Elm Company · TADAWUL:7203
Elm — H1 2024 Earnings Presentation
22 slides from Elm's earnings presentation, 2024
Slide 1: Investor Presentation H1 2024
Investor Presentation H1 2024
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Elm solely for informational purposes. The presentation may contain or include statements that are, or may be deemed to be, “forward-looking statements”. Any forward-looking statements reflect the Company’s current view with respect to future events
Slide 3: Agenda
Agenda Introduction Elm 4.0 Strategy H1 2024 Highlights Financial Performance 2024 Guidance
Slide 4: Elm At a Glance
Elm At a Glance Providing e-services to Diversification into consulting services, Initial Public Offering (IPO) and Company’s Journey individuals, businesses, and IT services, government process listing Elm shares on the Main government agencies outsourcing, training solutions, and e- Market of the
Slide 5: Elm's business and Segments
Elm’s business and Segments Elm business includes 3 main offerings targeting the public and private sectors through various service models Digital Business Business Outsourcing Professional Services Offering Type Digital Products Digital Projects Process Outs. Consulting Data & AI Developing digital
Slide 6: Brief About Top Products
Brief About Top 6 Products Absher Fasah Provide Ministry of Interior services (Passports, Traffic, Civil Affairs, etc.) Facilitate international trade services by automating the import and digitally in an integrated platform to citizens, residents and visitors. export procedures Partner: Ministry of
Slide 7: Agenda
Agenda Introduction Elm 4.0 Strategy H1 2024 Highlights Financial Performance 2024 Guidance
Slide 8: Elm 4.0 Strategy
Elm 4.0 Strategy Elm will strengthen its capabilities to grow current offerings and expand into new gov sectors and adjacent B2B markets in its new strategy Elm 4.0 Elm 3.0 (2023) Elm 4.0 (2024 - 2028) Products Organically and inorganically: (mostly gov. today) › Expand into new gov. verticals › Dev
Slide 9: Elm 4.0 Strategy
Elm 4.0 Strategy Elm 4.0 strategy focuses on diversification and modernize offerings, and require capital deployment in both GovTech and B2B offerings Public Sector BPO To penetrate new markets, increase To embed technologies and solutions presence and market share through Gov’t Digital Products to
Slide 10: Agenda
Agenda Introduction Elm 4.0 Strategy H1 2024 Highlights Financial Performance 2024 Guidance
Slide 11: Operational Highlights
Operational Highlights Strong growth across Gov’t products Gov’t Products 10year agreement has been Growth in BPO due to executed projects signed creating business sustainability and potential growth in Gov’t Products Business Products Expansion on International business portfolio ▪ Exploring the ta
Slide 12: Financial Highlights
Financial Highlights H1 2024 Revenue (Mn Revenue YOY Change SAR) 3,406 26.5% H1 2024 EBIT (Mn SAR) EBIT YOY Change 798 14.4% H1 2024 Net Profit (Mn Net Profit YOY Change SAR) 831 19.5% 12
Slide 13: Agenda
Agenda Introduction Elm 4.0 Strategy H1 2024 Highlights Financial Performance 2024 Guidance
Slide 14: P&L Highlights
P&L Highlights Professional Services Business Process Outsourcing SAR Millions Digital Businesses Gross Profit Margin Revenue by Business Segment Gross Profit by Business Segment Key Highlights +27% +19% › Consistent Revenue expansion: Digital business and Business process outsourcing 3,406 1,361 co
Slide 15: P&L Highlights
P&L Highlights SAR Millions EBIT +14% Key Highlights -58 -31 20 798 › EBIT remains strong: EBIT increased 698 215 -45 despite increased operating expenses, with a positive impact of ECL reversals. › Strong Net profit growth: Net profit increased significantly, driven by Higher H1 2023 Gross Profit G
Slide 16: Digital Business
Top 6 Products Digital Business Other Products Gross Profit Margin SAR Millions Revenue Gross Profit Products Revenue Key Highlights › Continuous Revenue growth: Revenue increased across the majority of the products +22% +21% +26% portfolio. 2,424 1,132 2,267 › Margin dynamics: while products and se
Slide 17: Business Process Outsourcing
Gross Profit Margin Business Process Outsourcing SAR Millions Revenue Gross Profit Key Highlights › Accelerated growth: BPO revenue surged, +44% +6% driven by new projects expansion and 917 217 increased deliverables. 204 › Gross profit growth with decrease in Profitability: Gross profit increased a
Slide 18: Professional Services
Gross Profit Margin Professional Services SAR Millions Revenue Gross Profit Key Highlights › Revenue decrease: Professional services +21% revenue declined, primarily due to decreased -10% 73 12 revenue from ongoing projects. 65 › Profitability expansion: Despite the revenue 10 decrease, gross profit
Slide 19: Balance Sheet and Cash Flow Highlights
Balance Sheet and Cash Flow Highlights SAR Millions Cash Balance Movement Receivable (Number of Days) Key Highlights 149 151 › Strong Cash generation: Despite 142 the increase in receivable days and decrease in payable days, Cash flow from operation, exceeds net profit to reach 120%. This was 1,602
Slide 20: Agenda
Agenda Introduction Elm 4.0 Strategy H1 2024 Highlights Financial Performance 2024 Guidance
Slide 21: Guidance
Guidance YE 2024 H1 2024 YE 2024 Guidance Actual Guidance Update Revenue Growth 16% - 18% 27% 22% - 24% EBIT Margin 22% - 24% 23% Unchanged Cash Flow from Operating 80% - 90% 120% Unchanged Activities as % of Net Income 21
Slide 22: Thank you
Contact Information Investor Relations Department Tel: +(966) 11 461 8500 Email: ialmuhanna@elm.sa Investor Relations Website Click here Thank you Elm IR Application