Nordhealth As · OSL:NORDH
Nordhealth As — Q4 2021 Earnings Presentation
26 slides from Nordhealth As's earnings presentation, Mar 8, 2022
Slide 1: Q4 2021 Presentation
Q4 2021 Presentation March 8, 2022
Slide 2: Today's presenters
Today’s presenters blablabla Charles MacBain Mari Orttenvuori CEO CFO 2
Slide 3: Company updates
Company updates Charles MacBain, CEO 3
Slide 4: Our mission: Improve the daily lives of healthcare professionals
Our mission Improve the daily lives of healthcare professionals 4
Slide 5: Nordhealth is the leading Nordic healthcare SaaS company
Nordhealth is the leading Nordic healthcare SaaS company 2021 business overview Pan-Nordic company growing internationally • We build & acquire practice management software (PMS) in select healthcare Incubator niches. Currently, our software solutions target veterinary, physiotherapy, 2.5% psychothe
Slide 6: Our growth strategy
Our growth strategy 1. Hire, develop and empower A players and build great teams that can help us scale to a €110M+ ARR business 2. Focus on attractive healthcare niches. Currently, veterinary and therapy 3. Build one modern, easy-to-use and efficient cloud-based software per healthcare niche that a
Slide 7: Accelerated through our acquisition and migration strategy
Accelerated through our acquisition and migration strategy Several acquisitions completed since 2005 2005 2009 2017 2019 2019 Acquired Praktiikka → Entering the therapy Acquired Sanimalis and Acquired Provet Pet segment Acquired Navicre Acquired Trofast Vetserve 2021 2021 2022 2022 Acquired parts of
Slide 8: KPIs performing according to plan
KPIs performing according to plan 114% organic +10% organic 23% organic 102% total net retention rate new customer recruitments ARR growth ARR growth 2021 2021 2021 2021 92% EUR 0.30 1.5% organic EUR 24.0M recurring revenue ARR per share ARR gross churn Signed ARR Q4 2021 YE 2021 2021 YE 2021 8
Slide 9: 92% CAGR growth in recurring revenue streams
92% CAGR growth in recurring revenue streams EURm 24.0 10.5 +92% 11.9 1.6 1.0 9.6 1.4 5.4 3.4 0.8 YE 2018 ARR Net retention New customers YE 2019 ARR Net retention New customers YE 2020 ARR Net retention New customers YE 2021 ARR (M&A / organic (M&A / organic (M&A / organic growth) growth) growth) 9
Slide 10: 102% YoY ARR growth
102% YoY ARR growth EURm 24.0 0.5 +102% 8.8 +23% 14.7 0.2 1.8 11.9 1.2 YE 2020 ARR New signed ARR Net upsell Churn YE 2021 ARR excl. Aquisitions Aquisitions organic YE 2021 ARR incl. acquisitions growth acquisitions 10
Slide 11: 2021 Contribution Margin of 65.2% on recurring revenues
2021 Contribution Margin of 65.2% on recurring revenues Contribution Margin EUR in millions 2021 Recurring revenue 18.45 Commentary COGS (3.00) Customer Service & Support (2.79) Contribution margin Maintenance Development (10% of development) (0.63) • The contribution margin 1 is the FCF generated f
Slide 12: KPIs performing according to plan for 2021
KPIs performing according to plan for 2021 New hires Payments New customers New Product Hired 34 net new employees in Q4 Net retention was driven by Majority of new signed ARR comes Began development and presales new • 5 in support increased adoption of our Nets from small and mid-size clinics and d
Slide 13: Financial updates
Financial updates Mari Orttenvuori, CFO 13
Slide 14: 5% QoQ ARR growth
5% QoQ ARR growth EURm +5% • Strong new signed ARR growth across both 24.0 veterinary and therapy business units 22.9 0.8 0.1 0.5 • Q3/2021 organic signed ARR growth 2,6% • Acquired companies still on legacy platform are slowing growth • Net upsell impacted positively by the partnership agreement si
Slide 15: Solid uptick in Q4 2021 vs. Q4 2020
Solid uptick in Q4 2021 vs. Q4 2020 Reported financials (EURm) +92% 6.4 • Q4’21 Adjusted revenue of EUR 6.40m, up 78% 5.9 YoY • Q4’21 Adj. recurring revenue of EUR 5.90m, up 92% YoY • Revenues adjusted for consulting business 3.6 divested in Q4/2020 3.1 • 2021 YTD Adj. EBITDA decreased in accordance
Slide 16: Strong cash flow generation
Strong cash flow generation EURm Reported income Adjusted EBITDA 20.3 Adjusted free cash flow • Positive operative cash flow driven by negative NWC 13.0 • Adjusted free cash flow EUR 4.6m in 2021 with a cash-based adjustment of EUR 2.4m related to IPO/M&A expenses 7.7 5.1 4.6 3.5 2.9 1.9 -0.3 -0.4 -
Slide 17: Profit & Loss Statement
Profit & Loss Statement Recurring revenues Q4’21 EUR 5.9m, up 85% YoY Reported P&L - Group consolidated • Total revenues Q4’21 EUR 6.4m, up 66% YoY Unaudited Unaudited Unaudited Audited • Recurring revenue 92% of total revenues in EUR in thousands Q4/2021 Q4/2020 2021 2020 Recurring revenue 5 900 3
Slide 18: Balance Sheet
Balance Sheet Reported balance sheet – Group consolidated Unaudited Audited EUR in thousands 31 Dec 2021 31 Dec 2020 Change in assets Intangible assets 4 556 2 435 Deferred tax assets 45 - • Nordhealth transferred EUR 46.5m of cash Other capitalized long-term expenses 68 34 Goodwill 43 002 4 135 to
Slide 19: Cashflow
Cashflow Reported cash flow statement – Group consolidated Cash flow from operating activities Unaudited Unaudited • Positive cash flow from operations, driven by EUR in thousands Q4/2021 31 Dec 2021 Cash flow from operations negative NWC Profit before income taxes (2 023) (4 646) • IPO/M&A cost adj
Slide 20: 2022 Forecast
2022 Forecast Charles MacBain, CEO 20
Slide 21: Forecasting 20-25% organic growth in 2022, excluding acquisitions
Forecasting 20-25% organic growth in 2022, excluding acquisitions ARR Forecast Investing to accelerate organic growth EUR in millions Low High • Significant ramp-up of product development spending to: YE 2021 ARR 24.0 24.0 Organic Growth (excl. 2022 acquisitions) 4.8 6.0 a) Accelerate localization o
Slide 22: 2021 Group financial statements and Q1 2022
2021 Group financial statements and Q1 2022 2021 Group financial statements update on 29 April 2022 and Q1 2022 on 20 May 2022 22
Slide 23: Q&A
(X) nordhealth Q&A <p
Slide 24: (X] nordhealth
(X] nordhealth
Slide 25: Appendix
Appendix Qu Foo oo
Slide 26: Our products
Our products Electronic Health Record Occupational and Speech Veterinary Physiotherapists Psychotherapists Software therapists World leading position Leaders in Norway and Finland, aiming to expand Practice Management Appointment Calendar & Invoicing Unified Communication Inventory management Softwa