Calian Group Ltd. · TSX:CGY
Calian — Q4 2023 Earnings Presentation
24 slides from Calian's earnings presentation, Nov 27, 2023
Slide 1: Investor Presentation – Q4 FY23
Investor Presentation – Q4 FY23 November 28, 2023
Slide 2: Caution Regarding Forward Looking Statements
Caution Regarding Forward Looking Statements Certain information included in this document is forward-looking and is subject to important risks and uncertainties. The results or events predicted in these statements may differ materially from actual results or events. Such statements are generally ac
Slide 3: Q4-23 and FY23 Highlights
Record Q4 results Q4 highlights Completed HPT acquisition * Launched digital health portfolio * Opened a wholly owned subsidiary in Belgium * Signed contracts with MDA and Shared Services Canada * Signed second SaaS customer for Nexi * Closed $255M debt agreement * Launched NCIB Record FY23 results
Slide 4: Q4-23 Consolidated Results
Q4-23 Consolidated Results $176M $1.2B 7% 3% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $) (in millions of $, except margin) (in millions of $, except margin) 176 60 40.0% 161 169 167 56 20.4 148 50 52 5
Slide 5: FY23 Consolidated Results
FY23 Consolidated Results $580M $1.2B 6% 7% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $) (in millions of $, except margin) (in millions of $, except margin) 659 250 40.0% 70 66 66 700 582 204 60 22.0% 6
Slide 6: FY23 – Net Profit & Adj. Net Profit
FY23 – Net Profit & Adj. Net Profit Net Profit Adj. Net Profit1 Adj. EPS Diluted1 (in millions of $) (in millions of $) (in dollars) 20 20 44 $3.87 19 41 37 $3.50 $3.45 14 $2.59 11 $2.41 24 19 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 1) This is a non-GAAP measure. P
Slide 7: FY23 – Operating FCF Generation & Conversion
FY23 – Operating FCF Generation & Conversion Adj. EBITDA2 Operating Free Cash Flow (OFCF)1&2 OFCF Conversion1&2 (in millions of $) (in millions of $) (in %) 70 66 66 76% 47 45 72% 68% 60 66% 52 63% 50 35 40 37 28 30 27 17 20 10 0 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022
Slide 8: FY23 – Capital Deployment
FY23 – Capital Deployment Acquisitions1 Capex1 Dividends & Share Buybacks (in millions of $) (in millions of $) (in millions of $) 66 68 8 8 2 13 7 12 49 6 10 13 5 9 29 21 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 1) Includes acquisitions and earn-outs 1) Capex = Equ
Slide 9: FY23 - Balance Sheet
FY23 - Balance Sheet Total Debt Cash & Cash Equivalents Net Liquidity (in millions of $) (in millions of $) (in millions of $) 176 38 79 159 115 43 84 34 13 17 24 44 8 0 0 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 1) Net Liquidity= Unused portion of credit line + cas
Slide 10: FY24 – Guidance
FY24 – Guidance Revenues Revenue Coverage Adj. EBITDA1 (in millions of $) (in millions of $) (in millions of $) 730-790 83-89 510 659 40 582 32 66 66 518 52 432 67% 37 438 2020 2021 2022 2023 2024E FY24 FY25 Beyond FY25 2020 2021 2022 2023 2024E Backlog Deferred Revenues Recurring Revenues 1) This i
Slide 11: Q4-23 ITCS
Q4-23 ITCS $87M $141M -31% -% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $, except margin) (in millions of $, except margin) (in millions of $) 30 65.0% 14 35.0% 12.4 69 25.1 60.0% 25 12 30.0% 55.0% 19.6
Slide 12: FY23 ITCS
FY24 significant adj. EBITDA FY23 ITCS improvement $247M $141M -13% 23% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $) (in millions of $, except margin) (in millions of $, except margin) 189 173 80.0 35.0
Slide 13: Q4-23 Health
Q4-23 Health $29M $633M 31% -% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $, except margin) (in millions of $, except margin) (in millions of $) 52 40.0% 35.0% 49 16.0 15.2 12 10.7 30.0% 44 14.0 13.4 35.
Slide 14: FY23 Health
FY24 Lower adj. EBITDA FY23 Health margins $115M $633M 11% -% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $) (in millions of $, except margin) (in millions of $, except margin) 195 55.0 40 50.0% 25.0% 185
Slide 15: Q4-23 Advanced Technologies
Q4-23 Advanced Technologies $52M $149M 58% 14% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Gross Profit & Margin Adj. EBITDA1 & Margin1 Revenues (in millions of $, except margin) (in millions of $, except margin) (in millions of $) 53 13 50.0% 30.0% 20 18.7 47 11.1 45 15.6
Slide 16: FY23 Advanced Technologies
FY24 Another record year for FY23 Advanced Technologies revenues & margins $192M $149M 16% 3% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Margin increase due Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $, except margin) to mix (in millions of $, ex
Slide 17: Q4-23 Learning
Q4-23 Learning $8M $248M 11% -% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Gross Profit & Margin Adj. EBITDA1 & Margin1 Revenues (in millions of $, except margin) (in millions of $) (in millions of $, except margin) 6.0 40.0% 5.4 29 9 8.2 27 32.0% 26 8 5.0 24 6.6 6.6 35.0%
Slide 18: FY23 Learning
FY24 Pace of growth to FY23 Learning slow down $26M $248M 16% -% Gross New Contract Signings Backlog Organic Growth Acquisitive Growth Revenues Gross Profit & Margin Adj. EBITDA1 & Margin1 (in millions of $) (in millions of $, except margin) (in millions of $, except margin) 106 30.0 40.0% 19.0 30.0
Slide 19: Concluding Remarks
Our diversification and evolving products business helped us posta record Q4 Strong signings and organic revenue momentum re-enforces customers trust us and our expertise is in demand We help the world communicate, innovate, learn, and lead safe and healthy lives. Our capital allocation strategy is
Slide 20: Question Period
Question Period Kevin Ford Patrick Houston Jennifer McCaughey CEO CFO & Corporate Secretary Director, Investor Relations
Slide 21: Thank you
a CALIAN . Thank you ir@calian.com
Slide 22: Reconciliation of Non-GAAP Measures – Adj. EBITDA
Reconciliation of Non-GAAP Measures – Adj. EBITDA (in thousands of $) Three months ended Twelve months ended Sept. 30, 2023 Sept. 30, 2022 Sept. 30, 2023 Sept. 30, 2022 Net profit $5,119 $1,195 $18,885 $13,604 Depreciation of equipment and application software 2,133 2,308 9,043 6,974 Depreciation of
Slide 23: Reconciliation of Non-GAAP Measures – Adj. Net Profit & Adj. EPS
Reconciliation of Non-GAAP Measures – Adj. Net Profit & Adj. EPS (in thousands of $, except per share amounts) Three months ended Twelve months ended Sept. 30, 2023 Sept. 30, 2022 Sept. 30, 2023 Sept. 30, 2022 Net Profit $5,119 $1,195 $18,885 $13,604 Restructuring expense 2,618 - 2,618 - Other chang
Slide 24: Reconciliation of Non-GAAP Measures – Operating Free Cash Flow
Reconciliation of Non-GAAP Measures – Operating Free Cash Flow (in thousands of $, except per share amounts) Three months ended Twelve months ended Sept. 30, 2023 Sept. 30, 2022 Sept. 30, 2023 Sept. 30, 2022 Cash flows generated from operating activities $22,704 ($12) $56,775 $43,141 Capitalized res