Bailador Technology Investments Ltd · ASX:BTI
Bailador Technology Investments — FY2021 Earnings Presentation
30 slides from Bailador Technology Investments's earnings presentation, Aug 17, 2021
Slide 1: Results presentation Financial Year 2021 (FY21)
For personal use only Results presentation Financial Year 2021 (FY21) Bailador Technology Investments Limited (ASX:BTI)
Slide 2: Contents
Contents For personal use only FY21 PORTFOLIO PERFORMANCE PAGE 3 – 16 FY21 SUMMARY FINANCIALS PAGE 17 – 18 FY22 OUTLOOK PAGE 19 – 27 This presentation was authorised for release to the ASX by Helen Plesek, Company Secretary & Chief Financial Officer, on 17 August 2021. 2
Slide 3: Performance highlights for the year ended 30 June 2021 (FY21)
Performance highlights for the year ended 30 June 2021 (FY21) For personal use only PORTFOLIO PERFORMANCE 89% 23% 35% Shareholder Return NTA per share growth1 Portfolio value uplift2 (FY20; -31%) (FY20; -5%) (FY20; -1%) $31m $28m $15m Cash realisations Net Profit After Tax Cash invested3 (FY20; $12m
Slide 4: Executive Summary
Executive Summary The Bailador portfolio entered FY22 in a strong position For personal use only ⇢ Portfolio revenue growth rate was 14% (36% ex-travel investments) and we expect growth to pick up as travel increases PORTFOLIO PERFORMANCE BTI realised investments in three companies – DocsCorp, L
Slide 5: The Bailador portfolio entered FY22 in a strong position
The Bailador portfolio entered FY22 in a strong position For personal use only 10 8 PORTFOLIO PERFORMANCE June 2020 July 2021 investments investments Full cash realisations: New investments: $269m portfolio company revenue1 14% 36% portfolio company portfolio company revenue growth2 revenue growth (
Slide 6: Strong portfolio valuation increase in FY21 driven by third party transactions
Strong portfolio valuation increase in FY21 driven by third party transactions ⇢ Portfolio valuation up 35% before follow-on investments and cash realisations For personal use only Baialdor FY21 Portfolio Valuation Movements PORTFOLIO PERFORMANCE $220m $200m $180m FY21 Valuation Third party Portfoli
Slide 7: Growth in carrying value is conservative compared to portfolio revenue growth
The growth in carrying value of BTI’s investments is conservative in comparison to the revenue growth in the portfolio For personal use only Revenue Carrying Value PORTFOLIO PERFORMANCE Revenue Carrying Value Portfolio revenue has increased by 6.0x… …but BTI has only recognised a value increase of 3
Slide 8: Whilst tech valuations have increased, BTI has maintained a conservative approach
Whilst tech valuations have increased, BTI has maintained a conservative approach For personal use only BTI Portfolio1 PORTFOLIO PERFORMANCE Average peer Wisetech multiple up ASX Listed2 Altium 43% Xero Australian Private Canva4 ⤏ Material upside to Company BTI carrying values Aus SaaS >$500m ⤏ Buil
Slide 9: Bailador has generated strong investor returns
Bailador has generated strong investor returns For personal use only BTI Shareholder Returns1 PORTFOLIO PERFORMANCE 100% 90% 89% 80% 70% 60% 50% 40% 30% 23% 20% Annual Returns2 1-yr 2-yr (pa) 3-yr (pa) 14% NTA (pre-tax) 41.4% 16.6% 17.1% 10% NTA/sh (pre-tax) 23.4% 8.1% 11.3% 0% BTI Shareholders 88.7
Slide 10: Bailador outperformed the technology sector by 49.4% in FY21
Bailador outperformed the technology sector by 49.4% in FY21 Indexed For personal use only 30-Jun-20 = 100 PORTFOLIO PERFORMANCE 240 220 [BTI.ASX] 200 180 49.4% 160 outperformance 140 120 S&P ASX All Technology Index 100 [XTX.ASX] 80 Jun-20 Jul-20 Aug-20 Sep-20 Oct-20 Nov-20 Dec-20 Jan-21 Feb-21 Mar
Slide 11: BTI's UK-based comparables trade at an average 27% premium to NTA/share
BTI’s UK-based comparables trade at an average 27% premium to NTA/share ⇢ A track record of cash realisations higher than carrying value warrants a share price premium to NTA For personal use only Premium/discount to NTA per share PORTFOLIO PERFORMANCE 100% Seven of nine companies trade at a premium
Slide 12: It was a very active FY21 for the Bailador portfolio
It was a very active FY21 for the Bailador portfolio For personal use only 3 2 1 2 PORTFOLIO PERFORMANCE full cash follow-on merger new exits investments investments • 53% uplift to carrying value • $3.8m invested via • Merger with Nosto (Jun-21) • Global AI-powered • 30% IRR on investment convertib
Slide 13: Stackla merged with Nosto in June 2021
Stackla merged with Nosto, a highly complementary international company, in June 2021 ⇢ BTI converted its $11.2m investment in Stackla into an $11.5m investment in the merged Stackla/Nosto entity For personal use only Nosto is a global commerce experience platform that leverages the Key benefits of
Slide 14: Bailador invested $5.5m into digital healthcare platform InstantScripts
In July 2021 Bailador invested $5.5m into digital healthcare platform InstantScripts ⇢ InstantScripts enables Australians to conveniently access high quality doctor care and routine prescription medication For personal use only Business overview InstantScripts investment thesis PORTFOLIO PERFORMANCE
Slide 15: Strong FY21 performance and prospects across the Bailador portfolio
Strong FY21 performance and prospects across the Bailador portfolio Portfolio Sector For personal use only Investment Sector Sector thematics FY21 operational milestones weighting growth PORTFOLIO PERFORMANCE International travel remains patchy • Delivered stable financial performance despite no T
Slide 16: Strong FY21 performance and prospects across the Bailador portfolio (cont.)
Strong FY21 performance and prospects across the Bailador portfolio (cont.) Portfolio Sector For personal use only Investment Sector Sector thematics FY21 operational milestones weighting growth PORTFOLIO PERFORMANCE Demand for digital/streaming media has accelerated • Launched new digital pricing
Slide 17: Summary Profit and Loss
Summary Profit and Loss For the year ended 30 June 2021 For personal use only FY21 SUMMARY FINANCIALS FY20 FY21 $000 $000 Change in value of portfolio assets (1,648) 52,032 Interest income 23 100 Total investment growth (1,625) 52,132 1.75% management fee calculated on pre- Management fee (2,694) (3
Slide 18: Summary Financial Position
Summary Financial Position For personal use only FY21 SUMMARY FINANCIALS 30 June 2020 30 June 2021 Movement Increase in cash following cash realisations $000 $000 $000 of Lendi ($13m, May-21), DocsCorp Cash 4,612 43,542 ($17m, Feb-21) and Viostream ($1m, Jan- 38,930 21), plus $24m equity raising (Ma
Slide 19: Bailador expects FY22 to be a significant year for new investments and profitable realisations
Bailador expects FY22 to be a significant year for new investments and profitable realisations ⇢ The portfolio has been resilient to the COVID disruption and is well positioned to navigate any future COVID headwinds For personal use only ⇢ The team is evaluating numerous opportunities to invest addi
Slide 20: SiteMinder and Instaclustr are considering IPOs on the ASX
SiteMinder and Instaclustr are considering IPOs on the ASX • SiteMinder and Instaclustr are Bailador’s two largest holdings and represent a combined 60% of NTA1 For personal use only • IPO preparation underway including ensuring appropriate governance for a public company FY22 SUMMARY OUTLOOK ⇢ The
Slide 21: SiteMinder
39% O F B T I N TA 4 Revenue For personal use only SiteMinder is the world leader in connecting hotels to FY22 SUMMARY OUTLOOK online distribution channels for accommodation bookings 20.2x • The leading global SaaS hotel demand generation platform – triple the size of nearest competitor and a massiv
Slide 22: Subscription business has materially outperformed other companies in the travel sector
For personal use only Subscription business has materially outperformed other companies in the travel sector FY22 SUMMARY OUTLOOK • Travel Sector Revenue materially down in the last 12 months Travel Sector 12-month Performance1 • Capital markets have looked through that revenue decline to +68% actua
Slide 23: Valuation of comparable SaaS businesses
– Valuation of comparable SaaS businesses For personal use only ($100M+ Revenue, 20%+ Growth, 70%+ Gross margin) Peer Median = 22.0x FY22 SUMMARY OUTLOOK Having passed SiteMinder1 $100m ARR, SiteMinder is Wisetech moving into a different category of comps with ASX Listed Altium higher valuations Xer
Slide 24: Instaclustr
21% O F B T I N TA 1 Revenue For personal use only Instaclustr is an open-source-as-a-service platform for FY22 SUMMARY OUTLOOK complex big data applications 7.9x • Rapid growth in high margin recurring revenue • Sector dynamics becoming appreciated by the market, as evidenced by multiple expansion
Slide 25: Instaclustr's comparables show sector dynamics being appreciated by the market
Instaclustr’s comparables show sector dynamics being appreciated by the market …but not yet factored into BTI’s Instaclustr valuation For personal use only Peer Average = 24.7x FY22 SUMMARY OUTLOOK Instaclustr1 Elastic MongoDB Global Infra Software (Listed) Confluent US Infra Software2 (median) Mega
Slide 26: Bailador has available cash to deploy in high growth technology companies
Bailador has available cash to deploy in high growth technology companies For personal use only Information technology focus FY22 SUMMARY OUTLOOK Private companies $5 - $50m revenue Proven business model Globally addressable markets Minority protections and board representation 26
Slide 27: Bailador integrates ESG principles across the investment cycle
Bailador integrates ESG principles across the investment cycle For personal use only Screening and • Bailador undertakes a high-level assessment of carbon intensity of potential qualification investments FY22 SUMMARY OUTLOOK • Bailador considers high carbon intensity companies (e.g. data centres and
Slide 28: Exposure to expansion-stage technology companies before they are public
For personal use only Bailador provides investors with exposure to expansion-stage technology companies at attractive valuations before they are public Investors get access through an ASX traded share [ASX:BTI] with liquidity available at any time 28
Slide 29: Disclaimer
Disclaimer For personal use only This presentation is confidential and may not be reproduced in whole or in part, or distributed except by Bailador Technology Investments Ltd (“Bailador”) or by authorised representatives of Bailador (“Affiliates”). This presentation does not contain a complete descr
Slide 30: Further Information
For personal use only FURTHER INFORMATION Website: www.bailador.com.au Investor Enquiries: investorservices@bailador.com.au Telephone: +61 2 9223 2344 Bailador Technology Investments Limited (ASX:BTI)
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