Ssh Communications Security Oyj · OMXHEX:SSH1V

Ssh Communications Security Oyj — Q1 2004 Earnings Presentation

15 slides from Ssh Communications Security Oyj's earnings presentation, April 2004

  1. Slide 1: Financial Results January 1 – March 31, 2004

    SSH COMMUNICATIONS SECURITY CORP FINANCIAL RESULTS January 1 – March 31, 2004 WELCOME! COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 1

  2. Slide 2: Business Review

    Business Review January 1 – March 31, 2004 Johanna Lamminen CFO SSH Communications Security Corp COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 2

  3. Slide 3: Highlights 1Q04

    Highlights 1Q04 ƒ Net sales for January-March totaled EUR 1.7 million, down 53 percent year on year (EUR 3.6 million in Q1/2003) ƒ Compared to the net sales of products belonging to the SSH Tectia™ solution net sales fell by 14 per cent year on year ƒ Due to the slower than expected progress of cust

  4. Slide 4: Market and Sales Development During 1Q04

    Market and Sales Development During 1Q04 ƒ SSH’s customers became more active in requesting tenders and launching SSH Tectia product tests, although the conclusion of actual contracts was still a slow process ƒ Currently being tested by more than 30 customers, the new SSH Tectia Manager product was

  5. Slide 5: Business Outlook 2004

    Business Outlook 2004 ƒ Customers will remain careful with their investment decisions, and will tend to split their larger IT investments into smaller sub-projects ƒ Strengthening of sales organization continues in key markets ƒ New SSH Tectia Manager and SSH Tectia Connector products in key roles i

  6. Slide 6: Financials

    FINANCIALS January 1 – March 31, 2004 Johanna Lamminen CFO SSH Communications Security Corp COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 6

  7. Slide 7: Financial Highlights 1Q04

    Financial Highlights 1Q04 ƒ Net sales EUR 1.7 million (EUR 3.9 million in 2003) ƒ Operating results EUR –2.1 million (EUR -1.9 in 2003) ƒ Fixed costs decreased by about EUR 1.2 million compared to the year 2003 ƒ Strong balance sheet and financial position ƒ Equity ratio 96.0 % (92.9%) COPYRIGHT © 2

  8. Slide 8: Key Financials 1Q04

    Key Financials 1Q04 EUR 1000 1Q04 % of sales 1Q03 % of sales Revenues 1 661 3 566 Gross Margin 1 630 98.1 % 2 860 80.2 % Research and Development 1 043 62.8 % 1 639 46.0 % Sales and Marketing 2 039 122.8 % 2 515 70.5 % Administration 693 41.7 % 824 23.1 % Other Operating Income 39 168 EBIT -2 106 -1

  9. Slide 9: Quarterly Financials 1Q03–1Q04

    Quarterly Financials 1Q03–1Q04 EUR 1000 1Q04 4Q03 3Q03 2Q03 1Q03 2003 Revenues 1 661 2 853 3 347 4 085 3 566 13 851 Gross Margin 1 630 2823 2 827 2 835 2 860 11 345 Research and Development 1 043 1 179 1 144 1 218 1 639 5 178 Sales and Marketing 2 039 2 704 2 033 2 330 2 515 9 582 Administration 693

  10. Slide 10: Development of Costs Structure

    Development of Costs Structure Sales & Marketing EUR million Research & Development Administration 10 9 8 7 6 5 4 3 2 1 0 1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 10

  11. Slide 11: Net Sales by Market in 1Q04

    Net Sales by Market in 1Q04 Asia Pacific Asia Pacific Americas 9.2% Americas 8.7% 59.1% 54.8% Europe Europe and and Rest of Rest of World World 31.7% 36.5% 1Q04 EUR 1.7 million 1Q03 EUR 3.6 million COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 11

  12. Slide 12: Development of Number of Personnel, Revenue and EBIT

    Development of Number of Personnel, Revenue and EBIT # of personnel EUR million Personnel Revenue EBIT 10 200 8 6 150 4 2 100 0 -2 -4 50 -6 -8 0 1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 12

  13. Slide 13: Financial Targets 2004

    Financial Targets 2004 ƒ SSH estimates that its net sales will be between EUR 10 million and EUR 12 million ƒ SSH estimates that the operating results for the full fiscal year 2004 will be negative COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 13

  14. Slide 14: Further Information

    Further Information: Arto Vainio, CEO +358 20 500 7400 Johanna Lamminen, CFO +358 20 500 7419 Kare Laukkanen, Director, IR +358 20 500 7433 THANK YOU! COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 14

  15. Slide 15: Net Sales and EBIT by Quarter

    Net Sales and EBIT by Quarter EUR million Net Sales Net Sales Trendline EBIT 10 8 6 4 2 0 -2 -4 -6 -8 4Q01 1Q02 2Q02 3Q02 4Q02 1Q03 2Q03 3Q03 4Q03 1Q04 COPYRIGHT © 2004 SSH COMMUNICATIONS SECURITY CORP. ALL RIGHTS RESERVED. www.ssh.com 15

SSH Communications Security — Q1 2004 Earnings Presentation on 6ix