Hilan Ltd. · TASE:HLAN
Hilan — Investor Presentation (May 2020)
19 slides from Hilan's investor presentation, May 2020
Slide 1: Hilan Group Capital Market Presentation May 2020
Hilan Group Capital Market Presentatione May 2020
Slide 2: Forward-looking information
Forward- looking information The presentation includes the Company's forecasts, estimates and plans regarding its activities, which constitute forward-looking information as defined in the Securities Law, 5728-1968, the realization of which are not certain and which may be influenced by factors that
Slide 3: Implications of the spread of the Coronavirus for the Company's business activities
© The implications of the spread of the Coronavirus (COVID-19) for the Company's business activities “+ Despite a slight slowdown in Group activity due the Coronavirus (COVID-19) crisis, this development has no significant impact on the Company or on the Group companies. This is due to: “ The charac
Slide 4: Profile: a leading technology services group
NJ y / © “ A leading technology Profile services group wi Organic growth and expansion through acquisitions P72 \5 ‘Oo Specializing in management of the human resource and business solutions ru) Strong and consistent economic parameters: profitability, positive cash flow from ongoing activity and lo
Slide 5: Q1 2020 Highlights and points of note
© Q1 2020 Highlights and points of note 4 4 Continued revenue growth % Coping with the Coronavirus (COVID-19) crisis Exercising the option to acquire the remaining 30% of the share capital in Danel Financial Completed acquisition of payroll and human resources services sector activity in the USA
Slide 6: Results for quarter ended March 31, 2020
© Results for quarter ended March 31, 2020 Revenues 412.7 NIS million Growth Net profit 33 NIS million © Growth Gross profit 99.1 NIS million & Growth Operating income “10.8% g 2019 Operating income NIS million Mem ey Decline EBITDA 64.8 NIS million @ Growth
Slide 7: Growth in operating income and net profit
© Growth in operating income and net profit Qi NIS million 2016 2017 -@ Operating income —Q Net profit 2018 2019 2020
Slide 8: Sectors of activity
© Payroll and human i HE microsot QlikQ HILANI7'N resources : Sectors of © services software CA opentext activity products Giamai Business @ solutions WA
Slide 9: Distribution of operating income by sector of activity
© Distribution of operating income by sector of activity Q1.2020 Q 1.2020 13% IT Marketing of software products Infrastructures Atal operating’ \ _ income ‘ oun 445 Business \ 7 NIS million / solutions ~ ~ 55% Payroll and human resources services Q1.2019 17h Marketing of software products Th IT Infr
Slide 10: Payroll and human resources services sector
Q1.2020 © Payroll and 84.7 24.9 29.4% resources NIS million NIS million 4a “8 services Growth Growth 2019 sector e Consolidation of Payday for the first time, which was acquired in the USA e | Newcustomers joining and growth in the delivery of value-added services (VAS) in Israel Recording of one-ti
Slide 11: Payroll and human resources services in the USA
© Payroll and human resources services In the USA (lf $ Completion of the Payday acquisition as of the beginning of the year Completion of synergy processes in the acquiree company @ Provision of support and assistance to the customers following the Coronavirus (COVID-19) crisis ff Outlook of resump
Slide 12: Payroll and human resources services sector revenue growth
© Payroll and human resources services sector revenue growth Qi NIS million Growth 2018 2019 2020 Acquisition of Payday in the USA
Slide 13: Business solutions sector
Q1.2020 © Business P Revenues Operating Operates solutions 2379 "109 percentage sector NIS million NIS million 4.6% Growth Decline 2019 e Organic growth of sector revenues Support and professional assistance of the health sector, which is among the sector's customers during the Coronavirus crisis e
Slide 14: IT infrastructures sector
© IT infrastructures sector Q1.2020 : 0 ti Revenues Operating foone, income percentage 41.3 ; 85% NIS million NIS million °° ES Decline Growth 2019 e _ Increase in operating income despite a decrease in sector income Delay in delivery of the products to the Company's customers due to travel restrict
Slide 15: Software products marketing sector
© Software products marketing sector Q1.2020 : 0 ti Revenues Operating foone, income percentage 50.5 11.3% NIS million NIS million “ee Decline Decline 2019 Decrease in income and operating income due to Shekel appreciation against the dollar quarter-over-quarter e Slight erosion of sector profitabil
Slide 16: Main data from the profit and loss statement
© Main data from the profit and loss statement Q1.2020 NIS million Revenues Gross profit Sales and general and administrative expenses Operating income Financing expenses, net The company’s part in the Company's losses is included Taxes on revenues Net profit Net stockholder profit Net income attrib
Slide 17: Selected financial data as of March 31, 2020
© Selected financial data as of March 31, 2020 NIS million © A} | 88.1 426.4 159.5 Cash and cash equivalents Shareholders’ equity Net financial debt <= wvwlv =~C 20.8 1,319.9 Cash flow generated by Total assets operating activities Growth in net financial debt: The growth is a consequence of the Pay
Slide 18: Summary
© Summary Hilan Group is stable and continues to maintain financial resiliency with low levels of leverage. We are continuing with our strategic focus on implementing the business plans. Organic growth based on development of growth engines within the core fields. Evaluation and taking advantage of
Slide 19: Hilan Group Thank you
Hilan Group Thank you