Cyber_folks Sa · GPW:CBF
Cyber_folks Sa — FY2022 Earnings Presentation
49 slides from Cyber_folks Sa's earnings presentation, Mar 28, 2023
Slide 1: 2022 Financial Results Investor Presentation
222 2022 Financial Results Investor Presentation Tuesday, 28 March 2025
Slide 2: Our Mission
Our Mission is to empower our customers and partners to recalibrate and rescale their business, by delivering know- how and technology R22 Investor Presentation 2022 | 28/03/2023 2
Slide 3: Who we are
Who we are: In 1999 we created one of the first hosting companies in Poland. Since then we scaled our cyber_Folks” business to new sectors and regions, earning us the trust of over 340k customers and over PLN 390m in annual sales. J zenbox.pl & settintegro Profitroom® Today, we are a group of dynami
Slide 4: Management team
Ionut Ariton Adrian Chiruta Jacek Duch Jakub Dwernicki Katarzyna Garbaciak Anna Harris Katarzyna Juszkiewicz Piotr Karwatka
Slide 5: 360° Ecosystem
360° Ecosystem Servers and infrastructure. Internet and TV cyber_Folks” oxylion SaaS e-commerce Online store builder Content creation Customized templates Software for hotels Booking engine Channel manager Profitroom? B2B integrations Business AUTOMATION Hosting: WordPress, WooCommerce, PrestaShop D
Slide 6: Customer Journey
Customer Journey Delivering end-to-end value of real-life products
Slide 7: Customer Journey
Customer Journey: Build your Internet Facilitate contact with your presence: clients through omnichannel communication: + Domain registration > Marketing and transactional e-mails + Hosting WordPress, WooCommerce, PrestaShop > SMS notifications ~ E-shops tools > Web and mobile push notifications + D
Slide 8: Key Facts: Proven ability to translate customer satisfaction into profitable growth
Key Facts: Proven ability to translate customer satisfaction into profitable growth A oo = 58 40 26 BW [7 Net CFO (PLN m) 2018 2019 2020 2021 2022 Global-Scale High Quality Services Stable & growth Diversification & Customer Loyalty Cash Flow x2 above industry average ~40% CAGR We offer solutions fo
Slide 9: Our Experience
222 Our Experience Over 20 years of building digital-enabled businesses
Slide 10: Exponential growth driven by organic growth and acquisitions
Exponential growth driven by organic growth and acquisitions 446 R22 IPO CAGR: 40.0% ° e (} Revenue R22 (PLN m) 336 247 170 we : 2005 2008 2007 2008 2008 2010 201 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 ‘The date also includes financial results of Profitroom and Sellintegro, which are
Slide 11: Market
Market From local company to global player
Slide 12: Markets: Scaleup to >100 countries
Markets: Scaleup to >100 countries @Q Team Locations [J R22HQ |] R22 TOP markets 222 Investor Presentation 2022 | 28/08/2023 12
Slide 13: Total Addressable Market: 50x increase in growth potential
Total Addressable Market: 50x increase in growth potential by unlocking new products and markets Goal: Maintaining the upward trend of growth by: ~ Product Expansion: Unlocking new opportunities in the SaaS segment by broadening the product portfolio complexity to meet specific client needs. ~ Segme
Slide 14: R22: Welcoming customers all over the world
R22: Welcoming customers all over the world Pe] crow 42% >50% 30% 21% 2020 202 2022 (PF) ARGE 2990 Investor Presentation 2022 | 28/03/2023
Slide 15: Growth Dynamics
222 Growth Dynamics Turning Strategy into Results
Slide 16: Revenue: Accelerating the growth momentum
Revenue: Accelerating the growth momentum with highly diversified revenue structure 500 Revenue (m PLN) 36.5% cAGR 450 400 350 7 536 300 250 247 _ 170 150 128 100 50 ie) 2018 2019 2020 2021 2022 Hosting mCPaaS mSaaS* "SaaS segment: The data for this segment also includes financial results of Profitr
Slide 17: EBITDA: Proving our business value
EBITDA: Proving our business value 120 Adjusted EBITDA (m PLN) 35.4% cagR 104. 100 60 _ 7 , 64 60 48 40 31 20 fo) 2018 2019 2020 2021 2022 229 Investor Presentation 2022 | 28/03/2028 7
Slide 18: Net Profit: Continuous profitability and cash flow generation
Net Profit: Continuous profitability and cash flow generation 45 Net Profit (PLN m) 34.7% CAGR 40 35 30 25 20 + 15, 12 10 5 Oo 2018 2019 2020 2021 2022 222 Investor Presentation 2022 | 28/08/2023 18
Slide 19: Customers: Stability thanks to the trust of over 340k customers
Customers: Stability thanks to the trust of over 540k customers 400 Customers Cl x16 GROWTH 350 * 340 » 300 300 > 260 250 214 200 150 4100 50 2018 2019 2020 2021 2022 2D2D Investor Presentation 2022 | 28/03/2023
Slide 20: ARPU: Supporting a strong value proposition
ARPU*: Supporting a strong value proposition 1200 ARPU (PLN) 19.8% cagR 4000 _ 851 800 , 709 600 > 567 497 400 200 0 2018 2019 2020 2021 2022 *ARPU: Excluding TOP 10 customers generating % of revenue (Internal estimation). 222 Investor Presentation 2022 | 28/03/2023 20
Slide 21: 2022 Highlights
2022 Highlights Our achievements and success stories over the past year
Slide 22: R22: Record EBITDA of more than PLN 100m
R22: Record EBITDA of more than PLN 100m Adjusted EBITDA , 103.6 77.2 (PLN m) 2021 2022 Key factors driving 2022 EBITDA: + — organic growth of the two main segments (cuber_Folks and CPaaS) + dynamic growth of MailerLite (company acquired in mid-2022) + — strong expansion on global market (340k custo
Slide 23: R22: Net profit increased
R22: Net profit increased to over PLN 40 m 33.0 (PLN m) 2021 2022 Key factors driving 2022 Net profit: + — organic growth of the two main segments (cyber_Folks and CPaaS) as well as growing results of MailerLite + despite the rise of WIBOR and EURIBOR benchmarks and the foreign exchange-related fluc
Slide 24: MailerLite
MailerLite One of the biggest acquisitions in the technology sector in 2022
Slide 25: MailerLite
MailerLite Strong growth momentum and solid prospects: + 40% CAGR in revenue over the last 5 years ~ Company achieved USD 500k EBITDA per month (25% EBITDA margin) + Dynamic growth in customer base and improved monetisation Excellent strategic fit and significant synergy potential: + Strong internat
Slide 26: ESOP
\S<AZ ESOP ESOP confirms our ambitious plans
Slide 27: cyber_Folks: ESOP with a projected EBITDA of PLN 100m
cyber_Folks: ESOP with a projected EBITDA of PLN 100m The purpose of the employee loyalty program is to reward the most experienced staff. We are aware that to a large extent we owe it to them the dynamic growth of our company in recent years, as confirmed by the financial results of the hosting seg
Slide 28: cyber_Folks: ESOP with a projected PLN 100m EBITDA in 2026
cyber_Folks: ESOP with a projected PLN 100m EBITDA in 2026 Business goals of the incentive program: EBITDA ESOP cyber_Folks Beneficiaries: key employees of the company Period: fiscal years 2023-2027 5 Number of shares: 250k ESOP program is split into: 100 prog p! 85 ~ loyalty component (counted by s
Slide 29: Vercom: ESOP with a projected PLN 95m EBITDA in 2024
Vercom: ESOP with a projected PLN 95m EBITDA in 2024 Business goals of the incentive program: EBITDA 95 80 55 37 26 19 10 | (mln PLN) 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 @ Vercom EBITD, R22 Vercom business goals in ESOP (EBITDA) ESOP Vercom Beneficiaries: key employees of the company P
Slide 30: Ambitious ESOP targets
Ambitious ESOP targets EBITDA targets in cyber_Folks and Vercom incentive programmes 7 165 Bo = i |. : ; (PLN m) 2018 2019 2020 2023, 2024 2025 2026 2027 | cyber_Folks EBITDA Il Vercom EBITDA Ml cyber_Folks business goals in ESOP (EBITDA) fm Vercom business goals in ESOP (EBITDA) 222 Investor Presen
Slide 31: ESOP confirms our ambitious plans
ESOP confirms our ambitious plans Adjusted EBITDA X1.5 165.0 103.6 (PLN m) 2022 Business goal in ESOP for 2024 estimated market value by 2026. R22 Investment thesis: = = GROWTH: 40% revenue CAGR over the past decade STABILITY: ~100% of revenues generated in SaaS (ARR) model with a diversified base o
Slide 32: cyber_Folks
cyuber_Folks Building an international brand starting with the CEE market
Slide 33: cyber_Folks: We serve >250k customers increasing ARPU
cyber_Folks: We serve >250k customers increasing ARPU consistently cyber_Folks: ARPU LTM of hosting 350 > 299 300 250 210 200 100 50 2018 2019 2020 2021 , 350 2022 (PLN) Investor Presentation 2022 | 28/03/2023 33
Slide 34: cyber_Folks: Building an international brand
cyber_Folks: Building an international brand cyber_Folks begins consolidating brands in the Romanian and Croatian markets. #4st cyber_Folks.ro We are the first largest mxHost — — cyber_Folks.ro web hosting provider Gazduire.ro — consolidation in 2023 in Romania TLH > consolidation in 2023 RoHost > c
Slide 35: Romanian rebranding to cyber_Folks
ok — icat SSL 2 pentru site-ul tau 1.uliizatorilor Th site-ul tau si oferd paginii ate, securitate si poziti mai bune tn motorul cyber_Folks Bine ai venit, acum suntem cyber_Folks! M cyber_Folks’ Gazduire WordPress uc’ Insfargit este mai rapid sa § ajungi la ctienti n cpr este despre server, Fos ere
Slide 36: AI
\S<AZ Al R22 Group companies implement solutions based on artificial intelligence (Al)
Slide 37: cyber_Folks: AI domain creator; FreshMail: SendGuard
cyber_Folks: Al domain creator FreshMail: SendGuard cyber_Folks is probably the first hosting operator in Europe to provide its clients with an Al-based domain name creator. Until now, cyber_Folks clients had access to a creator based largely on the algorithmic approach, based on a synonymizer and o
Slide 38: User.com: AI Chat
User.com: Al Chat _ C=» User.com introduces an intuitive and user-friendly chat that replies to ~76% of user queries in real time thanks to Artificial Intelligence (Al). The system is powered by two models: + OpenAl Davinci-003 trained for User.com, > User.com Angel I which is restricted and hosted
Slide 39: Financial results
222 Financial results a tl
Slide 40: R22: Threefold increase in net profit
R22: Threefold increase in net profit Revenue Adjusted EBITDA Net profit 120 35 20 > 12.7 > B18 18 , 14 100 6° 16 87.2 ee 14 ° 20.9 12 20 60 10 16 8 40 10 6 5.0 4 20 5 2 (m PLN) (m PLN) (m PLN) 0 0 0 Q4 2021 Q4 2022 Q4 2021 Q4 2022 Q4 2021 Q4 2022 22D Investor Presentation 2022 | 28/03/2028 40
Slide 41: Dynamic growth of revenues and profits
Dynamic growth of revenues and profits Selected consolidated financial data: err 2 NEE Cee Oe Oz ar] 296 600 Revenue from sales EBIT Adjusted EBITDA Transaction costs ESOP Vercom Other adjustments Net Profit Net Profit attributable to shareholders of parent company Revenue: 120 400 80 4 2019 4 2020
Slide 42: Net profit: Exceptional impact of financial costs
Net profit: Exceptional impact of financial costs 3.5 1.8 | 17.4 10.9 a “5A (min PLN) Net profit Organic growth Adjustment for Adjustment for Exchange rates Increase in Net profit 94.2021 effect of write-down transaction costs interest cost 94 2022 intangible assets and ESOP valuation 22D Investor P
Slide 43: Significant increase in cash flow from operating activities
Significant increase in cash flow from operating activities Selected consolidated financial data: feu Ireuzo2t ran'2022 [change (082021 942022 [Chana | Net cash flow from operating activities 68 917 97 225 Purchase of fixed real assets and intangibles less the proceeds from -1 834 13 443 sale of fix
Slide 44: 95% conversion of EBITDA to operating cash flow
95% conversion of EBITDA to operating cash flow 104 400 97 80 77 69 61 60 58 49 40 40 31 26 20 (m PLN) 0 2018 2019 2020 2021 2022 ™ Skorygowana EBITDA* Cash flow from operating activities “EBITDA adjusted for one-off costs (transaction costs and ESOP valuations at Vercom) and gain on sale of fixed a
Slide 45: Safe debt level: EBITDA vs. net debt
Safe debt level: EBITDA vs. net debt 3.5 Adjusted EBITDA / net debt 3.0 25 2.2 2.0 15 1.0 (ok) 0.0 2018 ‘target levelof net debt to EBITDA in 2023, R22 3.2 2.6 | 1.0 2019 2020 2021 m2018 m2019 2020 m2021 m2022 2.8 2022 2023* 2023* * Considering the current debt and cash levels and the loan payment s
Slide 46: Investment Thesis
Investment Thesis Consistent distribution of profit to shareholders
Slide 47: 4th place in the Stock Exchange Company of the Year ranking
4th place in the Stock Exchange Company of the Year ranking Gieldowa "8 y Spdtka Roku 2022 : R22 was ranked 4th in a ranking of 140 companies listed on the WSE. The chapter of more than 100 members includes analysts, fund R22 managers and investment advisers. znalazto sie w gronie dziesieciu Aspects
Slide 48: Dividends: Investors benefiting from strategy execution
Dividends: Investors benefiting from strategy execution 60.00 R22 Share close price 20.0 (mPLN) (PLN) 18.0 50.00 16.0 14.0 40.00 12.0 4.0 30.00 10.0 8.0 20.00 6.0 10.00 x28 40 2.0 2.0 0.00 0.0 2019 2020 2021 2022 2023 2019 2020 2021 2022 —— Closing price MEE Value of dividends Value of share buyback
Slide 49: Contact
Contact: Jakub Dwernicki Rober Stasik Mateusz Paradowski Chairman of the Management Board Vice-President of the Management Board r22@innervalue.pl +48 516 089 279 R22 Investor Presentation 2022 | 28/03/2023 49
R22 S.A. (cyber_Folks) — FY2022 Earnings Presentation on 6ix