Crexendo, Inc. · NASDAQ:CXDO
Crexendo — Investor Presentation (September 2019)
24 slides from Crexendo's investor presentation, Sep 4, 2019
Slide 1: Investor Presentation September 2019
Investor Presentation September 2019 Symbol OTCQX: CXDO
Slide 2: Safe Harbor
Safe Harbor This presentation includes forward-looking statements within the meaning of the federal securities laws. These statements relate to, among other things, our history, our business lines, business strategy, goals , plans and expectations concerning our business, our market position and the
Slide 3: Crexendo, The Best Kept Secret in UCaaS
Crexendo, The Best Kept Secret in UCaaS • A Fast Growing Technology Leader in the Cloud Communications and UCaaS (Unified Communications as a Service) space • Tremendous Industry Experienced Company – Exec Mgmt. Team With Over 150 Years Combined Experience • Designers of a world class, patented clou
Slide 4: Communications Today: Any Device, Any Time, Any Form!
Communications Today Any Device, Any Time, Any Form!
Slide 5: The Telecom Industry 2019: It's A Land Grab!
The Telecom Industry 2019 It’s A Land Grab!
Slide 6: The UCaaS Market Is HOT!
The UCaaS Market Is HOT! In 2017, Gartner reported that the rate organizations deploy Cloud Telephony will more than DOUBLE from 2017 to 2021
Slide 7: And Getting HOTTER!
And Getting HOTTER! • Gartner Reports that Small and mid-sized businesses will adopt cloud voice and conferencing faster than large enterprise customers, driven by capital budget constraints, compelling cloud solutions, and limited internal IT resources • Research and Markets 2019 UCaaS Market Repor
Slide 8: The Crexendo Difference!
The Crexendo Difference! • Crexendo VoIP phones & platform designed, engineered and supported in- house (Higher Margins!) • CLEC vetted & approved everywhere available in U.S. • Hardware maintenance and software upgrades for the life of the Customer • Most high end features included as standard offe
Slide 9: Why Invest in Crexendo Now?
Why Invest in Crexendo Now? • 25% increase in telecom revenues in Q2 2019 over Q2 2018. 21% increase from 2017 to 2018 • Nearly 100% of customers on long term contracts • Inflection Point – Net Income of $577,000 or $0.04 per share for the 6 months ended June 30, 2019 • Positive cash flow of $567K f
Slide 10: Improving Financial Profile
Improving Financial Profile Year Ended Year Ended Year Ended YTD Period December 31, December 31, December 31, Ended Ticker: CXDO 2016 2017 2018 June 30, 2019 Market Capitalization $19.7 million $30.0 million $36.0 million $45.3 million Outstanding Common Stock 13.7 million 14.3 million 14.4 million
Slide 11: Telecommunications Segment Revenue
Telecommunications Segment Revenue Consistent Revenue Growth 2016 2017 2018 YTD Q2 2019 $12,500,000 $10,500,000 NRR $8,500,000 MRR $6,500,000 $4,500,000 $2,500,000 $500,000
Slide 12: Telecommunications Segment Backlog
Telecommunications Segment Backlog Consistent Growth in Backlog Q2 16 Q2 17 Q2 18 Q2 19 $25,500,000 $20,500,000 $15,500,000 $10,500,000 $5,500,000 $500,000
Slide 13: Telecommunications Segment Backlog
Telecommunications Segment Backlog Expected Backlog Revenue Recognition Remaining 2019 2020 2021 2022 2023 2024 $8,500,000 $7,500,000 Product Revenue Service Revenue $6,500,000 $5,500,000 $4,500,000 $3,500,000 $2,500,000 $1,500,000 $500,000
Slide 14: Net Income (Loss) & Non-GAAP Income (Loss)
Net Income (Loss) & Non-GAAP Income (Loss) Consistent Bottom Line Improvement 2016 2017 2018 YTD Q2 2019 $1,000,000 $500,000 $- Net Income $577,000 Non-GAAP $790,000 $(500,000) $(1,000,000) $(1,500,000) $(2,000,000) $(2,500,000) $(3,000,000)
Slide 15: Sales Sources
Sales Sources Partner Channel Driving Sales Growth 2016 2017 2018 59% 68% 66% Partner Channel Direct Sales Partner Channel Direct Sales Partner Channel Direct Sales
Slide 16: Crexendo's Growth Strategy
Crexendo’s Growth Strategy Partner Sales • Currently more than 240 Partners with growth plans to add 5-10% per Quarter • Focused on Reseller Partners in 4 Key areas: – Traditional Telecom VAR’s – Data and B2B VAR’s – Managed Service Providers (MSPs) – Master Agents • Tenured staff with a wealth of e
Slide 17: Experienced Leadership Team
Experienced Leadership Team Steve Mihaylo Doug Gaylor Ron Vincent CEO President & COO CFO Nishith Chudasama Darren Johnson Brian Spitler VP ENG VP Sales VP OPS
Slide 18: Ride The Cloud With Crexendo
Ride The Cloud With Crexendo • Great technology that we own and design • Great software what we develop with and for our Customers • Great team that has had great success in the industry • Great industry that has tremendous future growth • Great recurring revenue model • Great cost management strate
Slide 19: Questions & Answers
Cerexendo Questions & Answers | | It’s Not Just A Phone, | It's Your Business! | |
Slide 20: Appendix
(Serexendo ride the cloud C—-
Slide 21: Appendix – Crexendo Cloud Telecom Features
Appendix – Crexendo Cloud Telecom Features Crexendo Cloud VoIP Features Highlights User Features - Continued • Business-Class Voicemail with E-Mail Delivery • Call forward/Call transfer/Call waiting • Extensive Auto Attendant Options • Paging – Internal and External • Free Unlimited Local & Domestic
Slide 22: Appendix - Reconciliation of GAAP to Non-GAAP Second Quarter - 2019
Appendix - Reconciliation of GAAP to Non-GAAP Second Quarter - 2019 Reconciliation of U.S. GAAP Net Income/(Loss) to Non-GAAP Net Income (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2019 2018 2019 2018 (In thousands) (In thousands) U.S. GAAP net income/(loss) $ 338 $ 47 $ 577 $
Slide 23: Condensed Consolidated Balance Sheets
APPENDIX - CREXENDO, INC. AND SUBSIDIARIES Condensed Consolidated Balance Sheets (Unaudited in thousands, except par value and share data) Ju n e 30, 2019 De ce m be r 31, 2018 As s e ts Current asset s: Cash and cash equivalent s $ 2,508 $ 1,849 Rest rict ed cash 100 100 T rade receivables, net of
Slide 24: Thank You!
Thank You! Symbol OTCQX: CXDO