Visual Management
”We simplify your business”
YTD3Q02 YTD3Q01
Visma
as reported
group
Revenue
EBITDA
EBITDA %
EBIT
EBIT %
Net financial
EBT
Net profit
EPS, NOK
854
112,2
13,1 %
63
7,4 %
18,8
81,6
83,7
2,51
583 + 46 %
64,7 + 73 %
11,1 %
39
6,7 %
29,7
68,6
43,5 + 92 %
1,44 + 74 %
Pro line of business, 9 months 2002.
2002 actual figures
2001 pro forma
YTD 3Q 2002
Revenue EBITDA EBIT
YTD 3Q 2001
EBITDA
EBIT
Revenue
margin
margin
Growth
Revenue EBITDA EBIT
EBITDA
EBIT
margin
margin
Visma Software
Visma Services
Tot op. Units.
Visma ASA
385
469
854
0
70
46
52
27
122 72,9
-10 -10
18 % 11,9 % -10 %
11 % 5,8 % 11 %
14 % 8,5 %
1%
427
421
848
1
63
46
109
-7
36
23
58
-7
15 %
11 %
13 %
8,4 %
5,4 %
6,9 %
Total
854
112
13 % 7,4 %
849
102
51
12 %
6,0 %
63
1%
YTD EBITDA margin is 13% vs 12% in 2001
Equity and total assets
1500000
1000000
500000
0
3Q97
3Q98
3Q99
3Q00
3Q01
3Q02
53455
107017
159344
232987
585491
955383
Tot assets
135884
175343
217040
316198
1031178
1341889
Equity %
39 %
61 %
73 %
74 %
57 %
71 %
Equity
Net cash:
MNOK 487 (473 in 2001)
+ shares in Superoffice for MNOK 17
+ Visma Shares for MNOK 3,5 (108923 shares)
Accounts rec (net ex vat):
MNOK 115 (103 in 2001)
(Down from MNOK 160 in 1Q02)
DSO:
42 days (45 days in 2001)
80 %
70 %
60 %
50 %
40 %
30 %
20 %
10 %
0%
General market view
Negative
Slow economic growth in Europe and US
Increasing unemployment
Declining IT investments since 2000
Sharp increase in bankruptcies since 2000
Danger of war in Iraq
Possible conflict with North-Korea
Depressed stock markets
Less confidence in businesses and management
Positive
Many companies have adjusted
Non-productive employees dismissed
Non-profitable business abandoned
Capacity is taken out of the IT market
War, conflicts and terrorism factored in?
Competent employees available
Down to earth attitudes
Focus on profit and healthy business
Positive
Slower growth gives companies time to
improve quality and take care of customers
Surviving companies becomes ”mean and
lean”
Small market improvements may yield
strong profit improvement in streamlined
companies
Profits in the IT sector will improve
steadily the next 2-3 years
ERP - sector
A long term winner?
Why did the SME sector of the ERP
industry perform well in 2001 and
2002?
Profitable ERP companies in 19992000 made profits in 2001 and
2002 as well.
ERP success factors
All business need ERP (and CRM)
ERP related processes are mandatory
ERP and CRM improve productivity
Maintenance and support is mandatory
Ever more complex tax and reporting requirements
Hence, recurring revenues for ERP companies
National and company specific requirements
Less competition and higher profit for non-commodity
products
Long-term customer relations, 10-15 years on average
ERP SME success factors
New companies are formed all the time
In the Nordics about 150-200.000 per year!
ERP for SME sector is even more adapted
for local or vertical markets
Low project risks
Distribution through resellers
Limited consulting in SME ERP companies
Recurring revenues from large customer
bases
ERP trends (what is really happening
now)
Integration with scanning and workflow
Electronic invoices, electronic payment
E-commerce for everyone
CRM and customer support integrated in ERP
Outsourcing of non-core processes as payroll,
accounting and debt collecting
Web-based data-entry
Timesheets, travel expenses, PDAs
Integration with ”everything”
Future for the ERP sector
The profitable companies will be more
profitable
Unprofitable companies will be
consolidated
Consolidation into a limited number of
strong players
ERP is more complex than generic Office
One size does not fit all
Microsoft has a long way to world-domination
Directions for Visma Software
Avendo, micro-market
Visma Application Framework as common
set of components used in all Visma
products
Baltic as a natural extension of the Nordic
market
Acting on opportunities in Denmark
Solutions for outsourcing companies
eAccount, Netaccount
Directions for Visma Services
Integration of all acquired companies
Centralized modern ERP solution
Web based data access for clients
myVisma.no
Partial outsourcing
Focus on payroll and travel expenses
From hours to transactions
4Q02 figures Wednesday January 22nd,
08.00