Itex Corp. · OTC:ITEX
Itex — Roth Capital Conference 2008
18 slides from Itex's conference presentation, Feb 21, 2008
Slide 1: Roth Capital Conference: The ITEX Opportunity
Roth Capital Conference The ITEX Opportunity Presented February 21, 2008 By Steven White, Chairman and CEO Safe Harbor Statement: During the course of this presentation, we may make projections or other forwerd looking statements regarding future events or the future financial performance of ITEX. S
Slide 2: ITEX at a Glance
ITEX at a Glance Largest Membership Trading Community in the United States and Canada 24,000 business members ITEX enables members to attract new customers and generate new sales Members buy and sell to each other utilizing ITEX dollars
Slide 3: More about ITEX
More about ITEX 95 franchisee offices in the US and Canada $270 million annual transaction volume 1,000 transactions a day SAS trading platform Founded in 1982 OTCBB: ITEX
Slide 4: How ITEX Works
How ITEX Works - Buyers and sellers use our private currency and transaction processing infrastructure *Revenue from: *Transaction fees *Subscription fees LT BUSINESS 1*——— >, Business 2 BUSINESS 3 BUSINESS 2, BUSINESS 1— BUSINESS 7 BUSINESS 6 BUSINESS 4 ‘BUSINESS 5
Slide 5: Member Business Proposition
Member Business Proposition Unique distribution channel Generate new sales Build business relationships Sellers: new leads, new sales, new revenue Buyers: save cash, build new relationships
Slide 6: ITEX — The Membership Trading Community
ITEX — The Membership Trading Community & Offices in 44 States and 3 Canadian Provinces @ Typical ITEX member has 10 or less employees; collectively, members employ over 100,000
Slide 7: Small Business is Our Business
Small Business is Our Business ITEX members represent a variety of industries + Accommodation & Travel * Advertising & Media * Business Services * Contractors + Entertainment * Printing * Magazines & Newspapers * Medical Services * Collectibles + Auto Repair Services Retail — gifts, florists Archite
Slide 8: Growth of Small Businesses
Growth of Small Businesses The small business segment is growing rapidly as entrepreneurs and baby boomers move towards self employment and “rehirement”. “There are now 20 million micro-businesses in the U.S., one for every six private-sector “Businesses without a payroll make up more than 70 percen
Slide 9: Corporate Info
Corporate Info $16 MM market cap 17.8 MM shares outstanding $14.2MM in revenue in 2007 $1.5MM_ income from operations S 2.05MM cash flow from operations 27 corporate plus 350 franchisee employees Located in Bellevue, Washington
Slide 10: ITEX Board of Directors
ITEX Board of Directors Steven White, ITEX Chairman and CEO John A. Wade, Director Eric Best, Director 2003 turning point Directors elected via a proxy contest New management team 2003 stock price low — 10 cents 2008 current stock price — 90 cents
Slide 11: Financial Highlights: Revenue
Financial Highlights Revenue Fiscal $15,000 ee $14,000 $13,000 $12,000 $11,000 $10,000 yy) 03 04 05 06 o7 08 $10,595 $10,283 $10,225 $14,648 $14,171 $15,000
Slide 12: Financial Highlights: Cash Flow From Operations
Financial Highlights Cash Flow From Operations Fiscal 2003 - 2008 (numbersropesnte i tausancs) $1,000 $500 $0 03d 05 06 867 $774) = $28 $843_«81,836 $2,057 $2,500
Slide 13: Financial Highlights: Income from Operations
Financial Highlights Income from Operations Fiscal 2003 - 2007 (numbers represented in thousands) $2,000 $1,500 an $1,000 $500 — $0 $(500) |_y $(1,000) 03 04 os 06 07 $642) $621 $729 $1,341 $1,505
Slide 14: Financial Highlights: Earnings Per Share
Financial Highlights Includes Tax benefit Earnings Per Share (EPS) 0.30 Fiscal 2003 - 2007 (numbers represented in thousands, except EPS) 0.25 0.20 0.15 = 0.10 ae 0.05 0.00 -0.05 ee 03 ~0.04 Share Count (Diluted) 17,733 Netincome $(627) 04 05 06 o7 0.12 0.17 0.18 0.25 18,279 18,576 18,623 18,103 $2,
Slide 15: Balance Sheet — 1/31/2008
Balance Sheet — 1/31/2008 Assets: Cash & ST Investments Accounts Receivable, net Tax assets Other Assets & Equip. Total Assets Liabilities & Shareholder Equity: Current Liabilities Long Term Liabilities Shareholders Equity Total Liabilities and S/H Equity $1,091,000 823,000 7,095,000 6,872,000 $15,8
Slide 16: Growth Strategy
Growth Strategy * Acquisitions — 3 successes since 2005 * Grow Member Registration — Franchisees — On-line marketing — Partnerships with business organizations
Slide 17: Investment Overview
Investment Overview Industry leader with vast growth potential Proprietary SAS technology Recurring revenue model Profitable since fiscal 2004 Revenue and operational income on the rise Seasoned Board and management team
Slide 18: Thank You
Thank You ITEX Corporation www.itex.com 425.463.4001 or steve@itex.com