Slide 1: FY19 Interim Results Briefing
FY19 Interim Results Briefing 20th February, 2019
Slide 2: Contents
Contents Our Business 3 Solving Business Challenges 8 1H FY19 Summary 10 1H FY19 Financial Performance 12 FY19-21 Trends 18 FY19 Outlook 20 Q&A 23 2
Slide 3: Our Business
Our Business 3
Slide 4: Our vision is to harness the power of people and technology for a better future
Our vision is to harness the power of people and technology for a better future. 4
Slide 5: Data#3 in FY19
Data#3 in FY19 1100+ employees 9 offices across Australia and Fiji 3 integration centres Founded 3 data centres in 1977 17.8M individual products sold to customers in FY18 Listed on the 4,867 transacting customers in FY18 ASX in 1997 60,950 service desk calls by customers in FY18 $1.2 Billion in rev
Slide 6: Our Solutions
Our Solutions Cloud Mobility Security Data & Analytics IT Lifecycle Management We work with our customers to enable their business objectives, utilising our technology solution categories. Delivered under our PDO2 Customer Solution Lifecycle methodology: Position – Plan – Design – Deploy – Operate –
Slide 7: Partnering with leading global suppliers
Partnering with leading global suppliers 7
Slide 8: Solving Business Challenges
Solving Business Challenges 8
Slide 9: Melbourne Cricket Club
Melbourne Cricket Club Customer Story Data#3 worked with the MCC/MCG on its digital transformation journey to improve customer experience. • Scalable, secure Wi-Fi infrastructure • Real time customer information • Data and analytics to improve service levels inside and outside the stadium 9
Slide 10: 1H FY19 Summary
1H FY19 Summary 10
Slide 11: We are very pleased with the first half performance
“We are very pleased with the first half performance, delivering a very significant improvement compared to the previous corresponding period (PCP) and returning to the longer term growth trend. The market is growing as digital transformation fuels the overall information technology spend, and we ha
Slide 12: 1H FY19 Financial Performance
1H FY19 Financial Performance 12
Slide 13: 1H FY19 Performance Summary
1H FY19 Performance Summary Revenue Up 17.7% $644.4M Product Up 19.2% $532.2M Services Up 11.3% $111.4M Public cloud (included in Product & Services above) Up 65.7% $142.7M Other Revenue $0.8M Gross Profit (excluding Other Revenue) Up 14.7% $82.3M Product Up 36.3% $43.2M Services Down 2.3% $39.1M Gr
Slide 14: Sustained Revenue Growth
Sustained Revenue Growth Product revenue ($M) Services revenue ($M) Total revenue ($M) 600 532.2 120 111.4 700 644.4 100.0 547.3 500 446.6 100 91.3 600 506.0 413.9 85.6 371.1 75.8 500 457.5 400 332.7 329.7 80 399.1 406.4 65.1 400 300 60 300 200 40 200 100 20 100 0 0 0 1H14 1H15 1H16 1H17 1H18 1H19 1
Slide 15: Strong growth in Product Gross Profit
Strong growth in Product Gross Profit Product gross profit ($M) Services gross profit ($M) Total gross profit ($M) 50 43.2 50 100 39.2 40.0 39.1 82.3 40 34.4 34.7 40 80 74.0 71.8 31.7 31.9 34.0 68.4 28.7 30.5 28.8 57.5 62.4 30 30 60 20 20 40 10 10 20 0 0 0 1H14 1H15 1H16 1H17 1H18 1H19 1H14 1H15 1H1
Slide 16: Return to trend growth
Return to trend growth NPBT ($M) EPS (cents) 10 9.0 5 8.1 3.99 8 4 3.71 6.1 6 5.2 2.77 3 2.32 3.7 4.0 4 2 1.67 1.76 2 1 0 0 1H14 1H15 1H16 1H17 1H18 1H19 1H14 1H15 1H16 1H17 1H18 1H19 NPAT ($M) – excluding minority interests DPS (cents) 7 6.1 5 5.7 6 4 3.35 3.60 5 4.3 4 3.6 3 2.50 2.6 2.7 2.10 3 1.5
Slide 17: Solid Balance Sheet & Cash Flow
Solid Balance Sheet & Cash Flow • Strong balance sheet with no material borrowings • Any borrowings are back-to-back with customer contracts • Cash flow ‘seasonality’ consistent with previous years • Average DSOS of 28.6 days – ahead of target and industry best practice 17
Slide 18: FY19–21 Trends
FY19–21 Trends 18
Slide 19: Market Trends
Market Trends • Digital transformation is a high priority in business strategy • The overall IT market growth is fueled by digital transformation • Cyber security is our customers’ number one priority • Data and analytics are leading drivers of competitive differentiation • Cloud provides the platfo
Slide 20: FY19 Outlook
FY19 Outlook 20
Slide 21: 2H Business Outlook
2H Business Outlook • Market remaining buoyant • Solid 2H pipeline with large integration projects (hardware, software and services) • FY19 result expected to be less heavily skewed to 2H than PCP • Expected improvement in Discovery Technology’s profit contribution, following the loss in 1H 21
Slide 22: FY19 Outlook
FY19 Outlook The strong 1H performance and pipeline of opportunities for the 2H give us confidence that we will achieve our full year financial objective, being to deliver earnings growth and improved returns to shareholders. We are confident that we have the right strategy to underpin sustainable g
Slide 23: Q&A
Q&A 23
Slide 24: Appendix – Financial Summary
Appendix 1 – Financial Summary 24
Slide 25: Disclaimer
Disclaimer This presentation has been prepared by Data#3 Limited (“the Company”). It contains general background information about the Company’s activities current as at the date of the presentation. It is information given in summary form and does not purport to be complete. The distribution of thi
Slide 26: www.data3.com.au
www.data3.com.au 1300 23 28 23 Linkedin.com/company/data3 Twitter.com/data3limited Facebook.com/data3limited YouTube.com/data3limited 26