2011 RESULTS. Analysts Presentation 20 March ERIC COHEN Chairman and CEO. DIDIER TAUPIN Executive Vice-President

Transcription

1 2011 RESULTS Analysts Presentation 20 March 2012 ERIC COHEN Chairman and CEO DIDIER TAUPIN Executive Vice-President PASCAL LEVY Chief Financial Officer

2 2011 RESULTS AGENDA Summary Consolidated Financial Results as at Dec 31, 2011 Assessment and Prospects of the Group s activities 2

3 SUMMARY Large Accounts Activities Another year of very strong growth and improved market positioning Mid-Market Activities Return to a strategy of growth, both organic and external, as forecast Keyrus Group Continued strengthening of our brand image as specialists in Enterprise Information Management and Enterprise Efficiency, a dynamic market segment. 3

4 SUMMARY Accelerated organic growth (up 13.7% in 2011, after an 11.2% increase in 2010), driven by Large Accounts activities, which are outperforming the market (+18.3%) Earnings before interest and taxes showing a slight increase in our two market segments An increased net financial debt under the effects of the increase of Working Capital Requirements but liquid assets remain stable at 15m The actual starting up of Keyrus Management, which has really influenced our capacity to sell complex projects and to position ourselves far upstream on the strategic subjects of information management and enterprise efficiency More generally, our company s access to a growing number of major market projects in our expertise fields A true capacity to deliver against our mission 4

5 SUMMARY Annual revenue trends Organic growth (2011 vs. 2010) 138,0 M 119,7 M Large Accounts + 17,5% + 18,3% + 15,3% Mid Market + 5,0% + 8% Organic growth 5

6 SUMMARY Breakdown of 2011 revenue By market segment By geographical area By industry Industry 30,5% (28,8 %) Large Accounts 71,8% (70%) Mid Market 28,2% (30%) France 68,4% (70%) Europe 18,5% (18%) Other 13,1% (12%) Bank Insurance 20,2% (19,9% ) Telco 8,7% (11,3%) Services - Retails 12,5% (14,0%) Public Sector 14,6% (14,5%) Utilities 12,1% (10,3 %) Transport 1,4% (1,2 %) 6

7 SUMMARY Operating profit growth Net Result growth 4,5 M 4,1 M 3,0 M 2,2 M 2,7 M * * 2,0 M 1,0 M + 8,5% 0,7 M + 11,9%

8 SUMMARY Headcount as at December 31st > Large accounts* employees (incl. 44 from Vision.bi) > Mid-Market* +28 employees ,4% Large Accounts ,8% 346 Mid Market

9 SUMMARY Change in net debt Operating cash flow trend Year end Cash position 14,9 M 15,0 M 9,5 M 7,2 M 0,8 M -1,2 M

10 2011 RESULTS Summary Consolidated Financial Results as at Dec 31, 2011 Assessment and Prospects of the Group s activities 10

11 2011 CONSOLIDATED FINANCIAL RESULTS Income statement (M ) Dec.2011 Dec.2010 Revenue 138,0 119,7 Current operating profit 4,3 4,6 Non recurring items 0,2 (0,4) Operating profit 4,5 4,2 Financial result (1,0) (0,9) Taxes (0,6) (0,6) Net income (Group share) 3,0 2,7 11

12 2011 CONSOLIDATED FINANCIAL RESULTS Operating Profit by segment (M ) Large Corporates Mid Market Group Revenue 99,1 38,9 138,0 Current operating profit 1,9 2,4 4,3 Non recurring items 0,2 0,0 0,2 Operating profit 2,1 2,4 4,5 12

13 2011 CONSOLIDATED FINANCIAL RESULTS Operating Profit by segment (M ) LC 2011 LC 2010 MM 2011 MM 2010 Revenue 99,1 83,8 38,9 35,9 Current operating profit 1,9 2,2 2,4 2,4 Non recurring items 0,2 (0,2) 0,0 (0,2) Operating profit 2,1 2,0 2,4 2,2 13

14 2011 CONSOLIDATED FINANCIAL RESULTS A solid balance sheet ASSETS (M ) Dec Dec LIABILITIES (M ) Dec Dec Non current Assets 59,4 43,9 Equity 32,6 29,3 Current assets 57,0 51,9 L.T. liabilities 24,9 18,6 Cash 15,0 14,9 Current liabilities 73,9 62,8 Total 131,4 110,7 Total 131,4 110,7 14

15 2011 CONSOLIDATED FINANCIAL RESULTS Cash flow statement ( M ) Cash (opening) 14,9 11,1 Cash generated by the activity -1,2 9,5 Investment operations (2,6) (3,5) Financing operations (3,9) (2,2) Cash at year end 15,0 14,9 15

16 2011 CONSOLIDATED FINANCIAL RESULTS Zoom on cash generated by the activities (M ) At 31/12/11 At 31/12/10 Net profit 3,0 2,7 Cash Flow before interest and income tax paiments 5,7 6,4 Income tax paiments (1,3) (0,6) Working capital requirements (5,6) 3,7 Cash generated by the activities (1,2) 9,5 16

17 2011 RESULTS Summary Consolidated Financial Results as at Dec 31, 2011 Assessment and Prospects of the Group s activities 17

18 CORPORATE ACTIVITIES ASSESSMENT Assessment and Prospects of the Group s activities Continued strong growth over the fiscal year The strongest growth was in Belgium and France, the regions where our transformation is the most advanced, proof of the relevance of our target service offering and business model Access to some of the biggest and most complex projects in our field of activity previously restricted to very big consulting and technology firms Recognition of the Keyrus brand for large BI delivery projects Keyrus also called on for BI total overhaul projects, with large, international scopes Strong growth in our contributions to BI master plans and roadmaps Acquisition of Vision BI in Israel Access to very rare expertise and references in Big Data projects Acquisition through Vision BI of two products, to be promoted through all our practices: Quality Gates (BI data quality) and Leganto (acceleration of Microsoft BI developments) Perfectly fulfils the terms of reference for our acquisitions: intrinsic quality and immediate potential synergies Progress of Keyrus Management and Spikly Broader functional and business coverage of Keyrus Management, Stronger integration of Keyrus Management and Spikly with technology activities Good progress in the economic performance of these two BU although they still affect short-term profitability 18

19 CORPORATE ACTIVITIES PROSPECTS -1/2: BI AND EIM, A STRONGLY DEVELOPING MARKET Assessment and prospects of the Group s activities According to Gartner, in 2012, BI will again become CIOs top priority A market worth 32 billion euros in services in 2011 Projected growth of 9% in 2012, likely to continue at the same level in 2013 and 2014 Much less standardization around a single supplier. Adoption of several different technologies In 2013, 15% of BI deployments will combine collaborative and social networks in the decision-making environment The reasons for these movements Big increases in volumes of data and information, their velocity and their variety new usable data typologies (non-structured, voice, video, etc.) Technologies that already offer efficient responses to these developments now exist Increasing demand from businesses, to be processed much more quickly than before What consequences for BI service providers? Must be able to master EIM, BI, EPM, analytics Must be able to help enterprises through the entire data cycle Be able to work on the technological and organizational levels 19

20 CORPORATE ACTIVITIES PROSPECTS - 2/2: KEYRUS RELEVANCE IN THE FACE OF THESE DEVELOPMENTS Assessment and prospects of the Group s activities Keyrus Management Functional expertise: what metrics for Purchases, Human Resources, Sales, etc. Industry expertise: what key indicators in Pharma R&D, market risks management, retail, etc. Operating systems and back office expertise: business front systems, ERP, CRM, etc. Organization and processes expertise International projects management and CXOs relationships expertise Spikly Expertise in the digital world, e-commerce, e-reputation, social networks, etc. Keyrus Technology BI Platform: consulting and implementation expertise on all the major technologies on the market New technologies, appliances, mobility, cloud, etc. Keyrus Innovation Proven expertise in identifying new players and successfully incubating new offerings International Covering North and South America, Europe, Middle East-Africa, China. 20

21 MID-MARKET ACTIVITIES ASSESSMENT Summary and prospects of the Group s activities Return to a growth strategy, both organic and external, after several years of stabilization and optimization after the Absys and Cyborg merger Organic growth of 5% Acquisition of SSIN in March, 2011 to strengthen our expertise around SAGE ERP X3 Acquisition of SBI in January, 2012 to strengthen our presence in Western France Two acquisitions that perfectly respect the group s terms of reference : intrinsic value and immediate synergies Continued progress in managing the contracts base (+11%) Metric in constant progress, attesting the quality of service and the value of this customer relationship Irregular progress in the sales of Licenses (+7%) Very strong increase in sales of SAGE ERP X3 Paradoxically, the swing towards Sage was a little too strong Slower progress in production on new projects (+7%) Acceleration needed in specializing sales forces and in strengthening pre-sales Irregularity in order placement: good in autumn, weak at the end of the year, currently excellent, 21

22 MID-MARKET ACTIVITIES PROSPECTS Summary and prospects of the Group s activities A strategy of continued growth Organic growth by capitalizing on our important advances in positioning on the ERP SAGE X3 and on our strong position with Microsoft as regards vertical approach Possible targeted acquisitions of client bases and expertise in synergy with our current positions. One acquisition made, of SBI in Brittany Put some priority back on our best of breed activities: Sage Pme, 1000, etc., on which our positioning is very strong Better balance in our level of regional performance Positive impact of the purchase of SBI in this area Evolution towards greater specialization of our marketing teams and reinforcement of our pre-sales capabilities Focus points for our managers Control the evolution of salaries Retain the level of the Average Daily Rate Improve the occupation rate 22