Technology One Limited · ASX:TNE
Technology One — UBS Australasia Conference 2018
15 slides from Technology One's conference presentation, Nov 13, 2018
Slide 1: TechnologyOne SaaS: Enterprise Software as a Service
TechnologyOne SaaS Enterprise Software as a Service For personal use only UBS Australasia Conference November 13th 2018 Commercial in confidence FINAL 3.0 TechnologyOne SaaS Enterprise Software as a Service Agenda Background TechnologyOne is now a SaaS company What makes us unique Long Term
Slide 2: Australia's largest enterprise software company
Australia’s largest enterprise software company ASX 150 Public Company For personal use only Invest$50m Continually profitable over 26 years Back into R&D Profit Formed in $58m Largest 1987 R&D centre Revenue 1000+ in Australia $273m employees 300+ developers Cash $93m 1200+ Market Capitalisation Co
Slide 3: Financially Very Strong
Financially Very Strong For personal use only $ 93.4 Cash and M 28 Return on % 59% 0.01% 1,192 Return Debt Interest Cover Equivalents Equity on Equity* Equity Strong Cash Customer 22 26 Flow Retention Dividends Continually 99% YEARS YEARS continually profitable Operating paid since since Cash : NPAT
Slide 4: TechnologyOne is now a successful SaaS company
340+ enterprise customers on TechnologyOne SaaS Target 1000 enterprise customers by 2022 For personal use only TechnologyOne is now a successful SaaS company 100% of all new business is SaaS In FY19 we will have $180+m in ARR 1Annual Recurring Revenue Represents 80% of our Revenue (excluding Consult
Slide 5: SaaS Revenue Recognition and Simple & Robust SaaS Revenue Model
FY19 Adopt AASB15 For personal use only SaaS Revenue Recognition Stronger, better business Revenue recognized on a daily basis Free cashflow does not change Minimal impact on P&L Simpler revenue model Improved predictability of earnings TechnologyOne is now like our SaaS peers For furthe
Slide 6: ARR is growing at approx. 20% per annum
Illustrative models only Not to be used as guidance ARR1 is growing at approx. 20% per annum For personal use only Annual Recurring Revenue 88% (% Revenue excl. Consulting) $327M UP 18% 90% 400 $276M 80% UP 21% 350 $229M UP 21% % of Total Revenue 85% 300 $189M UP 21% 250 80% $156M 200 UP 22% 150 $12
Slide 7: Enterprise software vendor
Enterprise software vendor For personal use only The power of a single integrated enterprise solution Financials Business Intelligence Asset Management Enterprise Content Management HR & Payroll Performance Planning Enterprise Budgeting Spatial Supply Chain Enterprise Cash Receip
Slide 8: One Global Code Line
One Global Code Line For personal use only Massive economies of scale TechnologyOne SaaS Enterprise software as a service TechnologyOne SaaS – One Global Code Line Economy of scale - Massively scalable, Highly efficient , Cost effective One global code line Future proof - We invest tens of millions
Slide 9: SaaS - Incredible pace of innovation
SaaS - Incredible pace of innovation For personal use only PostGreSQL High performance cache PostGIS Enhanced resilience Micro services Mass Production IRAP (Unclassified) Containers Multi tenant software 200x Auto Scale NZ CSB ISO 27017 SOC2 Self Healing ISO 27018 ISO 27001 SOC1 Hosted Cloud Powere
Slide 10: Defence in Depth Security
For personal use only SOC 1 SOC 2 U.K G-Cloud Audit Controls Compliance Controls Australian Federal Government Security PCI DSS 3.2 SAQ-D Standard Defence in Depth Security Our SaaS customers are always on the latest release New features, new functionality Bugs fixed on a continual basis No ex
Slide 11: Foundations for long term growth
TechnologyOne SaaS Enterprise Software as a Service For personal use only Agenda Background TechnologyOne is now a SaaS company What makes us unique Long Term Outlook Foundations for long term growth 14 Licensable products1 8 Vertical markets1 Diversified geographies3 Over 325 licensable mod
Slide 12: Substantial growth in our existing customer base
Substantial growth in our existing customer base $420m of new ARR by FY2027 Estimate $420m of new ARR by FY2027 For personal use only 16 16 In FY17, 14 15 customers 14 have on 12 average 40% 12 of our 14 10 11 products 8 For the 8.6 products they 6 7.1 do have, they have on 5.6 4 average only 4.6 3.
Slide 13: Continuing growth in the UK
Continuing growth in the UK For personal use only The UK market is 3x the size of Australian market for our enterprise system Approaching critical mass in the UK over next 2 years UK to move to profit in 2020 Illustrative models only SaaS continues to grow strongly Not to be used as guidance ARR is
Slide 14: Positioned well for the future
Positioned well for the future For personal use only and to continue to double in size every 5 years. Substantial future growth in our existing customer base Continuing growth in APAC Continuing growth in the UK SaaS continues to grow strongly Questions ? 14
Slide 15: technologyone
technologyone Transforming business, making life simple 15