Integrated Research Limited · ASX:IRI
Integrated Research — Shareholder Meeting (November 2022)
26 slides from Integrated Research's shareholder meeting presentation, Nov 23, 2022
Slide 1: 2022 AGM Presentation to Shareholders
Integrated Research Ltd > ABN 76 003 588 449 Level 9, 100 Pacific Highway, North Sydney NSW 2060 Australia t: +61 (2) 9966 1066 f: +61 (2) 9966 1042 e: info.ap@ir.com 23 November 2022 ASX Market Announcements Office Australian Securities Exchange Limited 2022 AGM PRESENTATION TO SHAREHOLDERS Integra
Slide 2: FY2022 Annual General Meeting
Integrated Research Limited (ASX: IRI) FY2022 Annual General Meeting 23 November 2022
Slide 3: How to Ask a Question
How to ask a Question • To ask a written question select the Q & A icon • Select the topic your question relates to from the drop-down list • Type your question in the text box and press the send button • To ask a verbal question follow the instructions below the broadcast window 2
Slide 4: How to Vote
How to Vote • When the poll is open, select the vote icon at the top of the screen Items of Business • To vote, select either For, Against or Abstain 2A Re-elect Mr Sam Sample as a Director FOR AGAINST ABSTAIN • You will see a vote confirmation 2B Re-elect Ms Jane Citizen as a Director • To change o
Slide 5: Chairman's Address
Chairman’s Address Peter Lloyd
Slide 6: FY22 Financials Summary
FY22 Financials Summary Matthew Walton – Interim CFO
Slide 7: Full-Year Performance Review: Statutory
Full-Year Performance Review: Statutory (A$M) Cash receipts and cash position remain strong in a challenging year 78.5 78.8 75.5 62.9 CASH RECEIPTS FROM REVENUE 20% CUSTOMERS 4% Jun-21 Jun-22 Jun-21 Jun-22 21.9 21.1 16.9 8.5 NET OPERATING EBITDA 61% CASHFLOW 20% Jun-21 Jun-22 Jun-21 Jun-22 12.3 7.9
Slide 8: Full-Year Performance Review: Proforma
Full-Year Performance Review: Proforma (A$M) Proforma – more reflective of underlying performance 75.1 66.1 68.1 56.7 TOTAL CONTRACT ANNUAL RECURRING VALUE (TCV) 25% REVENUE 1 3% Jun-21 Jun-22 Jun-21 Jun-22 69.6 68.4 26.6 24.5 PROFORMA PROFORMA SUBSCRIPTION REVENUE 2% EBITDA 8% Jun-21 Jun-22 Jun-21
Slide 9: Revenue Analysis: TCV, Statutory, Proforma and ARR
Revenue Analysis: TCV, Statutory, Proforma and ARR Consolidated Revenue A$M 120 100 80 60 40 20 0 2017 2018 2019 2020 2021 2022 Proforma Proforma Subscription ARR Statutory TCV 8
Slide 10: Geographic and Product Revenue Analysis
Geographic and Product Revenue Analysis Geographic Americas revenue- US$M Asia Pacific revenue - A$M Europe revenue - £M 60 20 12 10 15 40 8 10 6 20 4 5 2 0 0 0 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 Proforma Subscription ARR Statutory TCV Proforma
Slide 11: Proforma Subscription Revenue
Proforma Subscription Revenue APAC the standout with growth across all product lines APAC – A$M Americas – US$M Europe - £M 33.5 30.9 7.1 14.0 12.1 12.4 6.5 12.4 +0% +6% 2.3 -14% 2.0 8.1 7.6 21.1 18.5 4.8 4.5 5.9 +33% -12% -8% 4.5 FY21 FY22 FY21 FY22 FY21 FY22 Collaborate T&I Collaborate T&I Collabo
Slide 12: Operating Costs
Operating Costs Continued commitment to innovation with disciplined overhead controls Product and Technology Sales and Marketing General and Administration 50 A$M 50% A$M 50 A$M 30% 52% 60% 45 50 52% 45 25% 40 40% 45 50%40 35 40 43.4 35 29% 41.1 20% 30 30% 35 40%30 23% 30 25 25 30%25 15% 20 22.8 20%
Slide 13: Innovation - Investment Over Last 2 Years
Innovation - Investment Over Last 2 Years Pro-active cloud-based innovation pipeline to support customers ~$20m spend on 34% innovation over last 2 years 71% of 6% spend on R&D SaaS based investment products 29% 37% 31% dedicated to new cloud- based vendor products Cloud Collaborate Cloud Transact C
Slide 14: CEO Address
CEO Address John Ruthven
Slide 15: Company Overview
Company Overview 30+ years performance management over 600 enterprise and service >25% Fortune 500 customers experience provider customers globally 6 million ~60 countries 450% growth in users on our SaaS platform licensed and monitored four offices users 14
Slide 16: Blue Chip Customer Base
Blue Chip Customer Base Long-term, high value relationships based on mission critical solutions Tech | Telco BFSI Health | Gov | Edu Other 10/25 Fortune 500 6/20 largest Australian 8/10 top US telcos 7/10 top US banks companies companies (market cap) 15
Slide 17: Phased Strategy
Phased Strategy Supporting the evolving market trends Phase II execution Phase I Phase III new business innovation scale new products Promote value proposition beyond grow market share vendor tools Leverage existing Extend product suite - new customers through value- SaaS platform & products added p
Slide 18: Short-term Challenges
Short-term Challenges Balancing market disruption with opportunity Collaborate Transact & Infrastructure Operational - shorter-term contracts; - real-time and high-value - sales execution and customers evaluating move to payments market still evolving underperformance UCaaS - time-lag as enterprise
Slide 19: Addressing the Challenges
Addressing the Challenges Execution focus to transitioning the business to long-term sustainable performance Sales performance Product Cost 1. Leadership re-fresh – experienced 1. Customer co-innovation to 1. Cost base re-aligned to strategy business builders; accelerate time to market 2. ~10% headc
Slide 20: Collaborate – The Opportunity
Collaborate – The Opportunity Positive long-term trends from market growth and increasing complexity today The CIO’s Challenge 5.8m IR monitored users • ‘Work from anywhere’ policies increase Cloud environments to manage (home, office, café, etc.) conferencing 417m Telephony • Proliferation of multi
Slide 21: Collaborate - Key Growth Drivers
Collaborate - Key Growth Drivers Positive long-term trends from market growth and increasing complexity Structural market change – Cloud based applications and solutions creating more flexibility for businesses to operate across multiple environments Expanding workplace environments – remote working
Slide 22: Transact - The Opportunity
Transact - The Opportunity Well positioned to benefit from cards growth and expanding cashless payment methods Today The Payments Industry’s IR monitors ~600m Challenge transactions daily* addressable • Evolving at a rapid rate market 1,267B • Effectively manage booming transaction growing at 18.6%
Slide 23: Transact - Key Growth Drivers
Transact - Key Growth Drivers Well positioned to benefit from cards growth and expanding cashless payment methods Structural market change – entrenched behavioral change by consumers and businesses to non-cash payment methods Expanding payment types and channels – increasing use of debit and credit
Slide 24: FY23 Key Priorities
FY23 Key Priorities Strong foundation from which to grow Returning the Americas and Europe to growth Increasing new product adoption and traction High customer retention and ongoing managed migration to cloud Launch of generation II products – building on the new SaaS products launched in FY22 Retai
Slide 25: Trading Update
Trading Update - Majority of first half contracts are executed in December in line with prior year trends - Year-to-date (4 months to 31 Oct) - average contract life increased to 3.2 years - ARR trending in line with same time last year - 10 new customers signed - Customer IT budgets appear to remai
Slide 26: Disclaimer
Disclaimer SUMMARY INFORMATION FORWARD LOOKING STATEMENTS NOT AN OFFER This document and the associated transcript (together “the presentation”) has The presentation contains certain "forward-looking statements”. The words The presentation is for information purposes only and is not a prospectus, be
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