Slide 1: Interim Report January–September 2023
INTERIM REPORT JANUARY – SEPTEMBER 2023 27 OCTOBER 2023
Slide 2: INTERIM REPORT JANUARY–SEPTEMBER 2023
2 INTERIM REPORT JANUARY–SEPTEMBER 2023
Slide 3: Presentation of Addnode Group's Interim Report January–September 2023
PRESENTATION OF ADDNODE GROUP’S Interim report January – September 2023 JOHAN ANDERSSON LOTTA JARLERYD CEO CFO johan.andersson@addnodegroup.com lotta.jarleryd@addnodegroup.com +46 70 420 58 31 +46 72 247 92 01 3 INTERIM REPORT JANUARY–SEPTEMBER 2023
Slide 4: Agenda
AGENDA Interim report January – September 2023 1. Addnode Group in brief 2. Q3 2023 3. Sustainability 4. Q&A 5. Appendix a) Investment case b) Acquisitions 2023, 2022, 2021, 2020 c) Shareholders, September 30, 2023 d) Share performance, 1 year 4 INTERIM REPORT JANUARY–SEPTEMBER 2023
Slide 5: Addnode Group: Digital Solutions for a Sustainable Future
ADDNODE GROUP Digital Solutions for a Sustainable Future Addnode Group generate sustainable value growth by acquiring new businesses and actively support our R12 Q3 2023 Full year 2022 subsidiaries to drive organic growth. We are organised in three divisions: Net Sales EBITA • Design Management SEK
Slide 6: Q3 2023: Weaker USA Figures Cloud Outlook
ADDNODE GROUP Q3 2023: WEAKER USA FIGURES CLOUD OUTLOOK Highlights Q3 Q3 Rolling • Net sales increased by 11% to SEK 1,808 m 2023 2022 Change 12m ◦ Currency adjusted organic growth -9% Net sales, SEK M 1,808 1,624 11% 7,120 ◦ Recurring revenue reached SEK 1,283 m (1,193) EBITA, SEK M 132 194 -32% 64
Slide 7: Continued high share of recurring revenue, 71% of net sales in Q3'23
ADDNODE GROUP Continued high share of recurring revenue, 71% of net sales in Q3’23 Breakdown of net sales, SEK m Breakdown of net sales by Breakdown of net sales by Q3 2019–2023 category, Q3’23 geography, Q3’23 1,624 1,808 Other Sweden Services Licenses Other 97 1% 27% 23% 5% 14% 52 779 806 925 Germ
Slide 8: Three divisions
ADDNODE GROUP Three divisions Share of Net Sales* Share of EBITA* Q3 2023 Q3 2023 Process Design Process Design Management, Management, Management, 15% Management, 35% 37% 58% Product Lifecycle Management, 27% Product Lifecycle Management, 28% Addnode Group Net sales Q3 2023: SEK 1,808 m Addnode Gro
Slide 9: Design Management: Weaker US market and high comps
DESIGN MANAGEMENT Weaker US market and high comps Highlights Q3 Q3 Rolling • Net sales increased by 8% to SEK 1,055 m, currency 2023 2022 Change 12m adjusted organic growth -21% Net sales, SEK M 1,055 977 8% 4,050 ◦ Symetri EBITA, SEK M 57 118 -52% 347 ‒ Weaker net sales of Autodesk solutions, parti
Slide 10: Product Lifecycle Management: Stronger business performance and restructuring measures
PRODUCT LIFECYCLE MANAGEMENT Stronger business performance and restructuring measures Highlights Q3 Q3 Rolling • Net sales increased by 23% to SEK 484 m, currency 2023 2022 Change 12m adjusted organic growth 10% Net sales, SEK M 484 393 23% 1,840 ◦ Market conditions in Germany, the UK and the US wer
Slide 11: Process Management: Continued profitable organic growth
PROCESS MANAGEMENT Continued profitable organic growth Highlights Q3 Q3 Rolling • Net sales increased by 7% to SEK 280 m, organic 2023 2022 Change 12m growth 7% Net sales, SEK M 280 262 7% 1,270 ◦ Demand for the division’s consulting offerings was good, EBITA, SEK M 53 50 6% 237 especially for servi
Slide 12: Consolidated Cash Flow Q3 2023
CONSOLIDATED CASH FLOW Q3 2023 Q3 Q3 YTD Sep YTD Sep Cash flow, SEK m 2023 2022 Change 2023 2022 Change Operating profit 70 143 -73 275 378 -103 Adjustments for non-cash items 90 86 4 264 210 54 Other -41 -38 -3 -127 -99 -28 Cash flow from operations before working capital changes 119 191 -72 412 48
Slide 13: Consolidated Financial Position September 30, 2023
CONSOLIDATED FINANCIAL POSITION September 30, 2023 Sep 30, Sep 30, Dec 31, Balance sheet, SEK m 2023 2022 Change 2022 Change Intangible non-current assets 4 038 3 423 615 3 409 629 Other non-current assets 322 344 -22 276 46 Net working capital -495 -521 26 -598 102 Total assets 3 865 3 246 619 3 08
Slide 14: Sustainability Agenda
SUSTAINABILITY AGENDA ❶ ❷ ❸ ❹ Digital solutions that Care for people and The way we work with Long-term financial contribute to the planet in our own our partners and viability sustainable operations suppliers development 5 Sustainability management and governance 14 INTERIM REPORT JANUARY–SEPTEMBER
Slide 15: Sustainability Cases Q3 2023
SUSTAINABILITY CASES Q3 2023 Full versions at https://www.addnodegroup.com/en/sustainability Interaxo improves and facilitates Modelling and simulation solutions for Notification tools for port logistics help documentation and coordination optimised energy use in EV to reduce idling Tribia, in the D
Slide 16: Addnode Group as an Investment
ADDNODE GROUP AS AN INVESTMENT ❶ ❷ ❸ ❹ Sustainable digital solutions Organic and acquisition-led Attractive business model Diversification spreads risk • We provide digital solutions for growth • High share of recurring revenues. • We are active in numerous design, simulation, product data • Our str
Slide 17: Questions & Answers
QUESTIONS & ANSWERS 17 INTERIM REPORT JANUARY–SEPTEMBER 2023
Slide 18: Appendix
APPENDIX 18 INTERIM REPORT JANUARY–SEPTEMBER 2023
Slide 19: Organic and acquisition-led growth strategy
ADDNODE GROUP Organic and acquisition-led growth strategy ORGANIC ACQUISITIONS Decentralised Complementary responsibility and business or authority markets Strategic support Values based leadership Synergies and collaboration Attractive valuation OUR STRATEGY We create sustainable growth in value by
Slide 20: Acquisitions 2023 YTD
ACQUISITIONS 2023 YTD FAST2 Key Performance Team D3 Leading Swedish supplier of Partner to Dassault Systèmes, One of the largest Autodesk business systems for real estate operating in North America and partners in the US, with a focus companies. Its proprietary Europe. Focused on Model- in the Manuf
Slide 21: Acquisitions 2022
ACQUISITIONS 2022 Claytex Desys Microdesk Decisive Claytex specializes in advanced DESYS service offering is based Microdesk is a Platinum partner Rule-based decision simulation and virtual testing, on Dassault Systèmes’ platform, to Autodesk and provides con- management systems. Assists with focus
Slide 22: Acquisitions 2022, cont.
ACQUISITIONS 2022, cont. JBL JBL’s service offering is based on Dassault Systèmes’ platform, the team adds resources and competence within oil and gas, infrastructure and renewable energy. Division Product Lifecycle Management New employees 2 Annual sales 15 SEK M 22 INTERIM REPORT JANUARY–SEPTEMBER
Slide 23: Acquisitions 2021
ACQUISITIONS 2021 S-Group Solutions Elpool Procad Budsoft Specialised in business- Develops digital solutions Autodesk partner and a Budsoft is a Poland related GIS solutions for that offers many features that trusted advisor to many of based, Dassault Systèmes municipalities, water and is used by p
Slide 24: Acquisitions 2020
ACQUISITIONS 2020 Excitech Unizite Netpublicator Scanscot Technology Largest Autodesk partner in UK Norwegian developer of a Develops digital services for Swedish Dassault Systèmes market and leading provider of mobile field tool that makes efficient document and meeting partner. Nordic leader in de
Slide 25: Shareholders September 30, 2023
SHAREHOLDERS September 30, 2023 Owner Shares class A Shares class B Share capital, % Voting rights, % Managements shareholdings Aretro Capital Group AB 2,501,328 4,738,496 5.4 17.5 • Johan Andersson, CEO, 400,000 shares and Verg AB 1,446,668 1.1 8.5 38,000 call options for 92,000 B-shares Lannebo Fo
Slide 26: Addnode Group, Share Price Development 1 Year
ADDNODE GROUP, SHARE PRICE DEVELOPMENT 1 Year (2022-10-17 – 2023-10-13) 22-10-17 23-10-13 Change, % Addnode Group 83,80 68,65 -18 Nasdaq Stockholm 728,48 801,05 10 • Average daily traded volume in Q3 2023 reached 238 thousand shares, down from 246 thousand in Q2 2023 • Total number of shareholders w