Slide 1: Etteplan becomes an even stronger partner in meeting customers' needs in digitalization
Etteplan becomes an even stronger partner in meeting customers’ needs in digitalization Juha Näkki, President and CEO Etteplan Oyj March 15, 2016
Slide 2: Etteplan's development history
ETTEPLAN’S DEVELOPMENT HISTORY Forerunner in developing engineering methods and service solutions Managed Industrial Etteplan Services internet is founded Outsourcing Offshoring 1983 1998 2004 2009 2016
Slide 3: Etteplan in brief
ETTEPLAN IN BRIEF Intelligent devices efficiently INDUSTRY FORERUNNER STRONG STABLE DIVIDEND MARKET POSITION PAYER GROWTH LONG-TERM SIGNICANT EMPLOYER ACCOUNTS AND TAX PAYER ACQUISITIONS
Slide 4: Companies to be acquired
COMPANIES TO BE ACQUIRED Etteplan Oyj acquires the total share capital of Espotel Oy and Soikea Solutions Oy Espotel One of the leading engineering services companies in the Nordics specializing in embedded systems, production testing solutions and IoT (Internet of Things) solutions for industrial
Slide 5: A rights issue is planned to finance the acquisitions
SUMMARY OF ACQUISITIONS A rights issue is planned to finance the acquisitions • The value of the transaction (Enterprise Value, EV) to be paid by Etteplan is approximately EUR 29 million. In addition, an earn-out element, which is subject to achieving certain financial result related goals. • Ettepl
Slide 6: Combined revenue in 2015 totalled 170 MEUR
PRELIMINARY COMBINED 2015 FINANCIAL INFORMATION PRODUCED FOR THE PURPOSE OF PUBLISHING THE TRANSACTION Combined revenue in 2015 totalled 170 MEUR EUR million Combined Etteplan Acquired Revenue 169.7 141.1 28.6 EBIT from business operations* 12.6 9.5 3.1 * EBIT excluding acquisition related items suc
Slide 7: The transaction enables Etteplan new growth
ETTEPLAN AFTER ACQUISITIONS The transaction enables Etteplan new growth Strengthens postion as market leader in Finland Opens up the Industrial Internet markets in Sweden New nearshoring hub in Poland Supports growth in Central Europe Existing offshoring hub and The US unit for growing local technic
Slide 8: New competence capital to solve customers' digitalization challenges
INDUSTRIAL LOGIC OF ACQUISITIONS New competence capital to solve customers’ digitalization challenges • Strengthens competences in embedded systems and industrial internet solutions. • Widens strong engineering expertise into digital data management and embedded systems • Combines intelligent device
Slide 9: Unique service concept in the engineering services industry
BUSINESS CONCEPT Unique service concept in the engineering services industry Etteplan Espotel Soikea Equipment Embedded Digital data design systems management Etteplan’s service solutions
Slide 10: Growing key accounts
GROWTH IN KEY ACCOUNTS Growing key accounts
Slide 11: Connectivity widens business scope for industrial companies
ELEMENTS IN THE REVOLUTION OF INDUSTRIAL INTERNET Connectivity widens business scope for ”Internet” industrial companies ”Extended Intranet” 5. Internet scale deep AI, Network of autonomy systems ”Intranet” 4. Data sharing System of and API’s systems 3. Data collection Product and analysis system Im
Slide 12: Intelligent design enables use of industrial internet in service and maintenance business
BUSINESS CONCEPT Intelligent design enables use of industrial internet in service and maintenance business Equipment Embedded systems Analysis and system integration Interactive Engineering interfaces Industrial internet Documentation Service information Service
Slide 13: Determined growth strategy continues
BUSINESS AND STRATEGY Determined growth strategy continues Customer Service Engineering One Etteplan focus solutions methods CORNERSTONES OF STRATEGY ENGINEERING WITH A DIFFERENCE FOCUS AREAS IN BUSINESS OPERATIONS Increasing Growth in sales Growth in Embedded 1 Growth in key accounts 2 share of hig
Slide 14: 15% annual revenue growth target
TARGETS 15% annual revenue growth target FINANCIAL TARGETS 15 % 10 % 50 % Improvement of On average annual EBIT from business Share of Managed operating cash flow revenue growth operations Services of revenue to strengthen the by 2016 balance sheet 1-9/2015: 4.4% 1-9/2015: 6.6% 1-9/2015: 46% 1-9/201
Slide 15: Updated financial guidance
OUTLOOK Updated financial guidance FINANCIAL Etteplan expects the revenue and operating profit GUIDANCE 2016 for the full year 2016 to grow significantly (March 15, 2016) compared to 2015.* Using Etteplan’s unique service concept to ETTEPLAN´S increase market shares. GROWTH DRIVERS Most significant
Slide 16: Engineering with a difference - Thank you!
Engineering with a difference Thank you!
Slide 17: Etteplan
Ss Etteplan