Ziff Davis, Inc. · NASDAQ:ZD
Ziff Davis — J2 Global Communications — Q4 2009 Earnings Presentation
19 slides from Ziff Davis's earnings presentation, Feb 19, 2010
Slide 1: Investor Presentation (Based upon Fourth Quarter 2009 Results)
EXHIBIT 99.2 Investor Presentation (Based upon Fourth Quarter 2009 Results) February 18, 2010
Slide 2: Safe Harbor for Forward-Looking Statements
Safe Harbor for Forward-Looking Statements Certain statements in this presentation constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, particularly those contained in the “2010 Guidance” slides. These forward- looking statements are bas
Slide 3: Risk Factors
Risk Factors The following factors, among others, could cause our business, prospects, financial condition, operating results and cash flows to be materially adversely affected: Inability to sustain growth in our customer base, revenue or profitability, particularly in light of the uncertain U.S. or
Slide 4: Q4 '09 GAAP & Non-GAAP Results
Q4 ’09 GAAP & Non-GAAP Results Q4 2009 GAAP Q4 2009 Non-GAAP $ Margin $ Margin Revenues $60.9M $60.9M Gross Profit/Margin (1) $50.4M 82.8% $50.8M 83.3% Operating Profit/Margin (1) $23.8M 39.0% $29.1M 47.8% EPS (2) $0.39/Share $0.45/Share Free Cash Flow (3) $22.2M Cash and Investments $243.7M (1) Non
Slide 5: FY '09 GAAP & Non-GAAP Results
FY ’09 GAAP & Non-GAAP Results FY 2009 GAAP FY 2009 Non-GAAP $ Margin $ Margin Revenues $245.6M $245.6M Gross Profit/Margin (1) $200.8M 81.8% $202.1M 82.3% Operating Profit/Margin (1) $104.5M 42.5% $104.5M 48.0% EPS (2) $1.48/Share $1.85/Share Free Cash Flow (3) $101.6M Cash and Investments $243.7M
Slide 6: 2009 Recap and 2010 Outlook
52), Soetenenine 2009 Recap and 2010 Outlook
Slide 7: 2009 Recap
2009 Recap Recap 2009 Guidance: Modest increase in Revenues and Non-GAAP EPS Financial Results 1.7% Revenue Growth 8.8% Non-GAAP EPS Growth 11.4% EBITDA Growth 13.1% FCF Growth Operational Results Cancel rate peaked @ 3.7% in March 2009; highest level since Q1 2003 (3.6%) - Rate declined to 3.0% by
Slide 8: 2010 Outlook M&A
2010 Outlook M&A M&A Quexion anti-spam/virus protection, hosted email and security Reality Telecom UK based voice service, fully compatible with eReceptionist Trustfax U.S. based fax to email for individuals and SMB; top 5 in U.S. market M&A pipeline – solid pipeline with multiple targets in multipl
Slide 9: 2010 Outlook Organic Growth
Fax 2010 Outlook Organic Growth Geographic expansion – planning accelerated growth in telephone numbers around the world: adding both countries and area codes outside of the U.S. and Europe Organizational enhancements to permit focus on EMEA (Europe, Middle East and Africa) and ROW (Rest of the Worl
Slide 10: 2010 Guidance
52), Soetenenine 2010 GUIDANCE
Slide 11: 2010 Assumptions/Guidance
2010 Assumptions/Guidance Economy Assume economy is in recovery mode but pace will be slow and volatile Expect minimal increase in new hiring Slightly weaker USD relative to GBP and Euro for 2010 Operational View Continue to leverage current infrastructure/efficiencies Increased Investment in IP Exp
Slide 12: 2010 Guidance
2010 Guidance 2010 Plan Revenues (M) 3% - 7% increase vs. 2009 Non-GAAP EPS similar to 2009 2010 EPS is based on Non-GAAP which excludes SFAS 123(R) non-cash compensation expense, net of tax benefit. 12
Slide 13: Supplemental Information
Supplemental Information 13
Slide 14: Metrics
Metrics 2008 2009 Q1 Q2 Q3 Q4 Total Q1 Q2 Q3 Q4 Total Fixed Subscriber Revenues $44,260 $46,593 $47,481 $48,125 $186,459 $48,799 $49,726 $49,782 $49,612 $197,918 Variable Subscriber Revenues 12,956 12,943 12,985 11,503 50,388 10,842 11,322 11,264 10,576 44,004 Subscriber Revenues $57,216 $59,536 $60
Slide 15: Computation of Free Cash Flow
Computation of Free Cash Flow ($ in millions) Q4 '07 Q1 '08 Q2 '08 Q3 '08 Q4 '08 Q1 '09 Q2 '09 Q3 '09 Q4 '09 Net cash provided by operating activities $25.779 $27.411 $23.840 $15.676 $23.789 $31.152 $20.362 $26.469 $23.850 Purch. of property & equipment ($4.340) ($0.469) ($0.796) ($0.937) ($0.305) (
Slide 16: j2 Global Key Financial & Operating Metrics, 2000-2009
j2 Global Key Financial & Operating Metrics, 2000-2009 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 Total Revenue ($ in Millions) $13.9 $33.3 $48.2 $71.6 $106.3 $143.9 $181.1 $220.7 $241.5 $245.6 Annual Growth 139% 45% 49% 48% 35% 26% 22% 9% 2% Paid DIDs(in thousands) N/A N/A 270 400 554 740 90
Slide 17: Non-GAAP Results & Reconciliation to GAAP
Non-GAAP Results & Reconciliation to GAAP j2 GLOBAL COMMUNICATIONS, INC. UNAUDITED RECONCILIATION OF NON-GAAP FINANCIAL RESULTS THREE MONTHS AND TWELVE MONTHS ENDED DECEMBER 31, 2009 (UNAUDITED, IN THOUSANDS, EXCEPT SHARE AND PER SHARE AMOUNTS) THREE MONTHS ENDED DECEMBER 31, 2009 TWELEVE MONTHS END
Slide 18: Usage of Corporate and Web High Volume Users
Usage of Corporate and Web High Volume Users 18
Slide 19: j2 Global Communications
j2) Global Communications * J2 Global Communications 2010
J2 Global Communications — Q4 2009 Earnings Presentation on 6ix