F-Secure Oyj · OMXHEX:FSECURE
F-Secure Oyj — Q1 2014 Earnings Presentation
17 slides from F-Secure Oyj's earnings presentation, Apr 24, 2014
Slide 1: Switch On Freedom
SWITCH ON FREEDOM F-Secure Corporation Interim Report Q1 April 24 , 2014 CEO Christian Fredrikson
Slide 2: Highlights in Q1
HIGHLIGHTS IN Q1 • Solid profitability and cash flow • Revenues grew by 2% to 39.1 million (Q113: 38.4 m) • EBIT 5.1 million, 13 % of revenues excluding one-offs of 2.9 million related to re- organization (Bordeaux, France) (Q113: 5.9 m, 15 %) • Cash flow from operations 6 million positive (Q113: 7.
Slide 3: Market Overview
MARKET OVERVIEW PC-sales in decline SMB’s through consumers, and Smartphones & tablets growing consumers through operators Consumer and user-centricity Scalable cloud technology for all devices IT security industry in transformation Profiting from consumerization 3 April 23, 2014
Slide 4: Key Launches
KEY F-Secure Freedome LAUNCHES F-Secure Key younited F-Secure by F-Secure SAFE Your secure, Assistant for any private cloud Multi –device password needs protection for a worry-free online life 4
Slide 5: F-Secure Freedome
F-SECURE FREEDOME BECOME UNTRACKABLE & INVISIBLE
Slide 6: Secure and engaging personal cloud
Secure and engaging personal cloud Replaces old “glorified file managers”
Slide 7: Financials Q1 2014
FINANCIALS Q1 2014
Slide 8: Revenues
Revenues EURm 45 Q1 Revenues grew by 2% 40 • Total quarterly revenues 39.1m (Q113: 38.4 m) 35 • Operator revenues grew by 4% to 30 24.1m; (Q113: 23.1 m) 25 • Other channels declined by 1% to 20 15.1m (Q113:15.2 m) 15 10 5 0 Revenues EBIT 8
Slide 9: Profitability
Profitability 30% Q1 profitability • EBIT 5.1m , 13% of revenues 25% excluding one-off cost of 2.9 m related to re-organizations 20% (Bordeaux, France) and efficiency gains (Q113: 5.9 m, 15%) 15% • Earnings per share EUR 0.01 (EUR 0.03) 10% 5% 0% Q3'07 Q2'13 Q3'04 Q1'05 Q3'05 Q1'06 Q3'06 Q1'07 Q1'08
Slide 10: Costs
Costs Q1 costs increased by 4% excluding oneoffs EURm Costs 35.7m (Q113: 32.8 m) excluding 2.9m of 45 one -off costs 40 • Costs increased by investing in cloud 35 * * business; R&D and Sales & Marketing 30 activities; i.e. SAFE business, SMB focus in 25 Germany, France and USA, younited and 20 Feedo
Slide 11: Deferred Revenues
Deferred Revenues EURm Q1 Deferred revenues 39.9m 45 (38.9m) 40 35 Deferred revenues accrued in the 30 balance sheet 25 20 • Dec 31,2012 37.7 m 15 10 5 0 Q1'12Q2'12Q3'12Q4'12Q1'13Q2'13Q3'13Q4'13Q1'14 11
Slide 12: Cash position remains solid
Cash position remains solid Solid Cash flow in Q1 EURm 60 • from operations 6m (Q113: 7.6m); • Change in cash 4.9 m positive (Q113: 50 5.6m positive) 40 30 Market value of liquid assets 53m 20 (Q113: 38.7m) 10 • Dec 31, 2013 47.8m 0 Cash position Dividend/ Other 12
Slide 13: Number of personnel
Number of personnel At the end of December: 941 1200 (Q113: 938) 1000 800 600 400 200 0 Q112 Q212 Q312 Q412 Q1'13 Q2'13 Q3'13 Q4'13 Q1'14 Administration Research and Development Sales and Marketing 13
Slide 14: Regional Revenue
Regional Revenue 1-3/2014 1-3/2013 Rest Rest of 12 % world 13 % North America North Nordic Nordic America 10 % 30 % 32 % 11 % Rest of Europe Rest of 46% Europe 46 % 14
Slide 15: Outlook for 2014
Outlook for 2014 • The management’s estimation for the year is unchanged: • The annual revenue is estimated to grow from 2013 with stronger second half. • The annual profitability is estimated to be around 15 % of revenues excluding one-off costs. • The company expects overall one-off costs to be le
Slide 16: Thank You!
THANK YOU! Forward-looking statements: Certain statements in this presentation are forward-looking, and the actual outcome could be materially different. Such forward-looking statements are based on F-Secure’s present plans, estimates, assumptions, projections and expectations and are subject to ris
Slide 17: Join the Movement
JOIN THE MOVEMENT