Slides
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Q4 update February 12, 2025 Lime Technologies Q4 2024
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Today's presenters Nils Olsson CEO Lime since 2006 Anders Hofvander CFO Lime since 2024
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Exceeding customers' expectations Software and know-how that helps companies attract new and keep existing customers We go all in to create a world where every customer experience exceeds expectations, making customers’ lives easier through spot-on software and on-point expertise Key success factors • Long term profitable growth • 65 % recurring revenue • Sticky customer base • Strong corporate culture offices in 7 countries “ Over users Over customers 12 17 17 21 26 32 45 55 65 71 78 90 89 101 127 145 160 204 244 290 339 404 490 577 2 4 4 5 7 8 14 19 22 24 17 17 13 20 31 38 36 45 48 67 99 109 125 148 172 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 LTM Q4 2024 Net sales (SEKm) Adj. EBITA (SEKm) 686
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Sum up Q4 and 2024 • Better finish to the year • Update Business Units • High recruitment pace - building for the future Sales growth EBITA margin ARR growth Proposed dividend EBITA marginSales growth ARR growth Q4 20 24
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Agenda Order intake01 02 03 04 Revenue Profit Summary
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1. Order intake Lime Technologies Q4 2024
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Several deals within our verticals Good mixture of small, midsize and large enterprises 6,6% 7,0% 7,0% 1,3% 1,0% 1,0% 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 2022 2023 LTM Q4 2024 Top 10 customers % of net sales Top customer % of net sales
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2. Revenue Lime Technologies Q4 2024
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42 40 40 38 38 38 38 35 35 33 30 29 26 24 24 23 20 164 171 219 222 241 254 258 270 287 298 318 327 346 408 420 430 463 206 211 259 260 279 292 296 306 321 331 348 356 372 432 444 452 483 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Service agreements Subscription Annual recurring revenue (ARR) Increase in annual recurring revenue drives growth ARR development (SEKm) Growth 24Q4 vs. 23Q4 34% -24% 30%
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Recurring revenue is growing rapidly Transition from up-front to subscription pricing model since 2015 Pricing model transformation over time Revenue guidance 0 100 200 300 400 500 600 700 800 Q1-18 Q2-18 Q3-18 Q4-18 Q1-19 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q3-20 Q4-20 Q1-21 Q2-21 Q3-21 Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Expert services License, up-front Support contract License, subscription Other • CRM system mainly as subscription • Increased sales teams to drive further ARR for subscriptions • Support contract sold together with up- front licenses • No addition to support contracts as a result of nearly no up-front sales • Support contracts for existing up-front clients still generate revenue • Revenue stream in decline as the products are sold as SaaS • Some existing clients still buy more licenses up -front • Large part of sales derives from existing customers • Customer base is growing, expected to drive expert services growth but decreases as part of total net sales Recurring revenue 65% 34% 0% 3% 62% 1% 33% growth in subscription LTM LTM net sales by revenue stream, SEKm License, subsription Support contract License, up-front Expert services
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Revenue 154,7 183,9 577,1 685,7 0,0 200,0 400,0 600,0 Q4 2023 Q4 2024 LTM Q4 2023 LTM Q4 2024 76,0 95,3 100,8 99,4 87,8 106,5 118,1 121,7 109,9 129,5 36,0 40,5 43,7 45,1 45,7 48,1 51,1 52,8 48,2 54,4 112,0 135,8 144,5 144,5 133,5 154,7 169,2 174,5 158,1 183,9 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 Q4-24 Sweden Rest of Europe Split by geography Growth 19% Growth Q4-24 vs. Q4-23 13% 22% 19% SEKm Traction across geographies 394,6 479,2 182,5 206,5 LTM Q4 2023 LTM Q4 2024 Sweden Rest of Europe SEKm Y-o-Y growth (%) Net sales development 16% 22% 21% 13% Growth 19% 183,9
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3. Profit Lime Technologies Q4 2024
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40,1 47,5 148,2 172,0 25,9% 25,8% 25,7% 25,1% Q4 2023 Q4 2024 LTM Q4 2023 LTM Q4 2024 Adjusted EBITA Adjusted EBITA-margin Profit Reaching an adjusted EBITA margin of 26 % in Q4 2024 EBITA development1) Rolling LTM EBITA and margin development1) 109 113 117 120 125 132 137 142 148 155 159 165 172 26,9% 26,3% 26,0% 25,7% 25,5% 25,5% 25,5% 25,5% 25,7% 25,7% 25,2% 25,1% 25,1% Q4-21 Q1-22 Q2-22 Q3-22 Q4-22 Q1-23 Q2-23 Q3-23Q4-23 Q1-24 Q2-24Q3-24Q4-24 LTM adjusted EBITA LTM adjusted EBITA-margin +16 % Note: 1) EBITA adjusted for acquisition related expenses. SEKm SEKm
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OPEX development Large majority of operating expenses related to growth in FTEs Personnel expenses development Other operating expenses development (adj.)1) 88,4 105,0 327,5 57,1% 57,1% 56,7% 57,7% Q4 2023 Q4 2024 LTM Q4 2023 LTM Q4 2024 Personnel expenses % of Net sales +19% 26,1 32,4 99,8 120,2 16,9% 17,6% 17,3% 17,5% Q4 2023 Q4 2024 LTM Q4 2023 LTM Q4 2024 Other expenses 24% SEKm Note: 1) Adjusted for acquisition related expenses. SEKm 20% +21% 395,8
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4. Summary Lime Technologies Q4 2024
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Financial targets Sales growth 19% Capital structure 0.9 Dividend policy 60% EBITA margin “Lime’s objective in the medium term is to achieve an annual net sales growth above 18%” “The objective in respect of the capital structure is that the net debt in relation to EBITDA should be less than 2.5” “Lime intends to distribute available cash flow, after taking into account the Company’s indebtedness as well as future growth opportunities, including acquisitions. Dividend is expected to correspond to at least 50% of net profit” “Lime’s objective in the medium term is to achieve an annual EBITA margin above 25%” 25% (4.00 SEK/share) LTM Q4 2024
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5. Questions? Lime Technologies Q4 2024
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Thank you for listening! investors.lime-technologies.com Lime Technologies Q4 2024