Slides
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20 December 2024 Business Update
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Business Update - Agenda 1) M&A: Emergency – Acquisition of Predicare and Aweria 2) M&A: Connected Imaging – Acquisition of AI/Telemedicine company Dermicus 3) Omda business status and outlook – Summary of 2024 business development & performance – Outlook 2025-2027 • Ambitions • Organic growth and M&A • Expected EBITDA margin development • Cash flow and working capital development 4) Q&A 3
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Emergency Acquisition of Predicare and Aweria 4
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5 Every second counts!
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Every second counts – Omda’s specialised offering 6 Help seeker 911 Operator Emergency dispatcher Ambulance personnel Acute hospital Management $
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Emergency value chain development through M&A 2015 2021 20242018 PARATUS
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Omda’s Emergency customer value chain offering 8 PARATUS
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Emergency Business Area: 4 Decentralised business units 9 Readiness Acute CareIncident Response Inherited M&A’s: Decentralised Business Units measured on Organic Growth, Cash EBITDA and Working Capital: Integration completed Integration completed Integration completed Integration ongoing
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Predicare – Process & Terms – Financial impact 2025 • First dialogue in 2019 • Term Sheet signed in Q2-2024 • SPA Signed October 2024 • Closing December 2024 • Sales 2025E: 15-17 MSEK • Transaction price: 23.5 MSEK – 12 MSEK Cash – 11.5 MSEK in Omda shares • Areas for improvement – Contract management, pricing, business model, cash management 10
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Aweria – Process & Terms – Financial impact 2025 • First dialogue in 2015 – Discussions advanced rapidly following the Predicare deal – Term Sheet signed early December 2024 – SPA Signed 20 December 2024 – Closing subject to FDI approval • Assume late January or early February 2025 • Sales 2025E: 2.5-5 MSEK – Expect negative EBITDAC in 2025 • Transaction – Limited fixed consideration – Earn Out up to 20 MSEK (cash) – EO period 2026-2030 – EO payment in 2030 and 2031 • Areas for improvement – Synergies with current Omda offerings and contracts, MDR, business model 11
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Connected Imaging Acquisition of AI/Telemedicine company Dermicus 12
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13 Securely capture, share and collaborate
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Connected Imaging value chain development through M&A 2016 2024 2019
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Omda Connected Imaging customer value chain offering 15
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Connected Imaging: 2 decentralised business units 16 Medical Imaging Mobile Telemedicine Inherited M&A’s: Decentralised Business Units measured on Organic Growth, Cash EBITDA and Working Capital: Integration completed Integration initiated
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Dermicus – Process & Terms – Financial impact 2025 • First dialogue in 2022 – Term Sheet signed late October 2024 – SPA Signed 20 December 24 – Closing subject to FDI approval • Assume late January or early February 2025 • Sales 2025E: 14 MSEK • Transaction price: 19 MSEK – 12 MSEK Cash at closing – 7 MSEK in Q2 2027 – Earn Out up to 15 MSEK – Earn Out period 2025 and 2026 combined • Areas for improvement – Synergies with current Omda contracts, pricing, business model 17
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Omda Business Status & Outlook 18
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BAs performs as planned in 2024 - except for Emergency 19 -10% 0% 10% 20% 30% 40% 50% 60% Connected Imaging Emergency Health Analytics LIMS Medication Management Woman & Child Growth LFQ Growth Q3 EBITDA Q3 EBITDA Target
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Connected Imaging Woman & Child Medication Management Health Analytics LIMS Incident Readiness Acute Care Response Predicare Revenue Cash EBITDA 13-17% 13-17% Estimated average Cash EBITDA % 2025 Expected average cash EBITDA 2025 Business Area Emergency sub performed in 2024 and was decentralised in Q4-24 securing ~30 MNOK permanent cost reduction going forward To be integrated in 2025 1 2 3 4 Aweria Business Areas performing well per Q3-24 with remote shoring phase-out in 1H-25
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Completed FTE reductions drive profitability in 2025-27 21 245 250 255 260 265 270 275 280 285 290 295 300 0% 5% 10% 15% 20% 25% 30% 35% 40% 1H-23 2H-23 1H-24 2H-24 1H-25 2H-25 1H-26 2H-26 1H-27 2H-27 EBITDA% # of FTEs Seasonality due to GAAP accounting principles 3 2 1 1 Decentralisation of Emergency 2 Acquisitions & Nordic scale-up 3 Remote shoring agreement expires Expected EBITDA margin interval
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22 Annual outlook - Organic business incl. recent M&A’s 2024 2025 Revenue Adj. EBITDA 450 - 500 13-14% 23-25% 29-30% 30-31% 450-480** MNOK 410-420* ** Recent acquisitions included: Predicare, Aweria, Dermicus* Organic growth • 2026-2027 – Around 30% EBITDA margin expected – 5-10% Organic growth expected
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Cash Management • Extensive focus on NWC improvement in Q4 – Aged AR – Invoicing practice – Invoicing of annual recurring revenue – Supplier terms • Cost reduction efforts – PersEx – Other cost • Base assumption cash position per 31.12.2024 – On par with 31.12.2023 23
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Omda’s history and direction 1999 - 2009 Start-up Norwegian start-up in hospital Export Export to Sweden & small acquisitions #1 The #1 in niche software in the Nordics Profitability Decentralisation and margin improvement Europe Focus on strong growth in Europe Worldwide Leader in specialised niches Natus 17 businesses acquired & integrated Business plan priorities Organic growth Profitability Cash discipline Acquisitions 2015 - 2021 2022 - 2024 2025 20302010 - 2014
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Q&A 25
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Thank you www.omda.com Making smarter ways together 26