Ikegps Group Ltd · NZX:IKE
Ikegps — FY2022 Earnings Presentation
25 slides from Ikegps's earnings presentation, May 31, 2022
Slide 1: FY22 performance overview
FY22 performance overview The Pole OS™ Company Glenn Milnes, CEO glenn.milnes@ikegps.com 31 May 2022 // Confidential
Slide 2: Important Notice
Important Notice Information in this Presentation: • Is for general information purposes only, and is not an offer or invitation for subscription, purchase, or recommendation of securities in ikeGPS Group Limited (IKE); • Should be read in conjunction with, and is subject to, IKE’s FY22 financial re
Slide 3: Agenda and Contents
Agenda and Contents • Performance highlights and key performance charts • Financial statements • Market overview • Customer reasons to buy • Direct go-to-market, brand, and CX model. • Q&A . ikeGPS 3
Slide 4: A strong year. FY22 Performance Highlights
A strong year. FY22 Performance Highlights 122% growth in new contracts won against PCP and 71% revenue growth • FY22 revenue of ~$16m (+71% vs pcp). • 2H FY22 revenue of ~$10.3m (+108% vs pcp) • FY22 Subscription and Transaction revenue of ~$12.m (+73% vs pcp). ~75% of IKE’s revenue in FY22 came fr
Slide 5: $16m revenue (+71% pcp). Continued positive shift in revenue composition
$16m revenue (+71% pcp). Continued positive shift in revenue composition 46% CAGR of recurring subscription and re-occurring transaction revenue Takeaways: • 46% CAGR of recurring subscription and reoccurring transaction revenues over past three years (shown by the Green and Blue segments in the cha
Slide 6: $26m of new signed contracts in FY22 (+122% pcp)
$26m of new signed contracts in FY22 (+122% pcp) Relationship of the timing of signed contracts to recognized revenue Takeaways: • Chart shows the approximate nine-month correlation between the timing of signed contracts against subsequent recognized revenue levels. • The reason for this timing is t
Slide 7: 178% higher transaction revenue vs pcp
178% higher transaction revenue vs pcp Substantial growth in platform utilization Takeaways: • Approximately 178% higher transaction revenue vs PCP, evidences increasing customer usage of IKE solutions. ikeGPS 7
Slide 8: Strong momentum across key metrics
Strong momentum across key metrics. FY23 growth outlook underpinned by significant signed contract backlog. ikeGPS 8
Slide 9: 71% revenue growth
71% revenue growth. Focused investment into sales & product development, to fuel FY23 and beyond. Takeaways: • 2H FY22 revenue of ~$10.3m (+108% vs pcp) • FY22 Subscription and Transaction revenue of ~$12.m (+73% vs pcp). ikeGPS 9
Slide 10: Strong, sustainable balance sheet
Strong, sustainable balance sheet Cash and receivables of $29.5m ($24.5m cash & $5m receivables) Takeaways: • This cash & receivables position is approximately the same total position as December 2021, demonstrating the operating leverage in the business as revenue scales without the requirement for
Slide 11: IKE speeds network construction & maintenance for electric utilities
IKE speeds network construction & maintenance for electric utilities, communications, and engineering customers across North America, via three software solutions Business model upshot: • A recurring Subscription to access any IKE Solution • Additive, reoccurring Fees based on usage • Optional value
Slide 12: Digitization and accuracy for faster network engineering, via the IKE Office solution
Digitization and accuracy for faster network engineering, via the IKE Office solution ikeGPS 12
Slide 13: Pole Loading Analysis, via the IKE Structural solution
Pole Loading Analysis, via the IKE Structural solution Embedded customers include a 5 of the 10 largest investor-owned utility groups in the U.S. • Pole Loading • Structural integrity • Clearance Analysis • NESC compliance ikeGPS 13
Slide 14: Low Code AI for any data or imagery, via the IKE Insight solution
Low Code AI for any data or imagery to provide insights into distribution assets, via the IKE Insight solution Integrates with existing applications, data, and systems, such as… Joint Use Software Data Bases IKE Insight GIS Systems Data source and image agnostic Cloud Providers Existing Data Drones
Slide 15: Example IKE Insight application
Example IKE Insight application Automated pole segmentation & object detection Generate ROI by automating manual analysis Gain insights from new or previously collected imagery or data with configurable AI and predictive analytics Built to solve an array of (via Lidar, Thermal, Drone, Aerial, Tablet
Slide 16: Supporting those who give us power
Communications Market Macro IKE is Meeting Market Demand Supporting those who give us power Electric utilities play a pivotal role in supporting homes, businesses and public safety. We help them to help those who need safe and reliable power. ikeGPS 16
Slide 17: Addressing a large market opportunity across the U.S. electric utilities segment
Communications Market Macro Electric Utility Market macro tail winds Addressing a large market opportunity across the U.S. electric utilities segment > 3,200 electric utilities across the U.S. facing common challenges. • Outages • Environmental clean-up costs • Aging infrastructure • Significant leg
Slide 18: Leaning into the Digital Divide
IKE is Meeting Market Demand Leaning into the Digital Divide Why in 2021 would a professional copywriter living in a rural US community need to park at a Taco Bell to access broadband? ikeGPS 18
Slide 19: Addressing a large market opportunity across the U.S. Communications segment
Communications Market Macro market tail winds Addressing a large market opportunity across the U.S. Communications segment • >$300B expected investment into fiber network development in the U.S over next 5+ years. • >$50B expected investment into 5G network development in the U.S. over the next 5+ y
Slide 20: In good company
In good company IKE has >350 sticky enterprise subscription customers and counting….. Multiple expansion examples.... ikeGPS 20
Slide 21: Compelling productivity improvements
Compelling productivity improvements Embedding IKE in long term customer relationships with recurring and re-occurring revenue sources.... ikeGPS 21
Slide 22: A direct sales and delivery model
A direct sales and delivery model Meet some of IKE’s Outside Plant experts, targeting to deliver the best CX in our industry ikeGPS 22
Slide 23: A Board with deep industry experience
A Board with deep industry experience Board of Directors Alex Knowles Mark Ratcliffe Rick Christie / (MSc (Hons) Chemistry) Chairman and Director Independent Director Independent Director Alex has investing and operating experience Mark joined IKE most recently from Chorus, where Rick Christie is th
Slide 24: Outlook
Outlook Strong growth to continue • The level of signed contracts in the year to March 2022 of ~$26m provides the foundation for strong potential revenue growth in FY23. • Our sales pipeline has also continued to develop robustly. • This pipeline consists of opportunities to expand within existing c
Slide 25: Thanks…
Thanks… IKE's Purpose is Manaakitanga, meaning We Rise by Lifting Others. Dedicated to Serving Communications Companies, Electric Utilities, and Engineering Service Providers. Who are focused on: • Faster communications network deployment • Improving the quality of power network data • Keeping engin