Slide 1: Fiscal 2011 Unaudited Second Quarter Results
Agilysys, Inc. (Nasdaq: AGYS) Fiscal 2011 Unaudited Second Quarter Results November 4, 2010
Slide 2: Forward looking statements & non-GAAP financial information
Forward looking statements & non-GAAP financial information Forward-Looking Language This presentation contains certain management expectations, which may constitute forward-looking information within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities and Exchang
Slide 3: Q2 review: highlights
Q2 review: highlights Revenue increased 18% from Q2 FY10 to $183.8M Gross margin was 22.2% down from 28.1% in prior year quarter due to vendor rebates, competitive market pricing and a higher proportion of hardware sales SG&A increased $3.4M year-over-year largely due to previously capitalized devel
Slide 4: Q2 review: consolidated results
Q2 review: consolidated results Revenue increased 18%; hardware increased by 21%, software increased by 9% and services increased by 11% Gross margins decreased 590 basis points due to lower vendor rebates, competitive market pricing and a higher proportion of hardware sales SG&A, excluding depr. &
Slide 5: Hospitality (HSG)
Q2 review: Hospitality ("HSG") Revenue decreased 12% from prior year due to lower hardware and software volumes Gross margin decreased primarily due to lower proprietary software sales SG&A, excluding depr. & amort., increased by $1.7M Guest360TM costs of $1.0M were expensed compared with prior year
Slide 6: Retail (RSG)
Q2 review: Retail ("RSG") Revenue increased 23% - hardware and services increased 34% and 17%, respectively Gross margin contracted due to higher proportion of hardware SG&A, excl. depr. & amort., increased by $0.7M Adjusted EBITDA increased $0.2M on higher revenue partially offset by lower gross ma
Slide 7: Technology (TSG)
Q2 review: Technology ("TSG") Revenue grew 23% - hardware, software and services grew 23%, 26%, and 15%, respectively Gross margin contracted in quarter due to lower vendor rebates and competitive pricing SG&A, excl. depr. & amort., was essentially flat Adjusted EBITDA decreased $1.8M due to revenue
Slide 8: Corporate
Q2 review: Corporate SG&A, excl. depr. & amort., increased $1.4M due primarily to higher severance costs and outside contractor fees related to ERP IT system implementation Adjusted EBITDA loss, excluding charges, increased $1.4M Corporate Segment ($Mil.) Q2 Year-over-Year Commentary
Slide 9: FY11 fiscal-to-date review: consolidated results
FY11 fiscal-to-date ("FTD") review: consolidated results Revenue grew in excess of 10% across all segments Gross margins declined 290 basis points primarily due to competitive selling pressure and lower vendor incentives SG&A, excl. depr. & amort., increased $1.6M Depreciation and amortization decre
Slide 10: FY11 Q2 review: summary balance sheet performance
FY11 Q2 review: summary balance sheet performance Cash at quarter-end was $39.1M Days sales outstanding decreased from 83 days at 6/30/10 to 77 days Capital expenditures were $1.9M for Q2 FY11 compared with $2.5M in Q2 FY10 - majority of Oracle and G360 related expenditures were expensed in Q2 FY11
Slide 11: Rolling twelve-month revenue
Rolling twelve-month revenue HSG Revenue ($Mil.) TSG Revenue ($Mil.) Jun '09 Sep '09 Dec '09 Mar '10 Jun '10 Sep '10 Organic 108 103 106 111 111 116 RSG Revenue ($Mil.) AGYS Consolidated Revenue ($Mil.) Jun '09 Sep '09 Dec '09 Mar '10 Jun '10 Sep '10 Organic 91 91 86 83 90 88 Jun '09 Sep '09 Dec '09
Slide 12: FY11 outlook
FY11 outlook Expect FY11 revenue of $690M to $710M Expect FY11 adjusted EBITDA1 of $7M to $10M Expect cash on hand as of March 31, 2011 to be $60M to $75M Depreciation and amortization is forecast to be $12.5M to $13.0M Stock compensation expense is expected to be approximately $3.5M, which is expen
Slide 13: Fiscal 2011 Unaudited Second Quarter Results
Agilysys, Inc. (Nasdaq: AGYS) Fiscal 2011 Unaudited Second Quarter Results November 4, 2010
Slide 14: Reconciliation of net (loss)/income to adjusted EBITDA
Reconciliation of net (loss)/income to adjusted EBITDA