Dhi Group, Inc. · NYSE:DHX
Dhi — Q2 2017 Earnings Presentation
22 slides from Dhi's earnings presentation, Jul 27, 2017
Slide 1: Q2 2017 Business Update & Financial Highlights
DHI Group, Inc. Q2 2017 Business Update & Financial Highlights July 27, 2017 Cantor Fitzgerald 4th Annual Internet & Technology Services Conference February 2017 Luc Gregoire Chief Financial Officer 1
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation and oral statements made from time to time by our representatives contain forward-looking statements. You should not place undue reliance on those statements because they are subject to numerous uncertainties and factors relating to our operations and bus
Slide 3: Overview
Overview Michael Durney Chief Executive Officer 3
Slide 4: Our Vision: Be the Leading Global Provider of Tech & Next Gen Talent Solutions
Our Vision: Be the Leading Global Provider of Tech & Next Gen Talent Solutions Serve tech employers and engage tech professionals across all industries in all markets Leverage the tech talent acquisition franchise to expand next-gen sourcing solutions to the broader market 4
Slide 5: How We Win: Our Tech-Focused Strategy
How We Win: Our Tech-Focused Strategy I. Focus resources behind core tech talent brands II. Deepen engagement with professionals III. Invest further in solutions that address evolving recruiting needs IV. Acquire complementary assets to accelerate growth 5
Slide 6: Objectives for 2H 2017
Objectives for 2H 2017 1. Return Dice to Growth 2. Reposition tech-focused franchise as the go-to resource to find and connect with the best talent 3. Develop products, services, and insights to help professionals manage their careers 4. Create an efficient organization structure to serve the changi
Slide 7: Customer Initiatives – Open Web, APIs, Chrome Extension, Partnerships
Customer Initiatives – Open Web, APIs, Chrome Extension, Partnerships “Lead with Open Web” Go-To-Market Strategy Solutions Approach to Solve Customer Pain Points # of Dice Customers with Open Web Social sourcing from over 200 online 2,337 sources 2,072 1,696 1,371 Hyper-targeted online job ads and
Slide 8: Marketing Investment
Marketing Investment Goals Media • Increase unaided awareness Radio • Increase aided awareness Partnerships • Increase unique applicants Contextual • Increase unique first time users Display • Grow annual renewals Dynamic • Grow winbacks Remarketing 8
Slide 9: Professional Engagement
Professional Engagement Tech Career Tools – Dice Careers App Driving Increasing Engagement 9
Slide 10: Capital Allocation Priorities
Capital Allocation Priorities Reinvest in core tech franchise Bolt-on acquisitions Return capital Debt Reduction In the meantime, we lower revolver balance and preserve liquidity 10
Slide 11: Tech-Focused Progress Report
Tech-Focused Progress Report Tech Focused Strategy Progress I. Focus resources behind core tech talent brands Commenced divestiture of non-tech businesses Implemented function-based organizational structure Repositioned resources behind key initiatives II. Deepen engagement with professionals
Slide 12: Financial Overview
Financial Overview Luc Gregoire Chief Financial Officer 12
Slide 13: Revenue Highlights ($'s millions)
Revenue Highlights ($’s millions) Quarterly Revenues Revenue Summary $58.3 $57.7 $56.1 $54.9 $52.2 $52.4 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17 % Y/Y (4)% (4)% (7)% (9)% (11)% (9)% % Y/Y excl. FX (3)% (3)% (6)% (7)% (8)% (8)% 13
Slide 14: Dice U.S. Performance Metrics
Dice U.S. Performance Metrics Dice Ending RPC Count Dice Avg. Monthly Revenue Per RPC 7,450 7,300 7,250 $1,118 $1,124 $1,122 $1,117 $1,110 $1,108 7,050 6,800 6,750 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17 Q1 '16 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17 Y/Y (4%) (6%) (6%) (7%) (9%) (8%) Y/Y 4% 4% 2% 0% (1
Slide 15: Revenue Summary Operations Summary
Revenue Summary Operations Summary Note: See reconciliations of non-GAAP measures in the appendix to this presentation. 15
Slide 16: Cash Flow & Balance Sheet ($'s millions)
Cash Flow & Balance Sheet ($’s millions) Operating Cash Flow & Capex Debt & Cash 14.5 12.2 12.0 99.0 92.0 9.2 86.0 78.0 8.0 71.0 4.2 3.2 3.2 3.5 29.5 29.4 3.0 23.0 24.7 23.5 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17 Q2 '16 Q3 '16 Q4 '16 Q1 '17 Q2 '17 Operating Cash Flow Capex Debt Cash 16
Slide 17: Full Year 2017 Financial Outlook
Full Year 2017 Financial Outlook Revenue – Year-over-year rate of decline abates progressively in 2H of year Expenses – Run rate for 2H similar to Q2 2017, with a slight increase in tech marketing and product development offset by efficiencies from organizational simplification Adjusted EBITDA
Slide 18: Capital Allocation Priorities
Capital Allocation Priorities Reevaluate short-term priorities based on progress of Non-Tech divestitures Reinvest in core tech franchise Bolt-on acquisitions Return capital Debt Reduction 18
Slide 19: Wrap Up + Q & A
Wrap Up + Q & A Cantor Fitzgerald 4th Annual Internet & Technology Services Conference February 2017 Luc Gregoire Chief Financial Officer 19
Slide 20: Appendix
Appendix Cantor Fitzgerald 4th Annual Internet & Technology Services Conference February 2017 Luc Gregoire Chief Financial Officer 20
Slide 21: Notes Regarding the Use of Non-GAAP Financial Measures
Notes Regarding the Use of Non-GAAP Financial Measures The Company has provided certain non-GAAP financial information as additional information for its operating results. These measures are not in accordance with, or an altemative for, generally accepted accounting principles in the United States (
Slide 22: Non-GAAP Supplemental Data
Non-GAAP Supplemental Data 22