Dye & Durham Ltd. · TSX:DND
Dye & Durham — Q2 FY2024 Earnings Presentation
18 slides from Dye & Durham's earnings presentation, Feb 13, 2024
Slide 1: Q2 FY2024 Results Presentation
Q2 FY2024 RESULTS PRESENTATION February 13, 2024 When being certain is everything dyedurham.com dyedurham.com
Slide 2: Disclaimer
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DISCLAIMER This presentation has been prepared for informational purposes only. These materials are not, and in no circumstances are they to be construed as, a prospectus, an o
Slide 3: Disclaimer (Cont'd)
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DISCLAIMER (CONT’D) Many of these risks are beyond the Company’s control. If any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions under
Slide 4: Your Legal Practice, Made Perfect
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx YOUR LEGAL PRACTICE, MADE PERFECT Our mission-critical software gets business done right, every time. We provide premier practice management solutions and vital data insights s
Slide 5: Dye & Durham at a Glance
DYE & DURHAM AT A GLANCE Dye & Durham is a leading provider of software solutions to law firms globally (Practice Management and Data & Insights Software) Additionally, the company provides payments infrastructure technology and services to financial institutions in both Canada and Australia $455 mm
Slide 6: Attractive and Growing Legal Technology Market
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx ATTRACTIVE AND GROWING LEGAL TECHNOLOGY MARKET Law Firms in Key Addressable Markets Global Legal Technology Spend ($US billions) 2030 Current Markets ~72,000 ~$46B TAM USA ~425
Slide 7: Offering Aligns with Fastest Growing Segments in Legal Tech
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DYE & DURHAM’S OFFERING ALIGNS WITH THE FASTEST GROWING SEGMENTS IN LEGAL TECH Top Growth Segments for Legal Tech Spend CAGR % (2023-2030) Dye & Durham Core Low Medium High Sof
Slide 8: Dye & Durham Leads the Market in Cutting-Edge Legal Software
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DYE & DURHAM LEADS THE MARKET IN CUTTING-EDGE LEGAL SOFTWARE • Dye & Durham is one of the world’s largest providers of legal software designed to make managing a law firm, orga
Slide 9: Banking Technology Business Provides Critical Software and Services
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx OUR BANKING TECHNOLOGY BUSINESS PROVIDES CRITICAL SOFTWARE AND SERVICES TO ENABLE THE TRANSACTIONS THAT POWER THE ECONOMY • Serves financial institutions across Canada and Aust
Slide 10: Historical Experience
HISTORICAL EXPERIENCE Disjointed Customer Experience • Multiple individual solutions - no single destination Application 1 Onboarding • Our customers recognize only our individual acquired Application 2 Practice Mgmt. brands – not Dye & Durham Application 3 Accounting • Inconsistent user experien
Slide 11: Unity Global Platform
LEGAL SOFTWARE: UNITY® GLOBAL PLATFORM UNITY® EVERYTHING YOU NEED TO RUN YOUR LEGAL PRACTICE, ALL IN ONE PLACE. From intake to invoice, and everything in between. A SINGLE DESTINATION FOR LAW FIRMS Bringing together multiple legal solutions – that saves time, provides operational & cost efficiencies
Slide 12: Growth in Annual Contracted Revenue
GROWTH IN ANNUAL CONTRACTED REVENUE • Growth in contracted revenue has been driven by a dedicated organic sales effort and some small tuck-in acquisitions Annualized Contractual Revenue1,2,3 (C$ mm) ARR Other Revenue Under Contract % of Contracted Revenue 49% 46% 37% 39% $198.1 $203.2 $166.0 16% 13%
Slide 13: Leading Among Public Software Companies, Lagging Valuation
LEADING AMONG PUBLIC SOFTWARE COMPANIES, LAGGING VALUATION When viewed relative to all publicly traded North American software companies with Adj. EBITDA 1 of greater than $200 million, Dye & Durham’s valuation multiple ranks 48 out of 51 companies, despite being top quartile on revenue growth + Adj
Slide 14: Quarterly Financial Performance
QUARTERLY FINANCIAL PERFORMANCE Dye & Durham continues to effectively navigate the current high interest rate environment, delivering stable financial performance Revenue (C$ mm) Adjusted EBITDA1 (C$ mm) Note: All figures in CAD unless otherwise noted 1. Adjusted EBITDA and Adjusted EBITDA margin ar
Slide 15: Annual Financial Performance
ANNUAL FINANCIAL PERFORMANCE Dye & Durham has scaled significantly over the last many years, with a revenue CAGR of 61% from FY18 to LTM Q2 FY24 Revenue ($ mm) Adjusted EBITDA1 ($ mm) 475 451 455 400 70% 59% 60% 350 56% 56% 56% 54% 55% 60% 300 267 50% 244 250 250 40% 209 200 30% 150 116 20% 100 66 3
Slide 16: Strong Track Record of Executing and Integrating Acquisitions
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx STRONG TRACK RECORD OF EXECUTING AND INTEGRATING ACQUISITIONS Since our IPO in July 2020, D&D has deployed a total of ~$2.0 billion on acquisitions across Canada, UK, Ireland,
Slide 17: Appendix
APPENDIX When being certain iseverything is everything Strictly private and andconfidential confidential for discussion discussion purposes purposes only only / 1717
Slide 18: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION Net Income to Adjusted EBITDA (C$ 000’s) Three months ended December 31, Twelve months ended June 30, 2023 2022 2023 2022 Income (loss) for the period $(34,759) $(34,818) $(170,643) $7,841 Amortization and depreciation $41,453 $39,041 $151,129 $132,932 Finance costs, n