Enento Group Oyj · OMXHEX:ENENTO
Enento Group Oyj — Asiakastieto Group — Q1 2019 Earnings Presentation
45 slides from Enento Group Oyj's earnings presentation, May 10, 2019
Slide 1: Interim Report 1.1.-31.3.2019
ASIAKASTIETO GROUP PLC INTERIM REPORT 1.1.-31.3.2019 CEO Jukka Ruuska 10 May 2019 Intelligent decisions. Bigger dreams.
Slide 2: Content
Content Asiakastieto Group in brief − Nordic company with strong local brands − Business areas and Functional units − Strategy 2019 Highlights of Q1 / 2019 − Integration progress − Business development − Acquisition of Solidinfo.se − Sustainability as a business opportunity Key ratios Q1 / 2019 2 As
Slide 3: A leading Nordic company in digital services and data innovation
A leading Nordic company in digital services and data innovation. Asiakastieto Group Oyj
Slide 4: Services based on analyzed and enriched data
We provide services based on analyzed and enriched data so that companies, individuals and societies can make intelligent decisions. Intelligent decisions allow our customers to grow. 4 Asiakastieto Group Oyj
Slide 5: Intelligent Decisions. Bigger Dreams.
Intelligent Decisions. Bigger Dreams. Asiakastieto Group Asiakastieto Group and UC AB have joined forces. ATT CAPITALISATION Operations continues under strong > company brands, Asiakastieto in 589.3 hare Finland and UC in Sweden. pp ee & Partners in A EX Nordic region LISTED ON and in Europe ae NASD
Slide 6: In the front within digitalization and data innovation
In the front within digitalization and data innovation 6 Asiakastieto Group Oyj
Slide 7: Key figures pro forma Q1 / 2019
Key figures pro forma Q1 / 2019 Net Sales Increase in Net Sales at comparable FX 34,5 MEUR 7,7 % Net Debt to Number of Personnel Adjusted Adjusted Adjusted EBITDA 31.3.2019 EBITDA EBITDA Margin 3,0 X 452 11,7 MEUR 34,0 % 7 Asiakastieto Group Oyj
Slide 8: Business areas and Functional units
Business areas and Functional units RISK DECISIONS SME AND CONSUMERS FINANCE SALES AND MARKETING IT AND AND HUMAN CUSTOMERS AND COMMS TECHNOLOGY INVESTOR RESOURCES CUSTOMER DATA MANAGEMENT RELATIONS DIGITAL PROCESSES 8 Asiakastieto Group Oyj
Slide 9: Business areas
Business areas Sales and marketing professionals can improve the Services in this business area include efficiency of their work and boost customer ‒ Real estate and apartment information management by our ‒ Information about buildings and their valuation ‒ Target group tools for surveying potential
Slide 10: Strategic themes 2019
Strategic themes 2019 Customer Engaged and Business Financial first competent development growth personnel
Slide 11: Growth formula
Growth formula New services Nordic Volume offering Cross Penetration / selling Market share Acquisitions Pricing 11 Asiakastieto Group Oyj
Slide 12: Long term financial targets
Long term financial targets Growth Achieve 5-10 percent average growth in Net sales. Profitability Achieve a rate of EBITDA growth that exceeds the percentage growth of Net sales. Balance sheet structure Maintain net debt to EBITDA of less than 3x while continuing to maintain an efficient capital st
Slide 13: Future outlook
Future outlook Net sales: Asiakastieto Group expects its net sales growth in 2019 to be in the middle of the range of its long-term target (5–10 %) or slightly below it compared to the previous year’s pro forma net sales. EBITDA: Asiakastieto Group expects its adjusted EBITDA, excluding the effect o
Slide 14: Highlights
Highlights 14 Asiakastieto Group Oyj
Slide 15: Highlights of Q1 / 2019
Highlights of Q1 / 2019 Sustainability Asiakastieto &UC Business Acquisition of as a business integration Development Solidinfo.se opportunity • Integration proceeds as planned • Continued development of new • Free company information services: • Acting in a responsible and services ‒ LOI signed on
Slide 16: Integration progress
Integration progress 16 Asiakastieto Group Oyj
Slide 17: Integration progressing as planned
Integration progressing as planned We were able to realize cost synergies as planned already during H2/2018. Cross sales and new services are in planning phase in all Business Areas. Synergy benefits of EUR 17 million (run rate 2021): We are proceeding according to plan. NORDIC COMPANY WITH STRONG L
Slide 18: Business development
Business development 18 Asiakastieto Group Oyj
Slide 19: New services share of net sales pro forma
New services share of net sales pro forma COMMENTS % of Net sales → Share of new services was 4,4 %. 9,0 → Three new services 8,3 8,6 8,2 8,2 launched during the first 7,6 7,8 quarter. 6,7 → Attributable to our integration projects and 4,4 the retargeting of our development portfolio at Nordic proje
Slide 20: Housing related services
Housing related services FINLAND SWEDEN Real Estate Information Services Real Estate Information Services • For banks, brokers and other users since 2010 • To be evaluated in 2019 if or what type of services could be • Services based on Real Estate Register data created based on Lantmäteriet’s data
Slide 21: Housing related services for banks and brokers
Housing related services for banks and brokers Customer processes Object Transaction Collateral Loan lifecycle: information and process management: Loan changes valuation Ownership and registrations and collateral pledgings. monitoring. Asiakastieto Group’s services for customer process Housing Apar
Slide 22: Income Intelligence
Income Intelligence Income Intelligence is an API service that enables the digital management of a pay slip document within a client’s online process, e.g. a loan application form or Process automation Quick decisions and cutting down the other webservice. manual work The pay slip is read in real-ti
Slide 23: Solidinfo.se
Solidinfo.se 23 Asiakastieto Group Oyj
Slide 24: Solidinfo.se
Solidinfo.se A website with more than 100 000 weekly unique visitors Similar free company information as allabolag.se service in Sweden and asiakastieto.fi/yritykset service in Finland Strengthen our position in the freemium corporate data segment Increase our digital accessibility Advance our marke
Slide 25: Sustainability as a business opportunity
Sustainability as a business opportunity 25 Asiakastieto Group Oyj
Slide 26: Acting in a responsible and sustainable manner
Acting in a responsible and sustainable manner DIRECT IMPACT SOCIETAL IMPACT INDIRECT SOCIETAL Customer Environment IMPACT Personnel Community Enabling our customer to act in responsible Shareholders and sustainable Security and privacy manner, for example: Laws and regulation ESG- Positive report d
Slide 27: Key ratios Q1 / 2019
Key ratios Q1 / 2019 Asiakastieto Group Oyj
Slide 28: Overview of Q1 / 2019
Overview of Q1 / 2019 EUR million (unless stated otherwise) Q1 / 2019 Q1 / 2018 FY 2018 COMMENTS Net Sales 34,5 15,1 98,1 → Q1/2019 was the third Growth (year-on-year) 128,8 % 8,9 % 74,6 % quarter with UC AB results consolidated to Asiakastieto Group. Adjusted EBITDA 11,7 6,4 36,1 Adjusted EBITDA ma
Slide 29: Overview of Q1 / 2019 pro forma
Overview of Q1 / 2019 pro forma EUR million (unless stated otherwise) Q1 / 2019 Q1 / 2018 FY 2018 COMMENTS Net Sales 34,5 32,8 134,3 → Net sales growth was Growth (year-on-year) 5,2 % n/a 3,6 % +5,2 % at reported FX rates and +7,7 % at comparable FX rates. Adjusted EBITDA 11,7 9,3 42,1 Adjusted EBIT
Slide 30: Quarterly net sales
Quarterly net sales EUR million 35,9 COMMENTS 34,5 31,4 → Q3-Q4/2018 and Q1/2019 with UC AB results consolidated to Asiakastieto Group. 15,1 15,7 13,8 14,4 14,6 13,3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2017 2017 2017 2017 2018 2018 2018 2018 2019 30 Asiakastieto Group Oyj
Slide 31: Quarterly net sales pro forma
Quarterly net sales pro forma Net sales at reported FX, EUR million COMMENTS Net sales at constant FX, EUR million → Net sales growth Q1/2019 35,9 35,7 34,6 34,1 34,0 34,5 34,5 was +5,2 % at reported FX 33,4 32,8 32,0 32,0 31,9 31,1 31,4 31,4 rates and +7,7 % at 30,4 30,7 29,6 comparable FX rates. Q
Slide 32: Net sales growth
Net sales growth Net sales growth, year-on-year, % COMMENTS 146,4 135,4 → Q3-Q4/2018 and Q1/2019 128,8 with UC AB results consolidated to Asiakastieto Group. 15,6 12,2 14,0 15,4 8,9 8,9 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2017 2017 2017 2017 2018 2018 2018 2018 2019 32 Asiakastieto Group Oyj
Slide 33: Net sales growth pro forma
Net sales growth pro forma Net sales growth at reported FX, year-on-year, % Net sales growth at constant FX, year-on-year, % COMMENTS 10,6 → FX comparable growth rate 7,7 %. → Growth driven by Risk 7,7 Decisions consumer risk 7,1 management solutions as 6,8 6,0 well as new services. 5,5 5,2 3,9 2,6
Slide 34: Revenue by product area pro forma
Revenue by product area pro forma COMMENTS 23,4 → Reported Net sales growth Q1/2018, EUR million negatively impacted by FX 21,3 Q1/2019, EUR million rate changes. + 9,6 % - 2,7% 7,3 7,1 - 18,5% + 19,0 % 2,5 2,0 2,0 1,7 Risk Decisions SME and Consumers Customer Data Digital Processes Management 34 As
Slide 35: Revenue by product area pro forma
Revenue by product area pro forma COMMENTS → Risk Decisions growth driven 23,4 Q1/2018, EUR million, at comparable FX by consumer risk management solutions. 20,8 Q1/2019, EUR million, at comparable FX → SME and Consumers developing well within online + 12,2 % consumer services in Sweden and SME offe
Slide 36: New services share of net sales pro forma
New services share of net sales pro forma COMMENTS % of Net sales → Share of new services was 4,4 %. 9,0 → Three new services 8,3 8,6 8,2 8,2 launched during the first 7,6 7,8 quarter. 6,7 → Attributable to our integration projects and 4,4 the retargeting of our development portfolio at Nordic proje
Slide 37: Adjusted EBITDA increased 20,8 % pro forma
Adjusted EBITDA increased 20,8 % pro forma (excl. IFRS 16 impact) 11,7 -0,0 -0,4 0,1 11,2 0,6 -0,2 -0,0 -0,1 2,5 9,3 Adjusted Net sales Other Materials Personnel Other Work FX impact Adjusted IFRS 16 Adjusted EBITDA in operating and expenses operating performed EBITDA impact EBITDA in Q1 2018 income
Slide 38: Free cash flow
Free cash flow COMMENTS 7,9 EUR million 7,3 → Non-recurring redundancy-related payments arising from operational restructuring impacted the free cash 4,8 flow by EUR -0,6 million. 4,3 4,1 3,9 3,5 2,4 1,5 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2017 2017 2017 2017 2018 2018 2018 2018 2019 38 Asiakastieto Group Oy
Slide 39: Key indicators
Key indicators EUR million Q1 / 2019 Q1 / 2018 FY 2018 COMMENTS (unless stated otherwise) Net debt 140,9 49,6 137,0 → Cash position of EUR 39,6 million. pro forma Net debt / adjusted EBITDA 3,0 1,9 3,3 → Net debt / adjusted EBITDA at 3,0x. Gearing, % 47,1 70,3 42,6 → Free cash flow containing EUR -0
Slide 40: Guidance 2019
Guidance 2019 Guidance1 Net sales Asiakastieto Group expects its Net sales growth in 2019 to be in the middle of the range of its long-term target (5–10 %) or slightly below it compared to the previous year’s pro forma Net sales. EBITDA Asiakastieto Group expects its adjusted EBITDA, excluding the e
Slide 41: Financials Q1 / 2019 Summary
Financials Q1 / 2019 Summary Asiakastieto Group Oyj
Slide 42: Q1 / 2019 Income statement
Q1 / 2019 Income statement EUR million Q1 / 2019 Q1 / 2018 FY 2018 Net sales 34,5 15,1 98,1 Other operating income 0,0 0,0 0,1 Materials and services -5,6 -3,2 -18,3 Personnel expenses -9,8 -3,5 -26,8 Other operating expenses -8,3 -3,8 -28,1 Work performed by the entity and capitalised 0,6 0,4 1,6 D
Slide 43: Income statement pro forma
Income statement pro forma EUR million Q1 / 2019 Q1 / 2018 FY 2018 Net sales 34,5 32,8 134,3 Other operating income 0,0 0,1 0,1 Materials and services -5,6 -5,3 -22,8 Personnel expenses -9,8 -10,1 -40,7 Other operating expenses -8,3 -9,9 -38,2 Work performed by the entity and capitalised 1,0 0,6 2,0
Slide 44: Q1 / 2019 Cash flow
Q1 / 2019 Cash flow EUR million Q1 / 2019 Q1 / 2018 FY 2018 Cash flows from operating activities Net cash from operating activities 9,9 2,8 19,6 Cash flows from investing activities Net cash used in investing activities -2,4 -1,5 -90,8 Cash flows from financing activities Net cash used in financing
Slide 45: Thank you!
Thank you! Further information: Antti Kauppila CFO +358 44 066 3925 antti.kauppila@asiakastieto.fi Pia Katila Investor Relations +358 50 347 0473 pia.katila@asiakastieto.fi 45 Asiakastieto Group Oyj