B3 Consulting Group Ab · OMXSTO:B3
B3 Consulting Group Ab — Q1 2025 Earnings Presentation
28 slides from B3 Consulting Group Ab's earnings presentation, Apr 23, 2025
Slide 1: B3 Consulting Group Q1 presentation 2025
B3 Consulting Group Q1 presentation 2025
Slide 2: Presenters
• Katarina Lundqvist • Head of Communications & IR Martin Stenström Katarina Lundqvist CEO Head of Communications & IR Anders Nilsson Head of Business Unit
Slide 3: B3's vision and values
eNPS B3’s vision and values 45 We aim to be Sweden’s best consulting company B3’s vision Experiences The fact that zebra stripes Is to be Sweden's best Competence and continuous have gradually become part of consulting company - for our learning are important for B3's culture has a clear employees,
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Slide 5: Highlights in Q1 2025
Highlights in Q1 2025 Have we reached the turning point? 15% growth and EBITDA up to 7,4% • Revenue 323.6 (281.3) MSEK, 15.0% growth - organic growth 3.9% • EBITDA 24.0 (14.1) MSEK, EBITDA margin 7.4% (5.0%) - Minor One-off cost at -3.4 (-2.7) => adjusted EBITDA margin 8.5% • Profit after tax 7.5 (6
Slide 6: Financial overview Q1 2025 – Group
Financial overview Q1 2025 – Group 15% growth and strengthened EBITDA margin 7.4 (5.0)% Q1 Jan-Dec Extract of key figures 2025 2024 Δ% 2024 Net Sales, SEK million 323,6 281,3 15,0% 1 129,3 EBITDA, SEK million 24,0 14,1 70,2% 57,5 EBITDA margin, % 7,4% 5,0% 5,1% Operating profit (EBIT), SEK million 1
Slide 7: Financial overview Q1 2025 – B3 Sweden
Financial overview Q1 2025 – B3 Sweden Fewer consultants drives negative growth, higher utilization and OH reduction results in higher margins Q1 Jan-Dec Extract of B3 Sweden key figures 2025 2024 Δ% 2024 Net Sales, SEK million 272,8 312,8 -12,8% 1 126,3 EBITDA, SEK million 12,2 8,7 40,2% 22,0 EBITD
Slide 8: Financial overview Q1 2025 – B3 Poland
Financial overview Q1 2025 – B3 Poland 3.2% growth in LCY and 14% EBITDA Q1 Jan-Dec Extract of B3 Poland key figures 2025 2024 Δ% 2024 Net Sales, SEK million 43,0 40,5 6,2% 176,4 EBITDA, SEK million 6,0 5,4 11,1% 23,4 EBITDA margin, % 14,0% 13,3% 13,3% Operating profit (EBIT), SEK million 6,0 5,4 11
Slide 9: Webstep
Webstep Moving according to plan • Integration has progressed according to plan • Three new companies have been formed: B3 Link, B3 Beyond, and B3 Engage. They link up with relevant units including the Umeå team linking up with B3 Vibe. • All one-off costs are taken and OH costs have been reduced by
Slide 10: Revenue breakdown
Revenue breakdown Positive impact on revenue due to M&A and Poland, utilization slowly increasing 15,1% • As communicated in Q4 2024, the negative impact from the reduced 9 0 2 2 number of FTEs continues to 4 diminish each quarter. 32 31 324 42 281 Net Sales Organic M&A* Utilization Hourly Product/
Slide 11: Utilization rate
Utilization rate Continued improved utilization rate but still not good enough • The increase QoQ continues up • Q1 utilization Sweden 81,0%. Incl. Poland +2,6 84,2% 85,5% 84,2% Incl. Poland • Slowdown in early Q1 due to ramp-up of Excl. Poland new assignments – a recurring pattern 87,8% 86,7% 82,7%
Slide 12: Assignments and highlights in Q1
Assignments and highlights in Q1 New contracts and extended assignments. • Approved supplier in Region Stockholm’s new IT consulting procurement system • New framework agreement with CGM • Extended agreement with Sandvik Coromant • New assignments with a major Swedish bank • Several projects for Hit
Slide 13: Capital update
Capital update Future earn-out commitment now at a low level, bond upgrade with 50 MSEK What we communicated in Q3 2023 Upcoming earn-out commitments (2025 – 2027) • 173 MSEK in earn-out commitments • 22* MSEK other earn-out expected to be paid 2025-2027 ➢ Expected to be paid mostly in 2025 Financin
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Slide 15: Fit for growth – Growth initiatives
Fit for growth – Growth initiatives Strategic investments to drive continued growth Forward-leaning initiatives • Establishment of a delivery company in Norway • Creating larger units – DEV STHLM is one example • Expanded presence in Poland, including a new cybersecurity startup • Foundation for fut
Slide 16: B3 operates across multiple markets - Q1 2025
B3 operates across multiple markets - Q1 2025 Many of our companies are struggling with growth – ”Fit for Growth” a measure going forward 20 • The structure with 25+ subsidiaries lackes resilience in weaker 15 markets. • We are stronger when we EBITDA% 10 cooperate in larger organizational units 5 •
Slide 17: DEV STHLM
DEV STHLM Larger units create greater opportunities for impact and growth • DEV STHLM is a key strategic initiative. • By bringing together our Stockholm development companies, we offer a stronger, more compelling client value proposition • The unit includes nearly 120 consultants, a true system dev
Slide 18: DEV STHLM
DEV STHLM By aligning our Stockholm companies, we deliver greater value through scale and expertise AI Backend, DEV STHLM Fronend Stockholm/Uppsala Mobile dev. Anders Nilsson Cyber Security DevOps B3 Innovation B3 Mobile B3 CodeRight B3 Link B3 Init Kenneth Camilla Landén Christian Bratt Susanna Hof
Slide 19: B3 creates growth opportunities in Norway
B3 creates growth opportunities in Norway 1+1 = 3? • Supporting Habberstad to continue as a leading brand in Norway • Setting up B3 Norway with new delivery capacity • More competence in defence segment – Sigurd Heier on board • Stronger on recruitment – New leadership in search • A new frame agreem
Slide 20: B3 Poland Consulting
B3 Poland Consulting Solid ground for future expansion • Strong growth since its founding in 2018. • The Polish market is currently outperforming the Swedish market. • We operate with a competitive business model. • Several international clients, 31% of business in Q1 2025 (28% 2024). • New partners
Slide 21: Fit for growth – Cost savings
Fit for growth – Cost savings We are aligning the organization with the present conditions 30 All decisions implemented 25 25 23 Target Cost Savings Program 20 • Annual savings of 25 MSEK by adapting to lower-than- 20 expected revenues. Full year effect Q4-26 15 Harvest period 15 ➢ Not including pre
Slide 22: Q1 Summary
Q1 Summary Have we reached the turning point? 15% growth and EBITDA up to 7,4% • New initiative – "Fit for Growth" will support further profitable growth • Poland, Webstep and Habberstad is "fully on board" • We will collaborate and creating value through larger, more integrated organizational units
Slide 23: Q&A
Q&A
Slide 24: APPENDIX
APPENDIX
Slide 25: Revenue and profit
Revenue and profit Development over the past five years Revenue MSEK per quarter and R12 EBIT MSEK per quarter and R12 EBITDA MSEK per quarter and R12 25
Slide 26: Distribution across different industries
Distribution across different industries B3 operates in several interesting industries driven by digitalization Revenue share per industry Jan-Mars 2025 (Jan-Mars 2024) 26
Slide 27: Share per segment
Share per segment B3 Poland delivers good growth with high margins Revenue, share per business area EBIT, share per business area Jan-Mars 2025 (Jan-Mars 2024) Jan-Mars 2025 (Jan-Mars 2024) B3 Sweden 84,7% (100,0%) B3 Poland 13,3% (0,0%) B3 Norway 2,0% (0,0%) 27
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