#1شركة العرض المتقن 2P Perfect Presentation Perfect Presentation for Commercial Services Company A leading innovative ICT solutions provider in a dynamic market 2P 1Q2023 Presentation www.2p.com.sa#2Disclaimer This presentation has been prepared solely for use as an investor presentation for Perfect Presentation for Commercial Services Company ("2P"). By attending or by reading this presentation, you agree to be bound by the following limitations. of any The information contained in this presentation is for background purposes only and does not purport to be comprehensive and has not been independently verified, nor does it constitute or form part invitation or inducement to engage in any investment activity, nor does it constitute an offer or invitation to buy or subscribe to any securities in any jurisdiction, or a recommendation in respect of buying, holding or selling any securities. 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The contents of this presentation have been prepared by and are the sole responsibility of the Company. 2P 2#32P TABLE OF CONTENTS 版 ooo Key Messages and Strategic Pillars Investment Case Financial Overview 4#42P شركة العرض المتقن Perfect Presentation 2P Key Messages and Strategic Pillars www.2p.com.sa#52P Key Messages 2P continues to witness an improvement in performance, both operationally and financially Sustained Revenue Growth Robust Profitability રાશક આ ટે Continued Backlog Expansion Innovation at the Forefront !!! Solid Market Positioning Long-term Value Creation Agile Business Model Strong Growth Potential 6#62P Strategic Pillars For the next few years, 2P is strategically focused on three main pillars to increase its revenue Vision Maintaining and enhancing the Company's position as the leader in the field of technology solutions and digital transformation. Mission Providing technical solutions and digital transformation services centered around meeting the needs of the evolving market. Values Localization • Innovation • Integrity Excellence Diversifying revenue Increasing reachability Enhancing reliability 7#72P 2P شركة العرض المتقن Perfect Presentation Investment Case www.2p.com.sa#8A compelling investment opportunity within a dynamic and fast-growing market A leading innovative ICT solutions provider, offering a comprehensive suite of product and services to broad customer base 2P 1 2 Comprehensive and Integrated Service Offering (One Stop Shop) Solid partnerships with key public and private enterprises 3 4 Robust and expanding backlog Strong underlying fundamentals 2P GURGA شركة العرض المتقن Perfect Presentation 6#92P Comprehensive and Integrated Service Offering (One-Stop-Shop) 2P has strong digital capabilities and scale, offering integrated and tailored solutions, whilst being agile in meeting the changing demands of customers Tailored Solutions for corporate clients making 2P a one-stop-shop for its customers 2P customer experience systems CX Al Chat Bot O&M يمامة Tamamak Curative maintenance Preventive maintenance Technical solutions Yamamah dynatrace KPIs in 1Q2023 Customer Experience ("CX") 34 Contracts SW Exclusive Selling Rights Operate IT systems Managed IT services Operation & Maintenance ("O&M") 94 Contracts SWD Wesal الواصل Tarasul Internet service provider Software Development ("SWD") 83 Contracts +125 MN Calls answered(2) 3 Minutes Average call duration 92% Customers satisfaction 24/7 Support SAR 855 K Revenue per contract (1) +890 On-ground engineers SAR 941 K Revenue per contract(1) +13 SWD Solutions 80% customer retention 10#102 Solid partnerships with key public and private enterprises 2P 2P's well-established partnerships have positioned the company to enhance its backlog and continue its growth trajectory Customer Experience ("CX") Customer Experience includes implementation of call center services through business process outsourcing and technology وزارة الصحة Ministry of Health Sample Clients الموارد البشرية والتنمية الاجتماعية SÁMI ADVANCED ELECTRONICS Operation & Maintenance ("O&M") LID O&M services involve long term arrangements which offers management of full IT infrastructure and operations ☑Software Development ("SWD") کے Software Development services include providing customers with proper development & installations of packaged software. Also, 2P offers 2-way bulk SMS services مستشفى الملك فيصل التخصصي ومركز الأبحاث مؤسسة عامة Get org King Faisal Specialist Hospital & Research Centre شركة الإلكترونيات المتقدمة هيئة السوق المالية . Capital Market Authority أمانة منطقة المدينة المنورة Madinah Regional Municipality امعة الملك سعود بن عبد العزيز للعلوم الصح Saud bin Abdulaziz University for Health with Sciences جامعة الملك سعود King Saud University مدينة الملك عبدالعزيز للعلوم والتقنية KACST وزارة الرياضة أمانة منطقة الرياض Ministry of Sport RIYADH REGION MUNICIPALITY وزارة المالية Ministry of Finance هيئة تقويم التعليم والتدريب Education & Training Evaluation Commission SDAIA مصرف الراجحي alrajhi bank الهيئة السعودية للبيانات والذكاء الاصطناعي Saudi Data & Al Authority الرياضة 11#113 Strong underlying fundamentals 2P Establishing a solid foundation to generate long-term and sustainable value to shareholders 2P FY22 At a glance Revenue CAGR 46% 2019-2022 Average Return on Equity 58% 2019-2022 Average Gross Margin 18.6% 2019-2022 # of Contracts Expansion 2.0x 2019-2022 Backlog SAR 1.73 BN As of 31 Dec 2022 Average RoIC 32% 2019-2022 Revenue SAR 927 mn FY2022 Net Profit SAR 131 MN FY2022 Active Contracts +218 FY2022 12#123 Strong underlying fundamentals 2P Establishing a solid foundation to generate long-term and sustainable value to shareholders 1Q2023 At a glance Revenue SAR 225 MN EBITDA Margin 13.7% Gross Margin Operating Margin 17.3% 13.1% Backlog Size SAR 1.8 BN As of 31 Mar 2023 RoIC 21.6% Return on Equity 39.4% Net Profit SAR 26 MN No. Newly awarded contracts: 45 Amount: SAR 294 MN 13#134 Robust and expanding backlog Well-diversified backlog, valued at SAR 1.8 billion, provides high visibility on 2P's financial performance over the next few years Backlog Evolution (SAR Mn) Backlog expanded by 2.9x times over the last 4 years at the back of strong sales force, favorable terms with vendors and clients, established relationships with government and corporate clients 1,544 1,730 -927 1,059 1,114 -482 507 686 710 -655 -225 294 Backlog expansion 2019 102023 ↑ 2.9x 1,800 YE2019 Recognition Additions YE2020 Recognition Additions YE2021 Recognition Additions YE2022 Recognition Additions 1Q2023 1,800 +211 Projects (734) Having SAR 1.8 billion of secured revenues, 2P has a clear vision on both short- and medium-term revenues (608) (283) 2022 FY2023 FY2024 FY2025 (149) FY2026 (26) FY2027 O&M 67% 68% 80% 79% 100% SWD 16% 24% 16% 18% 0% Cx 18% 8% 5% 3% 0% Total 100% 100% 100% 100% 100% 2P Source: Company information, (1) based on value of contracts won divided by value of contracts entered 14#142P 2P Financial Overview شركة العرض المتقن Perfect Presentation www.2p.com.sa#152P 1Q2023 Financial Snapshot Robust financial performance recorded in 1Q23, driven by sustained growth of Software Development and Operation & Maintenance Revenue Gross Profit EBITDA SAR 225 mn 16% SAR 39 mn 23% SAR 31 mn 25% 1Q2023 Net Profit SAR 26 mn 19% EPS SAR 1.75 19% Key highlights * Revenue growth supported by Software Development and Operation & Maintenance ✰ EBITDA growth outpacing increase in SG&A expenses, with margin rising from 12.7% to 13.7% ✰ Net profit increased substantially, predominantly due to the solid growth in revenues 16#162P Resilient financial performance with topline continuing to increase 2P's revenues witnessed a CAGR growth rate of 46% during 2019 to 2022 Revenue (SAR Mn) 298 2019 482 655 927 Gross Profit (SAR Mn) 18% 19% 20% 18% 17% 16% 225 55 193 116 91 180 39 32 2020 2021 2022 1Q22 1Q23 2019 2020 2021 2022 1Q22 1Q23 Gross Profit Gross Margin 17#172P Resilient financial performance with topline continuing to increase The Company continued to generate sustained revenues across all lines of business Revenue by LoB (SAR Mn) Gross Profit by LoB (SAR Mn) 927 18% 19% 18% 20% 16% 17% 229 655 180 141 116 482 41 354 91 117 212 55 298 225 193 134 15 55 25 50 31 39 76 32 41 78 11 12 115 302 344 13 231 67 74 80 89 80 9 107 31 86 67 13 2019 2020 2021 2022 1Q22 1Q23 2019 2020 2021 2022 1Q22 1Q23 CX O&M SWD CX O&M SWD Gross Margin Revenue Mix Gross Margin 2019 2020 2021 2022 1Q22 1Q23 2019 2020 2021 2022 1Q22 1Q23 CX 36% 48% 46% 37% 44% 30% CX 29% 29% 25% 26% 21% 22% O&M 38% 28% 32% 38% 35% 36% O&M 11% 11% 15% 14% 13% 15% SWD 26% 24% 22% 25% 21% SWD 14% 8% 7% 18% 12% 16% 35% Total 100% 100% 100% 100% 100% 100% Overall 18% 19% 18% 20% 16% 17% 18#182P Rising trend in profitability EBITDA and net profit grew at a CAGR exceeding 70% between 2019-2022 EBITDA (SAR Mn) 10% 16% 15% 14% 91 71 145 14% 13% Net Profit (SAR Mn) 8% 14% 13% 12% 81 64 29 31 25 23 2019 2020 2021 2022 1Q22 1Q23 2019 2020 2021 EBITDA EBITDA Margin Net Income Source: Audited Financial Statements 131 2022 11% 12% 22 26 1Q22 1Q23 Net Income Margin 19#19Balance sheet optimization Strong focus on financial positioning, with maintenance of adequate leverage levels to support growth; average RoE exceeded 57% during 2019-2022 Balance Sheet Snapshot (SAR Mn) ■Shareholders' Equity Non-Current Liabilities Other Current Liabilities Short Term Loans ■Non-Current Assets Other Current Assets Account Receivables Contract Assets Key Ratios NWC/Sales 202 317 501 807 914 135 280 134 94 254 86 34 32 336 118 286 316 160 93 28 370 99 111 98 34 24 229 62069 64 348 Z1 300 284 36 121 115 64 192 152 36 61 62 67 84 RolC RoE (1) Net Debt/EBITDA D/(D+E) 2P (1) Calculated as (net income / Average equity balance) Source: Audited Financial Statements 2019 2020 2021 2022 1Q23 24.4% 19.7% 13.8% 16.3% 19.7% 17.2% 31.9% 40.3% 38.7% 21.6% 38.4% 70.9% 59.5% 63.6% 39.4% 2.12 1.03 0.28 0.62 2.00 46% 41% 37% 38% 51% 20 20#202P 2P Contact Details شركة العرض المتقن Perfect Presentation www.2p.com.sa#21IR Contact Details Ahmad AlJumah Investor Relations Manager Tel: +966 55 990 8828 Email: [email protected] P.O. Box 105523, Riyadh 11656, Kingdom of Saudi Arabia 2P Visit 2P Investor Relations website Investor Relations 2P MyIRApp™ Delivered by Euroland IR Download our IR App Available on the App Store GET IT ON Google Play 24 24#222P شركة العرض المتقن Perfect Presentation 2P Thank you www.2p.com.sa