Vista Group International Ltd · NZX:VGL
Vista Group International — Shareholder Meeting (May 2016)
36 slides from Vista Group International's shareholder meeting presentation, May 24, 2016
Slide 1: Vista Group 2015 AGM
VISTA GROUP 2015 AGM : Event Cinema 3, Gold Class 24 May 2016
Slide 2: Agenda
• Introduction • Chairman’s Address • CEO Address • Questions on Annual Report & Financial Statements • Business Resolutions • Resolution 1 – Remuneration of Auditors • Resolution 2 – Re-election of Susan Peterson as a Director • Resolution 3 – Re-election of Kirk Senior as a Director • General Busi
Slide 3: Chairman's Address
CHAIRMAN'S ' ADDRESS
Slide 4: Group CEO Address
GROUP CEO ADDRESS 24 May 2016
Slide 5: Vista Group Companies within the Film Industry Value Chain
VISTA GROUP COMPANIES WITHIN THE FILM INDUSTRY VALUE CHAIN PRODUCTION DISTRIBUTION CINEMA EXHIBITION MOVIEGOER
Slide 6: VGL Update
VGL UPDATE • Founded1996 & listed on NZX/ASX in Aug 2014 with market VISTA ENTERTAINMENT SOLUTIONS cap of $187M; now $470M • 400+ staff & 8 offices: - Auckland, Sydney, London, LA, Dallas, Holland, Shanghai, Romania • Completed the acquisition of Ticketsoft in 2015, a US competing solution to Vista
Slide 7: Financial Performance
FINANCIAL “PERFORMANCE ¢
Slide 8: Result Highlights
Result Highlights PFI ACHIEVEMENT Revenue up $3.9M or 6% - 65.4M actual vs 61.5M PFI. INVESTMENT & EBITDA up $1.9M or 14% - STRATEGY $15.1M vs $13.2M. OPERATING METRICS Successful installation of Vista into most Ticketsoft sites Strong cinema performance with VES turning in another New product for V
Slide 9: Trading Performance
Trading Performance All figures in $m’s 2015 ACTUAL 2015 PFI 2014 ACTUAL TRADING $ $ % $ % Revenue 65.4 61.5 6% 47.2 39% EBITDA 15.1 13.2 14% 9.4 61% 1 Adjusted Net Profit 9.0 8.1 11% 4.0 125% Note : percentages are 2015 actual increase/decrease to the PFI number & the 2014 actual number • Vista Ent
Slide 10: Revenue Components
Revenue Components Revenue by Type ARR as a % of Revenue 70.0 90% 60.0 80% 50.0 70% 40.0 60% 30.0 50% 20.0 40% 10.0 30% - 20% 10% 0% Base + 50% services + licenses to 2013 2014 2015 existing customers 2013 2014 2015 • Growth in all categories of revenue • Base = recurring licences + maintenance + co
Slide 11: Pro Forma Financial Overview
Pro Forma Financial Overview NZ$000 (Year ended 31 FY11 FY12 FY13 FY14 FY14 FY15 December) Pro Forma Pro Forma Pro Forma Pro Forma Actual Actual Total Revenue 25.0 33.7 38.7 50.7 47.2 65.4 EBITDA 4.5 8.8 9.0 9.62 9.4 15.1 Adjusted Net Profit3 4.0 9.0 Note: EBITDA is a non-GAAP profit measure defined
Slide 12: Financial Position
Financial Position NZ$m 2015 Actual 2015 PFI 2014 Actual Current assets Cash & short term deposits 27.3 43.5 30.7 • Higher receivables at year end due to higher billing in last Other receivables 30.5 19.6 22.1 quarter including maintenance invoicing 57.8 63.1 52.8 • Cash balance is lower than foreca
Slide 13: Cash Flow
Cash Flow NZ$m 2015 Actual 2015 PFI 2014 Actual Cash received from trading 62.8 60.5 48.2 Cash applied from trading Operating expenses 53.0 44.0 39.3 • The high sales in the last quarter & larger Tax & interest 3.5 3.1 2.2 December maintenance renewals resulted in Listing costs 1.8 higher sales but
Slide 14: Dividend Policy
Dividend Policy • Dividend policy for FY15 to remain aligned with Prospectus guidance, which was: • There is no intention to pay a dividend on the FY15 results. • Dividend policy for Vista Group has been reviewed & set for the future: • Dividend policy for FY16 & beyond is to distribute 30% to 50% o
Slide 15: Business Unit Reviews
BUSINESS UNIT . REVIEWS
Slide 16: Vista Entertainment Solutions
Vista Entertainment Solutions • Another very strong performance: Vista Cinema Sites • 461 sites installed in 2015 (excluding ~400 Ticketsoft & CCG sites in the process of being converted to Vista software) 5,000 • Regal’s commitment to Vista strengthened further; will increase 4,500 their contributi
Slide 17: World Reach
87% CANADA 2,042/2,327 screens 22% EUROPE 4,172/18,600 screens 41% USA 12,784/31,293 screens 24% ASIA 5,620/23,926 screens 97% CENTRAL AMERICA 5,865/6,072 screens 49% MIDDLE EAST 1,055/2,155 screens 22% SOUTH AMERICA 1,210/5,605 screens 95% AUSTRALASIA 1,604/1,636 screens 88% AFRICA 761/864 screens
Slide 18: Veezi
Veezi • 350 total installed sites by 31 December 2015 – more than 100 over PFI forecast – now 400+ • Revenue building with additional revenue from on-line fees & additional chargeable modules has increased average revenue per site • Certification for Veezi granted by Chinese authorities in 2015 • Op
Slide 19: Movio
Movio • Movio Cinema • 37 Circuits using Movio Cinema – up from 20 at start of 2015 Member Data Held in Movio Database • 81 million members in the Movio database – the largest database of cinema going individuals in the world 90 81 • 745 million emails sent in 2015 – up 53% 80 • SMS integration intr
Slide 20: MACCS
MACCS • Core business performed well in 2015; 10 new MACCS installations The World’s Leading • Now installed in 45 territories Film Distributor Software • Signed Warner Bros. in USA • Significant product development being undertaken & full implementation expected in second half of 2016 • Warner Bros
Slide 21: Numero
Numero • Numero provides fast & accurate box office numbers for film studios, distributors & cinema exhibitors • Now collecting box office results for over 99% of the Australasian market • Launched LIVE box office reporting service delivering up to the minute results from major multiplexes • 7 years
Slide 22: New Acquisitions
. -. ACQUISITIONS 4
Slide 23: Share Dimension
SHARE DIMENSION Key product is Cinema Intelligence: • Business Intelligence for Exhibitors – Big Data analysis Optimise film performance in a cinema environment: • Extract historical information from BO systems (Vista Cinema & others) • Build forecasting models for film performance at a site level b
Slide 24: Powster
POWSTER Provides world-leading film marketing products including interactive content to promote films. POWSTER Movie Platform: • Marketing platform for movie studios, powering the world’s biggest blockbusters • One destination per film with all cinemas & show-times listed • Official platform for ove
Slide 25: Flicks
FLICKS • Authoritative Australasia movie & cinema guide • Moviegoer access nationally for every movie playing; + cinemas, session times, booking links, videos & trailers, reviews (user & critical) + editorial from Australasia’s best industry contributors • NZ’s no. #1 film buff port-of-call – film w
Slide 26: China Partnership Transaction
CHINA PARTNERSHIP TRANSACTION
Slide 27: China Cinema Industry
China Cinema Industry Industry Background • China box office revenue is forecast to overtake the US by 2017: • China grew 48.7% 2014-2015 • ~1800 Cinemas opened in last 2 years Number of Screens Per Million People (2015) 200 • Fragmented cinema market; top 10 providers = 44% share; Screens per milli
Slide 28: Chinese Transaction – Key Terms
Chinese Transaction – Key Terms WePiao Investment: • WePiao to acquire existing shares in Vista China for cash; will subscribe for new shares in Vista China, providing growth capital to the business • WePiao acquiring 2.0% of new shares in Vista Group issued at a one month VWAP share price • Vista G
Slide 29: Summary
Summary • Group Financial performance in excess of PFI for 2015 • Vista Cinema – Continued Growth in excess of 20%+ per annum • Recurring Revenue continues to grow • Movio continues to add exhibitor clients & is positioned for their studio products; strong growth prospects • Other business centres i
Slide 30: Questions
QUESTIONS
Slide 31: Business Resolutions
BUSINESS RESOLUTIONS Confirmation of Proxies: • Resolution 1 – That the Board is authorised to fix the auditors remuneration. • Resolution 2 – That Susan Peterson be re-elected as a director of Vista. • Resolution 3 – That Kirk Senior be re-elected as a director of Vista.
Slide 32: Business Resolutions
BUSINESS RESOLUTIONS Confirmation of Proxies: • Resolution 1 – That the Board is authorised to fix the auditors remuneration. • Proxies held by the Chair 38,112,071.
Slide 33: Business Resolutions
BUSINESS RESOLUTIONS Confirmation of Proxies: • Resolution 2 – That Susan Peterson be re-elected as a director of Vista. • Proxies held by the Chair 38,112,071.
Slide 34: Business Resolutions
BUSINESS RESOLUTIONS Confirmation of Proxies: • Resolution 3 – That Kirk Senior be re-elected as a director of Vista. • Proxies held by the Chair 38,112,071.
Slide 35: General Business, Further Questions, Closing
GENERAL BUSINESS FURTHER QUESTIONS CLOSING
Slide 36: Vista Group 2015 AGM
VISTA GROUP 2015 AGM 24 May 2016
Vista Group International — Shareholder Meeting (May 2016) on 6ix