Slide 1: Half-Year Results 2009
ao mobilite Connectivité availability a connectivity mo bility adaptabilite disponibilite | adaptability 2009 HALF-YEAR RESULTS econocom* mobility on demand
Slide 2: Summary
SUMMARY } Group profile and strategic plan } Satisfactory results in the current climate } A solid financial position } Key highlights as of August 31st } Outlook and conclusion 2
Slide 3: Group Profile
GROUP PROFILE } An ICT services provider, specialized in B-to-B, with more than 25 years of experience } A direct presence in 8 European countries* and in Morocco } 2,341 employees including 1,700 engineers and technicians } Listed since 1986 (Euronext Brussels Small Caps index) * Belgium, France, t
Slide 4: Group Profile
GROUP PROFILE } 4 complementary businesses z IT & telecom financing and asset management z Supplier of IT products and solutions z IT services: consulting, outsourcing, maintenance z Integration and maintenance of telecom solutions 4
Slide 5: Group Profile
GROUP PROFILE A key issue for CIO and General Managers to ensure that all company employees have ANY TIME, ANYWHERE the communication tools and ACCESS TO THE INFORMATION necessary to efficiently carry out their mission With expertise that spans both IT and telecom businesses, Econocom is a frontrunn
Slide 6: Strategic Plan
STRATEGIC PLAN A five year strategic plan (2008-2012) A strong strategic axis supporting the group’s growth « Reinforce our leadership by uniting our talents in the scope of bundled offerings » 6
Slide 7: Strategic Plan
STRATEGIC PLAN Bundled offerings: an innovative range of services in the market Cross-activity offerings involving all our skills, which allow us to manage and optimize the entire life cycle of our clients’ resources IT equipment Printing with resources with Deadlines and supply Telecom costs with r
Slide 8: Satisfactory results
Satisfactory results K www.econocom.com mobilityon demand econocom”
Slide 9: Satisfactory Results
SATISFACTORY RESULTS Revenue Recurring Net profit operating profit 346.2 M€ 9.2 M€ 6.1 M€ + 2.3% - 8.9% - 16.4% 9
Slide 10: Consolidated P&L statement
SATISFACTORY RESULTS Consolidated P&L statement as of June 30, 2009 (M€) H1 2008 H1 2009 Revenue 338.4 346.2 +2.3% Recurring operating profit 10.1 9.2 -8.9% Operating profit 9.8 8.8 Profit before tax 9.5 8.6 Tax (2.2) (2.5) Net profit, Group share 7.3 6.1 -16.4% Net earnings per share (€) 0.285 0.25
Slide 11: Consolidated revenue per activity
SATISFACTORY RESULTS Consolidated revenue per activity (M€) % H1 2008 H1 2009 Current Comparable basis basis IT Financial Services 155.7 173.3 11.3% 8.2% Products and Solutions 96.3 93.6 -2.8% -2.8% Managed Services 70.3 66.4 -5.5% -5.5% Telecom Services 16.1 12.9 -19.9% -19.9% TOTAL ECONOCOM GROUP
Slide 12: Contribution of activities to recurring operating profit
SATISFACTORY RESULTS Contribution of the activities to recurring operating profit (M€) 10.1 9.2 7.1 5.7 3.5 1.3 1.4 1.4 0.0 -0.3 -0.4 -0.4 IT Financial Products and Manage d Te le com Dive rs TOTAL Se rvice s Solutions Se rvice s Se rvice s H1 2008 H1 2009 12
Slide 13: IT Financial Services
IT FINANCIAL SERVICES 173.3 155.7 5.7 7.1 H1 2008 H1 2009 H1 2008 H1 2009 Revenue Recurring operating profit Double-digit growth in revenue (+11.3%) and recurring operating profit (+25%) 13
Slide 14: IT Financial Services
IT FINANCIAL SERVICES } Large companies are seeking financing solutions in the current climate } A commercial, technical and financial capacity to sign major contracts: 2 contracts valued at more than €50 million each signed in the first two months of the third quarter } Solid and loyal funding part
Slide 15: Products and Solutions
PRODUCTS AND SOLUTIONS 96.3 93.6 1.3 1.4 H1 2008 H1 2009 H1 2008 H1 2009 Revenue Recurring operating profit Resilience of the activity thanks to investments and scaling back or postponement of integration and deployment projects 15
Slide 16: Products and Solutions
PRODUCTS AND SOLUTIONS } Revenue on a comparable level with 2008 thanks to sales investments realized since year end 2007 and a strong presence in the public sector which is continuing to invest z Conseil Général de l’Oise: €27M over 3 years – 60,000 laptops z Public sector is around a quarter of th
Slide 17: Managed Services
MANAGED SERVICES 70.3 3.5 66.4 1.4 H1 2008 H1 2009 H1 2008 H1 2009 Revenue Recurring operating profit Half year impacted by investments and by the resilience of the activity thanks to commercial investments 17
Slide 18: Managed Services
MANAGED SERVICES } Resilience in Belgium which benefits from a strong brand image (EquaTerra survey – March 2009) } Investments to prepare the future z Creation of a nearshore remote services platform to reinforce our offer’s competitiveness z Major costs due to the start of a new 6-year outsourcing
Slide 19: Telecom Services
TELECOM SERVICES 16.1 12.9 0.0 H1 2008 H1 2009 -0.3 H1 2008 H1 2009 Revenue Recurring operating profit First half year impacted by significant postponement of contracts within an active mobility market 19
Slide 20: Telecom Services
TELECOM SERVICES } Creation of an Audit Telecom department dedicated to companies, in order to control and optimize their fixed and mobile telecom expenses, upstream from management services offers } Several bundled contracts signed in the 3rd quarter of 2009 20
Slide 21: Resilience of the group
SATISFACTORY RESULTS Resilience of the group } Business model built around variable costs } Complementary businesses } Counter-cyclical character of IT Financial Services activity } Constant search for productivity and cost savings 21
Slide 22: A solid financial position
A solid financial position K www.econocom.com mobilityon demand econocom”
Slide 23: Consolidated statement of the financial situation
A SOLID FINANCIAL POSITION Consolidated statement of the financial situation as of 06/30/2009 (M€) H1 H1 2008 2009 2008 2009 NON CURRENT ASSETS 59.1 69.2 SHAREHOLDERS’ EQUITY 78.8 79.7 CURRENT ASSETS 254.4 267.0 LIABILITIES 234.7 256.5 Inventories 8.5 8.5 Provisions 8.2 9.2 Accounts receivable 164.9
Slide 24: Positive net cash and stable shareholders' equity
A SOLID FINANCIAL POSITION Positive net cash and stable shareholders’ equity 13.1 78.8 79.7 9.5 H1 2008 H1 2009 H1 2008 H1 2009 Net cash Shareholders’ equity 24
Slide 25: Balance sheet: main ratios
A SOLID FINANCIAL POSITION Balance sheet: main ratios (%) H1 2009 Solvency ratio (Shareholders’ equity / Total balance sheet) 24% Gearing (Financial debts – Net cash / Shareholders’ equity ) -12% Liquidity ratio (Current assets / Current liabilities) 114% 25
Slide 26: Cash Flow Statement
A SOLID FINANCIAL POSITION Cash Flow Statement (M€) H1 2008 H1 2009 Cash flow 13.1 14.6 Change in working capital and tax (14.0) (12.4) Cash flow from operations (0.9) 2.2 Investment flow (2.5) (5.1) Acquisition of own-shares (4.6) (5.7) Dividends paid (5.3) (5.1) Reimbursement of debts and others 1
Slide 27: The Econocom Group share as of August 31st, 2009
A SOLID FINANCIAL POSITION The Econocom Group share as of August 31st, 2009 Market capitalization as of August 31st, 2009 182.3 M€ Quoted price as of August 31st, 2009 7.35 € 19 M€ 17,8 M€ Market capitalization / Shareholders’ equity 2.29 Gross dividend (Shareholders’ Meeting – May 19, 2009) 0.24€ T
Slide 28: Key highlights as of August 31st
Key highlights as of August 31st
Slide 29: Success of the bundled offerings
KEY HIGHLIGHTS AS OF AUGUST 31st Success of the bundled offerings, strategic axis of the Horizon 2012 plan } Signing of several big contracts, the most important of which represents €52 million } Several contracts under negotiation with major players in their market 29
Slide 30: Success of the bundled offerings
KEY HIGHLIGHTS AS OF AUGUST 31st Success of the bundled offerings, strategic axis of the Horizon 2012 plan European aircraft manufacturer 30
Slide 31: Success of the bundled offerings
KEY HIGHLIGHTS AS OF AUGUST 31st Success of the bundled offerings, strategic axis of the Horizon 2012 plan 31
Slide 32: Success of the bundled offerings
KEY HIGHLIGHTS AS OF AUGUST 31st Success of the bundled offerings, strategic axis of the Horizon 2012 plan World leader in consulting (under negotiation) 32
Slide 33: Strong positioning of IT Financial Services
KEY HIGHLIGHTS AS OF AUGUST 31st Strong positioning of the IT Financial Services activity } Activity supported by innovative offers and which benefits from the situation } 3 contracts signed since July 1st 33
Slide 34: Development of new Remote Services offer: Metropolis
KEY HIGHLIGHTS AS OF AUGUST 31st Development of a new Remote Services offer: Metropolis, with the creation of a virtual remote services center } 3 unified centers: Les Ulis (France), Woluwe (Belgium) and, recently created, Rabat (Morocco) z About 200 multilingual positions, including 35 in Rabat z N
Slide 35: Continuing trust for consecutive years
KEY HIGHLIGHTS AS OF AUGUST 31st Continuing trust for 3 consecutive years ranks Econocom No1 in general satisfaction Econocom is thus recognized, this year again, as the most highly valued service provider by companies in Belgium and Luxembourg. 35
Slide 36: Outlook and conclusion
Outlook and conclusion econocom” www.econocom.com mobilityon demand
Slide 37: Outlook
OUTLOOK } Several large contracts signed recently allowing the outlook for revenue growth over the 9 months through September 30, 2009 appreciably higher than the Group’s figure at the end of the first semester } Increase in full-year revenue compared with the prior-year period } Full-year recurring
Slide 38: Conclusion
CONCLUSION } Satisfactory results in this economic situation } A business model allowing the group to prove resilience } An efficient strategic axis: success of the bundled offerings } Improving productivity actions implemented and pursued since September 2008 } A promising 3rd quarter giving a cert
Slide 39: Agenda 2009 / 2010
AGENDA 2009 / 2010 } Third-quarter trading statement November 12, 2009 } Preliminary full-year figures press release January 27, 2010 } Audited full-year results press release March 11, 2010 } Information meeting March 12, 2010 39
Slide 40: www.econocom.com
www.econocom.com 40