Slide 1: Half-Year 2021 Earnings Presentation
Half-Year 2021 Earnings Presentation July 29, 2021 Amedeo D’Angelo, Chairman & CEO Richard Vacher Detournière, GM & CFO Copyright © 2021 Verimatrix. All Rights Reserved. 1
Slide 2: Disclaimer
Disclaimer This document was prepared by Verimatrix and is provided for information purposes only. It is public information only. This presentation includes statements that are, or may be deemed to be, “forward looking statements” and may include projections and estimates and their underlying assump
Slide 3: First-half 2021 highlights
First-half 2021 highlights $52.2 million revenue (up 18% year-on-year) but mixed second quarter $16.6 million revenue from the NFC patent licensing program Core software business down 20% YoY, at $35.5 million, with weaker second quarter Non-recurring revenues of licenses and royalties down YoY as C
Slide 4: Need for accelerating the transformation
Need for accelerating the transformation Core value of offerings intact despite mixed Q2 Deeper impact of the pandemic showed the need to adapt faster Recent customer trends and behavior pattern of historical customer base continue to shift, with an accelerated swing toward mobile use, streaming med
Slide 5: Financials
Security Made for People Financials Copyright © 2021 Verimatrix. All Rights Reserved. 5
Slide 6: Q2 2021 Revenue
Q2 2021 Revenue H12021 vs. Q2-2021 Q2-2020 (in thousands of US$) H12020 Software business 15 492 24 151 -36% NFC patent licensing program 16 645 - - Revenue 32 137 24 151 33% • $16.6 million revenue from the NFC patent licensing program with four major OEMs • Recurring revenue from maintenance and s
Slide 7: Half-year 2021 revenue
Half-year 2021 revenue H12021 vs. H1-2021 H1-2020 (in thousands of US$) H12020 Software business 35 549 44 170 -20% NFC patent licensing program 16 645 - - Revenue 52 194 44 170 18% • Revenue for the sole core software business was $35.5 million, down 20% vs. first-half 2020, due to a weaker second
Slide 8: H1 2020 Earnings
H1 2020 Earnings (in million US$) H1 2021 H1 2020 Revenue 52,2 44,2 Adjusted gross profit 38,6 37,0 As a % of revenue 73,9% 83,9% Research and development expenses (9,9) (11,5) Selling and marketing expenses (12,2) (12,6) General and administrative expenses (7,2) (7,6) Other gains / (losses), net (0
Slide 9: H1 2021: Strong growth of IFRS operating and net income
H1 2021: Strong growth of IFRS operating and net income (in million US$) H1 2021 H1 2020 Adjusted operating income/(loss) 9,3 5,2 Amortization and depreciation of assets acquired through business (2,5) (2,5) combinations (*) Acquisition related expenses 1,8 (0,1) Restructuring costs 2,1 (0,0) Share
Slide 10: H1 2021: Cash flows reflecting operating performance and financing structure
H1 2021: Cash flows reflecting operating performance and financing structure (in million $) H1 2021 H1 2020 Cash generated by continuing operations before changes in working capital 12,0 6,7 Cash generated used in changes in working capital from continuing operations (5,9) (5,8) Cash generated by co
Slide 11: H1 2021: Strong balance sheet
H1 2021: Strong balance sheet June 30, December 31 June 30, December 31 (in million $) (in million $) 2021 2020 2021 2020 Equity and retained earnings 155,7 147,4 Goodwill and intagible assets 137,2 136,6 Property and equipment 12,0 12,6 Borrowings 38,0 55,1 Other receivables 7,0 6,2 Convertible bon
Slide 12: Business Outlook and Objectives
Security Made for People Business Outlook and Objectives Copyright © 2021 Verimatrix. All Rights Reserved. 12
Slide 13: Business Outlook and Objectives
Business Outlook and Objectives Continued impact of Covid-19 and the accelerated trends in customers’ behavior in recent months triggered further strategic decisions and a priorities refocus toward a more recurring revenue model. New objectives: Revised 2021 revenue target: above $90 million (includ
Slide 14: Appendix
Appendix
Slide 15: Supplementary non-IFRS financial information
Supplementary non-IFRS financial information Verimatrix uses performance indicators that are not strictly accounting measures in accordance with IFRS. They should be considered as additional information, which cannot replace any other strictly accounting-based operating or financial performance meas
Slide 16: Investor information
Investor information Investor relations Richard Vacher Detournière GM & CFO finance@verimatrix.com Media Contact Matthew Zintel communication@verimatrix.com Financial Calendar Q3 2021 Revenue: October 20, 2021 (after market) Visit: https://investors.verimatrix.com/