Slide 1: FY23 Investor presentation
FY23 Investor presentation October 2023 Gordon McArthur CEO Fraser McDonald CFO
Slide 2: Page 2
The information contained in this document (the "Presentation") has been prepared by Beeks Financial Cloud Group plc (the "Company"). This Presentation has not been approved by an authorised person in accordance with section 21 of the Financial Services and Markets Act 2000 and therefore it is being
Slide 3: Cloud computing services for financial markets
Cloud computing services for financial markets ∕ We consider Beeks to be one of the largest pure play cloud providers in capital markets ∕ Financial services organisations historically slow to adopt the cloud – now gaining traction ∕ We are ideally positioned to benefit from long-term trends towards
Slide 4: Continuing to grow at pace in FY23
Continuing to grow at pace in FY23 +22% +23% +33% £22.4m £23.8m £8.4m Revenue ACMRR EBITDA ∕ Continued product innovation and ongoing customer base expansion, with a record pipeline across our Exchange Cloud and Proximity Cloud offerings. ∕ Johannesburg Stock Exchange (JSE) signed as an Exchange Clo
Slide 5: Exchange Cloud: first two Exchanges won
Exchange Cloud: first two Exchanges won ∕ Launched in June 2022, Exchange Cloud remains a transformative opportunity for Beeks ∕ A version of Proximity Cloud explicitly designed for global exchanges and electronic communication networks (ECNs) ∕ First two Exchange Cloud customers secured, with possi
Slide 6: Enabling JSE to become the cloud
Enabling JSE to become the cloud ∕ As they have publicised JSE find Exchange Cloud to be paramount to their success as the centre of financial innovation in Africa for a multitude of reasons: • 100% exchange-controlled data centre • Transformation from cost centre to profit centre • Providing cuttin
Slide 7: Proximity & Private Cloud
Proximity & Private Cloud ∕ Notable wins and customer expansion deals secured in FY23 ∕ Pipeline continues to build ∕ Launched for global Tier 1 community ∕ Unique to the market - the only fully configured, pre-installed physical trading environment optimised for low latency trading ∕ Private Cloud
Slide 8: Product innovation increases competitive strength
Product innovation increases competitive strength ∕ Major user interface refresh of ∕ Re-architecture of the ∕ Investment into enhanced the Beeks infrastructure underlying server hosting security automation portal, allowing platform used within Beeks to • Completed stage 1 of clients like the JSE an
Slide 9: Continued Growth
Continued Growth ∕ Continued sales growth + 22% ∕ ACMRR up 23% to £23.8m ∕ 33% growth in EBITDA vs prior period ∕ Majority of our revenue growth in year delivered via Private Cloud ∕ Slight yoy margin reduction ∕ Scope for improvement in FY24 margin as pipeline converted given current stock levels a
Slide 10: FY24 key objectives
FY24 key objectives ∕ Convert the Exchange ∕ Continue product ∕ Achievement of greater Cloud and Proximity development / adding operational leverage Cloud pipeline feature functionality Page 10
Slide 11: Outlook
Outlook Opportunity ∕ We continue to be supported by underlying market trends, with the ongoing shift of the financial services sector to cloud computing ∕ We have a considerable and growing pipeline Outlook ∕ We look to the future with confidence, underpinned by high levels of contracted recurring
Slide 12: Appendix
Appendix
Slide 13: Board
Board Gordon McArthur Fraser McDonald Mark Cubitt Will Meldrum CEO CFO Chairman Independent NED Kevin Covington Independent NED ∕ Founder & CEO since 2011 ∕ At Beeks since 2016 ∕ 26 years’ of PLC experience ∕ Currently SVP at S&P Global ∕ 20 years’ experience in the IT ∕ Over 20 years’ experience in
Slide 14: Income Statement
Income Statement Income Statement June-21 June-22 June-23 (£'000) (£'000) (£'000) Turnover 11,615 18,289 22,357 CoS (3,535) (6,192) (7,336) Dep and Amort (2,251) (3,867) (5,721) *Gross profit 5,829 8,230 9,300 Gross Margin % 50% 45% 42% **EBITDA 4,142 6,311 8,420 EBITDA % 36% 35% 38% ^Operating prof
Slide 15: Cash Flow
Cash Flow Cash flows from operating activities: FY21 FY22 FY23 (£'000) (£'000) (£'000) Operating cash flows before working capital (including tax paid) 4,011 6,754 8,453 Net receivables/payables/other 1,224 (2,246) (2,052) Net cash from operating activities 5,235 4,508 6,401 Purchase of PPE (net) (3
Slide 16: The evolution of Beeks Cloud
The evolution of Beeks Cloud >>> >>> >>> Client segment evolution ∕ We believe Beeks is well positioned to address the Cloud compute requirements of the world’s Public Cloud largest capital markets and financial services organisations Retail VPS Broker ∕ Beeks provide managed low-latency compute, co
Slide 17: Global infrastructure
Global infrastructure Based in the UK with a growing network of key global financial data centres Coming soon: further services, in partnership with IPC, in Mexico with European expansion planned in Spain and the Nordic region. Beeks can support 400+ cross connects in the major international finance
Slide 18: Proximity / Exchange Cloud – Change in Business Model
Proximity / Exchange Cloud – Change in Business Model ∕ Different Revenue Recognition Policy to traditional ∕ Change in % Recurring Revenue Private Cloud (Software/hardware element) – c50% ∕ Accounting only – not cash upfront on day 1 ∕ Reported separately ∕ Long term contracts with high TCV (c$1m p
Slide 19: Why it’s needed
Why it’s needed Security Business demands Location Integration Engineering support Cost ∕ Shared infrastructure ∕ Things can change in ∕ Financial organisations ∕ Integrating low latency, ∕ We believe security ∕ Monthly subscription causes problems with the financial sector very wish to deploy quick
Slide 20: The Beeks Group
The Beeks Group ∕ We consider Beeks ∕ Celebrating over ∕ Listed on the ∕ Over 100 personnel ∕ ISO certified ∕ significantly to be one of the ten years exclusive London Stock globally expanded business largest pure play service in FS and Exchange AIM and broadened cloud provider in capital markets Ma