Bouvet Asa · OSL:BOUV

Bouvet Asa — Q2 2018 Earnings Presentation

25 slides from Bouvet Asa's earnings presentation, Aug 24, 2018

  1. Slide 1: Interim presentation Second quarter 2018

    Interim presentation Second quarter 2018 Sverre Hurum, CEO Erik Stubø, CFO 24 August 2018

  2. Slide 2: Highlights in the quarter

    Highlights in the quarter Revenue and number of employees MNOK and number o Revenue and EBIT 500 450 • Operating revenues increased by 17.6 percent 400 350 to NOK 453.7 million (y‐o‐y) 300 250 • EBIT increased by 51.5 percent to NOK 55.7 200 150 million (y‐o‐y) 100 50 o 1 304 employees 0 Q2'13 Q2'14

  3. Slide 3: Operational Review

    ©) Operational Review

  4. Slide 4: Public and private sector

    Public and private sector Public sector Private sector 49.3 % 50,4 % in Q2’17 49,6 % in Q2’17 50.7 % 4

  5. Slide 5: Business sectors Q2 2018

    Business sectors Q2 2018 Other Bank & finance Retail 2.4 % 4.0 % Power supply 6.1 % Transportation 10.0 % 8.2 % Health 2.7 % Service industry Industry 5.4 % 4.3 % 5.6 % Info and communication Oil & gas 25.1 % 26.2 % Public admin 5

  6. Slide 6: Sectors with high increase in revenue

    Sectors with high increase in revenue o Public admin • Increased by 9.4 percent (y‐o‐y) • Represents 26.2 percent of total revenues in Q2’18 o Oil & gas • Increased by 40.3 percent (y‐o‐y) • Represents 25.1 percent of total revenues in Q2’18 o Power supply • Increased by 27.0 percent (y‐o‐y) • Repre

  7. Slide 7: HoloLens app developed for eSmart Systems

    HoloLens app developed for eSmart Systems o Connected drone mission analysis PoC • Part of eSmart’s Connected Drone Program • Rich data visualisation of AI findings • Workflow for resolving issues and creating work orders o Fully developed in‐house by Bouvet’s HoloLens team 7

  8. Slide 8: First Norwegian Mixed Reality Partner

    First Norwegian Mixed Reality Partner Matt Groom 16. aug. 2018 Just before the Summer, Bouvet became the first Norwegian company to be accepted into the Microsoft Mixed Reality Partner Program. Today, we're delighted to announce that Bouvet has been accredited as a Microsoft Mixed Reality Partner. T

  9. Slide 9: tu.no 17. juli 2018

    f v in pi : GAMING: Kjell Inge Skjanberg bygger et team av gamere og andre spesialister. EQUINOR Equinor ansetter gamere til a ferdigstille oljeplattformer Kan spare store kostnader. 2 7 &, AV: EIRIK HELLAND URKE | OLJE OGGASS | PUBLISERT: 17. JUL! 2018 - 10:53 F = 28 Hvis du kan utvikle dataspill,

  10. Slide 10: Customer and project mix

    Customer and project mix Variably priced contracts share of revenues Percentage o Project mix 100% • Variable contracts account for 97.2 percent of 90% total revenues 80% 70% o Customer portfolio 60% 50% • The 10 largest customers represent 37.4 percent Q2'13 Q2'14 Q2'15 Q2'16 Q2'17 Q2'18 of total r

  11. Slide 11: Customer development

    Customer development Revenue customer split MNOK o Existing customers* Existing customers* New customers (LTM)** • Accounted for 93.5 percent of revenues in Q2’18 500 450 o New customers** 400 • Customers won over the past year generated 350 revenues of NOK 29.3 million in Q2’18 300 250 200 150 100

  12. Slide 12: Regional organisation

    Regional organisation Trondheim 110 Bouvet Nord ansatte 502 Bouvet Øst ansatte 30 Sesam ansatte 78 Bouvet Bergen Bergen Borlänge ansatte Sandvika Oslo Ørebro Stockholm Haugesund 422 Bouvet Rogaland Sandefjord ansatte Stavanger Skien Arendal Kristiansand 76 Bouvet Sverige ansatte 22 Konsernstab 64 Bo

  13. Slide 13: Enthusiastic and competent employees

    Enthusiastic and competent employees o 1 304 employees at the end of the quarter Number of employees end of quarter • Up 44 from Q1’18 1400 1200 • 138 more employees in the past 12 months 1000 800 • Average number of employees in the quarter up 600 11.2 percent from Q2’17 400 200 0 Q2'13 Q2'14 Q2'15

  14. Slide 14: Enthusiastic employees

    Enthusiastic employees JANG Bouvetjentene stakk av med den gjeveste prisen! Regine Sagstad Berg 4. juni 2018 Camilla, Britt Marie og Catriona var deltakere i ett av to bouvetlag som var pameldt arets Hackathon under Festspillene i Bergen. Malet var a bygge en tidlig utgave av en digital delingsplatt

  15. Slide 15: Financial Review

    ©) Financial Review 15

  16. Slide 16: Key figures

    Key figures Three months ending Twelve months ending MNOK 30.06.2018 30.06.2017 Change 30.06.2018 30.06.2017 Change Operating revenue 453.7 385.7 17.6 % 1 718.6 1 467.4 17.1 % Operating profit (EBIT) 55.7 36.8 51.5 % 172.4 123.0 40.2 % EBIT margin 12.3 % 9.5 % 10.0 % 8.4 % Ordinary profit before tax

  17. Slide 17: Revenue

    Revenue Revenue split (quarterly figures) MNOK Own consultants o Revenues increased by 17.6 percent y‐o‐y 500 Sub‐contracted consultants 400 Other • Revenues from own consultants increased by 18.7 300 percent to NOK 377.9 million 200 • Revenues from sub‐contracted consultants increased by 100 10.8 p

  18. Slide 18: Revenues from own consultants

    Revenues from own consultants Revenue per employee (quarterly figures) o Increased 18.7 percent y‐o‐y TNOK 350 • Positive impact from increase in billing ratio by 0.7 300 percentage points 250 200 • Positive impact from 11.2 percent increase in average 150 100 number of employees 50 • Positive impac

  19. Slide 19: Analysis of change in revenues y-o-y

    Analysis of change in revenues y‐o‐y Revenue MNOK 40 34.7 35 30 25 20 15 11.0 10.8 10 5.8 5 3.7 2.8 2.8 2.6 0.8 0 ‐5 ‐7.0 ‐10 No. of Hourly rate No. of work Sub‐contractors Vacation Overtime/ extra Billing ratio Other income Other effects Progress in employees days work‐hours projects 19

  20. Slide 20: Change in revenues – effect on EBIT

    Change in revenues – effect on EBIT Revenue MNOK 40 Change in Revenue Effect on EBIT 34.7 35 30 25 20 15 11.0 10.8 10 7.2 7.5 7.4 5.8 5 3.7 2.8 2.8 2.6 1.9 0.4 0.6 0.6 0.8 0.8 0.8 0 ‐5 ‐4.8 ‐7.0 ‐10 No. of Hourly rate No. of work Sub‐ Vacation Overtime/ Billing ratio Other income Other effects Progr

  21. Slide 21: Earnings

    Earnings EBIT and EBIT margin MNOK and Percent o Operating profit (EBIT) up by 51.5 percent to NOK 60 EBIT EBIT margin 15.0 % 55.7 million 50 40 10.0 % o EBIT margin of 12.3 percent compared to 9.5 percent 30 in Q2’17 20 5.0 % 10 o Operating expenses increased by 14.1 percent 0 0.0 % compared to Q2’

  22. Slide 22: Cash flow

    Cash flow Cash flow from operations (per quarter) o Cash flow from operations MNOK 200 • NOK 31.8 million in Q2’18 compared to NOK 6.2 million in 150 Q2’17 100 o Last 12 months 50 0 • Operational cash flow over the last 12 months was NOK Q2'13 Q2'14 Q2'15 Q2'16 Q2'17 Q2'18 ‐50 173.3 million o Cash f

  23. Slide 23: Outlook

    Outlook 23

  24. Slide 24: Outlook

    Outlook o High demand o Increased demand for platform, IoT and cloud competence o Increased use of virtual reality, augmented reality and mixed reality o Too low delivery capacity in the IT consultancy sector 24

  25. Slide 25: Shareholders as of 24.08.2018

    Shareholders as of 24.08.2018 Shareholders Number of shares % of total VARNER KAPITAL AS 1 070 000 10,44 % VPF NORDEA AVKASTNING 985 331 9,61 % STENSHAGEN INVEST AS 736 699 7,19 % MP PENSJON PK 523 904 5,11 % HURUM SVERRE FINN 508 366 4,96 % VEVLEN GÅRD AS 453 502 4,42 % VIRTUS KAR INTERNATIONAL 431

Bouvet — Q2 2018 Earnings Presentation on 6ix