Vista Group International Ltd · NZX:VGL
Vista Group International — H1 2018 Earnings Presentation
27 slides from Vista Group International's earnings presentation, Aug 29, 2018
Slide 1: Vista Group 2018 Half Year Results
VISTA GROUP 2018 HALF YEAR RESULTS 29 August 2018
Slide 2: Agenda
• 1st Half 2018 Summary • Financial Results • Operational Highlights • Associate Companies • Growth Drivers • Outlook • Questions 2
Slide 3: 1st Half 2018 Summary
1ST HALF 2018 SUMMARY • Another strong period of growth for Vista Group o 20% increase in Revenue over pcp o 37% increase in Operating Profit over pcp o Operating Profit % increased from 16.4% to 18.4% o 95% increase in Operating Cash Flow over pcp o 28% increase in recurring revenue over pcp to $37
Slide 4: Financial Results
FINANCIAL RESULTS 4
Slide 5: Financial Highlights
FINANCIAL HIGHLIGHTS TOTAL REVENUE RECURRING REVENUE OPERATING PROFIT $60.1m $37.2m $11.1m (up 20%) (up 28%) (up 37%) EBITDA1 OPERATING CASHFLOW INTERIM DIVIDEND $13.1m $12.5m 1.6 (up 27%) (up 95%) CENTS P/SHARE (Increase of 33% on prior year interim dividend2) 1 EBITDA is a Non-GAAP measure and is
Slide 6: Trading Performance
TRADING PERFORMANCE For six months ended NZ$m 30 June 2018 30 June 2017 %PCP Revenue 60.1 50.1 20% Expenses 49.8 41.6 20% Foreign exchange losses / (gains) (0.8) 0.4 Operating Profit 11.1 8.2 37% Other Revenue / (costs) (2.1) (1.5) Profit Before Tax 9.1 6.6 37% Net Profit attributable to Vista Group
Slide 7: Revenue Analysis
VISTA GROUP – Revenue Analysis REVENUE ANALYSIS $NZDm 120 100 80 60 40 20 0 2013 2014 2015 2016 2017 2018 1H License Fees Maintenance Other 7
Slide 8: Operating Segments
OPERATING SEGMENTS CINEMA MOVIO ADDITIONAL GROUP COMPANIES EARLY STAGE INVESTMENTS ASSOCIATES
Slide 9: Operating Segments
OPERATING SEGMENTS 1H2018 Additional Group Early Stage NZ$m Cinema Movio Companies Investments Corporate Total Revenue 39.7 8.6 6.7 2.2 2.9 60.1 EBITDA 12.8 1.5 0.6 0.5 (2.2) 13.1 1H2017 Additional Group Early Stage NZ$m Cinema Movio Companies Investments Corporate Total Revenue 32.5 6.4 5.9 0.3 5.0
Slide 10: Financial Position
FINANCIAL POSITION NZ$m 30 June 2018 31 Dec 2017 Current Assets Cash & short term deposits 26.3 21.0 • Strong balance sheet maintained giving capacity Other receivables 68.2 71.3 to take advantage of new opportunities. 94.5 92.3 • Cash levels strong as a result of improving Non Current Assets operat
Slide 11: Cash Flow
CASH FLOW For six months ended NZ$m 30 Jun 2018 30 Jun 2017 Receipts from customers 61.2 52.5 • Strong cash receipts from trading drives increase in operating cash flow. Cash was applied to: Payments to suppliers (42.8) (41.5) • Vista Group did not pay an interim dividend in Tax & interest (5.9) (4.
Slide 12: Dividend Proposal
DIVIDEND PROPOSAL • The directors have resolved to pay an interim dividend at the top of the policy range (50%) and that the dividend will carry full imputation credits. • The value of the dividend will be 1.6 cents per share representing a total payment of $2.6m. • The record date for the dividend
Slide 13: Operational Highlights
OPERATIONAL HIGHLIGHTS 13
Slide 14: Cinema Segment
CINEMA SEGMENT Vista Cinema provides cinema management software to the world’s largest cinema exhibitors • Global market share of 20+ screen segment increased from 38% to 40%, (45.6% excluding China). • 450 new sites (plus 46 for Vista China) added in 1st half 2018. • Termination of French reseller
Slide 15: Cinema Segment - continued
CINEMA SEGMENT - continued Provides cinema management software to the world’s independent cinema exhibitors • 108 sites bring site numbers to 751 with solid growth in USA. • Solid uptake of new modules released in 2017 highlighted by Vouchers and Gift Cards (VGC) – 23% of sites have signed up. • New
Slide 16: Movio Segment
MOVIO SEGMENT Connecting all moviegoers to their ideal movie • Connected Moviegoers increased 74% in the US, despite the volume of Active Active Moviegoers (Millions) Revenue / Active Moviegoers decreasing 13%. Connected Moviegoers represent the subset of Active Moviegoer (NZD cents) Moviegoers Movi
Slide 17: Additional Group Companies Segment
ADDITIONAL GROUP COMPANIES SEGMENT World leading film marketing products • Continued solid growth in revenue and EBITDA. • Created 29% more movie destination sites than pcp. • Potentially significant new developments under way in direct ticketing (through movieXchange). • New product launched on Fac
Slide 18: Early Stage Investments Segment
EARLY STAGE INVESTMENTS SEGMENT Software to optimise film forecasting and scheduling • Performance improvement from late 2017 continuing in 2018 with strong revenue growth. • New customers signed up in Europe, Middle East, and USA. • Funding joint sales resource in US office with Vista Cinema to sel
Slide 19: Associate Companies
ASSOCIATE COMPANIES 19
Slide 20: Associate Companies
ASSOCIATE COMPANIES Box office tracking and reporting product • 40% increase in revenue over pcp. • USA remains key focus for 2018. • 1000+ sites reporting in the USA at the end of June. • Data collection under way in Thailand, Mexico, Nigeria, and Indonesia to add to existing collection in Korea, S
Slide 21: Associate Companies - Vista China
ASSOCIATE COMPANIES Performance • Vista China revenue growth continues – up 36% on pcp. • Vista Cinema 13% share of total market – estimated as 19% share of 20+ screens segment. • 20 Veezi sites live at the end of June. • Movio live with Jinyi – 5th largest circuit in China. China film industry • Ch
Slide 22: Growth Drivers
GROWTH DRIVERS 22
Slide 23: Drivers for Growth
DRIVERS FOR GROWTH Innovation • Exec appointed to lead Cloud Services for Vista Cinema. • First cloud based implementation for a new customer expected before end 2018. • New Products in development: Handheld Server App, Omni-channel. Customers • Focus on relationships with Super-Circuits – e.g. Cine
Slide 24: Drivers for Growth
DRIVERS FOR GROWTH Innovation • Developing solutions to ingest additional data sources to enrich the Active Moviegoer database. • Productising the Movio Media solution to enable faster campaign sales to execution cycle. Customers and Geography • Increase exhibitor participation in Movio Media. • Exp
Slide 25: Outlook
OUTLOOK • Very pleasing first half performance provides confidence we can deliver to our guidance for the full year. • New executive structure settling in well, with Chief Product Officer creating some significant opportunities. • Vista Cinema and Movio continue to perform well – with excellent prod
Slide 26: Questions?
QUESTIONS?
Slide 27: Important Notice
IMPORTANT NOTICE This presentation has been prepared by Vista Group International Limited (“Vista Group”). Information in this presentation: • is provided for general information purposes only, does not purport to be complete or comprehensive and is not an offer or invitation for subscription, purch
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