2021-10-28 08:00:00 CEST

2021-10-28 08:00:08 CEST


REGULATED INFORMATION

English
Etteplan Oyj - Interim report (Q1 and Q3)

ETTEPLAN Q3 2021: Good growth continued


ETTEPLAN OYJ Interim Report October 28, 2021, at 9:00 a.m.

ETTEPLAN Q3 2021: Good growth continued

Key points July-September 2021

  · The Group’s revenue grew by 21.1 per cent and was EUR 66.9 million (7
-9/2020: EUR 55.2 million). At comparable exchange rates, revenue increased by
20.9 per cent.
  · Operating profit (EBITA) improved by 9.2 per cent and was EUR 5.7 (5.2)
million, or 8.5 (9.5) per cent of revenue.
  · Operating profit (EBIT) improved by 7.6 per cent and was EUR 4.6 (4.3)
million, or 6.9 (7.7) per cent of revenue.
  · Operating cash flow was EUR 0.2 (0.2) million.
  · Basic earnings per share were EUR 0.14 (0.13).

Key points January-September 2021

  · The Group’s revenue grew by 13.4 per cent and was EUR 214.9 million (1
-9/2020: EUR 189.4 million). At comparable exchange rates, revenue increased by
12.6 per cent.
  · Operating profit (EBITA) improved by 17.1 per cent and was EUR 21.2 (18.1)
million, or 9.9 (9.5) per cent of revenue.
  · Operating profit (EBIT) improved by 17.2 per cent and was EUR 17.9 (15.3)
million, or 8.3 (8.1) per cent of revenue.
  · Operating cash flow was EUR 13.9 (20.5) million.
  · Basic earnings per share were EUR 0.55 (0.46).
  · Etteplan specifies its financial guidance concerning Revenue for 2021:
Revenue in 2021 is estimated to be EUR 295-310 million.

Etteplan also monitors non-IFRS performance measures, because they provide
additional information on Etteplan’s development. More information on
performance measures is provided at the end of the release.

Key figures

EUR 1,000        7-9/2021  7-9/2020  1-9/2021  1-9/2020  1-12/2020
Revenue            66,860    55,221   214,853   189,408    259,702
Operating           5,701     5,222    21,174    18,087     26,172
profit (EBITA)
EBITA, %              8.5       9.5       9.9       9.5       10.1
Operating           4,597     4,274    17,921    15,289     22,380
profit (EBIT)
EBIT, %               6.9       7.7       8.3       8.1        8.6
Basic earnings       0.14      0.13      0.55      0.46       0.69
per share, EUR
Equity ratio, %      42.1      40.1      42.1      40.1       40.5
Operating cash        227       206    13,937    20,485     37,997
flow
ROCE, %              12.0      12.6      15.6      14.9       16.0
Personnel at        3,625     3,291     3,625     3,291      3,267
end of the
period

President and CEO Juha Näkki:

The third quarter of the year got off to a slower start than we expected. After
a busy first half of the year, our personnel and customers took a lot of time
off, which meant that the start of projects took longer than expected. The
pandemic continued to have a slight impact on the market situation and the
global shortage of components began to be reflected in the demand for
engineering services. Some engineering projects were postponed and some were
cancelled. Nevertheless, the general demand situation remained fairly good.

Our growth rate remained good in spite of minor hindrances in the market. We
invested in organic growth by establishing several new teams and we continued to
develop our service offering. We also made two acquisitions during the review
period: we acquired Adina Solutions Oy in Finland and BST Buck Systemtechnik
GmbH in Germany. Growth was particularly strong in the Software and Embedded
Solutions service area, again exceeding 30 per cent.

Market hindrances and organic investments affected our operational efficiency
and our profitability declined slightly. Managed services - and continuous
services in particular - represent a large share of business in the Technical
Documentation Solutions service area. For this reason, the impacts of the market
conditions were minor and the service area again reached an excellent level of
profitability that exceeded our target.

Even though the pandemic and the component shortage maintain uncertainty in the
markets, the fourth quarter started in a relatively good market situation. In
the beginning of the fourth quarter, pandemic-related restrictions have been
lifted in most of our operating countries and the transition to the new normal
has begun. Due to the slow start of the third quarter we are specifying our
financial guidance regarding Revenue. Towards the end of the review period the
number of new engineering projects grew at accelerated pace and our operating
efficiency improved. This creates the conditions for continued profitable growth
in the final quarter of the year.

Market outlook 2021

The most important factor affecting Etteplan’s business is the global
development of the machinery and metal industry. The prolongation of the COVID
-19 pandemic continues to have an impact on the global economy and market
situation. In addition, the global component shortage is also reflected in the
demand for engineering services. Our customers continue to invest in digital
services and engineering solutions, which is why we expect the demand situation
to remain at a fairly good level during the rest of the year in spite of the
uncertainties.

Specified financial guidance 2021

Etteplan changed its financial guidance practice at the beginning of 2021. Going
forward, Etteplan issues guidance for revenue and operating profit (EBIT) as a
numerical range. Etteplan specifies its previous guidance for Revenue and issues
the following estimate:

Revenue in 2021 is estimated to be EUR 295-310 million, and
operating profit (EBIT) in 2021 is estimated to be EUR 25-28 million.

Previous financial guidance 2021 (updated on August 11, 2021)

Revenue in 2021 is estimated to be EUR 295-315 million, and
operating profit (EBIT) in 2021 is estimated to be EUR 25-28 million.

Disclosure procedure

This stock exchange release is a summary of Etteplan's January-September 2021
Interim Report. The complete Interim Report is attached to this stock exchange
release in pdf format and is also available on Etteplan's website at
www.etteplan.com.

Conference call and live webcast today, October 28, 2021

Etteplan’s President and CEO Juha Näkki will present the Company’s results for
January-September 2021 in a conference call and a live webcast, held in English
language, on October 28, 2021 starting at 10.30 a.m. Finnish time (EEST).

To participate in the conference call please dial 5-10 minutes prior to the
start of the conference to +358 (0)9 7479 0360 and insert the conference PIN
code 295290. Questions can be asked in Finnish and in English after President
and CEO’s presentation only through conference call connection.

Juha Näkki’s presentation can be followed as a live webcast on
https://etteplan.videosync.fi/q3
-2021 (https://eur02.safelinks.protection.outlook.com/?url=https%3A%2F%2Fetteplan
.videosync.fi%2Fq3
-2021&data=04%7C01%7C%7C9c98b7e626a1400d85d408d98c9f89f6%7C1f23d6d3b1584e45b7e176
31cf28c804%7C0%7C0%7C637695439108285174%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwM
DAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C1000&sdata=7YmblIGKSrP1hMFidn
FKyEEwoM%2FySCs69CVe0yrI5JM%3D&reserved=0). The webcast starts at 10.30 a.m.
Finnish time (EEST). A recording of the webcast will be available later at
www.etteplan.com (https://www.etteplan.com/Investors).

Espoo, October 28, 2021

Etteplan Oyj

Board of Directors
Additional information:
Juha Näkki, President and CEO, tel. +358 10 307 2077
Outi Torniainen, SVP, Marketing and Communications, tel. +358 10 307 3302

The information presented herein has not been audited.
Releases and other corporate information are available on Etteplan's website at
www.etteplan.com.

DISTRIBUTION:
Nasdaq Helsinki
Major media
www.etteplan.com

Etteplan in brief
Etteplan provides solutions for
software (https://www.etteplan.com/services/software-and-digitalization) and
embedded solutions (https://www.etteplan.com/services/embedded-systems),
solutions for industrial
equipment (https://www.etteplan.com/services/engineering) and plant
engineering (https://www.etteplan.com/services/engineering/plant
-engineering) and technical documentation
solutions (https://www.etteplan.com/services/product-and-asset-information) to
the world’s leading companies in the manufacturing industry. Our services are
geared to improve the competitiveness of our customers’ products, services and
engineering processes throughout the product life cycle. The results of
Etteplan’s innovative engineering can be seen in numerous industrial solutions
and everyday products.
In 2020, Etteplan had a turnover of approximately EUR 260 million. The company
currently has over 3,600 professionals in Finland, Sweden, the Netherlands,
Germany, Poland, Denmark and China. Etteplan's shares are listed on Nasdaq
Helsinki Ltd under the ETTE ticker. www.etteplan.com


10286950.pdf