Enento Group Oyj · OMXHEX:ENENTO
Enento Group Oyj — Asiakastieto Group — Q4 2016 Earnings Presentation
33 slides from Enento Group Oyj's earnings presentation, Feb 16, 2017
Slide 1: Asiakastieto Group Plc Financial Statements 1.1.-31.12.2016
©) asiakastieto.fi iS os © “4 x . \ i | ee ASIAKASTIETO GROUP PLC 16 February 2017 - CEO Jukka Ruuska FINANCIAL STATEMENTS 1.1. — 31.12.2016
Slide 2: Contents
CONTENTS Asiakastieto in brief Highlights 2016 • Strategy Review: AT Future 2020 • Intellia Acquisition • Changes in Product Area Structure • Launching of New Services 2016 Overview Q4 / 2016 and FY 2016 Future Growth Potential 2
Slide 3: Asiakastieto in brief
ASIAKASTIETO IN BRIEF One of the leading Finnish providers of business and consumer information services Products and services primarily used for risk management, finance and administration, decision- making and sales and marketing Largest customer industries include finance and banking as wel
Slide 4: The core of Asiakastieto's business operations is the database
THE CORE OF ASIAKASTIETO’S BUSINESS OPERATIONS IS THE DATABASE 4
Slide 5: Asiakastieto's service development
ASIAKASTIETO’S SERVICE DEVELOPMENT 5
Slide 6: Highlights 2016
HIGHLIGHTS 2016 ~» 2 oO; —— A Ales (eo A |Q OO} loo AM LIE @©asiakastieto.fi
Slide 7: Strategy Review AT Future 2020
STRATEGY REVIEW AT Future 2020
Slide 8: AT Future 2020
Al Future 2020 spt ruture 2020 sion Best decisions easily Vision Best Decisions Easily. Distinctive Capabilities The wost urorTaNT TEN katt Understanding of the Modelling, Insight of Data Base Predictive Operations Methods Risk Management o Sector Processes Data Structure $ New regulation a Dison Ke
Slide 9: Intellia Acquisition
INTELLIA Acquisition A J _0 oo; —_ A OO} joo *pelfesl | & aalriesfo @©asiakastieto.fi
Slide 10: Asiakastieto + Intellia
(ASIAKASTIETO + INTELLIA) > 2 ASIAKAS- Compre- Wide Modelling and Anal- Strong TIETO hensive Client ysis Com- Brand Database Base petence STRONG EXPANSION SERVICE OF SERVICE DEVELOP- OFFERING MENT CAPACITY + GROWTH POTENTIAL CUSTOMER CROSS SELLING POTENTIAL OPPORTU- NITIES Capabili- Customer Easy-to
Slide 11: Changes in Product Area Structure
CHANGES in Product Area Structure
Slide 12: Product area structure 1.1.2017
PRODUCT AREA STRUCTURE 1.1.2017 Business Information Services Consumer Information Services Customer Management Services Real Estate and Collateral Information Services 12
Slide 13: Launching of New Services
LAUNCHING of New Services “ ca _o oo; —_ A OO} joo *pelfesl | & oa Piles |e @©asiakastieto.fi
Slide 14: Examples of new services 2016
EXAMPLES OF NEW SERVICES 2016 3D Decision Making System Q1 / 2016 Wide-ranged Cross Border Services Q1 / 2016 Extended Open Business Information Services Q2 / 2016 Extended Land Information Services Q2 / 2016 PEP Check and Sanction Lists Q3 / 2016 New Company Analysis Reports Q4 / 2016 New CRM Insta
Slide 15: Overview Q4 / 2016
OVERVIEW Q4 / 2016 a. oO; —— A Ales (eo A |Q OO} loo AM LIE @©asiakastieto.fi
Slide 16: Overview of Q4 / 2016
OVERVIEW OF Q4 / 2016 EUR million (unless stated Q4 / 2016 Q4 / 2015 FY 2016 FY 2015 otherwise) The brisk growth continued in Q4. Net sales 12,6 11,4 49,2 43,7 Growth (year-on-year) 11,2 % 7,7 % 12,5 % 5,6 % Positive volume growth component. 5,1 5,4 21,7 20,5 Adjusted EBITDA Share of new servi
Slide 17: Quarterly net sales
QUARTERLY NET SALES EUR million Net sales grew in all product areas, especially in Consumer Information. 12,9 12,6 12,0 11,7 11,3 11,4 Net sales was affected by net sales of 10,5 10,5 10,5 new services, volume component and acquisition of Intellia Oy. Q4 2014Q1 2015Q2 2015Q3 2015Q4 2015Q1 2016Q2
Slide 18: Net sales growth
NET SALES GROWTH Net sales growth (year-on-year) 13,6% 13,4% 11,6% 11,2% 9,7% 7,7% 3,5% 1,6% Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 18
Slide 19: Revenue by product area
REVENUE BY PRODUCT AREA EUR million Net sales growth Q4 2015 Q4 2016 especially high in Customer Management Business 6,5 due to Intellia acquistition. +0,0 % Information 6,5 Consumer Information growth high due to new 3,4 services and volume. Consumer +19,2 % Information 4,1 Customer 0,8 +69,0 %
Slide 20: New services share of net sales
NEW SERVICES SHARE OF NET SALES Development portfolio of new services is 10,1% strong. 9,6% 8,6% 8,8% 8,3% Share of new services in third and fourth 7,2% quarter was lower due to ordinary fluctuation in timing of projects. 6,0% 5,0% During the fourth quarter new company analysis reports were
Slide 21: Value-added services share of net sales
VALUE-ADDED SERVICES SHARE OF NET SALES 66,9% Strong continued demand for value- 65,4 % 65,4% 65,0% added services. 64,3% Good sales especially in real estate 59,4% information services, risk indicators and personal classification services. 56,1% 53,1% 2013 2014 2015 2016 Q1 2016 Q2 2016 Q3 2016
Slide 22: Adjusted EBITDA was affected by one-off personnel expenses
ADJUSTED EBITDA WAS AFFECTED BY ONE- OFF PERSONAL EXPENSES 1,3 0,0 -0,3 EUR million -1,1 5,4 -0,2 0,0 5,1 Adjusted Net sales Other Materials and Personnel Other Capitalised Adjusted EBITDA in Q4 operating services expenses operating own work EBITDA in Q4 2015 income expenses 2016 22
Slide 23: Free cash flow
FREE CASH FLOW EUR million Free cash flow was at the same level as in corresponding period. 5,2 4,7 4,6 Cash flow impact of tangible and intangible assets was EUR -1,4 3,9 4,0 million in fourth quarter. 3,3 3,5 1,9 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 23
Slide 24: Strong key indicators
STRONG KEY INDICATORS EUR million (unless stated Strong cash position of EUR 22,6 otherwise)1 Q4 / 2016 Q4 / 2015 FY2016 FY 2015 million. Net debt 47,0 48,5 47,0 48,5 Operating cash flow for full year Net debt / adjusted EBITDA 2,3x 2,2x 2,2x 2,4x 2016 EUR 20,8 million. Gearing, % 59,9 % 62,1 %
Slide 25: Long-term targets and guidance 2017
LONG-TERM TARGETS AND GUIDANCE 2017 Financial targets1 Growth Achieve 5 to 10 percent annual average growth in net sales Profitability Maintain profitability level of current services Balance sheet structure Maintain net debt to EBITDA of less than 3,0x while continuing to maintain an efficient capi
Slide 26: Summary Financial Statements Q4 / 2016
SUMMARY Financial Statements Q4 / 2016
Slide 27: Summary income statement
SUMMARY INCOME STATEMENT EUR million Q4 / 2016 Q4 / 2015 Full year 2016 Full year 2015 Net sales 12,6 11,4 49,2 43,7 Other operating income 0,0 0,0 1,1 0,1 Materials and services -2,4 -2,1 -9,2 -7,5 Personnel expenses -3,6 -2,4 -12,1 -10,8 Other operating expenses -2,1 -1,8 -7,9 -8,7 Work performed
Slide 28: Summary balance sheet
SUMMARY BALANCE SHEET EUR million 31.12.2016 31.12.2015 EUR million 31.12.2016 31.12.2015 ASSETS EQUITY AND LIABILITIES Goodwill 113,9 111,4 Share capital 0,1 0,1 Other intangible assets 8,2 5,5 Invested unrestricted equity Property, plant and equipment 1,4 4,3 reserve 112,4 116,6 Deferred tax asset
Slide 29: Summary cash flow
SUMMARY CASH FLOW EUR million Q4 / 2016 Q4 / 2015 Full year 2016 Full year 2015 Cash flows from operating activities Result before income tax 4,1 4,6 18,9 14,4 Depreciation and amortisation 0,7 0,5 2,5 2,3 Finance income and expenses 0,3 0,3 1,1 1,4 Profit (-) / loss (+) on disposal of property, pla
Slide 30: Future Growth Potential
FUTURE Growth Potential » cD o A oo; —_ A *pelfesl | & paket |o @©asiakastieto.fi
Slide 31: Asiakastieto growth formula
ASIAKASTIETO GROWTH FORMULA 31
Slide 32: Asiakastieto's compliance services
ASIAKASTIETO’S COMPLIANCE SERVICES Authorised Signature Check GDPR Rating Alfa Beneficial Owners Proper Identifi- Population Lending cation Registry Data Sanction Lists BANK BANK Corporate Responsibility Knowing PEP Connection Customer Check Map ESG Solvency Requirements FATCA Company Decision Maker
Slide 33: Questions
©)asiakastieto.fi Questions & Answers Mi ® ASIAKASTIETO GROUP PLC