Elm Company · TADAWUL:7203
Elm — Q1 2024 Earnings Presentation
18 slides from Elm's earnings presentation, 2024
Slide 1: Investor Presentation Q1 2024
Investor Presentation Q1 2024
Slide 2: Disclaimer
Internal Disclaimer This presentation has been prepared by Elm solely for informational purposes. The presentation may contain or include statements that are, or may be deemed to be, “forward-looking statements”. Any forward-looking statements reflect the Company’s current view with respect to futur
Slide 3: Agenda
1 2 3 4 Introduction Elm 4.0 Financial 2024 Outlook Agenda Strategy Performance 3
Slide 4: Over the years, Elm has gone through multiple journeys adopting with market conditions
Over the years, Elm has gone through multiple journeys adopting with market conditions Mission 1988 We innovate to empower communities and make life easier 1988 2002 2007 2011 2014 2018 2019 2020 2021 2022 2023 2028 Inception in 1988 Transformation Elm exceeded Elm accelerated Elm boosted its as a r
Slide 5: Agenda
1 2 3 4 Introduction Elm 4.0 Financial 2024 Outlook Agenda Strategy Performance 5
Slide 6: Elm will strengthen its capabilities to grow current offerings and expand into new gov sectors
Elm will strengthen its capabilities to grow current offerings and expand into new gov sectors and adjacent B2B markets in its new strategy Elm 4.0 › Build / Acquire / Partner new B2B products in adjacent markets Organically and inorganically: › Expand into new gov. verticals › Develop new products
Slide 7: Elm 4.0 strategy focuses on diversification and modernized offerings
Elm 4.0 strategy focuses on diversification and modernized offerings, and requires capital deployment in both government and B2B offerings Core Today Focus of Expansion (organic + inorganic) Focus of Expansion (organic) Potential Capital deployment for Capabilities BPO Public Sector ..to embed techn
Slide 8: Agenda
1 2 3 4 Introduction Elm 4.0 Financial 2024 Outlook Agenda Strategy Performance 8
Slide 9: Elm Q1 2024 Financial Highlight
Internal Elm Q1 2024 Financial Highlight Q1 24 Revenue Revenue YOY Change Q1 24 GP Margin GP Margin YOY Change Mn SAR 1,639 27.2% 38.2% 4.0 PP Q1 24 EBITDA EBITDA YOY Change Q1 24 EBITDA Margin EBITDA Margin YOY Change Mn SAR 385 8.8% 23.5% 4.0 PP Q1 24 Net Profit Net Profit YOY Change Q1 24 Net Mar
Slide 10: P&L Highlights
Professional Services P&L Highlights Business Process Outsourcing SAR Millions Digital Businesses Gross Profit Margin Revenue by Business Segment Gross Profit by Business Segment Key Highlights › Increase in revenue led by Digital Business and Business Process Outsourcing. +27% 1.639 +15% 626 31 7 ›
Slide 11: P&L Highlights
P&L Highlights SAR Millions EBIT Net Profit Key Highlights › Higher EBIT and net profit are driven by +7% revenue growth. +4% 345 › Increase in G&A and S&M driven by increase -26 322 13 -4 -18 14 in employee cost and events sponsorships 82 -7 320 -17 334 and participation. Q1 Q1 Q1 23 Q1 24 G&A Othe
Slide 12: Digital Business
Top 6 Products Others Digital Business Gross Profit Margin SAR Millions Revenue Gross Profit Products Revenue Key Highlights › Strong revenue and gross profit growth across products and projects. +20% +21% 531 +21% › Gross profit margin decreased slightly as a 1.170 1.071 result of the decreased pro
Slide 13: Business Process Outsourcing
Business Process Outsourcing Gross Profit Margin SAR Millions Revenue Gross Profit Key Highlights › 56% revenue increase, driven by the increase in the number of projects. -7% 438 95 › Gross profit and gross profit margin +56% 88 decreases are attributable to the type of deliverables during the peri
Slide 14: Professional Services
Professional Services Gross Profit Margin SAR Millions Revenue Gross Profit Key Highlights › Revenue decreased by 18%, gross profit was 0% flat, and gross profit margin expanded, this 38 -18% 7 7 can be attributable to the type of deliverables during the period. 31 Q1 2023 Q1 2024 Q1 2023 Q1 2024 18
Slide 15: Balance Sheet and Cash Flow Highlights
Balance Sheet and Cash Flow Highlights SAR Millions Cash Balance Movement Receivable (Number of Days) Key Highlights 149 151 › CFO as a percentage of net profit 142 was 265%. This was due to a positive net working capital movement. › Total cash and short-term 721 2022 2023 Q1 2024 investment increas
Slide 16: Agenda
1 2 3 4 Introduction Elm 4.0 Financial 2024 Outlook Agenda Strategy Performance 16
Slide 17: 2024 Guidance
YE 2023 YE 2023 YE 2024 Guidance Actual Guidance 21% - 23% 28% 16% - 18% Revenue Growth 2024 Guidance 22% - 24% 23% 22% - 24% EBIT Margin 80% - 90% 115% 80% - 90% CFO as % of Net Income 17
Slide 18: Thank you
Elm Contact Investor Relations Department Ibrahim Almuhanna Head of Investor Relations Tel: +(966) 11 461 8500 Email: ialmuhanna@elm.sa Visit our Website (click here) Thank you