Slide 1: Copyright © 2025 Temenos
Copyright © 2025 Temenos 1
Slide 2: Financial Results and Business Update
Financial Results and Business Update Jean-Pierre Brulard, CEO Takis Spiliopoulos, CFO 22 April 2025 Quarter ended, 31 March 2025 Copyright © 2025 Temenos Copyright © 2025 Temenos 2
Slide 3: Disclaimer
Disclaimer Our presentation and this document may contain forward-looking statements relating to the future of the business and financial performance of Temenos AG. Any statements we make about our expectations, plans and prospects for the Company, including any guidance on the Company’s financial p
Slide 4: Non-IFRS information
Non-IFRS information In its presentation and in this document, the Company may present and discuss non-IFRS measures. Readers are cautioned that non-IFRS measures are subject to inherent limitations. Non-IFRS measures are not based on any comprehensive set of accounting rules or principles and shoul
Slide 5: Agenda
Agenda CEO update Operational and financial update Appendix 5 Copyright © 2025 Temenos 55
Slide 6: Q1-25 highlights
Q1-25 highlights Q1-25 proforma ARR of USD 741m, up 9% y-o-y c.c. Q1-25 proforma free cash flow of USD 49m, up 12% y-o-y Sales environment remained stable until last two weeks of the quarter, which saw some push out of deal signings given increased macroeconomic uncertainty; deals expected to be sig
Slide 7: Q1-25 deal wins and customer success
Q1-25 deal wins and customer success New customer Customer success wins • UK-based global payments • North American digital provider investment platform • SaaS core banking • SaaS core banking 70 go-lives in Q1-25 • Selected Temenos for efficient • Replacing neo vendor with up from 61 in Q1-24 scala
Slide 8: Strategic focus on US growth
Strategic focus on US growth Our growth levers and operational plan are designed to maximize our US footprint Temenos growth opportunities Accelerated investment in quota carriers Go To Market US SAM USD 8bn, 35% of Expand US partner network for GTM and services total market, with higher 3rd Party s
Slide 9: Launching of US innovation hub a key step in US expansion strategy
Launching of US innovation hub a key step in US expansion strategy US innovation hub opened in Florida Bringing product Planned recruitment Supporting US and technology of US based product innovation as well as in Q1-25 development closer and technology our global markets, to US clients developers c
Slide 10: Pursuing global opportunities in line with our strategic growth levers
Pursuing global opportunities in line with our strategic growth levers Strong existing footprint in MEA, Emerging Europe and parts of APAC; expanding in other attractive geographies Temenos growth opportunities Strong MEA Extensive client base in MEA, strong established International (excl. US) pres
Slide 11: Strategy execution update
Strategy execution update Progress Product & technology • Simplification of product and technology organization and investment portfolio underway to increase agility, aligned with strategic roadmap Go To Market • Continued investment in sales, services and partnerships across investment key regions
Slide 12: Agenda
Agenda CEO update Operational and financial update Appendix 12 Copyright © 2025 Temenos 1212
Slide 13: Q1-25 financial highlights
Q1-25 financial highlights Revenue and profit (proforma, non-IFRS, c.c.) Cash flow (proforma) • ARR of USD 741.4m, up 9% y-o-y • Free cash flow of USD 48.8m, up 12% • Subscription and SaaS down 2% in Q1-25 • DSOs at 147 days • Maintenance growth of 11% in Q1-25 • Total revenue growth of 4% in Q1-25
Slide 14: ARR and non-IFRS income statement – operating
ARR and non-IFRS income statement – operating Proforma (excluding Multifonds) Reported Q1-25 Q1-24 Y-o-Y Y-o-Y c.c. Q1-25 Q1-24 Y-o-Y Y-o-Y c.c. ARR (USDm) reported reported ARR 741.4 683.5 8% 9% 797.0 723.1 10% 10% Q1-25 Q1-24 Y-o-Y Y-o-Y c.c. Q1-25 Q1-24 Y-o-Y Y-o-Y c.c. Income statement (USDm) re
Slide 15: Like-for-like proforma revenues and costs
Like-for-like proforma revenues and costs • Q1-25 LFL non-IFRS revenues up 4% • Q1-25 LFL non-IFRS costs up 2% • Q1-25 LFL non-IFRS product revenues up 5% • Q1-25 LFL non-IFRS product costs up 3% LFL non-IFRS Services revenue LFL non-IFRS Services cost LFL non-IFRS Product costs LFL non-IFRS Product
Slide 16: Non-IFRS income statement – non-operating
Non-IFRS income statement – non-operating Proforma (excluding Multifonds) Reported Y-o-Y Y-o-Y In USDm, except EPS Q1-25 Q1-24 reported Q1-25 Q1-24 reported EBIT 69.5 63.9 9% 75.8 72.9 4% Net finance charge (1.8) (3.4) (48%) (1.8) (3.4) (48%) FX gain / (loss) (0.8) (1.9) (57%) (0.8) (1.9) (57%) Tax
Slide 17: Group liquidity (reported)
Group liquidity (reported) (4) USDm (20) 79 (27) 135 (7) 114 (717) (582) Cash on Operating Cash Tax Capex Net Proceeds / Interest, FX Cash on Borrowings Reported Net Debt Balance Sheet Repayment of & Leases Balance Sheet (31/12/24) Borrowings and (31/03/25) Investments Leverage at 1.3x at end of Q1-
Slide 18: Share buyback program of up to CHF 250m announced
Share buyback program of up to CHF 250m announced • New share buyback program of up to CHF 250m announced today, April 22, 2025 • Share buyback will commence on April 28, 2025 and last until December 30, 2025 at the latest • Shares will be repurchased on a secondary trading line and proposed to be c
Slide 19: Q2-25 indicative growth rates and FY-25 guidance
Q2-25 indicative growth rates and FY-25 guidance (non-IFRS, c.c., proforma) • Q2-25 indicative growth rates for non-IFRS subscription and SaaS growth of 6-10% and ARR growth of at least 10%, excluding any contribution from Multifonds • FY-25 guidance reconfirmed, while recognizing increased macroeco
Slide 20: Agenda
Agenda CEO update Operational and financial update Appendix 20 Copyright © 2025 Temenos 2020
Slide 21: FX and other assumptions underlying FY-25 guidance
FX and other assumptions underlying FY-25 guidance In preparing the FY-25 guidance, the Company has assumed the following FX rates: EUR to USD exchange rate of 1.09 GBP to USD exchange rate of 1.30; and USD to CHF exchange rate of 0.86 The Company has also assumed the following for FY-25 guidance: •
Slide 22: FX exposure
FX exposure % of total USD EUR GBP CHF INR RON Other Total software licensing 70% 19% 2% 1% 0% 0% 7% Maintenance 78% 14% 2% 1% 0% 0% 5% Services 50% 29% 5% 7% 0% 0% 9% Revenues 71% 18% 2% 2% 0% 0% 6% Non-IFRS costs 31% 13% 10% 5% 17% 2% 22% Non-IFRS EBIT 147% 28% (13)% (4)% (32)% (3)% (23)% NB. All
Slide 23: Revenue line items and cloud ARR disclosure
Revenue line items and cloud ARR disclosure • Annual disclosure on cloud ARR introduced to provide transparency on growth in cloud adoption • Revenue disclosure updated to reflect changes in customer demand and industry best practice, with increasing use of hybrid and public cloud • Renaming ‘total
Slide 24: Quarterly proforma ARR and FCF
Quarterly proforma ARR and FCF ARR, USD m Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 ARR 683.5 703.7 721.4 749.5 741.4 FCF, USD m Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 FCF 43.5 60.6 22.5 96.6 48.8 Copyright © 2025 Temenos 24
Slide 25: Total software licensing revenue breakdown by geography
Total software licensing revenue breakdown by geography Q1-25 (proforma) 25% APAC 40% Europe MEA Americas 19% 16% Copyright © 2025 Temenos 25
Slide 26: DSOs
DSOs 160 152 153 146 147 140 136 133 134 120 100 80 60 40 20 0 Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Q4-24 Proforma Q1-25 Proforma DSOs at 153 at Q1-25 (Q1-25 proforma* DSOs at 147) Note: Proforma view excludes Multifonds revenue and receivables Copyright © 2025 Temenos 26
Slide 27: Balance sheet –leverage
Balance sheet –leverage Leverage ratios 2.0x 1.8x 1.5x 1.4x 1.4x 1.3x 1.3x 1.0x 0.5x 0.0x Q1-24 Q2-24 Q3-24 Q4-24 Q1-25 Note: Includes Multifonds EBITDA Copyright © 2025 Temenos 27
Slide 28: Capitalization of development costs
Capitalization of development costs USDm Q1-24 Q2-24 Q3-24 Q4-24 FY-24 Cap’ dev’ costs (19.3) (17.1) (17.4) (16.5) (70.3) Amortisation 14.8 14.3 16.1 14.8 60.0 Net cap’ dev’ (4.6) (2.7) (1.3) (1.7) (10.3) Proforma, USDm Q1-25 Q2-25 Q3-25 Q4-25 FY-25 Cap’ dev’ costs (15.4) Amortisation 13.1 Net cap’
Slide 29: Reconciliation from IFRS to non-IFRS
IFRS revenue measure + Deferred revenue write-down = Non-IFRS revenue measure Reconciliation IFRS profit measure from IFRS to +/- +/- Share-based payments and related social charges Deferred revenue write down non-IFRS +/- Discontinued activities +/- Gain/loss from business disposal +/- Amortisation
Slide 30: Accounting elements not included in non-IFRS guidance
Accounting elements not included in non-IFRS guidance Below are the accounting elements not included in the FY-25 non-IFRS guidance: FY-25 estimated share-based payments charge of c.5% of revenue FY-25 estimated amortisation of acquired intangibles of USD 45m FY-25 estimated restructuring / M&A rela
Slide 31: Earnings Reconciliation – IFRS to non-IFRS
Earnings Reconciliation – IFRS to non-IFRS 3 Months Ending 31 March 3 Months Ending 31 March In USDm, except EPS 2025 2025 2024 2024 IFRS Non-IFRS adj. Non-IFRS IFRS Non-IFRS adj. Non-IFRS Subscription and SaaS 80.2 80.2 84.0 84.0 Maintenance 120.9 120.9 112.7 112.7 Services 31.2 31.2 33.1 33.1 Tota
Slide 32: Net earnings reconciliation IFRS to non-IFRS
Net earnings reconciliation IFRS to non-IFRS In USDm, except EPS Q1-25 Q1-24 IFRS net earnings 29.0 32.3 Share-based payments 15.6 10.4 Amortisation of acquired intangibles 10.7 10.8 Restructuring / M&A related costs 9.5 5.3 Taxation (6.4) (5.1) Net earnings for non-IFRS EPS 58.4 53.8 No. of dilutiv
Slide 33: Non-IFRS definitions
Other Non-IFRS definitions Proforma (excluding Multifonds) Income statement line items and free cash flow adjusted to remove any contribution from Multifonds, with sale of Multifonds expected to close in Q2-25. Revenue visibility Visibility on revenue includes a combination of revenue that is contra
Slide 34: Thank you
Thank you temenos.com Copyright © 2025 Temenos 34