Slide 1: Fleet Visibility Solved
Fleet Visibility Solved Quartix Technologies plc 2023 Interim Results - Business Presentation July/August 2023
Slide 2: Our Team
Our Team Richard Lilwall - CEO Emily Rees - CFO 2
Slide 3: Background Information
Background Information IIC Gold and QCheck launch 260 EVolve launch 240 Quartix is an AIM Listed, cash generative, debt free business with Richard Lilwall joins as CEO 220 94% recurring revenues and high Launched in Italy and Germany 200 customer satisfaction rates. We Investors in Customer Gold off
Slide 4: The Customer Challenge
The Customer Challenge 2. Waste 6. Environment 3. Misuse/Fraud and EV Transition Poor adherence to the work plan and less With no oversight fraud Road miles = carbon effective job allocation is more likely - fuel emissions and climate theft, cargo theft, impact. Moving to EV is a private usage huge
Slide 5: Our Solution
Our Solution Cloud based platform Business insights Resolve high-risk behaviours 100% visibility Real time resource allocation and planning EV Transition and Management + Enhanced green credentials 5
Slide 6: Customer Outcomes
Customer Outcomes 25% 15% Fuel reduction More vehicle utilisation 15% 10% Overall mobile workforce Fewer miles driven productivity 15% 25% Reduced employee Reduction in idle time overtime 6 Source – Frost and Sullivan 2015
Slide 7: Quartix's Commercial Model
Quartix’s Commercial Model CUMULATIVE DISCOUNTED CASHFLOW MODEL Payback Period – £800 83% 84% 90% 1 year 80% 81% 78% £700 75% 80% 70% £600 70% 62% £500 60% £400 46% 50% £300 40% £200 30% £100 20% £0 10% 0 1 2 3 4 5 6 7 8 9 10 -£100 0% -2% Years -£200 Average customer length -10% Gross Profit Gross M
Slide 8: Growth Strategy
Annualised Recurring Revenue (ARR) Growth Strategy GROWTH OF REPORTED ARR Return on Investment seen in ARR Growth New installations growth has accelerated following the investment made in 2021 £27.3M ARR saw double digit growth £23.9m over 2022, accelerating further in 2023 onwards £22.2m following
Slide 9: Quartix KPIs
Quartix KPIs H1 2023 H1 2022 CHANGE Annualised Recurring Revenue (ARR) (£’m) 1 28.0 25.8 8% 1 Fleet subscriptions (new units) 33,547 32,085 5% Fleet gross attrition (annualised) 2 13.5 11.6 Fleet subscription base (units) 251,787 221,800 14% Fleet customer base 26,337 24,408 8% Price erosion (%) 3 4
Slide 10: Attrition
Attrition Avoidable Unavoidable Total Attrition Attrition Attrition Caused by product fit, Caused by company Despite economic service levels, ROI liquidations and headwinds including realisation etc. This not customers downsizing more company increasing as we their fleets. Sensitive to liquidations,
Slide 11: New Subscriptions
New Subscriptions New units New units added from New Fleet from new existing Subscriptions customers customers Customers are adding Customer must add new Despite headwinds QTX to vehicles the vehicles and drivers including very low van already own. A small before they can add sales Quartix had a cos
Slide 12: Quartix Today
Emily Rees - CFO Quartix Today July/August 2023
Slide 13: 2023 Interim Results
2023 Interim Results H1 2023 H1 2022 Change [Restated] Total revenue 14,623 13,333 10% Gross profit 10,146 9,658 5% Gross margin 69.4 % 72.4 % Operating profit 2,415 2,589 -7% Operating margin 16.5% 19.4 % Adjusted EBITDA 2,689 2,675 1% Earnings per share (p) 4.21 4.66 -10% Cash generated from opera
Slide 14: Recurring Revenue Retains Strong Customer Acquisition From All Years
Recurring Revenue Retains Strong Customer Acquisition From All Years 28 INVOICED SUBSCRIPTION REVENUE BY 2023 26 YEAR OF CUSTOMER ACQUISITION 24 2022 (£m) 22 20 2021 18 2020 16 14 2019 12 2018 10 2017 8 2016 2015 6 2014 4 2013 2012 2011 2 2002- 2010 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 201
Slide 15: Subscription Base Increased Across All Geographies
Subscription Base Increased Across All Geographies 160 + 6% + 32% 160 + 53% 160 + 2% 141k 160 Thousands 133k 140 140 140 140 120 120 120 120 100 100 100 100 80 80 80 80 61k 60 60 60 60 46k 40 40 40 40 30k 30k 19k 20 20 20 13k 20 0 0 0 0 2022 2023 2022 2023 2022 2023 2022 2023 UK FRANCE REST OF EUROP
Slide 16: ARPU for New Installations
ARPU for New Installations PRICE NEW UNITS – BASED ON INSTALLATIONS IN MONTH 2015 2023 January 2019 16
Slide 17: Product Launches
Quartix Real-Time Vehicle Tracking Product Launches
Slide 18: EVolve
EVolve ICE to EV made easier 18
Slide 19: EVolve
EVolve “By 2025 we need to switch as many LGVs over [to EV] as we can…and then all vehicles by 2030” And in terms of data analysis: “EVolve helps us to reduce or electrify the fleet wherever we can” 19
Slide 20: EVolve
EVolve “EVolve has helped us generate our capital program for the next 7 years which will align us with Welsh Assembly guidance on decarbonisation” 20
Slide 21: Quartix Check
Quartix Check Walkaround Vehicle Inspections 21
Slide 22: Quartix Check
Quartix Check “QCheck from Quartix is helping Bristol Water carry out daily vehicle checks to reduce road risk. Keeping our drivers and the public safe is a top priority for our team” - Csaba Ujvari, Fleet Manager 22
Slide 23: 3 Year Plan
3 Year Plan Sales Execution Minimise customer aquisition costs Improved sales funnel management Optimise sales toolset Operational Scalability Excellent Service to more customers Successfully control costs Automate, simplify, digitise Quartix 4G Technology Upgrade customers from 2G to 4G Project unt
Slide 24: Long Term Vision
Long Term Vision Customer lens The best-value in Innovation fleet visibility Scalability Value Land & expand Sales execution 24