Atea Asa · OSL:ATEA
Atea Asa — Q4 2021 Earnings Presentation
31 slides from Atea Asa's earnings presentation, Feb 8, 2022
Slide 1: Q4 2021 Presentation
Q4 2021 Presentation February 8, 2022
Slide 2: Highlights – Q4 2021
EBIT Revenue of EBIT of NOK 11.9 billion NOK 403 million 6.4% organic growth in Growth of 4.0% constant currency Highlights – • Services and software business • Based on higher revenue and lines grow by over 10% in Q4 2021 constant currency • Hardware revenue impacted by relatively low growth in ope
Slide 3: Income Statement – Q4 2021
Income Statement – Q4 2021 21-20 20-19 Currency: MNOK Q4 2021 Q4 2020 Growth Q4 2019 Growth Comments: Hardware 5,820 5,954 -2.2% 5,488 8.5% Solid growth in revenue (+6.4% in constant currency) Software 3,868 3,666 5.5% 2,859 28.2% Services 2,175 2,056 5.8% 1,856 10.8% Revenue growth driven by servic
Slide 4: Business unit performance – Q4 2021
Business unit performance – Q4 2021 EBIT growth of 4.0%, with higher sales of services across all markets offsetting impact of supply constraints on hardware shipments % Revenue Revenue EBIT Currency: Local in million Q4 2021 Q4 2021 Q4 2020 Growth % Q4 2021 Q4 2020 Growth % Norway, NOK 25 % 3,053 2
Slide 5: Cash flow from operations
Currency: MNOK Q4 2021 Q4 2020 Cash earnings 477 488 Cash Changes in working capital flow from (excluding sale of receivables) 1,020 880 operations Cash flow from operations, before Cash flow from operations of 1,497 1,368 sale of receivables NOK 1.7 billion in Q4 2021 Change in sale of receivables
Slide 6: Net financial position
Currency: MNOK 31-Dec 2021 31-Dec 2020 Interest-bearing liabilities -530 -538 Net Cash and cash equivavlents 1,353 1,605 financial Net financial position* 822 1,067 position EBITDA - rolling 4 Q* 1,660 1,497 Net debt / EBITDA, end of quarter (ratio) -0.5 -0.7 Net financial position of Loan covenant:
Slide 7: Highlights – Full Year 2021
EBIT Revenue of EBIT of NOK 41.3 billion NOK 1,046 million 7.5% organic growth in Growth of 23% constant currency Highlights – • Solid growth despite • Driven by strong revenue global supply constraints and low cost growth Full Year 2021 in electronics industry • Denmark shows major profit improveme
Slide 8: Atea financial performance
Group Revenue and EBIT (MNOK) Atea financial 45,000 1,200 performance 40,000 1,000 Strong overall trend, with setback in 35,000 2018-19 due to legal issue in Denmark 30,000 800 and subsequent reorganization 25,000 600 20,000 2015 - 2021 performance: 15,000 400 • Revenue CAGR of 7%, nearly all organi
Slide 9: Corporate Social Responsibility awards in 2021
Atea ranked as one of the most sustainable companies in the world by Corporate Knights Corporate Social Responsibility awards in 2021 TOP 1 % of 85 000 by the Financial Times corporations globally and Statista Atea has been recognized with the following awards within sustainability during the past y
Slide 10: Atea has a very strong platform for continued growth
Atea has a very strong platform for continued growth Competitive position Financial strength Organization capabilities • Market leader in Nordics with • Solid track record of earnings • Specialist competence, logistics, IT unique competitive position as a growth and cash generation platforms and sha
Slide 11: Business outlook
Business outlook Strong market opportunities across each business line Hardware Software Services • Solid underlying demand, as • Robust market driven by strong • Very strong demand for consulting organizations need to customer demand and higher list pricing services, as customers need expertise mai
Slide 12: M&A opportunities to create shareholder value
M&A opportunities to create shareholder value Industry consolidation strategy IT infrastructure sector Atea has been formed Atea will become more aggressive continues to consolidate as through an aggressive M&A / with M&A strategy going forward: scale advantages become rollup strategy Acquire attrac
Slide 13: Capital allocation
Dividend: Share buyback: NOK 5.50 per share will be The Board will request that the proposed to the 2022 AGM, 2022 AGM renew its mandate to equivalent to 80% of EPS authorize a share buyback The dividend will be paid in two Share buyback programs will equal instalments in May and continue at the Boa
Slide 14: We build the future with IT.
We build the future with IT.
Slide 15: Q4 2021 Presentation – Fact pack
Q4 2021 Presentation Fact pack February 8, 2022
Slide 16: Highlights – Group
Highlights – Group Q4 Q4 Full year Full year NOK in million 2021 2020 2021 2020 Group revenue 11,863 11,676 41,316 39,503 Gross profit 2,356 2,327 8,446 8,236 Gross margin (%) 19.9% 19.9% 20.4% 20.8% EBIT 403 387 1,046 854 EBIT margin (%) 3.4% 3.3% 2.5% 2.2% Net profit 307 284 763 590 Earnings per s
Slide 17: Consolidated statement of financial position – Group
Consolidated statement of financial position – Group NOK in million 31 Dec 2021 31 Dec 2020 ASSETS Property, plant and equipment 493 538 Right-of-use assets 1,200 1,288 Deferred tax assets 276 303 Goodwill 3,942 4,088 Other intangible assets 328 289 Investment in associated companies 0 17 Long-term
Slide 18: Full-time employees – Group
Full-time employees – Group FTEs, end of period 31 Dec 2021 31 Dec 2020 Norway 1,753 1,656 Sweden 2,570 2,471 Denmark 1,404 1,363 Finland 426 419 Baltics 682 667 Logistics 265 255 Atea Global Services 499 452 Atea ASA 10 10 AppXite 49 44 Atea Group 7,658 7,337
Slide 19: Financial performance actual – Segment
Financial performance actual – Segment NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Norway 2,241.9 2,306.5 2,199.9 2,680.0 2,248.5 2,377.6 2,193.1 3,053.2 Sweden 3,526.9 4,575.7 3,192.2 5,099.3 3,887.1 4,738.7 3,467.6 5,076.0 Denmark 1,822.0 2,581.9 1,705.4 2,563.7 2,508.9 2,853.6
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 Q2 21 Q3 21 Q4 21 Norway 2,241.9 2,306.5 2,199.9 2,680.0 2,248.5 2,377.6 2,193.1 3,053.2 Sweden 3,526.9 4,575.7 3,192.2 5,099.3 3,887.1 4,738.7 3,467.6 5,076.0 Denmark 1,822.0 2,581.9 1,705.4 2,563.7 2,508.9 2,853
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 Q2 21 Q3 21 Q4 21 Hardware revenue 4,510.1 4,716.1 4,544.0 5,953.8 5,269.8 4,821.3 4,758.9 5,820.3 Software revenue 2,767.5 4,079.0 2,047.2 3,666.4 2,915.6 4,321.2 2,077.5 3,868.4 Products revenue 7,277.6 8,79
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 Q2 21 Q3 21 Q4 21 Hardware revenue 1,154.7 1,188.2 1,223.0 1,493.6 1,142.1 1,204.0 1,138.2 1,454.3 Software revenue 515.4 563.7 502.7 591.0 542.2 622.5 535.3 993.8 Products revenue 1,670.1 1,751.9 1,725.7 2,0
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 Q2 21 Q3 21 Q4 21 Hardware revenue 651.1 623.8 608.9 906.6 1,169.9 840.3 721.7 900.3 Software revenue 363.0 858.4 301.0 524.4 344.9 945.2 262.5 552.2 Products revenue 1,014.1 1,482.1 909.9 1,431.0 1,514.7 1,
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 Q2 21 Q3 21 Q4 21 Hardware revenue 911.1 922.8 872.6 1,308.7 1,614.5 1,136.2 1,006.2 1,206.8 Software revenue 508.0 1,249.0 430.2 757.9 475.9 1,289.4 369.8 741.3 Products revenue 1,419.0 2,171.8 1,302.8 2,06
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 Q2 21 Q3 21 Q4 21 Hardware revenue 1,813.1 1,867.6 1,760.7 2,182.1 1,801.1 1,855.9 1,934.1 2,380.0 Software revenue 1,119.9 1,893.1 759.2 1,949.5 1,340.0 2,187.0 886.2 1,888.2 Products revenue 2,932.9 3,760.7
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 Q2 21 Q3 21 Q4 21 Hardware revenue 1,775.7 1,929.6 1,814.4 2,276.8 1,827.2 1,847.3 1,958.5 2,353.2 Software revenue 1,096.8 1,936.4 793.3 2,025.0 1,359.5 2,184.5 902.4 1,867.1 Products revenue 2,872.5 3,866.0
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 Q2 21 Q3 21 Q4 21 Hardware revenue 45.3 42.9 42.5 51.0 47.4 46.3 43.9 50.2 Software revenue 60.2 27.1 27.7 23.9 50.8 19.9 23.8 21.1 Products revenue 105.5 70.0 70.1 74.9 98.2 66.2 67.7 71.3 Total services re
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 Q2 21 Q3 21 Q4 21 Hardware revenue 473.5 473.6 453.2 548.0 486.1 466.6 453.3 501.0 Software revenue 629.9 308.1 294.4 257.8 521.8 198.2 247.3 208.6 Products revenue 1,103.4 781.6 747.6 805.8 1,007.8 664.9 70
Slide 29: Income statement actual – Baltic (EUR million)
Income statement actual – Baltic (EUR million) EUR in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Hardware revenue 16.5 16.1 15.2 27.4 15.8 17.5 19.0 29.7 Software revenue 7.2 2.3 2.8 4.5 4.9 2.6 2.4 4.8 Products revenue 23.7 18.4 18.0 31.8 20.7 20.1 21.4 34.5 Total services revenue 8.3
Slide 30: Income statement actual – Baltic (NOK million)
Income statement actual – Baltic (NOK million) NOK in million Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Hardware revenue 172.5 177.7 162.5 294.1 162.3 176.2 196.0 298.5 Software revenue 75.2 26.7 29.8 48.0 50.4 26.2 24.7 48.2 Products revenue 247.7 204.4 192.3 342.1 212.6 202.4 220.7 346.7 Tot
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 Q2 21 Q3 21 Q4 21 Hardware revenue 1,589.0 1,682.5 1,636.5 1,839.0 1,569.2 1,381.2 1,747.4 2,009.1 Software revenue 5.2 6.7 11.6 10.4 10.1 11.9 13.5 26.7 Products revenue 1,594.2 1,689.2 1,648.