Slide 1: 2023 Interim Results
2023 INTERIM RESULTS Half-year results to 30 June 2023 (8 September 2023)
Slide 2: 2023 Interim Highlights
2023 INTERIM HIGHLIGHTS Continued On track for the nineteenth consecutive year of adjusted diluted earnings per share growth. profit growth Continued significant programme of strategic initiative expenditure to underpin our long-term Strategic initiative resilience, competitiveness and growth with a
Slide 3: Financial Review
FINANCIAL REVIEW Chris Jehle 8 September 2023 3 l © Computacenter 2023
Slide 4: Interim 2023 Financial Highlights
INTERIM 2023 FINANCIAL HIGHLIGHTS 26.8% 8.8% 5.3% 79.0% 2.3% 22.5% CCY 6.4% CCY Group Group adjusted Adjusted Adjusted net funds Interim dividend revenue profit before tax diluted EPS £3.6bn £121.8m 73.5p £285.1m 22.6p 4 l © Computacenter 2023 Refer to our 2023 Interim Report and Accounts for defini
Slide 5: A Track Record of Growing Profits, Cash and Returns
A TRACK RECORD OF GROWING PROFITS, CASH AND RETURNS Adjusted diluted EPS H1 2023 73.5p Cash flow from operations H1 2023 £116.5m Capital returned to shareholders 180 300.0 140 10 year Total Return 160 250.0 120 £619m 140 10 year 100 120 CAGR 200.0 10 year 15.3% CAGR 100 80 11.2% 150.0 80 60 60 100.0
Slide 6: Strong Revenue and Profit Growth
STRONG REVENUE AND PROFIT GROWTH H1 2023 H1 2022 H1 2023 vs H1 2023 vs • Revenue up 26.8 per cent and by £m £m H1 2022 H1 2022 % %constant 22.5 per cent in constant currency currency with strong growth across nearly Gross invoiced income 5,158.2 3,971.9 29.9% 26.0% all of our geographical Segments a
Slide 7: Segmental Analysis
SEGMENTAL ANALYSIS Adjusted Revenue by Revenue by operating profit by Segment Geography Geography Excl Central Costs Change H123 vs H122 Change H123 vs H122 Change H123 vs H122 Share in share growth CCY Share in share growth CCY Share in share growth CCY Technology Sourcing 77.2% +3.8% +28.7% United
Slide 8: Group Adjusted Operating Profit Walk (£m)
GROUP ADJUSTED OPERATING PROFIT WALK (£M) (CONSTANT CURRENCY) 86.6 (15.1) 8.4 (11.6) (66.7) 2.7 114.2 116.9 118.5 H1 2022 Currency H1 2022 Technology Technology Services Services SG&A H1 2023 EBIT* EBIT* Sourcing Sourcing Volumes Margins EBIT* (constant Volume Margins currency) 8 l © Computacenter 2
Slide 9: H1 2023 Financial Returns Strong
H1 2023 FINANCIAL RETURNS STRONG Return on capital employed* • Return on capital 52.2% employed has increased due to 46.7% 42.9% higher operating profit 42.6% and decreased capital employed primarily 31.1% through a significantly reduced inventory level. 21.5% 18.3% 18.7% • H1 2023 represents 16.8%
Slide 10: Net Funds
NET FUNDS • Adjusted net funds have increased by 79 per 30 June 2023 30 June 2022 Change cent to £125.8 million since 30 June 2022. Adjusted net funds £m £m £m • Operating cashflow inflow for H1 2023 of Cash and cash equivalents 301.6 193.5 108.1 £116.5 million vs £8.1 million in H1 2022 Bank loans
Slide 11: Inventory by Segment
INVENTORY BY SEGMENT 30 June 2023 30 June 2022 Change Change £m £m % (constant Inventory currency) United Kingdom 13.3 35.5 (62.5%) (62.5%) Germany 101.0 126.8 (20.3%) (20.4%) France 26.0 21.7 19.8% 19.9% North America 164.1 204.1 (19.6%) (16.5%) International 11.0 11.2 (1.8%) (0.9%) Total Group 315
Slide 12: 2023 Outlook
2023 OUTLOOK ASSUMPTIONS 2023 Dividend cover Capex Strategic Initiative Opex Effective tax rate Covered by 2 x to £28 million 2.5 x of adjusted £25 - £35 million 27.0% - 29.5% (FY22 £14.8 million) diluted EPS 12 l © Computacenter 2023
Slide 13: A Clear Capital Allocation Framework
A CLEAR CAPITAL ALLOCATION FRAMEWORK Returns to shareholders • Long track record of paying dividends and other special one-off cash returns • Dividend policy: total dividend paid will result in a dividend cover of 2 to 2.5 times based on adjusted1 diluted EPS M&A • Will continue to assess acquisitio
Slide 14: Operating Review
OPERATING REVIEW Mike Norris 8 September 2023 14 l © Computacenter 2023
Slide 15: Well Positioned to Capitalise on Underlying Market Growth
WELL POSITIONED TO CAPITALISE ON UNDERLYING MARKET GROWTH Long-term relationships with diversified and high-quality customer base Diversified across markets and technology areas Market-leading scale infrastructure Largest services capability of any value-added reseller in the world Market-leading in
Slide 16: Investing for Growth
INVESTING FOR GROWTH SALES & CUSTOMER ENGAGEMENT NORTH AMERICA GROWTH WORLDWIDE REACH New Sales CRM & Quotation Acquisition of BITS Acquisition of systems deployed globally strengthens Computacenter engineering in Mid-West United States operations in APAC Approx. 2,000 users - end 2023 scales region
Slide 17: "AI" Will Be Pervasive
“AI” WILL BE PERVASIVE BUT IT’S NOT ALL NEW – EXTENSION OF DIGITAL TRANSFORMATION TECHNOLOGY SOURCING MANAGED SERVICES PROFESSIONAL SERVICES Customers will continue to invest in We will continue to invest in AI to Customers are asking us to advise additional infrastructure to help them make our Mana
Slide 18: Sustainability: Winning Together for Our People & Our Planet
FY2022 data SUSTAINABILITY WINNING TOGETHER FOR OUR PEOPLE & OUR PLANET July 2023: Near-term, Long-term and Net Zero targets approved by SBTi – making us amongst the first in our industry to achieve this milestone PEOPLE PLANET SOLUTIONS (CIRCULAR SERVICES) 4,500+ 8.73% CARBON NEUTRAL 1.9 million+ 6
Slide 19: Strong Customer Relationships
STRONG CUSTOMER RELATIONSHIPS Key points Group During H1 2023, two additional Our customers with over £1 million of gross profit are a strategic priority for Group performance customers, for a total of 189, were added to our core set of customers that contribute over £1 million of gross 159 169 187
Slide 20: Services Growth Opportunity
SERVICES GROWTH OPPORTUNITY Strong double-digit growth in Sustained single-digit growth in Over 13,500 direct (billable) Professional Services Managed Services resources across the world 1,800.0 1,600.0 10 year 1,400.0 CAGR 5.6% 1,200.0 1,000.0 800.0 600.0 400.0 200.0 - FY12 FY13 FY14 FY15 FY16 FY17
Slide 21: Another Strong Year of Delivery
ANOTHER STRONG YEAR OF DELIVERY OUTLOOK Our performance in the first half sets us on course for our nineteenth year of uninterrupted full-year adjusted1 diluted earnings per share growth. Coupled with this first half performance, we have seen good progress in Q3 to date. Due to the industry returnin