Verimatrix Sa · EURONEXT:VMX
Verimatrix Sa — INSIDE Secure — H1 2014 Earnings Presentation
23 slides from Verimatrix Sa's earnings presentation, Aug 1, 2014
Slide 1: First Half 2014 Earnings Presentation
driving INSIDE Secure trust First Half 2014 Earnings Presentation Remy de Tonnac, CEO Richard Vacher Detournière, GM & CFO August 1, 2014 1 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 2: Disclaimer
Disclaimer This communication does not constitute an offer to purchase or exchange or the solicitation of an offer to sell or exchange any securities of INSIDE Secure. This communication contains certain statements that are neither reported financial results nor other historical information and othe
Slide 3: Agenda
Agenda H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 3 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 4: H1 2014 Key Highlights
H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 4 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 5: H1 2014 Key Highlights
H1 2014 Key Highlights • 1st half of 2014 results confirm successful execution of strategic repositioning • First success of strategy of monetization of the Groups’ NFC technology and IP with the new license agreement with Intel completed in June 2014 • Metaforic integration on-going, with encouragi
Slide 6: Q2 Revenue and Half Year Financial Overview
H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 6 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 7: Revenue Q2-2014
Revenue Q2-2014 Q2-2014 Q2-2013 Q1-2014 % Change % Change in thousands of US$ consolidated consolidated consolidated annual sequential Mobile Security 25 677 15 630 7 073 64% 263% Secure Transactions 13 658 21 095 16 325 -35% -16% Unallocated 1 513 - - - - Total Revenue 40 848 36 726 23 399 11% 75%
Slide 8: Revenue H1-2014
Revenue H1-2014 H1-2014 H1-2013 % Change in thousands of US$ consolidated consolidated annual Mobile Security 32 750 26 473 24% Secure Transactions 29 984 44 292 -32% Unallocated 1 513 - - Total Revenue 64 247 70 765 -9% Revenue split by nature Revenue split by division H1 2013 H1 2014 H1 2013 H1 20
Slide 9: H1-2014 Income Statement
H1-2014 Income Statement H1-2014 H1-2013 in thousands of US$ consolidated consolidated Significant increase in gross margin Revenue 64 247 70 765 reflecting the shift in the Group’s positioning and revenue model Cost of sales (26 425) (43 915) Adjusted gross profit 37 822 26 850 in % of revenue 58,9
Slide 10: Mobile Security
Mobile Security 10 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 11: Mobile Security
Mobile Security Revenue (in $m) Adjusted operating income (in $m) 21% 6 749 +24% 32 750 26 473 (9 620) (36%) H1 2013 H1 2014 H1 2013 H1 2014 x % Adjusted operating income in % of revenue • Strong revenue growth of 24% due to: • Licensing agreement with Intel on next generation of NFC modem technolog
Slide 12: Secure Transactions
Secure Transactions 12 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 13: Secure Transactions
Secure Transactions Revenue (in $m) Adjusted operating income (in $m) 10% 4 493 (32%) (5 504) 44 292 29 984 (18%) H1 2013 H1 2014 H1 2013 H1 2014 x % Adjusted operating income in % of revenue • H1 2014 revenue impacted by legacy EMV payment products continuing decline and pending take-off of the EMV
Slide 14: H1-2014 Cash Flow
H1-2014 Cash Flow In millions of US$ 60 Change in Acquisitions & working long term capital investments 5.9 Net income 50 excluding 2013 2.0 non-cash restructuring 9.6 2.3 cash outlays items (14.0) 40.2 3.8 (1.5) Capital 37.8 Other 40 expenditures (1.0) 1.6 99.1 30 99.1 Change in working capital (inv
Slide 15: Strong Balance Sheet
Strong Balance Sheet Assets As of June 30, 2014 Equity & liabilities 10 039 Goodwill Metaforic Goodwill 25 448 12 217 Goodwill ESS 3 192 Goodwill SMS PP&E and intangible assets 39 088 6 854 Research tax credit (net of financing) 90 580 Equity 8 746 Other receivables (net) Other non-current assets 1
Slide 16: Outlook for 2014
H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 16 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 17: Outlook 2014
Outlook 2014 Confirm positive impact of strategic repositioning • On-going efforts to license NFC technology and patents • Maintain dynamic trend on mobile security embedded products • Confirmation of first commercial success on HCE solutions thanks to Metaforic acquisition and enlarged product offe
Slide 18: Q&A
H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 18 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 19: Appendix
H1 2014 Key Highlights Q2 Revenue and Half Year Financial Overview Outlook for 2014 Q&A Appendix 19 FIRST HALF 2014 EARNINGS PRESENTATION
Slide 20: Definitions
Definitions • Adjusted measures ─ Certain financial measures and performance indicators are presented on an adjusted basis. These indicators should be considered to be supplementary information, not substitutable for any other indicators of operating and financial performance that are strictly accou
Slide 21: Reconciliation from Adjusted to IFRS H1 2014
Reconciliation from Adjusted to IFRS H1 2014 H1-1 2014 Business Sharebased Other non- H1-2014 in thousands of US$ Adjusted combination payments recurring costs IFRS Revenue 64 247 - - - 64 247 Cost of sales (26 425) (5 924) (38) - (32 386) Gross margin 37 822 (5 924) (38) - 31 860 in % of revenue 58
Slide 22: Reconciliation from Adjusted to IFRS H1 2013
Reconciliation from Adjusted to IFRS H1 2013 H1-1 2013 Business Sharebased Other non- H1-2013 in thousands of US$ Adjusted combination payments recurring costs IFRS Revenue 70 765 - - - 70 765 Cost of sales (43 915) (5 976) (54) - (49 944) Gross margin 26 850 (5 976) (54) - 20 821 in % of revenue 37
Slide 23: Investor Information
Investor Information Contacts INSIDE Secure Brunswick INSIDE Secure Corporate communication Financial communication Investor relations Géraldine Saunière Jérôme Biscay, Mathilde Rodié Richard Vacher Detournière Marcom Director +33 (0) 1 53 96 83 83 GM & CFO +33 (0) 4 42 39 33 01 INSIDE@brunswickgrou