Slide 1: FY2021 Results
FY2021 Results 23 AUGUST 2021 Approved for ASX lodgement by the Board 1 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 2: Our Business / Key Achievements / Customer Success / Financials / Outlook
Our Business Key Achievements FY21 Customer Success Financials Outlook 2 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 3: Our Business
Our Business 3 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 4: Hospital systems around the world use Mach7 Technologies
Hospital systems around the world use Mach7 Technologies Customer Footprint 15 Countries Australia Canada China France Hong Kong Indonesia Italy Netherlands Qatar Philippines Singapore Saudi Arabia United Kingdom United States Vietnam 4 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 5: Mach7 company history and milestones
Mach7 EIP; Mach7 eUnity eUnity FDA eUnity eUnity Founded Development Approval Class II Mobile Collaboration Begins First Mach7 Pilots; eUnity signs First eUnity Sentara Customer Install Health, UCSF, UMM 5 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 6: Mach7 milestones, product releases and awards
Mach7 Mach7 awarded Mach7 QC; Mach7 UWL; acquires Global EIS eUnity eUnity eUnity Client Leadership award Multi-Monitor Mammo MIP/MPR/3D Outlook by Frost & Sullivan Mach7 Listed on Mach7 signs Mach7 signs Mach7 signs CIO Review’s "20 Most Promising Workflow the ASX (M7T) HAHK Advocate a top 5 Soluti
Slide 7: Mach7 Enterprise Imaging Platform
At Mach7, we provide an Enterprise Imaging Platform, that provides: Consolidation of all Access all images PACS solution images We then enable access to this The enterprise platform can be At the core of this platform is a data to enterprise users used as a diagnostic PACS Vendor Neutral Archive whi
Slide 8: Enterprise Data Management, Diagnostic Viewing, Enterprise PACS
An enterprise-wide, interoperable platform for storing, retrieving and viewing all medical imaging data in one vendor neutral ecosystem. Consisting of: • Enterprise Data Management • Enterprise Diagnostic Viewing • Enterprise PACS 8 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 9: Enterprise Data Management
Enterprise Data Management • Vendor neutral archiving and image data management • Can consolidate all images and imaging data • Reduces complexity, makes data more accessible • Offered on-premise or via Cloud infrastructure • Drives and supports workflows across the enterprise to optimally capture,
Slide 10: Enterprise Diagnostic Viewing
Enterprise Diagnostic Viewing • Industry leading zero-footprint eUnity Enterprise and Diagnostic Viewers • No need to sacrifice image quality for amazing performance. Images stored to disk are presented at 100% of their quality. • Accessible on any device with an HTML5-enabled web browser • Designed
Slide 11: Loyalty Culture Product
Loyalty Product Value Culture Operations Relationship Dynamic LIVE Data that may change 11 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 12: Enterprise PACS
Enterprise PACS • Enterprise diagnostic viewing and enterprise data management solution • Powerful universal worklist and quality control tools to replace traditional PACS • Load balance workloads across active clinicians with advanced algorithms • Advanced assignment features with streamlined resid
Slide 13: Key Achievements FY21
Key Achievements FY21 13 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 14: Key Achievements FY21
Key Achievements FY21 M&A Sales Up 95% ARR Up 80% New Talent Completed Achieved $25.6M of sales Grown CARR to $15.8M, Bob Tranchida, VP Marketing transformational orders, highest in Mach7 with annualized ARR acquisition of Client history (current run rate) David Madaffri, VP Sales Outlook at $13.4M
Slide 15: Customer Success
Customer Success 15 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 16: More than 150 customers spanning 15 countries
More than 150 customers spanning 15 countries Hospitals and healthcare entities around the world deploy Mach7’s solutions and innovative technologies. We have built a global network of diverse customers that range from expansive Integrated Delivery Networks, National Health Systems, medical research
Slide 17: Partnerships focused on Meaningful Value to Support Patient Care
Partnerships focused on Meaningful Value to Support Patient Care Augmenting and expanding Mach7’s Enterprise Imaging Solution through innovative and collaborative partnerships designed to provide elevated value to healthcare providers around the globe. 17 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 18: Sales Orders (TCV) Since Inception ($M)
Sales Orders (TCV) Since Inception ($M) 30.0 M 25.0 M • $114M of Sales Orders since inception* 20.0 M • Established growth trajectory with 30% CAGR since FY14 15.0 M 10.0 M 5.0 M 0.0 M 2009-2012 FY 13 FY 14 FY 15 FY 16 FY 17 FY 18 FY 19 FY 20 FY 21 *Includes Client Outlook sales from acquisition dat
Slide 19: % of Total Contract Value
% of Total Contract Value Of the $40M Pipeline (subset) previously announced on 10 June 2020: 21% • Won 32% 30% COVID Delayed LOST • Expect to Win further 30% WON • 21% are still in the pipeline, Expect to Win decisions were delayed due 17% to COVID • 17% were lost 32% 19 /// CONFIDENTIAL – DO NOT D
Slide 20: Sales Orders Underpin FY22 & Beyond
Sales Orders Underpin FY22 & Beyond Mach7 Records $25.6M of Sales Orders in FY21 – ~85% of value still to be recognised as revenue 46% ($2.5m) hit Software Revenue FY21 +$0.3m to ARR p/a 30% ($1.5m) are renewals (FY21) 70% ($3.6m) are new & majority will fall in FY22 & Beyond +$0.8m to ARR p/a 5% ($
Slide 21: Mach7 is Taking Share in Global Radiology Imaging Market
Mach7 is Taking Share in Global Radiology Imaging Market • 5 year Market CAGR FY20 to 2025 3.7% FY25 $2.4B • Mach7 5 year Revenue $2.9B CAGR from 2016 28% 21 /// CONFIDENTIAL – DO NOT DISTRIBUTE Source: Signify Research Imaging IT World 2021 Report
Slide 22: Financials FY21
Financials FY21 22 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 23: FY2021 Financial Highlights
FY2021 Financial Highlights • $25.6M Sales Orders (TCV*); Highest on Record; up 95%; • 20% of Sales Orders are SAAS; Up from 3% in FY20 • 97% Gross Margin %; Up from 87% in FY2020 • $18.4M Gross Margins; Up 12% • $19.0M Revenue; Up 1%; (Up 13% on a constant currency basis) • EBITDA Loss -$1.8M; (FY2
Slide 24: Two sales models – Capital License and Subscription License
Two sales models – Capital License (“Capex”) and Subscription License (“SAAS”) Capital License Subscription License Activity Revenue Recognition Example Activity Revenue Recognition Example License Granted (perpetual or 5 year term) License Granted (subscription) Software is delivered 100% License F
Slide 25: Revenue CAGR = 28% since listing
+ New Business Acquired Aug to June Client • Revenue CAGR = 28% since listing Outlook 25.0 M • FY22 book of business at $23.1M to date: 20.0 M • $6.1M software license fees from Capital Licenses Already Sold – Phased Roll-Out ASX 15.0 M Listing • $2.2M services order book 10.0 M • $13.4M recurring r
Slide 26: ARR Recognised for FY2021 and Current Run-Rate
18.00 M 16.00 M 14.00 M • $10.9M ARR Recognised for FY2021; Up 80% (FY20 $6M) 12.00 M • $13.4M ARR Current Run-Rate 10.00 M • $15.8M Contracted Recurring 8.00 M Revenue ($2.4M of recurring revenue on back order, not live) 6.00 M • 4.4% Recurring Revenue 4.00 M Attrition (since inception, not annuall
Slide 27: Annual Recurring Revenue (ARR) Growth
Annual Recurring Revenue (ARR) Growth 12.0 M 10.0 M Strong ARR Growth 8.0 M • ARR up $4.85M (80%) • Subscription fees up 6.0 M $3.22M (620%) • Annual maintenance fees up 4.0 M $1.63M (29%) 2.0 M 0.0 M FY 18 FY 19 FY 20 FY 21 Annual maintenance fees* Subscription, Pay-per-use* 27 /// CONFIDENTIAL – D
Slide 28: Expenses $21.1M
Expenses $21.1M, includes: • Operating expenses $17.5M • CGS $0.6M • Non-cash share-based payments and FX loss $3.0M • R&D 28.5% of Expenses • R&D is all expensed as incurred (not capitalized) • Sales & Marketing 14% of Expenses (16% of Revenue) - very efficient - has scope for investment to drive r
Slide 29: 24% improvement in contribution margin despite flat revenue growth
• 24% improvement in 50% contribution margin* despite flat revenue growth 45% 40% • Removal of distributor fees on the Client Outlook product 35% following the acquisition 30% • Reduced marketing activity 25% given COVID restrictions 20% • Offsetting these positive drivers were increases in R&D & 15
Slide 30: Outlook
Outlook 30 /// CONFIDENTIAL – DO NOT DISTRIBUTE
Slide 31: Impact to FY21 Outlook FY22
Impact to FY21 Outlook FY22 • Hospitals in the US faced • Hospital spending appears unprecedented financial to be back on track pressure • Staffing issues are on their • This in turn effected way to recovery hospital staffing and • Projects are being forced prioritization of prioritized for imaging
Slide 32: FY22 Outlook
FY22 Outlook Financial Product Sales & Marketing Industry • $27M Revenue Target • Fully integrated product • Springboard from an • Focused on Enterprise for CY21 (previously roadmap by end of exceptional FY21 Data Management, the announced on 10 June 1HFY22 sales year backbone of an 2020) is On Trac
Slide 33: Strong fundamentals heading into FY22
Strong fundamentals heading into FY22 • Long dated history of sales order growth – 30% CAGR since FY14 • Good visibility of FY22 revenues, with minimum $23.1M expected from existing orders & ARR • Strong unit economics which are likely to hold in FY22; Contribution margin is anticipated to be stable
Slide 34: Thank you
Thank you For investor queries, contact: Jenni Pilcher, CFO, jenni.pilcher@mach7t.com 34 /// CONFIDENTIAL – DO NOT DISTRIBUTE