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Amsterdam, the Netherlands, 1 March 2011
Ronald Kasteel
Some key figures
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Above outlook
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Market recovery
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Back to growth
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• Productivity structurally higher in 2010 in comparison with 2009.
• Fees stabilised from Q2 2010.
• Q-on-Q increase in
revenue per workday.
Markets: Public/Healthcare
• Sharp drop in revenue in comparison with 2009 due to the fall of the Dutch coalition government, lengthy coalition talks and government spending cuts.
• Stabilisation during the year.
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Markets: Finance
• Sharp growth from Q2 2010 onwards.
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Markets: Industry
• Stable revenue from Industry market. • Thanks, in part, to our strong position in the Industry market in Belgium.
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Increase in share of revenue from multi-year contracts, offshoring and nearshoring
• Ambition is to increase share of revenue from long-term contracts to 35%.
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Stable share of revenue from strategic clients
TOP 10 CLIENTS
• • • • • • • • • •
ABN Amro/Fortis Achmea ING Group KPN Dutch Ministry of Homeland Affairs Dutch Ministry of Justice Dutch Ministry of Agriculture Dutch Ministry of Education Dutch Ministry of Transport and Public Works Rabobank Group
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Interesting projects Public/ Health
Land Registry: updating of public register and central personal records database. DUO: management of the costing system. Development of a care portal for the Healthcare Inspectorate’s ‘Zichtbare Zorg’ (visible care) programme. Four-year agreement with the European Commission.
Finance
Modernization of Robeco’s ‘Mijn Robeco’ selfservice portal. Reinforcement of our prefered supplier status at major banks.
Industry
Innovative customer interaction platform for The Voice of Holland. Development and implementation of a quality tool for Belgacom’s contact channels. Three-year contract with Schiphol Amsterdam Airport for managing business intelligence environment. Five-year contract with Schiphol Amsterdam Airport for managing Oracle applications.
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Our people
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ALS!WE!EERLIJK!ZIJN"! ZOEKEN!WE!HET!LIEVER DICHT!BIJ!HUIS
ALS!WE!EERLIJK!ZIJN"! IS!HET!HOOG!TIJD!VOOR NIEUWE!GENERATIES
Karen Donders Senior Business Consultant Woont in Utrecht
Thomas Hartgers met dochter Sophie Infrastructuur Specialist Wonen in Nieuw-Vennep
Vroeger. Nog niet zo lang geleden werden er regel voor regel
De status quo is ‘beheren’. Zonde. De logische stap is vernieuwen.
programma’s geschreven die tot prachtige systemen uitgroeiden.
Mensen, middelen en mogelijkheden met elkaar verbinden. Kansen
Inmiddels heeft dat bij menig organisatie tot nogal wat ‘legacy’
verzilveren. Dat vraagt om lef. Maar levert veel op. Tijd voor
geleid. Veel doet het nog, maar vraag niet ‘hoe’ en voor ‘hoeveel’.
vernieuwing? Connect op connectivate.nl.
Vliegen? Ja, leuk. Als je op vakantie gaat. Maar werken doen we liever dichter bij huis. Het
met het implementeren van bedrijfsprocessen, met passende ICT-oplossingen. En ’s avonds zijn
mooie is: daar ligt ook onze kracht. We kennen de lokale markten en spreken de taal van
we gewoon op tijd thuis voor het avondeten, sporten of een afspraakje. Werkt wel zo prettig.
onze klanten. Zo helpen we organisaties beter vooruit. Met adviseren over bedrijfsprocessen,
En dat merk je, als je met ons samenwerkt. Nieuwsgierig? Connect op connectivate.nl.
Employees
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• Recruitment drive initiated in 2010.
• Recruitment activities for several hundreds of young professionals and professionals to be expanded in 2011:
• Launch of branding and recruitment campaign (January 2011).
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Bart de Jong
Breakdown of revenue by market
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• Growth in Finance market H2 on H1: 17.3%. • Public market was very slow in 2010. • Growth in Industry market, thanks to our strong position in this market in Belgium.
2010
Full year
H1
H2
%
2010
2009
%
Finance
55.3
65.0
17.3%
120.3
137.7
-12.7%
Public/Healthcare
93.4
90.9
-2.7%
184.3
237.3
-22.3%
Industry
65.0
67.0
3.2%
132.0
138.4
-4.6%
Total
213.7
222.9
4.3%
436.6
513.4
-15.0%
Belgium/Luxembourg
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• Revenue at EUR 68.3 million (2009: EUR 70.1 million).
• Share of revenue at 16% (2009: 14%).
Breakdown of revenue to service
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• Consulting hit hard: -26.6% in 2010 in comparison to 2009. H2 2010 stable against H1 2010.
• Drop in consulting services mainly attributable to uncertainty in the Public market.
• Demand for consulting services increased in Finance market in H2 2010.
• Revenue in ICT and outsourcing increased in H2 2010.
2010
Full year
H1
H2
%
2010
2009
%
ICT
111.8
116.7
4.2%
228.5
269.7
-15.3%
Consulting
35.3
35.1
-0.4%
70.4
95.9
-26.6%
Application Outsourcing
66.6
71.1
6.9%
137.7
147.8
-6.8%
Total
213.7
222.9
4.3%
436.6
513.4
-15.0%
Income statement
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From EBIT to recurring EBITA and EBITDA
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Balance sheet as at year-end 2010
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Net debt development
• Total net debt/adjusted EBITDA: 2.4 • DSO of 52 days
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Net debt development full year 2010
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Financing
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• Financing facilities renewed in 2009: • senior financing of EUR 120 million renewed. • subordinated loan of EUR 27.5 million contracted, interest 13.5%. • Current standing compared to the agreed financing ratios: actual 31-12-2010
to 31-12-2010
from 1-1-2011 onwards
Total net debt / adjusted EBITDA
2.4
< 3.5
< 3.25
Senior net debt / adjusted EBITDA
0.9
< 2.75
< 2.5
Interest coverage ratio
4.6
> 3.5
> 4.0
Ronald Kasteel
Vision on Ordina in 2014 “Overall”
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• Local (top 3) provider of consulting and ICT services with international partnerships (technology partners and offshore partners).
• Honoust, close to home and energetic. • Distinguished party for clients, employees and investors.
Clients/ propositions
Employees
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Four businesses: consulting, business solutions, ICT projects/outsourcing and time/material. Focus on markets with local scale: public, finance, healthcare and industry. We are knowledgeable of our clients and the local market. More so than the competition. Inventive and strong-willed in the search for solutions. Quality at a fair price point.
• Open, approachable culture and a non-hierarchic organisation, aimed at working together. ‘A comforting home’.
• Highly involved employees, who wish to develop themselves and to contribute to society. • Ordina offers development, opportunities and fair benefits. • Ordina is the employer of choice.
Investors
• Financially robust, based upon a solid balance sheet and a higher-than-average profitability, with an increasing revenue share from multi-year contracts.
“Ordina 2014” to become reality in three steps
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Three steps
Investing in growth in personnel
2011
Focus in the management agenda
• • • •
Return above growth
Win market share
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1
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Corporate and recruitment campaign Focus on recruitment and employee development Offshore/nearshore solution Margin and cash management
2013
2012 • •
•
Growth in business solutions Growth in differentiating product/market combinations and consulting Focus on recruitment and employee development
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Further performance improvements Preferred place to work
Outlook Market developments
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• Developments Public market • Underlying programmes aimed at organizational improvement are ready to be implemented.
• However, decisions are still only slowly being made. • Developments Finance market • Growth in H2 2010 is a prelude to further growth in 2011. Outlook 2011
• Ordina expects the market to continue to recover in 2011. • Ordina expects to generate between EUR 115 million and EUR 120
million in revenue for the first quarter of 2011 (increase between 5% and 10% in comparison with the first quarter of 2010).
• Ordina will invest in growth in personnel in 2011. Ordina launched a
campaign to strengthen its growth ambitions. Recurring EBITDA is expected to land at approximately EUR 4 million for the first quarter of 2011. This represents an increase of approximately 10% in comparison with recurring EBITDA for the first quarter of 2010.
Reported to recurring
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Revenue and EBITDA development
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Per-share information
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Amortisation PPA
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