Crexendo, Inc. · NASDAQ:CXDO
Crexendo — Investor Presentation (June 2019)
24 slides from Crexendo's investor presentation, Jun 3, 2019
Slide 1: It's Not Just A Phone, It's Your Business!
>crexendo — = It’s Not Just A Phone, It’s Your Business! wy
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
Communications Today Any Device, Any Time, Any Form! Cloud Communications Contact Center Messaging Collaboration
Slide 5: <crexendo
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Slide 6: The UCaaS Market Is HOT!
The UCaaS Market Is HOT! UC Spending Opportunity 2017 Growth Sok Cloud-Based 25% Telephony and Messaging 2% Group Video Product Support Services ‘Support Services 5% 10% 18% 20% 2016-2021 CAGR ‘Source: Gartner (January 2018) In 2017, Gartner reported that the rate organizations deploy Cloud Telephon
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 Report
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? + 28% increase in telecom revenues in Q1. 21% increase from 2017 to 2018 + Nearly 100% of customers on long term contracts + Inflection Point - Non-GAAP profitability in 2018, GAAP losses reduced considerably in 2018 and Non-GAAP and GAAP profitability of $0.02 per share
Slide 10: Financial Summary Table
Ticke Market Capitalization Outstanding Common Stock Consolidated Revenue increases (over prior period) Backlog Net (Loss)/Income (in thousands) GAAP (loss)/income per share Non-GAAP net (loss)/income per share $19.7 million 13.7 million 17% $15.9 million $(2,792) $(0.21) $(0.12) $30.0 million 14.3
Slide 11: Telecommunications Segment Revenue
Telecommunications Segment Revenue Consistent Revenue Growth 2016 2017 2018 YTD QI 2019 $12,500,000 $10,500,000 $8,500,000 — ve $6,500,000 $4,500,000 $2,500,000 $500,000
Slide 12: Telecommunications Segment Backlog
Telecommunications Segment Backlog Consistent Growth in Backlog Qi16 qii7 Qiis qii19 $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 2019 2020 2021 2022 2023 2024 $7,500,000 $6,500,000 $5,500,000 $4,500,000 $3,500,000 $2,500,000 $1,500,000 $500,000 Product Revenue m Service Revenue
Slide 14: Net Income (Loss) & Non-GAAP Income (Loss)
Net Income (Loss) & Non-GAAP Income (Loss) Consistent Bottom Line Improvement 2016 2017 2018 YTD Q1 2019 Net Income $239,000 Non-GAAP $343,000 $1,000,000 $500,000 S- $(500,000) $(1,000,000) $(1,500,000) $(2,000,000) $(2,500,000) $(3,000,000) [=] Gaap ss Non-Gaap
Slide 15: Sales Sources
Sales Sources Partner Channel Driving Sales Growth 2016 2017 2018 = 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: Management Team
99 CEO President & COO SINTERAEL Ziner7zet 00 Mitel VP ENG Sinrerzst = NORTEL
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! @ ~ [ \ i
Slide 20: «crexendo
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Slide 21: Appendix - Crexendo Cloud Telecom Features
Appendix -— Crexendo Cloud Telecom Features Crexendo Cloud VoIP Features Highlights + Business-Class Voicemail with E-Mail Delivery + Extensive Auto Attendant Options + Free Unlimited Local & Domestic Long Distance Calling + ACD Hunt Groups with Advanced Routing and Reporting + Conference Bridge - 2
Slide 22: Appendix - Reconciliation of GAAP to Non-GAAP
Appendix - Reconciliation of GAAP to Non-GAAP First Quarter - 2019 Reconciliation of US. GAAP Net Income/(Loss) to Non-GAAP Net Income/(Loss) Cnaudited) Three Months Ended March 31, 2019 2018 Gh thousands) US. GAAP net income/(loss) $ 239 $ ©) Share-based compensation 91 2 Amortization of intangible
Slide 23: Appendix - Crexendo, Inc. and Subsidiaries
APPENDIX - CREXENDO, INC. AND SUBSIDIARIES Condensed Consolidated Balance Sheets (Unaudited in thousands, except par value and share data) ‘March 31, 2019 December 31, 2018 Asser Current assets: ‘Cash and cash equivalents s 2.094 s 1.849 Restricted cash 100 100 Trade receivables. net of allowance fo
Slide 24: Crexendo
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