NNIT A/S: 8/2018 Financial report for the first six months of 2018

NNIT delivers an operating profit margin of 9.3% and revenue growth of 2.9% in 6M 2018 after a strong revenue growth of 8.3% in Q2 2018, positivly impacted with 2pp due to the timing of Easter

Performance highlights for the first six months of 2018: 

• Revenue from non-Novo Nordisk customers increased by 12% supported by strong growth from both enterprise and international life sciences customers of more than 20%. However, due to a decline in revenue from the Novo Nordisk Group of 9.1% total revenue increased by 2.9% in reported currencies   

• The share of revenue from non-Novo Nordisk customers increased from 58% in 6M 2017 to 63% in 6M 2018 becoming less dependent of the Novo Nordisk Group  

• Operating profit margin was 9.3% in 6M 2018 in reported currencies compared to 9.6% in 6M 2017   

• Net profit of DKK 102m in 6M 2018 was in line with 6M 2017 of DKK 103m   

• Free cash flow for 6M 2018 was DKK 58m compared to DKK 19m in 6M 2017  

• Order backlog for 2018 at the beginning of Q3 2018 was DKK 2,682m, an increase of 0.4% compared to the same time last year. The backlog for the following two years increased by 1.1%  

• The Board of Directors has decided to pay an interim dividend for 2018 of DKK 2.00 per share corresponding to DKK 49.1m  

• Outlook for 2018 is unchanged:
   
  • Expected revenue growth of 3-6% in constant currencies
     
  • Expected operating profit margin of 10-10.5% in constant currencies
     
  • The expected level of investments in 2018 is 6-8% of total revenue   

• The Board of Directors has decided to pay an interim dividend for 2018 of DKK 2.00 per share corresponding to DKK 49.1m  

Per Kogut, CEO at NNIT comments: "NNIT experienced a strong Q2 2018 following a revenue decline in Q1 2018, and I am pleased to see a revenue growth of 8.3% and an operating profit margin of 9.9% in Q2 2018. This strong performance continues to be driven by the enterprise, public and international life sciences customer groups."

Conference call details
NNIT will host a teleconference August 17, 2018 at 14:00 CET about the financial report for Q2 2018. Please visit the NNIT webpage at www.nnit.com to access the teleconference, which can be found under 'Investors - Events & presentations'. Presentation material will be available on the website approximately one hour prior to the start of the presentation.

Conference call details https://nnit.eventcdn.net/20180817
  
Participant telephone numbers:  
Denmark:                     +45 3544 5583 
United Kingdom:           +44 20 3194 0544 
Sweden:                       +46 8 5664 2661 
United States:               +1 855 269 2604
  
Financial Calendar 2018

August 22, 2018           Interim dividend ex dividend date 
August 23, 2018           Interim dividend record date 
August 24, 2018           Interim dividend payment date 
October 25, 2018         Interim report for the first nine months of 2018

Contacts for further information
Investor relations:
Klaus Hosbond Skovrup
Head of Investor Relations
Tel: +45 3079 5355
[email protected]

Media relations:
Helga Heyn
NNIT Communications
Tel: +45 3077 8141
[email protected]

About NNIT 
NNIT A/S is one of Denmark's leading IT service providers and consultancies. NNIT A/S offers a wide range of IT services and solutions to its customers, primarily in the life sciences sector in Denmark and internationally and to customers in the public, enterprise and finance sectors in Denmark. As of June 30, 2018 NNIT A/S had 3,122 employees. NNIT has approximately 400 clients of which around 150 are located outside Denmark. Some 20% are international life sciences clients (June 2018). For more information please visit http://www.nnit.com.