Slide 1: We are: Empowering organizations for a digital and cognitive revolution
We are Empowering organizations for a digital and cognitive revolution
Slide 2: We transform organizations to be ready for a digital and cognitive future
We transform organizations to be ready for a digital and cognitive future 2
Slide 3: Investment highlights
Investment highlights Pure play on the digital and cognitive space Organized by Studios, Global presence, leveraging delivering domain expertise in next-gen software and the emerging technologies right talent and skills Substantial customer Recurring and blue-chip penetration and international custo
Slide 4: Market Opportunity / Resilient Business Model
Market Opportunity Resilient Business Model On top of ongoing digital trends, the current pandemic has proven that * By 2023, the global economy will reach digital transformation is imperative for digital supremacy. Products and services any business from digitally transformed enterprises will accou
Slide 5: $ 80B Artificial Intelligence Revenue is expected to grow at a 60%
60% $ 80B $ 7T Artificial Intelligence Revenue Digi-Capital forecasts that By 2022, 60%+ of is expected to grow at a 60% AR/VR could reach $80 global GDP will be CAGR through 2025. billion to $90 billion by 2023 digitized, with growth in every industry and Source: IDC's Digital Economy Model, 2019 S
Slide 6: This is Globant
THIS IS GLOBANT Revenue Trajectory ($M) 2020 CAGR 27% 12,300+ 2015 employees 2010 5,000+ 1,000+ Case Studies & Recognitions 2003 2006 2008 2009 2012 2014 2015 2016 2017 2019 Founded Signed Riverwood Studios WPP Listed on Follow-ons SOP Worldwide Leader of BeKind Google Capital and launched Invested
Slide 7: Trusted by: Select Customers
ABOUT GLOBANT TRUSTED BY Select Customers 7
Slide 8: Our Innovative Solutions
Our Innovative Solutions Leading M&E Company Leading Video Game Company Leading European Bank We helped Disney create their next We contributed to the development We worked with Santander to build generation online experience for of EA’s highly successful FIFA a first true digital bank, offering the
Slide 9: Our Secret Sauce
OUR SECRET SAUCE 1. WE ARE ONE OF THE 2. WE ARE BUILT ON AN 3. WE REINVENT FIRST PLAYERS AUTONOMOUS OURSELVES AND DELIVERING PODULAR STRUCTURE OTHER INDUSTRIES ENGINEERING, THROUGH AI INNOVATION AND DESIGN AT SCALE 9
Slide 10: Our Studios
1. ENGINEERING, INNOVATION AND DESIGN AT SCALE Our Studios ORGANIZATIONAL FITNESS BUILD AND EVOLVE FUTURE OF STAY SCALABLE CONTINUOUS LIFE AGILE DELIVERY CONTINUITY GAMING IOT ORGANIZATIONS RELEVANT PLATFORMS EVOLUTION SCIENCES STRATEGY BUSINESS PRODUCT DIGITAL INTELLIGENT DESIGN DATA & ANALYTICS UI
Slide 11: We are built around an autonomous podular structure
2. WE ARE BUILT AROUND AN AUTONOMOUS PODULAR STRUCTURE Client Lean structure focused on agile Pods Inverted organizational Pods pyramid with the Pods front-and-center Client Management An operating system designed Pod to expand our culture Top Pods that mature and adapt Management hand-in-hand with
Slide 12: We reinvent ourselves and other industries
3. WE REINVENT OURSELVES AND OTHER INDUSTRIES In a context of constant change, organizations must adapt. Technology and AI is key for their reinvention: Augmented Collaboration Augmented Coding Augmented Culture Agile Pods 12
Slide 13: Our Global Footprint
ABOUT Globant OUR GLOBAL FOOTPRINT Strong global presence with great Luxembourg Canada UK Belarus talent to deliver digital and cognitive France Romania United Spain transformations. States Mexico India Multiple time zones enable us to deliver agile services to our customers and global partners. Col
Slide 14: Global delivery model
Global delivery model Total Headcount Geographic dispersion (%) Country Dec-14 Dec-15 Dec-16 Dec-17 Dec-18 Dec-19 Jun-20 Argentina 69 57 49 39 34 30 29 Along our journey, we have Colombia 8 11 15 21 25 27 27 diversified our talent base to Mexico 4 6 7 9 10 11 11 build a strong global presence India
Slide 15: Be Kind
ABOUT Be Kind to your peers to the planet to humanity We aim to reach 50% women By the end of 2020, we aim Reinventing our Industry and non-binary gender in to use 100% renewable to make a positive management positions by 2025. electricity. impact: - Ethic AI We want to inspire 10,000 We want to bec
Slide 16: Financial Review
FINANCIAL REVIEW 16
Slide 17: At a Glance
At a GLANCE Global Delivery Model 52 offices in 34 cities throughout 16 countries Key Statistics Headcount Distribution (as of Jun’20) $730M 27% $70k Argentina LTM H1’20 total 2014 – 2019 LTM H1’20 annual Colombia Revenue Revenue CAGR Revenue per IT Professional Other Latam India 38.9% 14.6% 12,300+ U
Slide 18: Significant Revenue Growth
Significant Revenue Growth Revenue ($M) Average Revenue by Client ($M) Top 10 CAGR: 24.3% CAGR: 27% Top 20 CAGR: 23.5% YoY: 23% Client Revenue Contribution (%) Clients with Revenues >$1M Clients 2014 2015 2016 2017 2018 2019 H1’20 Top 1 9 12 10 10 11 11 11 Top 5 27 33 34 29 32 26 30 Top 10 44 47 47
Slide 19: Revenue Breakdown (H1'20)
Revenue Breakdown (H1’20) Geography Currency North America USD Latam and Others Others Europe Industry Contract type Banks & Financial Ss. 4% Time & Materials 3% Media & Entertainment Fixed Price & Professional Services Others Consumer, Retail & Manufacturing Tech & Telecom Travel & Hospitality Othe
Slide 20: Strong ability to develop accounts
Strong ability to develop accounts Increasing # of multi million $ accounts 2014 2015 2016 2017 2018 2019 100 squared strategy: $20M+ 0 1 2 3 5 7 ● Dedicated onsite teams $10M+ 2 5 6 9 9 14 ● Strategic partner $5M+ 10 10 11 18 21 26 ● Increased visibility $1M+ 46 51 60 82 90 107 Annual revenues of s
Slide 21: Attractive Profitability
Attractive Profitability Adjusted Gross Profit Adjusted Profit from Adjusted Net Income ($M) Operations ($M) ($M) % of revs % of revs % of revs 41.0 38.9 42.3 38.8 40.6 40.4 40.6 38.9 10.6 9.7 16.9 13.7 16.1 17.0 16.7 14.6 12.2 12.8 12.0 11.1 12.2 13.1 12.6 11.8 Note: Adjusted Gross Profit excludes
Slide 22: Operating Levers
Operating Levers Yearly Revenue per IT Professional ($K) Adjusted SG&A (% of revenues) ‘14-’19 CAGR: 2.1% ‘14-’19 SG&A Dilution: 630bps Revenues in Hard Currencies with Costs in Emerging Markets Revenues H1’20 Headcount distribution as of Jun’20 By Currency By Geography USD Latin America Others Indi
Slide 23: Our growth strategy
Our growth strategy ● Focus on 1002 : 100 accounts with + potential revenues of $100M+ ● Studio cross-selling ● Increasing sales coverage to ensure Strategic Acquisitions better reach ● gA ● Diversification of the talent pool ● Belatrix among different locations ● Avanxo ● Pursue strategic, tuck-in a
Slide 24: Leading this dream, our management team
Leading this dream, our management team BOARD OF DIRECTORS Martín Migoya Martín Gonzalo Umaran Guibert Andrés Englebienne Chairman of the Board, CEO & Co-founder Director, Chief of Staff, Head of M&A & Director, CTO & Co-founder Co-founder Mario Eduardo Vázquez Francisco Álvarez-Demalde Richard Hayt
Slide 25: Forward looking disclosure
In addition to historical information, this presentation might contain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. In some cases, you can identify forward-looking statements by terminology such as “believe,” “may,” “will,” “estimate,” “con
Slide 26: Ready?
Globant > READY?