Microlise Group Plc · LSE:SAAS
Microlise — H1 2022 Earnings Presentation
25 slides from Microlise's earnings presentation, September 2022
Slide 1: Investor Presentation: Interim Results, 6 months to June 2022
INVESTOR PRESENTATION: INTERIM RESULTS 6 months to June 2022 Nadeem Raza, Chief Executive Officer Bill Wynn, Chief Financial Officer Nick Wightman, Finance Director V1.0 PRIVATE & CONFIDENTIAL
Slide 2: Presentation Team
PRESENTATION TEAM NADEEM RAZA BILL WYNN NICK WIGHTMAN Chief Executive Officer Chief Financial Officer Finance Director Joined Microlise in 1987. Led a management buyout of the Bill joined Microlise in 2007 as Finance Director and Company Nick joined Microlise in 2012 and played a key role in the Gro
Slide 3: A leading provider of transport management solutions to enterprise customers
A LEADING PROVIDER OF TRANSPORT MANAGEMENT SOLUTIONS TO ENTERPRISE CUSTOMERS V1.0 PRIVATE & CONFIDENTIAL
Slide 4: Solving complex needs with proprietary software and hardware solutions
+ Solving complex needs with proprietary software and hardware solutions + Automating critical processes and providing real time data 1982 570K+ <1% 600+ 5 Established Active Subscriptions Very low customer Staff Offices + Customers benefit from cost savings, emissions churn rate reductions and othe
Slide 5: A Proprietary Modular Platform
A PROPRIETARY MODULAR PLATFORM ENABLING GLOBAL ENTERPRISES TO RUN HIGHLY COMPLEX LOGISTICS SUPPLY CHAINS FLEET FLEET FLEET FLEET FLEET FLEET PLANNING& & PLANNING JOURNEY JOURNEY DRIVER DRIVER CONNECTED CONNECTED PERFORMANCE PERFORMANCE COMPLIANCE COMPLIANCE SAFETY SAFETY OPTIMISATION OPTIMISATION MA
Slide 6: Helping customers meet their commitments
HELPING CUSTOMERS MEET THEIR COMMITMENTS LOGISTICS FLEET OPERATORS IMPROVE ACROSS A RANGE OF KPIS INCLUDING ENVIRONMENTAL EMISSIONS, OPERATING EFFICIENCY AND SAFETY STANDARDS V1.0 PRIVATE & CONFIDENTIAL
Slide 7: Our Locations
OUR LOCATIONS Nottingham, UK Coventry, UK Marseille, France Pune, India Pune, India Auckland, New Zealan Melbourne, Australia V1.0 PRIVATE & CONFIDENTIAL
Slide 8: Highlights
HIGHLIGHTS +5% +10% 0% +10% Revenue Recurring Revenue EBITDA ARR £30.7m £19.8m £4.1m £40.2m +3% 0% +19% Cash & Cash Subscriptions Churn Equivalents 570K 0.1% £15.8m V1.0 PRIVATE & CONFIDENTIAL
Slide 9: Market Positioning & Strategy
MARKET POSITIONING & STRATEGY V1.0 PRIVATE & CONFIDENTIAL
Slide 10: Our Customer's Market
OUR CUSTOMER’S MARKET DISRUPTION TO THE WIDER COSTS, COMPLEXITY AND RISING FUEL COSTS MEANS DRIVER TRANSPORT SECTOR COMPETITION ON THE RISE PERFORMANCE SOFTWARE IS ESSENTIAL Increased demand and increased fuel Increasing pressure to deliver high Approximately one third of a costs, driver shortages,
Slide 11: Operational Environment
OPERATIONAL ENVIRONMENT + Component shortages expected through to mid-2023 with initial easing of the situation in Q4 2022 / Q1 2023 + New vehicle availability has impacted direct customers’ ability to upgrade fleets impacting Microlise implementation projects. + Strong demand for Microlise products
Slide 12: Financial Review
FINANCIAL REVIEW V1.0 PRIVATE & CONFIDENTIAL
Slide 13: Revenue Split
REVENUE SPLIT • Total revenue increased 5% to £30.7m from £29.1m in H1 2021. 35.0 • Recurring revenue increased 10% to £19.9m from £18.0m in H1 2021 as a 30.0 result in strong growth in revenues from both direct and OEM customers 25.0 • Hardware revenue increased 10% to Revenue £M's 20.0 £8.8m from
Slide 14: Profit & Loss
PROFIT & LOSS 6 months to 6 months to Jun-22 Jun-21 Change • Total Gross Margin as a percentage of sales has grown from 59% in H1 2021 to 60% in H1 2022 £000's £000's £000's % Revenue Non Recurring Hardware 8,776 7,964 812 10% and represents an increase of 7% year on year Services 2,063 3,211 (1,148
Slide 15: Balance Sheet
BALANCE SHEET 6 months to Jun-22 6 months to Jun-21 Change £000's £000's £000's % Assets Non-current Assets Property, plant and equipment 8,645 7,930 715 9% Intangible Assets 75,373 76,128 (755) (1)% Investments in associate 1,719 1,773 (54) (3)% Deferred tax 0 808 (808) (100)% Trade & other receiva
Slide 16: Cash Flow
CASH FLOW 6 months to 6 months to Change Jun-22 Jun-21 £000's £000's £000's % Cash flows from operating activities Cash generated from operations 5,714 3,401 2,313 Tax (paid) / received (28) (42) 14 Net cash generated from (used in) operating activities 5,686 3,359 2,327 69% Cash flows from investin
Slide 17: Key Points
KEY POINTS V1.0 PRIVATE & CONFIDENTIAL
Slide 18: Outstanding track record of success as a business and for our customers
Outstanding track record of success Financially sound and a Trusted by leading hauliers and Trusted by OEMs and as a business and for our customers growing organisation transport operators manufacturers Product innovation ethos 150+ people focused at product Skilled team Dedicated Benefits Realisati
Slide 19: Clear Growth Strategy
CLEAR GROWTH STRATEGY Existing Customers New Products Mid Fleet Product OEM and Reseller Growth + More accessible products and services for + Launch with MAN on new brands in Dubai, ANZ, Structural New smaller fleet operators Malaysia, West and Central African countries Upsell Growth Products + New
Slide 20: Outlook
OUTLOOK V1.0 PRIVATE & CONFIDENTIAL
Slide 21: Outlook
OUTLOOK The six months to 30 June 2022 was a period Despite market headwinds, our team has proved of substantial progress for Microlise. resilient and continued to deliver in the first half of the year. We further strengthened our global business through the addition of more than 60 new customers, w
Slide 22: Microlise Transport Conference 2022
MICROLISE TRANSPORT CONFERENCE 2022 Took place on the 18th May, at The Coventry Building Society Arena One of Europe’s Largest Transport Conference’s Over 1,000 delegates attended The Princess Royal attended/presented driver of the year award Speakers including: Microsoft, DfT, DVSA, Mercedes- Benz,
Slide 23: ESG Commitments
ESG COMMITMENTS Microlise is continuing to develop its ESG credentials with projects underway to offset the Group’s carbon footprint. 100% 300 NEW GRADUATE SCHEMES SOLAR PANELS & CHARGING POINTS Highlights include our plans to install solar panels at our apprentice software school children Graduate
Slide 24: Disclaimer
DISCLAIMER For the purposes of this document, the presentation that follows (the “Presentation”) shall as at the date of the Presentation. There can be no assurance that future results or events It is a condition of your receiving the Presentation that you fall within, and you warrant to mean and in
Slide 25: Microlise Limited contact details
Microlise Limited Farrington Way, Eastwood, Nottingham, United Kingdom NG16 3AG +44 (0)1773 537000 enquiries@microlise.com microlise.com V1.0 PRIVATE & CONFIDENTIAL