Nnit A/s · OMXCOP:NNIT
Nnit A/s — SEB Nordic Seminar 2018
13 slides from Nnit A/s's conference presentation, 2018
Slide 1: SEB Nordic Seminar 2018
SEB Nordic Seminar 2018
Slide 2: Leveraging Our Compliance DNA Drives Diversification
Leveraging Our Compliance DNA Drives Diversification Our Core Leveraging Our Compliance DNA Life Public Finance Enterprise Sciences DKK 1,597m DKK 385m DKK 237m DKK 546m (58%) (14%) (9%) (20%) See Note (1) DKK 941m (34%) IT Solutions Services: Advisory services, business solutions and application ma
Slide 3: ..the history
..the history Operating profit margin Cash to earnings Revenue growth 12,9% 11,2% 11,0% 107,6% 99,2% 87,3% 9,3% 72,9% 10,7% 10,6% 8,7% 6,3% 7,9% 10,3% -45,5% 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 ROIC Pay out ratio Sourcing ratio 40,9% 39,6% 47% 38,9% 38,8% 41,0%
Slide 4: 2020 Strategy
2020 Strategy Long term targets: Win Profitable Market Share • Revenue growth of at least 5% • Operating profit margin of at least 10% Denmark International Win new customers Win new customers Support clients of Danish Increase share of existing origin international Increase share of existing custom
Slide 5: Leading Market Share in Danish IT Services Market
Leading Market Share in Danish IT Services Market 2016 Data Danish IT Services Market Development vs. NNIT Danish IT Services Market (2016 Revenue (1)) DKKm +x% 2013-2016 CAGR -6% +4% Danish IT service market 2016 5.000 4.713 4.455 4.500 Growth 2013-2016 was 1.8% CAGR 4.000 Market size: 36.2 bn
Slide 6: Market situation for our segments
Market situation for our segments Market Market CAGR: NNIT est. Comments: size size market share: 2016E: 2021E: 2.4-2.5bn ~50% Uncertainty See further opportunities for larger outsourcing contracts, 13.0bn 15.1bn 3.0% 4.2% following Danish clients internationally as well as Scales growth 6.7bn 8.1bn
Slide 7: …things we do
…things we do Digital transformation Security Security Advisory Advisory Services Services Implementation Implementation Full stack Life sciences Application Application provider outsourcing outsourcing ...the preferred IT Application Outsourcing, Infrastructure Infrastructure outsourcing partner
Slide 8: International life sciences strategy
International life sciences strategy Historic growth has been organic. In future acceleration through M&A could be an option if right candidate is identified. Pharma tier 1 Pharma tier 2 Big pharma ~3,000-10,000 employees Regulatory driven focused Regulatory driven focused offerings offerings Tower
Slide 9: Revenue development, Novo Nordisk and Other customers
Revenue development, Novo Nordisk and Other customers Revenue development, Novo Nordisk Revenue development, 26,1% other customers 18,8% 7,7% 18,4% 4,7% 4,4% 11,2% 11,7% 1,4% -5,9% 2012 2013 2014 2015 2016 2012 2013 2014 2015 2016 Novo Nordisk, share of revenue 56,9% 53,1% 52,3% 50,6% 44,8% 2012 201
Slide 10: Financial statement 9M 2017
Financial statement 9M 2017 Settlement 9M 2017 9M 2016 Change impact DKK million Revenue 2,079.7 1,995.7 4.2% -1.7pp Cost of goods sold 1,731.0 1,616.6 7.1% 0pp Gross profit 348.6 379.1 -8.0% -8.7pp Gross profit margin 16.8% 19.0% -2.2pp -1.2pp Sales and marketing costs 99.6 98.1 1.6% 0pp Administra
Slide 11: Segment development
Segment development DKKm 9M 2017 9M 2016 Change Life Sciences 1,165.5 1,165.9 0.0% Hereof Novo Nordisk 882.2 909.7 -3.0% Hereof other Life Sciences 283.3 256.1 10.6% Enterprise 496.2 375.2 32.3% Public 231.3 281.8 -17.9% Finance 186.7 172.9 8.0% Total 2,079.7 1,995.7 4.2% 11
Slide 12: Backlog development
Backlog development Backlog for 2017 is DKK 2,750m, which is an increase The backlog for 2018 and 2019 decreased 6.2% y-o-y of 3.3% compared to same time in 2016: to DKK 2,767m: • SCALES accounts for 1.9pp of the backlog growth • Novo Nordisk backlog increased by 2.5% mainly due • The one-off settle
Slide 13: Outlook
Outlook 2017 2018 Constant currencies: 4-6% NNIT believes the long-term target of growing revenue by at least 5% is still achievable. Revenue Constant currencies (organic): 1-3% However, continued low visibility in terms of sales growth of services to Novo Nordisk for 2018 makes it uncertain at this