1 Interim Report Q3 2022
Q3Fyear pNew
Interim Report Q3 2022
2 Interim Report Q3 2022
15 November
2022
Highligh
ts
Q
3 2022 highlights
•
Revenue growth of 9% amounting to
DKK 334m
•
EBITDA amounts to DKK 16m
•
Efficiency of 61% in a quarter with
summer vacation
•
Our new CFO Brian Iversen joined
Columbus
•
Merge of Project and Care Business
Lines
•
Pricing and cost initiatives start
materi-
alizing
•
Launch of new sustainability strategy
Q3
2022 YTD highlights
•
Revenue growth of 7% amounting to
DKK 1,117m
•
EBITDA amounted to DKK
62m which
is on par with 2021
•
Pricing and cost initiatives initiated
•
Improved efficiency
•
Stable number of employees
O
utlook updated
On 14 November 2022,
the financial full-
year guidance for 2022 was updated:
•
Revenue guidance is specified to
DKK
~1,525m, a growth of 8%.
•
EBITDA is adjusted to DKK ~100m, a
growth of 12%.
9% revenue growth in
Q3 2022 with growth in all Business Lines. Efficiency was 61% which is
expected in a
period with summer vacation. EBITDA ended at DKK 16m, which is an improvement
compared to last year
and compared to previous quarters. However, EBITDA is realized below
management expectations.
On 14 November 2022, Columbus updated outlook for 2022.
”
Despite rapid changes in the macro-economic environment, we delivered a satisfactory Q3 driven by immense
effort in
all our Business Lines and Market Units. We will continue to focus on increasing efficiency to improve
EBITDA
margin further”, says CEO & President Søren Krogh Knudsen.
Contents
Highlights
2
Solid organic growth
despite macro
-economic
uncertainty
3
Key figures and ratios
4
Revenue growth of 9% in
Q3 2022
5
Outlook for 2022
8
Statement by
management
9
Financial statements
10
Webc
ast 15 November 2022
at 13:00 CET:
Webcast and presentation
mater
ial: LINK
Registration to attend
telephone
conference: LINK
Ballerup (Headquarter)
DK
-2750 Balleru p
Tel: +45 70 20 50 00
3 Interim Report Q3 2022
Columbus delivered positive business pro-
gress in all areas of the business in Q3
2022, despite uncertainty in the macro-
economic business climate.
Positive development in Q3 2022
Columbus grew revenue in Q3 2022 to
DKK 334m – corresponding to a growth of
9% compared to Q3 2021. The positive
development has been driven by all Busi-
ness Lines. Revenue grew to DKK 1,117m
for the first nine months of 2022 - equal to
7% compared to last year.
EBITDA in Q3 2022 ended at DKK 16m,
which is an improvement compared to last
year and compared to previous quarters in
2022. The improvement in profitability is
linked to the increased focus on employee
efficiency and improved rates and com-
mercial conditions. EBITDA grew to DKK
62m for the first nine months of 2022
which is on par with 2021.
During 2022, we implemented significant
organizational and operational initiatives
as well as process optimizations while in-
vesting in growing new Business Lines. In
Q3 2022, we welcomed 46 new talents for
our Accelerator Program which is our ca-
reer program for young gradates. These
investments are impacting EBITDA to a
greater extent than initially expected.
Efficiency was 61% which is expected in a
quarter with summer vacation and ramp
up of the organization. In Q2 2022 effi-
ciency was registered at 64%, up from
62% in Q1 2022 and 59% in Q4 2021. Effi-
ciency is our key performance indicator,
and we will continue to implement initia-
tives that help drive efficiency further.
During the initial growth phase full effi-
ciency has not been reached leading to
lower ramp-up of profit levels.
Customer centricity improved
As part of Columbus’ Focus23 strategy to
improve customer centricity, we have im-
plemented a strategic Customer Develop-
ment Program towards our largest and
most strategic customers in our main mar-
kets. The program implies a designated
customer team collaborating strategically
with the customer on C-level to ensure a
proactive and holistic approach to value
creation.
Another important initiative to improve cus-
tomer centricity – and to serve our custom-
ers better in the new cloud reality – is the
merge of our Project and Care Business
Lines into two global Business Lines: Dy-
namics and M3. These two Business
Lines constitute 73% of Group revenue in
Q3 2022 year to date.
The reorganization supports the emer-
gence of the evergreen cloud environment
which means that ERP implementation cy-
cles are reduced from years to months,
and releases have gone from single go-
lives to multiple sequential go-lives. With
the merge of Project and Care, we simplify
and improve customer interaction, reduce
complexity in our organization, and
strengthen our ability to set the best cus-
tomer teams.
Setting our sustainability ambitions
Sustainability is a strategic focus for Co-
lumbus, both in terms of acting responsibly
in an environmental, social and govern-
ance perspective, while – as a trusted digi-
tal advisor – helping our customers in their
sustainability journey. In Q3 2022, we
launched and started the implementation
of our new sustainability strategy.
A key focus is to build digital solutions and
advisory services to accelerate our cus-
tomers’ sustainable performance while
helping them comply with the increasing
requirement for non-financial reporting and
compliance. In Q3 2022, we initiated the
development of a broad portfolio of advi-
sory services and solutions within sustain-
ability, and we expect to launch the first
solutions in the beginning of 2023.
Updated financial guidance for 2022
We are satisfied with the organic growth of
9%, which Columbus has delivered on av-
erage in the past 6 quarters. We have at
the same time invested in our business
which affected our earnings. On 14 No-
vember, Columbus specified its 2022 full
year revenue guidance to DKK ~1,525m
and adjusted EBITDA to DKK ~100m to
reflect the slower than expected efficiency
improvements and higher uncertainty in
our markets.
I want to thank our employees, customers,
and partners for their contribution to the
results.
Solid organic growth despite macro-economic uncertainty
In Q3
2022 focus has been on strengthening customer centricity, while implementing initiatives to further improve
efficiency
. Financial results in Q3 2022 were in line with expectations with revenue growth of 9%, being the 6th
consecutive
quarter with organic growth. Columbus has updated outlook with specified revenue and adjusted
EBITDA guidance
.
Søren Krogh Knudsen
CEO & President
4 Interim Report Q3 2022
Key figures and ratios
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Income related figures
Sale of
services 294,262 249,709 971,697 891,817 1,210,291
Sale of products
40,026 57,114 145,143 155,377 204,108
Net revenue
334,288 306,823 1,116,840 1,047,194 1,414,399
Revenue (IFRS)*
309,526 275,409 1,024,500 951,133 1,279,184
Recu
rring revenue % of total revenue 20.6% 23.5% 19.6% 20.8% 21.4%
EBITDA before share
-based payment 16,385 2,025 63,060 64,301 92,464
EBITDA
16,067 749 62,107 62,421 89,307
EBIT
1,762 -11,334 19,587 26,879 40,444
Net financial items
-3,306 -2,535 -1,452 -1,761 -3,410
Profit before tax
-1,544 -13,869 18,135 25,118 37,034
Profit after tax, continuing operations
-3,585 -12,004 10,675 20,571 43,547
Profit after tax, discontinued
operations
2,031 7,725 -22,957 750,166 715,001
Profit
after tax -1,554 -4,279 -12,282 770,737 758,548
DKK ´000
30 Sep 2022 30 Sep 2021 2021
Balance sheet**
Non
-current assets 795,600 891,334 833,808
Current assets
399,706 342,320 434,789
Assets classified as held for
sale 0 110,523 0
Tot
al assets 1,195,306 1,344,177 1,268,597
Group shareholder equity
701,455 769,825 740,980
Total liabilities
493,851 570,996 527,617
Total liabilities relating to assets
classified as held for sale
0 3,356 0
Total equity and
liabilities 1,195,306 1,344,177 1,268,597
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Investments in tangible assets
2,365 2,579 6,653 6,216 7,434
Cash flow
Cash flow
from operating activities -45,021 -32,022 -24,002 -36,001 -13,863
Cash flow from investing activities
-2,874 -16,745 -26,010 713,931 754,434
Cash flow from financing activities
33,600 -125,983 25,183 -797,904 -847,512
Total net change in cash and
cash
equivalents
-14,295 -174,750 -24,830 -119,974 -106,941
Cash flow from continuing operations
-14,237 -186,362 -18,579 -121,862 -81,517
Cash flow from discontinued operations
-58 11,612 -6,251 1,889 -25,424
Total net change in cash and cash
equivalents
-14,295 -174,750 -24,830 -119,974 -106,941
Key ratios
EBITDA
-margin 4.8% 0.2% 5.6% 6.0% 6.3%
EBIT
-margin 0.5% -3.7% 1.8% 2.6% 2.9%
Equity ratio
58.7% 57.3% 58.7% 57.3% 58.4%
Return on equity
-0.2% -0.6% -1.7% 102.1% 104.5%
Return on invested capital (ROIC)
0.9% -0.8% 3.1% 3.9% 10.1%
Number of shares
129,276 129,276 129,276 129,276 129,276
Average number of shares
129,276 127,825 129,276 127,825 128,192
Book value of equity per share (BVPS)
(DKK)
5.43 5.95 5.43 5.95 5.73
Earnings per share (EPS) from
continu
ing operations (DKK)
-0.03 -0.09 -0.03 -0.09 0.33
Cash flow per share (DKK)
-0.35 -0.25 -0.19 -0.28 -0.11
Share price, end of period (DKK)
7.89 9.41 7.89 9.41 9.54
Average full time
employee for the period 1,551 1,438 1,528 1,427 1,455
The key figures
and financial ratios above have been calculated in accordance with Danish Finance
Society'
s "Recommendation & Financial Ratios”
*Due to an Agenda Decision approved by the IFRS
Interpretations Committee on April 20th, Columbus will implement a change in
accounting principle
s from January 1st 2023. Under the Agenda Decision, revenue from resale of software is recognized on a net
basis
– See note 1 for more information. The revenue is presented above according to the new accounting principle (Revenue
IFRS)
as well as the current accounting principle (Net Revenue).
*
*All 2021 balance sheet items include US SMB business which were sold off in November 2021, as well as the Russian Business
which were sold off in March 2022
.
5 Interim Report Q3 2022
Revenue development
In Q3 2022 Columbus realized a revenue
of DKK 334m, corresponding to an in-
crease of 9% compared to Q3 2021. The
increase is driven by service sales, which
increased by 18% compared to the same
period last year. Product sales declined by
30% in Q3 2022 which was expected due
to the cloud conversion.
The first nine months of 2022 closed with
a revenue of DKK 1,117m, corresponding
to an increase of 7%. Product sales, which
covers third-party software, decreased by
7% in the period, while services grew by
9%. The product revenue continued de-
cline follows the expectation for the
Group’s revenue composition.
We have seen a continued positive ser-
vices development in Q3 2022 within all
Business Lines, which is in line with ex-
pectations.
The Business Lines Cloud ERP and Co-
lumbus Care have been merged into two
new global Business Lines, Dynamics and
M3. The comparative figures have been
adjusted to match the new Business Lines.
Measured against former Business Lines,
Cloud ERP grew by 13%, and Columbus
Care grew by 10%.
We continue to see very strong growth in
Digital Commerce (+29%), Data & Analyt-
ics (+51%) and Customer Experience &
Engagement (+147%), which are key
Business Lines in extending our capabili-
ties within digital advisory.
Development in Market Units
All our Market Units delivered significant
growth on service revenue in Q3 2022.
The Swedish market which is our largest
market delivered 23% increase in service
revenue in Q3 2022. In Q3 2022 YTD rev-
enue growth was 11%. The progress was
driven by all Business Lines. Our M3 busi-
ness continued to demonstrate their strong
market position welcoming new customers
and extending businesses with existing
customers. M3 Cloud upgrades in Q3 for
Ewellix and Fristads are two examples of
our many long-term partnerships with M3
customers.
Denmark is back on track with 4% growth
in Q3 2022.
The development includes
new customer wins covering new cloud so-
lutions with Creativ Company to imple-
ment a large solution across eight coun-
tries and 7f Technology Partners where
we are currently implementing the solution
in a large manufacturing company in War-
saw. In addition, we entered into a partner-
ship with Dantherm Group A/S on imple-
menting Microsoft D365 F&SCM as their
new ERP system, which will be imple-
mented in their headquarter in Denmark
as well as rollout to their Italian location.
Revenue growth of 9% in Q3 2022
Service revenue split on Busine
ss Lines
DKK ´000
Q3 2022 Q3 2021 ∆% YTD 2022 YTD 2021 ∆%
Dynamics
144,764 134,794 7.4% 477,382 466,611 2.3%
M3
69,975 56,384 24.1% 230,516 219,571 5.0%
Digital Commerce
40,261 31,233 28.9% 133,448 112,684 18.4%
Data & Analytics
13,444 8,928 50.6% 44,046 25,910 70.0%
Cu
stomer Experience &
Engagement
9,851 3,992 146.8% 33,916 20,552 65.0%
Other Local Business
15,967 14,378 11.1% 52,389 46,489 12.7%
Total sale of services
294,262 249,709 17.8% 971,697 891,817 9.0%
Total sale of products
40,026 57,114 -29.9% 145,143 155,377 -6.6%
Total net revenue
334,288 306,823 9.0% 1,116,840 1,047,194 6.7%
Service revenue split on
Market Units
DKK ´000
Q3 2022 Q3 2021 ∆% YTD 2022 YTD 2021 ∆%
Sweden
107,676 87,566 23.0% 388,521 348,982 11.3%
Denmark
58,566 56,441 3.8% 185,056 184,632 0.2%
Norway
55,789 45,464 22.7% 193,051 170,851 13.0%
UK
41,085 34,101 20.5% 119,153 107,250 11.1%
US
21,209 19,859 6.8% 59,472 58,966 0.9%
Other
9,020 5,738 57.2% 23,577 19,262 22.4%
GDC
917 540 69.8% 2,867 1,874 53.0%
Total sale of services
294,262 249,709 17.8% 971,697 891,817 9.0%
Total sale of products
40,026 57,114 -29.9% 145,143 155,377 -6.6%
Total net revenue
334,288 306,823 9.0% 1,116,840 1,047,194 6.7%
6 Interim Report Q3 2022
Norway continues to deliver strong pro-
gress, growing 23% in Q3 2022, thus de-
livering 13% growth in Q3 2022 YTD. The
progress is driven by all Business Lines.
Our Digital Commerce business closed a
number of new projects, among others
new digital commerce solutions based on
modern composable architecture to Norsk
Gjenvinning and Hagelandsgruppen
which are in the implementation process.
Data & Analytics and Customer Experi-
ence & Engagements are also showing
extraordinary strong performance in Q3.
The UK Market Unit delivered 21% growth
in Q3 2022, and 11% growth Q3 2022
YTD. The progress is mainly driven by Dy-
namics and Customer Experience & En-
gagement. Columbus UK signed a 5-year
Columbus Care agreement which is the
largest Care contract signed for many
years in the UK.
The US Market Unit is still struggling with
slowdowns on existing projects as men-
tioned in Q2 2022. However, the change in
exchange rates positively impacted the
revenue by DKK 3m in Q3 2022.
Decreased recurring revenue
In Q3 2022 recurring revenue amounted to
DKK 69m, corresponding to a 4% de-
crease compared to Q3 2021. Cloud con-
tinues to grow and is expected to take
over for the majority of the current sub-
scriptions in the future.
Care contracts remain on a stable level
compared to Q3 2021, however, YTD
Care contracts declined due to loss of two
significant customers in Q2 2022 as men-
tioned in the Q2 Interim Report. In Q3
2022, recurring revenue constituted 21%
of total revenue compared to 24% in Q3
2021.
Efficiency in line with expectations
Efficiency is a key performance indicator
for Columbus and remains a strong focus
for the management to continue improv-
ing.
The efficiency in Q3 2022 was 61%, com-
pared to 64% in Q2 2022. The decrease is
due to summer vacation, which generally
lowers the efficiency as well as ramp up of
the organization. The efficiency level is in
line with expectations and is expected to
continue to improve in the future.
EBITDA development
In Q3 2022 reported EBITDA amounted to
DKK 16m, which is an increase of DKK
15m compared to Q3 2021. Q3 2021 was
affected by significant investments in new
hires and internal systems causing a lower
EBITDA.
The EBITDA margin corresponds to 4.8%,
which is considered in line with expecta-
tions for a low activity period and is an im-
provement compared to Q2 2022 with an
EBITDA margin of 4.2%.
For the first nine months of 2022 EBITDA
amounted to DKK 62m, which is on the
same level as last year. YTD EBITDA mar-
gin was 5.6%.
During 2022, we implemented significant
organizational and operational initiatives,
recruited many new employees to fuel for
growth and made significant investments
in growing and extending new global Busi-
ness Lines. These investments are affect-
ing EBITDA to a greater extent than ini-
tially estimated.
In the Q2 2022 Interim Report, new pricing
initiatives were described. By the end of
Q3 2022, these initiatives started to mate-
rialize in improved profitability in projects.
The rates and commercial conditions are
expected to continue to improve during the
coming period and is an essential im-
provement in delivering the targeted re-
sults.
On the cost side, the main increase is sal-
ary cost, which is affected by the in-
creased number of employees (average
FTE’s) which increased by 8% from Q3
2021 (1,438) to Q3 2022 (1,551).
Additionally, when compared to Q3 2021,
other external costs decreased by 19% in
Q3 2022, amounting to DKK 30m. In Q3
2021, other external cost was impacted by
extraordinary hiring cost and advisory
costs.
In regard to travel and expenses for social
employee activities, we are now fully back
to a pre-Covid cost level.
D
evelopment in recurring revenue
Development in
efficiency
10
20 43 59
38
38
113
121
21
14
63
39
69
72
219
218
Q3 2022 Q3 2021 YTD 2022 YTD 2021
Cloud
Columbus Care contracts
Subscriptions
61%
64%
62%
59%
Q3 2022 Q2 2022 Q1 2022 Q4 2021
7 Interim Report Q3 2022
Profit before tax
Compared to Q3 2021, profit before tax in-
creased by DKK 12m to DKK -2m. The in-
crease is mainly driven by the improved
EBITDA in Q3 2022.
For the first nine months of 2022 profit be-
fore tax amounted to DKK 18m, corre-
sponding to a decrease of 28%.
Discontinued operations
In Q3 2022 no new events related to dis-
continued operations have occurred. The
only change in discontinued operations is
aftermath of the former executed divest-
ments.
The YTD figures relate to the divestment
of our former Russian business, which was
divested as a consequence of the Russian
invasion of Ukraine. The Russian business
was sold to the local management in the
Russian Market Unit. The impact of the di-
vestment to comprehensive income
amounted to DKK -25m.
Cash
Cash flow from operating activities in Q3
2022 was negative with DKK 45m due to a
low operating profit combined with a nega-
tive change in net working capital. The net
working capital is mainly affected by a re-
duction in other payables as well as de-
creased prepayments from customers.
Further, in Q3 2022 the Group utilized an
additional line of credit of DKK 50m to se-
cure liquidity during the summer period,
which historically has a more negative
cash flow than the rest of the year. The
additional line of credit was issued in Q2
and extended in to Q3 2022.
Equity
Columbus’ equity decreased by net DKK
40m since 31 December 2021, primarily
due to the divestment of Russia, signifi-
cant currency adjustment of the goodwill
posted in foreign currencies as well as
payment of DKK 16m in dividend in Q2
2022.
8 Interim Report Q3 2022
Financial guidance updated
During the past six quarters Columbus
continued to deliver solid organic growth
despite increased uncertainty in our busi-
ness environment.
Investments in new business areas and
higher value consulting skills have proven
to deliver growth. Equally, streamlining of
our operations and processes continues to
deliver positive effects. However, these ini-
tiatives have required significant effort in
the short-term resulting in slower efficiency
improvements and cost optimizations than
expected
Revenue guidance specified
Our top-line is developing satisfactorily alt-
hough with slightly lower overall growth
than expected due to longer sales pro-
cesses. Consequently, on 14 November
2022, we specified the full-year revenue
guidance, from a range of DKK 1,525m –
1,625m to:
• Revenue guidance is specified to
DKK ~1,525m
EBITDA guidance adjusted
To reflect the slower than expected effi-
ciency improvements in second half of
2022 and general higher uncertainty in the
markets in which Columbus operates, Co-
lumbus revised the EBITDA guidance for
2022 on 14 November 2022 from a range
of DKK 120m – 145m to:
• EBITDA guidance is adjusted to DKK
~100m
Columbus’ ambition during the current
strategy period is maintained to gradually
increase profitable growth to minimum
10% annually by 2023.
Outlook for 2022
The financial guidance
was updated on 14 November 2022.
9 Interim Report Q3 2022
We have today considered and approved
the interim financial report for the period 1
January 2022 – 30 September 2022 for
Columbus A/S.
The interim financial report has been pre-
pared in accordance with IAS 34 and addi-
tional Danish interim reporting require-
ments for listed companies. The interim fi-
nancial report is unaudited and has not
been reviewed by the Company’s auditor.
We consider the accounting policies ap-
plied to be appropriate to the effect that
the interim financial report gives a true and
fair view of the Group’s assets, liabilities
and financial position at 30 September
2022, and of the results of the Group’s op-
erations and cash flows during the first
nine months of 2022.
We consider the management report to
give a true and fair view of the develop-
ment in the Group’s business activities
and financial situation, the financial result
for the period and the Group’s financial po-
sition as a whole together with a true and
fair description of the significant risks and
uncertainty factors which the Group faces.
Statement by management
Ballerup,
15 November 2022
Executive Board
Board of Directors
10 Interim Report Q3 2022
10 Interim Report Q3 2022
Financial
statements
11 Interim Report Q3 2022
DKK ´000
Note Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Net
revenue 2 334,288 306,823 1,116,840 1,047,194 1,414,399
External project costs
-55,133 -46,716 -195,000 -167,714 -249,843
Gross profit
Staff expenses and
remuneration
3 -233,721 -219,979 -774,875 -721,796 -946,699
Other
external costs -30,073 -37,116 -101,868 -92,712 -124,343
Other operating income
Other operating costs
EBITDA before
share
-based payment 16,385 2,025 63,060 64,301 92,464
Shar
e-based payment -318 -1,276 -953 -1,880 -3,157
EBITDA
Depreciation, amortization and
impairment
4 -14,305 -12,083 -42,520 -35,542 -48,863
Operating profit (EBIT)
Financial income
Financial expenses
-3,612 -2,535 -4,544 -7,894 -5,405
Profit before tax from
continuing operations
-1,544 -13,869 18,135 25,118 37,034
Corporate tax
-2,041 1,865 -7,460 -4,547 6,513
Profit after tax from
continuing operations
-3,585 -12,004 10,675 20,571 43,547
Profit (loss) after tax from
discontinued operations
7
Profit (loss) after tax for th
e period -1,554 -4,279 -12,282 770,737 758,548
DKK ´000
Note Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Items that may be reclassified
subsequently to profit and loss:
Foreign exchange adjustments of
subsidiaries
-216 -696 -12,036 4,757 -13,174
Other comprehensive
income
-216 -696 -12,036 4,757 -13,174
Total comprehensive
income for the period
-1,770 -4,975 -24,318 775,494 745,374
Profit (loss) after tax
allocated to:
Sharehold
ers in Columbus A/S -1,554 -4,279 -12,282 771,344 759,155
Minority interests
-1,554 -4,279 -12,282 770,737 758,548
Total comprehensive income
allocated to:
Shareholders in Columbus A/S
-1,770 -4,975 -24,318 776,102 745,982
Minority interests
-1,770 -4,975 -24,318 775,494 745,374
Earnings per share of DKK
1.25 (EPS)
-0.01 -0.03 -0.10 6.03 5.91
Earnings per share of DKK
1.25, diluted (EPS
-D)
-0.01 -0.03 -0.10 6.01 5.89
Statement of comprehensive income
12 Interim Report Q3 2022
DKK ´000
Note 30 Sep 2022 30 Sep 2021 31 Dec 2021
ASSETS
Goodwill
Customer base
Internal applications
Development projects
finalized 1,988 3,407 3,070
Property, plant and equipment
Right
-of-use assets 56,227 82,533 61,422
Deferred tax assets
Other receivables
Total non
-current assets
Trade receivables
5 233,745 234,544 269,583
Contract assets
6 10,814 7,686 11,433
Corporate tax receivables
Other receivables
Receivables from divestment of activities
8 64,844 0 55,631
Prepayments
Receivables
Cash
Total current assets
Assets classified as held for sale
9 0 110,523 0
TOTAL A
SSETS 1,195,306 1,344,177 1,268,597
DKK ´000
Note 30 Sep 2022 30 Sep 2021 31 Dec 2021
EQUITY AND LIABILITIES
Share capital
Reserves on foreign currency translation
-71,478 -41,511 -59,442
Retained profit
Equity
Deferred tax
Other provisions
Debt to credit institutions
Lease liability right
-of-use assets 33,709 54,906 36,454
Non
-current liabilities 115,977 152,371 119,022
Debt to credit institutions
Contingent consideration
Contract liabilities
6 7,454 11,406 17,248
Trade payables
C
orporate tax payables 3,765 4,865 1,171
Other payables
Other provisions
Accruals and deferred income
Lease liability right
-of-use assets 25,076 31,128 28,359
Current
liabilities 377,874 418,625 408,595
Total liabilities
Total liabilities relating to assets
classified as held for sale
9 0 3,356 0
TOTAL EQUITY AND LIABILITIES
Balance sheet
13 Interim Report Q3 2022
Shareholders in Columbus A/S
DKK ´000
Share
capital
Reserves
on foreign
currency
translation
Retained
profits Equity
YTD 2022
Balance at 1 Jan 2022
Profit after tax
Currency adjustments of investments
in subsidiaries
Total comprehensive income
Share
-based payment 0 0 953 953
Payment of dividend
Balance at 30 Sep 202
2 161,595 -71,478 611,338 701,455
Shareholders in Columbus A/S
DKK ´000
Share
capital
Reserves
on foreign
currency
translation
Retained
profits
Minority
interests Equity
YTD 2021
Balance at 1 Jan 2021
Profit after tax
Currency adjustments of investments
in subsidiaries
Total comprehensive income
Capital increase
Share
-based payment 0 0 390 0 390
Disposal of minority interest
Payment of dividend
0 0 -775,658 0 -775,658
Balance at 30 Sep 2021
Shareholders in Columbus A/S
D
KK ´000
Share
capital
Reserves
on foreign
currency
translation
Retained
profits
Minority
interests Equity
2021
Balance at 1 Jan 2021
Profit after tax
Cu
rrency adjustments of investments
in subsidiaries
Total comprehensive income
Capital increase
Share
-based payment 0 0 1,666 0 1,666
Disposal of minority interes
t 0 0 0 -2,576 -2,576
Payment of dividend
Balance at 31 Dec 2021
Statement of changes in equity
14 Interim Report Q3 2022
DKK ´000
Note Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Operating profit (EBIT)
Depreciation, amortization
and impairment
4 14,305 12,083 42,520 35,542 48,863
Cost of incentive scheme
Changes in net working capital
-49,479 -34,500 -66,740 -102,398 -87,221
Cash flow from primary activities
-33,094 -32,475 -3,680 -38,098 3,752
Interest received, etc.
Interest paid, etc.
-3,768 -3,059 -6,055 -11,932 -7,271
Corporate tax paid
-9,051 -4,373 -17,793 -17,570 -8,957
Cash flow from operating acti
vities
discontinued operations
7 -58 6,757 -2,566 22,722 -4,591
Cash flow from operating activities
-45,021 -32,022 -24,002 -36,001 -13,863
Net investment in
development projects
Acquisition of tangible assets
-2,365 -2,579 -6,653 -6,216 -7,434
Acquisition of intangible assets
-2,919 -20,084 -12,357 -28,252 -33,234
Disposal of tangible assets
-3 46 32 48 87
Disposal of intangible assets
Acquisition of activities
Disposal of activities
8 2,031 -457 -3,823 822,112 876,648
Cash flow from investing activities
discontinued operations
7 0 0 0 -7,479 -7,479
Cash flow from investing activities
-2,874 -16,745 -26,010 713,931 754,434
DKK ´000
Note Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Proceeds from capital
increase/warrants exercised
Repayment of loan
Overdraft facilities
Repayment of lease liabilities
-8,216
-8,043
-24,872
-24,411
-34,084
Dividends paid
Cash flow from financing activities
discontinued operations
7 0 4,855 -3,685 -13,354 -13,354
Cash flow from financing activities
Cash flow from continuing
operations
-14,237 -186,362 -18,579 -121,862 -81,517
Cash flow from discontinued
operations
-58 11,612 -6,251 1,889 -25,424
Total net change in cash and cash
equivalents
-14,295 -174,750 -24,830 -119,974 -106,941
Cash funds at the beginning
of the period
Exchange rate adjustments
Cash funds at the end
of the period
Cash flow
15 Interim Report Q3 2022
Note 1 – Significant accounting principles 16
Note 2 – Segment data 17
Note 3 – Staff expenses and remuneration 21
Note 4 – Depreciation, amortization and impairment 21
Note 5 – Trade receivables 22
Note 6 – Contract assets and contract liabilities 23
Note 7 – Discontinued operations 24
Note 8 – Disposal of activities 25
Note 9 – Assets classified as held for sale 26
Key figures, ratios and Alternative Performance Measures 27
Notes
Note
Pa
ge
16 Interim Report Q3 2022
Notes
The consolidated interim financial report is prepared in accordance with IAS 34, Presentation of Interim Fi-
nancial Reporting, as approved by the EU, and additional Danish disclosure requirements for interim re-
ports of listed companies. The interim financial report is presented in Danish kroner (DKK), which is the
Parent Company’s functional currency.
On April 20, the IFRS Interpretations Committee approved an Agenda Decision which provides guidance as
to how a software reseller might apply the principal/agent criteria in IFRS 15 “Revenue from Contracts with
Customers” to the resale of standard software to a customer.
The decision has implications for whether revenue from the resale of standard software is recognized on a
gross or net basis under IFRS 15.
In its historic accounts, Columbus has determined that it acts as a principal in the resale of standard soft-
ware and vendor services and has recognized revenue from these products and services on a gross basis
(with gross invoiced sales reported as revenue, and costs of the resold products reported as external pro-
ject costs).
Under the new guidance from the IFRS interpretations committee, Columbus has determined that it acts as
an agent in the resale of standard software and vendor services under the principal/agent criteria in IFRS
15 “Revenue from Contracts with Customers”. For this reason, Columbus will from 1
st
January 2023 imple-
ment a change to its accounting policy and recognized revenue from these products and services on a net
basis (with gross invoiced sales, less costs of the resold products reported as revenue).
The decision to change its accounting policy to conform with the Agenda Decision of the IFRS Interpreta-
tions Committee requires a restatement of prior years’ accounts under IAS 8.
The impact on Columbus’ financial statements is:
For Q3 2022:
• Revenue is reduced by DKK 25m
• External project cost is reduced by DKK 25m
• Gross profit, EBITDA, net profit after tax, balance
sheet and cash flow statement are unchanged.
For YTD 2022:
• Revenue is reduced by DKK 92m
• Cost of sales is reduced by DKK 92m
• Gross profit, EBITDA, net profit after tax, balance
sheet and cash flow statement are unchanged.
Except from above, the accounting policies applied in the interim financial report are unchanged compared
to 2021, except for any new, amended or revised accounting standards and interpretations endorsed by the
EU, effective for the accounting period beginning on 1 January 2022. For more information on the account-
ing policies, we refer to our Annual Report for 2021.
Note 1
– Significant accounting principles
17 Interim Report Q3 2022
Notes
In order to support decisions about allocation of resources and assessment of performance of the seg-
ments, the Group’s internal reporting to the Board of Directors of the Parent Company is based on the fol-
lowing grouping of operating segments:
Strategic Business Lines
Market Units
Global Delivery Centers (GDC)
Dynamics
M3
Digital Commerc
e
Data & Analytics
Customer Experience & Engagement
Other Local Business
Sweden
Denmark
Norway
UK
US
Other
Poland
Czech Republic
India
Management monitors the business primarily based on the Business Lines and the geographical segments.
Information about the Group’s Business Lines is stated below.
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Sale of services
Dynamics
144,764 134,794 477,382 466,611 619,793
M3
69,975 56,384 230,516 219,571 296,832
Digital Commerce
40,261 31,233 133,448 112,684 157,184
Data & Analytics
13,444 8,928 44,046 25,910 37,676
Customer Experience & Engagement
9,851 3,992 33,916 20,552 30,008
Other Local Business
15,967 14,378 52,389 46,489 68,798
Total sal
e of services 294,262 249,709 971,697 891,817 1,210,291
Sale of products
Dynamics
27,637 37,074 100,386 104,124 141,226
M3
762 7,918 9,362 18,797 19,769
Digital Commerce
889 3,717 3,284 10,896 11,883
Data & Analytics
1,422 881 2,242 1,536 1,911
Customer Experience & Engagement
392 486 2,165 1,480 2,109
Other Local
Business 8,924 7,038 27,704 18,544 27,210
Total sale of products
40,026 57,114 145,143 155,377 204,108
Total net revenue
334,288 306,823 1,116,840 1,047,194 1,414,399
Business Lines relate to the type of services or products that are delivered, and comprise of Dynamics, M3,
Digital Commerce, Data & Analytics, Customer Experience & Engagement and Other Local Business. From
this report and forward, the Cloud ERP and Care Business Lines are combined and split into Dynamics and
M3.
Market Units comprise of significant geographical markets that the group operates in.
The operating segments are measured from revenue to profit before tax, as this represents the significant
part of the operation of the segments. The balance sheet is measured for legal entities only.
Note
2 – Segment data
Business Lines R
evenue Split YTD 2022
52%
21%
12%
4%
3%
7%
Dynamics
M3
Digital Commerce
Data & Analytics
Customer Experience & Engagement
Other Local Business
18 Interim Report Q3 2022
Notes
DKK ´000
Sweden Denmark Norway UK US Other GDC Eliminations Total
Q3 2022
Sale of services
107,676 58,566 55,789 41,085 21,209 9,020 917 0
294,262
Sale of products
10,425 15,502 5,565 5,650 2,884 0 0 0
40,026
Total revenue from own markets
118,101 74,068 61,354 46,735 24,093 9,020 917 0 334,288
Total revenue from group
companies 11,213 15,463 2,321 3,817 581 487 23,008 -56,890
0
Total revenue
129,314 89,531 63,675 50,552 24,674 9,507 23,925 -56,890 334,288
Gross profit
82,389 62,124 43,850 41,498 18,669 9,684 20,941 0
279,155
EBITDA
-253 4,880 4,442 1,149 315 1,293 4,596 -355
16,067
Operating profit (EBIT)
-5,598 -55 3,069 394 -120 1,018 3,409 -355
1,762
Profit before tax
-5,927 -514 994 335 105 872 2,591 0
-1,544
Profit after tax
-3,585
Average
number of FTEs 429 295 178 188 60 35 367 0 1,551
Q3 2021
Sale of services
87,566 56,441 45,464 34,101 19,859 5,738 540 0
249,709
Sale of products
21,840 16,823 4,715 9,975 3,154 607 0 0
57,114
Total revenue from own markets
109,406 73,264 50,179 44,076 23,013 6,345 540 0 306,823
Total revenue from group companies
16,487 10,852 1,217 5,865 189 2,296 17,437 -54,343
0
Total revenue
125,893 84,116 51,396 49,941 23,202 8,641 17,977 -54,343 306,823
Gross profit
94,419 51,622 35,125 38,615 16,559 7,219 16,548 0
260,107
EBITDA
10,123 -8,447 3,651 1,950 -3,096 265 -5,230 1,533
749
Operating profit (EBIT)
5,077 -11,719 2,546 1,197 -3,849 117 -6,236 1,533
-11,334
Profit before tax
4,983 -12,986 4,145 1,062 -4,144 120 -7,049 0
-13,869
Profit after tax
-12,004
Average number of FTE
364 291 140 174 62 31 376 0 1,438
19 Interim Report Q3 2022
Notes
DKK ´000
Sweden Denmark Norway UK US Other GDC Eliminations Total
YTD 2022
Sale of services
388,521 185,056 193,051 119,153 59,472 23,577 2,867 0
971,697
Sale of products
36,195 49,542 19,706 26,023 13,677 0 0 0
145,143
Total
revenue from own markets 424,716 234,598 212,757 145,176 73,149 23,577 2,867 0 1,116,840
Tot
al revenue from group companies 37,660 54,527 8,883 12,169 1,393 2,171 76,367 -193,170
0
Total revenue
462,376 289,125 221,640 157,345 74,542 25,748 79,234 -193,170 1,116,840
Gross profit
302,297 193,935 150,710 125,127 52,333 26,801 70,637 0
921,840
EBITDA
15,487 15,474 16,710 -1,219 -879 3,132 13,903 -501
62,107
Operating profit (EBIT)
-488 1,128 12,555 -3,467 -2,277 2,308 10,329 -501
19,587
Profit before tax
-539 6,806 3,917 -3,657 -1,041 3,586 9,063 0
18,135
Profit after tax
10,675
Average number of FTEs
417 292 170 188 63 33 366 0 1,528
YTD 2021
Sale of services
348,982 184,632 170,851 107,250 58,966 19,262 1,874 0
891,817
Sale
of products 39,469 54,148 18,877 27,722 13,734 1,427 0 0
155,377
Total revenue from own markets
388,451 238,780 189,728 134,972 72,700 20,689 1,874 0 1,047,194
Total revenue from group companies
48,757 54,270 3,354 16,508 618 8,516 71,431 -203,454
0
To
tal revenue 437,208 293,050 193,082 151,480 73,318 29,205 73,305 -203,454 1,047,194
Gross profit
275,684 209,332 125,335 125,859 50,363 24,591 68,316 0
879,480
EBITDA
27,505 562 20,168 12,438 -9,400 5,139 4,385 1,624
62,421
Operating profit (EBIT)
12,344 -7,849 16,452 10,194 -11,931 4,556 1,489 1,624
26,879
Profit before tax
11,214 -7,175 19,360 9,848 -13,122 4,510 483 0
25,118
Profit after tax
20,571
Average number of FTE
371 288 135 174 65 30 364 0 1,427
20 Interim Report Q3 2022
Notes
Non-current assets
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Sweden
365,348 401,903 384,985
Denmark
222,540 212,111 209,660
Norway
63,460 75,222 75,670
UK
47,017 50,046 50,935
US
27,195 41,384 25,648
Russia
0 35,068 15,895
Other
17,943 17,508 17,333
GDC
52,097 58,092 53,682
Total
795,600 891,334 833,808
Note 2
– Segment data (continued)
DKK ´000
Sweden Denmark Norway UK US Other GDC Eliminations Total
2021
Sale of services
483,888 247,979 230,828 137,767 80,915 26,666 2,248 0
1,210,291
Sale of products
43,169 75,567 28,327 37,460 18,158 1,427 0 0
204,108
Total
revenue from own markets 527,057 323,546 259,155 175,227 99,073 28,093 2,248 0 1,414,399
Total revenue from group companies
70,021 77,743 7,402 21,565 818 9,589 105,662 -292,800
0
Total revenue
597,078 401,289 266,557 196,792 99,891 37,682 107,910 -292,800 1,414,399
Gross profit
372,372 263,007 164,458 158,958 69,212 32,774 102,913 862
1,164,556
EBITDA
32,996 18,709 19,150 10,829 -7,523 6,314 11,748 -2,916
89,307
Operating profit (EBIT)
12,737 6,093 13,956 7,822 -10,536 5,556 7,732 -2,916
40,444
Profit before tax
11,450 1,039 17,002 7,381 -11,708 5,448 6,422 0
37,034
Profit after tax
43,547
Average number of FTEs
378
290
139
177
67
31
373
0
1,455
Non-current assets distributed in legal entities
The Group’s non-current assets distribution in geographical areas are specified on the left. Non-current
assets are distributed according to location and legal relation.
In order to be able to estimate the results of the segments and allocate resources between these, the
Board of Directors also monitors the tangible, intangible and financial assets related to each segment.
21 Interim Report Q3 2022
Notes
Note 3 – Staff expenses and remuneration
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Staff expenses
Salary and wages
198,271 182,120 653,555 592,700 791,063
Other social security costs
30,654 33,761 98,295 102,476 130,518
Other staff
expenses 4,796 4,098 23,025 26,620 25,118
Staff costs before share
-based
payment
233,721 219,979 774,875 721,796 946,699
Share
-based payment 318 1,276 953 1,880 3,157
Staff expenses
234,039 221,255 775,828 723,676 949,856
Average number of
FTEs 1,551 1,438 1,528 1,427 1,455
Note 4 – Depreciation, amortization and impairment
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Depreciation
9,025 8,399 26,999 25,675 33,973
Amortization
5,280 3,684 15,521 9,867 14,890
Total dep
reciation, amortization
and impairment
14,305 12,083 42,520 35,542 48,863
22 Interim Report Q3 2022
Notes
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Receivables (gross) at 1 Jan
281,133 241,749 241,749
Change in
receivables during the period -46,051 9,894 39,384
Receivables (gross) end of period
235,082 251,643 281,133
Provisions for bad debt at 1 Jan
11,550 19,178 19,178
Change in provisions for bad debt during the period
-12,327 -2,060 -7,609
Loss realized during the period
2,114 -19 -19
Provisions for bad debt end of period
1,337 17,099 11,550
Carrying amount end of period
233,745 234,544 269,583
Provisions for bad debt are made based on the lifetime expected credit losses in line with the Group’s ac-
counting policies. The change in provisions for bad debt as per 30 September 2022 is high partly due to im-
proved collection process and due to write off of 2 customer receivables which were fully provisioned for.
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Ag
e of receivables (gross):
Not due
214,085 216,315 190,113
0
-30 days 12,113 5,643 57,896
30
-60 days 5,689 9,315 9,859
61
-90 days 1,153 3,561 8,033
91
-180 days 1,343 4,714 4,627
181
-270 days 137 2,424 2,131
270
-360 days 532 855 142
Above 360 da
ys 30 8,816 8,332
Total
235,082 251,643 281,133
DKK ´000
30 Sep 2022
30 Sep 2021
31 Dec 2021
Age of impairment:
Not due
35 24 747
0
-30 days 61 61 50
30
-60 days 142 233 130
61
-90 days 86 267 250
91
-180 days 314 4,419 1,019
181
-270 days 137 2,424 880
271
-360 days 532 855 142
Over 360 days
30 8,816 8,332
Total
1,337 17,099 11,550
DKK ´000
30 Sep 2022
30 Sep 2021
31 Dec 2021
Provision matrix:
Not due
0.0% 0.0% 0.4%
0
-30 days 0.5% 1.1% 0.1%
30
-60 days 2.5% 2.5% 1.3%
61
-90 days 7.5% 7.5% 3.1%
91
-180 days 23.4% 93.7% 22.0%
181
-270 days 100.0% 100.0% 41.3%
271
-360 days 100.0% 100.0% 99.4%
Over 360 days
100.0% 100.0% 100.0%
Note
5 – Trade receivables
23 Interim Report Q3 2022
Notes
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Balance at 1 Jan
-5,815 -4,874 -4,874
Changes contract assets during the period
5,835 -22,141 -32,400
Changes on account billing and prepayments
during the period
3,340 21,217 31,459
Reclassified to assets held for sale
0 2,078 0
Balance at end of period
3,360 -3,720 -5,815
Work in progress
19,364
23,788
13,529
On account billing and
prepayments -16,004 -27,508 -19,344
Balance at end of period
3,360 -3,720 -5,815
The net value is included in the balance as fo
llows:
Contract assets
10,814 7,686 11,433
Contract liabilities
-7,454 -11,406 -17,248
Balance at end of
period 3,360 -3,720 -5,815
The Group’s contract assets are subject to significant judgements in relation to the classification of the con-
tract and in terms of how the contract is handled and recognized in the financial statements. When deter-
mining the appropriate recognition of the contract, the Group accounting policies are applied.
Note
6 – Contract assets and contract liabilities
24 Interim Report Q3 2022
Notes
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Net revenue
0 49,816 9,456 185,711 224,745
External project costs
0 -15,337 -728 -59,838 -73,241
Gross profit
0 34,479 8,728 125,873 151,504
Staff expenses and remuneration
0 -22,848 -7,768 -84,002 -99,996
Other external costs
0 -2,661 -700 -11,033 -13,037
Other operating income
0 0 0 15 15
EBITDA
0 8,970 260 30,853 38,486
Depreciation, amortization and
impairment
0 -1,244 -321 -4,288 -5,333
Operating profit (EBIT)
0 7,726 -61 26,565 33,153
Financial income
0 275 7,890 1,497 2,420
Financial expenses
0 -183 -24,958 -1,531 -2,443
Profit (loss) before tax from
discontinued operations
0 7,818 -17,129 26,531 33,130
Corporate tax
0 16 -243 -248 -671
Profit (loss) after ta
x from
discontinued operations
0 7,834 -17,372 26,283 32,459
Total gain (loss) on divestment of
discontinued operations
2,031 -132 -5,585 723,883 682,542
Profit (loss) from discontinued
operations
2,031 7,702 -22,957 750,166 715,001
Earnings per share from discontinued
operations of DKK 1.25
(EPS)
0.02 0.06 -0.18 5.87 5.58
Earnings per share from discontinued
operations of DKK 1.25, diluted
(EPS
-D) 0.02 0.06 -0.18 5.84 5.56
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Cash flow from operating activities
-58 6,757 -2,566 22,722 -4,591
Cash flow from investing activities
0 0 0 -7,479 -7,479
Cash flow from financing activities
0 4,855 -3,685 -13,354 -13,354
Cash flow from discontinued
operations
-58 11,612 -6,251 1,889 -25,424
DKK ´000
Q3 2022 Q3 2021 YTD 2022 YTD 2021 2021
Gain (loss) on disposal
of subsidiaries
0 0 -9,535 721,712 697,095
Transaction costs related to disposal
2,031 -132 3,950 2,171 -14,553
Total gain (loss)
on divestment of
discontinued operations
2,031 -132 -5,585 723,883 682,542
Discontinued operations in 2022
In March, Columbus A/S entered into an agreement to hand over Columbus Russia to the management of
the company. The purchase agreement covers 100% of the ownership of the Russian business, and the
business is therefore reported as discontinued operations in the profit and loss for 2022 and 2021.
Note
7 – Discontinued operations
25 Interim Report Q3 2022
Notes
On 16
th
March 2022, the Group disposed of its 100% equity interest in Russian subsidiary. The business
was sold off to the local management, as a consequence of the invasion of Ukraine.
On 1
st
November 2021, our SMB business in our US entity was sold as part of the Focus23 strategy. The
business activity is consequently classified as discontinued operations in 2021. The transaction was settled
partly in cash at the transaction date (USD 8m), and partly as deferred consideration which was due in Q2
2022 (USD 8.5m). The buyer has still not paid the outstanding amount to which a legal collecting process
has been initiated to collect our receivable.
The gain on disposal is included in the profit for the year from discontinued operations, note 7.
At the date of disposal, the carrying amounts of disposed subsidiaries net assets were as follows.
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Goodwill
8,822 97,258 197,980
Customer base
0 5,166 7,295
Other intangible assets
0 19 19
Development projects finalized
0 52,334 52,334
Development projects in progress
0 42,404 42,404
Property, plant and equipment
204 2,281 2,419
Right
-of-use assets 2,102 20,712 20,712
Trade receivables
1,762 36,753 36,404
Contract assets
3,731 7,575 7,575
Corporate tax receivables
0 1,052 1,052
Deferred tax assets
0 370 30,961
Other recei
vables 176 1,474 1,506
Prepayments
1,790 2,800 6,957
Cash
9,274 22,169 22,169
Total
assets 27,861 292,367 429,787
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Deferred tax
358 19,095 19,095
Debt to credit institutions
0 357 357
Lease li
ability right-of-use assets 2,254 20,277 20,277
Contract liabilities
2,355 3,854 3,854
Trade payables
1,758 14,829 18,425
Corporate tax payables
5 54 54
Other payables
9,597 30,221 31,180
Accruals and deferred income
0 30,578 30,578
Total liabilitie
s 16,327 119,265 123,818
Minority interests
0 0 2,847
Net assets disposed of
11,535 173,102 303,122
Cash and cash equivalents
2,000 865,279 928,334
Deferred consideration
0 29,535 71,883
Total consideration
2,000 894,814 1,000,217
Gain on disposal of
activities -9,535 721,712 697,095
Net Cash inflow arising on disposal:
Consideration received in cash and
cash equivalents
2,000 865,279 928,334
Less: cash and cash equivalents disposed of
-9,274 -22,169 -22,169
Transaction costs
related to disposal 3,451 -20,998 -29,517
Net cash inflow arising on disposal
-3,823 822,112 876,648
Note
8 – Disposal of activities
26 Interim Report Q3 2022
Notes
At 30 September 2021, the US SMB business segment is classified as held for sale.
DKK ´000
30 Sep 2022 30 Sep 2021 31 Dec 2021
Goodwill
0 101,312 0
Customer base
0 2,706 0
Trade receivables
0 6,505 0
Total assets classified as held for sale
0 110,523 0
Contract liabilities
0 2,078 0
Other payables
0 1,278 0
Total liabilities relating to assets classified
as held for sale
0 3,356 0
Net assets
0 107,167 0
Note
9 – Assets classified as held for sale
27 Interim Report Q3 2022
Notes
Key figures and ratios
Earnings per share (EPS) and diluted earnings per share (EPS-D) are calculated in accordance with
IAS 33.
Other ratios are calculated in accordance with the Danish Finance Society “Recommendations & Financial
Ratios”. The financial ratios stated are calculated as follows:
EBITDA
-margin
Earnings before interest, tax, depreciations and
amortizations (EBITDA)
Net revenue
Operating margin
Operating profit (EBIT)
Net revenue
Return o
n equity
Profit after tax and excl. minority interests
Average equity excl. minority interests
Return on i
nvested capital (ROIC)
EBITA
Average invested capital including goodwill
Equity ratio
Equity excl. minority interests
Total equity and liabilities
Earnings per share (EPS)
Profit after tax and excl. minority interests
x f
Average number of shares
Book value per share (BVPS)
Equity excl. minority interests end of year x 100
x f
Number of shares end of year
Cash flow per share
Cash flow from operations
x f
Average number of diluted shares
Adjustment factor (f)
Theoretical rate
Listed price of stock the day before the subscription
and/or stock right cease
Re
curring Revenue % of total revenue
Recurring revenue
Net revenue
Alternative Performance Measures
Recurring Revenue
Recurring Revenue includes Software maintenance, Cloud revenue and Columbus Care agreements.
Recurring revenue does not necessarily mean a binding contractual agreement. However recurring revenue
is defined as revenue with a high degree of certainty for renewal >95%.
The purpose of defining Recurring Revenue is to express a level of predictability in the revenue. The higher
degree of Recurring Revenue in pct. of total revenue – the more predictable is the Columbus revenue going
forward.
Revenue (IFRS)
Revenue (IFRS) is an Alternative Performance Measure which reflects the net revenue from products
sales, and is shown to inform about the revised revenue level after the change of accounting principles,
which will be adopted as a consequence of the Agenda Decision approved by the IFRS Interpretations
Committee on April 20
th.
The Performance Measure includes gross invoiced revenue from sale of third party software, less the prod-
uct cost of third party software.
EBITDA before Share Based Payment
EBITDA before Share Based Payment is Earnings Before Interest Taxes Depreciation, Amortization, and
the expense (black Scholes value) from Share Based Payment.
The purpose of excluding Share Based Payment is that this is a non-cash consideration and therefore dif-
ferent characteristics than cash-based considerations. Another purpose is that the IFRS rules for expending
Share Based payments is uneven through the 3-year maturing period Columbus normally exercise.
EBITDA before Share Based Payment will therefore express a more comparable year over year develop-
ment.
Efficiency
Efficiency is calculated as all invoiced customer hours divided by available customer hours. Available cus-
tomer hours are calculated as normal work schedule hours for all productive employees, less hours for holi-
day and parental leave.
Key figures, ratios and Alternative Performance Measures
28 Interim Report Q3 2022
Notes
For more information about Columbus visit www. columbus global.com