Dye & Durham Ltd. · TSX:DND
Dye & Durham — Q1 2022 Earnings Presentation
19 slides from Dye & Durham's earnings presentation, Nov 8, 2021
Slide 1: Quarterly Results Presentation First Quarter 2022
QUARTERLY RESULTS PRESENTATION FIRST QUARTER 2022 November 8, 2021 When being certain is everything dyedurham.com
Slide 2: Disclaimer
DISCLAIMER This presentation has been prepared for informational purposes only. By accepting delivery of this presentation and/or attending the meeting where this presentation is made, you agree: (1) to keep strictly confidential the contents of this presentation and such other information and not t
Slide 3: Dye & Durham Overview
DYE & DURHAM OVERVIEW • Matt Proud, Chief Executive Officer When being certain is everything Strictly private and confidential for discussion purposes only / 3
Slide 4: Dye & Durham At-a-Glance
DYE & DURHAM AT-A-GLANCE 50,000+ customers Application B ~160% Net Revenue Retention1 $452 million of annualized revenue2 Application A Application C $250 million of annualized Adjusted EBITDA3, 4 50%+ Adjusted EBIDTA margin consistently 120% Q1 Adjusted EBITDA CAGR since Q1 FY 2019 $1
Slide 5: Mission Critical Software for the Legal and Business Community
MISSION CRITICAL SOFTWARE FOR THE LEGAL AND BUSINESS COMMUNITY We created the global leader Legal Specific Regulatory Information Workflow Software and Data When being certain is everything
Slide 6: Executing on Strategy
EXECUTING ON STRATEGY • A strong focus on significantly expanding the value proposition of our software platform as we unite other key parts of the software ecosystem around our customers • Completed two significant acquisitions for an aggerate purchase price of $317.4 million • Significant value cr
Slide 7: Summary Financial Results
SUMMARY FINANCIAL RESULTS • Dye & Durham has its strongest quarter yet, with meaningfully higher YOY and QoQ revenue and Adjusted EBITDA • The Company continues to exhibit world class and industry leading Adjusted EBITDA Margin Q1 FY2022 Results In Millions CAD Actuals Annualized2 Revenue $112.6 $45
Slide 8: A Repeatable Playbook: Acquire, Integrate and Drive Adj. EBITDA
A REPEATABLE PLAYBOOK: ACQUIRE, INTEGRATE AND DRIVE ADJ. EBITDA 39% 398% Adjusted EBITDA Adjusted EBITDA FY 2020 YoY growth Q1 FY 2022 YoY growth $1.9B Debt and equity 13 acquisitions since capital raised 2013 to 2020 Jun 20-Mar 21 $1.7B 11 acquisitions since IPO Capital available for growth Nov 202
Slide 9: Track Record of Delivering on Synergies
TRACK RECORD OF DELIVERING ON SYNERGIES Adjusted EBITDA Growth Since IPO Post-synergistic Performance on (C$ millions) Capital Deployed since IPO (C$ millions) 14.9x $133 $249 from 1,200 15x 15 1,000 $1.1B capital deployed 800 since IPO 5.4x down to $76 600 10x 10 400 5.4x 15 months ~ $40 post syner
Slide 10: Illustrative Adjusted EBITDA Expansion Over Time
ILLUSTRATIVE ADJUSTED EBITDA EXPANSION OVER TIME • $1.7B of cash on hand for acquisitions1, well capitalized to advance its "Build to a Billion" objective ADJUSTED EBITDA CAPACITY (C$ millions) • The Company has a repeatable process established to monitor, assess, execute and integrate acquisitions
Slide 11: When being certain is everything
When being certain is everything 08/11/2021 / Strictly private and confidential for discussion purposes only / 11
Slide 12: Financial Review
FINANCIAL REVIEW • Avjit Kamboj, Chief Financial Officer When being certain is everything Strictly private and confidential for discussion purposes only / 12
Slide 13: Q1 FY2022 Highlights
Q1 FY2022 HIGHLIGHTS $112.6 Million $62.4 Million $22.1 Million Revenue Adj. EBITDA Net Income 55% 414% 398% Adjusted Y-o-Y Revenue Y-o-Y Adjusted EBITDA Margin Growth1 EBITDA Growth1 1. 3-months ended September 30, 2021 vs 3-months ended September 30, 2020 When being certain is everything Strictly
Slide 14: Key Financial Metrics
KEY FINANCIAL METRICS Q1 FY2022 Results vs. Comparative Periods In Millions CAD Q1 FY2022 Q1 FY2021 YOY Change ($) Q4 FY2021 QOQ Change ($) Revenue $112.6 $21.9 $90.7 $84.4 $28.2 Direct Costs $15.6 $2.4 $13.2 $12.1 $3.5 Expenses1 $34.6 $7.0 $27.6 $23.2 $11.4 Adjusted EBITDA $62.4 $12.5 $49.9 $49.1 $
Slide 15: A Track Record of Strong and Resilient Growth
A TRACK RECORD OF STRONG AND RESILIENT GROWTH Quarterly Adjusted EBITDA Growth Annual Adjusted EBITDA Growth (C$ millions) (C$ millions) 249.2 62.4 220.0 49.1 37.6 116.4 17.1 12.5 36.7 26.4 Q1 FY2021 Q2 FY2021 Q2 FY2021 Q4 FY2021 Q1 FY2022 FY2019A FY2020A FY2021A FY2021 (pro Q1 FY2022 forma) Annuliz
Slide 16: Illustrative Adjusted EBITDA & Leverage Over Time
ILLUSTRATIVE ADJUSTED EBITDA & LEVERAGE OVER TIME 2.9x 2.9x 3.0x • As we deploy capital and drive Adjusted EBITDA, net debt ratio remains 0.5x Net NetDebt Debt(Excl. (Excl.Converts) Converts)/ /EBITDA Adjusted EBITDA consistent • Digital infrastructure-like cash flows support higher Initial Term Loa
Slide 17: Operational Business Snapshot
OPERATIONAL BUSINESS SNAPSHOT Canada UK & Ireland Australia Scotland Ireland $19.6m $56.3m Revenue 698 $36.7m Revenue Revenue England and Wales Number of Employees Quarter Canada Australia UK & Ireland Total Q1 FY2022 384 359 708 1,451 Q4 FY2021 391 210 372 973 Q3 FY2021 352 233 233 818 Q2 FY2021 17
Slide 18: Effectively Managing Integration
EFFECTIVELY MANAGING INTEGRATION Long-tenured, well-understood, low-risk playbook ESSENTIAL NATURE OF LOW-RISK DEMONSTRATED INTEGRATION PLAYBOOK (select components) DIGITAL INFRASTRUCTURE PLAYBOOK TRACK RECORD OF SUCCESS • Migrate to D&D systems and processes: HR, legal, etc. Deeply embedded custome
Slide 19: When being certain is everything
When being certain is everything 08/11/2021 / Strictly private and confidential for discussion purposes only / 19