Catapult Sports Ltd. · ASX:CAT
Catapult Sports — Catapult Group International — H1 FY2016 Earnings Presentation
31 slides from Catapult Sports's earnings presentation, Feb 29, 2016
Slide 1: FY2016 Interim Result
For personal use only THE MOST USED SECRET IN SPORT FY2016 Interim Result Catapult Group International Limited Shaun Holthouse (CEO) and Sue Banks (Interim CFO) ACN 164 301 197 29 February 2016
Slide 2: Key Statistics CAT.ASX
Catapult Group International Limited For personal use only Key Statistics CAT.ASX $2.50 ASX Code CAT.ASX Market cap (24/2/16) $289m $2.00 Listing price (19/12/14) $0.55 $1.50 Share price (24/2/16) $2.40 Shareholder return +336% $1.00 $0.50 $0.00 Page | 2
Slide 3: Key Highlights
For personal use only Section 1 KEY HIGHLIGHTS
Slide 4: Another half of very strong growth
Another half of very strong growth For personal use only Since H1 FY15, Catapult has delivered: 100% growth in ARR to $9.4m 92% cash receipt growth to $10m 91% growth in subscription fleet to 5,753 units 75% TCV growth to $14.0m 58% revenue growth to $7.1m Page | 4
Slide 5: On track to deliver FY16 forecast
On track to deliver FY16 forecast For personal use only 42% OF TARGET UNIT ORDERS… TCV OUT-PERFORMED AT 59% OF TARGET… …with buying season predominantly skewed towards H2 ...supported by League wide deals with AFL and ARU 8,000 $25m 7,000 $20m 6,000 5,000 $15m H2 H2 H1 4,000 59% H1 $10m of target 3,
Slide 6: Growth agenda balanced against cost
Growth agenda balanced against cost For personal use only In H1 FY15, Catapult raised $6m to accelerate growth plans Capital Return $6.0m New capital issued at market 86% Gross margin, up from 83% price, minimising dilution in 1H FY15 $8.4m Healthy cash balance ($2.1m) Underlying EBITDA balancing su
Slide 7: Building a high quality growth story
Building a high quality growth story For personal use only Key Success Factor Catapult 1) High gross margin Running at 86% 2) Very sticky product ~1% churn 3) High growth rate Revenue up 58%; TCV up 75% 4) Recurring revenue stream 3 year subscription contracts; longer tenure for league wide
Slide 8: Strategic progress: delivering on blue sky
Strategic progress: delivering on blue sky For personal use only 3 Leverage marketing platform of elite 2 sport into consumer Explore business monetisation of 1 data Exploratory work Sell to elite sport Largely dependant on having 100% of a league League wide deals with Strong sales with ARU and AFL
Slide 9: H1 FY16 Detailed Results
For personal use only Section 2 H1 FY16 DETAILED RESULTS
Slide 10: Summary profit and loss
Summary profit and loss For personal use only Strong revenue growth underpinned by increased recurring revenue base ($9.4m on annualised basis at 31 December HY16 HY15 Change 2015) Statutory P&L $000 $000 % Subscription orders provide diminishing impacts on current Revenue 7,086 4,483 58% year reven
Slide 11: Summary balance sheet
Summary balance sheet For personal use only 31-Dec-15 30-Jun-15 Summary Balance Sheet ($000) ($000) Fleet of devices utilised in generating subscription revenues are depreciated over 4 year product life. Assets Subscription fleet represented in property plant and Cash and term deposits 8,505 5,672 e
Slide 12: Underlying EBITDA
Underlying EBITDA For personal use only Underlying negative EBITDA has grown modestly despite undertaking accelerated growth strategy HY16 HY15 Summary EBITDA adjustments ($000) ($000) Statutory EBITDA (2,800) (3,125) Capital raising costs include all tax, accounting, legal and advisory fees relatin
Slide 13: Foundation of strong growth
Foundation of strong growth For personal use only Total Contract Value ($m) Units Ordered per Quarter $16 2,000 $14 1,750 $12 1,500 $10 1,250 $8 1,000 $6 750 $4 500 $2 250 $0 0 1H 11 1H 12 1H 13 1H 14 1H 15 1H 16 Catapult GPSports 1. Total Contract Value (TCV) recognises the whole value of the execu
Slide 14: US: strong revenue growth on the back of subscriptions
US: strong revenue growth on the back of subscriptions For personal use only % Tot Rev HY16 Revenue HY16 TCV 41% $2.9m $3.0m 71% 21% of total TCV Key movements: Key success establishing majority position in NBA, plus new marquee signings across MLS, NHL and NCAA (collegiate sports) 71% revenue
Slide 15: Europe: strong sales growth with delayed impact on revenue line
Europe: strong sales growth with delayed impact on revenue line For personal use only 4% ROW % Tot Rev HY16 Revenue HY16 TCV $1.5m Europe $3.0m 21% 15% 21% of total TCV Europe HY16 Revenue HY16 TCV $0.3m ROW $0.5m from 0 in HY15 4% of total TCV Key movements: Europe almost doubled TCV compared
Slide 16: Asia: establishing presence in key countries
Asia: establishing presence in key countries For personal use only % Tot Rev HY16 Revenue HY16 TCV $0.63m $1.1m 9% 318% 8% of total TCV Key movements: Market still capital sales dominated, with a couple of early subscription adopters Difference between TCV and Revenue is mainly timing driven (
Slide 17: Australia: experienced significant growth via league-wide deals
Australia: experienced significant growth via league-wide deals For personal use only % Tot Rev HY16 Revenue HY16 TCV 25% $1.8m $6.5m 36% 46% of total TCV Key movements: Previously a mature business with no growth now reinvigorated with League Wide deals These league deals have longer terms
Slide 18: Landmark league-wide deal with ARU
Landmark league-wide deal with ARU… For personal use only 450 units for a 4 year subscription term Covers fan engagement and broadcast capability Won in competitive tender against global submissions Tracking Australia’s most elite Rugby teams, including: – The Wallabies – Other ARU National
Slide 19: Quickly followed by AFL
…Quickly followed by AFL For personal use only 964 GNSS units for all 18 teams plus AFL development – Net effect of a 240 unit uplift to the subscription fleet and a 5 year locked in term (till 2021) Will replace club contracts with a centralised contract 2016 season is a transition year with
Slide 20: Second generation Clearsky (LPS) product close to launch
Second generation Clearsky (LPS) product close to launch For personal use only Everything needed for media & broadcast capabilities Brings the power of GPS indoors and more – Suitable for arenas of all sizes Brings much higher positional accuracy – Typically within 10 cm Anchor nodes placed ar
Slide 21: Major Openfield enhancements
Major Openfield enhancements For personal use only New Algorithms Data Security Analytics developed for ice Significant advances in data hockey covering injury and security including 3rd party performance (patents lodged) audits New Patents Platform flexibility Lodged new patent Enabled data migrati
Slide 22: Team building
Team building For personal use only Karl Hogan Distribution of employees Head of League & Data Partnerships PERFORM Group Head of Commercial Partnerships & Data Strategy oversaw league data partnerships with Premier League, 1 Bundesliga and the NBA 17 1 Up from 0 Opta Business Development Di
Slide 23: FY16 Outlook
For personal use only Section 3 FY16 OUTLOOK
Slide 24: FY16 Outlook
FY16 Outlook For personal use only Catapult remains on track for FY16 guidance □ Based on current strategy set out at AGM, Catapult is confident of delivering: □ a minimum 8,000 units □ a minimum TCV of $24.5m □ Revenue growth will be spurred by the compounding effect of subscription business □ Star
Slide 25: Appendices
For personal use only Section 4 APPENDICES
Slide 26: Athlete tracking is core to our business
Athlete tracking is core to our business For personal use only Patented hardware Openfield cloud platform Advanced analytics Comes in a range of models Internally developed proprietary Openfield Analysis is based on algorithms to suit different applications analytics platform including proprie
Slide 27: Majority league penetration
Majority league penetration For personal use only 19/32 19/30 18/18 9/18 10/12 5/5 Super 16/16 teams teams Rugby teams teams teams teams+ teams+ Significant league penetration 57 college 7 MLS 6 Chinese 4 Eredivise 8 30 English football teams 4 Liga MX teams teams SuperLeague teams Bundesliga across
Slide 28: What the teams are saying
What the teams are saying For personal use only “Every player has worn it every day I’ve been here. It can allow you to dial up or down practice intensity or dial up or down conditioning for each player.” Sam Hinkie, General Manager, Philadelphia 76′ers Jimbo Fisher, head coach of Florida State foot
Slide 29: Corporate calendar
Corporate calendar For personal use only October 29 January 29 April 28* August 15* 1Q16 result 2Q16 result 3Q16 result FY16 result November 24 February 29 July 28* FY16 guidance 1H FY16 result 4Q16 result upgraded *Dates are indicative only Page | 29
Slide 30: Global market opportunity
Global market opportunity For personal use only AU + Europe 3,500 21% H1 Elite revenue athletes USA 25% H1 revenue + Asia Rapidly emerging 9% H1 revenue 454,000 Pro and NCAA athletes + Rest of 41% H1 World Largely untapped revenue 4% H1 revenue Page | 30
Slide 31: Important notice
Important notice For personal use only This presentation has been prepared by Catapult Group International Limited ACN 164 301 197 (‘Catapult’). Each recipient of this presentation is deemed to have agreed to accept the qualifications, limitations and disclaimers set out below. None of Catapult
Catapult Group International — H1 FY2016 Earnings Presentation on 6ix