Wolters Kluwer N.v. · EURONEXT:WKL
Wolters Kluwer — Investor Day (June 2013)
44 slides from Wolters Kluwer's investor day presentation, Jun 3, 2013
Slide 1: Wolters Kluwer Corporate Legal Services Investor Seminar
Wolters Kluwer Corporate Legal Services Investor Seminar June 3, 2013 | London
Slide 2: Forward-looking Statements
Forward-looking Statements This presentation contains forward-looking statements. These statements may be identified by words such as "expect", "should", "could", "shall", and similar expressions. Wolters Kluwer cautions that such forward-looking statements are qualified by certain risks and uncerta
Slide 3: Welcome
Welcome Richard Flynn Group President and CEO Wolters Kluwer Corporate Legal Services Sandeep Sacheti Vice President, Customer Insights & Operational Excellence Wolters Kluwer Corporate Legal Services Investor Seminar, 3 June 2013 3
Slide 4: Agenda
Agenda Richard Flynn: ► CLS in Context of Wolters Kluwer ► Overview of Corporate Legal Services ► Legal Dynamics and CLS Growth Strategy Sandeep Sacheti: ► Harnessing the Power of Big Data Q&A Investor Seminar, 3 June 2013 4
Slide 5: Wolters Kluwer Portfolio
Wolters Kluwer Portfolio Corporate Legal Services Contributes 12% of Revenue Wolters Kluwer FY2012 Revenues €3,603 million Financial & Compliance Svcs Legal & Regulatory 11% €1,491 million 29% (41%) Health 21% 12% Tax & Accounting Corporate Legal Services (CLS) 27% €424 million Investor Seminar, 3 J
Slide 6: Wolters Kluwer Strategy
Wolters Kluwer Strategy Our Strategy Aims to Accelerate Profitable Growth Focus the majority of our investments on high-growth segments where we have achieved market leadership Invest in products and services to deliver the tailored solutions and insights our professional customers need to make crit
Slide 7: Leading, High-Growth Positions
Leading, High-Growth Positions Corporate Legal Services: Key Growth Area 2012 organic growth of units indicated % of Division Finance and Audit, +9% Financial & Compliance 49% Risk & Compliance1) Health 38% Clinical Solutions >10% Tax & Accounting 56% Tax & Accounting Software +4% Legal & Regulatory
Slide 8: Overview of Corporate Legal Services
Overview of Corporate Legal Services Investor Seminar, 3 June 2013 8
Slide 9: Corporate Legal Services Group Portfolio Overview
Corporate Legal Services Group Portfolio Overview Corporate Legal Services Group 2012 ∆CC ∆OG Revenue (€ million) €424 13% 6% Legal Compliance Lien Brand Legal Spend Management Management Management Management Helps businesses and Helps investors and Identifies which brands Provides insights and ent
Slide 10: A Rich History of Leadership
Corporate Legal Services History A Rich History of Leadership 1892 1970 1992 1999 2005 2011 Corporation CT begins CT introduces CLS acquires CLS bolsters CLS acquires Trust Company providing a CTAdvantage, several UCC position in NRAI to of New Jersey computerized software that businesses to legal e
Slide 11: Strong Market Leadership
Market Overview Strong Market Leadership Legal Compliance Lien Brand Legal Spend Management Management Management Management Market #1 Registered #1 in UCC Search #2 Trademark #1 Legal e-Billing Position Agent & Filing Research Software CT Corporation Leading TyMetrix CT Lien Solutions Corsearch Bra
Slide 12: Strong Revenue Growth
Strong Revenue Growth Organic Growth Momentum CLS Revenues (€ million) 424 337 347 312 315 2008 2009 2010 2011 2012 Organic Growth Total CLS Revenue -3% -4% +4% +6% +6% Transactional Revenue -10% -11% +12% +12% +9% Ordinary EBITA Margins Above Wolters Kluwer Average RC: reporting currencies; CC: con
Slide 13: Revenue Drivers & Profile
Revenue Drivers & Profile Economic Resilience; Substantial Recurring Revenues; International Expansion Opportunity Demand Drivers Revenue Profile Economic Activity 2012 Revenue by Type Business Formation & Expansion Mergers & Acquisitions Commercial Lending Transaction 43% Recurring New Prod
Slide 14: Competitive Advantage
Competitive Advantage Difficult-to-Replicate Value Bundle Subject-matter authority Personalized service Deeply embedded in “mission-critical” customer workflows Long-standing customer relationships Investor Seminar, 3 June 2013 14
Slide 15: CT Corporation
CT Corporation Helping Businesses Maintain Good Standing Customer Need CLS Solution Consumer goods 1 U.S. law firm uses CT 2 CT Corporation files manufacturer (Company) Corporation to register required government would like to enter U.S. the company with forms and forwards market Secretary of Stat
Slide 16: CT Lien Solutions
CT Lien Solutions Mitigating Risk in Secured Lending and M&A Deals Customer Need CLS Solution U.S. bank (Lender) 1 Lender uses CT Lien 2 Lender files an original wants to extend a $50 Solutions to search financing statement million loan to a large state/county records to (UCC-1) to secure its food
Slide 17: Corsearch
Corsearch Clearing and Protecting Brands Globally Customer Need CLS Solution Large Toy Manufacturer 1 The company leverages 2 Corsearch performs is planning a new Corsearch Screening to more comprehensive product launch and perform a quick, searches in targeted wants to make sure the online search
Slide 18: TyMetrix
TyMetrix Driving Legal Market Efficiency Globally Customer Need CLS Solution U.K.-based 1 The company 2 The company 3 The company entertainment implements uses its new leverages legal company wants to TyMetrix T360 to found insight to analytics only work with law capture and gain reduce its law be
Slide 19: Connecting the Legal Community
Connecting the Legal Community Where Legal Compliance, Business and Law Intersect Empower corporations to better Provide solutions and insights that help leverage outside counsel support for legal and financial professionals make litigation, large-scale deals, other Corporation better decisions, com
Slide 20: Legal Dynamics and CLS Growth Strategy
Legal Dynamics and CLS Growth Strategy Investor Seminar, 3 June 2013 20
Slide 21: Legal Services Market Dynamics
Legal Services Market Dynamics Market Disruption Q. Which of the following legal market trends do you think are temporary and which will be permanent? 2009 2011 2013 YES – PERMANENT TREND Response Response Response More price competition 42.4% 89.6% 95.6% More non-hourly billing 27.9% 74.9% 79.5% Mo
Slide 22: Legal Services Market Dynamics
Legal Services Market Dynamics Unprecedented Opportunities for Service Providers Global Corporate Legal Services Market High-Level Legal Work Mid-Level Legal Work Low-Level Legal Work Investor Seminar, 3 June 2013 22
Slide 23: Legal Services Market Dynamics
Legal Services Market Dynamics Unprecedented Opportunities for Service Providers Global Corporate Legal Services Market Law Firms High-Level Service Providers Legal Work Mid-Level Legal Work Low-Level Regulatory Technology Cost Legal Work Globalization/ Changes Evolution Pressures Outsourcing Invest
Slide 24: CLS Growth Strategy
CLS Growth Strategy Grow Leadership Positions & Enter New Markets Protect and Grow the Core Grow Share of Wallet Drive Operational Efficiencies Expand Into High-Growth Markets Extend into Product Adjacencies Expand Internationally (EMEA) Innovate Using Big Data Develop Segment-Specific Str
Slide 25: Drive Operational Efficiencies: Mission Critical Service of Process
Drive Operational Efficiencies Mission Critical: Service of Process Large Scale Operation Service of Process (SOP): delivery of a writ, summons, or other legal papers to the person required to respond to them1 CT Corporation receives and reviews 15,000 service of process every day We determine
Slide 26: Drive Operational Efficiencies
Drive Operational Efficiencies Core Process Redesign We recently transformed our service of process handling process to enhance the customer experience and create incremental investment capacity to fund growth Yesterday Going Forward 50 locations 4 specialized locations Basic Doc Processing Quality
Slide 27: Drive Operational Efficiencies
Drive Operational Efficiencies Core process redesign also identified significant opportunity to increase volumes, delight customers and preserve our premium value Strong Customer Response Efficiency / Productivity Risk Mitigation Quality / Consistency • Saves customers time and money • Timely routin
Slide 28: Extend into Product Adjacencies
Extend into Product Adjacencies Leveraging a Proven Model in Adjacent Product Categories Lien Management Workflow Perform Lien File a Lien Manage Lien Due Diligence on the Asset for Life of Loan UCC Records Mortgage Records Vehicle Records C&I Loans Outstanding at Total US Mortgage Annual US Commerc
Slide 29: Example: Legal Process Outsourcing
Example: Legal Process Outsourcing Outsourcing Legal Services – Mortgage Assignments Customer Need CLS Solution Mutual Benefit Large global lenders Enable lenders to utilize Dramatically want a more efficient iLienRED to prepare, reduced cost for and cost effective way submit and manage banks
Slide 30: Expand Internationally
Expand Internationally Edital Acquisition - Lynchpin to European Growth Before 2010, Corsearch and Edital were regional players competing against one global service provider #2 US trademark research #2 European trademark provider research provider 15 trademark databases 33 trademark database
Slide 31: Expand Internationally
Expand Internationally Edital Acquisition - Lynchpin to European Growth Today Corsearch Before 2010, Corsearch is recognized and Edital as a were premier regional globalplayers trademark competing serviceagainst provider, one global service driving strong growth providerin Europe #2 US trademark r
Slide 32: Harnessing the Power of Big Data
Harnessing the Power of Big Data Investor Seminar, 3 June 2013 32
Slide 33: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management We house detailed information on the 20+ million businesses in the US that drive $15 trillion into the economy 51 Jurisdictions 3,200 Counties 3,2
Slide 34: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management We have unique insights into US litigation trends and the legal challenges faced by the many of largest and most complex corporations in the world
Slide 35: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management We have comprehensive data on secured lending transactions, providing insights into segment-specific lending trends and portfolio risk Priority De
Slide 36: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management We have visibility into new product development cycles, global brand trends and the challenges multinationals face in protecting trillions in bran
Slide 37: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management We have the most comprehensive data on legal spending globally and uniquely understand the wave of market efficiency engulfing the legal services
Slide 38: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data We have amassed rich, powerful data assets and combined them with codified subject-matter expertise to create the most comprehensive, proprietary information set on the markets we serve Service Data 3rd Party Data + SME Market Pot
Slide 39: TyMetrix Legal Analytics
TyMetrix Legal Analytics Leveraging Data to Create Value for Customers T360º TyMetrix LegalVIEW Products & Invoice Data Open Database Services 285K+ Lawyers & Paralegals $43.5B+ 120M+ Tasks Legal & Activities Invoices 425M+ Billed Hours “I don’t know where to begin. The data is incredible…” – Leonar
Slide 40: TyMetrix Legal Analytics: Illustrative Example
TyMetrix Legal Analytics Illustrative Example Case Summary Case Type: Litigation Industry: Manufacturing Category: Product Liability Jurisdiction: Tucson, AZ Claim Type: Bodily Injury Allegation: $500K damages Litigation Severity Index 72 Low Average High Average Cost Profile Range of Total Case Cos
Slide 41: TyMetrix Legal Analytics Media Coverage
TyMetrix Legal Analytics Media Coverage Investor Seminar, 3 June 2013 41
Slide 42: Harnessing the Power of Legal Big Data
Corporate Legal Services Group Harnessing the Power of Legal Big Data Legal Compliance Lien Brand Legal Spend Management Management Management Management End-to-End Claims-on-Assets Global Brand Maximizing ROI on Compliance Risk Mitigation Protection Legal Spending Legal Big Data is enabling CLS to
Slide 43: Summary
Corporate Legal Services Summary Market Leader … Well Positioned for Growth Key growth area for Wolters Kluwer Strong brand awareness as recognized market leaders Well positioned to capitalize on favorable trends in legal services Solid growth fundamentals accelerated by product and market expansion
Slide 44: Wolters Kluwer Corporate Legal Services
Wolters Kluwer Corporate Legal Services Investor Seminar June 3, 2013 | London