Slide 1: Q1 2025 Results
Q1 2025 Results 30th April 2025
Slide 2: Presenters and Agenda
Presenters and Agenda 1 CEO Review Padma Ravichander 2 Q1 Financial Review and Highlights CEO 3 Q&A Indiresh Vivekananda CFO Tecnotree Investor Presentation Q1 2025 All Figures in Million Euros (ME)
Slide 3: Tecnotree's Expanding Global Footprint
Tecnotree’s Expanding Global Footprint A Finnish listed company with 12 locations worldwide. Registered in 1978 and bringing 47 years of deep domain experience to the new digital age of telecommunications. 1.2 Bn+ Subscribers 90+ Service 70+ Countries with 80+% Employees TM 4500+ Product Features 40
Slide 4: Results Q1 2025 – Guidance Metrics
Results Q1 2025 – Guidance Metrics Q1 25- Change YoY +5.7 ME 2025: 1 ME Free Cash Flow 2024: -4.7 ME +4.6% Revenue in Constant 2025: 17.1 ME Currency 2024: 16.3 ME 2025 : 16.9 ME Revenue 2024 : 16.3 ME +3.7% +4.5% EBIT in Constant 2025 : 4.6 ME Currency 2024 : 4.4 ME 2025 : 4.5 ME EBIT 2024 : 4.4 ME
Slide 5: Free Cash Flow Metrics Q1 2025
Free Cash Flow Metrics Q1 2025 Q1 YoY% 2025 : 15% Capex/Sales 2024 : 22% -7% 0% ARR 2025: 7.6 ME 2024: 7.6 ME -28% 2025 : 155 DSO Days 2024 : 216 2025 : 70.3 ME Order Backlog 2024 : 74.8 ME -6% Board Presentation Tecnotree Investor Q1Q1 Presentation Q4 2025 2024 2025 All Figures in Million Euros (ME
Slide 6: Q1 2025 Go Lives and Recognitions
Q1 2025 Go Lives and Recognitions Achievements New Customers European 1. 2. customer in the Netherlands • 1 ME FCF IN Q1 • 323 Features delivered 5 Go-Lives • 4 new SI partner engagements across mature markets Ivory Coast B2C Nigeria Postpaid Bahrain Recognitions Key Customers contributing to ARR Re
Slide 7: Q1 25 – Revenue Update & Guidance
Q1 25 – Revenue Update & Guidance 2025 Guidance: Low to mid-single digit % growth in constant currency Q1 2024 vs 2025 Revenue by Region 2025 Q1 Updates 14.2 12.4 • 17.1 ME in constant currency and 16.9 ME in revenues • Growth (4.6%) despite market slowdown due to ARR focus 3.9 • Q1 focus on license
Slide 8: 2025 Capex to Sales
2025 Capex to Sales Guidance: Capex to Sales is 10-12% by 2025 Capex Trends 2025 Strategy to reduce capex to sales further • 7% reduction in Capex/Sales between Q1 2024 and Q1 2025 14% 15% • Increased use of AI to boost engineering delivery capability 13% 11% 11% • Mature stack with 4500+ features •
Slide 9: Q1 2025 FCF Update
Q1 2025 FCF Update 2025 FY Guidance: Greater than 4 ME in FCF FCF 2025 2025 FCF Strategy Q1 2024 Q1 2025 2025 FCF Target • Effect of OpEx cuts in 2024 realized in Q1 2025 • Faster collections results reduced DSO days -4.7 1 >4 • Optimised tax planning • Penetration into ‘stable currency’ USA and EU
Slide 10: Guidance 2025
Guidance 2025 Guidance for 2025 is a continuation of our strategy to drive higher returns and more FCF (free cashflow) for our shareholders Revenues EBIT Margin Free Cashflow 2025 Constant Currency 2025 Low to mid-single digit % growth Margin growth by 200 basis points (2%) Greater than 4 ME Existin
Slide 11: Tecnotree strategically poised to grow amidst market slowdown
Tecnotree strategically poised to grow amidst market slowdown Growing faster than competition and gaining market share Changing Market Dynamics 2019-2023 average BSS/OSS BSS + Infra Core BSS market forecasted to have only 2.1% annual growth revenue growth Amdocs Ericsson from 2022-2027 (CAGR) – Gart
Slide 12: CFO Update
CFO Update Indiresh Vivekananda
Slide 13: Q1 2025 – Summary Financial Performance
Q1 2025 – Summary Financial Performance ME Q1/25 Q1/24 Q1/23 • Strong operative performance -operating profit Net sales 16.9 16.3 15.5 margin of 27% Change YoY +4% +5% +17% EBIT 4.5 4.4 3.6 • Net income at previous years’ level Change YoY +2% +22% +81% Financial items -2.2 -2.4 -1.0 • Cash collectio
Slide 14: Q1 25 – Significant Improvement in DSOs
Q1 25 – Significant Improvement in DSOs Q1 2025 Receivables 32.2 ME DSO Days (3.1 ME provided for) 225 216 >1 year Not due 19% 18% 176 170 270-365 days 152 151 153 155 5% 144 9.2 MEUR 90-270 days <90 days 27% 31% Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Tecnotree Tecnotree Investor Pres
Slide 15: 2025 Currency Risk
2025 Currency Risk Guidance: Reduce exposure to frontier country FX risk to 10-15% in 3 years by 2027 *Sources: Bloomberg, Citi Bank, Central Bank of Nigeria 2025 Strategy • Naira stability due to improved economy and growth in fuel production • Growth in mature markets will reduce impact of curren
Slide 16: Q1 2025 Balance Sheet
Q1 2025 Balance Sheet Consolidated balance sheet, ME 31.3.2025 31.3.2024 31.12.2024 • Reduction in trade receivables and current Non-current assets liabilities Intangible assets - own development 43.9 35.7 43.1 Tangible assets 0.1 0.4 0.1 Deferred tax assets 0.0 0.5 0.0 • Strengthening of cash posit
Slide 17: Q&A Session
Q&A Session Tecnotree Tecnotree Investor Presentation Board Presentation Q4 Q1Q1 2024 2025 2025 All Figures All Figures in in Million Million Euros Euros (ME) (ME)
Slide 18: Thank You
Thank You Empowering Digitally Connected Communities to over 90+ Telecom Providers around the world, since 1978