Atoss Software Se · XETR:AOF

Atoss Software — Q1 2023 Earnings Presentation

49 slides from Atoss Software's earnings presentation, April 2023

  1. Slide 1: Excellence in Workforce Management

    Excellence in Workforce Management ATOSS Software AG 1

  2. Slide 2: ATOSS – Leading in the field of Workforce Management

    ATOSS – Leading in the field of Workforce Management Highlights at a glance SDAX >30 years ~15,000 07/2021 Market experience Customers worldwide High visibility as from SMB to blue chips* stock corporation Customers in 11 ATOSS is first mover and innovator in the field of workforce 50+ 690+ Employee

  3. Slide 3: Market for Workforce Management

    Market for Workforce Management OBI | Retail 3 © ATOSS Software AG 2023

  4. Slide 4: Increasingly complex regulatory environment

    © ATOSS Software AG 2023 4 Increasingly complex regulatory environment Scarcity of resources and skilled staff Digitalization of labor world A shortage of workers have prompted investment in advanced scheduling and planning functions so existing workers are The application of artificial intelligence

  5. Slide 5: Workforce Management Market

    Workforce Management Market Market Studies* Growth Workforce Management Market − Ø annual growth rate cloud-based WFM-solutions: 14.29% CAGR (2020 – 2025) − Ø annual growth rate of on premises WFM-solutions: 5.98% CAGR (2020 – 2025) Market segmentation by deployment On-premise Market size ($ million

  6. Slide 6: Business Model

    Business Model Universitätsklinikum Frankfurt | Healthcare & Services 6 © ATOSS Software AG 2023

  7. Slide 7: Workforce Management in a Nutshell

    Workforce Management in a Nutshell Efficiency via Highly Flexible Staff Deployment Employee engagement Workforce Qualification Scheduling Management ATOSS helps companies to have ... …the right employee Time & …with the right qualification Attendance …at the right place …at the right time Absence Ma

  8. Slide 8: Highly flexible, demand-optimized workforce scheduling

    Highly flexible, demand-optimized workforce scheduling Digital Workforce Management Current situation Goal Fluctuation in demand Demand and cost-optimized synchronization of working time and Little flexibility and long response times order volume OPTIMIZATION POTENTIAL AFTER OPTIMIZATION Staff hours

  9. Slide 9: ATOSS Product Portfolio

    ATOSS Product Portfolio As full-range provider, we offer solutions for every requirement Call Center Solution Services Solution Logistics Solution Manufacturing Solution Medical Solution > 10.000 Employees Retail Solution ATOSS > 1.000 Staff Efficiency Suite Employees Complexity of requirements > 50

  10. Slide 10: Financials & KPI's – FY 2022

    Financials & KPI’s – FY 2022 STIHL | Manufacturing 10 © ATOSS Software AG 2023

  11. Slide 11: ATOSS – 17th Record Year in Succession

    ATOSS – 17th Record Year in Succession Running like Clockwork Total Revenuein EUR mill. Softwarein EUR mill. 113.9 +14% 97.1 +17% 78.4 86.1 +16%* 66.0 +19% 71.4 56.0 +7%* 62.6 49.5 54.6 +8%* 46.5 44.9 39.4 35.5 39.7 30.2 34.6 22.0 24.4 26.9 29.1 29.3 31.6 33.0 18.8 20.1 21.8 23.9 27.0 12.9 14.6 16.0

  12. Slide 12: ATOSS Cloud Strategy and Software Revenues

    ATOSS Cloud Strategy and Software Revenues Excellentfoundation for further success Cloud MRR: Quarterly development in EUR mill. ARR Total (Cloud + Maintenance) in EUR mill. +16% +41% +11% ARR Maintenance +13% +20% ARR Cloud +29% 74.8 +15% 3.4 +11% 3.1 +23% +13% 2.7 +21% 53.1 33.8 2.4 +75% 2.0 41.0

  13. Slide 13: ATOSS Cloud development by products

    ATOSS Cloud development by products FY 2022 Cloud ARR 1 Cloud KPIs New customer ARR in EUR mill. by product, in % +74% Net Retention Rate 2): New Customer ARR 3): 41.0 22% ASES 135% 24% 23.5 75% 11% ATC 110% 35% 74% 67% 17% Crewmeister 92% 40% 18% 9% 8% 2021 2022 Total 127% 27% ASES ATC Crewmeister

  14. Slide 14: Financials & KPI's – Q1 2023

    Financials & KPI’s – Q1 2023 Landeshauptstadt München | Public & Social Services 14 © ATOSS Software AG 2023

  15. Slide 15: Top Key Figures Q1 2023

    Top Key Figures Q1 2023 Software Revenuein EUR mill. Total Revenuein EUR mill. EBIT in EUR mill. Software +3 9% EBIT Margin +93 % Recurring Revenue +47% CSS Non Recurring Revenue HW & Others 36.2 11.6 25.2 +13 % 4.7 +16% +3 0% +11% 26.0 +17% +21% 17.0 23.0 25.2 -2% +17% 15.4 (70%) +9% 2.0 19.8 +11%

  16. Slide 16: Cloud MRR & ARR (Cloud + Maintenance) Development

    Cloud MRR & ARR (Cloud + Maintenance) Development Q1 2023 Cloud MRR: Quarterly development in EUR mill. +18% +11% +16% 4.0 +13% +20% 3.4 +15% 3.1 +13% +11% 2.7 +72% 2.4 2.0 1.5 1.7 1.4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2021 2022 2023 ARR Total (Cloud + Maintenance) in EUR mill. ARR Wartung +40% ARR Cloud +

  17. Slide 17: ATOSS Cloud development by products

    ATOSS Cloud development by products Q1 2023 Cloud ARR1 Cloud KPIs New customer ARR5 in EUR mill. in % by product, in % ASES ATC Crewmeister ASES ATC Crewmeister Net Retention Rate2 New Customer ARR3 +78% 47.6 ASES 126% 27% 21% 76% ATC 109% 33% 26.8 13% 67% 73% Crew- 94% 43% meister 17% 19% Total 121

  18. Slide 18: Growth Strategy

    Growth Strategy WISAG | Service Industry 18 © ATOSS Software AG 2023

  19. Slide 19: ATOSS Cloud Transformation

    ATOSS Cloud Transformation Growth leading the way for increased Recurring Revenue (Model Projectory) Revenue in EUR mill. and growth in % (YOY) ~190 +19% Non Recurring Recurring ~160 +17% ~135 +13% 113.9 +21% 97.1 +14% 86.1 +15% +10% 71.4 +10% 62.6 71% 54.6 44.9 49.5 66% 64% 58% 46% 50% 42% 45% 38%

  20. Slide 20: ATOSS Cloud Transformation

    ATOSS Cloud Transformation Growth Leading the way for increased Recurring Revenue (Model Projectory) Software revenue in EUR mill. and growth in % (YOY) ~146 +23% 8% ~118 19% 10% ~97 +19% 12% 25% +18% 78.4 +20% 66.0 16% 33% +18% +14% 56.0 +15% 26% 73% +12% 46.5 40% 39.4 29% 34.6 31% 65% 27.0 30.2 34

  21. Slide 21: Internationalization strategy

    Internationalization strategy ATOSS solutions o perating worldwide Increased International Revenue Share non-DACH ATOSS Solutions currently in 50+ countries: multilingual solutions, 11 software languages ATOSS Strategy • Expand regional sales & service hubs • Expansion of international partner netwo

  22. Slide 22: ATOSS Internationalization

    ATOSS Internationalization Supporting overall growth strategy with expansion in non DACH countries Total revenue (Projections, in EUR mill.) Allocation of revenue shares (Projections) Non DACH Non DACH 10% 5% ~ 190 190 m 113.9 m +13 -17% ~ 160 95% 90% DACH* DACH ~ 13 5 2025 2022 113 .9 *thereof Aust

  23. Slide 23: ATOSS Full Range Strategy

    ATOSS Full Range Strategy Crewmeister continues successful development Highlights Key metrics Outlook 2025 • Positive impact by BAG decision • Av. Customer Acquisition costs (CAC*): 290 EUR • Positive EBIT • New product features developed • Av. Customer Lifetime Value (CLTV**): 1,331 EUR • ~18.500 C

  24. Slide 24: ATOSS – Growth Projections 2023 – 2025

    ATOSS – Growth Projections 2023 – 2025 Strong Growth and Margins while building Recurring Revenue Guidance 2023 Projections 2023 - 2025 Total Revenue Total Revenue Growth Increasing Share of Recurring Revenue 135 EUR Mill. CAGR 19% ≥ 70% Software Revenue EBIT Margin from EBIT Margin Growth ≥27% CAGR

  25. Slide 25: Thank You for Your Attention!

    Thank You for Your Attention!

  26. Slide 26: Sustainability at ATOSS

    Sustainability at ATOSS It‘s our vision to create a working world, in which everyone benefits Christof Leiber CFO, ATOSS 26 © ATOSS Software AG 2023

  27. Slide 27: Sustainability at ATOSS – pillars

    Sustainability at ATOSS Our sustainability pillars Customer and society • Data protection and data security • Customer satisfaction • Social and cultural activities Employees at ATOSS • Recruitment and retention • Continuous training and learning • Health promotion and recreation • Diversity 27 © AT

  28. Slide 28: Sustainability at ATOSS – pillars

    Sustainability at ATOSS Our sustainability pillars Integrity and compliance • Prevention of discrimination, corruption, bribery, respect for human rights • Compliance Management System – acting in accordance with all laws, social guidelines and values Environmental protection • Energy & CO2 reductio

  29. Slide 29: Sustainability at ATOSS – goals (1/2)

    Sustainability at ATOSS Our goals (1/2) Customer and society Employees at ATOSS Customers Employee Experience Goals for 2025: Goals by 2023: • Recurring revenue: >70% • Employee Engagement Index: >80% • Revenue CAGR: 19% • Introduction of new HR-KPI‘s: • Grow Customer Number: 20,000+ • Leadership In

  30. Slide 30: Sustainability at ATOSS – goals (2/2)

    Sustainability at ATOSS Our goals (2/2) Integrity and Compliance Environmental protection Integrity and Compliance CO2 footprint • Compliance training: 100% success rate Goals by 2023: • Continuing to raise awareness of compliance and • Establishment of an environmental task force security issues •

  31. Slide 31: Employees at ATOSS

    Employees at ATOSS Working with Passion & Purpose “The team is the key to „We live diversity and promote sustainable success” equal opportunities and inclusion” • Intensive and structured onboarding • Member of “Charta der Vielfalt” • Detailed career model • Employees from around 40 countries • Work

  32. Slide 32: Additional Attachments

    . Ue Additional Attachments _ a | 5 ; ATOSS

  33. Slide 33: HCM Trends

    HCM Trends Time & Attendance Qualification Forecasting Management & Scheduling Compensation Payroll and Benefits Management HR Performance Management Management Self Service Onboarding Management HR Analytics Recruiting Management HCM Feedback Offboarding Match of employees Employee Hybrid Working E

  34. Slide 34: Workforce Management – without ATOSS

    Workforce Management – without ATOSS Production Capacity Time Time Forecasting Scheduling Payroll planning planning recording evaluation Working models Absences Wishes Adhoc Plan Upskilling needs Recruitment needs 34 © ATOSS Software AG 2023

  35. Slide 35: Workforce Management – without ATOSS

    Workforce Management – without ATOSS Production Capacity Time Time Forecasting Scheduling Payroll planning planning recording evaluation Working models Absences Wishes Adhoc Plan Upskilling needs Recruitment needs Self Services (Desktop/ Mobile) Notifications Compliance Monitoring HR Reporting/ Anal

  36. Slide 36: Data value – with ATOSS

    Data value – with ATOSS Employee Experience Efficiency Transparency Flexibility Compliance Time and Data-driven Attendance Scheduling One Platform Interfaces Cloud | On Premises Micro Services 36

  37. Slide 37: Gartner WFM cloud and automation forecasts

    By 2025, 60% of global By 2023, at least 99% of midmarket and large new WFM application enterprises will have sales will leverage cloud- invested in a cloud- based deployment deployed HCM suite for models. administrative HR & talent management. By 2025, 50% of large By 2025, 80% of large enterprises

  38. Slide 38: The ATOSS Share

    The ATOSS Share Dividend Policy EPS* per 31. December in EUR Dividend* in EUR 2.43 2.44 Special Dividend 2.83 Dividend 2.23 1.00 1.70 2.00 1.81 1.82 1.41 1.67 1.17 1.18 1.40 1.30 1.28 0.96 0.89 1.45 0.72 0.73 0.93 1.83 0.58 0.59 0.38 0.44 0.30 0.36 0.36 0.70 0.36 0.48 2011 2012 2013 2014 2015 2016 2

  39. Slide 39: The ATOSS Share

    The ATOSS Share Share price performance* (01/2020 – 04/24/2023) 19 Jan 21: Preliminary FY 20 results 31 Jan 22: 31 Jan 23: Total rev. growth: +21% Preliminary FY 21 results Preliminary FY 22 results Software growth: +20% Total rev. growth: +13% Total rev. growth: +17% (Share price in EUR) Recurring

  40. Slide 40: ATOSS Stock

    ATOSS Stock High Performer in European Software and HCM Stocks since COVID Share price performance* (01/2020 – 04/24/2023) 139% 64% 18% 10% 9% 1% -4% -31% -51% -60% ATOSS Paylocity Workday Nemetschek SDAX SAP Software SimCorp Teamviewer Invision HCM Saas European Software * ATOSS, Nemetschek, Softwa

  41. Slide 41: Financial KPIs

    Financial KPIs Financial strength excellent base for further growth Net Income EUR mill. EUR Dividend per share EUR EPS N e t income Margin Special Highlights Regular + 1 6% + 1 6% • Strong EPS 19.3 19.4 2.43 2.44 2.00 Performance: EPS 17.7 2.23 continuously increased 13.5 1.70 1.30 11.2 1.41 • Mark

  42. Slide 42: Benchmark for Customer Satisfaction and Stability

    Benchmark for Customer Satisfaction and Stability Receivables in EUR mill. Collection period in days* 11.9 10.6 34 8.9 30 31 31 28 7.7 6.3 2018 2019 2020 2021 2022 2018 2019 2020 2021 2022 • Low volume of receivables and short collection Value adjustments in kEUR 3 53 periods reflect good customer r

  43. Slide 43: On Premise vs. Cloud Model

    On Premise vs. Cloud Model Revenue/Paymentscheme Cloud vs. On Premise Cloud vs. On Premise (accumulated) 120 250 Revenue break even 100 200 80 150 60 120 250 100 200 200 40 180 140 150 160 50 50 50 50 50 120 50 100 20 20 20 20 20 50 0 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 1 Year 2 Year 3 Year 4

  44. Slide 44: Financial Investments Development

    Financial Investments Development Invested Capital 2022: in KEUR Invested Capital Q1 2023: in KEUR 4,272 Inv. Funds 24,932 Gold 93 US-Dollar/CHF -684 139 -677 -303 14,180 14,180 14,319 90 30 -13,453 20,219 5,055 5,085 5,055 Total Return Total Return on Invested Capital on Invested in 2022: 2,957 Cap

  45. Slide 45: Cloud Transformation – Technical Approach

    Cloud Transformation – Technical Approach C1 Sunset! Manage Risk C2 Zero Downtime! CI/CD Micro/Macro Services C3 Feature Branches! C4 Service Architecture! Containerization DevOps C5 ATOSS World! 45 © ATOSS Software AG 2023

  46. Slide 46: Comprehensive Workforce Management steps for success

    Comprehensive Workforce Management 6 steps for success Workforce Personnel Capacity Workforce Real-time Time and forecasting Structure planning scheduling monitoring attendance optimization and updates management STRATEGIC STRATEGIC TACTICAL OPERATIONAL OPERATIONAL OPERATIONAL TACTICAL LONG-TERM MED

  47. Slide 47: Effects generated from ATOSS Projects

    Effects generated from ATOSS Projects Cross-industry -15% -22% -60% Personnel costs with the Balance-sheet Residual leave same number of staff provisions -70% -82% +5% Planning input Overtime Conversion rate +11% Revenue 47 © ATOSS Software AG 2023

  48. Slide 48: ATOSS Sales by Segment

    ATOSS Sales by Segment* Logistics 9% Retail Retail-Fashion other 22% 10% 11% Healthcare & Social Services 15% 90% 29% Retail - Food, DIY, etc. 14% Production Services The five largest customers account for approx. 7 percent of company‘s sales. * FY 2022/revenues 48 © ATOSS Software AG 2023

  49. Slide 49: Disclaimer

    Disclaimer This presentation contains forward-looking statements based on the beliefs of ATOSS Software AG. Such statements reflect current views of ATOSS Software AG with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those p

ATOSS Software — Q1 2023 Earnings Presentation on 6ix