Slide 1: G
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Slide 2: Investor Briefing - Full-year results to 30 June 2023
2 Investor Briefing Full-year results to 30 June 2023 23 August 2023 A SiteMinder customer - Bawah Reserve, Indonesia
Slide 3: Important notice and disclaimer
Important notice and disclaimer 3 This presentation is given on behalf of SiteMinder Limited (SiteMinder) (ASX: SDR) (ACN 121 931 744). By accepting, accessing or reviewing this presentation, you acknowledge and agree to the terms set out in this Important Notice and Disclaimer. Disclaimer To the ma
Slide 4: Important notice and disclaimer (continued)
Important notice and disclaimer (continued) 4 Past performance Past performance information, including past share price information, given in this presentation is given for illustrative purposes only and should not be relied upon as an indication of future performance. Future performance Forward-loo
Slide 5: Our presenters
5 Our presenters Sankar Narayan Jonathan Kenny Tim Howard CEO & Managing Director COO CFO
Slide 6: Business update and key initiatives
6 Business update and key initiatives Financial results Q&A A SiteMinder customer - TRS Coral Hotel, Mexico
Slide 7: Business update
7 Business update Sankar Narayan CEO & Managing Director
Slide 8: Strong results across multiple metrics
Strong H1FY22 results across multiple metrics 8 Total annual recurring revenue (ARR) Subscription properties Total revenue Monthly ARPU $173.1M 39.1K $151.4M $346 +33.5% y/y +12.7% y/y +30.5% y/y +18.9% y/y LTV/CAC Monthly revenue churn Transaction product uptake Free cash outflow 4.1x 1.0% 19.9k (2
Slide 9: Sustaining strong growth and step improvement in unit economics
Sustaining strong growth and step improvement in unit economics 9 ● FY23 revenue of $151.4m, up 27.3% y/y (cc, organic). Subscription revenue growth accelerated from 3.4% in FY22 to 15.9% (cc, organic). ● FY23 ARR grew 24.1% y/y (cc, organic) to $173.1m, with subscription ARR growing 19.3% (cc, orga
Slide 10: Strong growth across all regions
Strong growth across all regions 10 Americas 1H22 2H22 1H23 2H23 Revenue 14.0m 15.9m 19.3m 21.1m y/y (cc) 24.9% 29.6% 26.8% 23.7% +43% (cc) Properties (‘000) 6.2 6.6 7.1 7.6 y/y 9.8% 13.7% 14.0% 15.2% +15% (cc) EMEA 1H22 2H22 1H23 2H23 +67% (cc) Revenue 24.1m 25.4m 28.6m 32.6m y/y (cc) 16.0% 26.8% 2
Slide 11: Delivering improved unit economics through ARPU growth and operating leverage
Delivering improved unit economics through ARPU growth and 11 operating leverage
Slide 12: Key initiatives
12 Key initiatives Sankar Narayan CEO & Managing Director Jonathan Kenny COO
Slide 13: Smart Platform
13 Smart Platform Revenue Optimisation Convergence of Distribution, Intelligence and Revenue Optimisation Intelligence Distribution Unified experience maximising hotel revenues
Slide 14: Smart Platform - Convergence of Distribution, Intelligence and Revenue Optimisation
Smart Platform - Convergence of Distribution, Intelligence and 14 Revenue Optimisation, with automation Intelligence Revenue Optimisation Distribution High fidelity proprietary data assets, Seamless and adaptive response to World’s largest inventory of backed by 100m+ reservations per changing marke
Slide 15: SiteMinder Platform value proposition
15 SiteMinder Platform value proposition Speaking to the value we offer our customers today Most Power Unrivalled Performance Best Experience Take the guesswork out of pricing Find guests from more places - Make technology easy - enjoy and promotions - see competitor explore the world’s largest chan
Slide 16: Little Hotelier - empowering hoteliers to succeed with intelligence
Little Hotelier - empowering hoteliers to succeed with intelligence 16 Little Hotelier Basics rollout continues Informing business decisions Little Hotelier Basics expanded to South Africa and In June, all Little Hotelier subscribers gained access to Spain following last year’s release in English-sp
Slide 17: Transaction products - focused on growing share of wallet
Transaction products - focused on growing share of wallet 17 SiteMinder Pay Demand Plus GDS Digital Wallets (Google Pay and Apple Demand Plus is our most popular Strong growth on increased capture Pay) now supported. transaction product. of retail demand and on-going corporate travel recovery. Expan
Slide 18: Leveraging AI and high fidelity data across functions
Leveraging AI and high fidelity data across functions 18 Generative AI Product AI SiteMinder is leveraging generative AI to enhance SiteMinder has the largest source of high fidelity customer support. independent hotel data in the world, backed by over 100m reservations per year. Automation of eleme
Slide 19: Financial results
19 Financial results Tim Howard CFO
Slide 20: Revenue growth - increasing contribution from subscriptions
Revenue growth - increasing contribution from subscriptions 20 % growth (cc, organic) FY22 FY23 Subscription revenue 3.4% 15.9% Transaction revenue 72.3% 61.2% Total revenue 15.0% 27.3% % growth FY22 FY23 Subscription revenue 3.3% 18.7% Transaction revenue 74.4% 65.6% Total revenue 15.1% 30.5% Total
Slide 21: Strong growth across all regions
Strong growth across all regions 21 % growth (cc) FY22 FY23 APAC 0% 33% EMEA 21% 25% AMERS 27% 25% Group 15% 28% % growth FY22 FY23 APAC 1% 35% EMEA 20% 24% AMERS 30% 35% Total 15% 30% APAC - benefited from the easing of COVID-related restrictions in the region. EMEA - subscription accelerated in H2
Slide 22: Subscriber growth accelerated with strong upsell
Subscriber growth accelerated with strong upsell 22 +3.4k +3.4k +2.5k +1.9k Subscriber growth Transaction product uptake Net additions accelerated to +2.5k (organic) in H2FY23, from Added +3.4k transaction products during H2FY23, in line +1.6k in H1FY23, helped by the easing of COVID restrictions wi
Slide 23: Improving SaaS economics from operating leverage and ARPU
Improving SaaS economics from operating leverage and ARPU 23 SiteMinder initiatives to improve efficiency and LTV/CAC Unit economics breakdown Improving customer FY22 H1FY23 H2FY23 FY23 acquisition cost: Properties (000s) 34.7 36.6 39.1 39.1 Introducing new GTM processes to improve Monthly ARPU (A$)
Slide 24: Gross margins improving
Gross margins improving 24 FY22 H1FY23 H2FY23 FY23 Subscription gross margins Underlying subscription GM gained 158 bps y/y in FY23 and reached 84.1% in H2FY23. Subscription revenue 86,807 48,721 54,299 103,020 Benefited from scale and operating leverage. Subscription related expenses 16,069 8,898 8
Slide 25: Operating leverage
Operating leverage 25 Sales & marketing as a % of revenue Product development cost (opex and capex) as a % of revenue
Slide 26: Underlying functional income statement
Underlying functional income statement 26 A$‘000 FY22 H1FY23 H2FY23 FY23 Revenue 116,016 71,722 79,662 151,384 Sales and marketing costs increased 16% in FY23, less than the increase in revenues, Cost of sales (36,085) (23,680) (25,834) (49,514) reflecting benefits from operating leverage. Gross pro
Slide 27: Cash flow – investing for value accretive growth
Cash flow – investing for value accretive growth 27 A$‘000 FY22 FY23 Underlying EBITDA (22,428) (21,927) Underlying FCF as a percent of revenues improved from (28)% in H1 to (17)% in H2. Non-cash items in EBITDA 9,555 11,263 Changes in working capital 537 463 Underlying operating cash flow for FY23
Slide 28: Outlook
28 Outlook SiteMinder’s growth guidance is unchanged and continues to target organic revenue growth of 30% in the medium term. The Company expects to be underlying EBITDA profitable and underlying free cash flow positive for H2FY24. A SiteMinder customer - Grand Palladium Jamaica Resort & Spa
Slide 29: Q&A
29 Q&A Sankar Narayan CEO & Managing Director Jonathan Kenny COO Tim Howard CFO
Slide 30: Appendix
30 Appendix
Slide 31: Underlying income statement
Underlying income statement 31 A$‘000 FY22 FY23 y/y (%) y/y (#039;000) Direct transaction costs increased by 66% y/y or Revenue 116,016 151,384 30% 35,368 $12.8 million to $32.1 million in FY23. This was in line Other income & Net FX gain 439 193 -56% (246) with transaction revenue growth. Interest rev
Slide 32: Income statement – reconciliation of underlying and reported income
Income statement – reconciliation of underlying and reported income 32 A$‘000 Notes FY22 FY23 Reported loss after income tax (110,395) (49,296) Notes Net costs / (gain) related to M&A 1 - 918 Restructuring costs 2 - 2,734 1. M&A related costs of $0.9 million related to the acquisition of GuestJoy. T
Slide 33: Cash flow – reconciliation of underlying and reported free cash flow
Cash flow – reconciliation of underlying and reported free cash flow 33 A$‘000 Notes FY22 FY23 Notes Reported Operating Cash Flows (30,505) (15,628) 1. M&A related net proceeds of $4.1 million consisting of Reported Investment Cash Flows (84,869) 40,491 the proceeds from the sale of the Group’s inte
Slide 34: Glossary
Glossary 34 Monthly ARPU Properties (Customers) Average revenue per user (or property) measures the average revenue from each customer and is used in calculating LTV. It also indicates if the value of a customer is Properties means each unique property which subscribes to one or more of increasing o
Slide 35: Investor relations / Media enquiries
35 35 Investor relations Media enquiries Paul Wong Maria Cricchiola investor.relations@siteminder.com media@siteminder.com
Slide 36: siteminder.com/investor-relations
siteminder.com/investor-relations