Slide 1: Etteplan Q3 2023: Forward in an uncertain market situation
Etteplan Q3 2023: Juha Näkki President and CEO Forward in an October 31, 2023 uncertain market Espoo, Finland situation
Slide 2: Contents of the Q3 2023 presentation
Contents of the Q3 2023 presentation • Operating environment • Highlights • Financial development • Service areas • Etteplan’s targets • Q&A Public 2
Slide 3: Operating environment in Q3 2023
Operating environment in Q3 2023 Development in main markets: • Russian aggression against Ukraine Customers’ declining delivery volumes continued. weakened demand in Europe. Growing • Conflict in the Middle East has further geopolitical tensions and increased elevated geopolitical tensions and unce
Slide 4: Highlights Q3 2023
Highlights Q3 2023 + Operating cash flow improved and was at a good level despite weaker market conditions. + Software and Embedded Solutions service area’s profitability improved to a good level. + Product development activity showed slight signs of recovery, and some investment projects were start
Slide 5: Revenue and operating profit (EBITA)
Revenue and operating profit (EBITA) 80.3 80.0 7.1 6.3 -0.4% -10.6% At comparable exchange rates +2.1% Engineering Solutions Software and Embedded Solutions Technical Communication Solutions Public 5
Slide 6: Revenue and personnel
Revenue and personnel Public 6
Slide 7: Revenue by customer segment
Revenue by customer segment 1-9/2023 Public 7
Slide 8: Financial development Q3 2023
Financial development Q3 2023 Public 8
Slide 9: Key Figures
Key Figures Mé 7-9/2023 7-9/2022 Change % 1-9/2023 1-9/2022 Change % ——1-12/2022 Revenue 80.0 80.3 0.4 264.8 259.1 22 350.2 Revenue from outside Finland 40.2 39.7 1.2 129.1 124.9 3.4 169.1 Operating profit (EBITA) 63 71 10.6 213 24.2 11.8 33.9 EBITA, % 7.9 8.8 8.1 9.3 97 Operating profit (EBIT) 5.0
Slide 10: Revenue
Revenue Q3 2023 80.0 M€ (80.3) -0.4% At comparable exchange rates +2.1% Organic -4.1% At comparable exchange rates -1.6% 1-9 2023 264.8 M€ (259.1) +2.2% At comparable exchange rates +4.4% Organic +0.5% At comparable exchange rates +2.7% Customers’ declining delivery volumes weakened demand. Uncertai
Slide 11: EBITA
EBITA Q3 2023 6.3 M€, 7.9% (7.1 M€, 8.8%) -10.6% Non-recurring -0.2 M€ (-0.7) 1-9 2023 21.3 M€, 8.1% (24.2 M€, 9.3%) -11.8% Non-recurring -1.5 M€ (-1.3) The combined effect of non-recurring items was EUR -0.2 (-0.7) million in July- September and EUR -1.5 (-1.3) million in January-September. Operati
Slide 12: EBIT
EBIT Q3 2023 5.0 M€, 6.2% (5.8 M€, 7.2%) -13.9% Non-recurring -0.2 M€ (-0.7) Amortization related to acquisitions 1.4 M€ (1.3) 1-9 2023 17.3 M€, 6.5% (20.2 M€, 7.8%) -14.2% Non-recurring -1.5 M€ (-1.3) Amortization related to acquisitions 4.0 M€ (4.0) Public 12
Slide 13: Earnings per share and dividend
Earnings per share and dividend Earnings per share Q3 2023: 0.10€ (-0.03) +487.0% Q4 0.26 1-9 2023: 0.43€ (0.43) +0.0% Q4 0.3 The rise in interest rates had an impact on financing costs and earnings per share. In 2022, Semcon bid had a significant negative impact on financing items and, consequently
Slide 14: Cash flow
Cash flow Operating cash flow Q3 2023: 7.1 M€ (4.1) 1-9 2023: 23.0 M€ (17.1) Operating cash flow improved and was at a good level. Cash flow accrues unevenly over the four quarters of the year due to periodic fluctuation in business. Public 14
Slide 15: Personnel
Personnel At the end of the period 4,010 (3,979) +0,8% Average 3,954 (3,932) Compared to the end of September 2022, the number of personnel increased as a result of acquisitions by 0,8%. At the end of the review period, 2,025 (September 30, 2022: 1,966) people were employed by the Group outside of F
Slide 16: Service areas Q3 2023
Service areas Q3 2023 Public 16
Slide 17: Engineering Solutions
Engineering Solutions Q3 2023 Revenue 45.1 M€ (41.9) +7.6% Revenue from Managed Services 67% (66%) EBITA 3.9 M€, 8.6% (4.3 M€, 10.3%) 1-9 2023 Revenue 147.8 M€ (134.8) +9.7% EBITA 14.1 M€, 9.5% (14.1 M€, 10.5%) Personnel 2,244 (2,124) at the end of the period The demand for customers’ delivery relat
Slide 18: Software and Embedded Solutions
Software and Embedded Solutions Q3 2023 Revenue 19.2 M€ (22.0) -12,5% Revenue from Managed Services 56% (53%) EBITA 2.0 M€, 10.4% (2.2 M€, 9.9%) 1-9 2023 Revenue 64.3 M€ (71.7) -10.3% EBITA 4.8 M€, 7.4% (6.4 M€, 8.9%) Personnel 741 (815) at the end of the period The market situation remained challen
Slide 19: Technical Communication Solutions
Technical Communication Solutions Q3 2023 Revenue 15.5 M€ (16.3) -5.0% Revenue from Managed Services 91% (91%) EBITA 0.7 M€, 4.5% (1.3 M€, 8.1%) 1-9 2023 Revenue 52.1 M€ (52.1) +0.0% EBITA 3.3 M€, 6.3% (4.7 M€, 9.0%) Personnel 862 (894) at the end of the period Demand situation weakened, as our cust
Slide 20: Financial guidance for 2023 and Etteplan's targets
Financial guidance for 2023 and Etteplan’s targets Public 20
Slide 21: Financial guidance 2023 and market outlook
Financial guidance 2023 Market outlook The most important factor affecting Etteplan’s Etteplan updated and specified its business is the global development of the machinery and metal industry. Continued financial guidance for revenue and Russian aggression against Ukraine and the operating profit (E
Slide 22: Financial targets 2023-2024
Financial targets 2023-2024 Revenue 55% 75% >10% >EUR 500 Revenue Managed Operating million outside Services share profit Finland of Revenue (EBITA) Rolling 12 months: EUR 356 million 1-9/2023: 49% 1-9/2023: 68% 1-9/2023: 8.1% Public 22
Slide 23: Questions?
Questions? » ») BE s Etteplan Public
Slide 24: Revenue and EBIT 2000-Q3/2023
Revenue and EBIT 2000-Q3/2023 Public 24
Slide 25: Investor relations contacts
Investor relations contacts Outi Torniainen Juha Näkki SVP, Marketing and President and CEO Communications Tel. +358 10 307 2077 Tel. +358 10 307 3302 Helena Kukkonen CFO Tel. +358 10 307 2003 Public 25
Slide 26: Public
x Etteplan Public