Arribatec Group ASA · OSL:ARR

Arribatec Group ASA — Q4 2022 Earnings Presentation

24 slides from Arribatec Group ASA's earnings presentation, 2023

  1. Slide 1: Arribatec. We simplify complexity

    Arribatec. We simplify complexity

  2. Slide 2: Quarterly presentation Q4 2022

    Quarterly presentation Q4 2022 ^ Geir Johansen, CEO 2

  3. Slide 3: Strong growth in Q4 and full year 2022

    Strong growth in Q4 and full year 2022 Revenue Recurring Adj. EBITDA NOK 50m (37m) *NOK -4.5m (-1m) NOK 141m (116m) +35% qrt/qrt Margin – 3.2% Q4 +21.2% qrt/qrt Build-up of a new business unit 35% of total Organic Growth +21.2% (RAMBASE) reduces adj. EBITDA by 1.6m respectively. Adj. EBITDA for the

  4. Slide 4: Highlights Q4

    Highlights Q4 • Q4 revenue of NOK 141 million is the highest ever. • All-time high monthly revenue in November of NOK 50m and EBITDA of NOK +3m • Larger contracts secured where more than one business area is part of delivery • Signed agreement with Thon Hotels for hospitality solutions • Annual cost

  5. Slide 5: Geographic revenue growth & share of total

    Geographic revenue growth & share of total Norway EU&UK Rest of world NOK 84m (73m) NOK 45m (38m) NOK 11.8m(5.3) Q4 +15% qrt/qrt +18% qrt/qrt +126% qrt/qrt 60% of total 32% of total 8% of total NOK 305m (274m) NOK 163m (111m) NOK 37m (29m) 2022 +12% year/year +47% year/year +26% year/year 60% of tot

  6. Slide 6: New contracts and scope extensions in Q4

    New contracts and scope extensions in Q4 98 deals for a total value of NOK 130 million (NOK 83 million in Q3-22) (Amounts in EURO ) 6

  7. Slide 7: Some significant contracts signed in Q4

    | Some significant contracts signed in Q4 Norwegian financial Civil engineering Norwegian power Software developmnet Large European institution firm grid company ccompany engineering group • Value: 7.0 MNOK • Value: 2 MNOK • Value: 9-10 MNOK • Value: 4.2 MNOK • Total extension value 5.1 MNOK. • Star

  8. Slide 8: New contracts and scope extensions in 2022

    New contracts and scope extensions in 2022 630 deals for a total value of ~NOK 375 million 8

  9. Slide 9: Our business areas

    Our business areas Business Services EA & BPM Cloud Hospitality 9

  10. Slide 10: Q4 performance business areas

    Q4 performance business areas BizS EA-BPM Cloud 16% 0.4% 23 % 31.4% 40% -3.1% Revenue Growth EBITDA margin Revenue Growth EBITDA margin Revenue Growth EBITDA margin 75m* 0.3m** 27m* 8.6m** 30m* -1.0m** Revenue EBITDA Revenue EBITDA Revenue EBITDA Build-up cost for new business unit (RAMBASE) reduces

  11. Slide 11: Arribatec global foot print

    | Arribatec global foot print Norway Oslo Hamar Tronheim Sandness Bergen Sweden UK Denmark BeNeLux Italy United States Cyprus Spain Singapore 16 Offices around 405 1500+ Employees across Customers across the globe 5 business areas industries 11

  12. Slide 12: Employees pr 2022 year end

    Employees pr 2022 year end 300 250 239 Date Total 206 31.12.2021 403 200 30.06.2022 445 150 30.09.22 440 30.11.22 443 100 88 31.12.22 405* 61 45 50 *The drop is to a large 50 38 37 extent related to Marine. 9 11 12 12 0 Cloud EA & BPM Business Services Hospitality Marine Group 31.12.2021 31.12.2022

  13. Slide 13: Financial Review

    Financial Review 13

  14. Slide 14: Revenue development for each BA per quarter

    Revenue development for each BA per quarter % Recurring 32% 37% 36% 37% 35% of Total % Outside 37% 38% 40% 41% 40% Norway 126 140 Marine 120 8 Hspt 13 118 1 1 13 Cloud 115 1 13 1 30 EABPM 10 27 BizS NOK mill. 1 28 28 Elim. 21 22 28 20 22 20 78 72 75 64 67 -2 -2 -14 -14 -12 14 Q4-21 Q1-22 Q2-22 Q3-22

  15. Slide 15: EBITDA pr Business Area

    | EBITDA pr Business Area Q4-22 Full year 2022 EBITDA 9.4% 13.8% 1.4% n.a. -21% Margin 8.6 27.4 Underlying operating result for Marine was 12.4 zero. The negative EBITDA stems from sale 0.3 of IP rights in Italy. 1.5 -0.9 -4.2 -8.3 BizS EA-BPM Cloud HspT Marine -10.7 BizS EA-BPM Cloud HspT Marine *

  16. Slide 16: Cash flow development

    Cash flow development • 1mill increase in available cash over the last quarter • Total cash at end of 2022 was NOK 40m. In addition we had NOK 14m in un-used NOK mill. bank overdraft facility. • Of the total cash balance, restricted cash accounts for NOK 14m. • As of today, NOK 69.9 in cash and unus

  17. Slide 17: Balance sheet development

    Balance sheet development Liabilities & Equity Assets 552 515 552 515 Equity Goodwill Non/current Intangibles Current Other non-current 205 205 Other current 317 282 Trade receivables NOK mill. Cash 111 89 80 58 54 87 45 40 153 89 88 149 44 40 Y.E 2021 Q4-2022 Y.E 2021 Q4-2022 17

  18. Slide 18: Equity development

    Equity development 316 18 324 48 2 16 309 22 294 26 282 31.12.21 Net loss 31.03.22 Share issue Net loss 30.06.22 Repair Net loss 30.09.22 Net loss 31.12.22 Q1-22 Q2-22 issue Q3 Q3-22 Q4-22 18

  19. Slide 19: Outlook

    Outlook • We expect higher growth rate in 2023 vs 2022 – no planned M&A • Partnership with U4, Hypergene and Rambase will drive growth over the next quarters • Several large public sector projects are out for tender – decisions anticipated Q1 • Robust demand for cloud services will drive growth for

  20. Slide 20: Q&A

    Q&A 20 20

  21. Slide 21: Profit & Loss

    21 Profit & Loss For the quarter end Year to date NOK thousand Note 31Dec2022___31Dec 2021 31Dec 2022___31Dec 2021 Revenue 3 140 550 115 977 504 968 413 938 Materials, software and services (26 724) (25 037) (115 035) (92 859) Gross profit 113 825 90941 389 934 321079 Salary and personnel costs (95

  22. Slide 22: Balance Sheet

    Balance Sheet NOK thousand Note 31Dec 202231 Dec 2021 NOK thousand Note 31Dec 2022 __31Dec 2021 ASSETS EQUITY AND LIABILITIES Non-current assets Equity Property, Plant and equipment 6517 7485 Share capital 9 193.361 163773 Right-of-use assets 6 41719 30 266 Other paid in capital 215645 196 700 Goodw

  23. Slide 23: Cash flow

    Cash flow For the quarter end Year to date NOK thousand Note 31Dec 2022 __31 Dec 2021 31Dec 2022 31 Dec 2021 Operating activities Profit/(Loss) before tax. (27 495) (26873) (90.428) (53 660) Taxes paid 0 ° (1 568) (982) Adjustments for: Finance income and expense 4 1214 2.250 73 3.890 = (Increase) d

  24. Slide 24: Equity

    Equity Other Exchange NOK thousand Share capital paidincapital___differences__Otherequity __ Total Equity Balance on 1 January 2021 117 203 194510 8 4.493 316214 Result of the period (48 858) (48 858) Comprehensive income for the period, 390 390 Total comprehensive result for the period 0 0 390 (48

Arribatec Group — Q4 2022 Earnings Presentation on 6ix