XLMedia Plc · OTC:XLMDF
XLMedia — FY2016 Earnings Presentation
25 slides from XLMedia's earnings presentation, March 2017
Slide 1: Technology driven Performance Marketing
March 2017 Technology driven PERFORMANCE MARKETING
Slide 2: Disclaimer
DISCLAIMER THIS PRESENTATION (THE “PRESENTATION ”) WHICH HAS BEEN PREPARED BY 4. you will not forward, reproduce or otherwise disclose the contents of this XLMEDIA PLC. (THE “COMPANY) IS FOR INFORMATION PURPOSES ONLY AND DOES document to any person in contravention of FSMA or any other applicable NO
Slide 3: Overview
OVERVIEW Online performance marketing company • We attract paying users from multiple online & mobile channels and direct them to online businesses • We operate a performance based business model • Wide technology base to drive growth and results Strong profitable growth • Strong track record of pro
Slide 4: Our Business Model
OUR BUSINESS MODEL Attracting potential users through our Complimentary publishing assets and directing to our Partners customers Networking Online users: Web, mobile, social, … Approaching Performance potential users through based payment posting ads in different Lifetime Revenue share platforms an
Slide 5: Publishing
PUBLISHING • XLMedia owns a network of over 2,300 $50,000 $46,057 informational websites, mobile sites and apps $45,000 engaging millions of users in 18 languages $40,000 $38,384 USD ‘000 • Informational websites attract potential customers $35,000 $30,298 and refer them to web and mobile online $30
Slide 6: Publishing
PUBLISHING Example users’ journey: User search results High ranking XLMedia property Users directed to client Revshare / CPA / … Ongoing optimisation Big Data Accumulate data from difference Quality content Brand Optimising sources and analyse Asset optimisation 6
Slide 7: Media
MEDIA $60,000 $50,000 $47,645 $45,777 • XLMedia acts as an advertiser running thousands of simultaneous self-funded campaigns, in different USD ‘000 $40,000 verticals. Customers pay based on performance $30,000 • XL deploys proprietary technology to manage media campaigns across all ad units: social
Slide 8: Media – Optimization Cycle
MEDIA – OPTIMIZATION CYCLE Big Data Proprietary data Optimising enabling XLM to Gather data optimise campaigns Using proprietary tools for analysis and iterative testing optimising Country / Brand / Creative / Offer / Device / Content / entry source ….. Conversion XLM XLM self-funded Bid on ads Sele
Slide 9: Partner Network
PARTNER NETWORK • Currently manages over 300 independent affiliate partners who $14,000 $13,145 drive traffic through XLMedia $12,000 $9,903 • Affiliates benefit from XLMedia’s ongoing close support, scaled $10,000 operations and one-stop-shop to service multiple operators $8,000 USD ‘000 • Affiliat
Slide 10: Our Technology
OUR TECHNOLOGY Palcon Tracking Solutions Pheonix Rampix Business Intelligence A consolidated Tracks the sales Management of Group Centralized Unified Data warehouse management funnel from different entities and unique management of social to collect data from system across all sources on Company ope
Slide 11: Strong Financial Track Record
STRONG FINANCIAL TRACK RECORD Adjusted EBITDA ($ m) Revenues ($ m) $120.0 $100.0 $103.6 $80.0 $89.2 $60.0 $50.7 $40.0 $34.6 $28.5 $34.5 $20.0 $26.1 $17.0 $12.5 $13.3 $8.8 $20.9 $4.0 $11.2 $0.0 2010 2011 2012 2013 2014 2015 2016 Dividends since IPO ($ m) 8.2 8.0 12.4 Employees: 40 Employees: 40 Emplo
Slide 12: Income Statement
INCOME STATEMENT 2015 3% Item (Thousands $) FY 2016 FY 2015 19% 33% Audited Audited Revenues 103,605 89,219 Cost of revenues 50,282 48,143 23% Gross Profit 53,323 41,076 22% Operating Expenses 23,226 18,116 Operating Profit 30,097 22,960 Total adjusted EBITDA* 34,617 28,442 % Adj. EBITDA 33% 32% IPO
Slide 13: Cash Flow Statement
CASH FLOW STATEMENT 2016 2015 2016 2015 Net income 25,584 20,200 Financing Activities Depreciation and amortisation 3,878 3,775 Dividend paid to equity holders of the Company (12,362) (8,017) Cost of share-based payment 646 839 Dividend paid to non-controlling interests (1,805) (694) Changes in Work
Slide 14: Balance Sheet December 2016
BALANCE SHEET 31 December 2016 $ '000 Current assets: Current liabilities: Trade payables 9,274 Cash, cash equivalents and short term investments 35,186 Contingent consideration payable 0 Trade receivables 17,075 Other liabilities and accounts payable 14,196 Other accounts receivable 3,463 Total cur
Slide 15: Revenue Diversification
REVENUE DIVERSIFICATION Revenues diversification – Revenues diversification – Revenues diversification – Revenues Per users’ geography products customers business model CPI, 19% Rest of Europe Other 27% Customers, North America, Gambling, 70% Gaming, 71% A, 7% 21% 12% Revshare, 49% B, 6% Other, 33%
Slide 16: Growth Strategy - Financial Services
GROWTH STRATEGY - FINANCIAL SERVICES • XLMedia has identified the financial services sector as a strategic growth engine and acquired Greedyrates, a leading Canadian credit card comparison website. • Greedyrates increases XLMedia’s North American presence and establishes a foothold in the financial
Slide 17: Mobile Progress – ClicksMob
MOBILE PROGRESS – CLICKSMOB • ClicksMob delivers performance-based user acquisition to leading apps • Active across a number of verticals, including gaming, e-commerce, travel, entertainment and finance • Significant presence in Asia, with over 30% of ClicksMob 2016 revenues generated from the regio
Slide 18: The Future of Online Marketing
THE FUTURE OF ONLINE MARKETING CLICK TO EDIT MASTER TITLE STYLE Mobile and tablet advertising growth • Mobile advertising is expected to grow by an average of 38% a year between 2014 and 2017 • Mobile ad spend projected to account for 51% of all new advertising between 2014 and 2017, growing by $42
Slide 19: Growth Strategy
GROWTH STRATEGY Continue to expand the Group’s operational reach into new geographies and verticals • Media: Leverage demand for online marketing services within US and Asia markets • Publishing: Continue to grow market share in current territories and newer territories such as UK, Canada, Austria,
Slide 20: Summary and Outlook
SUMMARY AND OUTLOOK 2016 progress • Continued development of in-house systems • Awarded Facebook Marketing partner for technology • Established a new US subsidiary, focused to rapidly increase our business in mobile apps and additional non-gambling verticals Foundations laid for future growth • Stro
Slide 21: Any Questions?
Ee ay NG 2% Any Questions?
Slide 22: CLICK TO EDIT MASTER TITLE STYLE
CLICK TO EDIT MASTER TITLE STYLE 17 May 2018 22
Slide 23: Appendix
“BRANLY SIS Zs APPENDIX
Slide 24: Experienced Senior Leadership
EXPERIENCED SENIOR LEADERSHIP INBAL LAVI CEO (ISRAEL) LIAT HELLMAN CFO (ISRAEL) • 12 years' experience in the online marketing • Over 19 years’ experience in publicly industry traded companies • Diverse background and expertise in marketing • Served as CFO (Israel) of the company since its inception
Slide 25: Digital Advertising
DIGITAL ADVERTISING Digital Media consists of posting different forms of advertising in the online and mobile space Advertisers Publisher Spend on advertising Networks Run online and marketing Match supply and demand business/content websites Demand for Bid/Ask Supply of ad ad space ad-tech platform