Why invest in SmartCraft

1  Business critical SaaS solutions for the construction industry

• Digital solutions for construction companies in Norway, Sweden and Finland
• Market leader with deep domain expertise within the construction industry
• Mission critical software at a small ticket size for customers
• User-friendly full SaaS offering

2  Market leader in a fragmented market with vast potential for digitization

• Construction industry among the 10% least digitized industries
• Construction workers in SME companies spend majority of time on administrative or other unproductive tasks
• SmartCraft is the enabler for construction companies and craftsmen to go digital
• Addressing a currently fragmented market estimated at NOK 10.5bn when fully penetrated, implying a 15% CAGR in the period 2020-2025

3  Multiple levers for organic growth driven by a strong commercial organization and proven go-to-market model

• Continue to capitalize on position and underpenetrated market
• Up-selling and price optimization
• Cross-selling existing portfolio of services and modules across segments and geographies
• Deepen and expand presence – entering new industry verticals and adding new SaaS modules

4  Strong M&A track record

• Six successful acquisitions in the period 2017-2021
• Targeting complimentary solutions or similar best-in-class solutions in new geographies
• Acquired companies serve as bridgeheads for cross-selling of existing services
• Proven M&A process, identifying targets, integrating acquired solutions and growing through cross-selling and other synergies
• Significant M&A pipeline with double digit ongoing dialogues

5  Outstanding financial track record with high growth, scalability and strong cash generation

• Revenue CAGR 2018-2020: 71% to NOK 219.3 million (including full-year effect of Congrid acquisition)
• 2020 recurring revenue: 93%
• 2020 adjusted EBITDA margin 41%, supported by growing subscription base, increased average revenue per customer and sustained low churn
• 110% cash conversion, supported by negative net working capital as a result of up-front payments

6  Strong medium term financial targets

• Organic growth of 15-20% with bolt on M&A on top
• Margin expected to increase due to scalability of platform