Zalaris Asa · OSL:ZAL
Zalaris Asa — H1 2018 Earnings Presentation
19 slides from Zalaris Asa's earnings presentation, Aug 16, 2018
Slide 1: Interim Report | Q2 & H1 2018
Interim Report | Q2 & H1 2018 16 August 2018
Slide 2: Presenters and agenda
Presenters and agenda 1. Highlights 2. Financial performance in Q2/18 and H1/18 3. Market trends 4. Outlook Hans-Petter Mellerud Founder and CEO © zalaris 2018 Page: 2
Slide 3: Highlights | Strategy and operations
Highlights | Strategy and operations Integration completed, well positioned for further growth ▪ Integration of new Zalaris entities prioritized in the first six months ▪ Technical onboarding and system integration is now successfully completed, GDPR compliant and with ISO certification ▪ Extended B
Slide 4: Highlights | Financial
Highlights | Financial Growth in revenues, margins marked by integration ▪ Revenues reached NOK 189 Key figures million, an increase of 49 % Apr-June Jan-June compared to Q2/17 NOK million 2018 2017 2018 2017 Revenues 189 127 375 233 ▪ Long-term revenues show Operating profit1 1.5 7.2 12.8 18.0 Prof
Slide 5: Revenue split
Revenue split Organic growth, well aligned with market demand Distribution of revenues ▪ Growth through acquisitions, more by geography (in per cent) balanced presence across Europe. 3 4 2 ▪ Year-on-year organic growth was 21 8%, positively affected by timing of 32 40 38 40 project revenues ▪ Nordic
Slide 6: Customer reach
Customer reach Number of employees served by HR Outsourcing Number of employees served (1000’) ▪ Number of employees and group full time equivalent at the end of the 283 quarter were 840 and 779. 280 ▪ Number of customer employees served by HR Outsourcing per month is 283 000 272 271 ▪ Expansion int
Slide 7: Key financials
Key financials Second quarter 2018
Slide 8: Group operating revenues
Group operating revenues. Y-o-y revenues up NOK 62 million to nearly NOK 190 million Operating revenues ▪ Total revenue in Q2/18 was NOK 189 (in NOK million) million, NOK 62 million or 49% growth compared to the same quarter previous 200 194 186 189 year. ▪ Corresponding organic growth was 8 %, 151
Slide 9: Group operating profit | Integration activities affecting margins
Group operating profit | Integration activities affecting margins Group operating profit ▪ Q2/18 operating profit for the group was NOK (in NOK million) 1.5 million, representing a 0.8% margin ▪ While a decline in operating profit in the quarter 12,4 was expected, the level is not satisfactory 11,3
Slide 10: Financial position
Financial position Capital structure influenced by acquisitions Cash and cash flows Q2/18 Changes in balance sheet and cash flows (in NOK million) 60 0,6 8,9 ▪ Group cash and cash equivalents were NOK 37.4 million at the end of Q2/18 8,7 50 55,5 ▪ Cash flow from financing activities reflects repayme
Slide 11: Key financials | Business segment
Key financials | Business segment Second quarter 2018 Segment reporting includes only external revenues and external profit
Slide 12: Revenues by segment
Revenues by segment Growth in HR Outsourcing and Consulting HR Outsourcing Consulting Cloud Services (NOK million) (NOK million) (NOK million) ▪ Q2/18 revenues up 19.5% ▪ Revenues increased y-o-y with ▪ Cloud Services revenues growth compared with the same quarter NOK 37 million, mainly due to is ma
Slide 13: Profit by business segment ex. group overhead
Profit by business segment ex. group overhead Positioned to improve profit margins HR Outsourcing Consulting Cloud Services (NOK million) (NOK million) (NOK million) ▪ Operating profit in Q2/18 ▪ Operating loss of NOK 0.1 in ▪ Operating profit of NOK 2.0 million amounted to NOK 15.3 million or Q2/18
Slide 14: Market update and concluding remarks
Market update and concluding remarks
Slide 15: Leading Analyst Firm Names Zalaris a 'Major Contender'
Leading Analyst Firm Names Zalaris a ‘Major Contender’ Recognition marks Zalaris’ position as top provider of SAP SuccessFactors- based HR solutions and services Everest Group SuccessFactors-based human resources business processs services – Service provider landscape with services PEAK MatrixTM ass
Slide 16: Concluding remarks
Concluding remarks Priorities: Margin improvement and continued growth ▪ Zalaris enters a new era as ROC Group and sumarum AG are fully integrated; Stronger and better then ever before ▪ The integration efforts will enable synergy realization and margin improvement ▪ Zalaris’ key financial targets w
Slide 17: Important notice
Important notice This Presentation includes certain forward-looking statements relating to the business, financial performance and results of the Company and/or the industry in which it operates. Forward-looking statements relate to future circumstances and results and other statements that are not
Slide 18: We open for questions
As 2ALARIS We open for questions
Slide 19: Thank you!
Zalaris ASA Thank you! PO Box 1053 NO-0218 Oslo Hans-Petter Nina Stemshaug Mellerud CEO & Founder CFO +47 4000 3300 hans-petter.mellerud@zalaris.com nina.stemshaug@zalaris.com www.zalaris.com