Verisure Plc · OMXSTO:VSURE
Verisure — Verisure Midholding — Q4 2020 Earnings Presentation
17 slides from Verisure's earnings presentation, Feb 24, 2021
Slide 1: Verisure Midholding AB (publ) Earnings Call Presentation Q4 2020
Verisure Midholding AB (publ) Earnings Call Presentation | Q4 2020 February 24th, 2021
Slide 2: Disclaimer
Disclaimer This presentation and the investor conference call in which this presentation is used might contain forward looking statements, which are based on our current expectations and projections about future events. All statements other than statements of historical facts in this presentation in
Slide 3: Today's Presenters
Today´s Presenters Austin Lally Vincent Litrico Chief Executive Officer Chief Financial Officer 3
Slide 4: Agenda
Agenda • Key Developments • Financial Review • Questions & Answers 4
Slide 5: Q4 2020 Performance Highlights
Q4 2020 Performance Highlights Key Highlights Key Operating and Financial Metrics • Continued strong operational and financial performance in Q4 2020 2018 Q4 2019 Q4 2020 Q4 • Our customer portfolio continued to grow and passed the 3.7m customer New +135k +161k +199k milestone, which represents a gr
Slide 6: Portfolio up +417k vs. PY and Now Over 3.7m Customers
Portfolio up +417k vs. PY and Now Over 3.7m Customers Continued Customer Portfolio Growth Net Portfolio Growth (NPG) Total Customer Portfolio (000) 3,764 vs Q4 2019 +12.5% 3,623 NPG (000) +417 3,468 3,430 NPG (% of Portfolio) +12.5% 3,347 NPG Acceleration(1) +27.5% 2019 2020 2020 2020 2020 Q4 Q1 Q2
Slide 7: 199k New Customers Added in Q4 2020, up +23% vs. 2019
199k New Customers Added in Q4 2020, up +23% vs. 2019 New Installations (000) +23.3% 211 199 +37.3% vs. PY +23.3% 161 vs. PY 154 142 +19.7% +17.3% vs. PY (2.3%) vs. PY vs. PY 95 (37.0%) vs. PY 2019 2019 2020 2020 2020 2020 Q3 Q4 Q1 Q2 Q3 Q4 7
Slide 8: Maintaining Low Attrition
Maintaining Low Attrition LTM Attrition Rate (%) 9.5 9.0 8.5 8.0 7.5 7.0 6.5 6.5 6.0 5.5 5.0 2014 2015 2016 2017 2018 2019 2020 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 8
Slide 9: Continued Strong Growth in Customer Profitability
Continued Strong Growth in Customer Profitability ARPU(1) €41.5 Constant Currency Reported Currency Cost to Serve €11.4 Q4 2020 Growth(3) Growth(3) (28%) €26.0 ARPU €41.5 +2.1% +0.9% €30.1 EPC €30.1 +6.5% +5.3% EPC(2) (72%) Q4 2020 Note: (1) ARPU: Average Revenue Per User per month; (2) EPC: Portfol
Slide 10: Key Financial Metrics - Q4 2020
Key Financial Metrics - Q4 2020 Strong Financial Metrics Increasing Portfolio Services Profitability €m Portfolio Services Adj. EBITDA Margin (%) 2019 2020 % vs. Q4 Q4 PY Total Revenues 498 582 +17% +310 bps Portfolio Services 72.5% 282 333 +18% Adjusted EBITDA(1) Total Adjusted EBITDA(1) 191 257 +3
Slide 11: Income Statement - Q4 2020
Income Statement - Q4 2020 Income Statement Summary - Q4 2020 Strong Revenue Growth €m Revenue (€m) +18% Constant FX Reported +17% Actual FX SDI(1) Reported excl. SDI 582 22 Revenue 582 582 498 Net Operating Expenses (325) (30) (355) 100 7 Adjusted EBITDA 257 (30) 227 85 D&A (69) (40) (109) Retireme
Slide 12: Strong Operating Cash Flow Generation of €942m for FY 2020, up +34% YoY
Strong Operating Cash Flow Generation of €942m for FY 2020, up +34% YoY Cash Flow from Operating Activities, FY 2020, €m 1,256 (322) 98 942 (34) (57) Portfolio Customer Change in Tax SDI & Cash Flow EBITDA Acquisition Working Capital Paid Other Operating EBITDA Activities 12
Slide 13: FY 2020 Net Debt Slightly Down vs. Dec 2019
FY 2020 Net Debt Slightly Down vs. Dec 2019 Net Debt(1) Bridge, FY 2020, €m (5,126) (69) (5,108) (219) (2) (636) 2 942 Net Debt CF Operating CF Investing Net Paid M&A Lease Liability Other Net Debt Dec 2019 Activities Activities Interest (IFRS 16) Dec 2020 Note: (1) Net Debt including IFRS 16 (€134m
Slide 14: Leverage Overview
Leverage Overview Evolution of L2QA Net Leverage(1) 2019 - 2020 YTD L2QA Net Leverage(1) €1.0Bn €0.4Bn €0.1Bn Total Leverage dividend dividend Arlo Senior Secured Leverage recap recap M&A 2019 2020 7,5 7,0x 7,3x 7,2x 7,2x 7,0x 6,8x Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 6,8x 7,0x 6,9x 7,0 6,7x 6,7x 6,7x 6,5x 6,2x
Slide 15: Resilient High-quality Growth
Resilient High-quality Growth Strong Customer Intake Strong Portfolio Growth Quality Portfolio EBITDA Growth New Installations (000) Total Customer Portfolio (000) (€m) 611 647 +12.7% 3,764 +15.4% 3,347 516 2,931 440 2,586 359 2,294 2,017 308 1,626 1,788 237 265 1,256 +19.5% 1,075 891 2013 2014 2015
Slide 16: Q&A
Q&A 16
Slide 17: Thank you
Thank you