Slide 1: FY19 Results
1 For personal use only FY19 Results November 2019 www.aspermont.com
Slide 2: The leading media services provider to the global resources industry
The leading media services provider to the global resources industry 2 For personal use only Aspermont is ASX listed with offices in Australia, UK, Brazil, North America and the Philippines The Company’s focus is on global media leadership in the Mining, Agriculture, Energy and Technology sectors Th
Slide 3: Overview
For personal use only Overview 3
Slide 4: Evolving business, more and more, to value-add solutions
Evolving business, more and more, to value-add solutions 4 For personal use only 1. Legacy Business Turnaround 2. Premium Audience Build Bringing advertising business back into growth, Developing a high performance SaaS clearing balance sheet debt, closing legal cases, business with improved retenti
Slide 5: Building the network effect to drive growth
Building the network effect to drive growth 5 For personal use only Monthly Active Users (MAU) 7.5million 260,000 Board and Senior Management Contacts In Mining, Energy & Agriculture 240,000 10% 220,000 +30% CAGR 28% 7% 200,000 180,000 Europe 160,000 MEA Nth America 140,000 South America APAC 120,00
Slide 6: FY19 stated execution priorities and how we performed
FY19 stated execution priorities and how we performed 6 For personal use only KEY OBJECTIVE MEASUREMENT RESULT Events Revenue +$1.3m / +108% Drive High Growth Research / Intelligence Revenue +$0.3m / +166% in New Business Lines Lead Generation Revenue +$0.05m Launch V5 Hot + Warm (audience) leads +3
Slide 7: Financials
For personal use only Financials 7
Slide 8: FY19 – solid growth and margin expansion
FY19 – solid growth and margin expansion 8 For personal use only 50% 100% Operating Revenue Up 17% to $16.4 m ▪ High growth in revenue for second year +2.4m From $14.0m running Gross Margin up 2% To 55% +100bps From 54% ▪ Gross margin improvement allowing investment in new business lines and EBITDA
Slide 9: Growing and increasingly cash generative
Growing and increasingly cash generative 9 Revenues ($’m) OPEX ($’m) For personal use only 20 25 16.5 16.4 19.5 14 20 15 12.5 15.9 11.5 13.4 15 12.8 13.8 10 10 5 5 0 0 FY 15 FY 16 FY 17 FY 18 FY 19 FY 15 FY 16 FY 17 FY 18 FY 19 2 years growth returning revenue to FY15 levels Centralization, outsourc
Slide 10: Quarters of consistent subscriptions momentum
13 quarters of consistent subscriptions momentum 10 For personal use only Compound As at As at Annual Growth Rapid growth of all June’16 Sept ‘19 Rate (CAGR) metrics driving high performance Number of Subscriptions 7,158 8,171 4% ACV & LTV Average Revenue Per Unit (ARPU) $623 $938 13% Annual Contrac
Slide 11: Revenue profile increasingly diversified in geography, sector and type
Revenue profile increasingly diversified in geography, sector and type 11 Revenue by Geography Revenue by Source For personal use only 2% 3% 1% 1% 1% 1% 17% Australasia 1% 1% 8% North America 12% Lead Gen Europe 55% South America 34% 41% Content Creation Africa 23% 41% Jobs/Classifieds 39% 18% Deleg
Slide 12: Cashflow waterfall
Cashflow waterfall 12 For personal use only 3.00 0.9 (1.3) 2.00 $’m (0.6) 1.00 2.1 (0.4) 0.7 0.00 2018 Cashflow from Ops Exceptionals Investments Financing 2019 Note to accounts: Exceptionals: Establishment costs of new businesses (events, research, content agency and lead generation) plus one-off c
Slide 13: Balance Sheet
Balance Sheet 13 All figures in AUD $’000 For personal use only Total assets June ‘16 Sept ‘18 Sept ‘19 Total Liabilities June ’16 Sept ‘18 Sept ‘19 Shareholders Equity June ’16 Sept ‘18 Sept ‘19 Cash and cash equivalent 1,795 2,059 727 Trade and other payables 7,235 4,502 3,553 Issued capital 56,44
Slide 14: Business description
14 For personal use only Business description
Slide 15: Market leading competitive strengths
Market leading competitive strengths 15 For personal use only Aspermont’s products are established market leaders. The company pioneered digital paywall models since the birth of the internet era. The company has developed sophisticated system to drive exceptional audience growth and built an increa
Slide 16: Hybrid media-tech model enables growth and scalability
Hybrid media-tech model enables growth and scalability 16 For personal use only Old B2B Media New B2B Media Significant Brand Equity Hybrid Model No Brand Equity Quality Content Focus Content Volume Focus Retrenching Key Talent Significant Brand Equity Freelancer Model Content Quality & Volume Focus
Slide 17: Blue chip client base of industry leaders with large spend capacity
Blue chip client base of industry leaders with large spend capacity 17 COMPANIES For personal use only SUPPLY CHAIN FINANCIAL SERVICE SERVICES TECHNOLOGY MINING MACHINERY BANKING ACCOUNTING ENERGY ENGINEERING INVESTMENT SERVICES LEGAL STEEL EQUIPMENT INSURANCE MANAGEMENT CONSULTANT Note: Aspermont i
Slide 18: Growth strategy and execution
18 For personal use only Growth strategy and execution
Slide 19: Aspermont is a business with three growth horizons
Aspermont is a business with three growth horizons 19 VALUE For personal use only Horizon 3: Future Business Horizon 2: High Growth Business Horizon 1: Core Business TIME Focus Defend and extend current High Growth Business Future Business core business Output Immediate gain in revenues/profits Nurt
Slide 20: Focused on building paid audiences and leveraging them for client revenues
Focused on building paid audiences and leveraging them for client revenues 20 For personal use only Content Marketing Partner content placement, Webinars, Surveys, 13% Content Agency Profiles, Podcasts etc Content creation services allowing clients to utilize our 1% world class journalists to help L
Slide 21: New Business Streams Coming Online
New Business Streams Coming Online 21 For personal use only Two New Business Line Launches in FY20 Responding to client marketing needs and developing bespoke solutions Content Agency Lead Generation Services Utilising award winning inhouse journalists Utilising content marketing campaigns to and de
Slide 22: Scalable growth achieved through expansion of content and sales resources
Scalable growth achieved through expansion of content and sales resources 22 For personal use only 1 Scale content services to new geographies 2 Leverage multi-lingual platform capabilities 3 Build content services in new sectors
Slide 23: North American market development
North American market development 23 For personal use only Increased regional headcount Growing & diversifying revenue profile ($’m) Nth Am FTEs 2017 2019 4.0 Sales 2 4 2 Year Growth: +$1.5m Content 1 3 + 65% Ops/Marketing 1 1 3.0 Total 4 8 Delegates Active digital users in region 2.0 Events Spex Su
Slide 24: Our FY20 execution priorities and how investors can measure us
Our FY20 execution priorities and how investors can measure us 24 For personal use only Operational Build High Next Phase Develop Solution Capacity Performance Of Subs Growth Sales Culture Release Culture Research and Events to Implementation of Roll out of higher quality Leverage now complete fully
Slide 25: The outlook for next year remains one of high growth
The outlook for next year remains one of high growth 25 For personal use only • We have a proven operating model • With a consistent track record of: • Top line growth • Improving bottom line • Expanding margins • Our unit economies are good • The cost base is relatively stable and our key people fo
Slide 26: Conclusion
Conclusion 26 For personal use only • 3-year transformation complete • Aspermont is now the world’s leading media services provider to global resources industry • Company has clear and substantial growth strategies and is leveraging its content and technological expertise; to aggressively expand the
Slide 27: Investment rationale
Investment rationale 27 Audience Development June’16 Sep’19 For personal use only Number of Subscriptions 7,158 8,171 Average Revenue Per Unit (ARPU) $623 $938 1. Digital media platform can upscale growth by country, by language and by sector Renewal Rate (%) 73% 84% Annual Contract Value $4.5m $7.5
Slide 28: For further information
For further information 28 For personal use only Address Aspermont 613-619 Wellington Street Perth Western Australia, 6000 Contact Info Email: corporate@aspermont.com Telephone Office Phone: +61 8 6263 9100
Slide 29: Appendix
For personal use only Appendix 29
Slide 30: Experienced leadership team able to execute
Experienced leadership team able to execute 30 For personal use only Ajit Patel Alex Kent Leah Thorne Matt Smith Nishil Khimasia Chief Operating Group Managing Group People Director Chief Commercial Chief Financial Officer Director Officer Officer Ajit has more than 30 years of Alex joined Aspermont
Slide 31: Capital Structure
Capital Structure 31 For personal use only Shares on issue 2.1b Options on issue 323m @3 cent 10m @1 cent Unlisted Performance Rights 89.5m Market Capitalisation 23.3m Substantial Shareholdings 15.7% Drysdale Investments Limited 13.1% Allandale Holdings Pty Ltd 12.3% Mega Hills Limited 7.6% Annis Tr
Slide 32: Glossary (SaaS Metrics)
32 Glossary (SaaS Metrics) For personal use only Number of Subscriptions Number of live subscriptions at end of period 8,171 Average Revenue Per Unit (ARPU) Annual Contract Value / Number of Subscriptions $938 Annual Contract Value (ACV) Aggregate contract cash value of all live subscriptions at the
Slide 33: Disclaimer
33 Disclaimer Important notice disclaimer Preparation of information For personal use only All financial information has been prepared and reviewed in accordance with Australian Accounting Standards. Forward-looking standard elements Certain financial data included in this presentation is ‘non-IFRS