Bouvet Asa · OSL:BOUV

Bouvet Asa — Q2 2021 Earnings Presentation

30 slides from Bouvet Asa's earnings presentation, Aug 25, 2021

  1. Slide 1: Interim presentation Second quarter 2021

    1 Interim presentation Second quarter 2021 25 August 2021 Per Gunnar Tronsli, CEO Trude Hole, CFO

  2. Slide 2: Highlights in the quarter

    Highlights in the quarter • Revenue and EBIT Revenue and number of employees MNOK and number • Operating revenues increased by 13.4 800 700 percent to NOK 676 million (y-o-y) 600 500 400 • EBIT decreased by 1.6 percent to 300 200 NOK 83.8 million (y-o-y) 100 0 Q2'17 Q2'18 Q2'19 Q2'20 Q2'21 • 1 748 e

  3. Slide 3: Bouvet's vision

    Bouvet’s vision We lead the way and build tomorrow’s society 3

  4. Slide 4: Long-term goals

    Long-term goals Best workplace Client-oriented and Successful business long-term relations 4

  5. Slide 5: Operational Review

    Operational Review

  6. Slide 6: Public and private sector

    Public and private sector Q2'21 Q2'20 51.2 % 47.0 % 53.0 % 48.8 % Public sector Private sector 6

  7. Slide 7: Business sectors Q2 2021

    Business sectors Q2 2021 Other Bank & finance Retail Transportation 1.7 % 4.1 % 2.1 % Power supply 5.0 % Service industry 17.2 % 5.2 % Health 3.0 % 3.9 % Industry 5.5 % Info and Oil & gas 28.9 % communication 23.4 % Public admin 7

  8. Slide 8: MED.hjelper – service innovation in the health sector

    MED.hjelper – service innovation in the health sector Source: medhjelper.com 8

  9. Slide 9: BarentsWatch provides services for Norwegian coastal and marine areas

    BarentsWatch provides services for Norwegian coastal and marine areas • BarentsWatch collects, develops and shares information about Norwegian coastal and marine areas. • BarentsWatch services: • ArcticInfo for seafarers in the far north, from Svalbard to Greenland • wave warnings for passenger ship

  10. Slide 10: Bouvet is helping Equinor to redefine operations and maintenance

    Bouvet is helping Equinor to redefine operations and maintenance (O&M) for its accelerated growth in offshore wind power, including the world’s largest offshore wind farms. The ambition is to significantly “move the needle” in O&M excellence – efficient and effective operations focusing on day-to-da

  11. Slide 11: Carbon capture in Grenland – Norway's biggest climate measure

    Carbon capture in Grenland – Norway’s biggest climate measure • Bouvet is the digitalisation partner for an industrial project which aims to capture 1.2 million tonnes of CO2 annually from industry in the Grenland region • Front-end study project to prepare the ground for Norway’s largest climate me

  12. Slide 12: Bouvet training

    Bouvet training • Customer-specific training accounted for 40% of course revenue • Particular demand for: • introductory programmes covering flexible methodologies for large organisations • methodologies for innovation and development of services • design thinking - for innovation and thinking along

  13. Slide 13: The four largest sectors

    The four largest sectors Oil & gas • Increased by 22.6 percent (y-o-y) • Represents 29 percent of total revenues in Q2’21 Public admin • Increased by 1.7 percent (y-o-y) • Represents 23.4 percent of total revenues in Q2’21 Power supply • Increased by 25.1 percent (y-o-y) • Represents 17.2 percent of

  14. Slide 14: Customer and project mix

    Customer and project mix Project mix Variably priced contracts share of revenues Percentage • Variable contracts account for 99.3 percent of 100% 98% total revenues 96% 94% Customer portfolio 92% 90% Q2'17 Q2'18 Q2'19 Q2'20 Q2'21 • The 10 largest customers represent 50.6 percent of total revenues –

  15. Slide 15: Customer development

    Customer development Existing customers* Revenue customer split MNOK • Accounted for 94.5 percent of revenues 800 Existing customers* New customers (LTM)** in Q2’21 700 New customers** 600 • Customers won over the past year 500 generated revenues of NOK 37.3 million in Q2’21 400 300 200 100 0 * Exis

  16. Slide 16: Local presence

    Local presence Trondheim 163 Bouvet Nord 634 Bouvet Øst 33 Sesam 126 Bouvet Bergen Bergen Borlänge Oslo Ørebro Stockholm Drammen Sandvika Haugesund Bouvet Sandefjord 585 Rogaland Stavanger Skien Arendal Kristiansand 79 Bouvet Sverige 32 Group services 96 Bouvet Sør 16

  17. Slide 17: Making those systems talk

    Making those systems talk Business platform partners OEM partners Generic platform partners Delivers industry specific solutions standardized and highly specialized for their domain Core building blocks and infrastructure partners Master data fabric Implementation partners Handling cloud hosting, Re

  18. Slide 18: Enthusiastic and competent employees

    Enthusiastic and competent employees 1 748 employees at the end of the quarter Number of employees end of quarter 2000 • Up 64 from Q1’21 1500 1000 • 154 more employees in the past 12 months 500 • Average number of employees in the quarter 0 Q2'17 Q2'18 Q2'19 Q2'20 Q2'21 up 8.6 percent from Q2’20 An

  19. Slide 19: Financial Review

    on oO 2 > re 2 Financial Review

  20. Slide 20: Key figures

    Key figures Three months ending Six months ending Twelve months ending MNOK 30.06.2021 30.06.2020 Change 30.06.2021 30.06.2020 Change 30.06.2021 30.06.2020 Change Operating revenue 676.0 596.1 13.4 % 1 371.9 1 237.3 10.9 % 2 536.4 2 286.7 10.9 % Operating profit (EBIT) 83.8 85.2 -1.6 % 174.6 167.8 4

  21. Slide 21: Revenue

    Revenue Revenues increased by 13.4 percent y-o-y Revenue split (quarterly figures) MNOK Own consultants 800 • Revenues from own consultants increased by Sub-contracted consultants Other 600 15.2 percent to NOK 574.9 million 400 • Revenues from sub-contracted consultants 200 0 increased by 1.7 percen

  22. Slide 22: Revenues from own consultants

    Revenues from own consultants Increased 15.2 percent y-o-y Revenue per employee (quarterly figures) TNOK 400 • Positive impact from 8.6 percent increase in 300 average number of employees 200 100 • Positive impact from 0.6 percent increase in 0 price for group hourly services Q2'17 Q2'18 Q2'19 Q2'20

  23. Slide 23: Analysis of change in revenues y-o-y

    Analysis of change in revenues y-o-y Revenue MNOK 50 47.0 45 40 35 30 25 20 15.3 15 10 6.2 4.3 5 3.0 2.7 1.4 0 No. of employees Billing ratio Other effects Vacation Hourly rate Other revenue Sub-contractors 23

  24. Slide 24: Earnings

    Earnings • Operating profit (EBIT) decreased by 1.6 EBIT and EBIT margin MNOK and Percent percent to NOK 83.8 million 100 EBIT EBIT margin 16% 14% 80 • EBIT margin of 12.4 percent compared to 14.3 12% 10% 60 percent in Q2’20 40 8% 6% 4% • Operating expenses increased by 15.9 percent 20 2% 0 0% y-o-y

  25. Slide 25: Change in revenues – effect on EBIT

    Change in revenues – effect on EBIT MNOK 12 Effect on EBIT 10.6 10 9.2 8 6 4 2.1 2 1.0 0.7 0.7 0.1 0 No. of employees Billing ratio Other effects Vacation Hourly rate Other revenue Sub-contractors 25

  26. Slide 26: Cash flow

    Cash flow • Cash flow from operations Cash flow from operations (per quarter) MNOK • NOK 42.1 million in Q2’21 compared to NOK 250 200 163.8 million in Q2’20 150 100 • Cash flow last 12 months 50 0 -50 Q2'17 Q2'18 Q2'19 Q2'20 Q2'21 • Operational cash flow over the last 12 months was NOK 303.6 millio

  27. Slide 27: Outlook

    Outlook

  28. Slide 28: Outlook summary

    Outlook summary • Workday post-covid • Focus on digital transformation: • Public sector • Energy sector • Oil and gas sector • High demand for cross-functional teams • High demand for: • System development • Cloud and platform services • Security • Digital collaboration • Project management • Change

  29. Slide 29: Appendix

    Appendix

  30. Slide 30: Shareholders as of 25.08.2021

    Shareholders as of 25.08.2021 Shareholders Number of shares % of total The Bank of New York Mellon 8 376 981 8,14 % FOLKETRYGDFONDET 7 549 300 7,34 % VARNER KAPITAL AS 6 591 000 6,41 % STENSHAGEN INVEST AS 5 366 990 5,22 % VERDIPAPIRFOND ODIN NORDEN 4 512 150 4,39 % SVERRE FINN HURUM 3 609 060 3,51

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