Enento Group Oyj · OMXHEX:ENENTO
Enento Group Oyj — Asiakastieto Group — Q2 2017 Earnings Presentation
32 slides from Enento Group Oyj's earnings presentation, Aug 3, 2017
Slide 1: Half Year Financial Report 1.1.–30.6.2017
CEO Jukka Ruuska 3 August 2017 Asiakastieto Group Plc Half Year Financial Report 1.1. – 30.6.2017
Slide 2: Contents
Contents • Asiakastieto Group in Brief • Highlights Q2 / 2017 • Service Development in Asiakastieto • New Services Launches • Overview of Q2 / 2017 Results • Summary of Financial Statements Q2 / 2017 2
Slide 3: This is Asiakastieto
This is Asiakastieto milj. euro % 3
Slide 4: Database as the Core of Business Operations
Database as the Core of Business Operations Making unstructured Data Database DATABASE Service Main Distribution Customers data utilisable gathering expertise Development Channels Public Integrated delivery registers Outsourcing Reviewing B2B customers services Customers ASIAKASTIETO’S Customer inte
Slide 5: Product Area Structure
Product Area Structure Business Information Services Consumer Information Services Customer Management Services Real Estate and Collateral Information Services 5
Slide 6: Launching of New Services
© asiakastieto.fi Launching of New Services
Slide 7: New Services Share of Net Sales
New Services Share of Net Sales ● Share of new services on record 10,1% 10,4% level. 9,6% 8,6% 8,8% 8,3% 8,1% ● 20 new services launched during the first half of the year. 6,0% 5,0% ● 13 new services launched during the second quarter of the year. ● For example Beneficial Owner, ESG Report Service,
Slide 8: Asiakastieto Group's Service Development
Asiakastieto Group’s Service Development Services based on New Data Compliance Services Services relating to Digitalization of Processes 8
Slide 9: Asiakastieto's Compliance Services
Asiakastieto’s Compliance Services
Slide 10: Compliance Services – banking customer as an example
Compliance Services – banking customer as an example Authorised Signature General Data Check Protection Regulation (EU) Rating Alfa Beneficial Proper Identifi- Owners Population Lending cation Registry Data Sanction Lists BANK BANK Corporate Knowing PEP Connection Responsibility Customer Check Map E
Slide 11: Finnish Beneficial Owners Service
Finnish Beneficial Owners Service According to AML (Anti-Money Laundering) regulations the beneficial owners of each company have to be recognized. Content • Only Finnish beneficial owners • All company forms, also • Associations • Foundations • Housing companies • Ownership chains • Ownership % • B
Slide 12: Services based on New Data
© asiakastieto.fi Services based on New Data
Slide 13: ESG Report - new, unique data of companies' backgrounds
ESG REPORT - new, unique data of companies’ backgrounds First ESG Report of private companies. Based on entirely new data streams: ● Criminal judgments ● Penalty payments and negligence fees ● Certificates ● Air pollutants ● Bans on business USE FOR operations ● knowing the customer ● Company’s fina
Slide 14: Services relating to Digitalization of Processes
Services relating to Digitalization of Processes 8/1/2017
Slide 15: Sourcing and Procurement as a Service
Sourcing and Procurement as a Service Automated procurement tool for SME’s ● Puts small and big purchases out to tender ● Discovers new cooperation partners ● Finds out companies’ backgrounds ● Steers the tender request process ● Facilitates the comparison of tenders Saves time and money for SME’s O
Slide 16: Examples of other New Services Q2 / 2017
Examples of other New Services Q2 / 2017 3D Decisioning Service Digi Extended Real Estate Services Digi Contractor Liability Information New Data Contractor Liability Report New Data 16
Slide 17: Q2 / 2017 Overview
© asiakastieto.fi Q2 / 2017 Overview
Slide 18: Overview of Q2 / 2017
Overview of Q2 / 2017 EUR million (unless stated otherwise) Q2 / 2017 Q2 / 2016 FY 2016 ● Strong level of new products’ share Net Sales 14,4 12,9 49,2 of net sales. Growth (year-on-year) 12,2 % 13,4 % 12,5 % ● Positive volume growth component especially in Consumer Information Adjusted EBITDA 6,6 5,
Slide 19: Quarterly Net Sales
Quarterly Net Sales EUR million ● Net sales growth EUR 0,6 million. 14,4 13,8 12,9 12,6 ● Consumer Information Services 12,0 11,7 11,3 11,4 and Real Estate and Collateral 10,5 Information Services had the strongest organic Net sales growth. Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2015 2015 2015 2016 2016 2016 20
Slide 20: Net Sales Growth
Net Sales Growth Net sales growth 15,6% ● Impact of number of banking days: (year-on-year) Q1 / 2017 three days more and 13,6% 13,4% Q2 / 2017 three days less 12,2% than in corresponding period 2016. 11,6% 11,2% 9,7% ● Net sales growth during H1 / 2017 was 13,8 % compared to 2016. 7,7% 3,5% Q2 Q3 Q4
Slide 21: Revenue by Product Area
Revenue by Product Area EUR million Q2 2016 Q2 2017 ● Net sales growth especially high in Customer Management due to 8,2 Intellia acquisition and organic Business Information -0,4 % growth. 8,1 ● Very strong organic growth in Consumer 3,2 Consumer Information and Real +22,3 % Information 4,0 Estate
Slide 22: New Services Share of Net Sales
New Services Share of Net Sales ● Share of new services on record 10,1% 10,4% level. 9,6% 8,6% 8,8% 8,3% 8,1% ● 20 new services launched during the first half of the year. 6,0% 5,0% ● 13 new services launched during the second quarter of the year. ● For example Beneficial Owner, ESG Report Service,
Slide 23: Value-added Services Share of Net Sales
Value-added Services Share of Net Sales 70,6% 69,5% ● Strong continued demand for value-added services. 65,4 % ● Good sales especially in Personal Classification services, Real Estate 59,4% Information Services and Rating 56,1% Alfas. 53,1% ● Net sales supported by growth of new services. 2013 2014
Slide 24: Good Adjusted EBITDA growth
Good Adjusted EBITDA growth EUR million 1,6 0,0 -0,7 -0,1 0,1 0,1 6,6 5,6 Adjusted Net sales Other Materials and Personnel Other Capitalised Adjusted EBITDA in Q2 operating services expenses operating own work EBITDA in Q2 2016 income expenses 2017 24
Slide 25: Free Cash Flow
Free Cash Flow EUR million ● Free cash flow was EUR 5,5 million 5,5 5,2 in the second quarter. 4,7 4,6 4,0 ● Free cash flow was on high level 3,9 3,5 3,5 due to margin and relatively lower level of working capital. ● Employees Pension advance 1,9 payment was paid during first quarter of 2017 and in
Slide 26: Strong Key Indicators
Strong Key Indicators EUR million (unless stated otherwise) Q2 / 2017 Q2 / 2016 FY 2016 ● Strong cash position of EUR 16,2 million. Dividend of 13,6 million Net debt 53,6 53,0 47,0 paid in April. Net debt / adjusted EBITDA 2,0x 2,4x 2,2x ● Net debt/adjusted EBITDA on low Gearing, % 72,8 73,9 59,9 le
Slide 27: Long-term Targets and Guidance 2017
Long-term Targets and Guidance 2017 Financial targets1 Growth Achieve 5 to 10 percent annual average growth in net sales Profitability Maintain profitability level of current services Balance sheet structure Maintain net debt to EBITDA of less than 3,0x while continuing to maintain an efficient capi
Slide 28: Summary Financial Statements Q2 / 2017
Summary Financial Statements Q2 / 2017 8/1/2017
Slide 29: Summary Income Statement
Summary Income Statement EUR million Q2 / 2017 Q2 / 2016 FY 2016 Net sales 14,4 12,9 49,2 Other operating income 0,1 1,1 1,1 Materials and services -3,1 -2,5 -9,2 Personnel expenses -3,3 -3,1 -12,1 Other operating expenses -2,0 -2,1 -7,9 Work performed by the entity and capitalised 0,4 0,3 1,3 Depre
Slide 30: Summary Balance Sheet
Summary Balance Sheet EUR million 30.6.2017 31.12.2016 EQUITY AND LIABILITIES Share capital 0,1 0,1 EUR million 30.6.2017 31.12.2016 Invested unrestricted equity reserve 112,4 112,4 ASSETS Accumulated losses -47,5 -49,3 Goodwill 113,9 113,9 Result for the period 8,6 15,3 Other intangible assets 8,6
Slide 31: Summary Cash Flow
Summary Cash Flow EUR million Q2 / 2017 Q2 / 2016 FY 2016 Cash flows from operating activities Result before income tax 5,5 5,8 18,9 Depreciation and amortisation 0,7 0,6 2,5 Finance income and expenses 0,3 0,3 1,1 Profit (-) / loss (+) on disposal of property, plant and equipment -0,1 -0,0 -0,0 Oth
Slide 32: Questions and Answers
Questions and Answers Asiakastieto Group Plc Half Year Financial Report 1.1. – 30.6.2017