Connexion Mobility Ltd · ASX:CXZ
Connexion Mobility — Connexion Telematics — Shareholder Meeting (November 2020)
22 slides from Connexion Mobility's shareholder meeting presentation, November 2020
Slide 1: FY20 AGM Presentation
FY20 AGM Presentation November 2020
Slide 2: Important General Information
Important General Information This presentation (“Presentation”) is issued by Connexion Telematics Limited, ABN 68004240313 (“Company”) and has been approved by the Board of the Company. The information in this Presentation does not constitute financial product advice (nor investment, tax, accountin
Slide 3: Corporate Profile
Corporate Profile ASX:CXZ Board of Directors & Management Shares on Issue: 880,165,112 Robert Downey Chairman & Non-Executive Director Escrowed Shares: 0 Aaryn Nania Interim CEO & Executive Director Peter Torre Company Secretary & Non-Executive Director Options: 0 Tasso Koutsovasilis Chief Operating
Slide 4: Who We Are & What We Do
Who We Are & What We Do Connexion Telematics Ltd is an ASX-listed Enterprise-grade software company servicing the US automotive software market. Our proprietary software incorporates telemetry, fleet management, contract management and data analytics tools to deliver solutions to the global automoti
Slide 5: Courtesy Transportation Program
Main characteristics of GM’s CTP Courtesy Incentives Transportation Offers dealers an incentive to maintain a GM service/rental fleet rather having an in-store Program rental agency such as “Enterprise” or non-GM vehicles at GM Dealerships. Further incentives are triggered as cars are placed into th
Slide 6: OnTRAC
Platform Data (US only) OnTRAC GM’s OnTRAC – powered by a Connexion DEALER COUNCIL Telematics Ltd SaaS solution GENERAL 4,000 DEALERS MOTORS OnTRAC supplies a range of tools to CTP both the OEM and Dealer, covering: 10,000 USERS OnTRAC • Telemetry • Reporting Over 2 Million contracts are issued annu
Slide 7: Barriers to Entry
Barriers to Entry Over $5m+ in development cost or more for other 1st tier providers Training cost of over 10,000 users Encapsulated business rules There are numerous barriers to based on CTP potential competitors wishing to enter the market. Solutions integrated with other GM partners – difficult t
Slide 8: FY20 Highlights
FY20 Highlights ✓ Revenue of $8.20M – 131% increase Vs FY19 ✓ NPBT of $2.05M – 340% increase Vs FY19 ✓ Free Cashflow of $1.49M – 254% increase Vs FY19 ✓ Working Capital of $3.35M – 256% increase Vs FY19 ✓ Tech and Support Team expanded by 33% ✓ Significant ongoing enhancements to the OnTRAC program
Slide 9: FY20 Highlights
FY20 Highlights Revenue Working Capital $9,000,000 $4,000,000 $8,000,000 $3,500,000 $7,000,000 $3,000,000 $6,000,000 $2,500,000 $5,000,000 $2,000,000 $4,000,000 $1,500,000 Our P&L exhibits strong operating leverage typical of $3,000,000 $1,000,000 $2,000,000 a SaaS company at an early stage of profi
Slide 10: Economic Drivers
Economic Drivers • As a Company with both strong operating leverage and USD revenue, movements in the AUD/USD exert a material influence over Company earnings. Virtually all of the Company’s gross margin is earned in USD, FX uncontrollable whilst the majority of its fixed cost is denominated in AU
Slide 11: Operating Model
Operating Model Embed Integrate Generate via Functionality via API Data Insights 11 © 2020 Connexion Telematics Ltd.
Slide 12: Operating Model: Embed via Functionality
Operating Model • Executing Customer-Driven Product Roadmap • Notably strong track record of delivery since 2017 • Customer-driven approach enables low marketing cost & high OEM satisfaction Embed via Functionality • Feature enhancements improve both User and Consumer experience • Feature enhancemen
Slide 13: Operating Model: Integrate via API
Operating Model • Ecosystem integration improves functionality and reduces double-entry Integrate • Execution underway in 2020 with multiple DMS integrations commenced via API • Integration enhancements improve both User and Consumer experience • Integration enhancements improve product stickiness •
Slide 14: Operating Model: Generate Data Insights
Operating Model • Data Analytics is one of technology’s strongest growth sectors Generate • Execution underway in 2020 with nominal initial revenues Data Insights • Access to Data Insights improves the User experience • Application of Data Insights improves product stickiness • Modest initial invest
Slide 15: Operating Model
Operating Model Operating as a feedback loop, each step not only adds to profitability, but strengthens our moat. In turn, this enhances our strategy of operating at the intersection of Business Process Outsourcing, Customer Experience and Sales 15 © 2020 Connexion Telematics Ltd.
Slide 16: Sales Model
Sales Model Customer Driven Sales Strategy: • Connexion sells to the OEM • OEM sells to the Dealerships • Connexion sells further to the Dealerships • Dealerships sell to the Consumer NOTE: At this stage, “Consumer Sales” merely represents optionality inherent in Connexion’s strategy by way of 16 it
Slide 17: Sources of Value
Sources of Value Economic Today Value OEM Sales 0-2 Years Dealership Strategic Tomorrow Value & OEM 1-5 Years Distribution 17 © 2020 Connexion Telematics Ltd.
Slide 18: Sources of Value
Sources of Value Generating Economic Value Building Strategic Value 2017 Onwards. OEM Sales – existing product. Commercialising Strategic Value A small number of potentially large- 2020 Onwards. ticket revenue prospects. Building the value inherent in both Lumpy revenue growth. our OEM and Dealershi
Slide 19: Sources of Value
Sources of Value OEM Sale #1 OEM Sale #2 and beyond 2017 Onwards Dealership Sales 2021 Onwards Ecosystem & Data Sales 2021 Onwards Channel Partner Sales 2022 Onwards 2022 Onwards 19 © 2020 Connexion Telematics Ltd.
Slide 20: Summary
Summary Connexion Telematics Ltd is a well-established supplier of proprietary enterprise software to one of Embed Integrate Generate the world’s largest global brands. There are high barriers to entry for competitors in terms of both time and cost, and there is significant opportunity for us to bro
Slide 21: Our Commitment
Our Commitment ๏ To Consolidate and deepen our existing commercial relationships ๏ To Extend and commercialise new relationships across the global Automotive OEM market ๏ To Manage Company growth in line with revenue expectations to deliver profitable business outcomes on an annual basis ๏ To Increa
Slide 22: For more information, please go to:
For more information, please go to: www.connexionltd.com Aaryn Nania – Interim CEO and Executive Director Connexion Telematics Ltd 350 Collins Street, Melbourne, Victoria, Australia aaryn.nania@connexionltd.com
Connexion Telematics — Shareholder Meeting (November 2020) on 6ix