Ssh Communications Security Oyj · OMXHEX:SSH1V

Ssh Communications Security Oyj — 1-3Q 2001 Earnings Presentation

16 slides from Ssh Communications Security Oyj's earnings presentation, Oct 31, 2001

  1. Slide 1: Financial Results 1-3 Q 2001

    Making the Internet SecureTM Financial Results 1-3 Q 2001 October 31, 2001 SSH Communications Security Oyj COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 1

  2. Slide 2: Market Development During 1-3Q/2001

    Market Development During 1-3Q/2001 - Market development slower than expected - Uncertainty on all markets continued during Q3 - Interest towards Internet data security increased due to the insecure international situation - The importance of data security now commonly acknowledged - Markets show sl

  3. Slide 3: Sales During 1-3 Q/2001

    Sales During 1-3 Q/2001 - Regardless of continuous market uncertainty SSH’s sales developed reasonably well during 1-3Q - Net sales grew by 45.6% - 27 new license agreements worth over EUR 50,000 signed during 3Q, which is more than ever during one quarter - Several SSH Certifier and SSH Sentinel de

  4. Slide 4: Recent Major Sales Cases

    Recent Major Sales Cases - SSH Complete VPN - Distribution agreement signed with DIT in Japan during 3Q01 - First CVPN deliveries to DIT in 4Q01 - Kolumbus agreement signed in 4Q01 - Active discussions ongoing with 30-40 potential distributors - SSH Certifier - First agreement completed with SeqID i

  5. Slide 5: Improved Market Orientation

    Improved Market Orientation - New product organization formed in order to enable rapid responses to market requirements and changing customer needs - Network Systems, Secure Shell and Toolkit product lines - Sales, marketing and customer support functions reorganized with clearly set targets and glo

  6. Slide 6: Business Outlook 2001

    Business Outlook 2001 - Very challenging market situation and weak visibility likely to continue - Investments in R&D to continue as planned - New organization enables faster decision making process and improved market orientation - Sales outlook for Q4 looks better than Q3 - Company targets to stro

  7. Slide 7: 1-3Q/2001 Financials

    1-3Q/2001 Financials, CFO Johanna Lamminen COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 7

  8. Slide 8: Financial Highlights 1-3Q/2001

    Financial Highlights 1-3Q/2001 - 1-3Q revenue growth 45.6% - Net sales grew to EUR 15.0 million (10.3) - Net sales EUR 4,5 million in 3Q, compared to EUR 4,1 million in 2Q - Net result EUR –2.8 million (-0.6) - An improvement of 5% in comparison with Q2/2001 - Expenses remained under control and dev

  9. Slide 9: Key Financials 1-3Q/01

    Key Financials 1-3Q/01 EUR 1000 1-3Q/00 % of sales 1-3Q/01 % of sales Revenues 10 298 14 987 Gross Margin 9 077 88.1% 11 773 78.6% Research and Development 4 855 47.1% 6 063 40.5% Sales and Marketing 3 622 35.2% 7 264 48.5% Administration 1 790 17.4% 3 316 22.1% Other Operating Income 137 481 EBIT -

  10. Slide 10: Quarterly Financials

    Quarterly Financials EUR 1000 3Q/00 4Q/00 2000 1Q/01 2Q/01 3Q/01 Revenues 4 433 5 327 15 625 6 404 4 125 4 458 Gross Margin 3 569 4 788 13 864 5 019 3 204 3 550 Research and Development 1 883 1 852 6 707 2 113 1 917 2 033 Sales and Marketing 1 540 2 905 6 526 2 271 2 551 2 442 Administration 871 783

  11. Slide 11: Net Sales 1-3Q/2001 by Market

    Net Sales 1-3Q/2001 by Market Europe 16.0% Finland 22.0% Others 14.4% North America 47.6% COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 11

  12. Slide 12: Net Sales by Contract Type

    Net Sales by Contract Type EUR million 7 One time licence fees 6 Royalties, associated down payments, and maintenance fees 5 4 3 2 1 0 3Q99 4Q99 1Q00 2Q00 3Q00 4Q00 1Q01 2Q01 3Q01 COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 12

  13. Slide 13: Tight Cost Control Continues

    Tight Cost Control Continues EUR million 6 Research & Development expenses Sales & Marketing expenses 5 General & Administration expenses 4 3 2 1 0 3Q99 4Q99 1Q00 2Q00 3Q00 4Q00 1Q01 2Q01 3Q01 COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 13

  14. Slide 14: Net Sales and EBIT by Quarter

    Net Sales and EBIT by Quarter EUR million Net Sales 6.5 EBIT 5.5 4.5 3.5 2.5 1.5 0.5 -0.5 3Q/99 4Q/99 1Q/00 2Q/00 3Q/00 4Q/00 1Q/01 2Q/01 3Q/01 -1.5 -2.5 COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 14

  15. Slide 15: Financial Targets 2001

    Financial Targets 2001 - Revenue estimate between EUR 20-22 million - Sales growth around over 30% - Tight cost control to be continued COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 15

  16. Slide 16: Thank you!

    Making the Internet SecureTM Thank you! COPYRIGHT © 2001 SSH COMMUNICATIONS SECURITY OYJ. ALL RIGHTS RESERVED. www.ssh.com 16

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