AXIS Communications- a world of intelligent networks
Full year 2001
AXIS Communications- a world of intelligent networks
Full year 2001
CEO Peter RagnarssonCFO Jörgen Lindquist
Second half year 2001
Profitability andPositive Cash Flow
Financial performance
Profitability and Positive Cash Flow… Increased operational efficiency Reduced capital tied up in operations Loss-making operations sold
Strategic position
Year 2000
Network Infrastructure
(LAN, Internet, etc)
NetworkValue
Core offering
World class solutions for easy-to-use, secure and efficient communication over networks
Network Camera & Video Server
Worldwide #1
Markets and market positions
Network PrintingWorldwide #2
Network Scan & Store
Network WirelessAccess
Axis ThinServerTechnology
Investing for the connected future
Intensive R&D¬ IP-based network connectivity¬ Direct access¬ Fast, reliable, economic and
secure Seven new patents during
2001
End user
Business model - spreading risk
OEM
Axis
Nationaldistributor
Value addeddistributor
Resellerinstaller
An expanding customer base
Ingram Micro Azlan Adimpo MicroP Allnet Fibrenetix NSM Storage
EET Nordic Canon SONY Honeywell Securitas Minolta - QMS Panasonic
Some recent distribution and industrial partnerships...
A complete distribution network
Distributor partnerships¬Between 500 and 1,000 worldwide
Reseller & Installer partnerships¬Between 50,000 and 100,000 worldwide
Some of our OEM partnerships
Canon FujiXerox Minolta - QMS Sharp IBM
SONY Apti/JBCC Intermec Palm Epson Panasonic
Sales
Ongoing operations
0
100
200
300
400
500
600
700
Q4 Accum
2000*
2001
MSEK
12 months 2001Sales 676 MSEK (642)Growth 5%
* 2000 Proforma
Networked Office – Q4 2001
Strategic segment Profitable base Strengthened
positions
0
50
100
150
200
250
300
350
Q4 Accum
2000
2001
Sales (proforma 2000)MSEK
Office Connectivity OEM – Q4 2001
Continuous demand for built-in Axis solutions
Several major projects accounted for in Q4-2001
Strong orderbook 2002
0
25
50
75
100
125
Q4 Accum
2000
2001
Sales (proforma 2000)MSEK
Camera – Q4 2001
Digitalization Increased security
awareness
0
50
100
150
200
250
Q4 Accum
2000
2001
Sales (proforma 2000)MSEK
Mobile Internet – Q4 2001
Strategic area Technology and
market uncertainties Will be incorporated
in other areas
0
1
2
3
4
5
6
Q4 Accum
2000
2001
Sales (proforma 2000)MSEK
Technology – Q4 2001
Increasing demand Several strategic
customer contracts
0
1
2
3
4
5
Q4 Accum
2000
2001
Sales (proforma 2000)MSEK
Sales per division
Ongoing operations
MSEK 2001 2000 Networked Office 292 333 OEM 122 92 Camera 243 183 Technology 4 2 Other 9 31
ThinServer products 671 640 Mobile Internet 5 1
Total 676 642
Investing for the future
Intensive R&D agenda 151 MSEK year 2001 Corresponding to 22%
of sales
EBIT by Quarter
R&D overall¬ 32 MSEK in Q4-2001
New structure¬ 20 MSEK restructuring
costs in Q2-2001
Profitability as planned
proforma 2000
-80
-70
-60
-50
-40
-30
-20
-10
0
10EBIT Structural
MSEK
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4
2000 2001
EBIT analysis Q4-2001
Oct - Dec Oct - Dec MSEK 2001 2000
ThinServer products 20 1 Mobile Internet -4 -34 Corporate functions -8 -8
Axis excl. Netch 8 -41
Netch - -31 Total 8 -71
proforma Q4 2000
Ongoing operations, MSEK
Sales per Quarter
0
50
100
150
200
250
Q1 Q2 Q3 Q4
2000 2001
Gross margin
0
10
20
30
40
50
60
Q2-00 Q3-00 Q4-00 Q1-01 Q2-01 Q3-01 Q4-01
%
MSEK
Accounts receivables
Days of sales outstanding
0
10
20
30
40
50
60
70
80
Q1-00 Q2-00 Q3-00 Q4-00 Q1-01 Q2-01 Q3-01 Q4-01
0
10
20
30
40
50
60
70
80
90
Q1-00 Q2-00 Q3-00 Q4-00 Q1-01 Q2-01 Q3-01 Q4-01
Inventory
MSEK
Liquid funds
MSEK
0
25
50
75
100
125
150
175
200
Q3-00 Q4-00 Q1-01 Q2-01 Q3-01 Q4-01
Market trends
Generally weak market conditions expected to remain at least until mid 2002
Axis 2002
Innovating exciting market opportunities
Strong technology platform
Global markets Proven business model
spreading risk Profitable and cash flow
positive
Outlook 2002
Taking the next steps in our Network Value strategy
Despite weak market conditions, a positive EBIT and operational cash flow is expected
This is Axis
World class solutions for easy-to-use, secure and efficient communication over networks
