Slide 1: 1H 2020 Results
1H 2020 Results 26 February 2020 Atomos unlocks creativity and profit for video content creators Advanced technology allows faster, higher quality, more flexible productions
Slide 2: Our vision statement
“Our vision is to invent and deliver ground-breaking and disruptive technologies that enhance, simplify and ultimately democratise video content creation”
Slide 3: Agenda
Agenda 1H’20 Summary 6 Financial Results 8 Outlook 13 Appendices 17 Presenting: Jeromy Young Managing Director & CEO James Cody CFO
Slide 4: Target Markets – Current & Future
Target Markets – Current & Future Atomos’ growing product portfolio will address a US$10B camera equipment market1 Content Creation Social Pro Video Entertainment Camera Equipment Phone & PhotoCameras Pro Video Cameras Broadcast, TV & Cinema SHINOBI NINJA Atomos Products SHOGUN SUMO NEON 23% CAGR 18
Slide 5: Atomos – A Snapshot
Atomos – A Snapshot • Global video technology company that enhances video content Capital Structure (as of 25 Feb. 2020) Major Shareholders % creation with products that connect the imaging and computer worlds together Ticker AMS Perennial Value Mgmt 14% Share Price $1.20 Ms Claire Louise Young2 9%
Slide 6: 1H'20 Summary
1H’20 Summary (Half year ending, 31 December 2019) • Revenue up 35% on previous corresponding period (pcp) to $32.6m ($24.2m in 1H’19) • Gross profit up 32% pcp to $13.9m ($10.5m in 1H’19) Financial • EBITDA1 up 35% pcp to $1.0m ($0.7m in 1H’19) • Strong cash position of $16.0m, supporting working c
Slide 7: Agenda
Agenda 1H’20 Summary 6 Financial Results 8 Outlook 13 Appendices 17
Slide 8: 1H'20 – Financial Snapshot
1H’20 – Financial Snapshot (Half year ending, 31 December 2019) Pro Forma Revenue ($m)1 Revenue by Market Segment (FY19 vs. 1H’20) $60.0m 54.0 FY19 Social 1H'20 $50.0m Pro Video $4.3m $2.6m Entertainment $40.0m 35.6 29.7 $8.3m 31.1 2H +35% $6.5m 30.5 $30.0m 27.5 17.3 16.7 2H $20.0m 2H 32.6 1H 24.2 $
Slide 9: Pro Forma Income Statement
Pro Forma Income Statement P ro F orma ( A$m) 1 H'1 9 1 H'20 ∆ p cp Key Insights: Revenue 24.2 32.6 35% • 1H’20 sales of $32.6m, up 35% pcp, driven by: COGS (13.7) (18.7) (36%) Gross P rofit 1 0.5 1 3.9 32% – Continued strong sales of Ninja V and Shinobi devices Gross Profit Margin 43.4% 42.7% (2%)
Slide 10: Balance Sheet
Balance Sheet Ba la nce She e t ( A$m) 30-Jun-1 9 31 -De c-1 9 Key Insights: Cash and cash equivalents 5.1 16.0 • Balance sheet strengthened through capital raise, $16m cash Trade and other receivables 8.0 13.1 Inventories 9.6 14.9 – Access to a $5.0m Export Finance Australia working capital Other a
Slide 11: Cash Flow Statement
Cash Flow Statement C a sh F low Sta tement ( A$m) 1 H'1 9 1 H'20 Key Insights: Op era ting a ctiv ities Receipts from customers 23.2 27.8 • Targeted growth in working capital: Payments to suppliers and employees (27.6) (34.5) Interest received 0.0 0.0 – Build inventory buffer; and Income taxes paid
Slide 12: Agenda
Agenda 1H’20 Summary 6 Financial Results 8 Outlook 13 Appendices 17
Slide 13: Timecode Systems Ltd (TCS) Acquisition
Timecode Systems Ltd (TCS) Acquisition • Completed acquisition of 100% share capital of TCS on 2 December 2019 Overview • Share consideration subject to voluntary escrow restrictions of between 6 & 24 months • The Company has focused on the integration of the TCS technology into the Atomos ecosystem
Slide 14: Outlook
Outlook Existing Products • To date there has been minimal impact to the core selling product range as a result of COVID-19 as the Company invested in sufficient stock levels prior to the Chinese New Year to meet forecast demand • Assuming all factories return to normal production in the near term,
Slide 15: Contacts
Contacts For further information on this presentation, please contact: Key upcoming Tradeshows / Conferences: James Cody Simon Hinsley Name Location Dates Chief Financial Officer Media relations Photography Show Birmingham 14 - 17 March +61 3 9999 5908 +61 401 809 653 james@atomos.com simon@atomos.c
Slide 16: Agenda
Agenda 1H’20 Summary 6 Financial Results 8 Outlook 13 Appendices 17
Slide 17: Global Operations
Global Operations Offices in major global locations and strong sales channels 1H’20 Sales by Region • 104 Staff Globally* LONDON PORTLAND PARIS NEWYORK FRANKFURT • 10 Offices in 7 Countries LOSANGELES BEIJING TOKYO Asia 22% SHENZHEN US 44% • Strong Global SalesChannel EMEA 34% • Broad retailer and r
Slide 18: Product Suite
Product Suite 4K Monitor Recorders Production / Studio Broadcast & Accessories Shogun Studio + Converters + NINJA + SHINOBI Range SHOGUN Range SUMO Range NEON Cinema Series Accessories • Ninja HDMI only – includes • HDMI & Quad SDI inputs • Larger format 19” monitor • HDR Professional monitor- Shogu
Slide 19: Acquisition of Timecode Systems Ltd (TCS)
Acquisition of Timecode Systems Ltd (TCS) Case Studies / Customers • Completed acquisition of 100% share capital of TCS on 2 December 2019 Overview • Share consideration subject to voluntary escrow restrictions of between 6 & 24 months The Grand Tour • Developed unique and patented technology that a
Slide 20: The TCS Opportunity…
The TCS Opportunity… The Problem The Opportunity The Solution Synchronising footage from multiple Democratise multiple capture device Enable multi-device wireless video & audio sources is difficult, productions across all market timecode synchronisation capability expensive, time consuming & you seg
Slide 21: Partnerships – Continuing to build a global ecosystem of partners
Partnerships – Continuing to build a global ecosystem of partners • Strengthened partnership with Nikon allowing RAW video output and Apple ProRes RAW video capture • Established license agreement with Dolby Vision – 1st globally with access to Dolby algorithm for incorporating into recording and pl
Slide 22: Disclaimer
Disclaimer The information contained in this document (“Document”) has been prepared by Atomos Limited ACN 139 730 500 (referred to as “Atomos” or “Company”). This Document is current as at the date of this Document and should be read in conjunction with other Atomos periodic and continuous disclosu
Slide 23: © Atomos 2020.
© Atomos 2020. | 1H’20 Results