Adtran Networks Se · XETR:ADV
Adtran Networks — ADVA Optical Networking — Q3 2022 Earnings Presentation
14 slides from Adtran Networks's earnings presentation, Nov 8, 2022
Slide 1: Earnings call presentation Q3 2022 financial results
Earnings call presentation Q3 2022 financial results November 08, 2022
Slide 2: Disclaimer
Disclaimer FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements with words such as “believes”, “anticipates” and “expects” to describe expected revenues and earnings, anticipated demand for networking solutions, internal estimates and liquidity. These forward-looking stat
Slide 3: Business update and outlook
Business update and outlook Christoph Glingener, CEO © 2022 ADVA. All rights reserved.
Slide 4: Q3 2022 financial highlights
Q3 2022 financial highlights Revenues Q3 2022 Revenues 9M 2022 y-o-y + 18.3% EUR 516.4m Pro forma EBIT Q3 2022 Cash Q3 2022 in % 6.5% EUR 61.4m Record revenues and solid demand while supply challenges continue 4 © 2022 ADVA. All rights reserved.
Slide 5: Business transformation update
Business transformation update ADVA launches market’s first pluggable 10G edge demarcation device ADVA launches auto-tunable Etisalat UAE, from e&, bolsters transceiver to help operators easily edge cloud solution with uCPE* scale access networks to 25G Cobalt Digital demos 25G services powered by A
Slide 6: Adva Network Security
Adva Network Security On October 1st we launched a new legal entity to • … extend our business in government networks and critical infrastructure • … maintain/extend our strong relationship with the BSI (incl. company certification) • … significantly extend our product and service offerings in the s
Slide 7: Meiningen Terafactory extension
Meiningen Terafactory extension Existing manufacturing building Terafactory: 4000m2 manufacturing extension Work in progress… planning to move in Q1 2023 Existing manufacturing Shopfloor Co-funded by state of Thuringia, ground-breaking >10mEUR investment in building & technology ceremony in May 2022
Slide 8: Financial performance
Financial performance Ulrich Dopfer, CFO © 2022 ADVA. All rights reserved. © 2022 ADVA. All rights reserved. Confidential.
Slide 9: Q3 2022 key financials
Q3 2022 key financials Revenues (m€) Pro forma gross profit (m€) Pro forma EBIT (%) +18.3% 179.6 +16.7% 151.8 -2.1pp 60.9 8.6% 52.2 6.5% Q3 21 Q3 22 Q3 21 Q3 22 Q3 21 Q3 22 Net income (m€) Diluted EPS (€) Net cash (+) / debt (-) (m€)* 20.6 -95.2% -95.2% 18.5 0.36 0.9 0.02 -17.4 Q3 21 Q3 22 Q3 21 Q3
Slide 10: Regional revenue development Q3 2022
Regional revenue development Q3 2022 Revenue split Q3 2022 (%) Revenue development per region Q3 21 – Q3 22 (m€) 88 101 96 93 98 EMEA Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 32.7% 59 59 59 48 39 54.5% Americas Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 12.8% 23 15 18 15 14 EMEA Americas Asia-Pacific Asia-Pacific Q3 21 Q4
Slide 11: Cash flow and balance sheet
Cash flow and balance sheet Cash flow breakdown (m€)* Working capital development (m€; %) Q3 21.7% 20.6% 23.8% 27.4% 27.2% 2021 2022 193.8 183.0 129.0 164.4 Earnings before taxes 9.7 -3.3 130.8 Depreciation & Amortization 17.5 17.0 Increase (-) / decrease (+) in working capital 2.0 -11.6 Increase (-
Slide 12: Outlook FY 2022
Outlook FY 2022 Revenues (m€) 680m – 730m Pro forma EBIT (%) 5% – 9% Supported by: Business transformation strategy successfully implemented Non-telco expansion – software & services – verticalization A unique investment cycle for communications networks Digitalization – government stimulus – networ
Slide 13: Road to business combination with ADTRAN
Road to business combination with ADTRAN 1 2 3 4 5 6 7 8 9 10 Business Filings and ADTRAN 60% Regulatory Closing Parties Share- DPLTA Start post- combination investor special acceptance approvals agreed on holder effective DPLTA agreement discussions shareholder threshold terms of meeting to once in
Slide 14: Thank you
Thank you ir@adva.com IMPORTANT NOTICE The content of this presentation is strictly confidential. ADVA is the exclusive owner or licensee of the content, material, and information in this presentation. Any reproduction, publication or reprint, in whole or in part, is strictly prohibited. The informa
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