Dustin Group Ab · OMXSTO:DUST

Dustin Group Ab — Nordea Small & Mid Cap Seminar 2018

14 slides from Dustin Group Ab's conference presentation, August 2018

  1. Slide 1: Presentation

    Presentation Nordea Small & Mid Cap Seminar August, 2018

  2. Slide 2: Dustin at a glance

    CORPORATE PRESENTATION Dustin at a glance 250,000 hardware and software products… …sold online… Net sales SEK Dustin (B2B) Software and services Hardware million ~11% Offline 10,000 ~25% Clients Server 8,000 Software 6,000 Dustin Home (B2C) 4,000 OS SaaS Services 2,000 0,000 Hardware Online ~89% Fin

  3. Slide 3: Growth position in a large and expanding market

    CORPORATE PRESENTATION Growth position in a large and expanding market Large and fragmented addressable market Key trends driving Dustin’s underlying growth Channel shift from offline  to online Growth pockets within advanced  products and services Higher growth for smaller  companies *Compound A

  4. Slide 4: Strong position in the value chain

    CORPORATE PRESENTATION Strong position in the value chain Dustin’s ~2.500 brands1) customer base2) Hardware ~5k customers Public/ Large corporations Distributors ~100k SMB customers Software ~350k Consumers customers Value proposition to OEMs and distributors High barriers to entry Value proposition

  5. Slide 5: Unique position combining cost efficiency with high service level

    CORPORATE PRESENTATION Unique position combining cost efficiency with high service level High ERP implementation Large Illustrative corporations Strategic IT consultancy Atea Advania Integrated solutions Degree of value added service On-site services Small and medium Product-near services Small IT s

  6. Slide 6: Multi-channel approach to drive growth and margins

    CORPORATE PRESENTATION Multi-channel approach to drive growth and margins Product Customer needs Three tiered Customer needs portfolio Basic Medium Advanced sales model Basic Medium Advanced Stand-alone services and solutions CONSULTATIVE Offline  SALES ~25% of net sales Cloud solutions MPS1) Highe

  7. Slide 7: Continue leveraging dynamic market trends and new service offerings

    CORPORATE PRESENTATION Continue leveraging dynamic market trends and new service offerings 2016/17 2021/22 CAGR: ~10% • Pan-Nordic footprint with one Net sales • One-stop shop for SMBs in all Net sales common platform supporting SEK 9.3 bn Nordic countries SEK ~15* bn product and service offerings •

  8. Slide 8: Well defined levers will contribute to the margin journey

    CORPORATE PRESENTATION Well defined levers will contribute to the margin journey Margin journey potential FY21/22 0.3-0.5% 0.6-0.8% ~6% 0.2-0.4% 0.1-0.3% 4.6% Margin 16/17 Customer mix Private label Value accretive M&A Managed services Margin 21/22 Customer mix Private label Value accretive M&A Mana

  9. Slide 9: Higher share of recurring revenue increases loyalty and margin

    CORPORATE PRESENTATION Higher share of recurring revenue increases loyalty and margin Recurring revenue potential FY21/22 ~500 MSEK ~1,000 MSEK ~300 MSEK ~100 MSEK 147 MSEK Recurring revenue FY16/17 Current run-rate Organic growth Value accretive M&A Recurring revenue FY21/22 Current run-rate Organi

  10. Slide 10: Financial summary of Q3 17/18

    CORPORATE PRESENTATION Financial summary of Q3 17/18 Continued solid growth in SMB Net sales and adjusted EBITA margin Net sales grew by 9.0% to 2,462 (2,257) MSEK 3 000 10% • Organic growth of 1.6% in constant currency, of which SMB 9.4%, LCP -5.0% and B2C 10.9% 2 462 2 500 Gross profit of 396 (341

  11. Slide 11: Operational summary Q3 17/18

    CORPORATE PRESENTATION Operational summary Q3 17/18 Operational Highlights Signed agreement to acquire Swedish DAV Partner • Strengthens offering for audio/video solutions and conference systems and complements JML System, which was acquired in the autumn of 2017. Signed agreement to acquire Finnish

  12. Slide 12: Strong rationale for the acquisition of Vincere Groep

    CORPORATE PRESENTATION Strong rationale for the acquisition of Vincere Groep Substantial increase of the addressable market Increased share of recurring revenues Growth from approximately 150 BSEK to 250 BSEK High share of recurring Managed Services contracts A perfect platform for expansion and con

  13. Slide 13: Financial effects from the acquisition

    CORPORATE PRESENTATION Financial effects from the acquisition Sales LTM EBITA LTM EPS LTM May 2018 May 2018 May 2018 7.3% 10.6% 10.5% 12.5% 10,775 10,039 736 524 4.17 474 3.71 0.46 50 4,7% 4,9% 10,039 10,039 474 474 3.71 3.71 Dustin Combined Dustin Combined Dustin Combined Margin Column1 13

  14. Slide 14: Q&A

    Q&A B

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