Araxi Limited · JSE:AXX
Araxi — Capital Appreciation — Investor Day (March 2021)
75 slides from Araxi's investor day presentation, Mar 3, 2021
Slide 1: Investor Seminar Showcasing Synthesis Software Technologies
Investor Seminar Showcasing Synthesis Software Technologies 3 March 2021 Investor Seminar Showcasing Synthesis Software Technologies 1
Slide 2: Disclaimer
Disclaimer This document, and the presentation it relates to, may contain forward looking statements with respect to Capital Appreciation’s future performance and prospects. Unless otherwise indicated these statements reflect the company’s expectations as at 3 March 2021. Forward-looking statements
Slide 3: Programme
PROGRAMME 15:00 – 15:10 Welcome and introduction Bradley Sacks (CAPPREC Joint CEO) 15:10 – 15:30 Introduction to Synthesis and its strategy Michael Shapiro (Synthesis MD) 15:30 – 15:45 Boundless opportunity in Cloud Solutions Darryl Govender (Head of Cloud Services) 15:45 – 16:00 Intelligent Data Ar
Slide 4: Capital Appreciation
We deliver compelling, innovative and disruptive solutions, allowing our clients to introduce services that deliver value to their stakeholders CAPITAL APPRECIATION We use our proprietary and licensed platforms to achieve a leadership position in industry verticals PAYMENTS SERVICES DIVISION DIVISIO
Slide 5: Our Investment Case
✓ Leadership position in industry with strong secular OUR INVESTMENT growth trajectory CASE ✓ Strong culture of innovation resulting in relevant An extremely strong foundation on which to grow – organically and by client solutions acquisition ✓ Established track record of delivery ✓ A trusted partne
Slide 6: Synthesis Financial Performance
R million 250 FY Revenue FY EBITDA 195,0 H1 Revenue H1 EBITDA SYNTHESIS 200 FINANCIAL 137,8 150 PERFORMANCE 108,4 95,3 93,1 100 77,6 An impressive track record of demonstrated growth 53,8 51,9 46,1 44,0 41,6 33,9 50 29,9 28,0 27,2 19,8 15,9 12,6 0 FY '14 FY '15 FY '16 FY '17 FY '18 FY '19 FY '20 30
Slide 7: Key Stats
24 LARGE Years in business Market opportunity (TAM) KEY STATS An impressive performance by a 33% DELIGHTED dedicated team committed to Approximate contribution Client satisfaction measure delivering continued innovation to the Group > 4X PASSIONATE Revenue growth in 5 years Attitude to technology an
Slide 8: Synthesis | Capital Appreciation's Services Division | Investor Day
Synthesis | Capital Appreciation's Services Division | Investor Day Investor Seminar Showcasing Synthesis Software Technologies 8
Slide 9: 2020, no ordinary year
2020, no ordinary year “During discontinuity, people take a step back and want to move to the cloud. The pandemic has accelerated cloud adoption.” Andy Jassy, AWS CEO “COVID-19 has pushed companies over the technology tipping point — and transformed business forever.” McKinsey - October, 2020 | Surv
Slide 10: Our timeline
Acquired by Capital Our timeline Appreciation Achieved AWS Achieved 10-year Advanced Consulting 24% CAGR profit Introduced Digital Partner Status – first in growth Achieved 5-year 28% CAGR EBIT Channels, first Africa Founded by Jake internet banking Launches SaaS growth from 2014 to 2019 Shepherd &
Slide 11: Our industry experience
Our industry experience Our technical capabilities, depth of skill and experience combined with our focus on innovation helps us develop and deliver products and solutions to meet our customers' needs and assist in their business transformation goals. Banking Capital Markets Insurance & Lending Reta
Slide 12: Areas of expertise
Areas of expertise Cloud Managed Intelligent Payments RegTech Digital Academy Labs Services Services Data & Crypto Web and 24/7/365 Hyperscale/ Regulatory Mobile Innovation Cloud Card Enablement support Distributed Reporting Banking in AI Economics Services SLAs Systems SARB, Secure Hyperscale Manag
Slide 13: Specialised and experienced team
Specialised and experienced team Cloudflare AWS Microsoft Confluent Hashicorp Salesforce 175 certifications 14 certifications 4 certifications 4 certifications 3 certifications Bachelors Honours Masters Diplomas degrees degrees degrees 90 52 27 26 157 employees | 200 certifications | 195 degrees and
Slide 14: Recruitment and retention
Recruitment and retention • Significant staff growth over the last 5 years • Low and declining staff turnover rate of ~12% annually on average • Each employee allocated a mentor to address personal and professional growth • Annual staff retrospectives to assess how we can improve Synthesis • Weekl
Slide 15: The case for FinTech
The case for FinTech Synthesis strategy and future opportunities for growth Investor Seminar Showcasing Synthesis Software Technologies 15
Slide 16: FinTech trends for 2021
FinTech trends for 2021 • Digital-only banking • Artificial Intelligence AI/ML • Regtech • Banking the unbanked • Adoption of contactless “2020 will go down in history as the year of the technology, desire for pandemic, but there's one other thing it should be remembered for, too. convenience will c
Slide 17: Opportunity and challenges
Opportunity and challenges 1. Digital Channels and Mobile App 2. Data, Analytics and Artificial Intelligence (AI) 3. Robotisation and Chatbots 4. Blockchain and Cryptos 5. Hyperscale Cloud Services 6. Digital Identity - Source: EY FinTech Census Investor Seminar Showcasing Synthesis Software Technol
Slide 18: Thank you
Thank you Johannesburg l Cape Town +27 87 654 3300 www.synthesis.co.za Investor Seminar Showcasing Synthesis Software Technologies 18
Slide 19: Boundless Opportunity in Cloud Solutions
Boundless Opportunity in Cloud Solutions Darryl Govender Head of Cloud Services Investor Seminar Showcasing Synthesis Software Technologies 19
Slide 20: Worldwide Cloud IT Infrastructure and Market Forecast
Worldwide Cloud IT Infrastructure and Market Forecast 32% 33% 39% 40% 41% 43% 44% The IDC forecasts that total worldwide 16% spending on cloud 17% services, including the 17% 18% professional and 19% 19% 20% managed services, will surpass $1.0 trillion in 2024 while sustaining a double-digit compoun
Slide 21: The Cape Town AWS Region
The Cape Town AWS Region First in Africa 23rd AWS region, comprising 3 Availability Zones. 80+ AWS services readily available Compliance and Low Latency Enables compliance with the Protection of Personal Info Act (POPIA), as well as support for low latency workloads AWS Support AWS local team growth
Slide 22: Leveraging the power of cloud computing
At Synthesis, we believe in leveraging the power of cloud computing to create customer experiences that notably excite, engage and inspire longevity in consumer relationships. Investor Seminar Showcasing Synthesis Software Technologies 22
Slide 23: Our Cloud Consulting Timeline
2019/2020+ AWS Premier Partner target for 2021 Our Cloud Consulting AWS Microsoft Workloads and Security Competencies Timeline 175+ AWS certifications 2018 AWS Financial Services and DevOps Competencies 2017 Africa’s first AWS Advanced Consulting Partner 2016 With the global acceptance of Initial ma
Slide 24: Cloud Value Framework
Holistic Cloud Adoption We follow a multi-layered approach that strongly Reinvention embeds training at the core of the adoption journey, while leveraging the Cloud Value Well-Architected Framework to show tangible business value Migration Cloud Value Framework realisation throughout. Infrastructure
Slide 25: Cloud Value Framework
8% 13% Cloud Value Cost Savings Operational Resilience Framework Reduces the percentage of IT spend on AWS availability and security enables customers to infrastructure, freeing improve SLAs while reducing budget for reinvestment in unplanned downtime and risk How to capture, analyse and report othe
Slide 26: Managed Cloud Centre of Excellence (CCoE)
Managed Cloud Centre of Excellence (CCoE) Customer Experience Manage Fully managed production Focus workloads with ongoing security, cost and operational MANAGE insights. Innovation comes Creating ongoing value for our customers in a sustainable, standard. transparent and accountable way; Assess / M
Slide 27: AWS Partner Programs
AWS Partner Programs Leveraging access to AWS Partner AWS Activate Programs enables us to provide Designed to enable start-ups (with or without funding), and additional benefits to our customers offers up to a $100,000 credit benefit and in some cases, even offset consulting spend in its entirety. P
Slide 28: Our Customers
Our Customers Investor Seminar Showcasing Synthesis Software Technologies 28
Slide 29: Thank You
Thank You Contact us at Insights@synthesis.co.za Johannesburg, Cape Town +27 87 654 3300 www.synthesis.co.za Investor Seminar Showcasing Synthesis Software Technologies 29
Slide 30: A New World for our Customers
A New World for our Customers Intelligent Data Investor Seminar Showcasing Synthesis Software Technologies 30
Slide 31: A Glimpse into Intelligent Data Leadership
A Glimpse into Intelligent Data Leadership Darren Bak Archana Arakkal Synthesis Head of Intelligent Synthesis Engineering Lead for Data Machine Learning Investor Seminar Showcasing Synthesis Software Technologies 31
Slide 32: Because you
Strive for business success Seek a sustainable competitive advantage Because Want to create genuine customer satisfaction Let insight lead with Synthesis Intelligent Data you Need to tap into your data to unlock value Aim to innovate and nothing less Investor Seminar Showcasing Synthesis Software Te
Slide 33: Our Offerings
Our Offerings Synthesis Intelligent Data offers end-to-end solutions across the data journey, incorporating: Machine Learning Machine Learning & Data Streaming Modelling Cloud Deployments Data Engineering Data Analytics Artificial & Exploration Intelligence Investor Seminar Showcasing Synthesis Soft
Slide 34: Accelerate your time to market with AWS Managed ML Services
Accelerate your time to market with AWS Managed ML Services By the end of 2024, 75% of enterprises will shift from piloting to operationalising AI, driving a 5x increase in streaming data and analytics infrastructures Gartner: Top 10 Trends in Data and Analytics for 2020, 19 October 2020 Investor Se
Slide 35: Cloud is a catalyst for adoption of AI
Cloud is a catalyst for adoption of AI Megatrend #1 Investor Seminar Showcasing Synthesis Software Technologies 35
Slide 36: Nedbank Insurance testimonial
“What struck me is that Synthesis used design thinking to truly understand what the problem was. In a very short time they created a prototype, tested it with users and then adapted it. The solution they created revolved around genuine client satisfaction and not just completing a task, and that wor
Slide 37: Event data is a gold mine
Event data is a gold mine Megatrend #2 Investor Seminar Showcasing Synthesis Software Technologies 37
Slide 38: Big 5 Bank
“Our team’s engagement with Synthesis has been excellent, they bring a high level of excitement and enthusiasm to a project and they are definitely pioneers in their fields of expertise. If they come across something that they have never seen before, they will go above and beyond to figure it out an
Slide 39: Fast and actionable data are no longer buzzwords
Fast and actionable data are no longer buzzwords Megatrend #3 Big 5 Bank Investor Seminar Showcasing Synthesis Software Technologies 39
Slide 40: Thank You
Thank You Contact us at Intelligentdata@synthesis.co.za Johannesburg, Cape Town +27 87 654 3300 www.synthesis.co.za Investor Seminar Showcasing Synthesis Software Technologies 40
Slide 41: changing the landscape
changing the landscape Investor Seminar Showcasing Synthesis Software Technologies 41
Slide 42: Investor Seminar Showcasing Synthesis Software Technologies
Investor Seminar Showcasing Synthesis Software Technologies 42
Slide 43: Standard Bank
Standard Bank I want to present personalised offers at the right time, place and channel Investor Seminar Showcasing Synthesis Software Technologies 43
Slide 44: 1 client platform
I want to digitally transform my business 17 source systems 1 client platform Investor Seminar Showcasing Synthesis Software Technologies 44
Slide 45: Before After
I want to enable merchants to accept CIM Finance loans digitally Before Days After Paper Minutes Tablet Investor Seminar Showcasing Synthesis Software Technologies 45
Slide 46: Strategic projects and builders
Strategic projects / year 15 Blue chip financials 20+ years building FinTech software Online banking systems built 3 Investec Mauritius, AFGRI, AfrAsia Builders 40 Deeply technical, challengers, entrepreneurial In-house recruiting Investor Seminar Showcasing Synthesis Software Technologies 46
Slide 47: We've verified it's you just because your phone is nearby
We’ve verified it’s you just because your phone is nearby Investor Seminar Showcasing Synthesis Software Technologies 47
Slide 48: We've shown farmers rainfall and grain stored in a silo
We’ve shown farmers rainfall and grain stored in a silo Investor Seminar Showcasing Synthesis Software Technologies 48
Slide 49: We've turned call centre recordings into graphs
We’ve turned call centre recordings into graphs Investor Seminar Showcasing Synthesis Software Technologies 49
Slide 50: SA, Mauritius, Kenya
SA, Mauritius, Kenya Finance, Retail, Agriculture Investor Seminar Showcasing Synthesis Software Technologies 50
Slide 51: Investor Seminar Showcasing Synthesis Software Technologies
Investor Seminar Showcasing Synthesis Software Technologies 51
Slide 52: People
PEOPLE Operational Support (HR, Finance, Recruit, Marketing) Principals Sales Builders ~ 50 SHARED CONTRACT Investor Seminar Showcasing Synthesis Software Technologies 52
Slide 53: Here's to the crazy ones
~ Apple think different campaign HERE’S TO THE CRAZY ONES Investor Seminar Showcasing Synthesis Software Technologies 53
Slide 54: Angular Kafka Cloud
Low Find demand & emerging rates tech Innovators High lose demand & Kafka interest rates Innovator Stabilise resources Scarcity in Angular skill Cloud Investor Seminar Showcasing Synthesis Software Technologies 54
Slide 55: 2021+ New industry, offerings, partners, franchise, countries
2021+ LOONSHOTS EMERGING TECH NEW NEW NEW CORE NEW INDUSTRY OFFERINGS PARTNERS FRANCHISE COUNTRIES Investor Seminar Showcasing Synthesis Software Technologies 55
Slide 56: Thanks
l l ll O l ll l l lO O l ll l l llO l l l O llll l l ll Oll l O llll l lllO l l l ll l ll l O l O l O l THANKS l l ll l l Oll Oll l l ll l l l O lllOl l Ol Ol l ll l ll l ll lOll ll O l l l Ol O Investor Seminar Showcasing Synthesis Software Technologies 56
Slide 57: The Synthesis Academy
The Synthesis Academy Elmarie Grant Head of the Synthesis Academy Investor Seminar Showcasing Synthesis Software Technologies 57
Slide 58: Why an Academy for Synthesis?
Why an Academy for Synthesis? Our Mission: Evaluation To provide rapid competence in emerging technologies to our employees and customers Synthesis Analysis Our Philosophy: Application Competence first, certification second Comprehension Immersive, experiential, story-based learning Knowledge Builde
Slide 59: This Means ...
This Means … For our customers: For our employees: 80% faster, more >20 role-based, challenging learning paths** efficient tech journeys* 4.4% lower financial, Whole-person training interventions security and operational risk* Improved customer-centric delivery 33% better employee engagement, 4.7x p
Slide 60: Our Secret Training Recipe
Our Secret Training Recipe Experiential, role-based, real world 01 “They share their ‘Intimate Domain Knowledge’” 02 Content built and delivered by passionate experts “Good knowledge and passion for the subject” 03 >20 years experience in learning design and methodology Learning scaled across the wh
Slide 61: Our In-House Expertise
Our In-House Expertise CKA (Certified Kubernetes Administrator) CKAD (Certified Kubernetes Application Developer) Cloud Practitioner 175+ Associate CCDAK (Confluent Certified Developer for Apache Kafka) Professional CCOAK (Confluent Certified Operator for Specialty Apache Kafka) Industry- JavaScript
Slide 62: What Our Academy Offers
What Our Academy Offers AWS Launchpad AWS Classroom Training Stress-test your team’s We resell accredited AWS readiness to move a workload classroom training, for your into production – the interactive teams, at your office way. Cloud Economics JetPack Series We help your Execs articulate the Cloud
Slide 63: Our Journey So Far
Our Journey So Far • Cloud training to SBSA expands and continues to >400 participants • Full time learning specialist • Accredited to resell joins the Academy classroom training by AWS and • Fit for Cloud Cape Cycle Race Confluent event 2019/ 2018 2019 2020 2020/2021 2020 • COVID-19 ends all face-t
Slide 64: Our Future
Our Future Provide rapid, emerging technology competence Re-sell partner Clients accredited virtual classroom training Partners Cross and upsell with our other services and expertise Develop and grow tech focused leadership skills across all levels Promote customer relationships Leadership and satis
Slide 65: Thank You
Thank You Contact us at TheAcademy@synthesis.co.za Johannesburg, Cape Town +27 87 654 3300 www.synthesis.co.za Investor Seminar Showcasing Synthesis Software Technologies 65
Slide 66: LABS
LABS Investor Seminar Showcasing Synthesis Software Technologies 66
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Slide 74: Corporate Information
CORPORATE INFORMATION Capital Appreciation Limited Physical address Investor relations Incorporated in the 1st Floor, The Reserve Aprio Investor Relations Republic of South Africa 54 Melville Road Oxford Corner, 32a Jellicoe Avenue Illovo Rosebank 2195 Registration number: Johannesburg +27 21 554 00
Slide 75: www.capitalappreciation.co.za
www.capitalappreciation.co.za Investor Seminar Showcasing Synthesis Software Technologies 75