Norbit Asa · OSL:NORBT

Norbit Asa — Q3 2021 Earnings Presentation

25 slides from Norbit Asa's earnings presentation, Nov 11, 2021

  1. Slide 1: Third quarter 2021 result presentation

    Third quarter 2021 result presentation CEO Per Jørgen Weisethaunet CFO Per Kristian Reppe 11 November 2021, Trondheim, Norway

  2. Slide 2: Disclaimer

    Disclaimer These materials, prepared by NORBIT ASA (the "Company"), may contain statements about future events and expectations that are forward- looking statements. Any statement in these materials that is not a statement of historical fact including, without limitation, those regarding the Company

  3. Slide 3: Summary of the third quarter 2021

    Summary of the third quarter 2021 ▪ 34 per cent increase in revenues driven by growth in all segments ▪ Strong sale of sonars drove revenue growth in Oceans, resulting in a 34 per cent EBITDA margin ▪ New business segment NORBIT Connectivity doubled revenues and achieved an EBITDA margin of 27 per c

  4. Slide 4: All time high revenues

    All time high revenues Revenues and EBITDA Third quarter 2021 NOK million 200 ▪ Revenues increased by 34 per cent year over 187 190 year to NOK 200 million 170 ▪ Connectivity more than doubled revenues 158 162 154 152 155 150 149 ▪ Oceans grew revenues by 10 per cent 128 32% ▪ 35 per cent revenue gr

  5. Slide 5: Oceans

  6. Slide 6: Continued strong sonar sales in Oceans

    Continued strong sonar sales in Oceans Revenues and EBITDA Third quarter 2021 NOK million ▪ Revenues of NOK 92 million, an increase of 10 per 102 cent from Q3-20*, driven by strong sonar sales 92 83 ▪ Strong sonar sales in Asia and Europe drove the 81 progress 74 69 44% ▪ EBITDA margin of 34 per cen

  7. Slide 7: PAGE 7

    PAGE 7

  8. Slide 8: Connectivity

    NORBIT Connectivity encompasses NORBIT’s technology within low power wireless solutions DSRC modules for satellite- based truck tolling On Board Units (OBU) / Toll Tags Connectivity devices for enforcement smart tachograph Connectivity Bluetooth Lower Energy expert IoT NORBIT’s new initiative within

  9. Slide 9: NORBIT Connectivity structured in two sub segments

    NORBIT Connectivity structured in two sub segments Connectivity ITS Smart Data Offers tailormade solutions within Dedicated Short-Range NORBIT’s new initiative within tailored IoT in selected niche Communications (DSRC) applications, the Bluetooth Low Energy expert NORBIT AblePay and the recently ac

  10. Slide 10: Strong growth in revenues for Connectivity

    Strong growth in revenues for Connectivity Revenues and EBITDA Third quarter 2021 NOK million ▪ Revenue of NOK 46 million*, more than a doubling from NOK 22 million in Q3-20, supported by iData 62 acquisition and growth in ITS ▪ EBITDA of NOK 12.5 million, compared with NOK 47 46 4.4 million in Q3-2

  11. Slide 11: PIR

  12. Slide 12: Growth also in PIR, but weak margin development

    Growth also in PIR, but weak margin development Revenues and EBITDA Third quarter 2021 NOK million ▪ Revenues grew by 35 per cent* to NOK 69 million, driven by contract manufacturing where price 78 76 inflation on components has been significant 69 67 67 69 63 ▪ EBITDA negative by NOK 0.4 million. L

  13. Slide 13: Group financials

    NORBIT = eafelove wtote - Group fin

  14. Slide 14: Financials – P&L

    Financials – P&L Q3 2021 Q2 2021 Q3 2020 YTD 2021 YTD 2020 Third quarter of 2021 Amounts in NOK 000's ▪ Revenues of NOK 200.3 million, up 34% from Q3 2020 Revenues 200 298 189 950 149 966 538 948 456 688 o 25% growth year over year adjusted for iData acquisition Other gains and losses - - - 1 230 -

  15. Slide 15: Segment EBITDA development

    Segment EBITDA development Segment EBITDA development Q3 2021 vs. Q3 2020 NOK million Oceans Connectivity PIR (6.6) 31,2 14,3 (13.7) 23,5 21,8 12,5 4,4 2,1 (4.5) 2.0 -0,4 EBITDA Contribution Expense EBITDA EBITDA Contribution Expense EBITDA EBITDA Contribution Expense EBITDA Q3 2020 effect effect Q3

  16. Slide 16: Financials – Balance sheet

    Financials – Balance sheet Amounts in NOK 000's 30.09.21 30.06.21 31.12.20 Fixed and intangible assets ASSETS ▪ Land and PPE: Increased primarily due to NOK 7.6 million in investments in fixed assets Property, plant and equipment 164 368 156 910 149 953 ▪ Intangible assets: Increase of NOK 60.5 mill

  17. Slide 17: Liquidity strengthened following refinancing

    Liquidity strengthened following refinancing Debt facilities and available credit lines Refinancing terms and conditions: NOK million ▪ Successful refinancing of revolving credit facility, 273 upsizing to NOK 200 million 28 o NIBOR + 180bps p.a. 61 201 o Maturing February 2025 o Flexible structure 6

  18. Slide 18: Financials – Cash Flow

    Financials – Cash Flow Cash flow development third quarter 2021 Third quarter of 2021 NOK million ▪ Operating cash flow of NOK 17.2 million o Net increase in working capital of NOK 14.7 million, (14.7) primarily driven by increase in inventory, partly offset by 32,9 (1.1) reduction of trade receivab

  19. Slide 19: Outlook

    Outlook

  20. Slide 20: Short-term outlook

    Short-term outlook • Fourth quarter historically the seasonally strongest quarter for Oceans • Activity has remained high both on the sonar and environmental monitoring business • Revenue expected to exceed NOK 100 million in second half of the year, implying revenues of more than NOK 55 million in

  21. Slide 21: Long-term ambitions

    Long-term ambitions Organic revenue growth NOK million • Target next year is to deliver revenues of approximately NOK 1.0 billion supported by growth in all three business segments >1 500 • With the ongoing disruption in the supply market for raw material components, including increased lead time, t

  22. Slide 22: Exploring is finding opportunities where others find limits

    EXPLORING IS FINDING OPPORTUNITIES WHERE OTHERS FIND LIMITS

  23. Slide 23: NORBIT is to be recognized as world class, enabling people to explore more

    NORBIT is to be recognized as world class, enabling people to explore more • Founded 1995 • HQ in Trondheim, Norway • Manufacturing facilities in Norway • Offices and subsidiaries in 16 countries • Dedicated workforce of ~400 • Listed on Oslo Børs, ticker NORBT Victory awaits him who has everything

  24. Slide 24: A global provider of tailored technology to carefully selected niches

    A global provider of tailored technology to carefully selected niches Diversified and robust business model Connectivity encompasses NORBIT’s Product Innovation & Realization (PIR) is Oceans is offering tailored technology technology within low power wireless offering R&D services and contract solut

  25. Slide 25: Shareholder overview, updated November 2021

    Shareholder overview, updated 8 November 2021 # Investor # of shares % 1 VHF INVEST AS - founder Steffen Kirknes 7,686,495 13.15 2 PETORS AS - CEO Per Jørgen Weisethaunet 6,940,695 11.87 3 REITAN KAPITAL AS 5,829,083 9.97 4 DRAUPNIR INVEST AS - family of founder Steffen Kirknes 5,102,949 8.73 5 ESMA

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