Coveo Solutions, Inc. · TSX:CVO
Coveo Solutions — Q2 2023 Earnings Presentation
26 slides from Coveo Solutions's earnings presentation, Nov 7, 2022
Slide 1: Fiscal 2023 Q2 Financial Results
Fiscal 2023 Q2 Financial Results For the three months ended September 30, 2022 November 7, 2022
Slide 2: Disclaimer
This presentation (“Presentation”) is qualified in its entirety by reference to, and must be read in conjunction with, the information contained Market, Industry, and Other Data Disclaimer in our Annual Information Form dated June 14, 2022 (the “AIF”), as well as in our unaudited condensed interim c
Slide 3: Q2 Performance Highlights
Q2 Performance Highlights Louis Têtu Chairman and CEO
Slide 4: Q2 FY'23 Highlights
Q2 FY’23 Highlights 47% 43% 111% SaaS Subscription Total Revenue Growth Net Expansion Rate(1) Revenue(1) Growth LoB Growth $4.7M All Lines of Business growing Adjusted Operating double digits on a trailing- Loss(2) twelve-months basis (1) SaaS Subscription Revenue and Net Expansion Rate are Key Perf
Slide 5: Customer Land Examples
Customer Land Examples Commerce Licensed Sportswear Retailer Lottery and Gaming Electrical Retailer Global online manufacturer and Corporation EU based, specialized in household retailer of licensed sportswear, responsible for lottery and gaming within appliances and electricals collectibles and spo
Slide 6: Informatica, a leader in Cloud Data Management
Informatica, a leader in Cloud Data Management Industry: Software Founded: 1993 Headquarters: Redwood City, CA, U.S. Coveo and Informatica have a long-standing partnership that started in 2016. Since then, they 5,000+ active customers including have grown as a global enterprise leader in Cloud Data
Slide 7: Coupa, a global technology platform for Business Spend Management
Coupa, a global technology platform for Business Spend Industry: Software & Services Management Founded: 2006 Headquarters: San Mateo, CA, U.S. Connecting hundreds of organizations with more than eight million suppliers globally Coveo has partnered with Coupa to help companies gain visibility into,
Slide 8: A global digital first Consumer Brands group
A global digital first Consumer Brands group Industry: E-commerce Founded: 2004 Headquarters: Europe The Company’s purpose is to significantly improve how brands connect digitally to consumers Dozens of owned brands and hundreds of platform clients Results from Coveo’s Commerce personalization solut
Slide 9: New Product Features Commerce and Service
New Product Features Commerce and Service Merchandising Hub Enhancements Next-Gen Insight Panel Component • Social proofing (badging) can now be • Enables administrators to easily deploy easily and scalably deployed on a next-generation Coveo Hosted Insight product listing pages Panel in Salesforce
Slide 10: Q2 Financial Highlights
Q2 Financial Highlights Jean Lavigueur CFO
Slide 11: Revenue Growth
Revenue Growth USD millions, except % Q2 FY’23 YoY Total Revenue $27.9 43% SaaS Subscription Revenue $25.5 47% % of Total Revenue 91% Self-Managed Licenses and Maintenance $0.3 (66%) % of Total Revenue 1% Professional Services $2.2 60% % of Total Revenue 8% 11 Copyright © Coveo Solutions Inc. All ri
Slide 12: Key Performance Indicators
Key Performance Indicators 47% Q2 FY’23 SaaS Subscription 25.5 Revenue (1) Growth (Year-over-Year) $88.7M, up 51% YoY 17.3 Current SaaS Subscription $ millions Remaining Performance Obligations(1) As of Sept. 30, 2022 111% Net Expansion Rate(1) As of Sept. 30, 2022 Q2 FY'22 Q2 FY'23 (1) SaaS Subscri
Slide 13: Adjusted Gross Profit Measures
Adjusted Gross Profit Measures % Q2 FY’23 Q2 FY’22 Gross Profit 76% 78% Adjusted Gross Profit(1) 78% 79% Product Gross Profit 82% 82% Adjusted Product Gross Profit(1) 83% 82% Professional Services Gross Profit 16% 35% Adjusted Professional Services Gross Profit(1) 24% 38% (1) Adjusted Gross Profit (
Slide 14: Operating Loss
Operating Loss USD millions Q2 FY’23 Q2 FY’22 Operating Loss $11.6 $7.4 Adjusted Operating Loss(1) $4.7 $5.2 Net Loss $9.9 $61.9 (1) Adjusted Operating Loss is a non-IFRS measure. Please refer to the "Non-IFRS Measures and Ratios" section of the disclaimer to this Presentation, and to the "Reconcili
Slide 15: Q3 FY'23 and Full Year Guidance
Q3 FY’23 and Full Year Guidance USD millions, except shares Q3 FY’23 Full Year FY’23 outstanding SaaS Subscription Revenue(1) $25.6 – $26.1 $101.5 – $103.0 Total Revenue $27.6 – $28.1 $110.0 – $111.5 Adjusted Operating Loss(2) $5.0 – $6.0 $23.0 – $25.0 Weighted Average Shares 104.8 – 105.3 million 1
Slide 16: Thank you!
Thank you! Coveo will host its inaugural Capital Markets Day on Thursday, November 17, 2022, at the TMX Market Centre in Toronto. Please contact Paul Moon at investors@coveo.com for additional information. The in-person event is limited to the financial analyst and institutional investor community.
Slide 17: Q2 FY'23 Results Q&A
AA® t wy COVEO The Relevance Company Q? FY'23 Results Q&A
Slide 18: Appendix
Appendix Copyright © Coveo Solutions Inc. All rights reserved. Proprietary and CONFIDENTIAL 2022
Slide 19: Condensed Interim Consolidated Statements of Income or Loss and Comprehensive Income or Loss
Condensed Interim Consolidated Statements of Income or Loss and Comprehensive Income or Loss (in thousands of US dollars, except share and per share data, unaudited) Note: Net loss in the three months ended September 30, 2021, was principally impacted by a non-cash loss of $39.2 million and an assoc
Slide 20: Condensed Interim Consolidated Statements of Income or Loss and Comprehensive Income or Loss
Condensed Interim Consolidated Statements of Income or Loss and Comprehensive Income or Loss (in thousands of US dollars, unaudited) Copyright © Coveo Solutions Inc. All rights reserved. Proprietary and CONFIDENTIAL 2022
Slide 21: Reconciliation of Adjusted Operating Loss to Operating Loss
Reconciliation of Adjusted Operating Loss to Operating Loss (in thousands of US dollars, unaudited) “Adjusted Operating Loss” is defined as operating loss excluding share-based payment and related expenses, amortization of acquired intangible assets, acquisition-related compensation, transaction-rel
Slide 22: Reconciliation of Adjusted Gross Profit Measures and Adjusted Gross Profit (%) Measures
Reconciliation of Adjusted Gross Profit Measures and Adjusted Gross Profit (%) Measures (in thousands of US dollars, unaudited) “Adjusted Gross Profit”, “Adjusted Product Gross Profit”, and “Adjusted Professional Services Gross Profit” are respectively defined as gross profit, product gross profit,
Slide 23: Reconciliation of Adjusted Operating Expense Measures and Adjusted Operating Expense (%) Measures
Reconciliation of Adjusted Operating Expense Measures and Adjusted Operating Expense (%) Measures (in thousands of US dollars, unaudited) “Adjusted Sales and Marketing Expenses”, “Adjusted Research and Product Development Expenses”, and “Adjusted General and Administrative Expenses” are respectively
Slide 24: Condensed Interim Consolidated Statements of Financial Position
Condensed Interim Consolidated Statements of Financial Position (in thousands of US dollars, unaudited) Copyright © Coveo Solutions Inc. All rights reserved. Proprietary and CONFIDENTIAL 2022
Slide 25: Condensed Interim Consolidated Statements of Cash Flows
Condensed Interim Consolidated Statements of Cash Flows (in thousands of US dollars, unaudited) Copyright © Coveo Solutions Inc. All rights reserved. Proprietary and CONFIDENTIAL 2022
Slide 26: Definition of Key Performance Indicators
Definition of Key Performance Indicators “SaaS Subscription Revenue” means Coveo’s SaaS subscription revenue, as presented in its financial statements in accordance with IFRS. “Current SaaS Subscription Remaining Performance Obligations” is a forward-looking indicator of anticipated future revenue u