C3.ai, Inc. · NYSE:AI
C3.ai — Q3 FY2021 Earnings Presentation
55 slides from C3.ai's earnings presentation, March 2021
Slide 1: Business Update Q3 FY21
Business Update Q3 FY21 March 2021
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements within the meaning of the Private This presentation also contains estimates and other statistical data made by independent Securities Litigation Reform Act of 1995. All statements contained in this presentation other parties and by us
Slide 3: Q3 FY21 Summary Financial Results
Q3 FY21 Summary Financial Results Q3 FY21 % Change Y/Y Revenue $49.1 million +19% Subscription Revenue $42.7 million +23% Services Revenue $6.4 million -4% Non-GAAP Operating Expense $49.2 million +27% Non-GAAP Operating Margin (24.3%) (4) pts. Note: Non-GAAP Operating Expense and non-GAAP operating
Slide 4: C3.ai Enterprise AI
E&I) c3.ai Enterprise Al Al LISTED NYSE
Slide 5: Enterprise AI Software for Digital Transformation
Enterprise AI Software for Digital Transformation Comprehensive platform for Pre-built SaaS applications Low-code / No-code analytics Industry-specific AI CRM rapidly developing, deploying, for rapidly addressing for data science and operating Enterprise AI high-value use cases applications 5 © 2021
Slide 6: 1.1 Billion Predictions per day
The World’s Largest Enterprise AI Production Footprint 1.1 Billion Predictions per day 6 © 2021 C3.ai Inc. All Rights Reserved.
Slide 7: 4.8 Million Machine learning models in production
The World’s Largest Enterprise AI Production Footprint 4.8 Million Machine learning models in production 7 © 2021 C3.ai Inc. All Rights Reserved.
Slide 8: 622 Million Sensors generating data
The World’s Largest Enterprise AI Production Footprint 622 Million Sensors generating data for the C3 AI Suite 8 © 2021 C3.ai Inc. All Rights Reserved.
Slide 9: Unique enterprise and extraprise source data integrations
The World’s Largest Enterprise AI Production Footprint 770 Unique enterprise and extraprise source data integrations 9 © 2021 C3.ai Inc. All Rights Reserved.
Slide 10: 50 Million Businesses and consumers touched daily
The World’s Largest Enterprise AI Production Footprint 50 Million Businesses and consumers touched daily 10 © 2021 C3.ai Inc. All Rights Reserved.
Slide 11: Rapid Time to High-Value
Rapid Time to High-Value 11 © 2021 C3.ai Inc. All Rights Reserved.
Slide 12: Securities Lending Optimization: Rapid Time to High-Value Outcomes
Rapid Time to High-Value Outcomes Deployed in Securities Lending Optimization 52 Weeks Value Trial 16 Weeks $14 billion in Production Development 36 Weeks additional daily trades Week 8 Week 16 Week 24 Week 32 Week 40 Week 48 Week 52 12 © 2021 C3.ai Inc. All Rights Reserved.
Slide 13: Healthcare Manufacturing Production Optimization
Rapid Time to High-Value Outcomes Healthcare Mfg Deployed in 4 Weeks Production Optimization Value Production Development 4 Weeks 300% increase in unit production Week 8 Week 16 Week 24 Week 32 Week 40 Week 48 Week 52 13 © 2021 C3.ai Inc. All Rights Reserved.
Slide 14: Predictive Maintenance for Offshore Oil Rigs
Rapid Time to High-Value Outcomes Deployed in Predictive Maintenance 38 Weeks for Offshore Oil Rigs Value Trial 4 Weeks $28 million per year Production Development in avoided shutdowns 34 Weeks Week 8 Week 16 Week 24 Week 32 Week 40 Week 48 Week 52 14 © 2021 C3.ai Inc. All Rights Reserved.
Slide 15: CEO Thomas Siebel quote on market leadership
This is a large and rapidly growing market; we continue to innovate; we continue to expand our market-partner ecosystem; and we continue to demonstrate technology leadership. I believe that we are increasingly well-positioned to establish a global market leadership position in enterprise AI software
Slide 16: C3 AI Leads Digital Transformation Across Industries
C3 AI Leads Digital Transformation Across Industries 16 © 2021 C3.ai Inc. All Rights Reserved.
Slide 17: C3 AI Expands New Enterprise Production Deployments
C3 AI Expands New Enterprise Production Deployments 17 © 2021 C3.ai Inc. All Rights Reserved.
Slide 18: C3 AI Significantly Extends Its Market-partner Ecosystem
C3 AI Significantly Extends Its Market-partner Ecosystem New C3 AI Industry Partners 18 © 2021 C3.ai Inc. All Rights Reserved.
Slide 19: C3 AI Demonstrates Continued Product Leadership In Enterprise AI
C3 AI Demonstrates Continued Product Leadership In Enterprise AI 19 © 2021 C3.ai Inc. All Rights Reserved.
Slide 20: New Enterprise AI Releases 7.15 - 7.17 Provide Major Enhancements
New Enterprise AI Releases 7.15 - 7.17 Provide Major Enhancements Performance Development New & Improved Multi-Cloud & & Scalability Tools Applications On-premise Performance and scalability New comprehensive data, Improvements and new Enhancements to multi- improvements to Virtual feature, and mode
Slide 21: C3 AI CRM for Industries
C3 AI CRM for Industries Reinventing CRM to transform sales, marketing, and customer experiences for industries © 2021 C3.ai Inc. All Rights Reserved.
Slide 22: No-Code AI You Can Use
No-Code AI You Can Use C3 AI Ex Machina enables anyone to develop, scale, and apply AI insights without writing code. © 2021 C3.ai Inc. All Rights Reserved.
Slide 23: Rapidly and flexibly access all your data
Rapidly and flexibly access all your data Build and manage AI models without writing code Use AI to drive smarter business outcomes Scale to meet your needs Grow with confidence 23 © 2021 C3.ai Inc. All Rights Reserved.
Slide 24: C3 AI Awarded Major Patent
C3 AI Awarded Major Patent Systems, methods, and devices for an enterprise AI application development platform (No.10,817,530) 24 © 2021 C3.ai Inc. All Rights Reserved.
Slide 25: C3 AI Increases Investment in Climate and Energy Sustainability Market
C3 AI Increases Investment in Climate and Energy Sustainability Market 25 © 2021 C3.ai Inc. All Rights Reserved.
Slide 26: C3 AI Smart Institutions
C3 AI Smart Institutions Scope 3 Emissions 26 © 2021 C3.ai Inc. All Rights Reserved.
Slide 27: Digital Transformation and AI for Energy and Climate Security
Second Call for Proposals Digital Transformation and AI for Energy and Climate Security 27 © 2021 C3.ai Inc. All Rights Reserved.
Slide 28: Digital Transformation and AI for Energy and Climate Security
Digital Transformation and AI for Energy and Climate Security The C3DTI Second Call for Proposals addresses the challenges for AI and Digital Transformation for Energy and Climate Security. The energy industry is being digitally transformed by investment at all levels of production, generation, tran
Slide 29: Shell Joins C3.ai DTI as an Industry Partner
Shell Joins C3.ai DTI as an Industry Partner 29 © 2021 C3.ai Inc. All Rights Reserved.
Slide 30: Shell is the newest industry partner to join the DTI
Shell is the newest industry partner to join the consortium of universities, national laboratories, and companies that make up the DTI. The DTI Industry Partner Program enables leading companies from around the world to engage with DTI researchers and activities, and to contribute data sets that wil
Slide 31: KTH Joins the C3.ai DTI Consortium
KTH Joins the C3.ai DTI Consortium 31 © 2021 C3.ai Inc. All Rights Reserved.
Slide 32: KTH Royal Institute of Technology becomes eighth university member
KTH Royal Institute of Technology in Stockholm, Sweden has become the eighth university member and first international member of the academic and industry consortium. The C3.ai Digital Transformation Institute is a research consortium dedicated to accelerating the benefits of artificial intelligence
Slide 33: C3 AI Enhances Company Leadership
C3 AI Enhances Company Leadership 33 © 2021 C3.ai Inc. All Rights Reserved.
Slide 34: Jim Hagemann Snabe Joins C3 AI Board of Directors
Jim Hagemann Snabe Joins C3 AI Board of Directors Chairman of the Board of Directors Maersk Former Co-CEO, SAP AG, Germany 34 © 2021 C3.ai Inc. All Rights Reserved.
Slide 35: Jim Hagemann Snabe
Jim Hagemann Snabe Member, C3 AI Board of Directors Jim Hagemann Snabe is the former co-CEO of SAP AG. He is now Chairman A. P. Moller Maersk (DK), and Nominated Chairman Siemens AG (D) Vice Chairman Allianz SE (D). He is member of the Board of Trustees at World Economic Forum (CH). With 25 years of
Slide 36: C3 AI Strengthens Global Advisory Board
C3 AI Strengthens Global Advisory Board Sajid Javid Jacques Attali Admiral Dennis McGinn Rick Ledgett Franck Cohen George Mathew Member of Parliament and Founder and first President Former U.S. Assistant Former Deputy Director Former President Managing Director at former Home Secretary and of the Eu
Slide 37: Rt. Hon. Sajid Javid MP
Rt. Hon. Sajid Javid MP Advisor The Rt. Hon. Sajid Javid MP is a British Member of Parliament and former Chancellor of the Exchequer of the United Kingdom. He has served in the Cabinet of three British Prime Ministers as the Secretary of State for five different Departments, including the Treasury a
Slide 38: Jacques Attali
Jacques Attali Advisor Professor, writer, Honorary Member of the Council of State, Special Adviser to the President of the Republic from 1981 to 1991, founder and first President of the European Bank for Reconstruction and Development in London from 1991 to 1993, Jacques Attali (www.attali.com) is c
Slide 39: Vice Admiral Dennis V. McGinn, Ret.
Vice Admiral Dennis V. McGinn, Ret. Advisor Vice Admiral Dennis V. McGinn, Ret. served as as Assistant Secretary of the Navy for Energy, Installations and Environment from September 2013 until January 2017. In this role, Vice Admiral McGinn, Ret., led the transformation of naval installations toward
Slide 40: Rick Ledgett
Rick Ledgett Advisor Rick Ledgett began his NSA career in 1988 and has served in operational, management, and technical leadership positions at the branch, division, office, and group levels. Mr. Ledgett served as the 15th Deputy Director of the National Security Agency. From 2012 to 2013 he was the
Slide 41: Franck Cohen
Franck Cohen Advisor Franck Cohen previously served as President of EMEA and led the Digital Core & Industry Solutions for SAP. Cohen is a global leader in using the cloud to transform ERP, known for taking radical approaches to business processes. He is an innovative Enterprise software executive w
Slide 42: George Mathew
George Mathew Advisor George Mathew serves as Managing Director at Insight Partners. He focuses on venture stage investments in AI, ML, Analytics, and Data companies as they are establishing product/market Fit. He brings 20+ years of experience developing high-growth technology startups including mo
Slide 43: Expanded Enterprise AI Branding Campaign
Expanded Enterprise AI Branding Campaign Significant cable TV and radio presence in the U.S and EMEA, with spots running on the major business and financial networks 43 © 2021 C3.ai Inc. All Rights Reserved.
Slide 44: Highest Rated Cloud Computing Companies to Work For During the Covid Crisis
Highest Rated Cloud Computing Companies to Work For During the Covid Crisis Based on Glassdoor ratings/reviews 44 © 2021 C3.ai Inc. All Rights Reserved.
Slide 45: C3 AI Continues to Attract Massive Interest from the Global Talent Pool
C3 AI Continues to Attract Massive Interest from the Global Talent Pool 17,311 job applicants in the quarter 3,966 interviews 1,777 candidates 694 assessments administered 60 full-time employees hired and processed 57 accepted job offers 45 © 2021 C3.ai Inc. All Rights Reserved.
Slide 46: Q3 FY21 Financial Performance
Q3 FY21 Financial Performance 46 © 2021 C3.ai Inc. All Rights Reserved.
Slide 47: Quarterly Total Revenue: FY19 to FY21-Q3
Quarterly Total Revenue: FY19 to FY21-Q3 Second largest sequential growth in company history +19% sequential growth $ in Millions $49 $41 $42 $40 $41 $39 $35 $24 $24 $22 $22 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 FY19 FY20 FY21 Note: Fiscal year ends April 30. Numbers are rounded for presentation purposes
Slide 48: Total Revenue Mix
Total Revenue Mix Subscription revenue mix improves by three points $ in Millions $49.1 $41.3 % of Total Revenue % of Total Revenue $42.7 87% Subscription 84% Revenue $34.6 Professional Services Revenue $6.7 16% $6.4 13% FY20-Q3 FY21-Q3 Note: Numbers are rounded for presentation purposes. 48 © 2021
Slide 49: Non-GAAP Total Gross Margin
Non-GAAP Total Gross Margin Subscription revenue driving two points of margin expansion 74% 76% FY20-Q3 FY21-Q3 Note: Non-GAAP total gross margin, is a non-GAAP financial measure. Refer to the Appendix for reconciliations of this non-GAAP financial measure to the most directly comparable GAAP measur
Slide 50: Non-GAAP Operating Expenses
Non-GAAP Operating Expenses Thoughtfully investing to capture the Enterprise AI market opportunity Non-GAAP Operating Non-GAAP Operating Expenses Expenses as a % of Revenue $ in Millions $49.2 100% 94% Sales and Marketing $38.9 Research and Development $25.7 52% General and Administrative 55% $22.5
Slide 51: Non-GAAP Operating Income and Margin
Non-GAAP Operating Income and Margin Substantial investment largely offset by Growth and Gross Margin Expansion $ in Millions Non-GAAP Operating Income Non-GAAP Operating Margin FY20-Q3 FY21-Q3 FY20-Q3 FY21-Q3 $ in Millions -$8.4 -20% -24% -$11.9 Note: Non-GAAP operating income and non-GAAP operatin
Slide 52: Appendix
Appendix 52 © 2021 C3.ai Inc. All Rights Reserved.
Slide 53: Income Statement
Income Statement Three Months Ended July 31, 2019 October 31, 2019 January 31, 2020 April 30, 2020 July 31, 2020 October 31, 2020 January 31, 2021 (in thousands) Revenue Subscription $ 30,976 $ 33,022 $ 34,629 $ 36,767 $ 35,695 $ 35,854 $ 42,699 Professional services 3,914 5,853 6,654 4,851 4,788 5,
Slide 54: GAAP to Non-GAAP Reconciliations
GAAP to Non-GAAP Reconciliations Three Months Ended July 31, 2019 October 31, 2019 January 31, 2020 April 30, 2020 July 31, 2020 October 31, 2020 January 31, 2021 (in thousands) Subscription revenue $ 30,976 $ 33,022 $ 34,629 $ 36,767 $ 35,695 $ 35,854 $ 42,699 Professional services revenue 3,914 5,
Slide 55: Ss C3.al
Ss C3.al