Bouvet — Interim / Quarterly Report 2015

Feb 19, 2016

Interim presentation Fourth quarter 2015

Sverre Hurum. CEO Erik Stubø. CFO 19 February 2016

Highlights in the quarter

• Revenues and EBIT
• Operating revenues increased by 6.3 percent to NOK 333.0 million (yo-y)
• EBIT increased by 35.1 percent to NOK 26.1 million (y-o-y)
• 1036 employees
• An increase of 4 in the quarter
• An increase of 28 in the past 12 months
• Technology is fundamental for change

Revenues and number of employees

MNOK and number

Operational Review

Increase in public sector

Business sectors Q4 2015

Sectors with high increase in revenue

• Health
• Increased by 33.5 percent (y-o-y)
• Represents 4.3 percent of total revenue in Q4'15
• Transportation
• Increased by 20.9 percent (y-o-y)
• Represents 10.3 percent of total revenue in Q4'15
• Bank and finance
• Increased by 72.2 percent (y-o-y)
• Represents 4.4 percent of total revenue in Q4'15
• Public admin
• Increased by 39.4 percent (y-o-y)
• Represents 25.0 percent of total revenue in Q4'15

Planning and control of power exchange

• Statnett´s operating system to plan and control power exchange to Europe
• Bouvet delivered a number of areas of expertise and holds a unique competence in developing this type of system

New clients in Swedish public sector

• Frame agreement with Kammarkollegiet gives many new clients in the public sector
• Potential for substantial growth in the public sector in Sweden
• Norwegian consultants also contributes

New patient journey, better treatment

• Bouvet has supported HEMIT in developing the patient journey
• Gives the whole picture across siloes
• Identifies the waits and blocks
• Has daily reports
• Seven hospitals at Helse Midt-Norge has implemented the new journey
• Awarded with the Innovation award 2015 by HEMIT

eSP PIPPE Forløp-	Hjelp	Pasientsøk				@ 02.12.15 kL22:32	Skar. Christian -
		Monitorering av standardiserte pasientforløp				HELSE OOO MIDT-NORGE	Pasienter tilhørende: Stolav
Blærekreft	(6) 12	Brystkreft	(@ 138	Eggstokkreft	(前32	Føflekkreft	(a) 33
86%		75%		82%		83%
Hode-halskreft	(4) 23	Kreft i spiserør og magesekk	(ii) 11	Livmorhalskreft	(18)	Livmorkreft	(前10
69%		87%		69%		53%
Lungekreft	带 111	Lymfomer	(1) 28	Myelomatose	(1) 5	Nyrekreft	(#)9
78%		90%		100%		86%
Prostatakreft	(@) 268	Sarkom	第1	Testikkelkreft	$\left(\frac{1}{2}\right)$ 3	Tykk- og endetarmskreft in 121
66%				80%		82%

Development of integrated display

• Faraday Future´s FFZER01 is a high-end electric concept racecar
• Bouvet has collaborated with Montaag, an international design agency, in developing a demo of the car´s display
• New model will be shown at the Bejing Motor Show in April

Customer and project mix

• Project mix
• Variable contracts account for 95.1 percent of total revenues
• Client portfolio
• The 10 largest customers represent 37.0 percent of total revenues – down from 37.3 percent in Q4'14
• The 20 largest customers represent 48.7 percent of total revenues – down from 51.2 percent in Q4'14

Variably priced contracts share of revenues Percentage

10 largest customers share of revenues Percentage

Client development

• Existing clients*
• Accounted for 89.5 percent of revenues in Q4'15
• New customers**
• Customer won over the past year generated revenues of NOK 35.0 million in Q4'15

* 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

Revenues customer split MNOK

Enthusiastic and competent employees

• 1 036 employees at the end of the third quarter
• 4 new employees in Q4'15
• 28 more employees in the past 12 months
• Average number of employees in the quarter up 3.8 percent from Q4'14

Number of employees end of quarter

Annual growth in number of employees Percentage

Financial Review

Key figures

		Three months ending	Twelve months ending
MNOK	31.12.2015	31.12.2014	Change	31.12.2015	31.12.2014	Change
Operating revenue	333.0	313.2	6.3 %	1 232.5	1 132.6	8.8 %
Operating profit (EBIT)	26.1	19.3	35.1 %	99.4	79.2	25.5 %
EBIT margin	7.8 %	6.2 %		8.1 %	7.0 %
Ordinary profit before tax	26.7	20.4	30.6 %	101.4	81.6	24.3 %
Profit for the period	20.4	13.7	49.0 %	74.5	57.0	30.7 %
EPS (fully diluted)	1.96	1.29	51.9 %	7.10	5.39	31.7 %
Net cash flow operations	99.8	61.6	61.9 %	127.9	48.8	162.2 %
Equity ratio	35.6 %	34.3 %		35.6 %	34.3 %
Cash and cash equivalents	174.3	118.6	47.0 %	174.3	118.6	47.0 %
Number of employees (end of period)	1 036	1 008	2.8 %	1 036	1 008	2.8 %
Number of employees (average)	1 033	995	3.8 %	1 016	958	6.1 %

Top line growth

• Revenues increased by 6.3 percent y-o-y
• Revenues from own consultants increased by 6.1 percent to NOK 280.9 million
• Revenues from sub-contracted consultants increased by 13.7 percent to NOK 33.1 million
• Other revenues decreased by 1.3 percent to NOK 19.0 million

Revenue split (quarterly figures) MNOK

Revenue split (12 months rolling average) MNOK

Revenue from own consultants

• Increased by 6.1 percent y-o-y
• Positive impact from 3.8 percent increase in average number of employees
• Positive impact from 0.7 percent increase in prices for group hourly services
• Positive impact from increase in billing ratio by 0.6 percentage points

Revenue per employee (quarterly figures) TNOK

Revenue per employee (12 months rolling average)

Earnings

• Operating profit increased y-o-y in Q4'15
• EBIT margin of 7.8 percent compared to 6.2 percent in Q4'14
• Operating expenses increased by 4.4 percent compared to Q4'14
• General growth in pay rate 1.8 percent y-o-y
• Other operating expenses increased 7.0 percent
• 63 workdays in Q4'15 one more than Q4'14

EBIT and EBIT margin

MNOK and Percent

EBIT and EBIT margin (12 months rolling) MNOK and Percent

Cash flow

• Cash flow from operations
• NOK 99.8 million in Q4'15, up from NOK 61.6 million in Q4'14
• Rolling 12 months
• Operational cash flow over the last 12 months was NOK 127.9 million
• Cash flow from investing activities
• Negative NOK 12.8 million compared to negative NOK 29.8 million in Q4'14

Cash flow from operations (per quarter) MNOK

Cash flow from operations (LTM)

Outlook

Outlook

• Technology is increasingly business-critical
• Bouvet´s range of services is in line with the market demand
• Increasing demand for our services in the public sector
• Still challenging in oil and gas sector
• Increasing demand in Sweden

Shareholders as of 18.02.2016

Investor	Number of shares	% of total
STENSHAGEN INVEST AS	1 108 402	10,81 %
VARNER KAPITAL AS	1 070 000	10,44 %
PROTECTOR FORSIKRING ASA	820 000	8,00 %
MP PENSJON PK	569 904	5,56 %
HURUM SVERRE FINN	507 252	4,95 %
SIX SIS AG	400 000	3,90 %
VEVLEN GÅRD AS	400 000	3,90 %
STUBØ ERIK	236 752	2,31 %
EIKA NORGE	213 952	2,09 %
STOREBRAND NORGE I	209 506	2,04 %
DYVI INVEST AS	200 000	1,95 %
TELENOR PENSJONSKASSE	186 800	1,82 %
STOREBRAND VEKST	180 675	1,76 %
J.P. MORGAN CHASE BANK N.A. LONDON	177 481	1,73 %
VERDIPAPIRFONDET KLP AKSJENORGE	158 710	1,55 %
VERDIPAPIRFONDET STOREBRAND OPTIMA	140 425	1,37 %
VOLLE ANDERS	126 576	1,23 %
AAT INVEST AS	121 597	1,19 %
KOMMUNAL LANDSPENSJONSKASSE	121 538	1,19 %
RIISNÆS STEIN KRISTIAN	84 990	0,83 %
Number of shares held by the 20 largest shareholders	7 034 560	68,63 %