FOR DISCUSSION PURPOSES ONLY CONTAINS DATE SENSITIVE INFORMATION “Safe Harbor” Statement provided under the Private Securities Litigation Reform Act of 1995: Certain of the information contained herein may be considered forward- looking statements; and because such statements involve risks and uncertainties, actual results may vary materially from those referred to in such statements. Please refer to a discussion of certain of these risks and uncertainties in the Company’s Annual Report on Form 10-K, plus Form 10-Qs and other Securities and
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FOR DISCUSSION PURPOSES ONLY CONTAINS DATE SENSITIVE INFORMATION
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FOR DISCUSSION PURPOSES ONLY
CONTAINS DATE SENSITIVE INFORMATION
“Safe Harbor” Statement provided under the Private Securities Litigation Reform Act of 1995: Certain of the information contained herein may be considered forward-looking statements; and because such statementsinvolve risks and uncertainties, actual results may vary materially from those referred to in such statements.Please refer to a discussion of certain of these risks and uncertainties in the Company’s Annual Report on Form 10-K, plus Form 10-Qs and other Securities and Exchange Commission filings.
1974 – Formed in Detroit
1994 – IPO ($45 MM)
1997 – Listed on NYSE ($250 MM)
1999 – Industry Peaked ($742 MM)
2000-2001 – Post Y2K & Dotcom Period
2001-2004 – Reinvented Business Model
- Growth in Public Sector
- Growth in Europe
- Growth in Solutions: ~30% : ~70%
2006 – New C.O.O. and U.S. Operating Alignment/Focus
Quick History
CIBER Today
>30 years and growing
~$1 billion annualized revenue run rate
~8,250 Employees in 18 countries
High customer satisfaction (2005: 96+%), >80+% recurring customers
enhancement• Mobility and wireless• Portal development
CIBERsites and Local Branches
Systems Implementation and Integration• BI/DW services• Middleware assessment and implementation• ERP selection and assessment, implementation and integration
CIBER Enterprise Solutions, Global Enterprise Integration Practice, Local Branches
Ongoing Support• Outsourcing of IT Operations• Application management• ERP support • Help desk• Hosting
CIBERsites
The Solution Life Cycle
Putting Our Reinvention Together
Commercial64%
State5%
Federal6%
1999
Europe0%
$742 MM
ERPPackages
25%
Commercial40%
Commercial35%
State14%
State15%
Federal19%
Federal14%
2004 2006e
Europe17%
Europe24%
ERPPackages
10%
ERPPackages
12%
SAP (14%)
~$987 MM$843 MM
U.S.
CIBER’s U.S. Commercial Practice
• ~$360 million run rate• 30 offices
• Fortune 1000 & Middle Market• ~ 3,200 employees
Local Service, Supported Globally High accountability Client intimacy
Strategic Value-Add National Practices
- SOA, MDD, IT Ops.
CIBERsites (Domestic & India)
BUILD – INTEGRATE – SUPPORT
“Consultative Selling” Approach
Global Delivery
CIBERsites (U.S. & India)
• CIBERsites – India• Lowest cost possibility (~$22/hr.); plus other costs• Experienced management team• When CMM Level 5 is desired• When “Follow the Sun” strategy needed for support• When offshore is definitely the client’s choice
CIBER offers TWO choices to clients seeking lowest cost
• CIBERsites – U.S.• Domestic low-cost development centers (~$35-50/hr.)• Blended with Outsourced Operations
(Hosting, Call Centers, Outsourced Services, Security)• Blend of senior and newer professionals• Multiple sites and skills; project basis only• When looking for alternative to onsite and offshore
CIBER’s Public Sector Practices
Federal State & Local
Revenues - ~$140MM ~$150MM
Employees - ~1,600 ~1,100
States - 50 45
- Agencies >100 >600
Specific Solutions - ● Civilian ● SACWIS
● Defense & Intel. ● WIC
● Experience ● Nat’l Resources ● Transportation
● Referencability ● IM/IT (Training) ● Labor Sys.
● Outsourcing ● Financial Sys.
● Port Security ● Portals (eGov)
CIBER Enterprise Solutions (US-ERP)
• Practice strengths include:
• SAP
• Oracle / PeopleSoft / JDE
• Lawson
• Supply Chain (& RFID)
• Technology Solutions (IBM Hardware Reselling)
• ~$120 million run rate
• 12 offices in US, Canada and UK
• Higher Ed, Healthcare, …
• ~ 550 employees
CIBER Europe at a Glance
UK20%
Other18%
Support 8%
Germany18%
Manufacturing30%
SAP Development & Implementation
43%
Nordic(NO-SW-FN-DN)
22%
Public Sector
14%Staffing
8%
Countries
R.O.W.5%Netherlands
30%
Industry Sectors
Financial Services
10%
Energy & Utilities
10%
Service Offerings
Consulting18%
Spain5%
15 Countries23 Offices
>1,500 Employees
% by Revenue
Retail 18%
~$235 MM
Includes Eastern Asia
Hdwr/Soft5%
Custom Development & Implementation
18%
*
* 2006e
Financial Trends
0
200
400
600
800
1000
2001 2002 2003 2004 2005 2006g
$MM
Revenue
0
15
30
45
60
2001 2002 2003 2004 2005 2006g
¢
GAAP EPS
CAGR ’01 - ’05 ~ 14% CAGR ’01 - ’05 ~ 21%
2006 Has Shown Progress
Issues Getting Better Great & Good
Federal “Stall”
ERP Recruiting
ERP Services GP
Overall GP
Project Execution
India “Capacity”
India Delivery
Europe Margins
State & Local Margins
Contract Wins
Opportunity Pipeline
Client Reputations
Esprit de Corps
Financial Trends
0
200
400
600
800
1000
2001 2002 2003 2004 2005 2006g
$MM
Revenue
0
15
30
45
60
2001 2002 2003 2004 2005 2006g
¢
GAAP EPS
CAGR ’01 - ’05 ~ 14% CAGR ’01 - ’05 ~ 21%
Organic Revenue Growth
By Segment
- Commercial (13.8%)
- Federal 27.1%
- State & Local (7.6%)
CES (ERP) (6.4%)
TOTAL 3.4%
Europe 15.9%
Custom
1.3%
2.2%
4.2%
9.5%
3.3%
5.9%
Year over Year
2004 2005
6.0%
(14.3%)
12.8%
14.5%
5.2%
10.2%
9 mos. over 9 mos.
2006
*
**
***
Adjusted to reflect sale of IBM staffing business
Adjusted for foreign exchange impact
5.9 5.54.8
3.34.0
5.2 4.7
0.0
2.0
4.0
6.0
8.0
10.0
1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06(F)
27.9 27.626.6
25.5 25.9
27.726.7
22.0 22.1 21.8 22.2 21.922.5 22.5
20.0
22.0
24.0
26.0
28.0
30.0
1Q05 2Q05 3Q05 4Q05 1Q06 2Q06 3Q06 4Q06(F)
Improving Margins A Priority
Gross Margin and SG&A
Operating Income
Gross Margin Expansion
Recent Results & Outlook
3rd Quarter 2006 Results Revenue $247MM
- Organic growth of 5%
Earnings $0.10/share
4Q06 & 2006 Outlook 4Q06 C’06
Revenue $246-251MM $984-989MM
Earnings $0.12-.14/share$0.40-.42/share
Investment Thesis
• 30+ Year History
• 96%+ Client Satisfaction
• ~$1 Billion, 18 Country Scale
• Diverse Business Model- Private & Public Sectors- Custom & Package Solutions- Domestic & International Delivery