Clarivate Plc · NYSE:CLVT
Clarivate — Investor Presentation (September 2022)
13 slides from Clarivate's investor presentation, Sep 12, 2022
Slide 1: Investor Presentation September 2022
Investor Presentation September 202 2
Slide 2: Forward-Looking Statements
Forward - Looking Statements This communication contains “forward - looking statements” as defined in the Private Securities Litigation Reform Act of 1995 . These statements, which express management’s current views concerning future business, events, trends, contingencies, financial performance, or
Slide 3: Business Overview and Key Offerings
Key Offerings Business Overview 3 ~80% subscription/re - occurring revenue model with >90% retention rates 1 Based on 2022 Revenue Guidance of $2.7B Academia & Government Segments 1 ~ 47% Regional Presence 1 Life Sciences & Healthcare ~ 18% HDS MedTech 360 Intellectual Property ~ 35% Renewals IPMS S
Slide 4: MarkMonitor Divestiture
MarkMonitor Divestiture 4 Active portfolio management will generate cash expected to accelerate deleveraging PRODUCTS SCIENCE SOLD OUTSIDE OF LS&HC STRATEGIC RATIONALE • Suboptimally aligned with our core competencies • Enables improved focus on our core IP business • Empowers product development an
Slide 5: FY 2022 Outlook
▪ ~$20m translational Fx revenue headwind to mid - point of guidance range in H2 due to ~5% strengthening of USD during the third quarter ▪ Now expect Q3 revenue between $640 - 650M as a result of stronger USD with organic growth of ~3% FY 2022 Outlook 5 Strengthening of USD in Q3 leading to ~$20m t
Slide 6: Investment Highlights
Leading Brands Global Customer Base $100B Addressable Market ~80% Subscription / Re - occurring Revenue 90%+ Subscriber Retention Rates Significant Operating Leverage Substantial Free Cash Flow Generation Accomplished Leadership Team 6 Investment Highlights
Slide 7: Appendix
(S Clarivate” Appendix
Slide 8: Non-GAAP financial measures
This presentation contains financial measures which have not been calculated in accordance with generally accepted accounting principles in the United States of America (“ US GAAP “) , including Organic Revenues, Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Diluted EPS, Free Cash Flow and Adjus
Slide 9: Adjusted EBITDA
Adjusted EBITDA The use of Adjusted EBITDA instead of US GAAP has limitations as an analytical tool, and you should not consider Adjusted EBI TDA in isolation, or as a substitute for analysis of the Company’s results of operations and operating cash flows as reported under US GAAP. For example, Adju
Slide 10: Adjusted Diluted EPS and Free Cash Flow
Adjusted Diluted EPS We use Adjusted Diluted Earnings Per Share ("Adjusted Diluted EPS") in our analysis of the financial performance of the Company . We believe Adjusted Diluted EPS is meaningful measures of the performance of the Company because they adjust for items that do not directly affect ou
Slide 11: Adjusted EBITDA reconciliation, FY2022 outlook
Year Ending December 31, 2022 (Forecasted) Low High (in millions) Net income ( loss ) attributable to ordinary shares $ (1 6.9 ) $ 23.1 Dividends on preferred shares (1) 75.5 75.5 Net income 58 . 6 98.6 Provision for income taxes 73.5 73.5 Depreciation and amortization 717.5 717.5 Interest expense a
Slide 12: Adjusted Diluted EPS reconciliation, FY2022 outlook
Year Ending December 31, 2022 (Forecasted) Low High Per Share Per Share Net income ( loss ) attributable to ordinary shares $ (0. 02 ) $ 0. 03 Dividends on preferred shares (1) 0.10 0.10 Net income 0. 08 0. 13 Restructuring and impairment (2) 0. 08 0. 08 Transaction related costs 0.04 0.04 Share - b
Slide 13: Free Cash Flow and Adjusted Free Cash Flow reconciliation
Year Ending December 31, 2022 (Forecasted) (in millions) Low High Net cash provided by operating activities $ 535 . 0 $ 585 . 0 Capital expenditures (19 0 .0) (19 0 .0 ) Free Cash Flow $ 345 . 0 $ 395 . 0 Cash paid for restructuring costs (1) 73.2 73.2 Cash paid for CPA Global equity plan (2) 16 5 .