Adveritas Limited · ASX:AV1
Adveritas — H1 FY2022 Earnings Presentation
23 slides from Adveritas's earnings presentation, Feb 25, 2022
Slide 1: H1 FY22 Results
H1 FY22 RESULTS Mathew Ratty Co-founder & CEO 25 February 2022
Slide 2: Disclaimer
Disclaimer This presentation contains summary information about Adveritas Limited (Adveritas) and is current at 24th February 2022. The information in this presentation is of general background and does not purport to be complete. This presentation is not investment or financial product advice (nor
Slide 3: H1 FY22: Executing on Growth Strategy
H1 FY22: EXECUTING ON GROWTH STRATEGY Continuing to penetrate key verticals with major client wins: Strong growth in annualised revenue, up 68% since 30 June 2021, to $1.72 million as at 31 December 2021. Revenue recorded in H1 FY21 ($960k) up 108% vs H1 01. 02. FY21 ($462k). Market Places Telecommu
Slide 4: Delivering on Key Objectives
DELIVERING ON KEY OBJECTIVES Demonstrated rapid growth in client and revenue Expand sales pipeline Convert TrafficGuard trials Invest in the team to Objectives: across key verticals into paying customers scale growth Achievements: • Increasing number of • Enterprise clients signed across • Chief Mar
Slide 5: Global scale and impact of invalid traffic and ad fraud
$455b Global scale and impact of Size of digital advertising market invalid traffic and ad fraud eMarketer1 28% of digital traffic is non human $127b Adobe2 Lost to non-human traffic $1.8-$3.6t 2.87x $364b Capital value erosion ROI on advertising Lost revenue Nielsen3 1 https://www.emarketer.com/con
Slide 6: General vs Sophisticated Invalid Traffic
General VS Sophisticated Invalid Traffic Invalid Traffic Identified through routine Identified through advanced means of filtration analytics and significant human intervention For example, web crawlers For example, identifying bot identified using parameter driven app installs through checks anomal
Slide 7: Invalid traffic is any activity that doesn't come from a real user
● Ad Stacking ● Bots ● Cookie Stuffing “Invalid traffic is any ● Click Farms activity that doesn't ● Domain Spoofing come from a real user ● Incentivised Ads with genuine interest” ● Known Hosts - Google definition ● Location Fraud ● Malware ● Pixel Stuffing ● Returning Users ● User Agent Spoofing
Slide 8: TrafficGuard's Prevention Solution
Google PPC - TrafficGuard detects and performance advertisers Prebid prevents invalid traffic by with returning users dynamically updating an exclusion list of invalid DSP - advertisers traffic from your advertising leveraging programmatic on a pre-bid basis. platforms to buy inventory TRAFFICGUARD’
Slide 9: Qualifying Traffic to Create Quality Leads
QUALIFYING TRAFFIC TO CREATE QUALITY LEADS Translating Traffic to Customers for ROI Optimisation Discovery Discovery & actionable and Automated removal Increase in customer Actionable insights Insights of invalid traffic value
Slide 10: The TrafficGuard Difference
Legacy Measurement TrafficGuard Platform Platforms Reported Impressions Rendered and Viewable Impressions GIVT and SIVT Impressions Impression Level Protection Clicks THE GIVT and SIVT Clicks TRAFFICGUARD Click Level Protection Installs DIFFERENCE GIVT and SIVT Installs Fraud Installs Contribution A
Slide 11: Trusted by Partners across both PPC and Mobile advertising spend
Trusted by Partners across both PPC and Mobile advertising spend
Slide 12: TrafficGuard Adoption Continues to Gain Momentum
TRAFFICGUARD ADOPTION CONTINUES TO GAIN MOMENTUM… Building a significant Freemium pipeline and investing to convert trial users to paying recurring customers Freemium subscribers • Healthy growth continued in the Freemium & paying customer base Y % Yo +1 65 3,783 • Freemium subscribers increased by
Slide 13: Driving Strong Revenue Growth
.. DRIVING STRONG REVENUE GROWTH • Annualised revenue scaling up, underpinned by new enterprise contracts across telecommunications, legal and retail industries Annualised Revenue ($) • Total annualised revenue of circa $1.72m as at 31 % 1,720k December 2021 +2 5 6 • Recorded revenue of $960k in H1
Slide 14: H1 FY22 Financial Performance
H1 FY22 FINANCIAL PERFORMANCE
Slide 15: Profit & Loss
PROFIT & LOSS ● H1 FY22 revenue reflects rapid scaling of TrafficGuard subscription revenues, reaching annualised revenue of $1.72m as at 31 Dec H1 FY22 H1 FY21 ($’000) 2021 Revenue 960 462 ● H1 FY21 Other income mainly consisted of JobKeeper and Pay-roll tax rebates ($396k) Other income 23 407 Empl
Slide 16: Balance Sheet
Strong balance sheet underpins investments to BALANCE SHEET scale TrafficGuard growth • $6.4m cash and no bank debt at 31 December 2021 31 Dec 21 30 Jun 21 ($’000) • Investments in sales and marketing team, sales Cash and cash equivalents 6,436 3,231 process and technology to drive continued Total A
Slide 17: TrafficGuard Contracts Underpinned Growing Cash Receipts
TRAFFICGUARD CONTRACTS Substantial 113% cash receipt ramp up to $1.1m UNDERPINNED GROWING CASH • 113% increase in cash receipts reflects RECEIPTS successful execution of growth strategy, as new customers were signed onto TrafficGuard, and includes $179k received from ClearPier Inc to settle overdue
Slide 18: Strong Growth Outlook
STRONG GROWTH OUTLOOK
Slide 19: Enhanced Sales & Marketing Capabilities Beginning to Drive Annualised Revenue
ENHANCED SALES & MARKETING CAPABILITIES BEGINNING TO DRIVE ANNUALISED REVENUE SCALE UP • Sales reps in 5 key locations with global coverage • New sales reps with strong track records hired in United Kingdom Asia and Europe and have substantially increased the sales pipeline India • Chief Marketing O
Slide 20: Positive Outlook
POSITIVE OUTLOOK Strong start to H2 FY22 • New enterprise client wins - William Hill, MyRepublic, Esport Technologies and upgraded contracts from existing client base • Establishing a strong pedigree of delivering client success in key verticals of online gambling, marketplaces, telecommunications,
Slide 21: In Closing..
IN CLOSING.. ● Huge Global Market: Online ad fraud is estimated to cost advertisers $127bn (advertising spend lost to non-human traffic) ● Built by design: TrafficGuard was built to address the inadequacies of legacy anti fraud solutions ● Validation: Growing list of Billion dollar companies now ado
Slide 22: TrafficGuard's Broad Industry Recognition
TRAFFICGUARD’S BROAD INDUSTRY RECOGNITION 21
Slide 23: Approved by the Board; contact details
This presentation has been approved by the Board of Directors of Adveritas Limited. For more information please contact: Mat Ratty Chief Executive Officer Adveritas Limited (ASX:AV1) P: +61 (8) 9473 2500 E: investor.enquiry@adveritas.com.au Ronn Bechler (Investor Relations) Executive Chairman Market