Senetas Corporation Limited · ASX:SEN
Senetas — H1 FY2024 Earnings Presentation
21 slides from Senetas's earnings presentation, Feb 29, 2024
Slide 1: Senetas Corporation Limited 2024 Half Year Results
For personal use only Senetas Corporation Limited 2024 Half Year Results – 29 February 2024 © 2024 Senetas Corporation Slide 1
Slide 2: Group Operational Highlights
HY2024 Group Operational Highlights • Strong rebound in third party sales of Senetas hardware products • Senetas sales to third parties by (global distribution partner) Thales were up over 40% compared to For personal use only the prior period • Units shipped to end customers during the period were
Slide 3: Group Financial Highlights
HY2024 Group Financial Highlights • Senetas segment operating revenue adjusted for the impact of Variable Consideration was $9.7 million – down 4.3% in line with expectations For personal use only • The key drivers of lower group revenue in HY2024 was the expected reduction in Senetas inventory ship
Slide 4: Summary Statutory Financials
HY2024 Summary Statutory Financials Half year ended 31 December 2023 ($000’s) HY2024 HY2023 For personal use only Revenue from ordinary activities - Senetas 9,346 10,964 - Votiro 4,144 3,945 Total Group Revenue 13,490 14,908 EBITDA - Senetas 1,464 2,204 - Votiro (8,003) (6,714) Group EBITDA (6,539)
Slide 5: Outlook
Outlook • Increased demand for Senetas products continues to drive sales pipeline growth • Sales pipeline at Dec 2023 is up 34% compared to Dec 2022 For personal use only • Strong growth in Thales’s end user sales during HY2024, and Senetas anticipates that sales momentum will continue through the s
Slide 6: Senetas Segment
HY2024 SENETAS SEGMENT For personal use only © 2024 Senetas Corporation Slide 6
Slide 7: Highlights – Senetas Segment
HY2024 Highlights – Senetas Segment • Lower inventory shipments to Thales were the key driver of lower revenue in HY2024 For personal use only • Strong growth in third-party sales of Senetas products and services by Thales (which were up over 40%) was offset by lower inventory transfers and a negati
Slide 8: Senetas Operations
HY2024 Senetas Operations • Inventory shipments to Thales were down 23% in HY2024, as had been forecast at the FY2023 results For personal use only • With the global electronic component shortages having eased, Senetas and Thales will lower safety stock and transition to more historic inventory leve
Slide 9: Votiro
HY2024 VOTIRO For personal use only © 2024 Senetas Corporation Slide 9
Slide 10: Highlights – Votiro
HY2024 Highlights – Votiro Annual Recurring Total Sales For personal use only Revenue Revenue (ARR) Pipeline US$8.5m Up over 75% from Dec >US$33m A$4.1m 2022 At Dec 2023 Up 5% from HY2023 Total Contract Customer Renewal Value Rate US$30m >90% At Dec 2023 2023 calendar year At the end of Dec 2023 Sen
Slide 11: Financials – Votiro
HY2024 Financials – Votiro • Votiro operating revenue was up 5.1% to $4.14 million driven primarily by growth in the Asia For personal use only Pacific region – the Asia Pacific region remains the key driver of revenue & ARR • Votiro continues to develop its customer base and sales pipeline, however
Slide 12: Votiro operations
Votiro operations • Votiro’s total sales pipeline was US$33 million at Dec 2023 For personal use only • 36 new customers and ‘upsell’ deals through calendar 2023 • Despite the strong sales pipeline, the sales cycle with some of Votiro’s larger customers remains longer than anticipated • As a new sup
Slide 13: Key Financials
KEY FINANCIALS For personal use only © 2024 Senetas Corporation Slide 13
Slide 14: Consolidated Senetas Group Financials
HY2024 Consolidated Senetas Group Financials Half year ended 31 December 2023 ($000’s) HY2024 HY2023 For personal use only Revenue from ordinary activities 13,490 14,908 Gross profit 12,133 12,122 Gross Margin % 90% 81% Other income 59 269 Depreciation & amortisation (1,595) (1,620) Profit (loss) be
Slide 15: Senetas Operating Segment Results
Senetas Operating Segment Results Half year ended 31 December 2023 ($000’s) HY2024 HY2023 For personal use only Revenue from ordinary activities 9,346 10,964 Gross profit 8,335 8,465 Gross Margin % 89% 77% Other income 237 716 Depreciation & amortisation (322) (387) Profit before tax 1,425 2,331 Pro
Slide 16: Impact of Variable Consideration (AASB15)
Impact of Variable Consideration (AASB15) • AASB15 has applied to Senetas’s results since FY2019 (only the Senetas business segment has been impacted by Variable Consideration to date) For personal use only • It requires the company to estimate and recognise the revenue expected to be earned from cu
Slide 17: Impact of Variable Consideration (AASB15)
Impact of Variable Consideration (AASB15) Senetas operating segment – impact of AASB15 (variable consideration) on YoY growth rates for HY2024 Half years ended 31 December ($000’s) HY2024 HY2023 Difference % For personal use only Senetas segment reported revenue 9,346 10,953 (1,607) (14.7) Variable
Slide 18: Operating Revenue
Operating Revenue REVENUE BY REGION For personal use only Asia Pacific EMEA USA • Group revenue 9.5% lower 29,347 13,490 than HY2023 due to lower 25,109 Senetas inventory transfers 23,006 22,605 21,313 • Votiro revenue up 5.1% 10,729 10,330 10,097 • Reported revenue before 12,596 adjusting for the i
Slide 19: Cash Flow
Cash Flow Summary Cash Flow Statement Half year ended 31 December 2023 ($000’s) HY2024 HY2023 For personal use only Receipts from customers 15,301 17,689 Tax refund/(paid) (22) (312) Payments to suppliers & employees (19,607) (18,924) Operating cash flows (4,268) (1,510) Investing cash flows (119) (
Slide 20: Balance Sheet
Balance Sheet Summary Balance Sheet Half year ended 31 December 2023 ($000’s) HY2024 HY2023 For personal use only Cash and cash equivalents 11,687 9,814 Trade and other receivables 7,575 6,006 Inventories 5,680 5,322 Goodwill & intangible assets 6,202 7,790 Total assets 33,687 31,665 Trade and other
Slide 21: Disclaimer
Disclaimer This presentation ("Presentation") has been prepared by Senetas Corporation Limited (“Senetas“ or “the Company”) for the sole purpose of providing general and background information on the Company. For personal use only Nothing contained in this Presentation is or should be relied upon as