Slide 1: SONDA 2016
Slide 2: Overview
OVERVIEW 2
Slide 3: Overview: Leading Latin American-owned IT services provider
OVERVIEW SONDA IS THE LEADING LATIN AMERICAN-OWNED IT Revenue Breakdown (2015) IT Services OPLA² SERVICES PROVIDER Platforms 54% 12% 40% Founded in 1974 and headquartered in Santiago, Chile Mexico Chile 9% 40% Presence in 10 countries in the region with main operations in Chile, Brazil and Mexico •
Slide 4: Successful growth history
SUCCESFUL GROWTH HISTORY 1974 1984 – 2005 2006 - 2014 SONDA Foundation in International Expansion Regional Consolidation association with COPEC • Peru (1984) and Argentina (1986) • IPO (2006) • Ecuador (1990) and Uruguay • Payment solution for Santiago’s public transportation system 1974 – 1983 (199
Slide 5: Value proposition
VALUE PROPOSITION SONDA IS FOCUSED ON SATISFYING CUSTOMERS’ BUSINESS NEEDS… 5
Slide 6: IT industry in LatAm
IT INDUSTRY IN LATAM 6
Slide 7: Latin America, one of the fastest growing regions in the world
L A T I N A M E R I C A, O N E O F T H E F A S T E S T GROWING REGIONS IN THE WORLD IT Spending as a Percentage of GDP (December 2014) • In Latin America, IT spending as a percentage 60.000 United States of GDP is between 1.0% and 2.6%. 50.000 Canada GDP per capita (US$ mill) • In developed economie
Slide 8: Latin America, one of the fastest growing regions in the world
L A T I N A M E R I C A, O N E O F T H E F A S T E S T GROWING REGIONS IN THE WORLD IT SERVICES 40.000 36.415 35.000 33.500 30.818 30.000 28.384 IT Services 2014 2015 2016 2017 2018 25.863 Chile 1.824 2.009 2.243 2.495 2.756 25.000 Brazil 12.786 13.629 14.578 15.635 16.807 Mexico 5.040 5.702 6.272 6
Slide 9: Company highlights
COMPANY HIGHLIGHTS 9
Slide 10: Company highlights
COMPANY HIGHLIGHTS Presence in a Integrated Experienced growing and one-stop shop management Leading underpenetrated Diversified business model Solid track team backed by Opportunity to Latin-American market blue-chip record of a strong board continue IT services customer base financial with solid g
Slide 11: Leading Latin-American IT services company
LEADING LATIN-AMERICAN IT SERVICES COMPANY The one-stop shop for IT Services in Latin America • Integrated solutions servicing clients at all stages of the IT adoption lifecycle Long-standing presence in the region, focusing on long-term relationships with corporate clients Presence in 10 countries
Slide 12: Presence in a growing and underpenetrated market
PRESENCE IN A GROWING AND UNDERPENETRATED MARKET GDP Growth (%)1 Inflation Rate (%) 1 2006-2014 2015-2020e 5,2% 2006-2014 2015-2020e 6,2% 3,8% 5,5% 5,8% 5,1% 3,3% 2,9% 3,0% 3,1% 4,2% 2,3% 3,6% 3,3% 2,0% 3,0% 1,6% 1,4% 1,9% 2,1% 2,0% 1,4% 0,9% 0,3% Chile Brazil Mexico Others US & Western Chile Brazil
Slide 13: Diversified blue-chip customer base
DIVERSIFIED BLUE-CHIP COSTUMER BASE Client focus on blue-chip companies Revenue Breakdown (December 31, 2015) • Large and medium size companies OPLA • Regional clients Retail 12% Others 17% 29% Long term relationship with clients Mexico Chile 9% 40% • Multiple contracts with clients that average 3 y
Slide 14: Integrated one-stop shop business model
INTEGRATED ONE-STOP SHOP BUSINESS MODEL Wide Range of Products and Services • Unparallel capacity to deliver IT services Strategic Consulting through all the region IT Consulting • Independent IT services provider with no BPO / ASP restrains to offer the best technological IT Outsourcing solution av
Slide 15: Solid track record of financial performance
SOLID TRACK RECORD OF FINANCIAL PERFORMANCE Solid growth on the back of stable margins … • SONDA has been profitable every year since it was founded in 1974 • The Company has been able to maintain strong growth throughout the years Revenue (US$ millions) EBITDA (US$ millions) 183 179 1.237 1.255 165
Slide 16: Solid track record of financial performance
SOLID TRACK RECORD OF FINANCIAL PERFORMANCE …coupled with profitability, low leverage and steady dividend payout ratio Net Income (US$ millions) Net Debt / EBITDA1 94 1.0 0.8 64 67 57 60 0.4 44 47 0.1 0.2 -0.4 -0.7 2009 2010 2011 2012 2013 2014 2015 2009 2010 2011 2012 2013 2014 2015 Capex (US$ mill
Slide 17: Experienced management team
EXPERIENCED MANAGEMENT TEAM STRONG BOARD WITH SOLID CORPORATE GOVERNANCE • 4 Independent Directors out of a board of 9 members • Entire board is elected every three years; cumulative voting is permitted for the election of directors Years at Name Selected Background Name Position Education SONDA Ind
Slide 18: Opportunity to continue growing: triennial investment plans
OPPORTUNITY TO CONTINUE GROWING SUCCESFULL TRIENNIAL INVESTMENTS PLANS EXECUTED IN THE PAST Since 2007, SONDA has invested around US$360 mm in Capex for organic growth and approx. US$ 610 mm in acquisitions SONDA’s Triennial Investment Plans Capex Capex 32% US$ Capex US$ US$ 40% M&A 46% 250mm¹ 442mm
Slide 19: Clear M&A strategy, backed by solid execution
OPPORTUNITY TO CONTINUE GROWING CLEAR M&A STRATEGY, BACKED BY SOLID EXECUTION • Clear strategic rationale of increasing client base and enhancing IT offering • Wide knowledge of the IT market and successful experience in acquiring and integrating IT companies • 30+ companies or businesses acquired s
Slide 20: Investment plan 2016-2018
OPPORTUNITY TO CONTINUE GROWING INVESTMENT PLAN 2016-2018 Investment Plan Breakdown Organic Growth • Develop large Systems Integration and Outsourcing contracts 68% US$ 250 32% • Continually updating services incorporating new technologies (i.e. MM Cloud, SaaS/IaaS/PaaS, Mobility, IoT, Smart Cities,
Slide 21: Financial review
FINANCIAL REVIEW 2é)
Slide 22: Revenue and EBITDA margin: Chile and Ex-Chile
REVENUE AND EBITDA MARGIN Chile Revenue (CLP$ millions) Ex-Chile Revenue (CLP$ millions) $ 568,526 $ 537,979 $ 353,143 $ 306,039 $ 296,549 $ 306,929 $ 339,840 $ 375,739 $ 252,979 $ 375,152 $ 199,309 $ 246,172 $ 181,363 $ 192,772 25.5% 24.2% 22.3% 21.6% 19.6% 17.0% 16.5% 13.6% 14.9% 13.5% 11.5% 11.7%
Slide 23: Revenue and EBITDA margin: Brazil, OPLA, Mexico
REVENUE AND EBITDA MARGIN Brazil Revenue (CLP$ OPLA Revenue (CLP$ millions) millions) $ 383,319 $ 111,678$ 111,643 $ 343,879 $ 90,134 $ 84,553 $ 229,866 $ 62,728 $ 208,383 $ 217,553 $ 164,322 $ 40,509 $ 43,891 $ 132,333 19.2% 20.0% 16.1% 10.5% 12.2% 13.6% 9.1% 9.2% 11.7% 12.1% 12.8% 10.6% 10.7% 10.0
Slide 24: Appendix
- ) APPENDIX 24
Slide 25: Summary income statement
SUMMARY INCOME STATEMENT Fiscal Year Ended December 31, (CLP$ millions) 2010 2011 2012 2013 2014 2015 CAGR Total Revenues 445,481 592,819 681,191 672,288 878,455 891,122 14.9% Growth (%) 33.1% 14.9% -1.3% 30.7% 1.4% Gross Profit 103,834 124,131 146,562 142,091 157,697 171,801 11.0% Margin (%) 23.3%
Slide 26: Summary balance sheet
SUMMARY BALANCE SHEET Fiscal Year Ended December 31, (CLP$ millions) 2010 2011 2012 2013 2014 2015 Cash and Equivalents 24,981 32,936 61,310 170,861 78,590 68,392 Short-term Investments 61,675 1,402 6,595 5,093 3,045 1,720 Current Accounts Receivable 122,878 177,839 173,321 145,287 226,319 231,689 P
Slide 27: Summary cash flow statement
SUMMARY CASH FLOW STATEMENT Fiscal Year Ended December 31, (CLP$ millions) 2010 2011 2012 2013 2014 2015 Net Cash Flows from (Used in) Operating 58,646 33,447 89,656 93,720 66,784 51,238 Activities Capex (65,085) (58,263) (96,538) (25,829) (94,152) (28,817) Other (47,216) 41,416 750 35,994 37,390 (1
Slide 28: Investor relations contact
investor.relations@sonda.com Phone (56) 22 657 5302 Teatinos 500, Santiago, CHILE www.SONDA.com 28