Terveystalo Oy Class A · OMXHEX:TTALO
Terveystalo Oy Class A — Q3 2021 Earnings Presentation
25 slides from Terveystalo Oy Class A's earnings presentation, Oct 28, 2021
Slide 1: Terveystalo Q3/2021 results: Revenue growth driven by strong, broad-based demand
Terveystalo Q3/2021 results: Revenue growth driven by strong, broad- based demand October 28, 2021 CEO Ville Iho CFO Ilkka Laurila 1 FOOTER
Slide 2: Revenue growth in double digits, strong profitability, digital continues to grow
Revenue growth in double digits, strong profitability, digital continues to grow GROWTH IN DIGITAL IN TOTAL DIVIDENDS FOR 2020 CHANNELS CONTINUED, EUR 0.26 PER SHARE +32% VS. Q3/20 REVENUE GROWTH + 1.9% y-o-y, CONTINUED, +29% vs. Q3/19 BUT WAS RESTRICTED BY Adj. EBITA margin 11.5% SUPPLY COST SAVING
Slide 3: Broad-based revenue growth in Q3
Broad-based revenue growth in Q3 Q3/21 revenue distribution, M€ 13.7% 300 • Revenue increased in all three customer groups – broad 273 240 14 based growth across services 250 0 23 16 21 • Appointment booking rates at record levels 200 20 29 31 • The number of digital appointments grew by 32% to 150
Slide 4: Doctor appointment booking rate, %
Doctor appointment booking rate, % 100 96 95 92 92 93 92 89 88 90 90 85 85 85 80 75 75 70 65 60 Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 4 FOOTER
Slide 5: Smart resource management and customer steering
Customer with a need Customer steering Supply – Smart Resource management Improve profitability by optimizing Physician customer flows with ‘System layers’ Expand the “bottlenecks” through appointments Other Smart resource management professionals System layers optimize who, what Laboratory Corporat
Slide 6: 24/7 chat visits enable serving more customers and increasing access to care
24/7 chat visits enable serving more customers and increasing access to care at low threshold Chat-visits– five folded number of visits since Jan/2019 Indexed Compound growth +144% 700 600 500 +494% 400 300 200 100 0 6 FOOTER Jan Feb Mar AprMay Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar AprMay Jun Jul
Slide 7: Investments in usability, Google visibility, and marketing optimization have increased visits
vs. 1-9/20 vs. 1-9/20 vs. 1-9/20 Investments in usability, Google Improvement in web booking user Clear y-o-y increase in visibility, and marketing optimization experience is reflected in higher self-service rates have increased visits y-o-y conversion rate vs. last year 7 CORRESPONDING CHANGES Q3/2
Slide 8: Two industry leading platforms complement each other
Two industry leading platforms complement each other in terms of people, culture, competences, service offering and geographical network. • >32,000 corporate customers • >1.5 mill. employees covered by OHC • > 400 units in Finland and Sweden • > 14,800 professionals 8
Slide 9: We see an opportunity to leverage our digital capabilities in Sweden
We see an opportunity to leverage our digital capabilities in Sweden TERVEYSTALO DIGITAL SUITE Occupational Solutions for Consumer solutions Care Guidance Health Employers professionals Oma Terveys Terveystalo.com Terveystalo app Suunta PRO app Etydi AI Booking system TT web service Sirius Medinet S
Slide 10: Outlook
Outlook Outlook – The next 6 months vs. last 6 months Market • The market environment has normalized, and demand for health services is currently strong, but varies by service and environment could be restricted by supply. • Demand for COVID-19 related services is expected to remain active, despite
Slide 11: Financial performance
Financial performance ILKKA LAURILA, CFO Terveystalo
Slide 12: Q3/21 revenue distribution compared to Q3/19 and Q3/20, M€
Q3/21 revenue distribution compared to Q3/19 ja Q3/20, M€ +16.7% +13.7% 300 Q3/21 vs. Q3/19 Q3/21 vs. Q3/20 273 240 14 250 234 23 0 0 14 16 21 21 20 200 29 37 31 150 79 68 74 100 50 95 99 108 0 Q3 2019 Q3 2020 Q3 2021 Corporate Outsourcing Service sales, OH and others 66 business days in Q3/21, Q3/2
Slide 13: 1-9/2021 revenue breakdown
1-9/21 revenue breakdown, % 1-9/2021 revenue breakdown, M€ 17% 2% 900 827 800 14 707 69 27% 700 0 64 46 62 88 42% 600 90 500 244 400 212 300 200 349 298 100 29% 0 1-9/2020 1-9/2021 Corporate Public Corporate Staffing Private Sweden and others Private Service sales, OH and others 13 Outsourcing Swede
Slide 14: Well-being sales and digital visits
Well-being sales, MEUR Digital visits, thousands +22% 30 10% +405% 300 32% 25 250 20 200 15 150 10 100 5 50 0 0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 2019 2019 2019 2019 2020 2020 2020 2020 2021 2021 2021 14
Slide 15: Covid-19 tests per week
Covid-19 tests per week Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Q3/21 Q4/21 14000 12000 10000 8000 6000 4000 2000 0 Source: https://avoinraportointi.terveystalo.com/korona/ 15 Note: Reporting does not include corporate co-operations.
Slide 16: Revenue, Adjusted EBITDA and Adjusted EBITA
Revenue, MEUR and Adjusted EBITDA*-% Adjusted EBITA*, MEUR and % +16.7% +29.1% +13.7% +1.9% 279,7 278,7 275,3 273,1 39,3 38,2 267,8 270,3 258,6 257,4 234,0 240,2 32,4 32,3 30,9 31,5 209,2 19,2 19,5 19,1 29,5 17,9 17,8 25,9 17,0 17,7 16,4 24,4 15,8 22,9 14,8 14,0 13,7 12,1 12,0 12,9 11,5 10,0 10,4 10
Slide 17: Income statement items and cost structure
M€ 7-9/2021 7-9/2020 Change % 1-9/2021 1-9/2020 Change % 2020 Revenue 273.1 240.2 13.7 827.1 706.7 17.0 986.4 Other operating income -112.2 -108.1 3.7 -352.9 -324.7 8.7 2.7 Purchase of materials -7.3 -7.4 -2.1 -24.4 -25.9 -5.8 -35.5 Change in inventories 0.0 -0.2 -113.6 -0.2 2.3 -109.9 1.3 External
Slide 18: Gross and net capex
Gross capex, MEUR and %- of revenue Net capex, MEUR and %- of revenue 4,5 44 4,3 4,3 41 4,2 4,3 45 4,4 46 4,1 4,1 45 3,9 3,9 3,9 3,9 41 41 40 3,5 41 3,7 8 39 38 38 37 3 38 38 3,4 11 4 35 3,5 35 37 5 5 18 19 12 5 3,7 16 6 18 21 3,4 17 20 19 19 37 36 38 19 19 33 33 33 32 19 14 13 28 29 13 14 14 12 5 7
Slide 19: Balance sheet and key points
MEUR 30.09.2021 30.09.2020 31.12.2020 • Cash and cash equivalents EUR 39.2 (64.8) ASSETS million Property. plant and equipment 70.5 68.5 67.6 168.7 172.3 172.4 • Total assets EUR 1 424.4 (1 351.0)million Right of use assets Goodwill 835.5 780.0 781.8 • Equity attributable to owners of the parent Oth
Slide 20: Net debt/Adjusted EBITDA and net working capital
Net debt/Adjusted EBITDA (LTM)* Operational efficiency is reflected in the negative net working capital 4,6 7 7 4,1 6 6 6 6 7 -23,5% 6 8 7 8 3,5 3,4 3,4 122 129 3,1 3,2 110 101 101 102 100 99 95 109 3,0 83 2,7 2,7 2,6 -58 -59 -58 -52 -61 -57 -59 -47 -70 -70 -73 -174 -176 -166 -165 -179 -160 -159 -16
Slide 21: Second dividend for 2020 and launch of share payback program
Second dividend for 2020 and launch of share payback program Share buyback program Second dividend for financial year 2020 • The purpose of the share buyback program is • The Board of Directors resolved to pay a to optimize the Company's capital structure second dividend of EUR 0.13 for the through
Slide 22: Q&A
Q&A 22 FOOTER “ Terveystalo
Slide 23: Terveystalo Group key figures
Terveystalo Group, EUR million 7-9/ 7-9/ Change, % 1-9/ 1-9/ Change % 2020 2021 2020 2021 2020 Revenue 273.1 240.2 13.7 827.1 706.7 17.0 986.4 Adjusted EBITDA * 1) 48.6 46.1 5.4 146.9 108.3 35.7 162.8 Adjusted EBITDA, % * 1) 17.8 19.2 - 17.8 15.3 - 16.5 EBITDA 1) 46.2 45.5 1.5 143.6 104.6 37.3 158.3
Slide 24: Feelgood AB – key figures
Feelgood AB – key figures SEK, thousand Q1/19 Q2/19 Q3/19 Q4/19 Q1/20 Q2/20 Q3/20 Q4/20 Q1/21 Q2/21 Revenue 204,393 213,110 138,429 220,230 208,448 185,825 125,102 204,733 193,469 206,243 EBITDA 24,371 28,626 -1,612 34,157 24,155 18,486 -464 38,926 20,775 27,167 EBIT 12,921 16,570 -13,704 21,594 11,
Slide 25: Q3/21 revenue by payor group
Q3/21 revenue by payor group Q3/21 revenue by payor group, % Q3/2021 revenue split, M€ 31.7 % 5% 300 273 240 14 250 23 16 0 21 27% 20 40% 200 31 29 150 79 74 100 50 99 108 29% 0 Q3 2020 Q3 2021 Corporate Public Corporate Staffing Private Sweden and others Private Service sales, OH and others Outsour