F-Secure Oyj · OMXHEX:FSECURE
F-Secure Oyj — Q4 2011 Earnings Presentation
29 slides from F-Secure Oyj's earnings presentation, Feb 1, 2012
Slide 1: F-Secure Corporation Interim report Q4 2011
F-Secure Corporation Interim report Q4 2011 (Unaudited) February 1, 2012 Christian Fredrikson, President & CEO Protecting the irreplaceable | f-secure.com
Slide 2: Contents
Contents 1. Highlights in Q4 and 2011 2. Financial performance in Q4 3. Operator business 4. Products and services 5. Market review 6. Strategy 2012 -2014 7. Outlook 2 February 1, 2012
Slide 3: 1. Highlights in Q4 and 2011
1. Highlights in Q4 and 2011 Protecting the irreplaceable | f-secure.com
Slide 4: Q4 highlights
Q4 highlights • Good financial performance – strong year-end • Total revenues growth accelerated to 16% reaching a record level of 40.0 million (Q42010: 34.4m) • EBIT 6.5million, 16% of revenues ( 3.6m; 10% of revenues / 5.6m; 15% of revenues) • Operator channel continued strong performance and grow
Slide 5: 2011 highlights
2011 highlights • Good financial performance – accelerating revenue growth throughout the year • Total revenues growth accelerated to 12% to a record level of 146.0 million (2010: 130.1m); EBIT grew by 19% to 23.6 million, 16% of revenues ( 19.8m; 15% of revenues / 21.8m excl. re-structuring) • Oper
Slide 6: 2. Financial performance in Q4
2. Financial performance in Q4 6 Protecting the irreplaceable | f-secure.com
Slide 7: Q4 Revenue and EBIT – Profitable growth continued
Q4 Revenue and EBIT – Profitable growth continued • Revenue growth accelerated driven EURm by the operator channel 45 40 • Total quarterly revenues 40.0m; growth of 16% (Q410: 34.4m) 35 30 • Operator revenues (incl. content cloud business) 24.3m, growth of 32% 25 compared to Q410 and 13% from Q311 2
Slide 8: Q4 Costs – Investments in operator channel and content cloud continued
Q4 Costs – Investments in operator channel and content cloud continued • Total costs increased to 31.7m +9%; EURm (Q410: 29.1m / 27.1m) 35 • Investments in accelerating the growth continued; 30 main focus areas being operator channel, content cloud, operating systems 25 • Include one-time write-off
Slide 9: Q4 Cash position – solid
Q4 Cash position – solid • Cash flow from operations was 7.1m EURm Steek acquisition positive (Q410: 7.2m) 120 Capital • Increased CAPEX 6m (2.4m) repayment 100 • Share buy backs: 152,955 shares in Q4 80 • Market value of liquid assets on • Dec.31, 201128.1m 60 • Sep.30, 2011 25.9m 40 • Dec .31, 201
Slide 10: Q4 Deferred Revenues
Q4 Deferred Revenues • Deferred revenues were at 38.3m EURm (37.2m) Deferred Revenues 45,0 • Healthy renewal license sales in the channel business 40,0 35,0 30,0 • Deferred revenues accrued in the balance sheet 25,0 • Dec.30,2011 38.3m 20,0 • Sep.30,2011 35.0 m 15,0 • Dec 30, 2010 37.2 m 10,0 5,0 0,
Slide 11: Q4 Number of personnel
Q4 Number of personnel • At the end of Q4: 942 1000 (Q311: 907; Q410: 812) 900 800 • During Q4 new recruitments: 700 supporting growth businesses; especially in the sales and 600 marketing, project delivery and 500 R&D in respect to content cloud 400 business. 300 200 • Re-skilling on-going; operato
Slide 12: 2011 Regional Revenue Split
2011 Regional Revenue Split 1-12/2011 1-12/2010 Rest of World Nordic Rest of countries World North 12 % 12 % Nordic 33% North countries America America 33 % 10 % 9% Rest of Rest of Europe Europe 46 % 45 % 12 February 1, 2012
Slide 13: 3. Operator business: Strong global partner network
3. Operator business: Strong global partner network Protecting the irreplaceable | f-secure.com
Slide 14: More than 200 operator partners globally
More than 200 operator partners globally and over 250 m broadband subscribers 14 February 1, 2012
Slide 15: Q4 - Excellent Operator business performance
Q4 - Excellent Operator business performance EURm • Q4 revenues of 24.3m (18.4m); growth of +32% YoY ; +13% QoQ 24 • Healthy security subscriber growth continued; 22 increase in subscriber rates 20 • Content cloud business in all progressing well 18 16 • Increasing interest in Content Cloud 14 Servi
Slide 16: 4. Products and Services
4. Products and Services 16 Protecting the irreplaceable | f-secure.com
Slide 17: Call for trusted and local services
Call for trusted and local services PUBLIC CLOUD FREE + GLOBAL OPERATOR CLOUD TRUSTED + LOCAL + PREMIUM 17 February 1, 2012
Slide 18: Future Cloud Services
Future Cloud Services F-Secure SYNC Web access through any device: • Windows PC & Mac • iPad/Android tablet • Android smartphone • iPhone 18 February 1, 2012
Slide 19: F-Secure Internet Security 2012 launched
F-Secure Internet Security 2012 launched • F-Secure Internet Security™ 2012 provides complete protection for computers and online life, delivered with a smooth user experience. F-Secure Internet Security 2012 combines industry-leading technologies for a sophisticated and multilayered defense against
Slide 20: 5. Market review
5. Market review Internet expansion, new devices and increasing use of social media strengthen the demand for value added services 20 Protecting the irreplaceable | f-secure.com
Slide 21: Market trends
Market trends • Internet growth continues globally • Mobile internet driving growth • Role of internet security significant for business over the Internet Internet • Smartphones and tablets growing in number • New devices connected to the Internet are coming to the markets New devices • Need for new
Slide 22: 6. F-Secure Strategy 2012-14
6. F-Secure Strategy 2012-14 22 Protecting the irreplaceable | f-secure.com
Slide 23: Strategy 2012-2014 - Profitable growth with internet security and content cloud via operators (1/2)
Strategy 2012- 2014 - Profitable growth with internet security and content cloud via operators (1/2) • F-Secure operates in growth markets • Security software market keeps growing • Content cloud opportunity emerging • Software as a Service business model is expected to continue high growth • Profit
Slide 24: Strategy 2012-2014 - Profitable growth with internet security and content cloud via operators (2/2)
Strategy 2012- 2014 - Profitable growth with internet security and content cloud via operators (2/2) • F-Secure’s competitive advantage • Based on the existing operator and service provider network and the relationship built over the years. • By helping operators to establish local, secure and trust
Slide 25: Strategy 2012-2014 - Financial targets
Strategy 2012- 2014 - Financial targets • During the strategy period the Company is aiming for double digit revenue growth (CAGR), driven by the Operator channel. • The Company will continue its investments in content cloud business but also in security services. • Profitability is expected to devel
Slide 26: 7. Outlook
7. Outlook 26 Protecting the irreplaceable | f-secure.com
Slide 27: Outlook for 2012
Outlook for 2012 • Operator channel business is expected to continue with healthy growth rates driven by good security and content cloud sales. • Overall uncertainty in the global economy may have impact on Operators’ interest to invest in new services, especially in new content cloud projects. • Th
Slide 28: Thank you!
Thank you! Forward-looking statements: Certain statements in this presentation are forward-looking, and the actual outcome could be materially different. Such forward-looking statements are based on F-Secure’s present plans, estimates, assumptions, projections and expectations and are subject to ris
Slide 29: Protecting the irreplaceable
Protecting the irreplaceable F-Secure.