Bouvet ASA · OSL:BOUV

Bouvet ASA — Q4 2017 Earnings Presentation

26 slides from Bouvet ASA's earnings presentation, Feb 16, 2018

  1. Slide 1: Interim presentation Fourth quarter 2017

    Interim presentation Fourth quarter 2017 Sverre Hurum, CEO Erik Stubø, CFO 16 February 2018

  2. Slide 2: Highlights in the quarter

    Highlights in the quarter Revenue and number of employees MNOK and number o Revenue and EBIT 500 450 • Operating revenues increased by 19.9 percent 400 350 to NOK 458.4 million (y‐o‐y) 300 250 • EBIT increased by 49.2 percent to NOK 49.1 200 150 million (y‐o‐y) 100 50 o 1 215 employees 0 Q4'12 Q4'13

  3. Slide 3: Operational Review

    ©) Operational Review

  4. Slide 4: Public and private sector

    Public and private sector Public sector Private sector 50.5 % 46,8 % in Q4’16 53,2 % in Q4’16 49.5 % 4

  5. Slide 5: Business sectors Q4 2017

    Business sectors Q4 2017 Other Bank & finance Retail 2.5 % 4.2 % Power supply 5.4 % Transportation 8.6 % 9.2 % Health 2.5 % Industry Service industry 4.5 % 5.6 % Info and communication 6.0 % Oil & gas 22.9 % 28.7 % Public admin 5

  6. Slide 6: New frame agreements

    New frame agreements v a ¥ Statnett BIBSYS 58 Husbanken Statoil SPK see 5s eee HELSE MIDT-NORGE IT ENOVA ONTNU PENSJONSKASSE e@ eg TRONDHEIM KOMMUNE AkerBP J AVINOR UDI Nord-Tra@ndelag @ SparebankenVest pore © sc CL tiestormane Y Renee er =) Statkraft och Landsting E> arreiastileynet

  7. Slide 7: Sectors with high increase in revenue

    Sectors with high increase in revenue o Public admin • Increased by 27.6 percent (y‐o‐y) • Represents 28.7 percent of total revenues in Q4’17 o Oil & gas • Increased by 43.2 percent (y‐o‐y) • Represents 22.9 percent of total revenues in Q4’17 o Info and communication • Increased by 64.3 percent (y‐o

  8. Slide 8: Statoil renews two important long-term contracts

    Statoil renews two important long‐term contracts o Statoil has renewed two agreements: • IT system development, administration, consultancy and various support services • Statoil’s quality management system, where Bouvet delivers business process services, consultancy, technical IT support and vario

  9. Slide 9: Aftenposten article on national travel app

    Aftenposten A-magasinet Osloby Sport Meninger Jorunn Hele kollektiv-Norge samles pa én app All billettbestilling pa én app. For buss, tog, T-bane, trikk og ferge. For alle Norges 60.000 holdeplasser. Pluss lopende informasjon om forsinkelser og flytting av stoppesteder. Den burde kanskje fatt navnet

  10. Slide 10: App development for Hafslund Nett

    App development for Hafslund Nett

  11. Slide 11: New services

    New services DETECTION E COMPUTING TECHNOLOGY SOCIAL MEDIA gar MODEI SE ps ee pameuSSIVOSE PROCESSING w BRANDING COMPUTER PROJ Ee CONSUMER CONSUMER DEMAND MARKETS PREDICTIVE nam Oa WEB MARKETING PROGRAM nee PROGRAMMING S DATA MINING DATA SCIENCE MACHINE LEARNING VISION ENGINEERING ee iy WEBSERVICES

  12. Slide 12: Customer and project mix

    Customer and project mix Variably priced contracts share of revenues Percentage o Project mix 100% • Variable contracts account for 96.9 percent of 90% total revenues 80% 70% o Customer portfolio 60% 50% • The 10 largest customers represent 36.3 percent Q4'12 Q4'13 Q4'14 Q4'15 Q4'16 Q4'17 of total r

  13. Slide 13: Customer development

    Customer development Revenue customer split MNOK o Existing customers* Existing customers* New customers (LTM)** • Accounted for 91.8 percent of revenues in Q4’17 500 450 o New customers** 400 • Customers won over the past year generated 350 revenues of NOK 37.6 million in Q4’17 300 250 200 150 100

  14. Slide 14: Regional organisation

    Regional organisation Trondheim 105 Bouvet Nord ansatte 478 Bouvet Øst ansatte 29 Sesam ansatte 74 Bouvet Bergen Bergen Borlänge ansatte Sandvika Oslo Ørebro Stockholm Haugesund 376 Bouvet Rogaland Sandefjord ansatte Stavanger Skien Arendal Kristiansand 71 Bouvet Sverige ansatte 23 Konsernstab 59 Bo

  15. Slide 15: Enthusiastic and competent employees

    Enthusiastic and competent employees o 1 215 employees at the end of the quarter Number of employees end of quarter • Up 4 from Q3’17 1400 1200 • 125 more employees in the past 12 months 1000 800 • Average number of employees in the quarter up 600 12.3 percent from Q4’16 400 200 0 Q4'12 Q4'13 Q4'14

  16. Slide 16: Financial Review

    ©) Financial Review 16

  17. Slide 17: Key figures

    Key figures Three months ending Twelve months ending MNOK 31.12.2017 31.12.2016 Change 31.12.2017 31.12.2016 Change Operating revenue 458.4 382.3 19.9 % 1 607.4 1 330.8 20.8 % Operating profit (EBIT) 49.1 32.9 49.2 % 144.1 106.3 35.6 % EBIT margin 10.7 % 8.6 % 9.0 % 8.0 % Ordinary profit before tax

  18. Slide 18: Revenue

    Revenue Revenue split (quarterly figures) MNOK 500 Own consultants o Revenues increased by 19.9 percent y‐o‐y Sub‐contracted consultants 400 Other • Revenues from own consultants increased by 18.8 300 percent to NOK 369.3 million 200 • Revenues from sub‐contracted consultants increased by 100 21.4 p

  19. Slide 19: Revenues from own consultants

    Revenues from own consultants Revenue per employee (quarterly figures) o Increased 18.8 percent y‐o‐y TNOK 350 • Positive impact from increase in billing ratio by 3.2 300 percentage points 250 200 • Positive impact from 12.3 percent increase in average 150 100 number of employees 50 0 • Positive imp

  20. Slide 20: Analysis of change in revenues y-o-y

    Analysis of change in revenues y‐o‐y Revenue MNOK 45 40 35 30 25 20 38.9 15 10 13.0 11.9 5 8.0 5.8 3.3 0 ‐4.8 ‐5 ‐10 No. of employees Billing ratio Sub‐contractors Hourly rate Other income Other effects No. of work days 20

  21. Slide 21: Change in revenues – effect on EBIT

    Change in revenues – effect on EBIT Revenue MNOK 45 Change in Revenue Effect on EBIT 40 35 30 25 20 38.9 15 10 13.0 11.9 5 9.8 7.6 8.0 0.9 6.0 5.8 1.4 3.3 0.3 0 ‐3.6 ‐4.8 ‐5 ‐10 No. of employees Billing ratio Sub‐contractors Hourly rate Other income Other effects No. of work days 21

  22. Slide 22: Earnings

    Earnings EBIT and EBIT margin MNOK and Percent o Operating profit (EBIT) up by 49.2 percent to NOK 60 EBIT EBIT margin 15% 49.1 million 50 40 10% o EBIT margin of 10.7 percent compared to 8.6 percent 30 in Q4’16 20 5% 10 o Operating expenses increased by 17.2 percent 0 0% compared to Q4’16 Q4'12 Q4'

  23. Slide 23: Cash flow

    Cash flow Cash flow from operations (per quarter) o Cash flow from operations MNOK 200 • NOK 158.6 million in Q4’17 compared to NOK 118.4 150 million in Q4’16 100 50 o Last 12 months 0 • Operational cash flow over the last 12 months was NOK ‐50 Q4'12 Q4'13 Q4'14 Q4'15 Q4'16 Q4'17 149.0 million o Cas

  24. Slide 24: Outlook

    Outlook 24

  25. Slide 25: Outlook

    Outlook o Good market and high demand o Exponential technology development o Too low delivery capacity in the IT sector o Risk of increased turnover

  26. Slide 26: Shareholders as of 15.02.2018

    Shareholders as of 15.02.2018 Shareholders Number of shares % of total VARNER KAPITAL AS 1 070 000 10,44 % VPF NORDEA AVKASTNING 972 372 9,49 % STENSHAGEN INVEST AS 770 402 7,52 % PROTEC TOR FORSIKRING ASA 699 560 6,82 % HURUM SVERRE FINN 508 366 4,96 % MP PENSJON PK 504 904 4,93 % VEVLEN GÅRD AS 45

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