Sitowise Group (SITOWS) Investor presentation summary

Strategic positioning and market overview

• Focuses on geospatial intelligence and digital solutions for built environments, infrastructure, and forestry, leveraging over three decades of digital expertise.

• Operates in four business areas: Infra, Buildings, Digital Solutions, and Sweden, with Digital Solutions contributing 16% of net sales in Q3 2024.

• Holds an estimated 10% market share in GIS services and software in Finland and Sweden, with the market expected to grow 5-10% CAGR through 2026.

• Growth is driven by megatrends such as urbanization, digitalization, climate change, and increased data needs.

Business model and financial performance

• Achieved a CAGR of 31.4% in net sales from 2019 to 2023, with a clear profitability turnaround in 2023 and current margins above 12% adj. EBITA.

• Product business accounts for about one-third of Digital Solutions, with ARR growing at double-digit rates.

• Maintains a diversified offering: ~60% custom software, ~30% product business, ~10% consulting.

• Long-term client contracts and a 99% retention rate for the product portfolio support stable revenue.

Product portfolio and innovation

• Proprietary products include Louhi, Infracontrol Online, Foresta, Smartlas, Routa, and Planect, each targeting specific segments like municipalities, forestry, and infrastructure.

• Louhi and Infracontrol Online are established growth products, while Smartlas and Planect are in earlier growth phases with international expansion plans.

• Strong R&D pipeline with AI-driven initiatives, including smart harvesting, forest fire risk detection, and asset management solutions.

• AI Center of Excellence established, with multiple high-impact AI use cases deployed, enhancing internal efficiency and client offerings.