Nnit A/s · OMXCOP:NNIT
Nnit A/s — Q4 2024 / FY2024 Earnings Presentation
27 slides from Nnit A/s's earnings presentation, February 2025
Slide 1: Q4 & FY 2024 Results
INVESTOR PRESENTATION Q4 & FY 2024 Results February 2025 1
Slide 2: Agenda
Agenda KEY BUSINESS HIGHLIGHTS Group & Regional financial results Closing remarks and Q&A FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements, which include estimates of financial performance and targets. These statements are not guarantees of future performance and invo
Slide 3: Solid end to the year resulting in full-year results in line with latest outlook
01 | KEY BUSINESS HIGHLIGHTS Solid end to the year resulting in full-year results in line with latest outlook in a challenging environment Revenue Organic growth Operating profit Operating margin DKKm % excl. special items, DKKm excl. special items, % Q4 2024 470 7.1% 43 9.1% (7.1% growth vs LY) (9.
Slide 4: Good strategic progress reaching several key milestones
01 | KEY BUSINESS HIGHLIGHTS Good strategic progress reaching several key milestones Won important Continued to Integrated three Simplified the Relocated offices in contracts in the improve customer group companies company’s IT multiple locations Danish public sector satisfaction and NPS into NNIT b
Slide 5: Fragmented performance across regions impacted by the macroeconomic uncertainty
01 | KEY BUSINESS HIGHLIGHTS Fragmented performance across regions impacted by the macroeconomic uncertainty REGION EUROPE REGION US REGION ASIA REGION DK FY 24 FY 24 FY 24 FY 24 Organic growth Reg. OP margin Organic growth Reg. OP margin Organic growth Reg. OP margin Organic growth Reg. OP margin 9
Slide 6: Outlook 2025 and financial aspirations toward 2027
01 | KEY BUSINESS HIGHLIGHTS Outlook 2025 and financial aspirations toward 2027 OUTLOOK 2025 FINANCIAL ASPIRATIONS TOWARD 2027 Organic growth 7% to 10% 7% to 10% (annual growth) Group operating profit margin excl. SI 7% to 9% Above 10% in 2027 FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESEN
Slide 7: Agenda
Agenda Key business highlights GROUP & REGIONAL FINANCIAL RESULTS Closing remarks and Q&A FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 7
Slide 8: Change of momentum resulting in profitable growth
02 | GROUP & REGIONAL FINANCIAL RESULTS Change of momentum resulting in profitable growth Q4 FINANCIAL HIGHLIGHTS, DKKm & % REVENUE ORGANIC GROWTH GROSS MARGIN REGIONAL OP MARGIN excl. SI GROUP OP MARGIN excl. SI 469.6 7.1% 25.0% 16.2% 9.1% (7.1% vs Q4 23) (9.3% in Q4 23) (24.6% in Q4 23) (17.7% in
Slide 9: Solid organic growth, but profitability has been challenged
02 | GROUP & REGIONAL FINANCIAL RESULTS Solid organic growth, but profitability has been challenged FY 24 FINANCIAL HIGHLIGHTS, DKKm & % REVENUE ORGANIC GROWTH GROSS MARGIN REGIONAL OP MARGIN excl. SI GROUP OP MARGIN excl. SI 1,851.3 6.0% 25.8% 16.2% 6.3% (7.1% vs FY 23) (10.8% in FY 23) (25.8% in F
Slide 10: Special items higher than planned
02 | GROUP & REGIONAL FINANCIAL RESULTS Special items higher than planned In Q4 2024, special items materially increased due to several factors such as faster completion of integration of group companies, impairment and restructuring costs SPECIAL ITEMS FY 2024 BRIDGE, DKKm 5 1 Earn-out payments rel
Slide 11: Financial outlook 2025 reflects profitable growth
02 | GROUP & REGIONAL FINANCIAL RESULTS Financial outlook 2025 reflects profitable growth FINANCIAL OUTLOOK 2025 KEY DRIVERS & ASSUMPTIONS BEHIND THE OUTLOOK 2025 Key business drivers • NNIT continue executing on its strategic plan entailing outgrowing current external market 7% to 10% outlook acros
Slide 12: Structure of the financial aspirations has been adjusted
02 | GROUP & REGIONAL FINANCIAL RESULTS Structure of the financial aspirations has been adjusted RATIONALE FOR ADJUSTING THE FINANCIAL ASPIRATIONS THREE CHANGES TO THE STRUCTURE ORGANIC GROWTH CAGR Annual growth Lower performance in 2024 than initially External market outlook has been expected, and
Slide 13: Financial aspirations toward 2027
02 | GROUP & REGIONAL FINANCIAL RESULTS Financial aspirations toward 2027 FINANCIAL ASPIRATIONS TOWARD 2027 KEY DRIVERS & ASSUMPTIONS BEHIND THE OUTLOOK 2025 Key business drivers • NNIT has built a strong foundation to be further leveraged to outgrow the Life Science segment and Public sector 7% to
Slide 14: Agenda
Agenda Key business highlights Group & Regional financial results CLOSING REMARKS AND Q&A FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 14
Slide 15: Closing remarks
03 | CLOSING REMARKS & Q&A Closing remarks SOLID END TO THE YEAR GOOD STRATEGIC OUTLOOK 2025 REFLECTS FINANCIAL ASPIRATIONS DESPITE CHALLENGES PROGRESS PROFITABLE GROWTH TOWARD 2027 ADJUSTED FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 15
Slide 16: Q&A
Q&A FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 16
Slide 17: Appendix
APPENDIX FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 17
Slide 18: The NNIT investment case
The NNIT investment case NNIT will grow its existing business utilizing its core assets alongside increasing profitability. Further opportunities to grow through M&A supported by robust balance sheet 01 | GROWTH 02 | PROFITABILITY 03 | BALANCE SHEET 04 | M&A Well-positioned in Leveraging existing Po
Slide 19: Our future state
Our future state In 2026, we are an industry leading employer and solution provider specialized in international life science and the Danish Public market Industry-leading employer A truly international A commercially savvy with strong attraction, retention company driven by strong company where eve
Slide 20: Business approach
Business approach Together with our customers and partners, we bring digital transformation to life and make a mark. We target industries where regulatory demands, high complexity and quality of life is at play Our solutions portfolio delivers a strong value proposition to specific customer needs wi
Slide 21: Focus towards 2026
Focus towards 2026 OUTGROWING THE MARKET DOMAIN FOCUS REPEATABILITY INTERNATIONAL MINDSET ACQUISITIONS We aspire to grow Building domain Continued New organization Focused M&A faster than the and tech investments in catering to approach to market i.e. take competencies in bringing new regional suppo
Slide 22: Group P&L
Group P&L NNIT A/S Quarterly performance FY performance DKKm Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 FY24 FY23 Revenue 470 445 474 463 438 1,851 1,728 Production cost 352 330 353 338 331 1,372 1,283 Gross profit 117 115 121 126 108 479 445 Gross margin 25.0% 25.8% 25.5% 27.1% 24.6% 25.8% 25.7% Regio
Slide 23: Region Europe P&L
Region Europe P&L Region Europe Quarterly performance FY performance DKKm Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 FY24 FY23 Revenue 124 127 135 126 109 512 465 Production cost 92 101 101 97 65 391 330 Gross profit 33 25 34 29 43 121 135 Gross margin 26.2% 19.9% 25.1% 23.1% 39.9% 23.6% 29.0% Regional
Slide 24: Region US P&L
Region US P&L Region US Quarterly performance FY performance DKKm Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 FY24 FY23 Revenue 80 85 88 93 91 346 387 Production cost 37 52 61 57 61 207 252 Gross profit 43 33 27 35 30 139 135 Gross margin 54.0% 39.0% 30.8% 38.2% 33.4% 40.0% 34.9% Regional overhead cost
Slide 25: Region Asia P&L
Region Asia P&L Region Asia Quarterly performance FY performance DKKm Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 FY24 FY23 Revenue 44 36 37 32 32 149 144 Production cost 40 28 27 28 31 123 135 Gross profit 4 7 11 3 2 26 9 Gross margin 9.5% 20.9% 28.4% 11.0% 6.0% 17.2% 6.3% Regional overhead cost 3 5 6
Slide 26: Region Denmark P&L
Region Denmark P&L Region DK Quarterly performance FY performance DKKm Q4 2024 Q3 2024 Q2 2024 Q1 2024 Q4 2023 FY24 FY23 Revenue 221 197 214 212 206 844 732 Production cost 184 148 164 155 174 651 566 Gross profit 38 49 49 58 32 193 166 Gross margin 17.0% 24.8% 23.0% 27.1% 15.6% 22.9% 22.7% Regional
Slide 27: | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION
FEB 2025 | NNIT | Q4 & FY 2024 RESULTS | INVESTOR PRESENTATION 27