Slide 1: Renewing and Growing Game Changer of Digital Services Business
Renewing and Growing Game Changer of Digital Services Business
Slide 2: Agenda
Agenda 1. Tecnotree as an investment 2. Summary of key financials 3. Rights offering 3 EGM Presentation 28th May 2012
Slide 3: Tecnotree as an Investment
TECNOTREE AS AN INVESTMENT 4 EGM Presentation 28th May 2012
Slide 4: Industry trends
Industry trends Digital services, wireless broadband and smartphones are shaping our lives fast Data transfers are growing rapidly, generating a need for flexible payment and billing solutions Apple, Android, Google, Facebook challenge operators to change their role Consumer may have a numbe
Slide 5: Tecnotree's vision
Tecnotree’s vision Tecnotree enables communication service providers to create a consumer friendly marketplace of digital services 6 EGM Presentation 28th May 2012
Slide 6: Tecnotree: Game changer of digital services business
Tecnotree Game changer of digital services business Tecnotree’s solutions allow communication service providers to provide flexible, personalised service bundles and subscriptions with flexible tariffs and charging options Growth market worth € 60 billion worldwide In November 2011, the resear
Slide 7: Tecnotree's strategic change
Tecnotree’s strategic change According to its new strategy, Tecnotree positions itself as the provider of broad range of telecom IT solutions. Solution service volumes are replacing the old Tecnomen products Net sales development (illustrative) Broad range of digital Old Tecnomen marketplace IT prod
Slide 8: Digital marketplace
Digital marketplace From the consumer point of view 9 EGM Presentation 28th May 2012
Slide 9: Consumers' view
Consumers’ view Example of a consumer portal powered by Tecnotree’s solutions 10 EGM Presentation 28th May 2012
Slide 10: Consumers' view
Consumers’ view Example of a consumer portal powered by Tecnotree’s solutions 11 EGM Presentation 28th May 2012
Slide 11: Products: Tecnotree Agility
Products: Tecnotree AgilityTM Covers the whole business cycle of a communication service provider Customer Lifecycle Unified Product Sales Management Catalogue Customer Cultivation Care Fulfillment Portal Convergent Billing Rating & Unified Order Billing Charging Management Real Time Rating & Chargi
Slide 12: Global business model
Global business model Tecnotree’s over 900 experts serve more than 100 operators in over 50 countries Net sales 2011 Examples of customers in “Airtel is one of the five Asia-Pacif ic Europe 6% largest operators in the Europe 13% world” Middle East and Af rica 43% Examples of customers in Asia- Pacif
Slide 13: Competitive landscape
Competitive landscape Gartner raised Tecnotree among the industry’s 13 most interesting companies in November 2011 Software Network infrastructure 14 EGM Presentation 28th May 2012
Slide 14: Competitive advantages
Competitive advantages Despite Tecnotree’s relatively small size, the Company has enabled to form solid position within tier 1 operators in the emerging markets Large enough to deliver on promise and small enough to care Extensive solution offering to tackle all the core needs of telecom IT Ag
Slide 15: Evidence of successful strategic change
Evidence of successful strategic change Tecnotree has recently entered into two landmark deals $ 31 million Deal worth approximately $ 31 million with a major operator group in Latin America in December 2011 convergent billing Solutions for fixed and mobile networks, and encompasses and customer
Slide 16: Summary of Key Financials
SUMMARY OF KEY FINANCIALS 17 EGM Presentation 28th May 2012
Slide 17: Net sales and order backlog
Net sales and order backlog Transformation to a solution provider has kept net sales development flat. Order backlog is at a record high level 12 month rolling net sales Q1/2010-Q1/2012 Order backlog Q1/2010-Q1/2012 Meur Meur 80 80 70 70 The Company announced its new 60 60 strategy in February 2011
Slide 18: Operating result and margin
Operating result and margin Operating result of the ongoing operations has turned positive1 12 month rolling operating result and adjusted operating result, Q2/2010-Q1/2012 Meur % of net sales 5 5% 2.7 1.8 0 0% -1.3-1.3 -1.6 -1.5 -1.7 -2.7-2.7 -2.5 -2.9 -2.6 -5 -4.3 -4.4 -5% -5.5 -6.8-6.8 -7.9 -10 -
Slide 19: Income statement 2010-2011
Income statement 2010-2011 Meur 2011 2010 Net sales 62.3 60.7 Other operating income 0.2 Costs from operations -59.8 -62.3 Operating result from the ongoing operations 2.7 -1.6 1 Impairment of receivables from Libya -4.4 -0.9 Adjusted operating result -1.7 -2.5 2 Net impact of R&D capitalization -7.
Slide 20: Working capital
Working capital Due to the nature of business Tecnotree ties significant amount of working capital Working capital, Q1/2010-Q1/2012 Meur 60 50 40 30 20 10 0 -10 -20 -30 Q1/10 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Trade receivables Other receivables (mainly WIP) Inventories Non-interest bea
Slide 21: Outlook for 2012
Outlook for 2012 Record order backlog of over € 50 million Net sales and operating result estimated to grow from the previous year Adjusted operating result is estimated to be positive Variations in the quarterly figures will be considerable Cash flow after investments is estimated to impr
Slide 22: Rights offering impact on balance sheet
Rights offering impact on balance sheet € 6 million additional share capital will enable Tecnotree to raise project financing of € 5 million Impact of the Impact of the Assets, Meur 31.3.2012 offering Post-offering Equity and liabilities, Meur 31.3.2012 offering Post-offering Goodwill 19.4 19.4 Tota
Slide 23: Rights Offering
RIGHTS OFFERING 24 EGM Presentation 28th May 2012
Slide 24: Background for the rights offering
Background for the rights offering Increasing need for working capital New projects are broader in scope New projects have a longer delivery cycle Strengthening of balance sheet Tecnotree has negotiated a € 5 million additional project financing credit limit. Additional financing is subjec
Slide 25: A global, Finnish provider of IT solutions
A global, Finnish provider of IT solutions 26 EGM Presentation 28th May 2012