Slide 1: Q2 2021 Results | Presentation
Artificial Solutions® (SSME:ASAI) Q2 2021 Results | Presentation Per Ottosson, CEO and Fredrik Törgren, CFO Tuesday, August 10, 2021
Slide 2: Presenters
PRESENTERS Per Ottosson | CEO Has +25 years of experience from leading positions in the software and SaaS industry Most recently spent 10 years with IPSoft (Amelia) - US based vendor of enterprise AI solutions - as Chief Revenue Officer M.Sc. Business & Administration, Stockholm School of Economics
Slide 3: About Artificial Solutions
ABOUT ARTIFICIAL SOLUTIONS GLOBAL BLUE-CHIP CLIENTS ▪ Multi-award-winning Conversational AI for the Enterprise in 86 languages ▪ Founded in 2001; Listed on NASDAQ in Q1 2019 ▪ Creators of Teneo, an advanced Enterprise Conversational AI Framework ▪ Own a unique corpus of natural language STRATEGIC PA
Slide 4: Artificial Solutions Market
ARTIFICIAL SOLUTIONS MARKET • What does the person want? • Can you help me (service request) • What language are they using? • I have a question (information request) • Are people, places and details • I need to get this done (action request) mentioned? • What should I do (decision request) • What i
Slide 5: Q2 Operational Highlights
Q2 OPERATIONAL HIGHLIGHTS ▪ Strategically important SaaS deal with large multinational US Tech company ▪ Signed three-year SaaS deal with Telefónica Deutschland / O2, a leading telecom operator ▪ Signed a LUIS^Teneo SaaS deal together with our partner Microsoft with telecom operator A1 Bulgaria ▪ On
Slide 6: Key Financial Highlights in Q2 2021
KEY FINANCIAL HIGHLIGHTS IN Q2 2021 ▪ Net sales* amounted to 10.7 MSEK (12.5), down 14% ▪ Recurring revenues * amounted to 8.8 MSEK (8.9), down 1% ▪ Usage revenues * amounted to 3.8 MSEK (2.7), up 38% ▪ Rolling 12 months recurring revenues* amounted to 34.8 MSEK (31.1), up 12% ▪ Reported net sales a
Slide 7: Growth in Recurring Revenues
GROWTH IN RECURRING REVENUES | KEY IN TRANSITIONING TO SAAS MODEL R12 recurring revenues growing from 31 MSEK to 35 MSEK (12% growth) and usage revenues growing from 8 MSEK to 14 MSEK (71% growth) * Recurring Revenues MSEK R12 Q2 2020 – Q2 2021* MSEK CAGR % 50 12% Growth YoY 40 35 MSEK 12 % 31 MSEK
Slide 8: Continue on Our Low OPEX Trajectory
CONTINUE ON OUR LOW OPEX TRAJECTORY | 37% REDUCTION VS Q1 2020 OPEX Runrate MSEK – Q1 2020 vs. Q1-Q2 2021 – Reduction of 67 MSEK 178 MSEK ▪ Headcount reduced from 111 in Q2 2020 to 62 in Q2 2021 105 MSEK 111 MSEK ▪ OPEX runrate of 111 MSEK for the first six months 2021 ▪ Monthly OPEX in Q2 2021 belo
Slide 9: Strengthened Balance with Directed Issue
STRENGTHENED BALANCE WITH DIRECTED ISSUE | SUCCESSFULLY RAISED 120 MSEK EXCL. TRANSACTION COSTS 140 131 MSEK ▪ Successful and oversubscribed 15 120 directed in Q2 2021 100 — Improved cash position 80 — Strengthened our shareholder base 60 116 ▪ Monthly OPEX in Q2 2021 below 37 MSEK 10 MSEK 40 15 20
Slide 10: Ongoing Transition to a SaaS Model
ONGOING TRANSITION TO A SAAS MODEL Some existing customers stay on old model 2021 and some have decided to move to the JUL 2021 new model; new clients in new • Won Deal with A1 MAY 2021 Bulgaria model. • 120 MSEK directed • Renewal deal with issue to execute on Circle K APR 2021 new strategy • Strat
Slide 11: Highly Scalable SaaS Model
HIGHLY SCALABLE SAAS MODEL | SMALL & LARGE CUSTOMER CASES Subscription revenues from accessing Teneo Development Suite provides basis in the new model coupled with 100% volume linked user revenues (#API calls) Annual Recurring Revenues (ARR) – Small & Large Customer Modelling MSEK 1.2 2.9 0.3 Small
Slide 12: 100 MUSD 3X 13 bn SaaS
SWEDISH HORIZONTAL AI | B2B SAAS | AZURE 100 MUSD 3X Customer Growth 37% 1,700+ Horizontal Technology Cost Reduction LUIS Customers 13 bn SaaS 22,5% $100 Billion 84% Carbon Reduction Proven Team CAGR IDC: Global spending on artificial intelligence (AI) is forecast to double over the next four years,
Slide 13: Artificial Solutions
ARTIFICIAL SOLUTIONS