Slide 1: StrongPoint Q2 2023
StrongPoint Q2 2023 14 July 2023
Slide 2: Agenda
Agenda Introduction Q2 2023 highlights Jacob Tveraabak Other financials Chief Executive Officer
Slide 3: Our purpose: Retail technology in every shopping experience
Our purpose: Retail technology in every shopping experience for a better and smarter life Driving Improving both Efficiency Boosting the in-store and Savings margins online experience for shoppers
Slide 4: Challenging macro environment also impacting grocery retailers
Challenging macro environment also impacting grocery retailers Inflation Discounters E-Commerce Price changes and increased Shoppers looking for cheaper Expensive for everyone, competitive pressure alternatives unprofitable for many Technology is a vital and integral part of the solution to these ch
Slide 5: Q2 2023 highlights
Q?2 2023 highlights 'S) StrongPoint
Slide 6: 2nd quarter revenue
2nd quarter revenue Revenue +5% MNOK 405 381 346 337 321 301 289 284 249 252 215 223 215 196 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23
Slide 7: 2nd quarter EBITDA
2nd quarter EBITDA EBITDA -8 MNOK MNOK 34 21 21 20 20 17 14 13 12 12 10 10 8 2 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23
Slide 8: 2nd quarter Cash flow from operational activities
2nd quarter Cash flow from operational activities MNOK 181** 112* +98 MNOK 60 35 38 22 16 12 7 4 -5 -11 -37 -44 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 * Q4 20 includes compensation Bane Nor with MNOK 56 and Profit from Discontinued operations Cash Securit
Slide 9: Continued customer success in priority areas
Continued customer success in priority areas
Slide 10: Continued customer success in priority areas
Continued customer success in priority areas ICA further scales Completed successful Vensafe pilots in the Baltics Electronic Shelf Labels AutoStore installation and South Africa
Slide 11: Further progress on 2025 strategic ambitions
Further progress on 2025 strategic ambitions
Slide 12: Further progress on 2025 strategic ambitions
Further progress on 2025 strategic ambitions Aste Finland New CFO Groundbreaking Partnership appointed Cash Management project
Slide 13: Other financials
Other financials
Slide 14: Earnings per share
Earnings per share EPS EPS adjusted* EPS per quarter EPS rolling 12 month NOK per share NOK per share 1.01 0.95 0.87 0.81 0.70 0.66 0.56 0.57 0.58 0.56 0.38 0.39 0.39 0.27 0.28 0.18 0.18 0.18 0.11 0.12 0.12 0.07 0.04 -0.02 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 * EPS
Slide 15: Cash Flow movements in 2023
Cash Flow movements in 2023 MNOK 18 2 40 12 7 40 16 47 5 37 Cash EBITDA Change Change Capex Purchase Change Dividend Other Cash 31.12.22 WC (LC) Overdraft / sale own long term 30.06.23 shares debt (IFRS 16)
Slide 16: Main working capital changes in 2023
Main working capital changes in 2023 MNOK 221 226 16 9 44 23 2 31.12.2022 Accounts Accounts Public/Other Large projects Inventory 30.06.2023 receivables payables current
Slide 17: Continued strong balance sheet
Continued strong balance sheet MNOK 0.5 1.08 0.95 1.61 2.00 Net leverage* 140 IFRS Liabilities 125 39 NIBD ex IFRS 67 72 43 4 Net Interest 25 75 68 82 101 37 Bearing Debt 35 -13 -8 -177 -141 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 * Net leverage = Net Debt / 12 months rolling EBITDA, inclusive IFRS
Slide 18: 2025 financial ambitions
2025 financial ambitions
Slide 19: StrongPoint's financial ambitions
StrongPoint’s financial ambitions Revenue in 2025 2.5Bn EBITDA 13-15%
Slide 20: Continuing recent historic growth will ensure revenue ambition in 2025
Continuing recent historic growth will ensure revenue ambition in 2025 Revenue 2019-2022 (MNOK) 2025 Revenue Ambition (MNOK) Organic ALS CAGR +19% 2500 1491* CAGR +22% 361* 942 981 824 1131 2019 2020 2021 2022 2025 *Proforma
Slide 21: Path to achieving EBITDA margin ambitions
Path to achieving EBITDA margin ambitions (Strategy Update Session) 2022 EBITDA Margin 2025 EBITDA Margin 13-15% 10-11% 10-11% 5.5% Instore E-com Spain StrongPoint Instore E-com Spain & StrongPoint Solutions Investments Solutions Contribution Special ex Spain ex Spain Projects
Slide 22: E-commerce: e-grocery focus on the UK market
E-commerce: e-grocery focus on the UK market • Grocery e-commerce penetration in the UK is at 12%, highest in Europe • Need for solutions to achieve sustained profitability in e-grocery • Predominately a home delivery market with costs rising fast
Slide 23: Spain & special projects: next generation cash management solution
Spain & special projects: next generation cash management solution CashGuard integrated into cashier counter Notes are automatically counted, checked, flattened and ready for cash-in-transit pickup In-store pilot in Q3 with groundbreaking next generation cash management solution for a major Iberian
Slide 24: Financial calendar 2023
Financial calendar 2023 Investor relations contact: • 23 October: Q3 2023 CEO Jacob Tveraabak jacob.tveraabak@strongpoint.com +47 908 21 370
Slide 25: Thank you!
‘S) StrongPoint Thank you!