Senetas Corporation Limited · ASX:SEN

Senetas — FY2021 Earnings Presentation

29 slides from Senetas's earnings presentation, Aug 27, 2021

  1. Slide 1: Senetas Corporation Limited 2021 Full Year Results

    Senetas Corporation Limited 2021 Full Year Results – 27 August 2021 © 2021 Senetas Corporation Slide 1

  2. Slide 2: FY2021 Group Highlights

    FY2021 Group Highlights • Group operating revenue of $23.0 million – up 2% on FY2020 (up 13% on a constant currency basis1) • Underlying operating profit before tax for the Senetas business segment ($3.4 million) was up more than 70% on a constant currency basis1 • With good recent sales wins and a

  3. Slide 3: FY2021 Highlights – Senetas Segment

    FY2021 Highlights – Senetas Segment • Senetas segment operating revenue in line with FY2020 – both product sales and maintenance revenue were similar to the prior period • Operating revenue up 11% on a constant currency basis • Good growth in 100Gbps encryptor sales and across the European and Asia

  4. Slide 4: Votiro Update

    VOTIRO UPDATE © 2021 Senetas Corporation Slide 4

  5. Slide 5: Votiro Opportunity

    Votiro Opportunity • Senetas has invested a total of US$12.1 million in Votiro since late 2018 and has a controlling shareholding of just under 70% • The rise of ransomware attacks is one of the most serious global cybersecurity threats and Votiro’s Secure File Gateway solution is effective at neutr

  6. Slide 6: Votiro Opportunity

    Votiro Opportunity • Over the past 18 months the Votiro business has been restructured with a key focus on sales execution and targeting priority markets • A highly experienced management team has been recruited and a new CEO with strong experience in cybersecurity will be announced in the next few

  7. Slide 7: Votiro Opportunity

    Votiro Opportunity • With ransomware attacks becoming more common and more severe, the success of Votiro’s Secure File Gateway presents a significant growth opportunity • Senetas is excited by the outlook for Votiro and has consequently invested more of its excess capital to support the business and

  8. Slide 8: Key FY2021 Milestones

    Key FY2021 Milestones • Votiro now has over 400 customers globally and has processed over 5 billion documents with 100% efficacy, zero breaches and no latency • Votiro’s Secure File Gateway has recently received certification confirming it is suitable for US Government applications • New relationshi

  9. Slide 9: FY2021 Financials – Votiro

    FY2021 Financials – Votiro • Votiro operating revenue contribution to the consolidated Group is up 13% on the prior period (up 27% on a constant currency basis) • Votiro FY2021 loss before tax of $10.9 million – $4.1 million of which is attributable to the minority interests in Votiro • The loss bef

  10. Slide 10: Votiro Secure File Gateway

    Votiro Secure File Gateway Providing 100% Protection from Weaponized Files

  11. Slide 11: Votiro's vision and mission

    Votiro’s vision and mission A world without successful file-based attacks Votiro is a market leader in Secure File Gateways, securing files and documents by utilizing Positive Selection technology and delivering known-safe content, ready for safe business operations Votiro’s mission is to protect pe

  12. Slide 12: Votiro is aligned with major cyber market drivers

    Votiro is aligned with major cyber market drivers The cyber threat problem is global and unrelenting ü Stops losses due to Prevents the full The most virulent malware, like ransomware and zero-day, is hidden in files. In addition, content-borne cyber spectrum of the sheer volume of known attacks mea

  13. Slide 13: Votiro's Positive Selection Technology

    Votiro’s Positive Selection Technology Reconstruct to new, In original Ready for safe business Without having to find, known-safe content format operations immediately alter, or remove malware hidden in the original content Operational peace of mind for: Email File Sharing Document Help Desks Enterp

  14. Slide 14: Why Votiro wins

    Why Votiro wins Votiro succeeds where other CDRs providers have not Enhances Productivity Efficiencies Improves business’ ability to Shortens the time to a fully secure collaborate online safely, file from minutes to seconds enhancing productivity Peace of Mind Because It Works; No Exceptions, No ex

  15. Slide 15: Highly differentiated solution

    Highly differentiated solution Phishing CDRs Sandboxes NG Antivirus Awareness No reliance on finding malware No reliance on predictive analysis Delivers fully functional content Delivers known-good content Effective against zero days Sometimes Sometimes Enhances productivity Sometimes 0 High High Me

  16. Slide 16: Technology and channel partners

    Technology and channel partners Technology Ecosystem Partners by Region United States Japan Asia Direct sales force in Established regional Growing reseller early stages of distributor and network developing key partner growing reseller relationships network Key integration Votiro delivers Key integ

  17. Slide 17: 2021/2022 focus

    2021/2022 focus Developing marketing Continuing product Building sales and partnership innovation capabilities opportunities • Machine learning applied • Targeting high value • Expand on major to macro detection government contracts in technology integration • Enhanced cloud/hybrid APAC and US partn

  18. Slide 18: Key Financials

    KEY FINANCIALS © 2021 Senetas Corporation Slide 18

  19. Slide 19: FY2021 Consolidated Senetas Group Financials

    FY2021 Consolidated Senetas Group Financials Full year ended 30 June 2021($000’s) FY2021 FY2020* Revenue from ordinary activities 23,006 22.605 Gross profit 19,578 19,641 Gross Margin % 85% 87% Other income 400 712 Depreciation & amortisation (3,209) (2,828) Share of loss of an associate* - (1,197)

  20. Slide 20: Senetas Operating Segment Results

    Senetas Operating Segment Results Full year ended 30 June 2021($000’s) FY2021 FY2020 Revenue from ordinary activities 19,834 19,790 Gross profit 16,563 16,950 Gross Margin % 84% 84% Other income 576 1,254 Profit before tax 3,376 3,269 Adjustments to calculate underlying Senetas segment net profit be

  21. Slide 21: Senetas Operational Update

    SENETAS OPERATIONAL UPDATE © 2021 Senetas Corporation Slide 21

  22. Slide 22: Senetas

    Senetas • Good sales growth in Europe and the Asia Pacific market during FY2021 • US commercial market was soft for most of the year although there were some encouraging signs of a rebound in this segment of the market in recent months • Key sales highlights in FY2021 included: • Senetas’s largest e

  23. Slide 23: R&D and new product development

    R&D R&D and new product development remains at the core of Senetas’s business. The major areas of R&D focus in FY2021 included: • Quantum resistant network encryption solutions • Senetas has now released the first to market quantum resistant encryption capabilities in a single platform on its hardwa

  24. Slide 24: Semiconductor Supply

    Semiconductor Supply • The COVID pandemic and other natural disasters have significantly impacted the global supply of semiconductors. Specific contributing factors have included: • Manufacturing shutdowns during the pandemic combined with increased demand for electronic components driven by the wor

  25. Slide 25: Detailed Financials

    DETAILED FINANCIALS © 2021 Senetas Corporation Slide 25

  26. Slide 26: Operating Revenue

    Operating Revenue REVENUE BY REGION Asia Pacific Europe USA 22,605 23,006 21,313 • Group revenue up 2% 18,971 17,591 10,330 • On a constant currency basis Group revenue 12,596 13,214 was up 13% 10,018 14,910 • Good growth in Europe and Asia Pacific 7,892 6,030 6,083 • Lower commercial sales in North

  27. Slide 27: Cash Flow

    Cash Flow Summary Cash Flow Statement Full year ended 30 June 2021 ($000’s) FY2021 FY2020* Change Receipts from customers 23,342 22,758 3% Tax paid (1,486) (921) (61)% Payments to suppliers & employees (24,971) (21,836) (14)% Operating cash flows (3,067) 170 - Investing cash flows (358) (1,531) 77%

  28. Slide 28: Balance Sheet Remains Strong

    Balance Sheet Remains Strong Summary Balance Sheet Full year ended 30 June 2021 ($000’s) FY2021 FY2020* Change Cash and cash equivalents 11,847 15,711 (25)% Trade and other receivables 4,621 5,483 (21)% Inventories 2,021 2,453 (18)% Goodwill & intangible assets 10,705 14,096 (24)% Total assets 33,09

  29. Slide 29: Disclaimer

    Disclaimer This presentation ("Presentation") has been prepared by Senetas Corporation Limited (“Senetas“ or “the Company”) for the sole purpose of providing general and background information on the Company. Nothing contained in this Presentation is or should be relied upon as a representation as t

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