Slide 1: Investor Presentation August 2015
TECHNOLOGY | INNOVATION | SOLUTIONS Investor Presentation August 2015
Slide 2: Forward-looking Statements & Non-GAAP Financial Information
TECHNOLOGY | INNOVATION | SOLUTIONS Forward-looking Statements & Non-GAAP Financial Information 2 Forward-Looking Language This presentation and all publicly available documents, including the documents incorporated herein and therein by reference, contain, and our officers and representatives may f
Slide 3: Key Financial Statistics
TECHNOLOGY | INNOVATION | SOLUTIONS Key Financial Statistics 3 •Adjusted EBITDA ^ Market Stats Stock Price (8/11/15) $9.60 Diluted Shares Outstanding 22.2M 52 Week High $12.95 Diluted Market Capitalization $213M 52 Week Low $7.97 Total Debt (at 6/30/2015) $0.2M Average Daily Volume (3 months) 38,398
Slide 4: Our Mission and Vision
TECHNOLOGY | INNOVATION | SOLUTIONS Transform the guest services experience in the hospitality industry. Build lasting connections with our team, our customers, our stakeholders and our communities. Our Purpose Our Vision Our Mission and Vision 4
Slide 5: Established In-Market Product Offerings
TECHNOLOGY | INNOVATION | SOLUTIONS Established In-Market Product Offerings: Interfaced, Not Common Platform Workforce Management (Staff) 2% of Revenue Property Management (Book, Arrive, Order) 27% of Revenue Point-of-Sale (Order) 56% of Revenue Inventory & Procurement (Procure) 11% of Revenue Docum
Slide 6: Key Differentiators
TECHNOLOGY | INNOVATION | SOLUTIONS 6 Key Differentiators The best hospitality knowledge coupled with the best technology talent Competitive Strengths Scalability Support deployments from single lane café (POS) to 8,000 room property (PMS) on a single instance Scalability Scalability High levels of
Slide 7: rGuest Technology Development Strategy & Plan
TECHNOLOGY | INNOVATION | SOLUTIONS 7 rGuest Technology Development Strategy & Plan • Shifting focus from product-centric solutions with a high number of software modules and operating silos to integrated platform centric solution for Lodging, F&B and Payments applications • Designed to run as a Sof
Slide 8: rGuest Platform & Product Offering Overview: End-to-End Solutions
TECHNOLOGY | INNOVATION | SOLUTIONS 8 rGuest Platform & Product Offering Overview: End-to-End Solutions Agilysys’ Unified Platform for Delivering its Next Generation Offerings Promote Staff Survey Promote Supply Seat Reserve Seat Stay Buy Stay Upsell Profile Analyze NextGen Offering Today’s Offering
Slide 9: rGuest: Managing the Guest Experience
TECHNOLOGY | INNOVATION | SOLUTIONS 9 rGuest: Managing the Guest Experience RESERVE/BOOK 1 ARRIVE/PLAN 2 ORDER/ENJOY 5 ORDER/REST 4 SIT 3 DEPART 6 REFLECT 7 rGuest Seat 1 rGuest Pay RESERVE/BOOK rGuest Seat 3 SIT rGuest Buy 4 rGuest Stay ORDER rGuest Pay 5 4 rGuest Buy ORDER 5 rGuest Analyze 7 rGues
Slide 10: rGuest Platform Value Proposition
TECHNOLOGY | INNOVATION | SOLUTIONS 10 rGuest Platform Value Proposition Guest Recruitment, Improve Recruitment Personalized Service, Strengthen Connection Revenue & Profit Growth, Increase Wallet Share Optimize Operations, Reduce Costs 10
Slide 11: Delivering Vision Through the rGuest Platform
TECHNOLOGY | INNOVATION | SOLUTIONS 11 Delivering Vision Through the rGuest Platform Common User Interface Shared Configuration Common Services Cloud technology Open architecture Rich Integrations • Common services allow rapid innovation across the Agilysys suite of applications • Common User Interf
Slide 12: Product Status
TECHNOLOGY | INNOVATION | SOLUTIONS 12 Product Status Insight Mobile Manager (IMM) v1.x for LMS & Visual One rGuest Analyze rGuest Supply rGuest Buy (POS) Initial Release: Fall 2015 rGuest Pay rGuest Seat rGuest Stay (PMS) Limited Release Available 12
Slide 13: Total Addressable Market is Growing
TECHNOLOGY | INNOVATION | SOLUTIONS Total Addressable Market is Growing 13 $12B+ Market Opportunity $4B Addressed Market AGYS Product roadmap significantly expands total addressable market Industry growth expected at 5-7% annually (commissioned IHL and STR study)
Slide 14: Significant Room for Growth in Markets We Serve
TECHNOLOGY | INNOVATION | SOLUTIONS Significant Room for Growth in Markets We Serve 14 $4B in annual spending on existing software services and recurring software maintenance for current product portfolio 49% 25% 17% 9% Revenue Mix by Market (TTM*) Gaming Pinnacle Entertainment Sands Casino & Resort
Slide 15: Historical Financial Results
TECHNOLOGY | INNOVATION | SOLUTIONS Historical Financial Results 15 All numbers in thousands, except per share data *FY13 & FY14 results reflect the sale of RSG and UK entity **TTM for the twelve month period ended June 30, 2015 ^ Non-GAAP measure, see reconciliation on slide 20 & 21 $94,008 $101,26
Slide 16: Recurring Revenue Contribution Focus
TECHNOLOGY | INNOVATION | SOLUTIONS Recurring Revenue Contribution Focus 16 FY12 FY13 FY14 FY15 TTM* 55.3% 52.2% 52.5% 54.1% 53.2% 28.9% 33.0% 34.2% 30.8% 32.3% 15.8% 14.8% 13.3% 15.1% 14.5% Product Mix (as % of total revenue) Recurring Revenue (support, maintenance & subscription) Product Revenue P
Slide 17: Strong Balance Sheet
TECHNOLOGY | INNOVATION | SOLUTIONS Strong Balance Sheet 17 Consolidated Balance Sheet (unaudited) in thousands June 30, 2015 March 31, 2015 Cash, cash equivalents and marketable securities $66,034 $75,067 Other current assets 23,434 29,950 Long-term assets 81,172 76,508 Total assets $170,640 $181,5
Slide 18: FY16 Outlook
TECHNOLOGY | INNOVATION | SOLUTIONS FY16 Outlook • Revenue Outlook • $106-108M compared to $103.5M in fiscal 2015. • Gross margin • Expected to be consistent with fiscal 2015 in high 50% range • Adjusted EBITDA • Incrementally higher Adjusted EBITDA compared to fiscal 2015 Adjusted EBITDA of $1.2M •
Slide 19: Investment Highlights
TECHNOLOGY | INNOVATION | SOLUTIONS Investment Highlights Agilysys’ solutions drive substantial customer benefits including increased revenue, reduced cost, enhanced guest experiences, and improved morale Significant growth opportunities through cross-selling, next-gen SaaS product rollout, new
Slide 20: Non-GAAP Reconciliation
TECHNOLOGY | INNOVATION | SOLUTIONS Non-GAAP Reconciliation 20 *TTM for the twelve month period ended June 30, 2015. 2013 2014 2015 TTM* Net (loss) income (1,298)$ 17,097$ (11,497)$ (9,452)$ (Loss) Income from discontinued operations, net of taxes 4,916 19,992 - - Loss from continuing operations (6,
Slide 21: Non-GAAP Reconciliation
TECHNOLOGY | INNOVATION | SOLUTIONS Non-GAAP Reconciliation 21 *TTM for the twelve month period ended June 30, 2015. 2014 2015 TTM* Operating activities: Net cash used in operating activities from continuing operations 1,384$ (2,186)$ 4,136$ Non-recurring cash items: Payments for restructuring, seve