Enea AB · OMXSTO:ENEA
Enea AB — Q3 2018 Earnings Presentation
23 slides from Enea AB's earnings presentation, Oct 23, 2018
Slide 1: Q318 The Enea Edge
Q318 Presentation by Anders Lidbeck President & CEO 23 October 2018 The Enea Edge
Slide 2: Agenda
Agenda Intro Financials Q318 Way Forward & Outlook
Slide 3: Intro
ENEA Intro
Slide 4: Enea at a glance
FY 2017 Q3 2018 OPERATING OPERATING HEAD REVENUE REVENUE MARGIN* MARGIN* QUARTER KISTA, SWEDEN 589.3 23 209.6 24.8 MSEK MSEK PERCENT PERCENT R&D OPEX R&D OPEX NO. OF NO. OF LISTED INVESTMENT INVESTMENT EMPLOYEES EMPLOYEES NASDAQ STOCKHOLM 463 17 591 16 PERCENT PERCENT *Excluding non-recurring costs
Slide 5: The Enea Journey
The Enea Journey Enea divests the Nordic Growth Acceleration consulting business and puts – prioritize growth focus on the more profitable before further margin software business expansion 1968 1980 1990 2000 2010 2018 Enea was founded as four Enea launches the real-time Enea’s software is deployed
Slide 6: Every day, more than 3 billion people rely on Enea's software
Did you bring your mobile phone? Have you checked your email yet? Have you watched a streamed video today? Every day, more than 3 billion people rely on Enea’s software to connect a call or to use their mobile device to get online 6
Slide 7: Our Mission
Our Mission We provide the network software platform and expert services our customers need to enable today’s and tomorrow’s connected society 7
Slide 8: Global Presence
Global Presence Belfast Bristol Stockholm (HQ) Tokyo Redwood City Santa Clara Shanghai Pune Phoenix Singapore Paris Bucharest Boston Iasi Craiova 8
Slide 9: Financials Q318
ENEA Financials Q318
Slide 10: Record Operating Profit
Record Operating Profit Operating profit excl. non-recurring costs Q318 Q317 Operating profit excl. non-recurring costs, MSEK 51.9 36.2 Operating profit, MSEK 51.2 32.2 Operating margin excl. non-recurring costs, % 24.8 24.9 Operating margin, % 24.4 22.2 Earnings per share, SEK 1.84 1.55 44 percen
Slide 11: Record Revenue Growth
Record Revenue Growth Revenue Q318 Q317 FY17 Revenue (MSEK) 209.6 145.2 588.4 Revenue growth (%) 44 20 17 Revenue growth (%, currency adjusted) 36 22 17 Highest Q3 revenue ever Highest growth number on record – better than earlier record Q218 11
Slide 12: Accelerated Software Growth in the US
Accelerated Software Growth in the US EMEA Revenue in EMEA increased by 35 percent in the quarter year over year. Both Worldwide Software Sales and the European service operation made stable progress in the quarter. Americas Revenue increased by 77 percent in the quarter year over year. A signif
Slide 13: Strong Global Services Operation in Europe
Strong Global Services Operation in Europe Global Services revenues grew with 2 percent over the third quarter last year and in Q3 accounting for 17 percent of Enea’s total sales Global Services revenues in the US is under pressure, and has been for some quarters now – top top line development w
Slide 14: Consolidated Shift in Product Revenue Mix
Consolidated Shift in Product Revenue Mix Operating systems represented 29 percent of the revenues in the quarter. Sales decreased somewhat in the quarter compared to the corresponding quarter of the previous year, due to the open source trend in key accounts. Sales in Network Solutions increase
Slide 15: Significant Growth in Revenues from New Customers
Significant Growth in Revenues from New Customers Revenue per Business Area (MSEK) 250 World Wide Software Sales include all software sales outside key accounts, and grew 136 percent year-over-year. 200 58% 150 58% 35% 17% 20% 100 14% Key Accounts include software sales to major 50% 47% 41% tele
Slide 16: Financial Position
Financial Position Cash flow from operations 23.2 (30.3) MSEK Cash flow before change in working capital 63.2 (35.0) MSEK Cash, cash equivalents at the end of the quarter were 206.2 (265.5) MSEK Total interest-bearing liabilities at the end of the quarter amounted to 573.4 (116.0) MSEK Net
Slide 17: Way Forward & Outlook
ENEA Way Forward & Outlook
Slide 18: Our Focus – Growth Acceleration
Our Focus – Growth Acceleration Prioritize Q3 2018 was yet a record in terms of growth before growth. Revenue grow by 44% and operating margin profit was up 43.4% compared to same expansion quarter 2017 (excl. NRC) Size does matter – both to be perceived as a credible vendor and to leverage econom
Slide 19: Enea's Expanded Portfolio
Enea’s Expanded Portfolio Software that adds “intelligence” to the In a situation where operating systems network and other low-level software are encountering a growing presence of Enea Today open source, it will be easier for us to find growth with good margins higher More focus on Traffic Manag
Slide 20: Our Direction – The Cloud Native Networking SW Vendor
Our Direction – The Cloud Native Networking SW Vendor The tip is focused – our applications address key challenges within the telecom domain of today and tomorrow Services are a complement to our products and spans the entire Traffic Management portfolio from end user Cloud Data Management appli
Slide 21: 2018 Network Transformation Award Winner
2018 Network Transformation Award Winner Best New NFVi Platform sds Enea NFV Access features a lightweight virtualization software runtime platform - designed for deployment on edge devices at the customer premise. It is streamlined for high networking performance with minimal RAM footprint for
Slide 22: Market Outlook 2018
Market Outlook 2018 Our objective for the full year 2018 was to achieve revenue growth and improved operating profit over 2017. After a record Q3 we have already surpassed the 2017 numbers, but will give no further guidance for the full year 2018. The Enea Edge
Slide 23: THANK YOU
The Enea Edge THANK YOU www.enea.com