Slide 1: Kooth interim results
Kooth interim results Half year ending 30 June 2023 21 September 2023 Tim Barker Sanjay Jawa Chief Executive Officer Chief Financial Officer
Slide 2: H1 2023 strategic momentum
H1 2023 strategic momentum 1 Transformational US contract win in California, $188m minimum value 2 On track for go-live in California in January 2024 Significant uptake of Kooth in Pennsylvania pilot 3 Providing access to c100,000 students, uptake of 1-in-10 high school students 4 Ongoing investment
Slide 3: H1 2023 Financial highlights
H1 2023 Financial highlights Revenue Net Cash 29% revenue growth to £11.7m (2022: £9.0m) driven by US £11.7m | £9.0m £5.9m | £8.5m 2023 2022 2023 2022 16% ARR growth to £21.4m (2022: £18.5m) 94% of revenue from contracts of 12+ months Annual recurring revenue Adjusted EBITDA £21.4m | £18.5m £0.01m |
Slide 4: Income statement
Income statement 29% revenue growth in line with market expectations, this has been driven by US Half year to 30 June (unaudited) expansion (contributing £1.8m), and a full half year of new business won in 2022 . £m 2021 2022 2023 ARR growth of 16% to £21.4m was US driven offset by UK adult ARR drop
Slide 5: A new NHS commissioning environment
A new NHS commissioning environment Increase in % of contracts that expand upon renewal (expansion and/or inflation) Financial pressure and urgency to tackle acute care backlog 52% | 32% ICSs must deliver 6% in real-terms cost efficiency savings in 2023 2022 2023/24 at a time of high inflation Churn (co
Slide 6: Kooth provides a 'bridge to the future'
Kooth provides a ‘bridge to the future’ ICSs face significant challenges in delivering on their new mandate Deliver on vision for preventative, population health ✓ Upstream support to reduces demand for acute care ✓ Cost efficient. £3 return for every £1 spent …while implementing 6% ICS annual cost effic
Slide 7: The step change in innovation and outcomes we are building for California will rollout in the UK in 2024
The step change in innovation and outcomes we are building for California will rollout in the UK in 2024
Slide 8: We are on track for launch in California
We are on track for launch in California On-track across 30 workstreams spanning platform, marketing and workforce App beta version is live in two California counties as part of a soft-launch. Over next 3 months we will test, iterate and add features for launch All VP-level hires in place to support
Slide 9: Prevalence
There is a golden window of opportunity during formative years to support good mental health for life 75% of lifetime mental health problems are established by age 24 Prevalence But today, 90% of mental health spending globally goes to acute adult mental health care, with demand outstripping supply
Slide 10: Kooth's goal is to support users on a journey to build psychological flexibility
Kooth's goal is to support users on a journey to build psychological flexibility Mastery I can get really good at this Self-efficacy Sense of Self- Psychological What I do makes a → autonomy → determination → flexibility I achieve outcomes I I achieve longer term difference I guide my own life want and
Slide 11: Autonomy
Autonomy Encourage exploration, supported by AI “ I guide my own life around what’s meaningful to me. I achieve outcomes I want and need in my life ” Content and tools arranged into thematic constellations Encourages users to explore and form their own curriculum AI-recommendations for content and t
Slide 12: Relatedness
Relatedness A supportive and clinically effective community built for the TikTok generation “ I have like-minded people around me to help support me through life ” User voice prominent in the app, sharing lived experiences Topical prompts and polls, moderated responses Live events voted for by users
Slide 13: Mastery Professional support
Mastery Professional support 1:1 and group support over text or video “ I can get the support I need to help me develop and cope with challenges ” Drop-in support or match based on users preferences / demographics Individual and group support VgA (values-goals-actions) model to support personal deve
Slide 14: Outlook
Outlook Fully on track for launch in California January 2024 - all milestones and deliverables to date met 2023 Group revenue forecast no less than £34m (2022: £20.1m) From 2024, sustainable Group EBITDA margin of midteens for contract term, with potential to improve after the initial investment pha
Slide 15: Important Disclaimer
Important Disclaimer The information contained in these slides and the accompanying oral presentation (together, the Presentation) has been prepared by Kooth plc (the “Company”). The Presentation is subject to updating, completion, revision and amendment without notice and as such it may change mate
Slide 16: Appendix
Appendix . “ ' %E kooth
Slide 17: Balance sheet extract
Balance sheet extract £m (Unaudited) 30 June 2021 30 June 2022 30 June 2023 Goodwill 0.5 0.5 0.5 Development costs 3.1 3.1 5.8 Strong debt-free balance sheet with £5.9m net Other non-current assets 0.3 0.5 1.8 cash and £10.6m net assets and successful Total non-current assets 3.9 4.1 8.1 post period
Slide 18: Cashflow
Cashflow Half year to 30 June (unaudited) £m Cash generated from continuing 2021 2022 2023 operations £0.3m. Reduction from 2022 Adjusted EBITDA 1.1 0.5 0.0 reflects significant increase in US indirect Movement in Net Working Capital 1.3 1.7 0.3 costs. Operating Cashflow 2.4 2.2 0.3 Corporation tax R&D
Slide 19: Our new Kooth IDP model uses a non-anonymous referral and sign-up flow to integrate with CAMHS providers
Our new Kooth IDP model uses a non-anonymous referral and sign-up flow to integrate with CAMHS providers Clinical Service Delivery Kooth invite CYP to welcome Book first chat - Discharge CAMHS alert Kooth and share Episode CAMHS identify CYP from meeting with senior Kooth with the summary assessment a
Slide 20: Our new Kooth IDP model uses a non-anonymous referral and sign-up flow to allow integration with CAMHS providers
Model Concept Our new Kooth IDP model uses a non-anonymous referral and sign-up flow to allow integration with CAMHS providers (specialist but also targeted) Clinical Service Delivery Kooth invite CYP to welcome Book first chat Discharge CAMHS alert Kooth and Episode CAMHS identify CYP meeting with se