INTERIM PRESENTATION SECOND QUARTER 2022
Per Gunnar Tronsli, CEO Trude Hole, CFO
Highlights in the quarter
Revenue and EBIT
- Operating revenues increased by 8.7 percent to NOK 734.9 million (y-o-y)
- EBIT increased by 6.5 percent to NOK 89.2 million (y-o-y)
1 912 employees
- Up 33 from Q1'22
- An increase of 164 in the past 12 months
Number of employees
Normalised working day
- We have long looked forward to a working day restored to normal
- Blossoming of professional activities, events and social gatherings
- Learning and development through fellowship and sharing
Our vision
We lead the way and build tomorrow's society.
Long-term goals
Best workplace Client-oriented and long-term relations
Successful business
OPERATIONAL REVIEW
Public and private sector
Business sectors
Sporveien New trams
- Sporveien delivers public transport in Oslo and Viken county
- Goal of 100 million tram journeys a year by 2030
- Now phasing in 87 new trams
- Bouvet is creating support and control systems for traffic flow and management
- Bouvet client for more than a decade
Norwegian Coastal Administration
- The Coastal Administration's societal task is to ensure safe and efficient travel along the Norwegian coast and into ports, as well as national emergency preparedness against pollution
- Bouvet was awarded new contracts during the quarter:
- o management and further development of SafeSeenet
- o frame agreement for developing and administering supervisory and other solutions
- Bouvet client for more than a decade
Viking Assistance
- Viking delivers vehicle-related services, 24-hour emergency and customer support, call -centre services and medical help for foreign tourists
- Has a comprehensive and nation -wide network of stations in Norway, Sweden, Denmark and Finland
- Bouvet is developing and administering Viking's case management systems for receiving and executing assignments
- Bouvet client for more than 25 years
City of Bergen
- Has won several awards for its digital solutions. Named "Norway's leading e -local authority" by the Norwegian Association of Local and Regional Authorities (KS)
- Bouvet supports the city in developing and administering solutions for digital services aimed at residents
- Delivering development services, user experiences, integration and team management as well as advice related to digitalisation, innovation and enterprise development
- Has jointly developed a machine learning model with the city which optimises Bergen's drainage systems
- One of Bouvet Bergen's largest clients for 15 years
The four largest sectors
Oil & gas
- Increased by 29.9 percent (y-o-y)
- Represents 34.7 percent of total revenues in Q2'22
Public admin
- Decreased by 11.1 percent (y-o-y)
- Represents 19.2 percent of total revenues in Q2'22
Power supply
- Decreased by 2 percent (y-o-y)
- Represents 15.6 percent of total revenues in Q2'22
Service industry
- Increased by 29.8 percent (y-o-y)
- Represents 6.2 percent of total revenues in Q2'22
Customer mix
Customer portfolio
- The 10 largest customers represent 55.4 percent of total revenues – up from 50.6 percent in Q2'21
- The 20 largest customers represent 64 percent of total revenues – up from 58.6 percent in Q2'21
0% 10% 20% 30% 40% 50% 60% Q2'18 Q2'19 Q2'20 Q2'21 Q2'22 Percentage
10 largest customers share of revenues
Customer development
Existing customers*
• Accounted for 96.6 percent of revenues in Q2'22
New customers**
• Customers won over the past year generated revenues of NOK 24.7 million in Q2'22
* Existing customers defined as customers that were invoiced in the corresponding quarter last year ** New customers defined as customers won since end of corresponding quarter last year
RECOGNIZED IN MAGNET AWARDS
INTERIM PRESENTATION 16
Enthusiastic and competent employees
1 912 employees at the end of the quarter
- Up 33 from Q1'22
- 164 more employees in the past 12 months
- Average number of employees in the quarter up 10.1 percent from Q2'21
Number of employees end of quarter
Annual growth in number of employees
FINANCIAL REVIEW
Key figures
| MNOK |
Three months ending |
|
|
|
Six months ending |
|
|
Twelve
months ending |
|
|
|
30.06.2022
30.06.2021 |
|
Change |
30.06.2022
30.06.2021 |
|
Change |
30.06.2022
30.06.2021 |
|
Change |
|
| Operating revenue |
734.9 |
676.0 |
8.7 % |
1 551.4 |
1 371.9 |
13.1 % |
2 874.7 |
2 536.4 |
13.3 % |
|
| Operating profit (EBIT) |
89.2 |
83.8 |
6.5 % |
212.0 |
174.6 |
21.4 % |
377.5 |
321.4 |
17.4 % |
|
| EBIT margin |
12.1 % |
12.4 % |
|
13.7 % |
12.7 % |
|
13.1 % |
12.7 % |
|
|
| Ordinary profit before tax |
88.8 |
82.7 |
7.3 % |
210.6 |
172.0 |
22.5 % |
373.8 |
316.6 |
18.1 % |
|
| Profit for the period |
69.8 |
64.5 |
8.2 % |
165.3 |
133.9 |
23.4 % |
297.2 |
244.9 |
21.3 % |
|
| EPS (fully diluted) |
0.66 |
0.62 |
6.6 % |
1.57 |
1.29 |
22.0 % |
2.84 |
2.36 |
20.4 % |
|
| Net cash flow operations |
36.7 |
42.1 |
-12.8 % |
126.7 |
63.7 |
99.0 % |
346.7 |
303.6 |
14.2 % |
|
| Equity ratio |
25.1 % |
27.2 % |
|
25.1 % |
27.2 % |
|
25.1 % |
27.2 % |
|
|
| Liquid assets |
326.6 |
377.2 |
-13.4 % |
326.6 |
377.2 |
-13.4 % |
326.6 |
377.2 |
-13.4 % |
|
| Number of employees (end of period) |
1 912 |
1 748 |
9.4 % |
1 912 |
1 748 |
9.4 % |
1 912 |
1 748 |
9.4 % |
|
| Number of employees (average) |
1 895 |
1 721 |
10.1 % |
1 883 |
1 698 |
10.9 % |
1 853 |
1 670 |
11.0 % |
|
Revenue
Revenues increased by 8.7 percent y-o-y
- Revenues from own consultants increased by 9.2 percent to NOK 627.6 million
- Revenues from sub-contracted consultants increased by 0.7 percent to NOK 83.8 million
- Other revenues increased by 31.4 percent to NOK 23.6 million
Revenue split (quarterly figures)
Revenue split (12 months rolling average)
Revenues from own consultants
Increased 9.2 percent y-o-y
- Positive impact from 10.1 percent increase in average number of employees
- Positive impact from 3.5 percent increase in price for group hourly services
- Positive impact from increase in billing ratio by 0.5 percentage points
- 59 workdays in Q2'22 equal to Q2'21
Revenue per employee (LTM)
Analysis of change in revenues y-o-y
Earnings
- Operating profit (EBIT) increased by 6.5 percent to NOK 89.2 million
- EBIT margin of 12.1 percent compared to 12.4 percent in Q2'21
- Operating expenses increased by 9 percent y-o-y
- General growth in pay rate 2.6 percent y-o-y
- Covid-19 effects reduced
EBIT and EBIT margin (LTM)
MNOK and Percent
Other operating expenses
Increased 66.2 percent y-o-y
- Travel, courses, recruitments and social events increased by 106.3 percent to NOK 24.6 million
- Other costs increased by 46 percent to NOK 34.6 million
Other OpEx split (quarterly figures)
Change in revenues – effect on EBIT
INTERIM PRESENTATION 26
Cash flow
Cash flow from operations
• NOK 36.7 million in Q2'22 compared to NOK 42.1 million in Q2'21
Cash flow last 12 months
• Operational cash flow over the last 12 months was NOK 346.7 million
Cash flow from investing activities
• Negative NOK 11.5 million compared to negative NOK 7.5 million in Q2'21
Cash flow from operations (per quarter)
Cash flow from operations (LTM)
OUTLOOK
Outlook summary
- Energy transformation drives digitalisation
- High demand for local deliveries
- Uncertainty in the global economic situation
- High demand for cross-functional teams
- Increased demand for services as:
- Advisory
- Design
- Low-code/no-code
- Security
- High competition for talents
APPENDIX
Interim presentation Second quarter 2022
Shareholders as of 25.08.2022
| Shareholders |
Number of shares |
% of total |
| FOLKETRYGDFONDET |
7 286 576 |
7,02 % |
| The Bank of New York Mellon (nominee acc.) |
6 607 786 |
6,37 % |
| VARNER KAPITAL AS |
6 051 000 |
5,83 % |
| VERDIPAPIRFOND ODIN NORDEN |
5 807 586 |
5,59 % |
| STENSHAGEN INVEST AS |
5 366 990 |
5,17 % |
| SVERRE FINN HURUM |
3 579 060 |
3,45 % |
| MP PENSJON PK |
2 650 820 |
2,55 % |
| VERDIPAPIRFONDET NORDEA AVKASTNING |
2 441 393 |
2,35 % |
| VEVLEN GÅRD AS |
1 628 020 |
1,57 % |
| ERIK STUBØ |
1 443 500 |
1,39 % |
| VERDIPAPIRFONDET NORDEA NORGE PLUS |
1 400 764 |
1,35 % |
| UBS Switzerland AG (nominee acc.) |
1 281 346 |
1,23 % |
| VERDIPAPIRFOND ODIN NORGE |
1 270 570 |
1,22 % |
| VERDIPAPIRFONDET NORDEA KAPITAL |
1 213 587 |
1,17 % |
| State Street Bank and Trust Comp (nominee acc.) |
1 168 757 |
1,13 % |
| The Bank of New York Mellon SA/NV (nominee acc.) |
1 150 000 |
1,11 % |
| The Bank of New York Mellon (nominee acc.) |
1 108 995 |
1,07 % |
| MUSTAD INDUSTRIER AS |
1 046 568 |
1,01 % |
| ANDERS ERIKSEN-VOLLE |
1 003 060 |
0,97 % |
| CLEARSTREAM BANKING S.A. (nominee acc.) |
943 337 |
0,91 % |
| Number of shares held by the 20 largest shareholders |
54 449 715 |
52,46 % |