Presentation of the Special General Shareholders' Meeting ...
Upcoming SlideShare
Loading in...5
×

Like this? Share it with your network

Share

Presentation of the Special General Shareholders' Meeting ...

  • 458 views
Uploaded on

 

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
    Be the first to like this
No Downloads

Views

Total Views
458
On Slideshare
458
From Embeds
0
Number of Embeds
0

Actions

Shares
Downloads
4
Comments
0
Likes
0

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. Presentation 9 Months Results 2003 Extra-Ordinary Shareholders’ Meeting November 24, 2003 - Kontich
    • Market position consolidated in difficult
    • economic circumstances
    • Margins remain under pressure
    • Lower margins due to general price pressure and the later recognition of licence revenue due to delay in the delivery of the new Retail product suite
  • 2. Quarterly : Revenue Evolution Annually : EBIT Evolution REPORTING Financial information available on website www.realsoftware.be INVESTOR RELATIONS
  • 3. A. Headlines - Theo Dilissen B. Financial results - Philip De Tavernier C. Outlook + Debt Restructuring - Theo Dilissen PROGRAM
  • 4. A. Headlines
  • 5. Q1 Q2 Q3 Q4 ‘ Seasonality’
  • 6. Key figures YTD
    • Comparable to 3Q03 YTD figures
    • Market and turnover position consolidated
    • Margins remain under pressure
  • 7. Key figures 3Q03 versus 3Q02
    • Revenues slightly higher
    • Margins remain under pressure
  • 8.
    • Business & Government and “Infrastructure” record higher revenues
    • Turnover decrease in Industry and Banking & Insurance
    • Stable revenues in Retail division
    • Lower revenues of international activities
    Market Position Consolidated Turnover: € 125,1 m, 2,7 % lower than comparable 3Q02 YTD, in line with market decrease
  • 9.
    • General price pressure in the market
    • Retail : later recognition of licence revenue due to the delay in the delivery of the new Retail product suite
    Margins remain under Pressure EBIT : € 2,0 m > € 6,6 m lower than 3Q02 YTD
  • 10.
    • Another difficult fourth quarter in 2003, budgets under further pressure
    • As a result of the difficult economic climate and in the light of the recent events
      • The Group prefers to not give any specific perspectives for FY2003
    • But October is encouraging
    Prospects 2003
  • 11. Prospects 2003: October is encouraging
  • 12. Group Turnover by Division    
    • Banking & Insurance : “traditional license-driver”, decrease in system integration and licenses income due to unfavorable market conditions in banking sector
         
  • 13. Group Turnover by Division    
    • Business & Government : solid performance, turnover increase of € 0,8 m, lower income of system integration totally compensated by
    • higher licenses sales
  • 14. Group Turnover by Division    
    • Industry : less income from system integration, higher licenses sales = implementation of strategic model
  • 15. Group Turnover by Division    
    • Retail : revenues in line with 3Q02 YTD, migration to new product suite, impact on results as from second half (stronger rules for revenue recognition)
  • 16. Group Turnover by Division    
    • International activities : largest part is professional services, turnover down € 4,4 m due to bad economic climate
  • 17. Group Turnover by Division    
    • Infrastructure : turnover increase of € 2,8 m
  • 18. Statements of Operations: Revenues & EBIT -5.1% -6.6 -3.4 -4.4 +2.8 +0.1 +0.6 -1.7 -0.9 +/- ** *** - ** *** * EBIT *** Revenue 128.6 125.1 Total Revenue 8.6 2.0 EBIT 6.7% 1.6% EBIT % 34.3 29.9 International 4.1 6.9 Infrastructure 15.6 15.7 Retail 22.7 23.3 Business & Government 33.8 32.1 Industry 18.2 17.3 Banking & Insurance 9 Months 2002 (1) 9 Months 2003 € M
  • 19.
    • Cash flow YTD 2003
      • Recurring cash increase +€ 3.7 m
      • Non-recurring cash outflows - € 6.5 m
        • (pre-2002 legacy)
      • Net decrease cash - € 2.8 m
    • Social Security (RSZ)
      • 6 month payment plan Q3 (from December 2003)
    • All other operational financial commitments are being honoured
    • Diligent working capital management
    Cash situation
  • 20.
    • Letter of Intent for Management buy-out of FSS
    • Purchase price : € 2.4m
    • - cash
    • - compensation claims
    • Lock-up shares lifted
    • Closing transaction by end of 2003
    • Impact on current result immaterial
    • Impact on net result – € 6 m (mainly goodwill)
    Sale of FSS
  • 21.
    • Landbouwkrediet
    • Bank van de Post
    • De Post
    • BRICO
    • SECO
    • Communauté Française
    • Crédit Agricole
    • P&V
    • DVV
    • DHL
    • Calcutta
    • Berry Yarns
    • Nextira One
    • Honda
    • Concordia
    • Umicore
    New customers Banking & Insurance Industry
  • 22.
    • Telenet
    • Free Record Shop
    • VRT
    • De Post
    • Intratuin
    • De Koninck
    • Gemeente Roosendaal
    • Ministerie van Sociale Zaken
    • Ministerie van Volksgezondheid
    • Reynaers
    • Rode kruis
    New customers Business & Government Retail
    • Van de Velde – Marie Jo
    • Dekamarkt
    • Volmar Hoogvliet
    • Delhaize
    • Jules
    • Etam
    • Frice
    • AKO
    • BONI
  • 23. Banking & Insurance BANKING & INSURANCE
  • 24. Banking & Insurance Activities Customers Turnover Figures Luxemburg : Private banking (Portfolio management + Back Office Systems) Belgium : Professional Services, leasing The Netherlands : leasing Banks, Insurance companies, Financial institutions, Leasing companies
  • 25. Banking & Insurance Activities Customers Portfolio composition Luxemburg : Private banking (Portfolio management + Back Office Systems) Belgium : Professional Services, leasing The Netherlands : leasing Banks, Insurance companies, Financial institutions, Leasing companies
  • 26. Banking & Insurance Market Outlook Personnel Number: 183 Productivity Rate: 81 % Deals 3Q03 Pipeline + Extension of existing contracts AOF Archiving Security Services VarE-Docs Document Management Leasing Management
  • 27. Business & Government GOVERNMENT
  • 28. Business & Government Activities Customers Turnover Figures Midsized companies: software products and development + projects Government: professional services, software products and development + projects Home market: government, mid-sized
  • 29. Business & Government Activities Customers Turnover Figures Midsized companies: software products and development + projects Government: professional services, software products and development + projects Home market: government, mid-sized
  • 30. Business & Government Market Outlook Personnel Number: 328 Productivity Rate: 82 % Deals 3Q03 Pipeline ++ Oracle Project Hardware Scope Definition (Progress) Java Project Extasy/Progress Implementation Project RF/Barcoding Fimacs Projects E-Smart Implementation Mimix + i-Series Hardware Network support Microsoft Business Solutions Navision Implementation Government Business
  • 31. Retail
  • 32. Retail Activities Customers Turnover Figures P.O.S (Point of Sales), Front & Backstore automation, Central Office, Datawarehouse, Intranet
  • 33. Retail Activities Customers Turnover Figures P.O.S (Point of Sales), Front & Backstore automation, Central Office, Datawarehouse, Intranet
  • 34. Retail Market Outlook Personnel Number: 280 Productivity Rate: 65 % Deals 3Q03 Pipeline ++ Collaborative CRP system live Partnership FINLAND Product Development Software development Webstore Start of Roll-outs
  • 35. Industry INDUSTRY
  • 36. Industry Activities Customers Turnover Figures Niches : Enterprise Asset Management, Logistics, Textile, ERP Production companies and transport companies
  • 37. Industry Activities Customers Turnover Figures Niches : Enterprise Asset Management, Logistics, Textile, ERP Production companies and transport companies
  • 38. Industry Market Outlook Personnel Number: 359 Productivity Rate: 84 % Deals 3Q03 Pipeline ++ ICT Services Enterprise Asset Management Axapta Implementation ICT Services RITM Textile Solution
  • 39. International activities 364 people
  • 40. Infrastructure 9 people
  • 41. B. Financial results
  • 42. Topics
    • Statements of Operations
      • Revenues & EBIT
      • Net Result from Operations
      • Net Result
    • Balance Sheet
      • Assets
      • Liabilities
    • Cash Flow Statement
  • 43. Statements of Operations: Revenues & EBIT -5.1% -6.6 -3.4 -4.4 +2.8 +0.1 +0.6 -1.7 -0.9 +/- ** *** - ** *** * EBIT *** Revenue 128.6 125.1 Total Revenue 8.6 2.0 EBIT 6.7% 1.6% EBIT % 34.3 29.9 International 4.1 6.9 Infrastructure 15.6 15.7 Retail 22.7 23.3 Business & Government 33.8 32.1 Industry 18.2 17.3 Banking & Insurance 9 Months 2002 (1) 9 Months 2003 € M
  • 44. Statements of Operations: Net Result from Operations -0.8 +7.3 +6.5 - Amortisation Goodwill -5.2 -4.6 -9.8 Net Result from Operations before Tax +1.1 -2.4 -1.3 Income Tax -4.4 -0.2 -4.6 Net Result exclud. Amortisation Goodwill +0.1 -0.4 0.0 Minorities & Equity Method -0.1 -0.2 -0.3 Other +0.8 -7.3 -6.5 Amortisation Goodwill +0.9 -6.2 -5.3 Financial Expense on Debt -0.2 0.5 0.3 Financial Income -6.6 8.6 2.0 EBIT +/- 9 Months 2002 (1) 9 Months 2003 € M
  • 45. Statements of Operations: Net Result +0.8 -7.3 -6.5 Amortisation Goodwill -4.4 -0.2 -4.6 Net Result exclud. Amortisation Goodwill -4.1 +1.2 -1.6 +/- 9 Months 2002 (1) 9 Months 2003 € M -7.6 -11.7 Net Result -3.5 -2.3 Extra-Ordinary Loss 3.3 1.7 Extra-Ordinary Income
  • 46. Balance sheet: Assets -18.3 205.3 187.0 Total Assets +0.8 0.8 1.6 Receivables > 1 Year +3.9 0.0 3.9 Prepaid Developm Cost -11.2 78.5 67.3 Current Assets -2.9 9.5 6.6 Cash & Cash Equivalents +/- Dec 31 2002 (1) Sep 30 2003 € M +0.7 1.3 2.0 Other Prepaid Expenses +0.1 2.8 2.9 Inventory & WIP -13.8 64.1 50.3 Receivables < 1 Year -0.6 1.1 0.5 Financial Fixed Assets -0.7 8.7 8.0 Plant, Property & Equipment -6.1 116.4 110.3 Goodwill +0.2 0.6 0.8 Intangibles -7.2 126.8 119.6 Fixed Assets
  • 47. Balance sheet: Liabilities +2.4 2.8 5.2 Accrued Expenses -2.4 127.1 124.7 Long Term Liabilities +2.2 2.3 4.5 Deferred Revenue -11.8 -105.4 -117.2 Stockholders’ Equity -0.0 115.1 115.1 Subordinated Debt -11.8 9.7 -2.1 Equity in Extended Defin. -18.3 205.3 187.0 Total Liabilities -7.1 26.0 18.9 Accounts Payable -4.2 68.5 64.3 Current Liabilities +/- Dec 31 2002 (1) Sep 30 2003 € M -1.0 27.6 26.6 Other Liabilities -0.8 9.9 9.1 Short Term Financial Debt +0.0 11.6 11.6 Other Debt -0.3 103.1 102.8 Long Term Debt -2.1 11.6 9.5 Provisions & Deferred Taxation +0.0 0.8 0.8 Minorities Interest
  • 48. Cash Flow Statement -0.1 Other -1.3 Net Cash used in Investing Activities 9 Months 2003 € M -2.9 Increase/Decrease Cash -0.2 Net Cash provided by Financing Activities -1.3 Net Cash used by Operations +3.9 Change in Working Capital -5.2 Net Cash Flow -2.1 Provisions +6.5 Amortisation Goodwill +1.7 Depreciation -11.7 Net Result
  • 49. Cash Flow Statement
  • 50. C. Outlook + Debt Restructuring
  • 51.
    • Another difficult fourth quarter in 2003, budgets under further pressure
    • As a result of the difficult economic climate and in the light of the recent events
      • The Group prefers to not give any specific perspectives for FY2003
    • But October is encouraging
    Prospects 2003
  • 52.
    • The company confirms the krijtlijnen/principles/guidelines of the debt restructuring
    • Should constitute basis for the group’s short term continuity + long term development
    • Negotiations with the banks will be continued by the new Board of Directors, appointed by the Special Shareholders meeting of November 24th 2003
    • Therefore, the current moratorium for the intrest and capital payments will be postponed to March 15th 2004
    Debt Restructuring
  • 53. Debt Restructuring “Krijtlijnen”/Guidelines/Principles Retour à meilleure fortune ? When ? Normalized going concern
  • 54. Presentation 9 Months Results 2003 Extra-Ordinary Shareholders’ Meeting November 24, 2003 - Kontich
    • Market position consolidated in difficult
    • economic circumstances
    • Margins remain under pressure
    • Lower margins due to general price pressure and the later recognition of licence revenue due to delay in the delivery of the new Retail product suite