Enea Ab · OMXSTO:ENEA

Enea Ab — Q1 2004 Earnings Presentation

20 slides from Enea Ab's earnings presentation, Apr 28, 2004

  1. Slide 1: Q1 2004

    Q1 2004 Johan Wall President & CEO

  2. Slide 2: Agenda

    Agenda • Enea’s fields of operation • Presentation of Q1 • New focus • Summary • Q&A Presentation April 28, 2004 2

  3. Slide 3: Enea Embedded Technology

    Enea Embedded Technology Enea Embedded Technology offers product licenses for use of the OSE real-time operating system together with product-oriented consulting services. The company primarily targets customers who develop high- tech products with rigorous demands on performance and accessibility.

  4. Slide 4: Enea Systems

    Enea Systems Enea Systems offers product-independent solutions, consulting services and training to customers with high demands on usability and reliability. Enea Systems is primarily active in Sweden. The customers are found in the engineering, telecom, automotive and defense industries, as well as

  5. Slide 5: Summary - Q1

    Summary - Q1 • Net sales increased by 6% to SEK 137 (129) million • Operating expenses excluding items affecting comparability were down by 4% • The operating loss excluding items affecting comparability reached SEK -9 (-14) million • The loss after tax was SEK -26 (-14) million • Earnings per share

  6. Slide 6: Presentation April 28, 2004

    Presentation April 28, 2004 6

  7. Slide 7: Presentation April 28, 2004

    Presentation April 28, 2004 7

  8. Slide 8: Enea Embedded Technology − Q1

    Enea Embedded Technology − Q1 • Net sales down by 2% to SEK 67 (68) million • The operating loss improved to SEK -7 (-10) million • License revenue rose by 7% and accounted for 46% (42) of sales • Gradual improvement in demand over the quarter − orders received for product licenses were up by 15% ye

  9. Slide 9: Presentation April 28, 2004

    Presentation April 28, 2004 9

  10. Slide 10: Enea Systems - Q1

    Enea Systems - Q1 • Net sales increased by 11% to SEK 72 (66) million • Operating profit strengthened to SEK 4.0 (-2.1) million • Steady rise in demand during Q1 and higher capacity utilization than in the previous year • Enea Epact, Enea Öresund and Enea Test − all of which cater to the telecom sec

  11. Slide 11: Presentation April 28, 2004

    Presentation April 28, 2004 11

  12. Slide 12: New focus

    New focus • Streamlining of operations and stronger focus • Sale of non-core operations • Downsizing of staff in support functions • Business model based on steady revenue inflows • More market-driven orientation Presentation April 28, 2004 12

  13. Slide 13: Focus on OSE

    Focus on OSE Enea will focus on the OSE product family, product- oriented consulting and related qualified services Presentation April 28, 2004 13

  14. Slide 14: Effects

    . Effects • Prioritization of telecom business • Sale of Enea Software Solutions, Enea Redina and Enea Industry with a total of 120 employees • In 2003 these units had combined sales of around SEK 103 million and an operating profit of just over SEK 1 million • Some 20 employees mainly in support fu

  15. Slide 15: Why streamline?

    Why streamline? • Enea’s relatively small size demands a niche strategy • Exploit Enea’s comparative strengths – Global technological leadership – World-leading position in the telecom segment – Investments in a new basic architecture – A high level of skill and innovativeness Presentation April 28,

  16. Slide 16: Market for real-time operating systems

    Market for real-time operating systems • The global market for RTOS is estimated at around USD 750 million, of which telecom account for over one third • Underlying growth is around 15% annually • Enea is a leading player in the global market – It is estimated that Enea’s OSE product is found in ove

  17. Slide 17: Trends and drivers

    Trends and drivers • Recovery in the telecom sector • Consolidation of a fragmented industry structure • Increased IT content and level of sophistication in consumer and industrial products • New geographical telecom markets opening • Global rollout of 3G • Rising demand for more advanced telephones

  18. Slide 18: Overall strategies

    Overall strategies • Global product offering based on royalties and license fees • A comprehensive consulting and service offering with local presence in prioritized markets • Prioritize customers in the telecom sector • Increased market focus and more business-driven approach • Attract the industry

  19. Slide 19: Summary

    Summary • Streamlining of operations and stronger focus • Global product offering • Build up a comprehensive offering centered around the OSE product family with local consulting operations • Increased market focus and business model based on royalties and license fees • Sustainable profitability an

  20. Slide 20: Q1 2004 Q&A session

    Q1 2004 www.enea.se

Enea — Q1 2004 Earnings Presentation on 6ix