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Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

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Page 1: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Interim report January – March 2009

Hans Gieskes, CEO and Erik Forsberg, CFO

May 6, 2009

Page 2: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Highlights January – March 2009

Negatives

Recession increasingly impacting all markets - poor organic growth

Positives

All unprofitable Monitor/Analysis businesses in the Nordics divested during

the quarter

Increasing share of US clients on CisionPoint – high customer satisfaction

Financials

Syndicated loan agreement renegotiated – improved covenant terms,

reduced facility limit

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Page 3: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

The RegionsNorth America

Organic growth -9% (2) January-March

CisionPoint sales continue to increase in the US – approx 35 % of clients on CisionPoint

Principal impact of recession on transaction-based monitoring services

Significant cost reductions implemented in last 6 months

Rest of EuropeOrganic growth -12 % (-16) January-March

UK and Germany significantly affected by weaker economy

CisionPoint launch and new cost reduction programs to mitigate effects

Portugal continues positive development from 2008 – high growth and strong margins

Nordic and BalticsOrganic growth -7 % (-1) January-March

Very poor performance for Monitor and Analysis in Norway, Sweden and Denmark –

businesses divested as of 1 February (Denmark) and 31 March (Sweden, Norway)

Finland and Lithuania Monitor and Analysis had organic growth and good margins

Nordic Plan and Connect had negative growth, but still good margins

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Page 4: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Cision Group, January – March 2009

Amounts in SEK million Jan – March

Revenue 460 (443)

Organic growth -8 % (-4)

EBIT 9 (31)

EBIT excluding restructuring charges 18 (37)

EBIT margin excluding restructuring expenses 3.9% (8.4)

Notes

- Restructuring expenses of SEK 9 million during the period (7)

- Positive currency impact on EBIT of SEK 9 million

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Page 5: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Organic Growth & Operating Margin* (rolling 12 months)

-8%

-6%

-4%

-2%

0%

2%

4%

20

05

Q1

20

05

Q3

20

06

Q1

20

06

Q3

20

07

Q1

20

07

Q3

20

08

Q1

20

08

Q3

20

09

Q1

Gro

wth

5%

7%

9%

11%

13%

15%

Ma

rgin

Organic growth Operating margin

* Excluding goodwill impairment, restructuring expenses and costs for the April 2008 bid process

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Page 6: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Operating Cash Flow and EBIT * (rolling 12 months)

0

50

100

150

200

250

300

20

05

Q1

20

05

Q2

20

05

Q3

20

05

Q4

20

06

Q1

20

06

Q2

20

06

Q3

20

06

Q4

20

07

Q1

20

07

Q2

20

07

Q3

20

07

Q4

20

08

Q1

20

08

Q2

20

08

Q3

20

08

Q4

20

09

Q1

OC

F

0

50

100

150

200

250

300

EB

IT

Operating Cash Flow * EBIT *

Amounts in SEK million

* Excluding goodwill impairment, restructuring expenses and costs for the April 2008 bid process

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Page 7: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Regional Operating Performance

SegmentOperating Profit,

MSEK

Operating Margin,

%

Jan-March 2009

Jan-March2009

North America 42 (44) 18.7% (23.0)

Rest of Europe -7 (3) -6.3% (2.7)

Nordic and Baltic -10 (2) -8.9% (1.2)

Notes

- Operating Profit and Margin excluding restructuring expenses

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Page 8: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

Financial Position

Balance Sheet per 31 March 2009 (MSEK)Goodwill 1 904 Equity 1 112

Other Fixed Assets 295 Long Term Liabilities 1 089

Current Assets 556 Current Liabilities 555

TOTAL ASSETS 2 756 TOTAL EQUITY AND LIABILITIES 2 756

31 March 2009 31 March 2009

Equity / Assets Ratio 40% 47%

Net Debt / Equity Ratio 67% 55%

Net Debt (MSEK) 745 665

Working Capital (MSEK) -139 -87

Balance Sheet Key Ratios

Cash-Flow (MSEK)

Jan-March 2009 Jan-March 2008

Operating Cash-Flow 27 18

Free Cash-Flow -8 -18

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Page 9: Interim report January – March 2009 Hans Gieskes, CEO and Erik Forsberg, CFO May 6, 2009

2009 Agenda Remains Focused on Execution Improvement and Business Portfolio Management

1. Divestment of money losing monitor & analysis businesses in

Sweden, Norway and Denmark show significant impact on margins,

focus and transformation agenda

2. Impact of recession further confirms Cision’s transformation

agenda, and adds more urgency to its execution

3. With 20 % less employees than six months ago, Cision is a much

leaner company with many opportunities ahead of itself

4. Continue the successful roll-out of CisionPoint

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