Slide 1: Investor Presentation
Investor Presentation Presented By Doug Gaylor, President & COO Ron Vincent, CFO June 8, 2021
Slide 2: Safe Harbor Statement
Safe Harbor This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to, among other things, our history, business lines, business str
Slide 3: Today's Presenters
Today’s Presenters Doug Gaylor Ron Vincent President & COO CFO 11 years with Crexendo 9 years with Crexendo Prior Experience: Prior Experience:
Slide 4: Crexendo – Soaring Through The Cloud!
Crexendo – Soaring Through The Cloud! • Finished 2020 with strong revenue growth and strong GAAP earnings • Q1 2021 Consolidated Revenue increase of 17% and UCaaS Service Revenue increase of 21% • Completed major acquisition of NetSapiens on June 1st, 2021 • NetSapiens is a UCaaS platform solution p
Slide 5: The Best Kept Secret in VoIP and UCaaS
Fast-Growing Tech Leader in the UCaaS The Best Kept Secret and Cloud Communications Space in VoIP and UCaaS Proprietary Collaborative Offering Extraordinarily Timely Given Market Dynamics Unparalleled Executive Telecom Crexendo® knows how to keep things connected in Experience with Over 150 Years th
Slide 6: The Way We Communicate Has Changed!
The Way We Communicate Has Changed! * Frost & Sullivan 2021
Slide 7: The UCaaS Market is Growing Rapidly – "Ride the Cloud"
The UCaaS Market is Growing Rapidly – “Ride the Cloud” Source; Frost & Sullivan 9.5% 61% The global UCaaS market is expected to grow Approximately 61% of businesses in U.S. still from $15.8 billion to $24.8 billion between operating with antiquated, premise-based systems CAGR 2019 and 2024(1)
Slide 8: Investment Highlights: Meeting Our Commitments!
Investment Highlights: Manage the business to consistent profitability Meeting Our Organically Up-listed to Nasdaq Commitments! Successfully Raise Capital to Fuel Future Growth We continue to meet and deliver on our Acquire Accretive Acquisition Targets commitments to our valued shareholders! Contin
Slide 9: Growing Financial Profile
Growing Financial Profile Telecommunications Segment Revenue (1) Gross Margin %(1) 2018 2019 2020 2021 YTD 2018 2019 2020 2021 YTD ($ in 000’s) 13,780 $15,845 80% 70% 72% 73% 69% $18,000 $15,500 11,083 50% 60% 47% $13,000 $4,391 39% 38% $10,500 40% $8,000 $5,500 20% $3,000 $500 0% Service Product Se
Slide 10: Growing Financial Profile
Growing Financial Profile Non-GAAP Income (Loss) & Net Income (Loss) (1) (2) Adjusted EBITDA (1) ($ in 000’s) 2018 2019 2020 2021 YTD ($ in 000’s) 2018 2019 2020 2021 YTD 8,700 $1,900 $10,000 7,900 $2,000 $1,628 $8,000 $1,500 $6,000 $4,000 $1,000 1,5911,139 $324 $245 $2,000 287 308 $500 $- (223) (71
Slide 11: CXDO Consolidated Revenue & Telecom Segment Service Revenue
CXDO Consolidated Revenue & Telecom Segment Service Revenue 17% Q1 2021 consolidated revenue 4,500,000 increased 17% to $4.5 4,000,000 million compared to $3.9 3,500,000 million for the first quarter of 3,000,000 2,500,000 the prior year. 21% 2,000,000 1,500,000 1,000,000 500,000 Product Q1 2021 Tel
Slide 12: NetSapiens Acquisition Snapshot
NetSapiens Acquisition Snapshot 2020 Pro Forma Revenue * $16.4M $11.4M Total: $27.8 Million 1.7 Million + Users and Fastest Growing UCaaS Platform Provider in US** * See our Proxy statement filed April 26, 2021 for additional pro forma ** Frost & Sullivan 2021
Slide 13: Top 10 Combined Strengths
Top 10 Combined Flexible Go-To-Market Offerings Strengths Comprehensive Voice, Video, Meeting, Messaging & Mobile Solutions Accelerated Development & Innovation Executive Management Team With Through In-House Engineering & Best Wealth of Telecom Experience and Of Breed 3rd party integrations. Succes
Slide 14: Additional Growth Opportunities
Additional Growth International Expansion Potential Opportunities Monetize Through Enhancements & Growing Recurring Revenue Potential Acquisition Roll-Up Strategy Cross-Selling/Upsell Opportunity – Expand Our Share of the Wallet Tremendous Opportunity to Increase Market Cap APP Store Concepts
Slide 15: Combined Leadership Team
Combined Leadership Team Steve Mihaylo CEO Doug Gaylor President & COO Anand Buch CSO Ron Vincent CFO With over 200 years combined experience in the telecom industry, we know how to progress and continue to innovate in the cloud- hosted communications space. David Wang Jon Brinton Jim Murphy Jeffrey
Slide 16: The VIP Difference
The VIP Difference A Better Communications Solution For Your Organization Video Interactions Phone Contact Center Integrations Collaborate in HD quality Streamline workflows Use the device of your Powerful, native Integrate into with up to through Voice Mail, choice for HD business customer experien
Slide 17: Advanced VIP Devices
Advanced VIP Devices Delivering a Dynamic Business Phone Experience • Manage your communications over multiple devices including the mobile device(s) of your choice (Android or iOS) • Access the latest high-quality Desk phones delivering HD quality audio on the handset and the speaker that are backe
Slide 18: Industry-leading 100% Uptime Guarantee
Industry-leading 100% Uptime Guarantee No downtime. No kidding. • The VIP Platform is hosted in the world’s highest-rated geo-redundant data centers that are Tier 5, Exascale sites powered by 100% green energy • We back our user experience with 100% US-based support available 24/7/365 • Secure and r
Slide 19: Award-winning Solutions
Award-winning Solutions Our Greatest Reward is Your VIP Stamp of Approval • Recognized in the technology industry for delivering Cloud Communications Solutions that help customers elevate their organization by providing a VIP Experience for their Employees and Customers. • The greatest award Crexend
Slide 20: Why Invest Today?
Why Invest + High Growth + Long-Term Contracts Today? + Recurring Revenue + Strong Cash Flow Attractive Investment + Industry Low Churn Opportunity + Tremendous acquisition potential 20% ~100% 175+ 1.7+M INCREASE LT CONTRACTS Platform Subscribers Users Combined 20% increase in CXDO - 80% of customer
Slide 21: Thank You!
Thank You! «®crexendo’ ride the cloud Nasdaq : CXDO