Eagle Eye Solutions Group Plc · LSE:EYE
Eagle Eye Solutions — FY2024 Earnings Presentation
28 slides from Eagle Eye Solutions's earnings presentation, 2024
Slide 1: FY24 Results
FY24 Results Strong growth in ARR and EBITDA, and increasing Win momentum Eagle Eye Solutions Group plc Tim Mason, CEO and Lucy Sharman-Munday, CFO
Slide 2: Today's Agenda
Today’s Agenda 1. Introduction 2. Overview of the year 3. Financial review 4. Achieving our £100m revenue milestone 5. Summary & outlook 6. Q&A 2 Eagle Eye | Final results for year ended 30 June 2024
Slide 3: Powering the personalised marketing revolution globally
Powering the personalised marketing revolution globally. We create value by enabling our customers to deliver better, more personalised marketing which is simpler for their teams to execute and cheaper for them to run. $10.2bn 850m+ 500m+ loyalty market size, projected personalised offers executed l
Slide 4: We provide the full complement of customer engagement capabilities
We provide the full complement of customer engagement capabilities From mass marketing through to one-to-one personalisation Retailer Shelf Price Retailer Temporary Price Reductions: On-Shelf Promotions, Weekly Ad, Rotations etc. Every Customer Core Loyalty: AIR offers omnichannel earn/burn, Engagem
Slide 5: Majority of retailers' value perception driven via mass channels, balance shifting to 1:1
Today, the majority of a retailers’ value perception is driven via mass channels But the balance is shifting to 1:1 “Redirecting 25% of mass promotion spending to personalised offers would increase return 50% on investment (ROI) by 200%” % values sourced from BCG’s “The $70 Billion Prize in Personal
Slide 6: Strong growth in ARR and EBITDA
Strong growth in ARR and EBITDA Exiting the year with increasing momentum and focus on ‘Win’ Continued financial growth News wins and innovation Focused on driving our ‘Win’ within the EagleAI offering rate Strong foundation on which to build Focus on EagleAI to expand Pipeline includes some of the
Slide 7: Financial review
Financial review
Slide 8: A year of profitable growth
A year of profitable growth Strong growth in ARR and EBITDA FY24 Growth YoY Group Revenue £47.7m +11% Recurring Revenue (subscription fees and transactions) 79% -1ppt Annual Recurring Revenue* (ARR) £39.7m +19% Net Revenue Retention** 109% -28ppt Adjusted EBITDA*** £11.3m +28% Adjusted EBITDA margin
Slide 9: Year-on-year ARR growth
Year-on-year ARR growth FY24 +19% growth Q4 & post-period end momentum 45 40 +19% Eagle Eye AIR 35 30 ARR £(m) 25 20 15 10 EagleAI 5 - FY22 FY23 FY24 Eagle AI AIR Eagle Eye | Final results for year ended 30 June 2024
Slide 10: Delivering on our customer strategy: FY24 revenue analysis
Delivering on our customer strategy Win ARR +19% FY24 Revenue analysis % FY24 FY23 Change One off implementation £10.2m £8.6m +20% fees Transact volumes +14% to 3.8bn Recurring revenue: Licence fees £14.8m £14.1m +5% Transaction fees £16.8m £15.7m +7% SMS fees £1.4m £2.4m -42% EagleAI £4.4m £2.2m +1
Slide 11: Live use cases beyond Grocery
We have live use cases across a wide array of sectors beyond Grocery Illustrating significant opportunity for exponential growth Non-Grocery Grocery 24% FY24 recurring revenue Non-Grocery 76% Grocery QSR / F&B Fashion Department Services Travel / Fuel & stores Coalition Convenience 11 Eagle Eye | Fi
Slide 12: FY24 Income statement
£m FY24 FY23 VAR % FY24 Income statement Delivering profitable growth Revenue 47.7 43.1 11% Cost of Sales (1.3) (2.1) (39)% 97% gross margin, +2ppts, due to product mix Gross profit 46.5 41.0 13% £35.2m net operating costs, 9% higher, lower than gross Gross margin % 97% 95% profit growth as costs co
Slide 13: FY24 Direct profit
FY24 Direct profit More accurately reflects margin generated directly £m FY24 FY23 VAR % Platform costs including software licences grew by 26% Revenue 47.7 43.1 11% reflecting the EagleAI acquisition, a GCP credit in FY23 and continued investment in security Platform costs inc (8.2) (6.5) 26% SW li
Slide 14: Net cash bridge
Net cash bridge Strong net cash position 25 12 £10.4m £10.4m £9.3m 20 10 15 8 £m £m 10 6 5 4 0 2 - FY21 FY22 FY23 FY24 Adjusted Net Cash Overall net cash inflow was £1.8m excluding costs of EagleAI acquisition (FY23: £7.0m inflow excluding costs of EagleAI Net cash £10.4m (Jun 23: £9.3m) acquisition
Slide 15: Strong financial foundation on which to build
Strong financial foundation on which to build Recent wins have driven considerable ARR growth, which will flow through to revenue over time Continue to run the business in an efficient manner, while investing in ‘Win’ Increasing operational leverage and cash generation providing investment and M&A o
Slide 16: Achieving our £100m revenue milestone
Achieving our £100m revenue milestone
Slide 17: The size of the prize is huge
The size of the prize is huge Even small steps within our existing markets will take us to £100m and beyond France: Established market for Challenges AIR provides upsell opportunity 7.4% ICP penetration DACH: Exploring opportunities in North America: the region Largest loyalty & <1% ICP penetration
Slide 18: Four key initiatives to help us drive win conversion
Four key initiatives to help us drive win conversion A focus on simplification and scale New sales structure Partnerships Product packaging Innovation 1 2 3 4 & processes to focus on ‘Win’ Powered by Purple People: The team, structure and focus to deliver 18 Eagle Eye | Final results for year ended
Slide 19: Increased focus on 'Win' within sales organisation
Increased focus on ‘Win’ within sales organisation and more mature process 1 To execute against significant global pipeline Underpinned by new Investment in Win methodology Marketing Marketing attended more events and trade shows than ever Now global coverage in sales Sales Development development S
Slide 20: Growing our Partnership channel
Growing our Partnership channel represents a large opportunity 2 Three key types, all are growing in influence and highly relevant to Eagle Eye Cloud Technology Marketplaces Partners System Integrators (SIs) • Easier and more-cost • Easier to integrate and • Easier to set up and launch effective to
Slide 21: Selling and delivering packaged products and services
Selling and delivering packaged products and services 3 To enable us to win faster and reducing time to value for all parties Why? • Better, simpler, cheaper • Ensures our products are easy to understand, market & sell • Faster and cheaper to deliver and support • Reduces time to value for customers
Slide 22: Innovation into EagleAI offering
Innovation into EagleAI offering 4 Increases our addressable Enterprise opportunity Personalised Challenges: Personalised Promotions: AI Audience Personalised Flyer: Personalised launched 2017 launched 2024 Builder: live in Beta live end 2024 Prices / Content Current product portfolio New products i
Slide 23: E.Leclerc: Win, Transact and Deepen with EagleAI
E.Leclerc: Win, Transact and Deepen with EagleAI 1 3 5 2020 2021 2023 2024 ✓ Challenges pilot ✓ Challenges full roll-out ✓ 24m Challenges played ✓ Deepened with new deployed to 2.5m customers ✓ More than 100% brand Personalised Flyer funded product ✓ Contract renewal, 2.0x ✓ Resigned for 2 years 202
Slide 24: With the right organisational structure, we can deliver on our aspirations
With the right organisational structure, we can deliver on our aspirations Focused on creating a happy and productive workforce Ensuring we have the right operational Harnessing new technology to reduce We continue to track progress via eNPS structure for growth toil and grow productivity – Q4 FY24
Slide 25: Summary and Outlook
Summary and Outlook
Slide 26: Our next milestone is to be £100m revenue
Our next milestone is to be £100m revenue Significant accelerators to grow faster 1 Organic plan powered by Personalisation and AI 6 5 2 Innovation – EagleAI opens up a new addressable market £100m 4 3 Growth in existing, underpenetrated 3 2 markets within Grocery ICP £50m 1 4 Growth in non-grocery
Slide 27: A vast runway for growth, supported by significant market tailwinds
A vast runway for growth, supported by significant market tailwinds 1. 2. The case for adopting personalisation is stronger than ever and only Eagle Eye can meet this growing enterprise demand Market-leading reputation as the provider “ The wins secured at the end of the Year and into FY 2025 provid
Slide 28: eagleeye.com @weareeagleeye
eagleeye.com @weareeagleeye Eagle Eye | Final results for year ended 30 June 2024 28
Eagle Eye Solutions Group — FY2024 Earnings Presentation on 6ix