Cerillion Plc · LSE:CER

Cerillion — H1 2025 Earnings Presentation

25 slides from Cerillion's earnings presentation, May 19, 2025

  1. Slide 1: Cerillion plc Interim Results for the half-year to 31 March 2025

    Cerillion plc Interim Results for the half-year to 31 March 2025 19 May 2025 1

  2. Slide 2: Presentation Team

    PRESENTATION TEAM Louis Hall Andrew Dickson Founder & CEO CFO ▪ Led the MBO of the original business ▪ Joined in 2022 from Logica plc in 1999 and the IPO of Cerillion in 2016. ▪ Over 20 years’ experience; early career at Deloitte LLP. ▪ Over 30 years’ experience in the software industry ▪ Previously

  3. Slide 3: Key Highlights

    KEY HIGHLIGHTS For the six months to 31 March 2025 > Group continued to trade well - Major new customer win; $11.4m contract with a national telecoms provider in Armenia - £5.4m term renewal agreed with a European customer - Another European customer to use Cerillion to support migration of a newly

  4. Slide 4: Operations

    OPERATIONS > Major new implementations progressed with - Virgin Media Ireland initial delivery phases completed Major Transformation Project customer migration commencing in July - Major provider of connectivity solutions in Southern Africa “After the extensive selection process our evaluation team

  5. Slide 5: Cerillion at a Glance

    CERILLION AT A GLANCE Mission critical BSS/OSS1 software for the global telecoms market 1. Business Support Systems / Operations Support Systems H1 2025 REVENUE c.75 customer installations across c.45 countries £20.9m (H1 2024: £22.5m) H1 2025 ADJ PBT £9.3m (H1 2024: £10.5m) c. 365 staff UK c. 120 I

  6. Slide 6: BSS/OSS - Monetising Network Infrastructure

    BSS/OSS - MONETISING NETWORK INFRASTRUCTURE Business Support Operations Support Systems (BSS) Systems (OSS) Digital Engagement Planning Product Offerings Capacity Management Infrastructure Customers Sales Service Connection Network Work-flow Work-flow Customer Care Balance Management Billing Chargin

  7. Slide 7: Cerillion Product Suite

    CERILLION PRODUCT SUITE PRODUCT Dealer Portal INTEGRATION DOMAIN DOMAIN DOMAIN • Dealer Sales SALES CRM Plus Self Service • Omni-channel • Online Sales Mobile App • Lead & Opportunity Mgt • Account Management • Android / iOS Apps • Catalogue Management • Configure-Price-Quote (CPQ) • Service Managem

  8. Slide 8: Product Solution Delivery Model

    PRODUCT SOLUTION DELIVERY MODEL Software-as-a-Service MANAGED Pre-integrated BSS/OSS modules SERVICE SUPPORT Common product for all customers LICENSE End-to-end or modular delivery MODULAR PRIVATE CLOUD PUBLIC CLOUD ENTERPRISE Large transformation projects PRODUCT SUITE Cloud or on-premise deploymen

  9. Slide 9: Global Customer Base

    GLOBAL CUSTOMER BASE 16-May-25 Commercial-In-Confidence Diverse customer base across c.45 countries 9

  10. Slide 10: BSS/OSS Market Size

    BSS/OSS MARKET SIZE BSS/OSS Market Size 80.00 70.00 60.00 “CSPs’ spending on OSS/ 50.00 BSS software and services will grow at CAGR of 3.5% USD bn 40.00 30.00 between 2021 and 2027 20.00 to exceed USD 70 billion” 10.00 0.00 2021 2022 2023 2024 2025 2026 2027 Year 10 Source: https://www.analysysmason

  11. Slide 11: Barriers to Entry

    BARRIERS TO ENTRY 20+ years R&D Access to the for a full suite right resources solution Investment Expertise BSS/OSS is A continually mission-critical moving target software Credibility Market Evolution 11

  12. Slide 12: Competitive Landscape

    COMPETITIVE LANDSCAPE Large ISVs1 Equipment Vendors Small ISVs1 SaaS/Best-of-Breed Independent Analysis OUR DIFFERENTIATORS OUR DIFFERENTIATORS OUR DIFFERENTIATORS OUR DIFFERENTIATORS ▪ Lower TCO2 ▪ Lower TCO2 ▪ Greater breadth/depth ▪ Lower TCO2 ▪ Shorter time-to-market ▪ Shorter time to market ▪ B

  13. Slide 13: Sales Pipelines

    SALES PIPELINES Prospective Customers Existing Customers 261 Unweighted (£m) 1 54 54 56 Unweighted (£m)1 254 51 212 172 32 131 28 120 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 Prospective Customers Existing Customers Weighted (£m) 1 55 Weighted (£m) 1 23 53 19 42 16 35 13 14 28 24

  14. Slide 14: H1 2025 KPIs

    H1 2025 KPIs Revenue (£m) Adj PBT1 (£m) 10.5 Adj EBITDA margin4 (%) 22.5 9.2 9.3 20.5 20.9 47.7 6.3 44.9 48.9 48.9 16.1 37.6 12.8 3.8 10.2 26.6 1.7 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 2020 2021 2022 2023 2024 2025 Recurring revenue2 (£m) Back-order Book3 (£m) New orders £m 56

  15. Slide 15: H1 2025 Financial Highlights (Unaudited)

    H1 2025 FINANCIAL HIGHLIGHTS (UNAUDITED) £m H1 2025 H1 2024 Orders 19.6 20.2 ▪ Back-order book up 7% and up 23% as at 30 April 2025 Back-order book1 50.2 47.1 to £56.5m Total revenue 20.9 22.5 ▪ High margins achieved despite lower Software revenue, Software2 9.6 13.2 reflecting improved operational

  16. Slide 16: Cash Generation

    CASH GENERATION £m H1 2025 H1 2024 Adj. EBITDA 10.0 11.0 ▪ Free cash flow used to fund payment of dividends, leases and employee incentive Decrease/(increase) in working capital (0.9) (3.9) shares Cash generated from operations 9.1 7.1 ▪ Company continued to generate strong cash Capitalisation of de

  17. Slide 17: Summary Consolidated Income Statement

    SUMMARY CONSOLIDATED INCOME STATEMENT Unaudited Unaudited £’000 H1 2025 H1 2024 Total revenue 20,915 22,516 ▪ Continued investment in R&D with c. 8,000 days worked in H1 25, an increase of over 30% Cost of sales (4,060) (4,421) Gross profit 16,855 18,095 ▪ Opex broadly flat despite higher headcount

  18. Slide 18: Summary Consolidated Balance Sheet

    SUMMARY CONSOLIDATED BALANCE SHEET Unaudited Unaudited £’000 Consolidated H1 2025 H1 2024 Non-current assets Goodwill 2,053 2,053 ▪ Balance sheet remains very strong with net cash of Other intangible assets 2,969 2,428 £31.2m Property, plant and equipment 552 578 Right of use assets 3,192 1,999 Othe

  19. Slide 19: Summary and Outlook

    SUMMARY AND OUTLOOK > H1 results reflect the weighting of expected licence extensions/renewals shifting to H2 Net cash (£m) 31.2 26.6 > Post-period end new orders have increased back-order to £56.5m as at 30 April 23.6 16.5 > New customer pipeline is strong and includes large contract opportunities

  20. Slide 20: Supplementary Information

    Supplementary Information 20

  21. Slide 21: Board of Directors

    BOARD OF DIRECTORS Alan Howarth Louis Hall Andrew Dickson Guy O’Connor Mike Dee Chairman CEO CFO Non-executive Director Non-executive Director Alan Howarth has extensive Louis Hall is the CEO and Andrew joined Cerillion as Guy is a co-founder of Mike Dee served as CEO of senior executive experience

  22. Slide 22: Major Shareholders

    MAJOR SHAREHOLDERS1 As at 17 April 2025 MAJOR SHAREHOLDERS % MAJOR SHAREHOLDERS % Louis Hall 30.47 Evelyn Partners (Retail) 1.23 Gresham House Asset Management 8.72 Herald Investment Management 1.03 Rathbone Investment Management 7.80 Zeus Capital 1.00 Canaccord Genuity Wealth Management (EO) 4.96 G

  23. Slide 23: Capital Allocation Policy

    CAPITAL ALLOCATION POLICY Maximising shareholder returns Organic growth Strategic Other Dividend policy investments considerations Continued Progressive dividend Strategic investments Maintain strong investment to: policy: to support longer term balance sheet to ▪ enhance offering growth support str

  24. Slide 24: Summary Consolidated Cash Flow Statement

    SUMMARY CONSOLIDATED CASH FLOW STATEMENT Unaudited Unaudited H1 2025 H1 2024 Consolidated (£’000) Operating cash flows before movements in working capital 9,975 11,020 (Increase) / decrease in trade and other receivables (1,508) (5,258) Increase / (decrease) in trade and other payables 676 1,318 Cas

  25. Slide 25: Financial Summary

    FINANCIAL SUMMARY Long-Term Track Record (£m) £m 43.8 39.2 32.7 26.1 20.8 20.7 17.4 18.8 18.1 14.8 16.0 13.3 14.0 13.8 10.5 4.6 5.8 2.8 2.9 3.1 3.6 3.9 FY2014 FY2015 FY2016 FY2017 FY 2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenue Adjusted EBITDA 25

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