B3 Consulting Group Ab · OMXSTO:B3
B3 Consulting Group Ab — Q2 2023 Earnings Presentation
27 slides from B3 Consulting Group Ab's earnings presentation, 2023
Slide 1: Interim Report B3 Consulting Group Q2 2023
Interim Report B3 Consulting Group Q2 2023
Slide 2: Speakers from B3 Consulting Group
Speakers from B3 Consulting Group Questions? Please click on the envelope icon next to the audiocast or send an email to: ir@b3.se CEO CEO B3 HEALTHTECH HEAD OF COMMUNICATIONS & IR Sverre Bjerkeli Peter Lager Katarina Lundqvist 2
Slide 3: New acting CEO and CFO
New acting CEO and CFO B3 will not lose momentum as both the CEO and CFO know the company very well • Sverre Bjerkeli was appointed acting CEO on June 20 • He has a Master's in Business and Marketing from Handelsakademiet (BI) • He was CEO of Protector Forsikring until 2021 • He has also worked 7 ye
Slide 4: Q2 2023: Growth 3.4% and operating margin 7.4%
Q2 2023 Growth 3.4% and operating margin 7.4% • Revenue 299.3 (289.5) MSEK, 3.4% growth • EBIT Q2 22.0 (34.5) MSEK, • EBIT-margin 7.4% (11.9%), adjusted EBIT-margin 8.4% • Profit after tax 16.7 (28.2) MSEK • Earnings per share before dilution 1.68 (2.97) SEK • Average number of employees is 803 (738
Slide 5: Financial overview Group
Financial overview Group 3.4% growth and EBIT 7.4%, weaker market demand but second best Q2 in history Q2 Jan-Jun Jan-Dec A weaker market leads to a Extract of B3’s key figures 2023 2022 Δ% 2023 2022 Δ% 2022 significant reduction in Net Sales, SEK million 299,3 289,5 3,4% 623,9 580,0 7,6% 1 148,1 ut
Slide 6: Revenue break-down
Revenue break-down Lower utilisation due to weaker market demand Revenue break-down second quarter (MSEK)* 4 Lower utilisation due to 11 weaker market demand. Utilisation at the end of the -7 period is lower than in the beginning. -4 27 Hourly rates still moving north as they should in an inflationa
Slide 7: Alternative financial overview incl. B3 Poland
Alternative financial overview incl. B3 Poland 5,7% growth and 7.9% EBIT in Q2 - 10.7% growth and EBIT 10.5% in H1 The Polish market is also slowing down but probably not that much. B3 Consulting Poland is growing 45.8% with an EBIT- margin sized 14.3.% The table illustrates the Group net sales, EBI
Slide 8: Customers and new business
Customers and new business Strengthened position within banking and health • Strengthened position with new assignments at three of Sweden's largest banks including consultants within System Development, Data Engineering, Epic Owner, Architecture, Test leader, AI Roadmap etc. • Extended deliveries f
Slide 9: Other important events in Q2
Other important events in Q2 One of the most attractive employers among IT students • B3 has been voted as one of the most attractive employers according to students and ranks second among students 3-4 years in the IT category • B3 will start a new company within cybersecurity with the entrepreneur
Slide 10: Market Outlook
Market Outlook A weaker market but….. • Yes, there is some uncertainty among decision makers • Yes, some decisions take longer, some mandates have been moved ahead and ROI requirement may have increased • …..it's • A continued high and increasing interest in automation and digitalisation • An increa
Slide 11: B3's response to a weaker market
B3’s response to a weaker market Good companies will be strengthened in weaker times • B3 market position is strong • Our business model is resistant in weaker times • 29 powerful and innovative B3 companies is unique 1. We accelerate and brake at the same time 2. Efficiency improvements and cost re
Slide 12: Let's accelerate: New startup in cyber security
Let’s accelerate: New startup in cyber security Welcome to Emil Gullers, a leader with a solid experience in cyber security • New threats in the outside world, faster digitalisation, regulatory pressure and new business models increase the needs of customers to manage business risks • B3 establishes
Slide 13: Let's accelerate in AI and data driven working methods
Let's accelerate in AI and data driven working methods High demand - many companies have just started the journey • ChatGPT and new tools creates great interest - how can AI and data driven methods make operations more efficient? • Great demand in many areas, including finance and customer-oriented
Slide 14: B3 Indes and B3 Business Transformation
B3 Indes Led by Kasper Aase and Christian Lauritzen Established as a start up in 2020 Consultants working with Value Analytics (Data Science & AI, BI and RPA/Automation focused on creating as much value for clients out of data as possible) Today the company has 35 employees. Clients include: Telia,
Slide 15: The Swedish health sector - a growing industry
The Swedish health sector - a growing industry B3 has a long background of helping the Swedish healthcare with digitalisation • Vision2025 – Sweden #1 in e-health • Pandemic forced to innovation and faster digitalisation • Inter/National focus Swedish healthcare (ie EHDS) • Regional focus Swedish he
Slide 16: Let's accelerate in the health sector
Let’s accelerate in the health sector B3 has two companies focusing on the health sector B3 Healthcare Consulting AB Led by Annette Mårdbrink Established in 2005 as a specialist company with own experience from healthcare Consultants working with project mgmt, change mgmt, business development The c
Slide 17: B3 HealthTech
B3 HealthTech Strong growth since the company was established in 2021 • With technology and digitalisation improve and simplify Swedish healthcare. • Deliver both specialist consultants and teams/projects/commitments. • The common thread is solid knowledge of the technology and information managemen
Slide 18: Summary
Summary Good companies will strengthen in weaker times • Q2 and H1 was second best in history • We don't know when market turns, but we will adapt quickly to a changing market environment • We have a strong market position and a solid business model • We have 29 powerful and innovative subsidiaries
Slide 19: Q&A
Q&A 19
Slide 20: Appendix
Appendix 20
Slide 21: B3 Consulting Group
B3 Consulting Group 19 years of building a successful group of companies • Consulting company within IT and management • Founded in 2003 • 800+ employees in Sweden and 200+ in Poland • 11 Offices in Stockholm, Borlänge, Gävle, Gothenburg, Jönköping, Linköping, Malmö, Sundsvall, Örebro, Krakow and Wa
Slide 22: Revenue and EBIT (R12)
Revenue and EBIT (R12) Strong long term development, profitability decreases in Q2 Revenue per quarter and R12 (MSEK) EBIT per quarter and R12 (MSEK) The dark gray line shows the development per rolling 12 months 22
Slide 23: Revenue break-down
Revenue break-down Strong organic growth based on own consultants Revenue break-down per quarter (MSEK) Comments: 14 13 25 26 14 B3 has a history of growth in 11 12 19 revenue based on own 12 24 24 consultants 6 25 20 9 13 Insignificant proportion of 11 5 12 20 19 subcontractors today 21 20 22 9 17
Slide 24: Cash Flow & Net debt
Cash Flow & Net debt Steady financial position and net cash positive Comments: Cash flow from operations during Q2 below last year mainly given decrease in EBIT Cash flow from investing activities positively affected by dividend from joint ventures Cash flow from financing activities affected by div
Slide 25: Share per Business Area
Share per Business Area Continued strong growth in Cloud & Technology Platforms Revenue, share per business area EBIT, share per business area Comments: Adjusted names of the business areas since Q1 2023, minor impact on financial reports Equal distribution between the business areas Continued stron
Slide 26: Spread across different industries
Spread across different industries Stability and risk diversification in a more uncertain market Share of revenue per industry, Jan-June 2023 (Jan-June 2022) Comments: Banking, finance, insurance 20% (20%) Gove rnment agencies, municipalities 13% (15%) Strengthened position with new assignments at t
Slide 27: Creating Possibilities Together
Creating Possibilities Together