Netcompany Group A/S Q4 2019 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Yiwei Zhou - SEB, Research Division - Analyst : I have 3. Firstly, on the 2020 guidance, since you gave the preliminary guidance in November, I was wondering if there is any change for you to see the 18% of growth now. Is it possible to give us an indication of your assumption for the 18% scenario? And the second question is regarding the win rate, 73%. And how much tender size was this 73% equivalent to? And then thirdly, just back to Norway. So one, do you expect Norway back to the high growth and to see the utilization back to normal?

Question: Yiwei Zhou - SEB, Research Division - Analyst : Just would like to follow up on Norway. So if you were to win those tenders you talked about, should we expect this would happen before summer or after summer?

Question: Yiwei Zhou - SEB, Research Division - Analyst : Okay. And just on the Danish public, is it possible to give us the total order intake or contracting during 2019 from the Danish public sector? The order intake. Remember, last year, you gave us a range, was DKK 900 million to DKK 1,100 million. Is it possible to give us the number for 2019?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Just starting off with this one. In terms of utilization in Denmark and Norway, what is that currently in a total or split between those 2?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay. Okay. But in Norway, the biggest potential of increasing utilization, that's in Norway, right?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : And how much? Is it possible to increase it in percentage points? Would that be possible to say something about?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : All right. Just in terms of the profitability difference between public and private, I mean, just to understand, why is it really higher for private? And should we continue to see this, that profitability is better there?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay. But just to understand. You expect the margins for public to increase? Or is that what you said in terms of conversion?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay. But just to be sure, because I remember previously, you have been talking about the split on 50-50 between public and private. I mean, is this still your goal? Just looking at some of the other markets, it sounds like a lot of the potential with U.K. is in public, also in Norway in public. But will it still be 50-50 on an overall level do you expect?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay. But just on the opportunities you see, is it incorrectly understood that the biggest opportunity currently is within public on an overall level?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : All right. Okay. And then just on U.K. in terms of the political situation. I mean, what are you looking into in terms of upcoming tenders for 2020 in U.K.? Can you elaborate a bit on that?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay. But just to be bullish, you don't see any effect on tenders in U.K. in 2020 due to the political situation at all?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Okay, okay. And then just my last question. In terms of the win rate, was that 73% only for public or in total?

Question: AndrT Thormann - ABG Sundal Collier Holding ASA, Research Division - Analyst : Public only. And do we have anything for private you want to say or...

Question: Yiwei Zhou - SEB, Research Division - Analyst : Zhou Yiwei from SEB. So I have a question on the working capital. You have improved the contract work in progress during 2019. And could you please give us an indication for the development in 2020?