Atea Asa · OSL:ATEA
Atea Asa — Q4 2022 Earnings Presentation
39 slides from Atea Asa's earnings presentation, Feb 9, 2023
Slide 1: Q4 2022 Presentation
Q4 2022 Presentation February 9, 2023
Slide 2: Highlights – Q4 2022
Highlights – Q4 2022 Gross sales of NOK 14 billion Cash flow from operations of NOK 1.7 billion Up 17.6% y-o-y Free cash flow of NOK 1.5 billion EBIT of NOK 449 million (up 11.5% y-o-y) Net cash position of NOK 304 million EBIT Up 21.1% excl. extraordinary item last year Net debt / EBITDA ratio of -
Slide 3: Income Statement – Q4 2022
Income Statement – Q4 2022 • Record high sales in all countries and across all lines of business (almost all organic) • Excluding an extraordinary gain on the sale of an associated company last year (NOK 32 million), EBIT in Q4 2022 grew by 21.1% CURRENCY: MNOK Q4 2022 Q4 2021 Growth FY 2022 FY 2021
Slide 4: Business unit performance – Q4 2022
Business unit performance – Q4 2022 • All countries report double-digit sales growth • Atea Denmark continues in its recovery, with rapid growth in sales and EBIT • Excluding the extraordinary gain on the sale of an associated company last year (NOK 32 million), EBIT in Atea Norway grew by 21.9% fro
Slide 5: Cash flow from operations
CURRENCY: MNOK Q4 2022 Q4 2021 Cash Cash earnings 516 436 flow from Changes in working capital operations (excluding sale of receivables) 1,116 1,020 Cash flow from operations of Cash flow from operations, before 1,631 1,456 NOK 1,650 million in Q4 2022 sale of receivables Change in sale of receivab
Slide 6: Net financial position
CURRENCY: MNOK 31-Dec 2022 31-Dec 2021 Interest-bearing liabilities -617 -530 Cash and cash equivavlents 922 1,353 Net financial Net financial position* 304 822 position EBITDA - rolling 4 Q* 1,812 1,659 Net debt / EBITDA, end of quarter (ratio) -0.2 -0.5 Net financial position* Loan covenant: of NO
Slide 7: Financial performance – last 5 years
Financial performance – last 5 years • Atea has delivered consistent growth in sales and operating profit based on its unique competitive position in the growing IT infrastructure market 45,000 1,400 40,000 1,200 35,000 2018 - 2022 performance 1,000 30,000 • Sales CAGR of 8%, 800 nearly all organic
Slide 8: The Digital Spending Gap
The Digital Spending Gap • Total IT spending is forecast to maintain a steady growth rate of 5-6% during the next two years, significantly higher than GDP growth. Enterprise IT infrastructure predicted to grow even faster 7 6 5 4 3 2 1 0 2022 2023 2024 GDP IT spending * Source: IDC
Slide 9: Business outlook
Business outlook Strong market opportunities across all business lines Hardware Software Services • Solid underlying demand, as • Robust market driven by strong • Very strong demand for consulting organizations need to customer demand and higher list pricing services, as customers need expertise mai
Slide 10: Corporate Social Responsibility awards last year
Atea ranked as one of the most sustainable companies in the world by Corporate Knights (#49 overall) Corporate Social Responsibility awards last year top 1 % of 100 000 receives “Leadership Band” corporations globally placement in annual CDP Atea has been recognized with the climate rating following
Slide 11: But our strongest asset is our people and our culture
But our strongest asset is our people and our culture
Slide 12: Capital allocation
Dividend: Share buyback: NOK 6.25 per share will be The Board will request that the proposed to the 2022 AGM, 2023 AGM renew its mandate to equivalent to 83% of EPS authorize a share buyback The dividend will be paid in two Atea repurchased 1.8 million of its equal installments in May and own shares
Slide 13: Highlights: Full Year 2022
EBIT Gross sales of EBIT of NOK 46.7 billion NOK 1,196 million 16% organic growth in Growth of 14% constant currency Highlights: • Rapid growth in all countries • High growth in revenue and and across all lines of business lower growth in operating costs Full Year 2022 • Denmark shows major profit i
Slide 14: A word from our Chairman
A word from our Chairman
Slide 15: We build the future with IT.
We build the future with IT.
Slide 16: Q4 2022 Presentation Fact pack
Q4 2022 Presentation Fact pack February 9, 2023
Slide 17: Highlights – Group
Highlights – Group Q4 Q4 Full year Full year NOK in million 2022 2021 2022 2021 Gross sales 13,953 11,863 46,664 41,316 Revenue (IFRS) 9,820 8,099 32,397 28,491 Gross profit 2,617 2,356 9,002 8,446 EBIT 449 403 1,196 1,046 EBIT margin (%) 4.6% 5.0% 3.7% 3.7% Net profit 303 307 851 763 Earnings per s
Slide 18: Consolidated statement of financial position – Group
Consolidated statement of financial position – Group NOK in million 31 Dec 2022 31 Dec 2021 ASSETS Property, plant and equipment 541 493 Right-of-use assets 1,253 1,200 Deferred tax assets 213 276 Goodwill 4,132 3,942 Other intangible assets 452 328 Long-term subleasing receivables 36 53 Other long-
Slide 19: Full-time employees – Group
Full-time employees – Group FTEs, end of period 31 Dec 2022 31 Dec 2021 Norway 1,779 1,753 Sweden 2,712 2,570 Denmark 1,499 1,404 Finland 507 426 Baltics 706 682 Logistics 285 265 Atea Global Services 524 499 Atea ASA 9 10 AppXite 51 49 Atea Group 8,073 7,658
Slide 20: Financial performance actual – Segment
Financial performance actual – Segment NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Norway 1,721.0 1,772.3 1,682.9 2,079.0 1,746.9 1,926.7 1,952.9 2,425.5 Sweden 2,582.4 2,607.1 2,618.4 3,259.9 2,672.4 3,021.6 3,230.9 3,738.2 Denmark 2,054.2 1,574.9 1,406.4 1,738.9 1,622.0 1,640.9
Slide 21: Financial performance pro forma – Segment
Financial performance pro forma – Segment NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Norway 1,721.0 1,772.3 1,682.9 2,079.0 1,746.9 1,926.7 1,952.9 2,425.5 Sweden 2,594.9 2,619.4 2,630.9 3,272.1 2,685.0 3,034.3 3,239.3 3,738.2 Denmark 2,054.2 1,574.9 1,406.4 1,738.9 1,551.4 1,730
Slide 22: Income statement actual – Group (NOK million)
Income statement actual – Group (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Hardware 5,166.3 4,689.5 4,655.2 5,701.3 4,809.7 5,324.4 5,953.5 7,088.0 Software 2,912.3 4,273.0 2,074.0 3,867.6 3,230.7 4,738.6 2,470.2 4,342.7 Product sales 8,078.6 8,962.6 6,729.2 9,568.9
Slide 23: Income statement pro forma – Group (NOK million)
Income statement pro forma – Group (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Hardware 5,166.3 4,689.5 4,655.2 5,701.3 4,717.3 5,416.8 5,953.5 7,088.0 Software 2,912.3 4,273.0 2,074.0 3,867.6 3,212.4 4,757.0 2,470.2 4,342.7 Product sales 8,078.6 8,962.6 6,729.2 9,56
Slide 24: Income statement actual – Norway (NOK million)
Income statement actual – Norway (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 1,684.2 1,826.5 1,673.5 2,448.0 1,994.7 2,260.8 2,057.7 2,787.6 Services sales 564.3 551.1 519.6 605.2 549.6 566.7 520.9 624.2 Gross sales 2,248.5 2,377.6 2,193.1 3,053.2 2,544
Slide 25: Income statement actual – Sweden (SEK million)
Income statement actual – Sweden (SEK million) SEK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 3,076.1 3,959.8 2,782.8 4,196.1 3,599.3 4,619.0 3,734.4 5,016.6 Services sales 755.4 793.3 636.1 937.3 820.7 880.1 792.0 1,021.6 Gross sales 3,831.5 4,753.1 3,418.8 5,133.4 4,4
Slide 26: Income statement pro forma – Sweden (SEK million)
Income statement pro forma – Sweden (SEK million) SEK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 3,076.1 3,959.8 2,782.8 4,196.1 3,599.3 4,619.0 3,734.4 5,016.6 Services sales 767.8 805.6 648.4 949.7 833.9 893.3 800.8 1,021.6 Gross sales 3,843.9 4,765.4 3,431.2 5,145.8
Slide 27: Income statement actual – Sweden (NOK million)
Income statement actual – Sweden (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 3,120.7 3,949.0 2,822.6 4,149.1 3,412.1 4,415.0 3,536.3 4,767.6 Services sales 766.3 789.7 645.0 926.9 778.0 841.8 750.0 970.9 Gross sales 3,887.1 4,738.7 3,467.6 5,076.0 4,190
Slide 28: Income statement pro forma – Sweden (NOK million)
Income statement pro forma – Sweden (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 3,120.7 3,949.0 2,822.6 4,149.1 3,412.1 4,415.0 3,536.3 4,767.6 Services sales 778.9 802.0 657.5 939.1 790.6 854.4 758.4 970.9 Gross sales 3,899.6 4,751.0 3,480.2 5,088.1 4,
Slide 29: Income statement actual – Denmark (DKK million)
Income statement actual – Denmark (DKK million) DKK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 1,497.1 1,724.0 942.3 1,427.3 1,237.6 1,707.4 1,215.1 1,697.3 Services sales 320.8 376.9 346.8 402.1 412.5 373.8 408.0 470.2 Gross sales 1,817.9 2,100.9 1,289.1 1,829.4 1,650.
Slide 30: Income statement pro forma – Denmark (DKK million)
Income statement pro forma – Denmark (DKK million) DKK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 1,497.1 1,724.0 942.3 1,427.3 1,154.6 1,790.3 1,215.1 1,697.3 Services sales 320.8 376.9 346.8 402.1 495.5 290.9 408.0 470.2 Gross sales 1,817.9 2,100.9 1,289.1 1,829.4 1,6
Slide 31: Income statement actual – Denmark (NOK million)
Income statement actual – Denmark (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 2,066.2 2,341.6 1,317.7 1,914.7 1,652.0 2,297.4 1,645.0 2,359.2 Services sales 442.7 512.1 481.7 540.5 550.7 503.9 551.6 654.2 Gross sales 2,508.9 2,853.6 1,799.4 2,455.3 2,20
Slide 32: Income statement pro forma – Denmark (NOK million)
Income statement pro forma – Denmark (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 2,066.2 2,341.6 1,317.7 1,914.7 1,541.3 2,408.1 1,645.0 2,359.2 Services sales 442.7 512.1 481.7 540.5 661.4 393.1 551.6 654.2 Gross sales 2,508.9 2,853.6 1,799.4 2,455.3 2
Slide 33: Income statement actual – Finland (EUR million)
Income statement actual – Finland (EUR million) EUR in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 97.0 65.2 66.9 70.2 78.3 79.7 88.3 103.7 Services sales 9.7 9.8 9.4 11.6 8.9 12.0 10.4 13.5 Gross sales 106.7 74.9 76.3 81.9 87.2 91.7 98.7 117.2 Product margin (%) 8.4% 11.5%
Slide 34: Income statement pro forma – Finland (EUR million)
Income statement pro forma – Finland (EUR million) EUR in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 97.0 65.2 66.9 70.2 78.3 79.7 88.3 103.7 Services sales 10.4 10.6 10.1 12.8 10.1 12.0 10.4 13.5 Gross sales 107.4 75.7 77.1 83.0 88.4 91.7 98.7 117.2 Product margin (%) 8.4
Slide 35: Income statement actual – Finland (NOK million)
Income statement actual – Finland (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 995.2 654.7 692.5 699.4 777.9 799.0 888.2 1,071.4 Services sales 99.8 98.6 96.9 116.5 88.0 120.2 104.6 139.7 Gross sales 1,095.0 753.3 789.4 815.9 865.9 919.2 992.8 1,211.1 Pr
Slide 36: Income statement pro forma – Finland (NOK million)
Income statement pro forma – Finland (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 995.2 654.7 692.5 699.4 777.9 799.0 888.2 1,071.4 Services sales 107.2 106.8 104.8 127.7 100.0 120.2 104.6 139.8 Gross sales 1,102.4 761.5 797.4 827.0 877.9 919.3 992.8 1,2
Slide 37: Income statement actual – Baltic (EUR million)
Income statement actual – Baltic (EUR million) EUR in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 20.3 19.8 21.1 34.0 21.0 24.8 25.4 38.2 Services sales 9.4 9.9 10.5 13.1 10.9 11.0 12.3 15.3 Gross sales 29.7 29.7 31.6 47.2 31.8 35.8 37.7 53.5 Product margin (%) 10.1% 12.0%
Slide 38: Income statement actual – Baltic (NOK million)
Income statement actual – Baltic (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 208.7 199.6 218.2 342.0 208.3 248.3 255.1 393.0 Services sales 96.2 99.7 108.2 131.6 107.8 110.5 123.9 158.0 Gross sales 304.9 299.2 326.4 473.6 316.1 358.8 379.1 551.0 Product
Slide 39: Income statement actual – Group Shared Services (NOK million)
Income statement actual – Group Shared Services* (NOK million) NOK in million Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Product sales 1,579.3 1,393.1 1,760.8 2,035.9 1,900.3 2,031.8 2,083.1 2,055.4 Services sales 139.7 142.6 151.9 159.2 194.6 198.3 210.9 230.6 Gross sales 1,719.0 1,535.7 1,912