Bouvet Asa · OSL:BOUV
Bouvet Asa — Q1 2021 Earnings Presentation
32 slides from Bouvet Asa's earnings presentation, May 20, 2021
Slide 1: Interim presentation First quarter 2021
Interim presentation First quarter 2021 20 May 2021 Per Gunnar Tronsli, CEO Erik Stubø, CFO
Slide 2: Highlights in the quarter
Highlights in the quarter Revenue and number of employees MNOK and number • Revenue and EBIT 750 700 650 600 • Operating revenues increased by 8.5 550 500 450 400 percent to NOK 695.9 million (y-o-y) 350 300 250 200 • EBIT increased by 10 percent to NOK 150 100 50 90.8 million (y-o-y) 0 Q1'17 Q1'18
Slide 3: Source: Statnett news on Nordlink opening
Source: https://www.statnett.no/om-statnett/nyheter-og-pressemeldinger/nyhetsarkiv-2021/erna-solberg-og-angela-merkel-apner-nordlink/ 3
Slide 4: Bouvet's vision
Bouvet’s vision We lead the way and build tomorrow’s society 4
Slide 5: Long-term goals
Long-term goals Client-oriented and Best workplace Successful business long-term relations 5
Slide 6: Covid-19 shutdown anniversary marked with virtual dinner
The Covid-19 shutdown anniversary was marked with a virtual festive take-away dinner for all employees. A helping hand to a restaurant sector which has been much harder hit than our own industry 6
Slide 7: Purpose of GoForIT
The purpose of GoForIT is to create an arena for collaboration between academia and ICT industry to discuss, develop and influence the content of educational programmes on IT, technology and innovation in a sustainable direction 7
Slide 8: Therese Lindblom named one of Norway's 50 leading women at Tech
Therese Lindblom, manager for the customer experience area in the eastern region, was named one of Norway’s 50 leading women at Tech 2021 by Abelia and the Oda Network direction 8
Slide 9: Operational Review
Operational Review 9
Slide 10: Public and private sector
Public and private sector Public sector Q1'21 Q1'20 Private sector 52.7 % 49.1 % 47.3 % 50.9 % 10
Slide 11: Business sectors Q1 2021
Business sectors Q1 2021 Other Bank & finance Retail Transportation 1.7 % 4.1 % 2.0… Power supply 5.6 % Service industry 17.3 % 4.9 % Health 2.9 % 4.0 % Industry 5.4 % Oil & gas 27.8 % Info and communication 24.3 % Public admin 11
Slide 12: A tribute to Norwegian veterans
A tribute to Norwegian veterans • Over 100 000 Norwegian women and men have served in international operations since the end of World War 2 • This website allows veterans to tell their stories, with over 400 accounts of armed conflict, of saving lives and protecting innocents. • Bouvet´s deliveries:
Slide 13: Designing a new energy service
Designing a new energy service • BKK Strøm used a design approach when developing a new energy service for the business market • Customers needed an improved understanding of their: • Electricity agreement • How they could control and reduce their electricity consumption • Time of development • One
Slide 14: Supplier of IT services to Norwegian Public Roads Administration
Supplier of IT services to Norwegian Public Roads Administration • Transportation and roads are getting smarter, Bouvet is chosen as one of eight partners for delivering IT services • Total estimated value 400 - 600 million NOK (including options) • Bouvet´s deliveries: • System development and prog
Slide 15: Bouvet training
Bouvet training • 40 % of revenue was customer specific training as: • Management development programme on digital leadership • The shift towards a more agile organisation • Contribute with competence and modules as part of customers own training programs • More than 2 500 participants on breakfast
Slide 16: The four largest sectors
The four largest sectors • Oil & gas • Increased by 9.6 percent (y-o-y) Forsvaret • Represents 27.8 percent of total revenues in Q1’21 • Public admin • Increased by 4.3 percent (y-o-y) • Represents 24.3 percent of total revenues in Q1’21 • Power supply • Increased by 46.7 percent (y-o-y) • Represent
Slide 17: Customer and project mix
Customer and project mix Variably priced contracts share of revenues Percentage • Project mix 100% 98% • Variable contracts account for 98.9 96% percent of total revenues 94% 92% • Customer portfolio 90% Q1'17 Q1'18 Q1'19 Q1'20 Q1'21 • The 10 largest customers represent 49.6 10 largest customers sha
Slide 18: Customer development
Customer development Revenue customer split MNOK Existing customers* New customers (LTM)** • Existing customers* 800 • Accounted for 95.4 percent of revenues in 700 Q1’21 600 • New customers** 500 • Customers won over the past year 400 generated revenues of NOK 32 million in 300 Q1’21 200 100 0 * Ex
Slide 19: Regional organisation
Regional organisation Trondheim 148 Bouvet Nord ansatte 621 Bouvet Øst ansatte 33 Sesam ansatte 126 Bouvet Bergen Bergen Borlänge ansatte Oslo Ørebro Drammen Sandvika Stockholm Haugesund 559 Bouvet Rogaland Sandefjord ansatte Stavanger Skien Arendal Kristiansand 71 Bouvet Sverige ansatte 32 Konserns
Slide 20: Enthusiastic and competent employees
Enthusiastic and competent employees Number of employees end of quarter 2000 1500 • 1 684 employees at the end of the quarter 1000 500 • Up 28 from Q4’20 0 Q1'17 Q1'18 Q1'19 Q1'20 Q1'21 • 109 more employees in the past 12 Annual growth in number of employees months 250 • Average number of employees
Slide 21: Financial Review
oh oO > 3) o a Financial Review
Slide 22: Key figures
Key figures Three months ending Twelve months ending MNOK 31.03.2021 31.03.2020 Change 31.03.2021 31.03.2020 Change Operating revenue 695.9 641.2 8.5 % 2 456.5 2 209.0 11.2 % Operating profit (EBIT) 90.8 82.6 10.0 % 322.8 245.8 31.3 % EBIT margin 13.1 % 12.9 % 13.1 % 11.1 % Ordinary profit before ta
Slide 23: Revenue
Revenue Revenue split (quarterly figures) MNOK 800 Own consultants • Revenues increased by 8.5 percent y-o-y 600 Sub-contracted consultants Other • Revenues from own consultants increased by 8 400 percent to NOK 588.4 million 200 • Revenues from sub-contracted consultants 0 Q1'17 Q1'18 Q1'19 Q1'20 Q
Slide 24: Revenues from own consultants
Revenues from own consultants Revenue per employee (quarterly figures) TNOK • Increased 8 percent y-o-y 400 • Positive impact from 6.8 percent increase in 300 average number of employees 200 100 • Price for group hourly services is equal to Q1’20 0 • Positive impact from increase in billing ratio by
Slide 25: Analysis of change in revenues y-o-y
Analysis of change in revenues y-o-y Revenue MNOK 40 35 33.5 30 25 20 15 10 8.3 7.9 5.7 4.4 5 2.6 0 -5 -10 -7.7 No. of employees Sub-contractors Sick leave Billing ratio Other effects Other revenue No. of work days 25
Slide 26: Earnings
Earnings EBIT and EBIT margin MNOK and Percent • Operating profit (EBIT) increased by 10 100 EBIT EBIT margin 16% 14% percent to NOK 90.8 million 80 12% 60 10% • EBIT margin of 13.1 percent compared to 12.9 40 8% 6% percent in Q1’20 20 4% 2% 0 0% • Operating expenses increased by 8.3 percent Q1'17 Q
Slide 27: Change in revenues – effect on EBIT
Change in revenues – effect on EBIT MNOK 8 Effect on EBIT 6.4 6 4 3.8 3.8 2 0.7 0.7 0.4 0 -2 -4 -5.1 -6 No. of employees Sub-contractors Sick leave Billing ratio Other effects Other revenue No. of work days 27
Slide 28: Cash flow
Cash flow Cash flow from operations (per quarter) MNOK • Cash flow from operations 250 200 • NOK 21.5 million in Q1’21 compared to NOK 47.1 150 million in Q1’20 100 • Cash flow last 12 months 50 0 Q1'17 Q1'18 Q1'19 Q1'20 Q1'21 • Operational cash flow over the last 12 months was -50 NOK 425.3 million
Slide 29: Outlook
Outlook 29
Slide 30: Outlook summary
Outlook summary • Workday post-covid • Focus on digital transformation • Public sector • Energy sector • Oil and gas sector • From project to product development • High demand for cross-functional teams • High demand for • Cloud and platform services • Security • Agile development • Digital collabor
Slide 31: Appendix
Appendix 31
Slide 32: Shareholders as of 20.05.2021
Shareholders as of 20.05.2021 Shareholders Number of shares % of total FOLKETRYGDFONDET 754 930 7,34 % The Bank of New York Mellon 750 682 7,30 % VARNER KAPITAL AS 659 100 6,41 % STENSHAGEN INVEST AS 536 699 5,22 % VERDIPAPIRFOND ODIN NORDEN 451 215 4,39 % SVERRE FINN HURUM 387 125 3,76 % VERDIPAPIR