Catapult Sports Ltd. · ASX:CAT
Catapult Sports — Catapult Group International — FY2016 Earnings Presentation
40 slides from Catapult Sports's earnings presentation, Aug 31, 2016
Slide 1: FY2016 Full Year Results
THE MOST USED SECRET IN SPORT For personal use only FY2016 Full Year Results Shaun Holthouse (CEO) and Barry McNeill (COO) Catapult Group International Limited ACN 164 301 197 31 August 2016
Slide 2: Key Statistics
Catapult Group International Limited For personal use only CAT.ASX Key Statistics $4.50 ASX Code CAT.ASX $4.00 Share price (30/8/16) $4.00 Market cap (30/8/16) $633m $3.50 Listing price (19/12/14) $0.55 $3.00 Shareholder return +727% $2.50 $2.00 $1.50 $1.00 Page | 2
Slide 3: Agenda
Agenda For personal use only 1. Key results 2. Operations 3. Outlook 4. Q&A Page | 3
Slide 4: FY16 Key Results
Section 1 For personal use only FY16 KEY RESULTS
Slide 5: Summary key results
Summary key results Underlying results FY16 FY15 Chg. For personal use only Total Income $18.7m $11.8m 59% EBITDA1 ($4.4m) ($2.5m) 72% NPAT1 ($3.5m) ($2.2m) 59% Statutory results Total Income $18.7m $11.8m 59% EBITDA ($6.8m) ($4.6m) 46% NPAT ($5.9m) ($4.3m) 36% Key operating results Units ordered 8,
Slide 6: Pro-forma impact of XOS Acquisition
Pro-forma impact of XOS Acquisition For personal use only Pro-forma impact of XOS Acquisition On 13 July 2016, Catapult $60m announced the acquisition of XOS Technologies Inc (XOS) $50m – US$60m (A$80.1m) acquisition price $40m – Funded via $100m equity raising $30m launched on 13 July 2016 Key
Slide 7: Strong growth across all key metrics
Strong growth across all key metrics For personal use only Units ordered TCV 9,000 $30m 74% 8,000 63% 104% of 120% of $25m 7,000 Management’s Management’s 6,000 upgraded FY16 $20m upgraded FY16 5,000 forecast (117% of forecast top-end guidance $15m SIGNIFICANTLY higher range provided at 4,000 propor
Slide 8: Delivered on FY16 forecasts
Delivered on FY16 forecasts For personal use only $34m 9,600 $29.4m $29m 8,800 8,354 $25m 8,000 $20m 7,200 $16m 6,400 $11m 5,600 FY16 TCV FY16 Unit Orders (RHS) Catapult guidance as at 26 November 2015 Page | 8
Slide 9: Investment in sales platform paying off
Investment in sales platform paying off For personal use only c.$6m raised in November 2015 to accelerate growth in sales platform Additional c.$11m cash to balance sheet for working capital through July 2016 equity raising to fund acquisitions TCV2 $30m $25m $20m $15m $10m $5m $0m FY12 FY13 FY1
Slide 10: Quality growth across every region
Quality growth across every region For personal use only Strong gross margins 84% of revenue from offshore regions $20m 86% $20m $15m 85% $18m $10m 84% 0.5 $16m $5m 83% 2.3 $m 82% $14m -$5m 81% FY14 FY15 FY16 $12m 5.4 Revenue Cost of Materials GM% 0.3 $10m 1.6 Operating cash moving towards positive
Slide 11: Building a robust foundation of earnings
Building a robust foundation of earnings For personal use only Growing proportion of sales under long-term 84% growth in ARR over 12 months to 30 June 2016 subscriptions Units ordered ARR CAGR = 209% 9,000 $14m 8,000 57% $12m 7,000 $10m 6,000 $8m 5,000 46% 4,000 $6m 36% 3,000 43% 26% $4m 54% 2,000 6
Slide 12: USA snapshot
USA snapshot For personal use only % Tot Rev FY16 Revenue FY16 TCV FY16 Unit Orders 36% $6.3m $10.6m 2,273 47% 44% 46% Key movements: Sample new clients League Key success establishing majority position in Boston Celtics NBA (Basketball) NBA, to add to majority position in NFL, plus Denver N
Slide 13: Europe and ROW snapshot
Europe and ROW snapshot For personal use only % Tot Rev 3% FY16 Revenue FY16 Unit Orders ROW FY16 TCV Europe $5.4m $8.3m 3,158 65% 88% 46% 31% Europe FY16 Revenue FY16 TCV FY16 Unit Orders ROW $0.5m $1.2m 485 73% 212% 162% Key movements: Sample new clients League 88% growth in TCV on 46
Slide 14: Asia snapshot
Asia snapshot For personal use only % Tot Rev FY16 Revenue FY16 TCV FY16 Unit Orders $2.3m $2.4m 1,034 13% 47% 73% 74% Key movements: Two years ago, only c.$70,000 revenue Sample new clients League generated in Asia region Kashiwa Reysol J-League (Japan) Catapult sales staff now on the gro
Slide 15: Australia snapshot
Australia snapshot For personal use only % Tot Rev FY16 Revenue FY16 TCV FY16 Unit Orders 16% $2.8m $6.8m 1,404 54% 106% 125% Key movements: League wide deals signed: Previously a mature business with no growth Experienced significant growth in FY16 via league-wide deals These league d
Slide 16: GPSports integration update
GPSports integration update For personal use only GPSports sales (TCV) continue to shine $6m Acquired GP Sports in June CAGR = 47% $5m 2014 $4m Highly successful acquisition and management of the integration $3m 46% sales growth in FY16 backing $2m up 48% growth in FY15 $1m – Transition to sub
Slide 17: Summary underlying profit and loss
Summary underlying profit and loss For personal use only Revenue from subscriptions now larger than revenue from capital sales FY16 FY15 Change Underlying P&L $m $m % Subscription orders provide diminishing impacts on current year revenues, the closer they are received to 30 June Capital sales reven
Slide 18: EBITDA one-off items
EBITDA one-off items For personal use only FY16 FY15 Acquisition costs relate to work undertaken in acquiring Summary EBITDA adjustments $m $m XOS and PLAYERTEK and includes all legal, accounting, tax and other due diligence related costs (including fees to Statutory EBITDA ($6.8m) ($4.6m) advisors)
Slide 19: Balance sheet and liquidity
Balance sheet and liquidity For personal use only 30-Jun-16 30-Jun-15 Solid balance sheet liquidity with cash ($3.6m) and net Summary Balance Sheet trade and other receivables ($8.4m). Does not includes $m $m additional c.$11m cash to balance sheet through July 2016 Assets equity raising Cash and te
Slide 20: FY16 Operations Update
Section 2 For personal use only FY16 OPERATIONS UPDATE
Slide 21: Building a high quality growth story
Building a high quality growth story For personal use only Key Success Factor Catapult 1) High gross margin Running at 85% 2) Very sticky product Extremely low churn of ~1.5% 3) High growth rate Total Income up 59%; TCV up 74% 4) Recurring revenue stream 3 year subscription contracts; longer
Slide 22: Gathering significant sales momentum
Gathering significant sales momentum For personal use only Increasing traction in sales has been outstanding despite relatively new sales team Units Ordered per Quarter 3,000 FY15 FY16 2,500 Total contract value (TCV) $16.9m $29.4m = new all-time quarterly sales record TCV/Employee costs 127% 159% 2
Slide 23: Won four league wide deals
Won four league wide deals For personal use only Australian Rules Football Australian Rugby Union US Womens Soccer Cricket Australia Wallabies National men’s team (Test, All Aust Super Rugby Womens US national team ODI and T20) and 18/18 clubs plus teams 10 league teams women’s team development prog
Slide 24: Clearsky (LPS) update
Clearsky (LPS) update For personal use only Capable of facilitating live transmission Illustrative example of Clearsky installation of data for media and broadcast Brings the power of GPS indoors and more – Suitable for arenas of all sizes Brings much higher positional accuracy – Typically wit
Slide 25: Strengthening our leadership team
Strengthening our leadership team For personal use only C-level appointments Senior management appointments Steven Power Simon Banoub Chief Commercial Officer (CCO) Global Director of Marketing Newly created role effective 5 September 2016 Responsible for overall group marketing strategy Almos
Slide 26: FY16 Outlook
Section 3 For personal use only FY16 OUTLOOK
Slide 27: Strategic progress: delivering on blue sky
Strategic progress: delivering on blue sky For personal use only 3 2 Leverage marketing platform of elite sport Explore into expanded 1 monetisation of addressable market data Sell to elite sport Early sales into US market validated demand and provided Largely dependant on some price discovery
Slide 28: Our goal is to own the athlete analytics ecosystem within clubs
Our goal is to own the athlete analytics ecosystem within clubs… For personal use only Integrated data and analytics Peripheral Applications Wearables + Video Analytics + Scouting Document management Video archiving and licensing Both Wearables and Video Analytics have large annuity revenue compon
Slide 29: Leverage the halo effect of Catapult's leading position in elite sports
…and leverage the halo effect of Catapult’s leading position in elite sports… For personal use only US Examples Football Basketball NCAA NCAA Elite c. 75k c. 36k athletes athletes Increasing market opportunity c. 1.1m c. 1.0m athletes athletes Prosumer c. 19.4m c. 23.7m participants participants Con
Slide 30: XOS at a Glance
XOS at a Glance For personal use only A market leader in providing innovative digital and video analytic software solutions to elite sports teams in the United States Market leader specialising in designing custom digital video solutions to optimise sports coaching in the US professional and colle
Slide 31: PLAYERTEK at a glance
PLAYERTEK at a glance For personal use only Provides platform to accelerate Catapult’s entry into the prosumer market Demonstrate a Based in Ireland, PLAYERTEK has developed wearable Market validation, low cost sales analytics products primarily targeted at amateur footballers and show demand in a
Slide 32: Questions?
For personal use only QUESTIONS? Page | 32
Slide 33: Appendix
For personal use only THE MOST USED SECRET IN SPORT APPENDIX
Slide 34: Athlete tracking for elite sport
Athlete tracking for elite sport For personal use only Patented hardware Openfield cloud platform Advanced analytics Comes in a range of models Internally developed proprietary Openfield Analysis is based on algorithms to suit different applications analytics platform including proprietary, pa
Slide 35: Winners use Catapult
Winners use Catapult For personal use only 2015 2015 2016 2016 Bundasliga AFL UEFA Premier League Champions Champions Champions Champions 2016 2015 2016 2015 A League NCAA Div 1 FBS NFL NRL Champions Champions Champions Champions Page | 35
Slide 36: XOS Customer Base
XOS Customer Base For personal use only Extensive customer base of >400 sports organisations with a current focus on Pro and NCAA Division 1 sports >400 sports organisations across two distinct team sport types – “Play based” sports such as football and baseball – “Flow” sports such as ice hockey,
Slide 37: XOS Thunder Product Family
XOS Thunder Product Family For personal use only Sophisticated video editing, tagging and analysis software solution for coaching staff, targeted at Pro and Division 1 NCAA programs Combines video, scouting and advanced analytics, creating a seamless cloud-based workflow and owning the technology
Slide 38: XOS Content Licensing
XOS Content Licensing For personal use only Content licensing connecting customers to major media entities Valuable strategic relationships based on connecting a wide range of video content rights-holders with some of the largest media licensee entities in the world Potential to leverage relatio
Slide 39: Compelling Strategic Rationale for XOS Acquisition
Compelling Strategic Rationale for XOS Acquisition For personal use only 1 Brings together leaders of wearable and video technology, the 2 key technology pillars in elite club environments Strengthens Catapult’s strategic positioning and operational platform to 2 accelerate its expansion globally an
Slide 40: Disclaimer
Disclaimer This presentation has been prepared by Catapult Group International Limited ACN 164 301 197 (‘Catapult’). Each recipient of this For personal use only presentation is deemed to have agreed to accept the qualifications, limitations and disclaimers set out below. None of Catapult and or
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