Q.beyond Ag · XETR:QBY0
Q.beyond — QSC — H1 2018 Earnings Presentation
17 slides from Q.beyond's earnings presentation, Aug 6, 2018
Slide 1: The Digitiser to the German SME Sector
Cologne, 6 August 2018 — Financial results for H1 2018 THE DIGITISER TO THE GERMAN SME SECTOR QSC AG
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements based on management estimates and reflects the current views of QSC AG’s (“QSC’s”) management board with respect to future events. These forward-looking statements correspond to the situation at the time this presentation was prepared.
Slide 3: Financial Highlights H1 2018: Revenues up by 6%
Financial Highlights H1 2018: Revenues up by 6% Revenues increased by 6% to € 186.2 million Cloud revenues grew by 36% TC revenues up by 14% Profitability developed as expected; EBITDA came to € 18.2 million Net profit increased by 18% to € 1.3 million Successful increase in syndicated l
Slide 4: Operational Highlights H1 2018: Successful sales push
Operational Highlights H1 2018: Successful sales push New vertical organisation is up and running and leading to numerous sales successes Cloud Services won PEAC Germany (formerly IKB Leasing) as a new customer and will now build and run a multi-cloud solution for PEAC Germany Outsourcing exte
Slide 5: H1 2018: Higher revenues and higher profit
H1 2018: Higher revenues and higher profit Revenues driven by two segments: Cloud and TC Gross profit and EBITDA impacted by higher costs of revenues (as a result of the higher share of low-margin TC business with resellers) EBIT is benefiting from lower depreciation Sustainable net profit s
Slide 6: Profitability developed as expected
Profitability developed as expected QSC AG 6
Slide 7: Telecommunications: Double-digit growth of 14%
Telecommunications: Double-digit growth of 14% TC reseller business benefited from a favourable market environment and the highly efficent Next Generation Network (NGN) Continued moderate growth in business with corporate customers Change in revenue mix and increased sales activities have impa
Slide 8: Cloud: Business model starts to prove its scalability
Cloud: Business model starts to prove its scalability Higher interest in Cloud Services and IoT solutions led to revenue growth of 36% in H1 2018 Cost of revenues only increased by 15% to € 10.9 million; clear proof of the cloud business model’s scalability Strong increase in profitability: Se
Slide 9: Outsourcing: Revenues developed as expected
Outsourcing: Revenues developed as expected Revenues in Q2 2018 (€ 23.9 million) at the same level as in Q1 2018 (€ 23.7 million) Y-o-Y decrease mainly influenced by termination of one large contract in Q3 2017 In the course of H2 2018 and at the beginning of 2019, two further contracts will b
Slide 10: Consulting: Segment margin grew to 17% in H1 2018
Consulting: Segment margin grew to 17% in H1 2018 Revenues at a stable level of between € 9 and € 10 million per quarter (Q2 2018: € 9.4 million; Q1 2018: € 9.8 million) Skills shortage has an influence on SAP consulting, especially on S/4HANA business Ongoing optimisation of current staff uti
Slide 11: Moderate CAPEX in H1 2018
Moderate CAPEX in H1 2018 Completion of initial investments in cloud services has had positive effects on CAPEX this year Ongoing investments in modernisation of infrastructure and data services as well as customer projects QSC aims to invest around € 20 million in FY 2018 (same level as in 20
Slide 12: FCF showing strong increase in Q2 2018
FCF showing strong increase in Q2 2018 Q1 2018 was influenced by high prepayments for the full year as well as severance payments In Q2 2018, FCF benefited from positive development in operating business 2nd quarter 1st quarter QSC AG 12
Slide 13: Higher equity ratio and higher flexibility of financing
Higher equity ratio and higher flexibility of financing Equity ratio up by 2 percentage points compared to 31 Dec 2017 Increase in short-term debt caused by reclassification of first tranches of promissory note loan (€ 100 million), due in May 2019 Successful increase in syndi- cated loan volu
Slide 14: Forecast: Growing optimism about revenue development
Forecast: Growing optimism about revenue development Given the good first half of 2018, QSC is now expecting: Revenues to be at least at the upper end of the € 345—355 million range EBITDA of € 35—40 million Free cash flow > € 10 million QSC AG 14
Slide 15: Questions & Answers
Questions & Answers QSC AG
Slide 16: Contact
Contact QSC AG Arne Thull Head of Investor Relations T +49 221 669-8724 F +49 221 669-8009 invest@qsc.de www.qsc.de Twitter.com/QSCIRde Twitter.com/QSCIRen blog.qsc.de xing.com/companies/QSC AG slideshare.net/QSCAG QSC AG 16
Slide 17: QSC AG address
QSC AG Mathias-Brüggen-Str. 55 50829 QSCCologne, AG Germany