Macquarie Technology Group Limited · ASX:MAQ
Macquarie Technology — Investor Day (October 2018)
34 slides from Macquarie Technology's investor day presentation, Oct 24, 2018
Slide 1: Investor Day 2018
Investor Day. 2018. 24 October 2018
Slide 2: Business Summary
2 Business Summary. Business Areas Percentage of 39% 56% 61% 44% Revenue & EBITDA in FY18 Revenue EBITDA Revenue EBITDA For business, we are the full service provider For business customers we are the specialists We are the Australian specialists in cyber of data, voice, mobile & colocation in hybri
Slide 3: Business Highlights
3 Macquarie Telecom Macquarie Cloud Services ● #1 in SDWAN in Australia ● Leading provider of Hybrid IT for Corporate IT and SaaS, ● Strategic partnership and investment with NBN Co to expand supporting customers on their journey to the Cloud reach and competitiveness ● External audit and validation
Slide 4: Customer focus… is delivering improved performance
4 Customer focus… is delivering improved performance. • Our continued focus on providing a great NPS Q4FY18 customer experience is core to our service Larger Smaller ASX National offering & differentiation Telco Range Telco Range Leaders (+45)* • Macquarie’s net promoter score (NPS) is +70 for Q4 FY
Slide 5: Key Business Highlights
5 Key Business Highlights. 6% 19% 20% 19% Revenue EBITDA NPAT EPS $233.1m $47.8m $17.0m 80.9cps ● Eight consecutive halves of revenue and profit growth ● EBITDA CAGR of 20.4% over the last three years ● Hosting revenue continued to grow on the back of strong sales and order implementation ● Improved
Slide 6: FY18 Colocation Business Highlights
6 FY18 Colocation Business Highlights. 18.4% YonY 19.4% YonY 14.6% YonY Revenue EBITDA EBITDAR $33.4m $15.6m $20.1m ● Colocation EBITDA Margin of 46% ● Market leading EBITDAR Margin of 60% in FY18 ● Colocation revenue is billed through both Hosting and Telecom Groups Cross connect / interconnect 5.3
Slide 7: Group Financial Performance
7 Group Financial Performance. ● Over the last 3 years: – Revenue CAGR of 6.8% – EBITDA CAGR of 20.4% – EBITDA margin for the full year improved from 16.0% to 20.5% ● Reflects strategic shift in 1H FY15 and the change in revenue mix to higher margin hosting business Macquarie Telecom Group Investor
Slide 8: Financial Performance - Hosting
8 Financial Performance - Hosting. ● Over the last 3 years: – revenue CAGR of 16.5% – EBITDA CAGR of 33.0% – EBITDA margin of 28.1% reflecting 2H FY18 investment in the Government business to fund future growth ● Highly leveraged business with improving margins as infrastructure utilisation increase
Slide 9: Financial Performance - Telecom
9 Financial Performance - Telecom. ● Over the last 3 years: – revenue CAGR of 1.4% – EBITDA CAGR of 10.6% ● Reflects growth in market share in a highly competitive market with an improving EBITDA margin of 14.8% Macquarie Telecom Group Investor Day 2018
Slide 10: Growth Capex. Customer Growth Capex. Maintenance Capex.
10 Growth Customer Growth Maintenance Capex. Capex. Capex. ● Growth Capex is for the building ● Customer Growth Capex is for ● Most of the remaining Capex of new data centre capacity, additional cabling, racks, servers is infrastructure refresh and increased power supply, new & storage that enable u
Slide 11: Balance Sheet & Cash Flow
Balance Sheet 11 Balance Sheet & $m FY18 FY17 Cash Flow. Cash and cash equivalents 30.3 31.8 Other current assets 21.4 20.0 Non-current assets 92.0 81.4 Total Assets 143.7 133.2 ● Cash of $30.3m and no debt Creditors 33.5 28.7 ● Strong conversion of EBITDA to operating cash flows Other Liabilities 1
Slide 12: Luke Clifton
Luke Clifton. Group Executive Macquarie Telecom
Slide 13: Macquarie Telecom
Macquarie Telecom
Slide 14: Purpose: To make a difference for our customers and the industry
PURPOSE To make a difference for our customers and the industry Results, personal accountable VALUES service, collaboration MARKET WHO WHAT OUTCOME We represent the only full service Telco $4 Billion for Corporate Businesses in Australia, with consolidating 5,500 mid sized a range of carriers we del
Slide 15: 6 ways business class nbn is different
15 6 ways business class nbn™ is different. Macquarie Telecom
Slide 16: Until today: Major cities only
Until today: Major cities only. From today: 121 POIs. Coast to coast infrastructure.
Slide 17: Macquarie SD-WAN
17 Macquarie SD-WAN. Link Bonding Voice and Video App Prioritisation International Fast and Simple Secure, End to End • SD-WAN sends data • SD-WAN Optimises • Applications can be • SD-WAN provides a • Manage your entire • Data is encrypted at packets across Voice and Video prioritised individually l
Slide 18: A network that can keep up with cloud and SaaS
A network that can keep up with cloud and SaaS Link bonding SD-WAN sends data packets across multiple links, and stitches the packets together at the other end. Macquarie Telecom
Slide 19: James Mystakidis
James Mystakidis. Group Executive Macquarie Cloud Services
Slide 20: We enable Hybrid IT + we secure the cloud
Making a difference in an industry that is over PURPOSE charged and under served Results, personal accountable VALUES service, collaboration MARKET WHO WHAT OUTCOME SAAS GROWING WE ENABLE HYBRID IT + #1 5.2 ENTERPRISE VIA Managed $ billion 2.6 2x GROWTH PARTNERS WE SECURE THE CLOUD Cloud Business Th
Slide 21: Hybrid IT
Audit, Design, Planning & Migration App App App App App App App App Hybrid IT On-Premises Colocation Dedicated Cloud Connectivity – Layer 2+3, Carrier Neutral, SDWAN Security – Layer 2/3, Host, Network, Gateway, File/Web Management – Availability, Capacity, Reporting, Tools, API’s, SLA/SLG Macquarie
Slide 22: Government
Government Aidan Tudehope Managing Director Government and Hosting Group
Slide 23: Government
GOVERNMENT MARKET WHO WHAT OUTCOME AUSTRALIAN FEDERAL SECURING THE DIGITAL GOVERNMENT TRANSFORMATION OF GOVERNMENT POLICY GOVERNMENT Through the PROTECTED High Ground DIGITAL & NSW (SECURE CLOUD, SECURE TRANSFORMATION GATEWAY, COLOCATION) CYBER SECURITY INVESTMENTS HOW GROWTH _____________ ASIO T4 S
Slide 24: Government Cloud and Cyber Security focus
Government Cloud and Cyber Security focus. Cyber Security Cloud Network Macquarie Government
Slide 25: Our Customers
25 Our Customers. Macquarie Government
Slide 26: Team Australia
2 ED : c= if 2s O=: > Es q >
Slide 27: Macquarie Park Data Centre Campus development to 43MW
Macquarie Park Data Centre Campus development to 43MW. October 2018
Slide 28: Macquarie Park Campus expansion from 10MW to 43MW total load
Macquarie Park Campus expansion from 10MW to 43MW total load. • Modularised build for core and shell phases Intellicentre 3 East • Carrier Neutral • Designed for global Intellicentre 3 East hyperscalers, enterprise Intellicentre 3 West Intellicentre 3 East & West and Government customers Total Campu
Slide 29: Intellicentre 3 East – Phase 1
Macquarie Data Centres Intellicentre 3 East – Phase 1 Intellicentre 3 East • Initial build capex $75-80M • Keppel contribution Intellicentre 3 East to core and shell build cost $26-36M • MEP and fit out $45M • Initial Capacity Intellicentre 2 2.4MW (existing) • Modular fit out based on customer dema
Slide 30: Intellicentre 3 East – South East Corner
Macquarie Data Centres Intellicentre 3 East – South East Corner Intellicentre3 East Intellicentre 2 (existing) Macquarie Data Centres
Slide 31: Macquarie Data Centres
31 Macquarie Data Centres. Commercial & Proven Track Carrier Neutral design flexibility Record Compliance and Customer Speed of Government Security Service Response Macquarie Data Centres
Slide 32: Not all colocation data centres are created equal
Not all Centre of Fintech Corporate Australia’s colocation Transactions Centre for Hybrid IT We’re the home of Deeply interconnected data centres $AUD billions in secure transactions nationally solutions across 1000+ corporate customers are created Our Data Centres secure our customers, with critica
Slide 33: Carrier neutral. Better connected. More secure.
Carrier neutral. Better connected. More secure. ICON Intra-government Communications Network Macquarie Data Centres
Slide 34: Disclaimer
34 Disclaimer No express or implied warranty is given as to the accuracy or completeness of the information in this document or any corresponding presentation. This document may contain forward looking statements that, while used in good faith, reflect Macquarie Telecom Group Limited’s current inten
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