Slide 1: Full Year Results Presentation Year Ending September 2009
For personal use only Full Year Results Presentation Year Ending September 2009 Adrian Di Marco Executive Chairman www.TechnologyOneCorp.com Commercial in confidence November 2009
Slide 2: TechnologyOne Overview
TechnologyOne Overview For personal use only TechnologyOne develops, markets, sells, implements Click ____ to __edit____Master _____text ____ styles ______ and supports a new generation enterprise solution Second _____ _____ level specifically targeted at seven vertical markets: Third ____ level ___
Slide 3: TechnologyOne Overview: Products
TechnologyOne Overview Our enterprise solution consists of the following For personal use only products: Business Intelligence Click ____ to __edit TechnologyOne ____ Master Financials _____text ____ styles ______ Human Second _____ _____ level Supply Resource & TechnologyOne Works & Assets Ente
Slide 4: TechnologyOne Overview: Offices
For personal use only TechnologyOne Overview Offices ____into Click Australia, __ edit ____ New Zealand, Master _____ text ____styles ______ Asia and, more recently, the United Second _____ _____ Kingdom level Third ____ business Growing level _____in the United Kingdom Fourth _____ _____ level
Slide 5: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____ ‘Go To styles Market’ Strategy ______ • Changes to Sales Second _____ _____ level • Solutions Focus Third ____ level _____ • Programs & Promotions Fourth _____ _____ level Product Strategies in 2
Slide 6: 2009 Results
2009 Results For personal use only Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Revenue $122.5m, up 11% (up $12.3m) Net Profit Before Tax $20.3m, down 12% (down $2.9m) • Note: Half Year
Slide 7: 2009 Results
For personal use only 2009 Results Continuing demand for our products: 8% increase in licence fees in a very challenging market Click ____ Ourto __ edit ____ competitors’ Master licence _____ fees were downtext ____ styles dramatically ______ Continued_____ Second _____ significant levelinvestm
Slide 8: Guidance
For personal use only Guidance Profit Click ____ After to __Tax edit ____Master _____text ____ down 9% styles ______ Profit Second _____ within_____ revised levelguidance: Profit down 6% to 12% Profit Third ____ outside level _____of original guidance: Profit growth 10% to 15% Fourth _____ Expense
Slide 9: 2009 Results: Balance sheet strong
For personal use only 2009 Results Balance Click ____ __sheet to edit ____strong Master _____text ____styles ______ Cash_____ Second _____ and equivalents*: $30.5m level Bank Third ____ overdraft facility of $7m which is not drawn level _____ Fourth _____ _____ level 5% (vs 4% 30/9/08) Debt/E
Slide 10: 2009 Results Summary
2009 Results Summary For personal use only Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____
Slide 11: 2009 Results Summary
2009 Results Summary For personal use only Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____
Slide 12: Year History – Full Years
10 Year History – Full Years Revenue 140,000 120,000 100,000 For personal use only 50,000 80,000 45,000 60,000 40,000 40,000 Click ____ to __edit 35,000 30,000 ____Master _____text ____styles ______ 20,000 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Second _____ _____ level 25,000 20,000 Net
Slide 13: Revenue Streams
For personal use only Revenue Streams Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Initial licence fees of $24.3m, up 8% (up $1.75m) Annual licence fees of $43m, up 19% (up $6.8m) Cons
Slide 14: Product – Licence Fee Analysis
For personal use only Product – Licence Fee Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Financials/Supply licence line ball last year to $7.63m Business Intelligence licence fe
Slide 15: Product – Licence Fee Analysis Continued
Product – Licence Fee Analysis For personal use only Continued Click ____ to__toedit invest in following ____Master _____text areas: ____ styles ______ Performance Second _____ _____Planning – newly acquired product level TechnologyOne Third ____ _____ CRM – exciting new offering level Fourth ___
Slide 16: Geographical Analysis
Geographical Analysis Initial Licence Fees by Region 12 Up $1.6m, 17% For personal use only $ Millions 10 Click ____ to __edit ____Master _____ Up $0.6m,text 8%____ styles ______ Variance 8 Second _____ _____ level 2008 6 Third ____ level _____ 2009 Fourth _____ _____ level4 Variance % Up $0.6m, 28%
Slide 17: Geographical Analysis: Central Region
Geographical Analysis Central Region Initial Licence Fees by State For personal use only 6 Up $1.9m , 54% $ Millions 5 Click ____ to __edit ____Master _____text ____ styles ______ 4 Second _____ _____ level 3 Up $674k , 25% Down $925k , 29% Variance Third ____ level _____ 2 2008 2009 Fourth _____ __
Slide 18: Geographical Analysis: Northern Region
Geographical Analysis Northern Region Initial Licence Fees by State For personal use only 6 Up $556k , 12% Click ____ 5 to __edit ____Master _____text ____ styles ______ $ Millions Second _____ 4 _____ level Variance Third ____ 3 level _____ 2008 2 2009 Fourth _____ 1 _____ level Up $569k , 80% Down
Slide 19: Geographical Analysis: Asia Pacific
Geographical Analysis Asia Pacific Initial Licence Fees by State For personal use only 2500 Up $245k , 13% Click ____ 2000 to __ edit ____Master _____text____ styles ______ Second _____ _____ level $ Thousands Variance 1500 Third ____ level _____ 2008 1000 2009 Fourth _____ 500 _____ level Up $311k
Slide 20: Geographical Analysis: United Kingdom
For personal use only Geographical Analysis United Click ____ Kingdom to licence __edit ____ fees down Master _____ 19%styles text ____ ($127k) ______to $524k UK loss of $1.5m Second _____ _____level Customer list is as follows Third ____ level _____ University of Hertfordshire (new) Fourth __
Slide 21: 2009 Results Summary
2009 Results Summary For personal use only Increased Click ____ to revenues __edit and ____Master licence _____ fees styles text ____ in a______ difficult market Our competitors Second _____ levelhad significantly reduced revenues and licence fees _____ Third ____ level _____ TechOne is not compl
Slide 22: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____ ‘Go To Market’ Strategy styles ______ Changes to Sales Second _____ _____ level • Solutions Focus Third ____ level _____ • Programs & Promotions Fourth _____ _____ level Product Strategies in 2
Slide 23: Changes To Sales
Changes To Sales UK Region For personal use only Divideto Click ____ UK edit __ into ____2 regions, Master _____to create text a greater ____ styles focus ______ • Southern Region – Existing Office in Maidenhead – to continue Second _____ _____ level • Northern Region – New Office in Manchester – a
Slide 24: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____ ‘Go To Market’ Strategy styles ______ • Changes to Sales Second _____ _____ level Solutions Focus Third ____ level _____ • Programs & Promotions Fourth _____ _____ level Product Strategies in 2
Slide 25: Our Current Model
Our Current Model Product Focus Products and Services Today: ‘House of Products’ Customers For personal use only Financials Selling products by Vertical Market Click ____ to __edit____Master Human Resource & _____text ____styles ______ Financial Services Second _____ _____ Payroll level Supply Chain
Slide 26: Improved Model: Solutions Focus
Improved Model Solutions Focus Future: ‘House of Solutions’ Products & Services Selling preconfigured solutions Customers For personal use only Financials Click ____ to __edit____Master _____text ____styles ______ by Vertical Market Human Resource & Preconfigured Solutions Payroll Financial Services
Slide 27: Improved Sales Model
Improved Sales Model Solutions Focus Build, demonstrate, sell and implement a ‘best practice, pre-configured For personal use only out of the box’ solution for a vertical • Change Click ____ __our to approach edit ____ from Master ‘Tell us _____ what text ____ you want styles and we will build it?’
Slide 28: Solutions Group
Solutions Group For personal use only Initial ‘best practice, pre-configured’ solutions being developed as follows: Click ____ to __edit ____Master _____text ____ styles ______ • Local Government Second _____ _____ level • Central Government Third ____ level _____ • Health & Community Services – Non
Slide 29: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____ ‘Go To Market’ Strategy styles ______ • Changes to Sales Second _____ _____ level • Solution Focus Third ____ level _____ Programs & Promotions Fourth _____ _____ level Product Strategies in 20
Slide 30: Programs & Promotions
For personal use only Programs & Promotions TechnologyOne has one of the broadest suite Click ____ to __edit ____Master _____oftext applications ____ styles in the world ______ Second _____ _____ level Many licensable products Third ____ level _____ Many licensable modules Fourth _____ _____ lev
Slide 31: Programs & Promotions
Programs & Promotions Financial For personal use only Health State Services/ Local Utilities & & Federal Education Managed Govt & Water Community Govt Services/ Services Property Click ____ to __edit ____Master _____text ____styles ______ CRM Programs/Promotions Second _____ _____level Contact and S
Slide 32: Programs & Promotions
Programs & Promotions Financial Health For personal use only State Services/ Local Utilities & & Federal Education Managed Govt & Water Community Govt Services/ Services Property Click ____ to __edit ____Master _____text ____ ECM Programs/Promotions styles ______ Second _____ _____ BAMM level eMinis
Slide 33: Programs & Promotions
Programs & Promotions Financial Health State Local Utilities Services/ & For personal use only & Federal Education Govt & Water Managed Community Govt Services/ Services Property Click ____ HR to __edit & Payroll ____Master _____text____ Programs/Promotions styles ______ HRP to existing customers us
Slide 34: Programs & Promotions
Programs & Promotions Financial For personal use only Health State Services/ Local Utilities & & Federal Education Managed Govt & Water Community Govt Services/ Services Property Click ____ to __edit ____Master _____text ____ styles ______ Property Programs/Promotions Second _____ _____level Busines
Slide 35: 'Go To Market' Strategy
‘Go To Market’ Strategy Clearly identify programs and promotions that will deliver For personal use only significant value to both us and our customers Programs & Promotions Marketing campaign to support each Program & Click ____ to Products __edit ____Master _____text ____styles ______ Promotion Se
Slide 36: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____‘Go To stylesMarket’ Strategy ______ • Changes to Sales Second _____ _____ level • Preconfigured Solutions Third ____ level _____ • Programs & Promotions Fourth _____ _____ level Product Strategie
Slide 37: CRM – Customer Relationship Management
CRM Customer Relationship Management For personal use only Exciting very new product with significant potential Click ____ to __edit Achieved _____ ____Master $486kstyles text ____ licence ______fees in first year and ‘broke Second level even’ _____ _____ Third _____ Critical to winning enterp
Slide 38: ECM – Enterprise Content Management
ECM Enterprise Content Management For personal use only Click ____ to __edit Achieved ____Master _____ text ____ $2.8m styles licence fees in 2009, up $1.3m (86%) ______ Second _____ _____ level Exciting technology with significant potential Third ____ level _____ Significant growth market Fou
Slide 39: Corporate Performance Management
Corporate Performance Management For personal use only Corporate Performance Management Click ____ to __edit Combination ____Master _____ text ____ofstyles Business ______Intelligence (BI), Enterprise Budgeting and Performance Planning Second _____ _____ level Very successful – Licence Fees of
Slide 40: ETL / Data Warehousing
ETL / Data Warehousing Financials OLAP ETL/Data Warehouse For personal use only Human Resource & provides an abstraction layer Payroll from underlying system changes, simplifies BI, and improves performance Click ____ to __edit____Master _____text ____ styles ______ Supports non-TechnologyOne System
Slide 41: HR/Payroll
HR/Payroll Critical part of our enterprise solution For personal use only Significant improvement in last 18 months Click ____ to __edit ____Master _____text ____ styles ______ Second level New GM and ‘House of Products’ strategy _____ _____ Third ____ level _____ CI migration completed, stabili
Slide 42: Works & Assets
For personal use only Works & Assets Click ____ to __edit ____Master _____ Licence text ____ fees styles of only $2m, down $663k ______ Second _____ _____ level Strategy Third ____ level _____ Teething problems after fast growth in prior year Fourth _____ _____ level Appoint a new General Mana
Slide 43: Property & Rating
Property & Rating Licence fees of only $1.2m, down $1.2m For personal use only Click ____ to __edit ____Master Strategy _____text ____ styles ______ Second _____ _____ level Larger Local Government deals appearing again next year, better suited to us Third ____ level _____ Fourth _____ _____ lev
Slide 44: Student Management
For personal use only Student Management Licence Fees of $2.2m up $1.2m Click ____ to __edit ____Master _____text ____ styles ______ New management team in place, product Second _____ _____ level stabilised and first Ci sites live Third ____ level _____ Curtin University, Flinders University,
Slide 45: Financials/Supply Chain
For personal use only Financials/SupplyChain Click ____ to __edit ____Master _____textOur ____ Financials/Supply styles ______ Chain provides us a powerful platform for what we do Second _____ _____ level Third ____ level _____ Business as usual Fourth _____ _____ level Many Programs & Promotio
Slide 46: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____‘Go To stylesMarket’ Strategy ______ • Changes to Sales Second _____ _____ level • Preconfigured Solutions Third ____ level _____ • Programs & Promotions Fourth _____ _____ level Product Strategie
Slide 47: Outlook for Full Year: Expenses
For personal use only Outlook for Full Year Expenses are expected to grow less Click ____than to theyedit __ have ____ inMaster prior _____text ____styles ______ years Second _____ _____ level Cost control initiatives implemented in Third ____ 2009 level _____ will have a continuing positive impac
Slide 48: Outlook for Full Year: Revenue
For personal use only Outlook for Full Year We expect Click ____ to __ toedit see further ____ Mastergrowthtext _____ in revenue: ____ styles ______ Constrained Second _____ market conditions continuing, but have stabilised _____ level Third ____ Marketlevel _____ competition & pricing pressure co
Slide 49: Outlook for Full Year: Challenges
For personal use only Outlook for Full Year Challenges Click ____ to__edit ____Master _____text ____styles ______ New R&D Second _____ centre/HQ and associated run out of ‘lease tails’ – estimated _____ level impactlevel Third ____ additional $1.5m in 2010 _____ United Kingdom Fourth _____ level –
Slide 50: Agenda
Agenda 2009 Results For personal use only Click ____ to __edit Improved ____Master _____ text ____‘Go To stylesMarket’ Strategy ______ • Changes to Sales Second _____ _____ level • Preconfigured Solutions Third ____ level _____ • Programs & Promotions Fourth _____ _____ level • Improved Service
Slide 51: Long Term Outlook: Improved Profit Margin
Long Term Outlook For personal use only Improved Profit Margin Click ____ Profit to __edit margin ____ has Master _____ contracted overtext ____styles ______ the last 10 _____ Second _____ years levelas we have expanded Third ____ level our product range, _____ invested in Ci, extended our Fourth
Slide 52: Long Term Outlook: Improved Product Contribution
Long Term Outlook Improved Product Contribution For personal use only We have invested Click ____ to __edit heavily ____ Master _____text ____styles ______ in our new products over Second _____ _____ the last 9 years level Third ____ level _____ Opportunity to Fourth _____ _____ substantially le
Slide 53: Long Term Outlook: Improved Regional Contribution
Long Term Outlook Improved Regional For personal use only Contribution Click ____ to __edit____Master _____text ____styles ______ Opportunity to substantially Second _____ _____ level grow licence fees over next Third 5____ years aslevel _____ follows: Fourth _____ • UK – we _____ level have inves
Slide 54: Long Term Outlook
Long Term Outlook Remains strong because of our clear and compelling value proposition: For personal use only Enterprise Suite – one of a few companies globally with an enterprise solution Click ____ to __edit____Master _____text ____ styles ______ Connected _____Intelligence Second level– the f
Slide 55: Full Year Results Presentation Year Ending September 2009
For personal use only Full Year Results Presentation Year Ending September 2009 Adrian Di Marco Executive Chairman www.TechnologyOneCorp.com Commercial in confidence November 2009