Nemetschek SE

Earnings Release • Apr 27, 2018

Nemetschek Group

Financial Results Q1 2018 April 27, 2018

Top key figures Q1 2018: High profitability and revenue growth according to plan

Growth driver recurring revenues: Smooth transition towards subscription

Recurring revenues Maintenance and rental models such as subscription, SaaS

Software licenses

Consulting & Hardware

¹ Constant currency 2 Previous year

Recurring revenues yoy +22.4% cc1 +15.6%	▌	Above average growth to €50.6m (previous year: €43.8m)
Subscription yoy +47.3% cc1 +33.8%	▌ ▌	High growth to €4.3m (previous year: €3.2m Strategic change of the business model, smooth transition towards subscriptions while respecting the customer wishes
Software licenses yoy +4.8% cc1 -2.6%	▌ ▌	Strong growth in Q1 2017 (+20.4%) Shift to recurring revenues

Revenue split Q1 2018

¹ Constant currency 2 Previous year

Germany

Americas

Segment overview: Build segment is key growth driver

Revenues in €m

¹ Constant currency

High cash generation: Cash conversion of more than 90% allows for strategic M&A

¹ Operating cash flow/EBITDA 2 Previous year = End of 2017

Entering new markets / Partnerships

• ▌ dRofus adds first US based reseller partner
• ▌ Graphisoft signed new reseller agreement in Ireland and strengthened partnership with Nikken Sekkei for Japan
• ▌ Bluebeam with stronger focus on UK and Germany

▌ Vectorworks partners with Bluebeam to improve project review and approval

Next-generation products & solutions

▌ Solibri released ARCHICAD 21 link for a better interoperability

Increase efficiency

▌ Implementation of groupwide infrastructure is on track

Outlook 2018 confirmed: Q1 figures according to plan to reach full-year guidance

¹ The revenue outlook is based on planned exchange rate of 1.18 EUR/USD

Now it's your turn. Q&A

APRIL 2018 FINANCIAL RESULTS Q1 2018 9

Financial Calendar

May 30, 2018	AGM in Munich
July 27, 2018	Publication of 6-month report
2nd half of 2018	Capital market day
October 30, 2018	Publication of 9-month report

P+L statement Q1 2018 comparison

€m	Q1 2018	Q1 2017	% YoY
Revenues	102.2	96.3	+6.2%
Own work capitalized/other operating income	1.0	1.0	-3.7%
Operating income	103.2	97.3	+6.1%
Cost of materials/purchased services	-3.3	-2.7	+18.9%
Personnel expenses	-45.1	-43.4	+4.0%
Other operating expenses	-26.9	-24.8	+8.4%
Operating expenses	-75.3	-70.9	+6.1%
EBITDA	27.9	26.3	+5.9%
Margin	27.3%	27.4%
Depreciation of PPA and amortization	-5.3	-5.5	-3.2%
t/o PPA	-3.4	-3.5	-4.0%
EBITA (normalized EBIT)	26.0	24.4	+6.5%
EBIT	22.6	20.9	+8.3%
Financial result	-0.1	-0.2
EBT	22.5	20.7	+8.8%
Income taxes	-5.5	-5.9	-6.3%
Non-controlling interests	-0.6	-0.6
Net income (group shares)	16.4	14.2	+15.2%
EPS in EUR	0.43	0.37	+15.2%

€m	March 31, 2018	December 31, 2017
Assets
Cash and cash equivalents	120.9	104.0
Trade receivables, net	44.6	41.0
Inventories	0.5	0.6
Other current assets	19.0	13.5
Current assets, total	184.9	159.1
Property, plant and equipment	14.7	14.9
Intangible assets	81.8	86.9
Goodwill	190.7	192.7
Other non-current assets	7.3	7.3
Non-current assets, total	294.6	301.7
Total assets	479.5	460.8

€m	March 31, 2018	December 31, 2017
Equity and liabilities
Short-term borrowings and current portion of long-term loans	36.0	36.0
Trade payables & accrued liabilities	36.6	43.7
Deferred revenue	87.3	68.1
Other current assets	20.9	18.0
Current liabilities, total	180.9	165.7
Long-term borrowings without current portion	37.4	43.9
Deferred tax liabilities	13.0	13.5
Other non-current liabilities	6.5	9.6
Non-current liabilities, total	56.9	67.1
Subscribed capital and capital reserve	51.0	51.0
Retained earnings	210.1	193.2
Other comprehensive income	-22.5	-18.7
Non-controlling interests	3.1	2.5
Equity, total	241.7	227.9
Total equity and liabilities	479.5	460.8

€m	March 31, 2018	March 31, 2017	% YoY
Cash and cash equivalents at the beginning of the period	104.0	112.5	-7.6%
Cash flow from operating activities	26.6	22.2	+19.6%
Cash flow from investing activities	-1.9	-25.9	-92.8%
t/o CapEX	-1.9	-1.2	+57.0%
t/o Cash paid for business combinations	0.0	-24.5
Cash flow from financing activities	-6.7	-6.9
t/o Repayments of borrowings	-6.5	-6.5
FX-effects	-1.1	-0.5
Cash and cash equivalents at the end of the period	120.9	101.4	+19.2%
Free cash flow1	24.7	-3.7
Free cash flow1 (w/o acquisition effects)	24.7	20.8	+19.0%

¹ Operating cash flow – Investing cash flow

Contact

NEMETSCHEK SE Investor Relations Konrad-Zuse-Platz 1 81829 Munich Germany investorrelations@nemetschek.com www.nemetschek.com

Disclaimer

This presentation contains forward-looking statements based on the beliefs of Nemetschek SE management. Such statements reflects current views of Nemetschek SE with respect to future events and results and are subject to risks and uncertainties. Actual results may vary materially from those projected here, due to factors including changes in general economic and business conditions, changes in currency exchange, the introduction of competing products, lack of market acceptance of new products, services or technologies and changes in business strategy. Nemetschek SE does not intend or assume any obligation to update these forward-looking statements.