Macquarie Technology Group Limited · ASX:MAQ
Macquarie Technology — Macquarie Telecom Group — H1 2011 Earnings Presentation
31 slides from Macquarie Technology's earnings presentation, Feb 24, 2011
Slide 1: Half Year Results 2011
For personal use only Macquarie Telecom Group Ltd Half Year Results 2011 David Tudehope & Michael Simmonds 24 February 2011
Slide 2: Strategic objective
Strategic objective For personal use only To be the leading provider of hosting and telco services to Australian business and government customers through the delivery of operational and service excellence. 2
Slide 3: Macquarie Telecom at a glance
Macquarie Telecom at a glance Macquarie Telecom delivers a range of Hosting and Telco services specifically to the For personal use only business and government market ! "# ! $ ! $ ! $ ! % ! ! ! 3
Slide 4: Market leaders in high-growth industry
Market leaders in high-growth industry # For personal use only 1 • • Established, leadership position & & & * & ' ( ! ) * – [26] year heritage, ASX-listed since 1999 – X customers,• Y employees – Industry vision & leadership, !track-record ! of execution • + ! ! Outstanding market • , ), ! opportuni
Slide 5: 1. Key highlights
For personal use only 1. Key highlights 7 8 / 0 1 ! 2 ' 3 $ 4 56 5
Slide 6: For personal use only
8 For personal use only 9 0 : +)" ; < =/> 1 2?@ : +)" < =7/ / 7>2@ : , # < =A B 7>/@ : +#'< => 24 7>>@ : 0 $ 7> : & % =23 2 * Excludes results from discontinued operations 9 : " =4> , . : - + & ' & : % C) 6
Slide 7: For personal use only
For personal use only 3 1 2 ' 7 8 4 56 / 00 $ ! 7
Slide 8: For personal use only
+ For personal use only D+ E = 7 7> 7 77 & . . 77A 2 773 ? D1 >@ E 118.3 119.4 116.6 115.8 +)" ; 71 B /> 1 2? 2@ +)" 4 > 7/ / 7>1 B@ ,# 2 ? A B 7>7 4@ +#' D E /1 / 24 3 7>> 2@ 2H09 1H10 2H10 1H11 +)" ; = ,# = 20.3 9.7 15.3 13.7 11.7 5 .6 4.8 3 .2 2H09 1H10 2H10 1H11 2 H09 1H1 0 2 H10 1H1 1 8
Slide 9: For personal use only
' ! For personal use only = 7 7> 7 77 ! & ! 71 1 7B 4 & ! " // D7A ?E 18.0 & ! 0 D> 3E D? 4E 15.0 , " FD; E & 73 > D7> AE 12.0 & 6 & +% 13 1 34 1 9.0 & & 6 & +% 3> 1 23 2 6.0 3.0 - 2H09 1H10 2H10 1H11 $m 15.25 13.29 15.63 17.56 9
Slide 10: For personal use only
) For personal use only = 7 7> 7 77 : & =23 2 & % 3> 1 23 2 8 ; 6 * "# 7A A 74 A : 0 $ 7> 13 2 2? 7 : ' ! $ 7>3 B 77> 2 & 12 A 1/ 3 : ' ) ' ! ' - ; 7> > > ! - 41 B 1 - 2/ / 1A B +% 41 3 B> B 10
Slide 11: Revenue growth in Hosting continues
Revenue growth in Hosting continues (Excludes revenue from discontinued operation) For personal use only : /B /@ 30 =/4 7 25 ! 7 77 20 : ! A 1@ $m 15 G 10 5 - : ! 1 >@ Hosting ! ! ! ! ! ! ! ! 11
Slide 12: Gross margin grows, Opex is stable
Gross margin grows Opex is stable For personal use only (Excludes results from discontinued operation) 8 ! = @ @ 70.0 60.0% 60.0 80.0% 78.0% 60.0 50.0% 50.0 76.0% 50.0 74.0% 40.0% 40.0 72.0% 40.0 30.0% 30.0 70.0% 30.0 68.0% 20.0% 20.0 20.0 66.0% 64.0% 10.0% 10.0 10.0 62.0% - 0.0% - 60.0% 2H09 1H10 2
Slide 13: EBITDA grows
EBITDA grows (Excludes results from discontinued operation) For personal use only • EBITDA profit of $20.3 million up 48% 16 on pcp • Hosting EBITDA up 23.8% on pcp to 11 $7.7 million $m • Telco EBITDA up 48.9% on pcp to 6 $15.8 million • Redirection of existing resources from 1 Telco to support gro
Slide 14: For personal use only
+)" ; @ . D+ E For personal use only 50% : +)" ; @ 40% : 30% ! ! 20% : @ $ 10% 0% ! / 77 Telco Hosting Total : 7 77 +)" ; @ - - - =7 3 - - - - - - - - - 14
Slide 15: For personal use only
+)" ; 6 +)" ! D+ E For personal use only EBITDA: 48% Increase EBIT: 104% Increase 20.3 20 12.2 12 15.3 15 13.7 9 11.7 7.2 $m $m 10 6.0 6 4.3 5 3 - - 2H09 1H10 2H10 1H11 2H09 1H10 2H10 1H11 15
Slide 16: Agenda
Agenda For personal use only 7 8 / 0 1 ' $ ! 2 ' 3 $ 4 56 16
Slide 17: Hosting review
Hosting review For personal use only Summary Revenue % EBITDA % • Launch of Australian Enterprise Managed Cloud offering to Hosting challenge global cloud vendors • Service eliminates data residency, latency, regulatory and 23% customer service cloud concerns and is a global first allowing 33% compa
Slide 18: For personal use only
8 ! $ For personal use only " 8 ! & 8 ; % />>A />72 ! ! /> ! 1A@ & G =C '73> />72 D , ! $ " DG, "E 0 $ K E />>A />72 8 & * H) />7/ />@ ! ! H& " ' " I I 8 9 # J 8 5 & />7> " ' * />77 18
Slide 19: For personal use only
& & For personal use only Software as a Service Platform as a Service Infrastructure as a Service 19
Slide 20: For personal use only
& & For personal use only $ " " User ( % & $ ! " " Developer % & '$ Developer / )IT' " " Team ! %' & 20
Slide 21: For personal use only
% ! " '& $ For personal use only + & ' & & L & L + & $ ' 6 ; + & L & L " K 21
Slide 22: For personal use only
% ! " ' & ' For personal use only + & ' & . ' ' # 7) ' & & ) & F& ; ; " M ; " ! * , 6 * * 22
Slide 23: Telco (Data, Voice & Mobiles) review
Telco (Data, Voice & Mobiles) review For personal use only Summary Revenue % EBITDA % • Telco revenue down 9.3% primarily due to reduction in Voice as Telco price competition and fixed to mobile and data substitution continues • Strict cost control and automation improve margins and EBITDA • Strong
Slide 24: For personal use only
, ) , ! $ For personal use only , ), $ % ! ! : % $ ! ! ! , ), F ! $ % ! $ ! % : , ), F' ! N $ ! D8 J 8 ' />>AE : % 7? : ' ! ! ! ! : % ! $ : % ! $ 24
Slide 25: Agenda
Agenda For personal use only 1. Group highlights 2. Financial performance 3. Operation and division review 2 Strategy 4. ' and outlook 5. Outlook 6. Q&A 25
Slide 26: Key Strategic Initiatives – FY2011
Key Strategic Initiatives – FY2011 For personal use only • ; # • # ' • + & 0M77 ! • " 6 6 • - + & ' & & • $ ! & & O % C )H • ' ! % & • % 26
Slide 27: Agenda
Agenda For personal use only 1. Group highlights 2. Financial performance 3. Operation and division review 4. Strategy 3 $ 6. Q&A 27
Slide 28: Positive FY11 Outlook
Positive FY11 Outlook For personal use only : +)" ; # />77 ! =1B =1A : & />77 ! , . =7? =/> : # , . =7> ? ; />7> : # , . ! =2A % =1> />77 28
Slide 29: Questions
Half Year Results 2011 For personal use only Questions
Slide 30: Half Year Results 2011
For personal use only Macquarie Telecom Group Ltd Half Year Results 2011 David Tudehope & Michael Simmonds 24 February 2011
Slide 31: Disclaimer
Disclaimer For personal use only , ! ! $ ! % 8 - ( $ ! % 8 - 0 ! $ $ ! $ ! $ ) % 8 - ! !
Macquarie Telecom Group — H1 2011 Earnings Presentation on 6ix