Fonix Plc · LSE:FNX
Fonix — Fonix Mobile — H1 FY2021 Earnings Presentation
16 slides from Fonix's earnings presentation, March 2021
Slide 1: Interim results for the 6 months ended 31 December 2020
Interim results for the 6 months ended 31 December 2020 Fonix Mobile plc
Slide 2: Fonix overview
Fonix overview ● Fonix is a UK focused leading carrier billing and SMS billing company enabling businesses to charge their goods and services to mobile phone. ● Operates in key verticals including media, gaming, charity, ticketing and digital services. ● A proprietary mobile payments and messaging b
Slide 3: Board and Team
Board Team Ed Spurrier Lucy Sharman-Munday Will Neale Chairman Non-Executive Director Non-Executive Director Senior Leadership Rob Weisz Rupert Horner CEO CFO Louisa Harris Marcus Kern Steve George Anthony Baladi Client Services Director Head of Tech Strategy Bus Dev Director Commercial Director 3
Slide 4: H1 financial highlights
H1 financial highlights ● A strong performance in the period, with significant YoY improvements on all our key financial metrics. ● TPV of £123m up by 18% on comparative period last year. ● Revenue of £24.6m up by 25%. ● Gross profit of £5.8m up by 22%. ● Adjusted EBITDA of £4.6m up by 28%. ● Maiden int
Slide 5: Operational highlights
Operational highlights £13.9m mobile 21 new business £27m TPV donations for client wins across record month for Children in Need core sectors the business with a UK first £40 donation tariff Robust Uninterrupted Continuous technology business development continues to operations due roadmap underpin cl
Slide 6: Trading
Trading H1 in line with expectations. Dec record trading month. A significant number of new business wins. No existing client churn. Continued growth from existing clients. Excludes £844k AIM admission costs in H1 ‘21. Note: Excludes AIM admission costs 6
Slide 7: Financial update
Financial Income statement update H1 21 £000s H1 20 £000s Variance £000s Variance % 25% revenue growth, delivering TPV 123,228 104,307 18,921 18% on our plan. 24% gross profit margin Revenue 24,608 19,733 4,875 25% maintained. Cost of sales -18,776 -14,934 -3,842 26% Gross profit 5,832 4,800 1,032 22
Slide 8: Segmental analysis
Segmental analysis Segmental H1 21 H1 20 Variance Variance analysis £000s £000s £000s % Revenue Mobile payments represent Mobile payments 19,651 14,834 4,817 32% charges made to consumers on Mobile messaging 4,171 4,168 3 0% behalf of merchants. Revenue comprises Fonix margin (gross Managed services
Slide 9: Balance sheet
Balance sheet Balance sheet 31 Dec 20 30 Jun 20 Variance Variance Intangible assets represent the capitalisation of software £000s £000s £000s % development costs. Trade and other receivables Intangible assets 761 684 77 11% primarily represent the mobile Right of use asset 324 41 283 690% payments
Slide 10: Cashflow
Analysis of underlying cash generated from operations Cashflow 31 Dec 20 31 Dec 19 30 Jun 20 £000s £000s £000s Free underlying cash generated from operations after tax 3,577 3,130 6,166 Fonix collects mobile payments from mobile operators, which are then paid to clients net of Fonix AIM admission cos
Slide 11: Strategy & outlook
Strategy & outlook Multi-billion pound sectors Media Charity Gaming High profile clients in each sector Significant identifiable opportunities • TV, radio, print, digital publishers • Charity continues to be a green • Remote gambling – bingo, casino, in each across our product set field market for mobi
Slide 12: Strategy & outlook
Strategy & outlook Multi-billion pound sectors Digital TSPs Telecoms High profile clients in each sector Services Significant identifiable opportunities • Continue developing new business • Fonix is the ‘go to’ direct carrier • Continue supporting Fonix’s in each across our product set. in core digital
Slide 13: Summary
Summary 01 Market leading products in the mobile payments and messaging industry 02 A strong financial period. Revenue growth, profit growth, cash generative and low churn 03 Growth from existing client base with solid pipeline of new opportunities 04 Continued focus on core product set into significan
Slide 14: Appendix
Appendix 14
Slide 15: The Product
The Product Clients Full ownership All platforms built in-house of all IP Nimble IP engineered for high-performance scaling at low OPEX Payment Processing Campaign Management Ability to process over 2000 transactions per second Fast Resilient production hosting One-off transaction Near real-time Dat
Slide 16: Major Shareholders
Major Shareholders Holder William Neale (held by Ganton Limited) Slater Investments Richard Thompson (held by Starnevesse Limited) Robert Weisz Kestrel Investment Partners Blackrock Investment Management AXA Investment Managers Percent 26.4% 10.2% 10.2% 85% 4 3.3% 3%