Onespan Inc. · NASDAQ:OSPN
Onespan — Investor Day (May 2022)
82 slides from Onespan's investor day presentation, May 17, 2022
Slide 1: OneSpan Investor Day 2022
OneSpan Investor Day 2022 May 17, 2022
Slide 2: Agenda
Agenda Welcome Joe Maxa – VP of Investor Relations The New OneSpan Matthew Moynahan – President and CEO Break Optimizing Go-To-Market Sameer Hajarnis – VP Growth and Transformation Financial Update and Outlook Jan Kees van Gaalen – Interim Chief Financial Officer Break Q&A Management Team Key Takeaw
Slide 3: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements within the meaning of applicable U.S. securities laws, including statements regarding our growth initiatives and market expectations, the potential benefits, performance and functionality of our products and solutions,
Slide 4: OneSpan: The Digital Agreements Company
OneSpan: The Digital Agreements Company Matthew Moynahan President and Chief Executive Officer
Slide 5: Market Megatrends
Market Megatrends DIGITAL GLOBAL/REGIONAL MARKET DIGITAL IDENTITY/ CUSTOMER MOBILITY REMOTE WORK REGULATIONS DRIVERS TRANSFORMATION CREDENTIAL THEFT RELATIONSHIPS &COMPLIANCE Loan Banking & Applications Account & Processing Openings Insurance Enrollment & Wealth Claims Management Money Transfers Pat
Slide 6: Securing the Digital Agreement Process
Securing the Digital Agreement Process Market Requirements VERIFY AUTHENTICATE INTERACT TRANSACT SIGN STORE Where Security Meets Business Process PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 6
Slide 7: Path Forward Determined by Rigorous Strategic Planning
Path Forward Determined by Rigorous Strategic Planning • Lack of clarity of company vision & mission Addressing the • Legacy and fractured organization design Issues • Leadership and accountability at senior levels • Streamlined product portfolio Establishing • Focused go-to-market Priorities • Impr
Slide 8: The New OneSpan Vision and Mission
The New OneSpan Vision and Mission Vision A world of trusted digital interactions and agreements. Mission To accelerate our customers’ digital transformations by enabling secure, compliant and refreshingly easy digital customer agreements and transactions. PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RE
Slide 9: Strengthened Executive Leadership Team – New Office of the CEO
Strengthened Executive Leadership Team – New Office of the CEO - MATT MOYNAHAN JAN KEES VAN GAALEN AJAY KENI TOM AURELIO ERIC HANSON JEFF COLE President & Chief Interim Chief People Chief Marketing Chief Information Chief Technology Officer Executive Officer Chief Financial Officer Officer Officer O
Slide 10: OneSpan Board of Directors – Over Half New in Last Two Years
OneSpan Board of Directors – Over Half New in Last Two Years ALFRED NIETZEL MARC BORODITSKY GARRY CAPERS SARIKA GARG Chairman of the Board Independent Director Independent Director Independent Director 1 Year 3 Years 1 Year 1 Year JEAN HOLLEY MARIANNE JOHNSON MICHAEL MCCONNELL MARC ZENNER Independen
Slide 11: We Have Listened to Your Feedback
We Have Listened to Your Feedback “OneSpan has well-regarded products utilized by a valuable customer base, but consistently poor execution has resulted in failure of growth and share price underperformance.” “Lack of long-term revenue growth OSPN Investor visibility and execution issues over the la
Slide 12: What You Will Hear Today
What You Will Hear Today 1 Progress Significant progress made in our transformation to “OSPN 2.0” 2 Foundation Strong and unique foundation in both cybersecurity and e-signature 3 Enterprise GTM Highly focused enterprise go-to-market model to accelerate growth 4 Clarity New, simplified financial rep
Slide 13: Transforming to Accelerate Growth
AGENDA Transforming to Accelerate Growth • Building on a strong foundation • Differentiated solution strategy to drive growth and profitability • Clear priorities and roadmap PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 13
Slide 14: OneSpan At A Glance
OneSpan At A Glance 850 3,200 100+ $215M $120M 60% 4B 65M Employees Customers Countries Revenue Cash & STI of World’s Authenticated Active Digipass Largest Banks Users / Year Keys as Customers TWO SEGMENTS Digital Identity, e-Signature Auth & Verification PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RES
Slide 15: Strengths We Will Leverage
Strengths We Will Leverage World-class security DNA in identity verification, authentication and transaction signing Deep expertise in end-user experience, cloud workflows, document verification and electronic signing Unique Deep roots and experience in highly regulated Set of global markets Strengt
Slide 16: Trusted Security Partner to Global Blue-Chip Enterprises
Trusted Security Partner to Global Blue-Chip Enterprises Other Financial Banking Insurance Government Healthcare Other Services Canada PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 16
Slide 17: Moving to a More Effective & Efficient Operating Model
Moving to a More Effective & Efficient Operating Model Creating Two Segments1 Advantages (2021 Revenue Breakdown) • Two operating segments reflect more efficient Digital capital deployment Agreements – Digital Agreements to be managed for accelerated 19% growth and market share gains – Security Solu
Slide 18: Transforming to Accelerate Growth
AGENDA Transforming to Accelerate Growth • Building on a strong foundation • Differentiated solution strategy to drive growth and profitability • Clear priorities and roadmap PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 18
Slide 19: Solution Strategy Competitive Differentiators
Solution Strategy Competitive Differentiators 1 Tightly integrated security and digital agreements solutions 2 A modern, cloud-native converged platform 3 Ability to support high-value, high assurance transactions 4 NextGen Digipass device as competitive advantage in high assurance step-up multi-fac
Slide 20: Creating Value By Integrating Our Core Competencies
D I F F E R E N T I ATO R # 1 Creating Value By Integrating Our Core Competencies Cross-Product Innovation Digital Agreements Security Solutions Identity Authenticator Virtual Room E-Signature Transaction Verification Solutions Signing PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 20
Slide 21: Three Pillars of Solution Differentiation
D I F F E R E N T I AT O R # 1 Three Pillars of Solution Differentiation GLOBAL TRUSTED FRICTIONLESS ENABLERS Mobile-First New Cloud Talent Organizational Strategy Platform Strategy Structure & Agility PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 21
Slide 22: Modern Transaction Cloud Platform
D I F F E R E N T I ATO R # 2 Modern Transaction Cloud Platform Modern cloud customer engagement necessitates secure and compliant ONESPAN global workflows pre- and post-authentication ENTERPRISE TRANSACTION CLOUD CUSTOMER VERIFY AUTHENTICATE INTERACT Transaction Bank Wire Qualified Notary Crypto Sm
Slide 23: Cloud Platform Will Deliver Key Advantages
D I F F E R E N T I ATO R # 2 Cloud Platform Will Deliver Key Advantages OSPN Transaction Cloud Platform Elements Advantages A unified SaaS experience for our customers à self-service, automated Superior customer experience Modern, uniform Modern cloud-native Improved scalability & build, test and a
Slide 24: Ability to Support High-Value, High-Assurance Transactions
D I F F E R E N T I ATO R # 3 Ability to Support High-Value, High-Assurance Transactions Internal Use Cases External Use Cases High High Value B2B and B2C Use Cases VALUE Basic E-Signature Uses Cases Low Low Level of Identity High Security PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 24
Slide 25: Ability to Support High-Value, High-Assurance Transactions
D I F F E R E N T I ATO R # 3 Ability to Support High-Value, High-Assurance Transactions Internal Use Cases External Use Cases High Payments Money Insurance Transfers Claims Notarization Retail Processing Account Credit / Lending Insurance Opening Applications Policy New Patient Applications Mortgag
Slide 26: NextGen Digipass Device as a Competitive Advantage
D I F F E R E N T I ATO R # 4 NextGen Digipass Device as a Competitive Advantage One Cloud-Connected Device, Many Services ü Support multiple authentication methods for high assurance transactions ü Self-provisioning and activation at first use ü Standardized form factors for improved margins ü Upda
Slide 27: Superior UX at Every Stage in Cloud Transaction Workflows
D I F F E R E N T I ATO R # 5 Superior UX at Every Stage in Cloud Transaction Workflows Verify Authenticate Interact Transact Sign Store VALUE PROP Prospective Engage & Transact Customer with Verified Customer Improved Security & Authentication Capabilities Optimized Completion Rates / Better CX Mul
Slide 28: Innovation Lab – Staying Ahead of the Curve
D I F F E R E N T I ATO R # 6 Innovation Lab – Staying Ahead of the Curve A standalone, cross-functional team dedicated to rapidly developing compelling new capabilities Activate new company behaviors and ways of working Create new capabilities that enable OSPN to scale, grow, and operate more effic
Slide 29: Transforming to Accelerate Growth
AGENDA Transforming to Accelerate Growth • Building on a strong foundation • Differentiated solution strategy to drive growth and profitability • Clear priorities and roadmap PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 29
Slide 30: Going Forward – Building the New OneSpan
W H AT W I L L B E D I F F E R E N T: Going Forward – Building the New OneSpan OneSpan From: To: Performance Inconsistent Strong, predictable Focus / roadmap Unclear Clear Execution Weak / Ad Hoc Laser focused Leveraging blue chip Minimal Strong client base Reporting Complex Simple, transparent PROP
Slide 31: Key Priorities for Driving Growth
Key Priorities for Driving Growth 1 Improve operational rigor and capital efficiency 2 Streamline, then expand enterprise go-to-market 3 Focus on the customer to fuel cross and up-sell 4 Drive innovation with security as a differentiator 5 Expand across prioritized verticals and geographies PROPRIET
Slide 32: Key Operational Metrics for All Functional Areas
Key Operational Metrics for All Functional Areas Example: OneSpan Transaction Cloud Platform Milestones Internal Demonstrate 1st Tranche All Services Release Readiness 1st set of Platform 1st tranche All services for platform services Platform 1.0 readiness for of platform first release of working t
Slide 33: How We Will Measure Success Over the 3-Year Plan
How We Will Measure Success Over the 3-Year Plan 20%+ 120 %+ 8 -10 % % ARR1 CAGR DBNE2 Adj EBITDA FY’22 – FY’25 (2025) Margin3 (2025) 2022E 2025E See Appendix for definitions 1,2 3Adjusted EBITDA margin is a non-GAAP financial measure. The PROPRIETARY AND Company is not CONFIDENTIAL. ALLproviding a
Slide 34: The New OneSpan – at Inflection Point
IN SUMMARY The New OneSpan – at Inflection Point 1 Building on 2 Differentiated 3 Executing clear a strong solutions to transformation foundation drive growth plan and priorities PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 34
Slide 35: Break
We will return shortly © OneSpan ‘The Digital Agreements Company
Slide 36: Optimizing Our Go-to-Market Strategy
Optimizing Our Go-to-Market Strategy Sameer Hajarnis Vice President Growth and Transformation
Slide 37: Optimizing Our Go-to-Market Strategy
AGENDA Optimizing Our Go-to-Market Strategy • Capitalize on a larger digital agreements market • Streamlined and focused go-to-market • Expanding our routes to market PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 37
Slide 38: Large and Growing Addressable Markets
Large and Growing Addressable Markets Digital Agreements Market 2-3x larger than Digital Agreements market also includes: E-Signature • Virtual room • Remote online notary • Fraud detection E-Signature Market $5.3B $5.3B e-Signature market growing +30% IDV and through 20261 Authentication Market $90
Slide 39: Additional 5% Market Share > 2x Current Revenue
Additional 5% Market Share > 2x Current Revenue $5.3B E-Signature Market Growing at 30% CAGR By Verticals By Geography By Segment MEA BFSI $0.5 N. America Enterprise $1.6 $2.7 LATAM $0.7 $2.65 Other $1.3 $1.1 $2.65 SMB $0.5 APAC $1.4 $0.8 Healthcare / EU Pharma Government Notes: SMB defined as compa
Slide 40: Target Account Strategy Focuses on Unmet Needs
Target Account Strategy Focuses on Unmet Needs EMERGING REGIONAL / ADVANTAGE INCUMBENTS VENDORS NICHE PLAYERS GLOBAL enterprise-grade services OPTIMIZED for regulated industries INTEGRATED digital agreements & identity solutions DEPLOYMENT FLEXIBILITY for high volume, high value transactions HIGH AS
Slide 41: Case Study: Competitive Proof Point
Case Study: Competitive Proof Point Situation Results Customer Contract Revenue for OneSpan and • Top 5 global provider of Human Resources Expansion Opportunities and Temporary Staffing solutions, and a Fortune Global 500 company Multi-year contract (TCV) $1.7M Problem Potential expansion of use cas
Slide 42: Optimizing Our Go-to-Market Strategy
AGENDA Optimizing Our Go-to-Market Strategy • Capitalize on a larger digital agreements market • Streamlined and focused go-to-market • Expanding our routes to market PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 42
Slide 43: Go-to-Market Aligned to Our Ideal Customer Profile
Go-to-Market Aligned to Our Ideal Customer Profile FROM: TO: New logo catch-all Deliberate focused hunting Fundamental Improvements Reactive to Optimizing for emerging market customer needs needs Banking focus Multi-industry Vertical & Geo Focus North America centric Global expansion (e-Signatures)
Slide 44: OneSpan 1000 Program Prioritizes and Targets Growth
OneSpan 1000 Program Prioritizes and Targets Growth Priority Sales Plays for OneSpan 1000 Accounts 1000 Land or Expand Cross-sell Prioritized Accounts Expand with Digipass for E-Signature Mobile • New logo acquisition Virtual Room High Assurance Footprint Security • Install base expansion PROPRIETAR
Slide 45: Disruptive Pricing and Packaging to Drive Share Shift
Disruptive Pricing and Packaging to Drive Share Shift Improved flexibility The Best Price per Value Tailored solutions – modularity in the Industry Multiple pricing models PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 45
Slide 46: Optimizing Our Go-to-Market Strategy
AGENDA Optimizing Our Go-to-Market Strategy • Capitalize on a larger digital agreements market • Streamlined and focused go-to-market • Expanding our routes to market PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 46
Slide 47: Unified GTM Motion with an Enterprise Sales Approach
Unified GTM Motion with an Enterprise Sales Approach CUSTOMER SEGMENTATION BASED ON EMPLOYEE COUNT OSPN SALES FOCUS PARTNER COVERAGE Tiers Efficient Resource Global System Resellers & Platform (Employee Count) Allocation with Sellers Integrators Distributors Partners Large Enterprise NAM 100,000+ En
Slide 48: Key GTM Priorities – OneSpan 2.0
Key GTM Priorities – OneSpan 2.0 1 Targeted brand awareness 2 Focus on new logo growth 3 Share of wallet growth with enterprise customers 4 Expand across prioritized verticals and geographies 5 New routes to market through alliances and partnerships PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED
Slide 49: How We Will Measure Success
How We Will Measure Success New Logos Share of Wallet Renewals Retention New enterprise logo Cross-sell and Track churn Increase Net acquisition and up-sell in existing for improved Dollar Retention from improved Annual accounts renewal rates current levels Contract Value (ACV) PROPRIETARY AND CONFI
Slide 50: Well-Positioned to Win in Growing Digital Agreement Market
IN SUMMARY Well-Positioned to Win in Growing Digital Agreement Market 1 2 1,000 New Logo Acquisition & Up-sell Team Across Integrated Segments – Leading Enterprise Security Differentiates Customers Cross-sell the Globe MUCH GREATER THAN $5B E-SIGNATURE MARKET OPPORTUNITY PROPRIETARY AND CONFIDENTIAL
Slide 51: New Focus & Renewed Growth
New Focus & Renewed Growth Jan Kees van Gaalen Interim Chief Financial Officer
Slide 52: New Focus & Renewed Growth
AGENDA New Focus & Renewed Growth • Realigning for growth • Delivering on our cost savings program • Capital allocation priorities • Outlook and long-term targets PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 52
Slide 53: Our New Financial Paradigm
Our New Financial Paradigm OneSpan Past: Future: Managing the P&L Business model transition Driving profitable growth Revenue disclosures Complex Reported by segment Investments Non-strategic Strategic focus Return cash to $12.5M1 in shares Newly authorized share shareholders repurchased to date rep
Slide 54: Full Year 2021 by New Segments
Full Year 2021 by New Segments 2021 Revenue Mix Focus Digital Agreements • Digital Agreements to be managed for 19% accelerated growth and market share gains • Security Solutions to be managed for more profitable, more modest growth profile 81% • New reporting metrics enable easier tracking Security
Slide 55: Q1 FY22 – A New, Cleaner Presentation
Q1 FY22 – A New, Cleaner Presentation PAST: FUTURE: E-Signature & Security combined Digital Agreements & Security Solutions Segments Revenue Disaggregation ($M) Q1’22 Revenue Disaggregation ($M); Q1’22 Subscription 10.1 Digital Security Total Agreements Solutions Term-based software licenses 13.2 Su
Slide 56: Both Segments Have Grown ARR Over the Last 2 Years
Both Segments Have Grown ARR Over the Last 2 Years Digital Agreements Security Solutions Total Company $131 $85 $88 $125 $43 $81 $119 $40 $76 $112 $36 $38 $70 $73 $104 $108 $34 $35 $66 $96 $63 $90 $29 $59 $84 $28 $25 Growth rate benefitted from perpetual to subscription transition; substantially com
Slide 57: Strong Digital Agreement Revenue Growth Offset by Security Solutions Transition
Strong Digital Agreement Revenue Growth Offset by Security Solutions Transition to Subscription Digital Agreements Security Solutions Total Company $59 $56 $55 $50 $51 $53 $51 $52 $52 $52 $48 $49 $44 $43 $43 $42 $13 $41 $39 $10 $10 $10 $10 $10 $7 $7 $6 Q1'20 Q1'21 Q1'22 Q1'20 Q1'21 Q1'22 Q1'20 Q1'21
Slide 58: New Focus & Renewed Growth
AGENDA New Focus & Renewed Growth • Realigning for growth • Delivering on our cost savings program • Capital allocation priorities • Outlook and long-term targets PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 58
Slide 59: On Track to Deliver Cost Savings Targets for FY 2022
On Track to Deliver Cost Savings Targets for FY 2022 Headcount reductions Decreased leased office spaces > $11 million External spend rationalization Cost reduction expected full year 20221 $2.7 million cost savings realized in Q1 2022 PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 1 December 202
Slide 60: New Focus & Renewed Growth
AGENDA New Focus & Renewed Growth • Realigning for growth • Delivering on our cost savings program • Capital allocation priorities • Outlook and long-term targets PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 60
Slide 61: Capital Allocation Priorities
Capital Allocation Priorities Maintain • $120M in cash, no long-term debt1 1 Strong Balance Sheet • Working capital efficiency • Operating cash flow positive • Invest in rapidly growing Digital Agreements segment 2 Invest for Growth • Return Security Solutions segment to growth Share • New $50 milli
Slide 62: New Focus & Renewed Growth
AGENDA New Focus & Renewed Growth • Realigning for growth • Delivering on our cost savings program • Capital allocation priorities • Outlook and long-term targets PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 62
Slide 63: Higher Margin and Higher Growth Profile Targets
Higher Margin and Higher Growth Profile Targets Revenue Mix 2025E Digital Higher Agreements 35%- 2021 40% Digital Agreements Growth Profile 19% 60%- 65% Security Solutions Security 81% Solutions 67% ~70% Gross Margin PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 63
Slide 64: Targeting 20%+ ARR CAGR Over Our 3-Year Plan
Targeting 20%+ ARR CAGR Over Our 3-Year Plan Total Company ARR CAGR Forecast Segment ARR CAGR Forecast FY 2022 – FY 2025 FY 2022 – FY2025 • Business model transition essentially 20%+ complete; less than $5M new perpetual CAGR software license revenue expected in FY 2022 • Digital Agreements: 30% - 3
Slide 65: Revenue Growth Expected to be Driven by Digital Agreements
Revenue Growth Expected to be Driven by Digital Agreements OneSpan Revenue CAGR Forecast FY 2022 – FY 2025 10%-12% CAGR Digital Agreements: 30% - 35% CAGR Security Solutions: 1% - 3% CAGR FY'21 FY'22E FY'25E PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 65
Slide 66: Key Drivers of Anticipated Revenue Growth, 2022 - 2025
Key Drivers of Anticipated Revenue Growth, 2022 - 2025 Digital Agreements Security Solutions • Highly Focused GTM • Rationalize Investments • Differentiated Solutions • Modernize Digipass Devices • New Logos, Up-Sell & Cross-Sell • New Logos, Up-Sell & Cross-Sell 30% - 35% Target CAGR 1% - 3% Target
Slide 67: 2022 Guidance and Long-Term Targets
2022 Guidance and Long-Term Targets Revenue FY21 Actual FY22 Guidance FY22 – FY25 CAGR Total Revenue $214 M ≥ FY21 Revenue 10% - 12% Digital Agreements $40 M -- 30% - 35% Security Solutions $174 M -- 1% - 3% Profitability Metrics FY21 Actual FY22 Guidance % of Revenue, 2025 Gross Margin 67% -- ~70%
Slide 68: New Focus & Renewed Growth
IN SUMMARY New Focus & Renewed Growth • Moving to 2 reporting segments for easier tracking, strategic focus • Digital Agreements expected to double share of total revenues from current ~20% to ~40% by 2025 • Committed to maintaining strong balance sheet and ensuring efficient operations • Revenue an
Slide 69: Break
We will return shortly © OneSpan ‘The Digital Agreements Company
Slide 70: Q&A
Q&A Joe Maxa Vice President of Investor Relations
Slide 71: Wrap-up
Wrap-up Matthew Moynahan President and Chief Executive Officer
Slide 72: Timeline to Long-Term Growth Targets
Timeline to Long-Term Growth Targets FY 2022E FY 2025E Includes incremental growth investment Implement Accelerating Digital Agreements Growth Strategy 2H • Flat to modest • As the strategic plan unfolds revenue growth PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 72
Slide 73: The New OneSpan – at Inflection Point
IN SUMMARY The New OneSpan – at Inflection Point 1 Building on a strong foundation 2 Differentiated solutions will 3 Executing clear transformation plan drive growth and priorities PROPRIETARY AND CONFIDENTIAL. ALL RIGHTS RESERVED 73
Slide 74: Thank You
Thank You
Slide 75: Appendix
Appendix O OneSpan
Slide 76: Revenue by Major Products and Services
Revenue by Major Products and Services Digital Agreements Three months ended, (in millions, unaudited) March 31 June 30 Sept. 30 Dec. 31 March 31 June 30 Sept. 30 Dec. 31 March 31 2020 2020 2020 2020 2021 2021 2021 2021 2022 Subscription $4.2 $5.0 $5.6 $7.8 $8.2 $7.8 $8.2 $8.9 $11.5 Maintenance and
Slide 77: Revenue by Major Products and Services, continued
Revenue by Major Products and Services, continued Total Company Three months ended, (in millions, unaudited) March 31 June 30 Sept. 30 Dec. 31 March 31 June 30 Sept. 30 Dec. 31 March 31 2020 2020 2020 2020 2021 2021 2021 2021 2022 Subscription $14.9 $11.1 $9.7 $16.6 $16.4 $15.7 $17.8 $18.6 $23.3 Mai
Slide 78: Non-GAAP Reconciliation
Non-GAAP Reconciliation Reconciliation of Net Income to Adjusted EBITDA (in thousands, unaudited) Twelve months ended December 31, 2020 2021 Net income (loss) $ (5,455) $ (30,584) Interest income, net (404) 1 Provision for income taxes 2,035 4,441 Depreciation and amortization / impairment of intang
Slide 79: Definitions
Definitions 1 - ARR is calculated as the annualized value of our customer recurring contracts with a term of at least one-year, as of the measuring date. These include subscription, term-based license, and maintenance contracts and exclude one-time fees. To the extent that we are negotiating a renew
Slide 80: Non-GAAP Financial Measures
Non-GAAP Financial Measures We report financial results in accordance with GAAP. We also evaluate our performance using certain non-GAAP operating metrics, namely Adjusted EBITDA, non-GAAP Net Income and non-GAAP diluted EPS. Our management believes that these measures provide useful supplemental in
Slide 81: Copyright and Trademarks
Copyright and Trademarks Copyright© 2022 OneSpan North America Inc., all rights reserved. OneSpan™, the “O” logo, “BE BOLD. BE SECURE.”™, DIGIPASS® and “The Digital Agreements Company” are registered or unregistered trademarks of OneSpan North America Inc. or its affiliates in the U.S. and other cou
Slide 82: OneSpan
O OneSpan The Digital Agreements Company