Integrated Research Limited · ASX:IRI
Integrated Research — H1 FY2018 Earnings Presentation
16 slides from Integrated Research's earnings presentation, Feb 15, 2018
Slide 1: FY2018 Half Year Financial Results
For personal use only Integrated Research Limited (IRI) FY2018 Half Year Financial Results February 2018 ABN: 76 003 588 449 6 of the 10 of the 125+ of the Top 10 Top 10 Fortune 500 Automotive US banks Companies 6 of the 7 of the 10 Top 10 biggest Fin Services Telcos Companies Innovation Globally ‘T
Slide 2: Who we are, what we do
WHO WHAT WE ARE WE DO IR Capabilities For personal use only IR is the leading global provider of user Prognosis provides best in class experience and performance performance management across management solutions for Unified unified communications, contact centers Communications, Payments and IT and
Slide 3: Market & Technology Leadership
Market & Technology Leadership For personal use only The Company: IR • Global, publicly listed, profitable and growing • Over 1,200 enterprise customers worldwide • 125+ Fortune 500 customers • 5 of the 6 ‘Leaders’ in the Gartner Communications Outsourcing Magic Quadrant are IR Customers • Microsoft
Slide 4: Market Recognition
Market Recognition For personal use only “UCC has become a crucial “..we wanted to formally “IR was named as an IDC technology for success in recognize those companies Innovator for its competitive digital transformation that demonstrated leadership advantage derived from its initiatives, yet many i
Slide 5: Prognosis architecture supports future growth
Prognosis architecture supports future growth For personal use only 5
Slide 6: Financial Results
For personal use only Financial Results 6
Slide 7: Key Highlights
Key Highlights For personal use only Financial Results Financial Performance • Total Revenue up 5% to $45.7m Americas and APAC continue to grow • Licence Sales up 7% to $25.6m Deal slippage in Europe • UC Licence Sales up 25% to $16.9m Cyclical downturn in Infrastructure • Net Profit After Tax
Slide 8: Financial Results
Financial Results For personal use only December December 2017 2016 % change A$000’s A$000’s Licence sales 25,576 23,917 7% Maintenance revenue 13,532 13,602 (1%) Testing solutions revenue 2,815 2,134 32% Consulting revenue 3,778 3,686 3% Total revenue 45,702 43,339 5% R&D expenses - net 7,376 7,559
Slide 9: Research & Development
Research & Development For personal use only December December 2017 2016 % change A$000’s A$000’s Gross spend 8,328 6,550 27% • Additional developers hired during the half Capitalised development (5,956) (4,415) 35% • Development expense capitalised Amortisation 5,004 5,424 (8%) • Amortised over a t
Slide 10: Recurring Revenue
Recurring Revenue Total Half Year Recurring Revenue A$’000 For personal use only 45,000 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 - FY 13 FY 14 FY 15 FY16 FY17 FY18 Increase in term recurring 87% Recurring revenue base of revenue transactions – compounding is now recurring average term
Slide 11: UC Growth: All routes covered
UC Growth: All routes covered For personal use only Cisco Cisco’s biggest customers and partners continue to choose Prognosis IR joins elite Cisco SolutionPlus program - inclusion on price book; quota retirement and commissions for global channel Cisco HCS-G (FedRAMP) will not benefit the curr
Slide 12: Balance Sheet
Balance Sheet For personal use only Dividends (cents) 4.0 December December 3.5 2017 2016 3.0 A$000’s A$000’s 2.5 2.0 1.5 1.0 Cash at bank 9,605 9,477 0.5 0.0 Current receivables 38,662 31,131 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Interim Non-current receivables 28,164 23,311 Intang
Slide 13: Product Line Performance
Product Line Performance For personal use only Revenue by Dec 2017 Dec 2016 % Product Line ($A) change 8 year A$000’s A$000’s CAGR 21% Unified Communications 27,796 23,555 18% Infrastructure 10,435 12,396 (16%) Payments 3,693 3,702 - • Strong Unified Consulting Services 3,778 3,686 3% Communications
Slide 14: Regional Performance
Regional Performance For personal use only Americas Revenue (US$'000) Asia Pacific Revenue (A$'000) Europe Revenue (£'000) 30,000 8,000 6,000 7,000 25,000 5,000 6,000 20,000 4,000 5,000 15,000 4,000 3,000 3,000 10,000 2,000 2,000 5,000 1,000 1,000 0 0 0 Revenue by Geographic region Dec 2017 Dec 2016
Slide 15: Summary
Summary For personal use only Financial Results Financial Performance • Total Revenue up 5% to $45.7m Americas and APAC continue to grow • Licence Sales up 7% to $25.6m Deal slippage in Europe • UC Licence Sales up 25% to $16.9m Cyclical downturn in Infrastructure • Net Profit After Tax up 20%
Slide 16: Thank you. Questions?
For personal use only Thank you. Questions? 16
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