Slide 1: Q4 2022 Results | Presentation
Artificial Solutions® (SSME:ASAI) Q4 2022 Results | Presentation Per Ottosson, CEO and Fredrik Törgren, CFO Monday, March 20, 2023 1
Slide 2: Presenters
PRESENTERS Per Ottosson | CEO Has +25 years of experience from leading positions in the software and SaaS industry Most recently spent 10 years with IPSoft (Amelia) - US based vendor of enterprise AI solutions - as Chief Revenue Officer M.Sc. Business & Administration, Stockholm School of Economics
Slide 3: Conversational AI done right = Better NPS + Cost Savings
Conversational AI done right= Better NPS + Cost Savings
Slide 4: Artificial Solutions Market
ARTIFICIAL SOLUTIONS MARKET TRANSFORMATIONAL MARKET SHIFT IN LINE WITH ARTIFICIAL SOLUTIONS’ OFFERING AND BUSINESS MODEL Contact Center Software Market to reach USD 165 Billion in market size by 2030, growing swiftly at a CAGR of 21% The global contact center software market size was worth USD 29.5
Slide 5: Artificial Solutions' Core Market at a Glance
ARTIFICIAL SOLUTIONS’ CORE MARKET AT A GLANCE Significant potential on the global market for CAI in contact centers In the news USDbn Interactions, bn 48% Recently approved bill in CAGR Market automation Spain limits call center 50 47.0 70 wait time to 3 minutes Main driver of market growth 45 expec
Slide 6: Brief Introduction to Artificial Solutions
BRIEF INTRODUCTION TO ARTIFICIAL SOLUTIONS Company overview Select blue chip customers Select partners • Founded in 2001, Artificial Solutions offers a cloud-based software for Conversational AI (CAI), enhancing customer experience, capacity and resource-efficiency • Its unique CAI platform named Te
Slide 7: OpenQuestion Teneo.ai
OpenQuestion Teneo.ai Launched in Q1. The first solution on top of the SaaS platform Teneo.ai. OpenQuestion
Slide 8: Welcome to Customer Care
Welcome to Customer Care Listen & choose carefully
Slide 9: No longer. It's time for a change!
There is a new solution that starts outside in and works with your tech. The first implementations are done and are delivering millions of satisfied customer calls No longer. 90% of calls correctly routed in 90 days It’s time for a change! “Our Customer enquiry hotline will be considerably more prod
Slide 10: Traditional IVRs
Traditional IVRs Please pay attention, or get lost
Slide 11: Yes, your customers are frustrated…
“Half of survey respondents felt to some extent that their existing Yes, your customers irreplaceable systems were are frustrated… holding them back…” (Source: ContactBabel - The 2022 US Contact Center Decision-Makers’ Guide) Proportion of self-service calls abandoned 2013 13% 2014 18% 2015 2016 21%
Slide 12: The Problem
The Problem Customers are frustrated and… Customer Experience is NOT great. ▪ Customer don’t understand how to maneuver the choices ▪ Large DTMF trees are frustrating – e.g.: ▪ Up to 25% of the calls routed to the wrong agent ”Nothing matches my problem” ▪ Customer smash the keys to be transferred t
Slide 13: The Solution
The Solution Improve Customer Experience Listen to your customers ▪ A single voice of the company to match your voice of the customer OpenQuestion is a secure and high- ▪ Re-imagine how you greet your clients performing SaaS product that integrates with your voice contact center to achieve Improve T
Slide 14: Q4 operations and Numbers
teneo.ai Q4 operations and Numbers
Slide 15: Q4 2022 Operational Highlights
Q4 2022 OPERATIONAL HIGHLIGHTS ▪ ISO 27001 certification ▪ OpenQuestion, a new Voice and Conversational IVR Solution ▪ o2 Telefónica’s Virtual Assistant handles + 1 million interactions per month ▪ Renegotiated 250 MSEK credit facility interest of 4% p.a. ▪ Successful closure of 96 MSEK rights issue
Slide 16: SaaS Business Model Ramping Up
SAAS BUSINESS MODEL RAMPING UP | API CALL VOLUMES AND SAAS ARR INCREASING SaaS API Calls* (million) + 373% YoY SaaS ARR (MSEK) + 167% YoY 14% growth of API calls in Jan 2023 13.8 25.1 vs. Dec 2022 and 343% YoY 23.6 11.4 20.0 9.3 12.9 5.4 9.4 2.9 5.6 0.7 Sep 21 Dec 21 Mar 22 Jun 22 Sep 22 Dec 22 Sep
Slide 17: Revenue Model with High Operating Leverage
REVENUE MODEL WITH HIGH OPERATING LEVERAGE | SMALL & LARGE CUSTOMER CASES Subscription revenues from accessing Teneo Studio provides basis in the new model coupled with volume linked user revenues (#API calls) ARR – Small & Large Customer MSEK Revenue model to leverage scalability of Teneo Revenue S
Slide 18: Growth in Recurring Revenues
GROWTH IN RECURRING REVENUES | Y-o-Y GROWTH OF 36% IN Q4 2022 Y-o-Y GROWTH SAAS 167% Quarterly Recurring Revenues (SaaS & Legacy), ARR EoM and LTM Recurring Revenues (MSEK) 36% 12.0 60.0 12.0 8.8 49.5 50.0 10.0 45.1 December SaaS 38.9 40.7 40.0 ARR 25.1 MSEK 8.0 33.8 37.5 35.5 and Total ARR 35.2 30.
Slide 19: Key Financial Highlights in Q4 2022
KEY FINANCIAL HIGHLIGHTS IN Q4 2022 | STRONG GROWTH TRAJECTORY ON ALL SALES METRICS SaaS Recurring Revenues as % of Total Recurring Revenues Q4 2022 ▪ Recurring revenues amounted to 12.0 MSEK (8.8), + 36% ▪ SaaS ARR amounted to 25.1 (9.4) MSEK, + 167% 52% ▪ SaaS API Calls volumes 13.8 million (2.9),
Slide 20: Gradual Cost Increase as Guided For
GRADUAL COST INCREASE AS GUIDED FOR | COST INCREASES FLATTENING OUT GOING FORWARD Annual OPEX Run Rate* MSEK 126 119 ▪ OPEX(*) run rate of 126 MSEK in Q4 2022 ▪ Monthly OPEX(*) in Q4 2022 of 10.5 MSEK ▪ OPEX increase in Q4 2022 in accordance to previous guidance ▪ Company does not see any cost incre
Slide 21: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS 20+ years of experience and investments have created a prominent player in a market expected to grow at a 48% CAGR in the coming decade Gross margins on fully onboarded customers approach 95% Technology tailored for enterprise solutions with blue chip customers in key indus
Slide 22: Artificial Solutions
ARTIFICIAL SOLUTIONS