Slide 1: Fiscal 2010 Unaudited Third Quarter Results
Agilysys, Inc. (Nasdaq: AGYS) Fiscal 2010 Unaudited Third Quarter Results February 3, 2010
Slide 2: Forward looking statements & non-GAAP financial information
Forward looking statements & non-GAAP financial information Forward-Looking Language This presentation contains certain management expectations, which may constitute forward-looking information within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities and Exchang
Slide 3: Q3 review: highlights
Q3 review: highlights Revenue grew 40% sequentially due to stabilizing demand environment - year-over-year revenue was down 2% Gross margin declined to 22.8% from 26.3% in fiscal Q3 2009 due to higher hardware content and lower services SG&A declined $7.0M primarily due to full-realization of previo
Slide 4: Q3 review: consolidated results
Q3 review: consolidated results Hardware revenue increased 12%, services decreased 39% and software decreased 1% from prior year SG&A, excluding depr. & amort., decreased $3.9M primarily due to lower professional fees and T&E Adjusted EBITDA, excluding charges, decreased $5.5M primarily due to lower
Slide 5: Hospitality (HSG)
Q3 review: Hospitality ("HSG") Revenue declined 19.4% due to lower hardware and implementation service revenues Gross margin increased primarily due to lower proportion of hardware sales and lower developed technology amortization SG&A, excluding depr. & amort., decreased by $1.7M Adjusted EBITDA ma
Slide 6: Retail (RSG)
Q3 review: Retail ("RSG") Revenue grew 8.3% due to higher hardware and resold software sales Gross margin decreased due to higher proportion of hardware and lower resold services SG&A, excl. depr. & amort., decreased $0.3M on lower bad debt expense Adjusted EBITDA declined $1.2M as a result of lower
Slide 7: Technology (TSG)
Q3 review: Technology ("TSG") Sales were flat compared to prior year as IT budgets loosened at year-end Gross margin contracted in quarter primarily due to mix of higher hardware and lower services SG&A, excl. depr. & amort., increased $1.2M Acquisition-related intangible amortization decreased by $
Slide 8: Corporate
Q3 review: Corporate Gross profit decreased $1.2M due to recording miscellaneous pricing adjustments in prior year SG&A, excl. depr. & amort., decreased $3.1M Corporate Segment ($Mil.) Q3 Year-over-Year Commentary
Slide 9: FY10 fiscal-to-date review: consolidated results
FY10 fiscal-to-date ("FTD") review: consolidated results Revenue declined 12.3% HSG revenue decreased 18.8% RSG revenue decreased 16.2% TSG revenue decreased 10.0% SG&A, excl. depr. & amort., decreased by $24.1M primarily due to significant cost saving initiatives Other income increased $6.0M primar
Slide 10: Summary balance sheet performance
Q3 review: summary balance sheet performance Cash at Dec. 31st was $24.4M - a decrease of $23.8M from 9/30/09 largely due to: Paying vendor $16.6M to take advantage of early-pay discount Seasonal investment in working capital related to higher sales Cash at Dec. 31st does not include $2.4M distribut
Slide 11: Quarterly revenue
Quarterly revenue Jun '08 Sep '08 Dec '08 Mar '09 Jun '09 Sep '09 Dec '09 EBITDA 117 118.7 161.4 111 89.8 109 159 Jun '08 Sep '08 Dec '08 Mar '09 Jun '09 Sep '09 Dec '09 Organic 25 23.4 27.9 23.6 16 23 22.5 HSG Revenue ($Mil.) TSG Revenue ($Mil.) Jun '08 Sep '08 Dec '08 Mar '09 Jun '09 Sep '09 Dec '
Slide 12: Outlook
Outlook IT capital spending environment has stabilized compared to early 2009 IT growth outlook remains uncertain for calendar year 2010 Expect corporate customers to remain cautious in early calendar 2010 waiting further indications of economic recovery Remain focused on managing costs and working
Slide 13: Fiscal 2010 Unaudited Third Quarter Results
Agilysys, Inc. (Nasdaq: AGYS) Fiscal 2010 Unaudited Third Quarter Results February 3, 2010
Slide 14: Reconciliation of net income/(loss) to adjusted EBITDA
Reconciliation of net income/(loss) to adjusted EBITDA