Slide 1: FY2020 Financial Results Investor Presentation
For personal use only FY2020 FINANCIAL RESULTS INVESTOR PRESENTATION
Slide 2: Our Purpose
OUR PURPOSE For personal use only Bringing Governance and Efficiency to the organisations our communities depend on. Public Sector State Government Local Government Regulated Industries Financial Services & Insurance 2
Slide 3: Agenda
CLICK TO EDIT MASTER TITLE STYLE For personal use only • Click to edit Master text styles • Second level • Third level • Fourth level AGENDA • Fifth level COMPANY RESULTS BUSINESS LINE RESULTS STRATEGY OUTLOOK
Slide 4: FY20 Financial Highlights
FY20 FINANCIAL HIGHLIGHTS For personal use only 4
Slide 5: FY20 Recurring Revenue Growth
FY20 RECURRING REVENUE GROWTH For personal use only 5
Slide 6: Recurring Revenue
RECURRING REVENUE Significant Transformation over the past 5 years For personal use only 70 63 63 62 50 65 53 39 43 31 34 FY16 FY17 FY18 FY19 FY20 Start FY21 Start FY21 Recurring revenue Non-recurring revenue Objective 30 June 2020 ARR + Itree ARR 6
Slide 7: Agenda
CLICK TO EDIT MASTER TITLE STYLE For personal use only • Click to edit Master text styles • Second level • Third level • Fourth level AGENDA • Fifth level COMPANY RESULTS BUSINESS LINE RESULTS STRATEGY OUTLOOK
Slide 8: Content Solutions
CONTENT SOLUTIONS For personal use only Increasing Recurring Revenue mix REVENUE – A$m • Overall growth in revenue was driven by an increase in subscription software FY2020 FY2019 % CHANGE revenue of 101%, offset by a decrease in perpetual (upfront) licence fee revenue of 31%. 50.3 48.0 5% • Cloud-b
Slide 9: Keystone
KEYSTONE For personal use only REVENUE – A$m Strong license revenue growth • Subscription revenue growth of 8%. FY2020 FY2019 % CHANGE • Overall revenue growth impacted by 48% decrease in services revenue following successful completion of major consulting project at 6.8 7.1 4% Victorian Dept. Envir
Slide 10: Connect
CONNECT For personal use only REVENUE – A$m Strong revenue growth • Achieved milestone of $5m in ARR. FY2020 FY2019 % CHANGE • Continued strong growth in subscription revenue of 34%, driven by 81% increase in usage over FY2020. 4.1 3.1 34% • Rapid acceleration in customer usage following changes in
Slide 11: Secure Collaboration Built for Government
SECURE COLLABORATION BUILT FOR GOVERNMENT 9,000,000 209 220 204 For personal use only 198 193 184 188 8,000,000 178 180 171 174 161 164 167 157 170 7,000,000 149 152 141 143 138 6,000,000 120 5,000,000 $4.95m $4.68m $4.62m 4,000,000 $4.51m $4.32m $4.26m $4.25m $4.22m $4.18m 70 $3.88m $3.77m $3.58m 3
Slide 12: Planning Solutions
PLANNING SOLUTIONS For personal use only REVENUE – A$m Portfolio of market leading solutions for local government • During the past 12 months, more than NZ$11.5 billion in building FY2020 FY2019 % CHANGE applications have been processed through Objective building consenting solutions in New Zealand.
Slide 13: Agenda
CLICK TO EDIT MASTER TITLE STYLE For personal use only • Click to edit Master text styles • Second level • Third level • Fourth level AGENDA • Fifth level COMPANY RESULTS BUSINESS LINE RESULTS STRATEGY OUTLOOK
Slide 14: Invest to Develop Outstanding Software
INVEST TO DEVELOP OUTSTANDING SOFTWARE For personal use only RESEARCH & DEVELOPMENT INVESTMENT Increasing leads to… Outstanding investment products & in R&D solutions DELIVERING OUTSTANDING so that we can… SOLUTIONS IS CENTRAL TO delivering… EVERYTHING WE DO GROUP REVENUE The best Financial outcomes
Slide 15: Our Strategy
OUR STRATEGY For personal use only 1 2 3 4 Engineer Deliver more Grow our Family Attract New Fans #OUTSTANDING opportunities solutions for Customers
Slide 16: Our Strategy
OUR STRATEGY For personal use only 1 Engineer Attract New Fans #OUTSTANDING solutions 2 3 4 Deliver more Grow our Family Attract New Fans opportunities for customers
Slide 17: Consistent and Significant R&D Investment
CONSISTENT AND SIGNIFICANT R&D INVESTMENT All R&D investment fully expensed For personal use only 18 30.0% 16 25.0% 14 20.0% 12 20.0% 10 15.0% 8 6 10.0% 4 5.0% 2 9.6 9.4 9.3 9.1 9.4 9.7 11.0 11.3 12.9 13.1 13.2 15.7 - 0.0% FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Annual R&D Annual
Slide 18: Our R&D Development Labs Are Located Where Our Customers Are
CONSISTENT AND SIGNIFICANT R&D INVESTMENT 4 Our R&D development labs are located where our customers are For personal use only Sydney, Australia Wollongong, Australia Reading, UK Palmerston North, NZ DEVELOPMENT LABS SINGAPORE EDINBURGH PALMERSTON NORTH BRISBANE WELLINGTON PERTH SYDNEY ADELAIDE WOLL
Slide 19: Palmerston North Centre of Excellence
PALMERSTON NORTH CENTRE OF EXCELLENCE For personal use only
Slide 20: Wollongong Development Lab
WOLLONGONG DEVELOPMENT LAB For personal use only
Slide 21: Objective IQ
OBJECTIVE IQ User experience remains a key differentiator for Content Services A unified user experience Platform products. For personal use only Objective IQ is core to the development of a consistent user experience across all Objective products. This is a mature market and feature It provides a d
Slide 22: Our Strategy
OUR STRATEGY For personal use only 2 Deliver more opportunities for Customers 1 3 4 Engineer Grow our Family Attract New Fans #OUTSTANDING solutions
Slide 23: Product Portfolio
PRODUCT PORTFOLIO For personal use only CONTENT SOLUTIONS FY2020 REVENUE $50.3m KEYSTONE FY2020 REVENUE $6.8m Target verticals: local, state & federal government + regulated industries Target verticals: government & financial services Robust governance Streamline content-driven Leverage information
Slide 24: Products for Key Markets
PRODUCTS FOR KEY MARKETS For personal use only CENTRAL STATE LOCAL REGULATED FINANCIAL GOVERNMENT GOVERNMENT GOVERNMENT INDUSTRIES SERVICES 24
Slide 25: Products for Key Markets
PRODUCTS FOR KEY MARKETS For personal use only CENTRAL STATE LOCAL REGULATED FINANCIAL GOVERNMENT GOVERNMENT GOVERNMENT INDUSTRIES SERVICES 25
Slide 26: Revised Portfolio Business Lines
REVISED PORTFOLIO BUSINESS LINES Following acquisition of Itree For personal use only CONTENT SOLUTIONS KEYSTONE SOLUTIONS Target verticals: local, state & federal government + regulated industries Target verticals: government & financial services Robust governance Streamline Leverage information Se
Slide 27: Our Strategy
OUR STRATEGY For personal use only 3 Grow our Family 1 2 4 Engineer Deliver more Attract New Fans #OUTSTANDING opportunities solutions. solutions for customers
Slide 28: Organically Grown Products
ORGANICALLY GROWN PRODUCTS For personal use only
Slide 29: Objective Acquires Itree
OBJECTIVE ACQUIRES ITREE Government RegTech Specialist joins Objective For personal use only Transaction effective 1 July 2020 All employees, including current CEO, Ben Hobby, have joined Objective Consideration fully funded from existing Objective cash reserves EPS and Cashflow accretive at
Slide 30: Itree Overview
ITREE OVERVIEW Objective and Itree share a closely aligned to mission and corporate culture For personal use only Safer Preserve Protect Communities Environments Citizens Itree provides technology solutions for government and industry to efficiently perform their duties within safety, regulation, co
Slide 31: Itree Overview
ITREE OVERVIEW Federal, State & NZ Government customer focus For personal use only
Slide 32: Itree Financial Highlights
ITREE FINANCIAL HIGHLIGHTS FY21 revenue expectation of $14m, $8m ARR For personal use only Transitioning to Subscription Government Focused1 Aligned Market Coverage1 Revenue1 2% 14% 42% 58% 98% 86% Recurring Revenue Government Customers Services Revenue Commercial Customers Australia New Zealand 1 B
Slide 33: RegWorks Expands Industry Solutions Suite
REGWORKS EXPANDS INDUSTRY SOLUTIONS SUITE RegWorks line of business applications rapidly expands Objectives suite of Industry Solutions, moving Objective deeper into the For personal use only regulatory processes of Government Customers. Aligned User Experience Governance Engine
Slide 34: Itree Product Portfolio Reach
ITREE PRODUCT PORTFOLIO REACH Driving national consistency to improve outcomes for children at risk For personal use only Data is harmonised, Ready for Enable agencies to make searching better decisions by allowing secure share, search, match, link and access to REACH UI Government Proactively sea
Slide 35: Reach Integration with Objective Connect
REACH INTEGRATION WITH OBJECTIVE CONNECT Reach matches sensitive data stubs provided by disparate agencies and Connect provides a highly secure way of exchanging more For personal use only detailed case information HEALTH POLICE Government REACH UI Agency Matching records are shared by Proactively s
Slide 36: Growth Through Acquisition
GROWTH THROUGH ACQUISITION For personal use only
Slide 37: Accelerated Transformation
ACCELERATED TRANSFORMATION Investment in R&D + Acquisition Strategy For personal use only Ongoing commitment to R&D together with a PLANNING & BUILDING targeted acquisition strategy has resulted in the ability to accelerate delivery of products to market. SOLUTIONS PROFESSIONAL SOLUTIONS REGTECH VER
Slide 38: Our Strategy
OUR STRATEGY For personal use only 4 Attract New Fans 1 2 3 Engineer Deliver more Grow our Family #OUTSTANDING opportunities solutions for customers
Slide 39: Global Footprint of Customers
GLOBAL FOOTPRINT OF CUSTOMERS Our existing customer base provides a pool of advocates that attracts new fans For personal use only CUSTOMERS (FANS) 1000+ ORGANISATIONS 60 + COUNTRIES
Slide 40: Digital Engagement
DIGITAL ENGAGEMENT A digital engagement strategy that guides customers through all stages of the lifecycle For personal use only MARKETING #OUTSTANDING SALES FINANCE CUSTOMER EXPERIENCE CUSTOMER SUPPORT LEGAL
Slide 41: Digital Engagement
DIGITAL ENGAGEMENT Leverage digital buying journey of Objective Redact which generates over 50% of revenue from North America For personal use only
Slide 42: Agenda
CLICK TO EDIT MASTER TITLE STYLE For personal use only • Click to edit Master text styles • Second level • Third level • Fourth level AGENDA • Fifth level COMPANY RESULTS BUSINESS LINE RESULTS STRATEGY OUTLOOK
Slide 43: Outlook
OUTLOOK For personal use only 1 2 3 4 Engineer Deliver more Grow our Family Attract New Fans #OUTSTANDING opportunities solutions for Customers
Slide 44: FY2021 Outlook
FY2021 OUTLOOK For personal use only 1 2 3 4 Engineer #OUTSTANDING Deliver more opportunities Grow our Family Attract New Fans solutions for Customers • Planned investment of more • Deliver #outstanding customer • Leverage financial capacity to • Expand global footprint of than 20% of revenue in R&D
Slide 45: Safe Harbour
SAFE HARBOUR For personal use only This document is provided to recipients for information purposes only. This document has not been filed, lodged, registered or approved in any jurisdiction and recipients should keep themselves informed of, comply with and observe all applicable legal and regulator