Slide 1: Napatech A/S
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Slide 3: Q4'15 Q3'15 Q4'14
Q4’15 Q3’15 Q4’14 * YoY is the growth of current quarter compared with the same quarter one year earlier 3 Napatech A/S Copyright 2016
Slide 4: 2015 vs 2014
2015 2014 4 Napatech A/S Copyright 2016
Slide 5: Revenue influencing factors
Influencing factors: Growth in underlying business, 50% primarily driven by existing customers 45% buying 1 and 10 gigabit products 40% Higher US Dollar to Danish Kroner 35% exchange rate creates tailwind to 30% the revenue 25% Revenue recognition and accounting 20% adjustment have a positive
Slide 6: Margin development
Margin development: Focused and aggressive go-to-market 80% strategy could affect gross margin in the longer run 75% The gross margin in Q4 is better than expected, and due to a favorable product mix 70% 65% 60% 2010 2011 2012 2013 2014 2015 6 Napatech A/S Copyright 2016
Slide 7: Q4 2015 EBITDA margin
Q4 2015 EBITDA margin: EBITDA margin shows solid growth 25% compared to previous quarters in 2014 and 2015 20% Growth in revenue have had a positive impact on the EBITDA 15% margin The development clearly shows our 10% scalability, as increase in revenue leads to margin expansion 5% 0% Q4'14 Q
Slide 8: Geographical split
Geographical split: North America increased by 51% 80% (in DKK) in the quarter as a result 60% of increased business at existing and new customers 40% EMEA declined 23% mainly due to a 20% very strong comparing quarter in 2014 and was in line with expectations 0% APAC (not shown on graph) show
Slide 9: Focus areas: 2015 targets and results
Our Our focus areas Result 2015 Target 2015 Result expectations Revenue Deliver to guidance 12% growth 19% growth Gross Margin Aggressive go-to-market strategy 70% 71% R&D Costs Reallocation of resources to Sales and Marketing Reduction 6% reduction Admin Costs Reallocation of resources to Sales and
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Slide 12: Multi-speed: 10G, 25G, 40G, 50G and 100G
Multi-speed: 10G, 25G, 40G, 50G and 100G 12 Napatech A/S Copyright 2016
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Slide 16: Market leader in network accelerator solutions
MARKET LEADER IN MARKET LEADER FOR NETWORK ACCELERATOR DEDICATED NETWORK SOLUTIONS RECORDER SOLUTIONS FRONT-RUNNER THOUGT LEADER IN ACCELERATING DRIVING EXCEPTIONAL VIRTUALIZED NETWORKS NEW INNOVATION 16 Napatech A/S Copyright 2016
Slide 17: Faster, more efficient, on-demand
Telecom Financial Cloud and Infrastructure Operators Services Data Center Services and Defense Faster More Efficient On-Demand Napatech. Smarter Data Delivery Solutions 17 Napatech A/S Copyright 2016
Slide 18: Accelerators and network recorders market potential
ACCELERATORS – FULL POTENTIAL YET TO BE EXPLOITED ”We anticipate the market for network visibility tools – and the closely adjacent market for advanced traffic +450 Scaling ongoing projects with Tier 1 Network Management, Telecom and analysis tools that incorporate multiple sources of data alongside
Slide 19: Leading technology, expanding the core, firm strategic execution
FIRM STRATEGIC LEADING TECHNOLOGY EXPANDING THE CORE EXCECUTION • World leader within network • Additional growth realized based on • New NFV product line capitalizing accelerator solutions based on enhanced accelerator product line on strong growth in virtualization series of successfully launched
Slide 20: Co-created and off the shelf accelerator solutions
CO-CREATED AND OFF THE SHELF CO-CREATED NETWORK FRONT-RUNNER IN INNOVATIVE SMARTER DATA ACCELERATOR SOLUTIONS RECORDER SOLUTIONS VIRTUALIZATION SOLUTIONS DELIVERY SOLUTIONS Be the market leader in Be the leading vendor for Be the preferred partner Be the innovative market leader co-created and stand
Slide 21: Smarter data. Delivered.
DELIVER DATA DELIVER THE RIGHT DATA TO THE RIGHT PLACE TO USERS We deliver the data where SMARTER We deliver the data that it needs to be analyzed DATA. needs to be analyzed to in the right form and at improve our customers’ the right speed DELIVERED. business performance DELIVER DATA AT THE RIGHT T
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Slide 23: Guidance for full year 2016
Guidance for full year 2016 is: Revenue growth around 20% EBITDA margin around 20% 23 Napatech A/S Copyright 2016
Slide 24: 2016 focus areas and targets
Our focus areas The Trend Target Comment 2016 Target Revenue Deliver to guidance ~ 20% growth Gross Margin Influenced by new product line(s) and go to market strategy ~ 70% Overall Costs Improved overall profitability by scalability 5% increase EBITDA Margin Deliver to guidance ~ 20% R&D Investments
Slide 25: Napatech highlights
NAPATECH HIGHLIGHTS Fourth quarter 2015 44% revenue growth 23% EBITDA margin EPS 0.82 DKK / 1.06 NOK Full year 2015 19% revenue growth 16% EBITDA margin Pre-tax profit 11 MDKK Guidance full year 2016 Around 20% revenue growth Around 20% EBITDA margin 25 Napatech A/S Copyright 2016
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Slide 27: Forward-looking statements
This presentation includes and is based, inter alia, Napatech A/S’ businesses, energy prices, market 2015 results presentations. Information contained on forward-looking information and statements that acceptance of new products and services, within will not be updated. The following slides are subj
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