Softline FY2011: steady growth twice as fast as the market rate

Softline Romania

Tel: +4 021.387.3440

Fax: +4 021.387.3441

info@softline.ro

www.softline.ro

Contents

Softline FY2011: We are leaders!

Events and Achievements FY2011

Market trends

Plans for Development FY2012-2014

Co-brands

Q&A

Mission

Softline supports and helps:

Clients – to be competitive by using modern information technology.

Employees – ability to realise their potential in a leading technological company

The Government – no government can function without IT infrastructure. We are responsible for building the IT industry in Russia!

Developers – a unique marketing and sales channel. Students – unique knowledge for an interesting

career and lots of success.

Softline invests its profits in developing business in the countries where it is represented.

Softline is a company that future generations will value working for.

Competitive Advantages

Softline is a strong and reliable brand with 19 years experience in IT. It is recognised by vendors and clients.

Leading international company on the IT market with the largest network of representative offices worldwide – Softline is always nearby.

Full range of IT services: technical and legal support, training, consulting. Implementing projects in virtualization, security, CAD/GIS, CRM and ERP solutions, web development. Cloud solutions and SaaS, IaaS products.

Widest range of software – more than 3000 vendors.

Dynamically developing company with annual growth rates ahead of the market.

Head of the Company

Igor Borovikov Chairman of the Board of Directors of Softline

Founded the company in 1993

Brought the company up to an international level

Is a member of the Presidium of the Russian Public Organisation for Small and Medium-Sized Enterprises OPORA RUSSIA, he heads the IT Committee

In 2010 he was featured among the top 25 most successful and effective business leaders in the crisis years of 2008-2009

Interests: philosophy, psychology, downhill skiing, hockey

Softline – 19 years of success on the IT market

Turnover in 2011FY - $601 mln

Most extensive range of software and a full set of IT-related services!

Represented in 23 countries and 65 cities worldwide!

Reliability recognised by clients, vendors and partners!

Softline: Main Areas of Business

Supply of software

Information security

Virtualization

CAD and GIS

Microsoft solutions

Personal data protection

Business consulting: ERP, CRM, SAM, ITAM

Cloud and SaaS

Training and certification

Web development

Technical support and outsourcing

Hosting

Supply of hardware

BI (Business Intelligence)

Softline 2011FY. Main Growth Indicators.

Turnover in 2011FY – $601 mln

Growth: 132% – compared to 2010FY

and 207% – compared to 2009FY

$456М in 2010

$290M in 2009

More than a SIXFOLD increase in

turnover in the last 6 years!

Softline is growing much faster than

the IT market (the average growth of

the IT market in Russia is 12-15%)

A strong team of managers at all

levels!

Softline: turnover dynamics $ mln Facts and forecasts

Regional presence: 23 countries, 65 cities

Regional presence: 23 countries, 65 cities

Moscow Arkhangelsk

Barnaul

Belgorod

Vladivostok

Volgograd

Voronezh

Ekaterinburg

Izhevsk

Irkutsk

Kazan

Kaliningrad

Kemerovo

Krasnodar

Krasnoyarsk

Murmansk

Nizhny Novgorod

Novosibirsk

Omsk

Orenburg

Perm

Rostov-on-Don

Samara

St. Petersburg

Saratov

Tomsk

Tyumen

Ulyanovsk

Ufa

Khabarovsk

Chelyabinsk

Yaroslavl

Surgut

Penza

Stavropol

IN RUSSIA

Azerbaijan

Baku

Armenia

Yerevan

Belarus

Minsk

Gomel

Vitebsk

Brest

Kazakhstan

Almaty

Aktobe

Astana

Karaganda

Kyrgyzstan

Bishkek

Tajikistan

Dushanbe

Turkmenistan

Ashgabat

Uzbekistan

Tashkent

Ukraine

Kiev

Georgia

Tbilisi

Moldova

Chisinau

INTERNATIONAL

Mongolia

Ulan Bator

Turkey

Istanbul

Ankara

Venezuela

Caracas

Vietnam

Hanoi

Ho Chi Minh

Argentina

Buenos Aires

Romania

Bucharest

IN CIS

Colombia

Bogota

Malaysia

Kuala Lumpur

Peru

Lima

Cambodia

Phnom Penh

Laos

Vientiane

Development of regions: countries, cities

Softline is trusted by leading market players

Clients about Softline

Boris Kulakov ROSNANO Head of the IT Directorate: “During our partnership with Softline certified specialists of the company have carried out a project to automate business processes that are important to our organisation using Microsoft SharePoint as a basis. We would like to thank the project group for the high standard of work and the follow-up system maintenance. We are pleased to recommend Softline as a reliable and responsible partner that fulfils its commitments on time and in accordance with high standards of professionalism.”

Georgy Kozlov Rusal OJSC Head of Web Technologies, IT Department: “This year we were faced with the task of creating a multilingual corporate portal. In order to carry out this project we hired Softline specialists who implemented a solution based on the Microsoft SharePoint Server platform. Our experience with the company allows us to say that Softline is a reliable and professional partner that fulfils its commitments. We are pleased with the results of the project and the work with the specialists of the project group and we are therefore continuing the development of our portal.”

Ilya Tambovtsev Baltika Breweries Head of Information Infrastructure Development: Baltika Breweries OJSC is able to recommend Softline as a reliable business partner supplying a wide range of software, a qualified consultant and a provider of solutions for virtualization and technical support.”

Softline works with more than 3000 software manufacturers

Vendors about Softline

Nikolay Pryanishnikov President of Microsoft in Russia: “Softline is one of Microsoft’s largest partners. The company plays a very active role in business development, sales, marketing, creating solution centres and developing various regions of Russia. We also actively cooperate in social projects, such as in education.”

Aliona Rezvanova Director of the Partner Relations Department, Symantec in Russia and the CIS: “Symantec and Softline have now been in partnership for more than 15 years. Softline has a high status in our partnership programme and for many years has been among the top three companies in terms of the sale of Symantec solutions in Russia and the CIS. Softline is one our most active and creative partners and it offers new and exciting opportunities for the promotion of IT solutions.”

Alexander Vasilenko Head of the VMware Office in Russia and the CIS: Softline is our oldest partner. Our first product, VMware Workstation, went on sale at Softline even before we became widely known in Russia, which we are certainly grateful for. Every year Softline is among our top three partners, it has the highest status and competences which enables the company to carry out projects of any complexity and for companies of any size.”

Softline 2011FY. Top 15 vendors in terms of turnover

Microsoft

Kaspersky

Oracle

Citrix

Autodesk

Adobe

VMware

MathWorks

Symantec

HP

IBM

ABBYY

ESET

Acronis

Veeam

Microsoft

Softline received its first Microsoft status in 1995

Since 2005 it has been a stable Gold partner of the corporation

2011FY: Softline made a turnover of $161 mln for Microsoft

Softline is the absolute leader in EA/EAS supplies

Softline Services 2011FY: Areas of Business

Virtualization

СAD and GIS

Microsoft solutions

Business consulting: ERP, CRM, SAM, ITAM

Cloud and SaaS

Training and certification

Web Development

Technical support and outsourcing

Hosting

Information Security

Personal Data Protection

Supply of hardware

BI (Business Intelligence)

Virtualization

At the end of 2011 Softline received the highest awards:

Citrix Regional Partner of the Year

VMware Emerging Market Partner of the Year – the first and only in Russia!

Best WYSE Partner 2011 and WYSE Premier Partner status!

Our clients:

> 8 years of experience > 250 projects > 1500 clients

Information Security

At the end of 2011:

Softline was recognized as the best Symantec partner in small business in the EMEA region

Partner of the year in implementing projects based on Symantec Endpoint Protection and Backup Exec

GOLD status with Trend Micro

Softline is among the Top 10 largest companies in Russia in the field of information protection (CNews rating);

Softline is a member of the Association for Information Protection and the Association for Banking Information Security Standards

More than 60 certified specialists including BSI ISMS Lead Auditor and CISA

Full set of FSB and FSTEC of Russia licenses

Widest range of “secure” vendors:

Softline: Сloud & SaaS & IaaS

Google Apps services for business

Softline is among the 20 top partners of Google worldwide It is the only Google Enterprise Reseller in Russia

Our Google clients:

Unique IaaS platform (SCloud) launched on HP, IBM, Cisco equipment. Reliable hosting from a reliable provider only at Softline!

We can put the following in a cloud for you: test environments, Help Desk systems, 1C, file servers, corporate portals, corporate mail, CRM, collaborative and communications tools.

CAD/GIS

Softline joined the Platinum Club of Autodesk partners = the club for the best of the best Autodesk partners

Softline received an Autodesk award for the highest growth in sales in Russia and the CIS

We carry out projects for: CAD standards, electronic archiving, engineering document flow, implementation of PDM systems, visualization and design, cost estimates, integration of CAD and GIS etc.

Widest range of CAD/GIS vendors:

SAM&ITAM – technology for the efficient management of IT assets

SAM&ITAM minimize risks:

Financial – you invest rationally in hardware and software, avoid duplicates and unnecessary expenses, maintain the correct accounts.

Legal – your company is “clean” in the eyes of the government, clients and partners. Technical – you protect your IT infrastructure from unproductive or malicious

applications and make full use of your right to technical support and updates.

SAM&ITAM = rational investments in IT infrastructure! Softline is the winner in Microsoft’s international tender for partner

solutions in the category for SAM service providers!

SAM technology is already in use at:

Sale and implementation of SAP solutions

Full range of services for the implementation and support of SAP from one of the largest SAP suppliers for SMBs in Russia and the CIS

More than 80 projects over 8 years

Turnkey implementation in 3-4 months

Line of solutions: SAP Business Objects, SAP Business All-in-One, standard industry solutions based on the SAP ERP, Golden Sign platform

Our status: SAP Gold Partner

Our clients:

Microsoft-based solutions

Project areas:

Implementation and support of collaborative web systems (portals, websites, document flow)

Implementation of client management systems

Implementation of communications systems

Creation of a private cloud

Implementation of IT management systems

Implementation of project management systems

Migration of infrastructure to a public cloud

Softline Training Centre

More than 2000 authorized courses in different fields of IT

32 representative offices and 18 Testing Centres in Russia and the CIS

International certificates and more than 50,000 IT specialists trained

Exclusive areas of authorized training:

Business training in sales, management, financial management, project management.

Top 6 vendors:

Technical Support and Outsourcing

Central online technical support service for Russia, CIS and abroad:

Support via the Internet (HelpDesk system), by telephone or email

Full coverage of all time zones

Open 24х7

More than 100 engineers with the highest status and many years of experience

More than 100 vendors supported

Our clients:

Basic support ALL Softline clients receive free technical support for issues regarding basic functionality, initial

installation and software activation

Web Development

Development of portals, corporate websites and eCommerce systems:

10 years of experience in web development

More than 50 Internet projects developed and continuously supported

Development offices in Novosibirsk, Orenburg, Taganrog. Workforce of more than 100 employees providing a complete cycle of development

Clients: Kaspersky Lab, OPORA RUSSIA, Skolkovo Foundation, the Housing and Utilities Reform Fund and others

Softline, marginal financial results FY2011, $ mln

Margin

Against FY2010

TOTAL 111 134%

Russia, sale of software and services 72.9 135%

CIS 12.5 126%

Abroad 1.5 86% Other businesses, including:

Training Centre SAP Department

Innovative projects Aflex

Active etc.

7.9 2.2 5.3 2.4 1.3

5

131% 138% 149% 141% 188%

Main IT trends

Main long-term trends:

Cloud

Mobility

Consumerization of corporate systems =

introduction of an increasingly large number of

user devices (smartphones, tablets) into the

corporate IT system

Paradigm shift in IT:

In the USA – more than 75% of SMBs use all IT

infrastructure from the Cloud

The volume of sales of PCs and laptops is less than

smartphones and tablets

Soon the computer will no longer be the main tool

to access information

Tasks we set ourselves

To increase business by 40% over 3 years.

To ensure business profitability at the level of 5% of turnover by 2014

This is possible and feasible!

Main areas of development and growth points Development of EPG business Development of regional business Sale of software Development of services Development of expertise in certain areas of hardware Development of complex projects = Software + Hardware

+ Services

Co-brand:

Leading distributor of the widest range of software in Russia and the CIS.

Partner network of more than 6000 companies Turnover in 2011FY – $95.6 mln Top 10 vendors

Microsoft

Kaspersky

Oracle

Autodesk

ESET

Adobe

HP

Acronis

Dr.Web

MathWorks

Co-brand:

Distributed at:

Turnover in 2011FY – $ 6.7 mln

Company specialisation – development and recruitment of new vendors on an exclusive basis for the Russian and CIS markets.

Co-brand:

ActiveCloud by Softline – hosting and cloud solutions provider for SMBs

CloudServer – facilities rental service and creation of an external cloud in 5 minutes

1С hosting – deployment of financial and accounting packages in the cloud

Rental of applications – Microsoft Exchange, Open-Xchange, Megaplan etc.

Rental of software licenses – Microsoft, 1C, Symantec Backup Exec and others

Data centres in Russia, CIS and Europe. Full automation of access to cloud services.

Our clients:

Co-brand: DeskWork – corporate portal

DeskWork – packaged software developed by Softline Corporate portal with quick installation (1 day) based on SharePoint

Foundation (MS license not required) or SharePoint Server

More than 650 clients We are the absolute leaders! among packaged

portals on the Microsoft platform

New DeskWork version 6 in July: Licenses “up to 250 users” and “unlimited”

Increase in price in accordance with the market (big income for you)

Installation works (remote) will be included in the price

Three additional products: Video conferences (development of our existing module)

Graphic builder of business processes (new, similar to Nintex)

Task and project management system (new, similar to Megaplan)

Co-brand: Mirapolis – line of products to automate business processes for personnel management

Recruitment of personnel – automation of recruiting processes

Organisation of distance learning

Testing – automatic testing for any number of staff

Organisation of webinars, web conferences, online presentations, online training and all types of online meetings

Personnel evaluation – automation of personnel appraisal procedures

Portal – online resource for information storage and management and internal corporate communication

Knowledge base – storage of any electronic materials

Mailings – effective communication with clients

Surveys – online service to conduct any kind of survey

Co-brand: Copiny

Copiny – service to carry out technical support, receive feedback and organise Internet communities.

Advantages: Organisation of centralised technical support open 24x7 immediately

for all company Internet resources Receipt and systematization of feedback, collection of reviews and

suggestions Formation of a loyal community of clients.

Our clients:

Co-brand: Tekmi

Tekmi.ru – joint venture project between Softline and RBC, cloud solution to organise communication without costs for equipment and servicing as part of a combined communications concept.

Office in any location! No telephone exchanges or servers! All communication in one interface! Quick start and dynamic growth for your business!

First client – Alfa Capital

Co-brand: Magazinga – unique online sales tool

Joint project between the Softline Venture Partners foundation (www.softlinevp.com) and the Ecwid platform (www.ecwid.ru)

Magazinga offers a free design tool for online stores and product displays in order to organise sales or demonstrate services on social networks

With Magazinga you can manage sales simultaneously on different Internet platforms: on your own website, in social networks, auctions, message boards and blogs

Magazinga is an advertising agency specialising in the promotion of products on social networks. Further information: http://magazinga.com

Co-brand: Nimble (CloudGate)

Cloud product developed at Softline – SSO (Single Sign On) –platform with facilities for integration, management and billing of all SaaS services used by the client.

Single user access to all SaaS applications Single platform to manage all SaaS applications Single platform to calculate the cost of use and payment for all

SaaS applications of the company Cloud service Platform open to modification and customization Flexible usage model: as a private cloud, a public cloud or a

hybrid model

Softline Investment Fund

Size of fund:

$20 mln

Volume of investment in one project: from $100,000

to $1 mln

Start

December

2008

We invest in projects at the early stages

of development:

From the idea to the start of growth

Focus of the fund:

Cloud services

eCommerce

Corporate software for small and medium-sized businesses.

Projects in the field of mobile applications Projects:

5 reasons why Softline

Reliability and professionalism • 19 years on the market, turnover of $601 mln, range of

software of more than 3000 manufacturers

Single point to resolve all customer IT issues • Cloud & SaaS, projects for virtualization, information security,

CAD&GIS, Microsoft-based solutions, graphics, technical and legal support, ERP&CRM, software asset management, web development, training and certification.

Softline is always nearby and speaks your native language • The company has representative offices in 23 countries and 65

cities in Russia, the CIS and abroad.

The competence and expertise of Softline is recognised by clients, vendors and independent sources

• Top positions in the ratings of CNews Analytics, Expert PA, CRN/RE, @ASTERA.

Softline is trusted by the leading market players • Gazprom OJSC, LUKOIL OJSC, UC RUSAL, MMC Norilsk Nickel

OJSC, Aeroflot – Russian Airlines OJSC, Baltika Breweries OJSC, Beeline Company Group, MegaFon OJSC, MTS OJSC, Rostelecom OJSC, NESTLE RUSSIA LLC, Wimm-Bill-Dann Foods OJSC, British American Tobacco, Coca-Cola, Samsung Electronics, Siemens, VTB24 Bank, Alfa Bank, Rosbank JSCB and many others.

Don’t be afraid to grow!

Welcome to the world of Softline!

Questions? Contact us!

Softline Romania Tel: +4 021.387.3440

Fax: +4 021.387.3441

info@softline.ro

www.softline.ro