Bridgeline Digital, Inc. · NASDAQ:BLIN
Bridgeline Digital — Investor Presentation (February 2019)
31 slides from Bridgeline Digital's investor presentation, Feb 19, 2019
Slide 1: Bridgeline Investor Presentation
BRIDGELINE INVESTOR PRESENTATION DIGIT Am February 2019 funbound
Slide 2: Safe Harbor Statement
Safe Harbor Statement The information inthis presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Actof 1995. You can identify these statement by use ofthe words “may, “wil” “should,” “plans,” “explores” “expects,” “anticipates,” “continu
Slide 3: Company Overview
Company Overview Bridgeline Digital helps companies increase online revenues and customer engagement by ‘empowering their marketing teams to directly manage digital experiences and customers, fun bound without the need to coordinate with @ development team unboun ‘The Bridgeline Unbound Digital Expe
Slide 4: Leadership Team
Leadership Team 6084 AriKahn Carole Tyner Tom McGourty Brian Baloga Prasident@ 20 cnitFinancl omer cvPotParareios® P ofSusinseDavsooment ‘reap anose Cart Pizzi ed Sullivan Jim Vors ve of reduc Macating ve af Professional senes 00 of Teehelogy BRIDGELINE
Slide 5: Board of Directors
Board of Directors Joni Kahn* ~ chairperson Board of Directors, ridgeline. Member since 2012, Former Senior Manager for Big Machines, Hewlett Packard, Bearing Point, Ari Kahn — Director, President & Chief Executive Officer, Bridgeline. Co-founder FatWire Software. Ph.0. in Computer Science and Al sn
Slide 6: Investment Highlights
Investment Highlights Proven Mature Product Suite “unbound Marquee Customers CATERPILLAR © TRIUMPH PNY | Seantaies Fay os Temperature Hartford True HealthCare ‘Ohio Nasional nancial Savers GUARDIAN Company = Cloud software in Marketing Tech sector ( farTech) = Marquee customers = Contractual backlog
Slide 7: Market Opportunity
Market Opportunity Bridgeline Spans Multiple Technologies in Growing MarTech Sector ‘Market Growth (ica «Maltin Automation) 8 + Single platorm designed to provide ease of use for customers aa + Marketing Automation expected to grow at 9.26% CAGR to $6588 by 20221) sna © cebereneerammerimecheeomervem
Slide 8: Strategy Overview
Strategy Overview Challenges 2011 saturated Market = Low brand equity = Long sales cycle ‘Platform vs. tactical product Growth of the marketing” technology landscape over 7 years Opportunity Saturated Market ‘+ Strong product ‘strong customer/case studies Proposed Solution + Acquire tactical company
Slide 9: Long-Term Strategy & Goals
Reviews Long-Term Strategy & Goals Become the most complete suite of product: Analyties Infrastructure MarTech Complete Partner to our Customers *+ Platform offerings — hosting, data, publishing, integration Tactical offerings — platform agnostic, rapid time to market Services ~ strategic, technical
Slide 10: M&A and Valuations in MarTech
M&A and Valuations in MarTech Valuation SharpSpring (SHSP) trades at over 6x revenue Marketo acquisition at over 14x revenue OpenText (OTEX| trades at over 3x revenue HubSpot (HUBS) trades at over 1ixrevenue DemandWare acquisition at aver 12x revenue MarTech industry has many small companies = Chall
Slide 11: Unbound highlights and channels
“unbound Highlights: channels: = Broad MarTech product suite = Direct sales = Long term contracts ~ backlog "Outsourced inside sales / lead gen = Marquee customers = Limited partner channel ‘= Expanding into international markets = 828 & Franchise differentiating features CATERPILLAR TRIUMPH SportCl
Slide 12: Bridgeline 2019 Growth Opportunity
Bridgeline 2019 Growth Opportunity unbound attract + engage + nurture + convert |__| STANTIVE Technologies Group C CELEBROS + Asset Purchase Agreement + Asset Purchase Agreement. + Transactions closed February 2019 * Selection Notification February 2019 + March 1, 2019 close date BRIDGELINE
Slide 13: Celebros
C CELEBROS Deal Terms: * $400k Initial Payment Cash 84 * $100k Paid as $10k per month for 10 months + $500k 2M Shares Restricted Stock MRR Customers Employees Highlights: Channel Sales : Website search pean naar Q shopify partners Fast sales cycle European markets (]) Magento Marketplace Microsoft t
Slide 14: Stantive Orchestra CMS
MB srantive orchestra CMS a = = $5.0Mcash Customers MRR Employees Highlights: Channels : ar contracts with annul prepayments, auto-renewals Strong Salesforce partnership appexchange partner = Portal / intranet differentiator = Compliance and governance TM Manulife 7-ELEVEN — carenake Astrazeneca? Br
Slide 15: Unbound, Celebros and Stantive markets and competition
Gunbound + Ee > Mid-Market > Enterprise > SMB Markets Qsitecore Hubspst Competition Hammacher Seilemmer LOREAL AV ON Customers apne » Unified product suite Differentiators , utof-the-boxtemplates, » Velocity to market oracte BY STANTIVE CCELEBROS + > Mid-Market ‘Mid-Market Enterprise > Enterprise >
Slide 16: Diverse Combined Customer Base
Diverse Combined Customer Base C CELEBROS “unbound Upper mid-market + Corporate, Franchise, 828 and B2C + USCustomer Base * Broadmarketingsuite CATERPILLAR ‘The UPS Store @ xylem Cems Hartford SEATS mie ei umonster PNY + Mid-market + B2CeComm: Strong Euro pean Presence Fastsalescyclewith channel te
Slide 17: A unified product suite to manage your entire digital experience
A unified product suite to manage your entire digital experience - without limitations. in | we 6 Oo tonainFows —‘slePuising Faced Calog——allanioing Taman canada ———Detonas uation tbe Saleem LansoaFanie Earns nace —<CaRCneio—_—Replnlangenent_ eit lanagerent_UsogeBPerimance _UsswaFerimanse_Conpianee
Slide 18: Unbound Marketing
MARKETING Activity Dashboard ‘Automation Flows Campaign Management Landing Page Builder Contact & Audience ‘Management User Activity Stream Lead Score & Conversion Tracking Native CRM integration “unbound Marketing BRIDGELINE
Slide 19: Unbound Content
“unbound Content ‘CONTENT Activity Dashboard Publishing Workflows Digital Asset ibraries Inline Eating SEO & Taxonomy Enterprise Search User Management Forms & Blogs Multi-Site Management BRIDGELINE
Slide 20: Unbound Commerce
‘COMMERCE Activity Dashboard ProductCatalog Taxation, Shipping & Payment Coupons & Merchandising Cross-Sell& Up-sell Customer & Order Management Real-time Reporting Semantic Product Search “unbound Commerce stigssess BRIDGELINE
Slide 21: Unbound Social
SOCIAL Activity Dashboard Popular Socal integrations Mutt-location Management Aggregated insights Content Reporting, Sentiment & Engegement Reviews Management Reputation Management Robust Reporting bound Social BRIDGELINE
Slide 22: Translate
@ TRANSLATE + Translation Connectors + Workflow & Management + Language services + Industry Solutions + International SEO BRIDGELINE Dié % Lingotek ‘THE TRANSLATION NETWORK 2
Slide 23: Unbound Search
Q SEARCH NaturalLanguage site Search Machine teasing Responsive Auto-Complete Faceted Navigation Guided Navigation Dynamic Merchandising Engine Product Recommendations Product Finder Gunbound Search PiugnsFor: (9) Magento SAP Hybis(X) shopifyp|s OI BRIDGELINE 2a
Slide 24: Insights
INSIGHTS. + Multiple Dashboards VisitorReporting Geography & Technology Traffic Reporting Native Event Tracking search & Realtime Metrics Heatmapoing Overlay Recorded Sessions Funnel Analysis sound Plugins For: GELINE Insights {Q) Magento QYworvPress 2
Slide 25: Portal
PORTAL 100% Native on Salesforce + Omnichannel Communities Dynamic Personalized Experience + GlobalCollaboration Compliance & Governance Enterprise Class Powered by Business Users Unified Content Architecture salesforce mem INTRANETS BRIDGELINE & WeesiTEs ‘COMMUNITIES (OMNICHANNEL
Slide 26: Gross Margin and Adjusted Operating Expenses
Gross Margin Adjusted Operating Expenses ealiog weve Months Professional Services Margin sam 0% sam an ze s2am 0% SLCHI HSPN SS Soh SS oP OP Oe S26 FFE IKI SII KH SO seam License & Hosting Margin ae $22 80% I se s FF PS Ss? SY PF. Se had a epee + -justed operating xpensesisanon-GAAP metre, Excludes
Slide 27: Income Statement
Income Statement aioe oe @w@ a @ @ w a GRE) 207207 20170172018 2018201801829 Subserpionandpergetuallicerses $1725 $ 1562 § 1711 $ 1770 $ 1605 $ 1499 § 1262 $ 1282 $ 1.045 Managed sence hosting $ mo $ 261 § 22 $ 2635 mB $ m3 $ 23.5 2065 257 Digtal engagement saves $26 § 2351 § 2421 § 2201 § 2000 § 19
Slide 28: Balance Sheet and Capitalization Table
Balance Sheet Capitalization Table Sin thousands (except per share data) 32/31/2018 As ofFebruay 14,2019 Total Shares ash $ 2101 Common Stock 16,081,258 Total Assets $ 9271 Preferred Stock is enverestoconmen) 222,632 Debt $ 2521 Warrants wacrso.77) 11,443,073 Total Liabilities $ 5,354 Stock Options
Slide 29: Appendix
Appendix
Slide 30: Reconciliation of Net Loss to Adjusted EBITDA
Reconciliation of Net Loss to Adjusted EBITDA as at @ oe as at @ ae as at no 017 tos notation Net loss, $ (408) $ (530) $ (332) $ (332) $ (430) $ (680) $__ (5.162) $ (947) $__ (4,955) (Benefit)/provision for income tax $ 2s $ (14) $ 4 Interest expense, net By a6 $ 19 $208 Change in ir value of warra
Slide 31: Reconciliation of Operating Expenses to Adjusted Operating Expenses
Reconciliation of Operating Expenses to Adjusted Operating Expenses (S020) tants ovate ar20%6 052016 aaz016 _atzntrox204r —as20qr_a42eir_atzms a2ze1s _asat8ota04saF2048 ‘Tonalosetingowpansct Siayn_$ arn § geno § age $_Rare_§ asi $295 § Ese2_$ 2570 $2358 § games _e7¥6 $B S578 "ets Onewirgerpesdnte) S
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