8common Ltd · ASX:8CO
8common — Marketeye Technology Conference 2019
17 slides from 8common's conference presentation, Nov 6, 2019
Slide 1: 8common (ASX:8CO) Marketeye Technology Conference
For personal use only 8common (ASX:8CO) Marketeye Technology Conference 6 November 2019
Slide 2: Our platform
Our platform 8common solutions deliver For personal use only enterprise grade closed loop 3 complementary fintech platforms financial transaction processing Its flagship Expense8 platform is a Leading end to end travel expense Closed loop Closed loop leading provider of end to end travel management
Slide 3: Growth in user base
Growth in user base • 4x growth between 2016 to 2019 in value of expenses managed For personal use only • $2.9 billion in expenses managed since 2003, $607 million in the last 12 months Platform transactions (m) $700 3.0 $600 $2.9b 2.7 607 2.5 transaction value $500 managed through 2.0 the platform
Slide 4: Our business model
Our business model For personal use only Our platforms manage closed loop financial transactions for our customers Travel and Expense Management (TEM) is our core product offering 8CO is delivering new solutions for our customers CARDHERO Our platforms integrate and reconcile with customers’ payroll
Slide 5: Market opportunities
Market opportunities For personal use only Payment and expense industry Full automation of Instantaneous dynamics are changing driving expense process $ payment opportunities Key macro changes in the industry are focussed upon: Prepaid cards and • Straight through processing automation is 70% Real t
Slide 6: Revenue model
Revenue model For personal use only 8CO generate revenues through: $50k to $500k One-off implementation revenue 1. Implementation revenues • Initial implementation cost of adding our software 2. Monthly recurring revenue Monthly Recurring Revenue $0.25 – $12.00 $500 – $2,500 • Income generated throu
Slide 7: Highlights
Highlights For personal use only Strong corporate footprint and leading position in Government with strong order book 41% 33% 26% Compelling opportunities to leverage PCP revenue lift Increase in cash PCP SaaS revenue existing relationship to upsell products receipts increase and lift ARPU Strong mu
Slide 8: Recurring revenue
Recurring revenue • Q1 FY20 (unaudited) recurring revenue generated from our SaaS technology has grown 26% versus Q1 FY19 For personal use only • October 2019 (unaudited) revenue was $210K • Annualised 12-month recurring revenue equates to ~$2.5 million Quarterly Recurring SaaS Revenue ($000) $600 5
Slide 9: Total revenue growth
Total revenue growth • Total revenue growth of 40% vs Q1 FY19 For personal use only • Implementation revenue up 65% vs Q1 FY19 • First quarter is traditionally a seasonally weak period for implementation revenue as most work is completed before the end of the financial year Quarterly Total Revenue (
Slide 10: Cash receipts
Cash receipts • Three consecutive quarters of positive cashflow For personal use only • Cashflow positively impacted by R&D income • Fourth quarter is a seasonally high cash receipt quarter due to annual payments in advance by specific legacy clients Quarterly cash receipts ($000) $1,600 $1,400 1,51
Slide 11: Organic growth and partnership distribution
Organic growth and partnership Federal Shared Services For personal use only distribution Federal Shared Services Contract delivers considerable growth opportunities +50 $50,000 Access to more than $46 Implementation of Government entities average Revenue under shared services will drive new Federal
Slide 12: Product leverage
Product leverage Leverage existing relationships to introduce other 8CO For personal use only products Travel - Federal Government • Only eight Agencies currently use corporate travel (8k people) • Under shared services potential to add a further +50 agencies and +40k people into travel module Expen
Slide 13: CardHERO Example: National Disability Insurance Scheme
CardHERO Example: National Disability Insurance Scheme Largest provider of not for profit funds in Australia and a perfect potential client for Closed loop fund disbursement platform 8CO given our technology and strong Government relationship For personal use only 1st Client has signed a paid pre-im
Slide 14: PayHERO Example: Government Procurement
PayHERO Example: Government Procurement Federal, NSW & NT Government Annual Procurement Budget and RBA Closed loop payments platform Benchmark Transaction Fee For personal use only Target Use Cases: • Large enterprise procurement marketplaces • Grant disbursement programs Delivering: $80b 30bps $24m
Slide 15: The outlook
The outlook For personal use only 8CO’s industry leading position amongst our foundation partners provides a platform for growth The focus of our business will be to: Grow organic Leverage existing Execute on strategy Expand Develop partner revenue through relationships to to develop pre-paid PayHer
Slide 16: For personal use only
This presentation has been produced by 8common Limited and may contain forward looking statements that are based on Management’s current expectations, beliefs and assumptions and are subject to a number of risks and uncertainties. Forward looking For personal use only statements contained in this pr
Slide 17: Investor Relations
For personal use only Investor Relations Nic Lim Craig Sainsbury Stephanie Ottens Executive Chairman e: craig.sainsbury@marketeye.com.au e: stephanie.ottens@marketeye.com.au e: nic@8common.com 8common 8common Limited (ASX:8CO)