brazil - Sonda

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Dec 11, 2013 (3 years and 4 months ago)

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November 2011

2

Largest Latin American IT Services provider

and an undisputed leader in systems integration, support and IT Outsourcing


Independent service provider
with world
-
class credentials and quality certifications

Business model is based on developing long term
relationships,
closeness and contact with customers, through its more than 8,000 IT professionals

Company Overview

3

Highly diversified customer base
by geography and industry

Positive financial results
as a consequence of a increase in high value
-
added revenues
strength of recurring revenues and a successful regional expansion

Investment plan for US$ 500 million
intended to continue consolidating SONDA
regional leading position in Latin America




Company Overview

4

A genuine regional player

Mexico

Ecuador

Peru

Chile

Argentina

Uruguay

Brazil

Colombia

Costa Rica

Founded in
Chile in 1974,
SONDA has
more
than
37
years of
experience

Present in

9 countries

in
the region, with
+1,000 cities

under coverage

Over
10,000

employees in the
region out of which
more than 5,000
are based in Brazil

5

What we do for our customers

Planning

Solution
Design

Provisioning

Integration

Operation

IT Adoption Lifecycle


Comprehensive IT offerings

We are a comprehensive provider of IT solutions with a vast experience in offering
services for resolving from the simplest needs through to the most complex, with a
business focus aligned to our clients’ strategies.

Continuous Improvement

Business and
IT Strategy

IT Solution
Design

Infraestructure
Provisioning

Systems
Integration

Maintenance
and Operation

6

APPLICATIONS

IT SERVICES

PLATFORMS

Solving business problems and needs through solutions based on Information Technology



Comprehensive offering ranging from the delivery of infrastructure and support services to large
-
scale and complex systems integration projects and full IT outsourcing

Comprehensive Offering

7

Retail

Finance

Telecom

Our
customers
are leading
companies in
their
industries

Manufacturing

Finance

Telecom

Retail

More than
5,000
throughout
Latin America

Strong Customer Base

Public Sector

Energy

Services & Utilities

Health

Energy

8

9001:2008

Quality management system based on
processes and focused on continuous
improvement and customer satisfaction

ISO

IT Infrastructure Library

Best practices for managing IT
services

ITIL

Project Management Office

Quality methodology in managing
projects

PMO

Capability Maturity Model Integrated

Best practices for the development of
application systems.

CMMI

Alliances with World Class Vendors

9

IT Industry

In Latin America

10

Latin America is the world’s second
fastest region in IT Investment growth

Source: IDC, World Bank, International Data Base IDB

IT Spending as a percentage of GDP

There is a significant gap in IT Investment as a percentage of GDP between developed economies
and Latin American countries

Latin Am
erica, still behind in IT adoption

IT Spending (CAGR 2009
-
2014)



11

7.4
%
CAGR (2009
-
2014) LATIN AMERICA

9.7
%

BRAZIL

CAGR

2009
-
2014

6.7
%

MEXICO

CAGR

2009
-
2014

7.1
%

CHILE

CAGR

2009
-
2014

9.2
%

COLOMBIA

CAGR

2009
-
2014

8.2
%
CAGR (2009
-
2014)
IN STRATEGIC
MARKETS

10.9
%
CAGR (2009
-
2014) IT SERVICES IN LATAM

Favorable Outlook for IT Industry in Latin America

12

Source: IDC

Projected CAGR % (2009
-
2014)

Favorable Outlook for IT Industry in Latin America

13

Projected Annual Investment in IT (US$ millions)

Breakdown by country

Source: IDC

Favorable Outlook for IT Industry in Latin America

14

Solid Financial

Performance

Balanced growth and
consistent cash
-
flow
generation

15

EBITDA Margin

EBITDA

Revenues

2007*

2008*

2009

799.4

539.5

CAGR (2006
-
2010)=28.3%

951.9

2010

(*) Financial statements prepared under Chilean GAAP

2006*

(US$ Millions)

671.3

2009

164.5

2010

18.3%

17,3%

2008*

115.3

17.2%

98.3

146.3

2008*

671.3

1H10

CAGR (2006
-
2010)=27.9%

2007*

132.9

LTM

1H11

350.8

61.4

1H11

1H10

17.5%

18.2%



Revenues and EBITDA growing
at a 28% Compounded Annual
Growth Rate the last four years



Since the 2006 IPO, revenues
and EBITDA have grown 2.7 times



Revenues ex
-
Chile moved from
representing 34% of total revenues
in FY06 to 60% in 1H11


Recent Financial Performance

2006*

427.1

553.3

29.6%

26.7%

90.4

71.3

16.3%

16,7%

16

Revenues and EBITDA Evolution 2007
-
2011(1H)

2007

1H11

Revenues

EBITDA

17

Revenue Breakdown by Industry

2007

1H11

Manufacturing

Commerce

Government

Financial

Health

Others

Telecommunications

Natural Resources

1H11


2Q11

Consolidated Results





(in US$ Millions)
1H10
1H11
Var%
2Q10
2Q11
Var%
Revenues
427.1
553.3
29.6%
238.2
281.9
18.4%
EBIT
51.7
68.9
33.2%
28.7
33.9
18.0%
Operating Margin
12.1%
12.5%
2.8%
12.1%
12.0%
-0.3%
EBITDA
71.3
90.4
26.7%
38.7
45.1
16.4%
EBITDA Margin
16.7%
16.3%
-2.2%
16.3%
16.0%
-1.7%


Extensive background in the development of complex IT projects for the
modernization of both public institutions and private sector



Prestige earned for decades, characterized by a deep service culture

19





Market leader
with US $426
million in
revenues for
2010

CHILE


(in US$ Millions)
1H10
1H11
Var%
2Q10
2Q11
Var%
Revenues
200.1
220.1
10.0%
105.1
111.1
5.7%
EBIT
30.9
40.7
31.6%
14.5
18.6
28.1%
Operating Margin
15.5%
18.5%
19.7%
13.8%
16.7%
21.2%
EBITDA
45.6
54.5
19.5%
21.8
25.5
16.8%
EBITDA Margin
22.8%
24.7%
8.6%
20.8%
22.9%
10.5%


Major player in Brazil with deep market knowledge



Broad portfolio of blue
-
chip clients



Extensive service network with national coverage



Revenues above US$ 351 million in 2010

20





Operations in
Brazil generated
37% of SONDA’s
consolidated
revenues in 2010

BRAZIL


(in US$ Millions)
1H10
1H11
Var%
2Q10
2Q11
Var%
Revenues
158.8
213.5
34.5%
92.8
113.0
21.8%
EBIT
15.8
20.0
26.5%
10.4
10.9
5.2%
Operating Margin
10.0%
9.4%
-6.0%
11.2%
9.7%
-13.6%
EBITDA
18.6
23.8
28.3%
11.9
13.0
9.0%
EBITDA Margin
11.7%
11.1%
-4.6%
12.8%
11.5%
-10.5%


Among the Top 10 IT systems integrators in the country



More than 100 customers from various industries



Revenue grew by 90.5% in 2010 totaling $ 81.1 million

21

21

Annualized
revenues of US$
150 million in
Mexico

MEXICO


(in US$ Millions)
1H10
1H11
Var%
2Q10
2Q11
Var%
Revenues
23.5
66.0
180.6%
13.5
30.9
128.7%
EBIT
2.5
5.7
129.6%
1.6
2.8
80.0%
Operating Margin
10.5%
8.6%
-18.2%
11.5%
9.1%
-21.3%
EBITDA
2.8
7.3
160.8%
1.7
3.6
109.8%
EBITDA Margin
11.9%
11.0%
-7.1%
12.8%
11.8%
-8.3%


SONDA’s services cover other six Latin American countries: Argentina,
Colombia, Costa Rica, Ecuador, Peru and Uruguay



In this region, IT industry grows more than Latin America in average





22

OPLA

New deals
reached more
than US$100
million in 2010

(in US$ Millions)
1H10
1H11
Var%
2Q10
2Q11
Var%
Revenues
44.7
53.6
20.1%
26.8
26.9
0.5%
EBIT
2.5
2.6
1.2%
2.3
1.6
-30.2%
Operating Margin
5.7%
4.8%
-15.7%
8.5%
5.9%
-30.5%
EBITDA
4.4
4.8
10.4%
3.2
2.9
-9.0%
EBITDA Margin
9.8%
9.0%
-8.1%
12.1%
10.9%
-9.5%
23

2009

668.5

+9.4%

611.3

2007

31%

61%

439.3

8%

+39.1%

2010

Chile

OPLA

Mexico

2009

668.5

+9.4%

11%

7%

611.3

33%

2007

439.3

35%

+39.1%

11%

49%

Brazil

11%

6%

31%

52%

54%

2010

6,6%

9,8%

30%

+55.3%

11%

44%

31%

7%

6%

6,6%

9,8%

11%

11%

2009

668.5

+9.4%

611.3

2007

439.3

+39.1%

2010

1,038.3

+55.3%

61%

61%

8%

8%

61%

30%

29%

53%

18%

31%

53%

14%

55%

13%

31%

2008

2008

1,038.3

(US$ millions)

Plataforms

Applicacions

IT Services

New Contracts supporting a solid Revenue Base

(US$ millions)

Financial Statements



Solid financial position with adequate cash availability



Low debt level with a financial leverage of 0.34 times



EBITDA
-
to
-
financial
-
expenses ratio of 8.53 times



Return on equity: 14.4%

Dec
-
10

Jun
-
11

Var.%

Assets

Current Assets

Intangibles and Goodwill

Other non current assets


(US$ Millions)

Liabilities

Current Liabilities

Non current liabilities

Total Liabilities and Equity


1.168,5

550,7

342,3

275,5


1.121,3

576,0

327,0

218,3

497,7

281,7

216,0

1.168,5

491,4

283,4

208,0

1.121,3

1,3%

-
0,6%

3,9%

4,3%

4,2%

-
4,4%

4,7%

26,2%

25

The 2010
-
2012
Investment Plan

26





Investment for +US$ 200 million



Five new companies acquired



New headquarters in Brazil



New datacenters construction



Enterprise Cloud Computing



Panama’s Implementation Project

Total investment for US$500
million to finance:




Implementation of new systems integration projects in
Latin America



Strengthening the positioning in Brazil, expanding
territorial coverage and taking advantage of the new
cycle of economic expansion



New acquisitions in Brazil, Mexico, Colombia and
other countries with potential



Developing high value
-
added business lines
throughout the region

Investment Plan

2010
-
2012

27

TELSINC

SOFTEAM

KAIZEN


US$ 92 million invested in
acquisitions during 2010



Acquired companies had US$ 165
million in yearly revenues before
being acquired



New companies strengthen
SONDA’S regional offering at the
same time expanding its regional
coverage

NEXTIRAONE

CEITECH

2010 acquisitions strengthen SONDA’s competitive position
in Brazil, Mexico and Argentina

New infrastructure in Brazil

New
building of
17.000 m² in
total surface

Alphaville
-

SP

New headquarters in Brasil



Two new datacenters in Brazil and Chile, adding 2,200
squared meters in capacity



Both projects will have
ANSI/TIA
-
942 TIER III
certifications
, guaranteeing high levels of security



New datacenters to be operating in the second quarter of
2011 in Brazil and in the first quarter of 2012 in Chile

New datacenter infrastructure

Latest technology

Innovative solutions

Cloud Computing Initiative


Qumulos, the first Enterprise Cloud in Latin
America focused on medium to large sized
companies


Regional coverage


First vBlock in Latin America, among the first in the world


Currently operating in Chile, soon in Brazil, Mexico by 4Q11


Local Cloud Infrastructure in all the 9 countries where
SONDA has direct presence, to become the most
geographically comprehensive provider throughout the
region.


World class infrastructure : vBlock, from
Vmware, Cisco y EMC. Strong regional
partnership with vendors


First in the world to implement Vmware

s
Cloud Portal for Service Providers, vCloud
Director, on top of a vBlock.



First and only Latin American company on
VMWare

s

World

s Top 30


Cloud Providers
Steering Committee.



IDC Projections:


The cloud market is expected to grow 5 times
faster than the traditional IT market


In 2010 total investment in cloud technology
reached USD 29 billion.

In 2014, USD 55 billion
are expected

Outlook 2011
-
2012

1

Favorable outlook for the IT industry in Latin America


2

Execution of the
$500
million investment plan


3
New acquisitions create synergy and margin improvement opportunities

4

Extended customer base fosters cross
-
selling opportunities

5

Pipeline of new business opportunities allow to maintain growth rates in the future

6

Strong positioning in the IT Services market in Brazil

7

Increase in new business with regional accounts

8

Main focus in comprehensive solutions based on IT Outsourcing

9

Consolidation as the IT Services leader provider in Latin America

31

Tel (56
-
2) 657 50 00

Teatinos 500

Santiago, CHILE

www.SONDA.com