Slide 1: 2009 Annual Results Presentation
2009 Annual Results Presentation 16 February 2010 Unissons nos Talents TALENTED TOGETHER Annual Results – 16 February 2010 1
Slide 2: Agenda
Agenda 2009 Achievements Complementary Information New Wins and Commentary Strategy and Outlook Annual Results – 16 February 2010 2
Slide 3: Revenue (€m)
Revenue (€m) 1,129.5 1,094.3 44.8 37.1 Growth: Full Year Q4 Total -3.1% -8.0% Organic -4.5% -6.0% 702.8 704.5 Organic Growth 2009 Q4 Management Consulting - 17.2% - 7.3% SSI* France + 0.3% - 4.3% SSI* Europe - 15.3% - 18.3% 210.7 170.5 Axway - 7.6% - 1.1% 171.2 182.2 *SSI: Systems & Solutions Integr
Slide 4: Income Statement
Income Statement 31/12 31/12 % 2009 2008 Change €m % €m % Revenue 1,094.3 1,129.5 - 3.1% Staff costs - Employees -737.4 -721.8 + 2.2% - 0.9% Staff costs - Contractors -74.3 -97.6 - 23.9% Operating expenses -183.7 -193.8 - 5.2% Depreciation, amortisation and provisions -15.9 -14.0 + 13.6% Profit from
Slide 5: Operating Profit by Division
Operating Profit by Division 2009 2008 Revenue PRO** % Margin Revenue PRO** % Margin (in millions of euros) Management consulting 37.1 0.8 2.2% 44.8 2.3 5.1% SSI* France 704.5 58.5 8.3% 702.8 62.7 8.9% SSI* Europe 170.5 5.2 3.0% 210.7 17.1 8.1% Axway 182.2 18.5 10.2% 171.2 20.2 11.8% Total Group 1,0
Slide 6: Balance Sheet
Balance Sheet 31/12 31/12 €m 2009 2008 Goodwill 356.6 372.7 Allocated intangible assets 23.1 26.4 Other fixed assets 40.4 41.0 Assets 420.1 440.1 Trade accounts receivable (net) 333.9 401.5 Other assets and liabilities -334.9 -375.1 Operating assets and liabilities -1.0 26.4 ASSETS + WCR 419.1 466.5
Slide 7: Shareholders’ Equity
Shareholders’ Equity M€ Position at 31 December 2008 268.3 Dividends - 19.3 Net profit - Group share 27.2 Capital increase through exercise of 1.2 share subscription options Acquisition or disposal of treasury shares 0.8 Share-based payments 0.3 Actuarial differences - 0.2 Change in financial instru
Slide 8: Changes in Net Debt
Changes in Net Debt 2009 2008 €m Net debt at beginning of period (A) 198.2 130.3 Cash from operations before changes in working 94.6 108.4 capital Income taxes paid -32.2 -29.3 Changes in working capital requirements 50.2 -2.8 Net cash flow from operating activities 112.6 76.3 Net cash used in inves
Slide 9: Financial Ratios
Financial Ratios 11.52 2007 2008 2009 10.05 74% 6.86 52% 4.80 4.98 49% 2.33 1.79 1.52 1.28 Basic earnings per Net Debt / Equity Net Debt / EBITDA** OP* / Net share (€) Borrowing Cost <100% <3 >5 Banking Covenants *OP: Operating Profit **EBITDA: €90.7m Annual Results – 16 February 2010 9
Slide 10: Agenda
Agenda 2009 Achievements Complementary Information New Wins and Commentary Strategy and Outlook Annual Results – 16 February 2010 10
Slide 11: Business Sector & Vertical Market Positioning
Business Sector & Vertical Market Positioning Retail Consulting Banking Axway Public Sector 7% 7% 11% 11% 23% 23% 17% 17% 17% 17% Fixed-price 13% 13% Proprietary Projects Telecoms 12% 12% 7% 7% Insurance Solutions 12% 12% 17% 17% 18% 29% 17% 17% 18% 29% Staffing Application Services, Manufacturing O
Slide 12: Strong Positioning in France
Strong Positioning in France Switzerland USA / Asia Italy Benelux United Kingdom 6% 5% 5% 6% Spain 6% 6% 20% 8% 8% 20% Europe France France ex. France 74% 74% 81% 81% Revenue: Sopra Group & Axway Sopra Group Revenue (ex. Axway) Annual Results – 16 February 2010 12
Slide 13: Axway: Balanced Geographies
Axway: Balanced Geographies Asia Asia 2% 2% 2% 2% USA USA 30% 30% 34% 34% 38% 38% France France 38% 38% 30% 30% 26% 26% Europe Europe ex. France ex. France Axway Revenue Axway Revenue ($1=1€) Annual Results – 16 February 2010 13
Slide 14: Axway: Focus on Revenue
Axway: Focus on Revenue +2% +20% +11% +44% Services 26% 26% 34% 34% Licences 40% 40% Maintenance 2006 2007 2008 2009 Type of Revenue Licence Revenue Annual Results – 16 February 2010 14
Slide 15: Workforce (excluding contractors)
Workforce (excluding contractors) 12,450 12,450 11,320 8,210 8,335 7,580 ex. France France Groupe 4,240 4,115 3,740 December 2007 December 2008 December 2009 Annual Results – 16 February 2010 15
Slide 16: Agenda
Agenda 2009 Achievements Complementary Information New Wins and Commentary Strategy and Outlook Annual Results – 16 February 2010 16
Slide 17: Taking Market Share (1/3)
Taking Market Share (1/3) Utilities EDF GDF-SUEZ Scottish Power Financial Services NAG, Tesco Finance, First Data Corp (UK) ING Direct, Allianz (Spain) Public Sector Large Ministry Offices (France) NHS Scotland (UK) SOGEI (Italy) Manufacturing Thales EADS – Airbus, Euroco
Slide 18: Taking Market Share (2/3)
Taking Market Share (2/3) Large Public Sector Projects Additional waves of Chorus ONP win (Opérateur national de paye) Exchange systems in place with Axway Large Banking Projects and Sopra Group Solutions Payment factories for Société Générale, Transactis Credit factories for large ban
Slide 19: Taking Market Share (3/3)
Taking Market Share (3/3) Testing – Success for the new offering “Triple Star Award” EDF Virgin Media Dalkia Eurocopter STIE – Success Airbus, flight simulator Thales, Avionics International extensions Sopra Group Solutions Roche, Vinci Park (Pleïades) Carrefour Property (A
Slide 20: Changes in Client Demand
Changes in Client Demand Industrialisation Supplier Consolidation Rationalisation Driving large programmes and outsourcing Mergers Cost Cutting New Technologies New Utilisation Driving large transformation Competitive Advantage programmes Cost Cutting Annual Results – 16 February 2
Slide 21: Pursuing the Transformation Programme
Pursuing the Transformation Programme Transformation of offerings and business lines Road map the future and reinforce the present Confirmation of economic segments and large accounts Reinforcement of internal governance Selection of accounts and segments with high potential Industrialis
Slide 22: Agenda
Agenda 2009 Achievements Complementary Information New Wins and Commentary Strategy and Outlook Annual Results – 16 February 2010 22
Slide 23: A Strategy in Motion
A Strategy in Motion A year dominated by the initiative to separate Sopra Group and Axway Unissons nos Talents TALENTED TOGETHER Annual Results – 16 February 2010 23
Slide 24: Strategic Initiative: Axway Spin-off
Strategic Initiative: Axway Spin-off Complete operational autonomy in place Infrastructure/functional autonomy well-advanced Spin-off procedures advancing as planned Mode: attribution of Axway shares to Sopra Group shareholders and simultaneous listing on Euronext Sopra Group would retain
Slide 25: Axway’s Offering
Axway’s Offering Axway is the world-wide leader of “Business Interaction Networks” Platform guarantees, secures and governs all electronic exchanges necessary to an enterprise Internally: factories, depots, sales points, mother companies, subsidiaries, etc. Externally: clients, suppliers, go
Slide 26: Distribution
Distribution Global Geographic Coverage Undeniable leader in Europe Major player and strong growth in the US Established partner in Asia Quality approach specific to Finance and Supply Chain verticals world- wide Leadership and potential attracts more and more integration and distributio
Slide 27: Marketing, R&D, Support
Marketing, R&D, Support Savoir-faire recognised by leading industry analysts Leader in Gartner Group’s MFT, B2B, and eMail “Magic Quadrants” Onshore/offshore infrastructure in place, capable of optimising maintenance, support and innovation Annual Results – 16 February 2010 27
Slide 28: G&A and Management
G&A and Management Systems complete, autonomous, world-wide and specific to a software developer Finance, Legal, HR, etc. International, highly qualified management team with M&A experience Viewlocity Cyclone Commerce Atos/Actis Tumbleweed Annual Results – 16 February 2010 28
Slide 29: For Sopra Group ex. Axway
For Sopra Group ex. Axway A strategy in motion, designed to adapt to changing client demand and to play a role in market consolidation when the time is right Optimisation, rationalisation and continued industrialisation Capitalise on strengths On the current business divisions, including Sop
Slide 30: Outlook
Outlook Sopra Group forecasts positive organic growth and a slight improvement in its current operating margin Axway forecasts positive organic growth and a slight improvement in its current operating margin Annual Results – 16 February 2010 30
Slide 31: Questions?
Questions? Unissons nos Talents TALENTED TOGETHER Annual Results – 16 February 2010 31