flow
25 Cash flow Yearto date NOK thousand Note 31Mar 2022 31Mar2021___Fullyear 2021 Operating activities: Profit/(Loss) before tax (19 293) 2575 (53 660) Taxes paid ° (982) (982) Adjustments for: ~ Finance income and expense 4 357 461 3.890 ~ (increase)/decrease in trade receivables (3214) (7593) (6874)
Slide 26: Equity
Equity Equity related to the shareholders of the parent company Restricted Other ‘Exchange NOK thousand ‘Share capital paid in capital Gifferences: Other equity Total Equity Balance on 1 January 2021 117 203 194510 8 4.493 316214 Result of the period (48 858) (48 858) Comprehensive income for the pe