Senetas Corporation Limited · ASX:SEN
Senetas — Investor Presentation (September 2005)
19 slides from Senetas's investor presentation, Sep 12, 2005
Slide 1: ASX announcement of investor briefing
SENETAS Corporation Limited MELBOURNE Level 1/11 Queens Road Melbourne VIC 3004 12 September 2005 Australia +61 3 9868 4555 +61 3 9821 4899 SYDNEY Company Announcements Office Suite 5, Level 13 327 Pitt Street ASX Sydney NSW 2000 Australia Level 6 +61 2 9283 2333 +61 2 9283 7558 20 Bridge Street cor
Slide 2: Senetas Corporation Ltd, September 2005
SENETAS CORPORATION LTD SEPTEMBER 2005
Slide 3: Senetas Corporation Ltd (ASX:SEN) Financial Outlook
Senetas Corporation Ltd (ASX:SEN) • Member ASX 300 Index • Australia’s leading listed IT Security Company Financial Outlook 2005/2006 E 2004/2005 Growth E Revenue 30 20 50% NPBT 11 7.4* 50% EPS 2.4 1.60 50% Share Price 32 P/E Ratio** 13 20 Dividend 1.65 Dividend Yield 5% * Note: The net profit for 2
Slide 4: Who We Are
Who We Are • Leading global supplier of high speed encryption hardware technology to protect information in transmission where security must not be compromised • Targeting Government and large commercial enterprises • Enablers of organisations to run security applications on high speed networks, (10
Slide 5: What is encryption?
What is encryption? • Definition – To alter information using a secret code so as to be unintelligible to unauthorised parties – Most effective way to achieve information security – Encryption generally is an extremely old application. Since the earliest forms of communication “encryption” has alway
Slide 6: Network Standards – Common Definitions
Network Standards – Common Definitions Encryption Algorithm Encryption Algorithm Provided (AES, DES etc) Provided (AES, DES etc) Tightly Integrated into Senetas Hardware Senetas High Speed Senetas High Speed Hardware Encryption Hardware Encryption Communication Devices Communication Devices CypherCe
Slide 7: Market Drivers (Summary)
Market Drivers (Summary) • Availability today of networks and network infrastructure – Reduction in bandwidth costs – More applications – More secure data • Security regulations – Sarbanes-Oxley, Graham-Leach-Bliley, Global Privacy Legislation, BASIL II, HIPAA • More Secure posture of Governments, g
Slide 8: Markets: Customers
Markets: Customers Regulated RegulatedPrivate Private Government Government Industries Industries •Federal •Federal •Banking •Bankingand and •State •State Finance Finance •Revenue •Revenue •Insurance •Insurance Authorities Authorities ••Health •Social Health •SocialSecurity Security ••Utilities •For
Slide 9: Senetas' Security Product Range
Senetas’ Security Product CypherNet CypherNet Fibre Fibre Channel Channel Range CypherNet CypherNet Ethernet Ethernet 11 Gbps Gbps CypherNet CypherNet Ethernet Ethernet 11 Gbps Gbps CypherNet CypherNet CypherNet CypherNet CypherNet CypherNet Ethernet Ethernet Ethernet Ethernet Ethernet Ethernet 10 1
Slide 10: Senetas Market Projections
Senetas Market Projections • ATM current sales US $8m to US $10m p.a. • SONET current worldwide market US$250m* • SONET market projections estimated to rise to US $500m p.a. by 2008* • Ethernet market projections: Although still in infancy early market indications show market similar to SONET* • Fib
Slide 11: Competitive Position (Summary)
Competitive Position (Summary) • Leading market share position in a rapidly emerging market – “First mover” advantage – 18-24 months ahead of nearest competitor – Continued significant investment in R&D • Customer validation • Accreditation to the highest international levels: CC, FIPS • Senetas’ st
Slide 12: Global Case Study
Global Case Study Senetas’s High-Speed Products Successes Sustainable Advantages – US DoD • Highest speed on the • Selected for Global Grid market. Best performance SONET – Finance Institutions • Experience, market 1G – • Backbone to core data centers leader 10 Gbps – Systems Integrators • Known com
Slide 13: Local Case Study
Local Case Study Senetas’s High-Speed Products Successes Sustainable Advantages • Enterprise Encryption ATM Solution SONET/S • A major Australian Federal •Speed DH Government Organisation • Ease of management Ethernet • Experience and Technical Capability • Speed ATM • Mission Critical • A major Fin
Slide 14: Generic SONET Implementation
Generic SONET Implementation Production Site Recovery Site Routers / Controllers Routers / Controllers CISCO Routers CISCO Routers Processing / Senetas Processing / Senetas Storage Cypher Storage Cypher SONET SONET
Slide 15: Senetas High Speed Encryption Solution for a Typical Customer
Senetas High Speed Encryption Solution - for a Typical customer Branch Offices Vendors Customers Partners SONET/ SDH Networks Intranet Layer 1 (Physical Layer) Line and Path Encryption Main Office Internet Branch Offices Departments CypherNet SONET/SDH Head Office HQ Layer 3 (Network Layer) IP based
Slide 16: Organisational Structure
Organisational Structure Francis Galbally CEO Joe Vohwinkel Ron Lunt Peter Sim Engineering Management Operations/Sales Product Management
Slide 17: Management
Management • Co-founder of CTAM, along with a number of • Assisted in the other Senetas’ senior development of engineers competitive products to • More than 20 years of CTAM security, encryption and • Seconded from SafeNet management experience to introduce compatible • Degrees in Electrical develop
Slide 18: Financial Performance
Financial Performance (1)(2) Senetas SenetasRevenue Revenueand andEBIT EBITHistory History (1)(2) 35 35 30 30 25 25 20 AUD$m 20 AUD$m 15 15 10 10 5 5 Revenue Revenue EBIT EBIT 0 0 2004 2005E 2006E 2004 2005E 2006E (1) Fiscal year ends June 30 (2) SEN reports in $A. Current exchange rate of 0.76 has
Slide 19: Summary
Summary • A leading global supplier of high speed encryption technology utilising own IP (Patents Pending) • Established track record • First mover advantage in SONET technology • Strongly positioned, world leading technology • Defined and growing niche market, established customer portfolio • Gover