Gb Group Plc · LSE:GBG
Gb — GBG — H1 2025 Earnings Presentation
27 slides from Gb's earnings presentation, November 2024
Slide 1: Results presentation
Results presentation For the period ended 30 September 2024
Slide 2: Operational highlights
Operational highlights Dev Dhiman, CEO 1H 25 Results November 2024 2
Slide 3: Operational highlights
Operational review Operational highlights A good first half – Identity built on the positive 4Q24 momentum Demonstrating resilience during a period of macro uncertainty Driving improved performance through focus on execution Improved revenue Strong Progress across four growth operating profit initia
Slide 4: Segment performance
Operational review Segment performance Growth in Identity & Location more than offset the anticipated decline in our smallest segment, Fraud Helping organisations Helping organisations trust their customers reach their customers Identity Fraud Location 1H25 revenue 1H25 revenue 1H25 revenue £80.3m 5
Slide 5: Financial results
Financial results for the 6 months ended 30 September 2024 David Ward, CFO 1H 25 Results November 2024 5
Slide 6: Financial headlines
Financial review Financial headlines Delivered results in-line with expectations Revenue Net Revenue Adjusted Net debt Retention (NRR) operating profit £136.9m 100.2% £29.0m £71.9m 12m-rolling NRR +4.5% continues to improve. +21.3% increase £9m lower constant currency growth, reinforces confidence i
Slide 7: Summary income statement
Financial review Summary income statement Cost discipline underpinned first half performance & FY25 outlook 1H 25 1H 24 • 4.5% constant currency (‘CCY’) revenue growth: £m £m Growth • Gross profit margin marginally stronger at 69.6% Revenue 136.9 132.4 3.4% Gross profit 95.3 91.6 4.1% • Adjusted ope
Slide 8: Revenue growth
Financial review Revenue growth Improving net revenue retention (NRR) is driving top-line growth Revenue £m, constant currency Group NRR% recovery • Growth momentum improving, driven by 110% NRR 160 • NRR improved 530bps over the last 12m 4.5% 105% (3.2)% 1.8% growth to 100.2% (220bps in the last 6-
Slide 9: Revenue diversification
Financial review Revenue diversification Solutions delivered through a mix of commercial models, with diversity on a sector & geographic basis 5% 54% 42% 35% 10% 20% 1H25 1H25 1H25 revenue 3% revenue revenue by 4% by by 18% Type 5% Sector Geography 6% 41% 32% 9% 11% ~95% Crypto ~1% of repeatable rev
Slide 10: Operating expenses
Financial review Operating expenses Focus on simplicity & efficiency – driving margin improvement & underpinning confidence Reconciliation of operating expenses Strong control of operating expenses 1H 25 1H 24 90 ~4-5% Inflation Reported operating expenses1 £85.9m £143.8m 80 Impairment of goodwill -
Slide 11: Group Balance sheet
Financial review Group Balance sheet Balance sheet continues to strengthen, driven by focus on cash generation & debt repayment Debt leverage and borrowing Sept 24 Mar 24 Sept 23 Sept 24 Mar 24 Sept 23 £m £m Change £m Net cash / debt analysis £m £m £m Cash 16.0 21.3 19.2 Acquired intangible assets a
Slide 12: Summary and FY25 outlook
Financial review Summary and FY25 outlook A good first half that builds confidence in positive growth momentum & the outlook for the full year • Pleased with our first half performance • Demonstrated strong potential for operating leverage Revenue Profitability 2 • Balance sheet continues to strengt
Slide 13: Update on initial focus areas
Update on initial focus areas Dev Dhiman, CEO 1H 25 Results November 2024 13
Slide 14: Delivering progress through four initial focus areas
Initial focus areas Delivering progress through four initial focus areas Enabling GBG to build on its strong platform & accelerate growth 1 2 Removing Being complexity globally aligned 3 4 Differentiating Driving through innovation high performance 1H 25 Results November 2024 14
Slide 15: Removing complexity
Initial focus areas Removing complexity Becoming easier to engage with for all stakeholders Current focus Easier to engage with Accelerates up-sell & • Ensured ongoing cost benefits cross-sell • Improved commercial processes Supports internal • Simplified customer paperwork collaboration Enabling cu
Slide 16: Being globally aligned
Initial focus areas Being globally aligned Leveraging our size & scale as the market leader Current focus Belief building based on early successes • GBG ‘elevator pitch’ Healthy pipeline based • Identity & Location cross-sell on targeted use cases • International Data proposition Sharing sales resou
Slide 17: Differentiating through innovation
Initial focus areas Differentiating through innovation Retaining market leadership by growing competitive moat Current focus Network >100m records; >750 data contributors • Built out GBG Trust network Strong customer • Acceleration of GBG GO feedback on the value of the solution • AI-based address d
Slide 18: Driving high performance
Initial focus areas Driving high performance Shaping a culture with an increased focused on winning Current focus Rebuild account management team • Americas performance stabilised Cultural refresh • High performance programme Talent upgrades • Focus on competitive differentiation Conviction in marke
Slide 19: Delivering sustainable value
Initial focus areas Delivering sustainable value Confident that the progress being delivered will help GBG fulfil its significant long-term potential A culture that Market leading Best known Increasing differentiates solutions in the industry pace of us for what execution we do 1H 25 Results Novembe
Slide 20: Q&A
Q&A 1H 25 Results November 2024 20
Slide 21: Appendices
Appendices 1H 25 Results November 2024 21
Slide 22: Income statement
APPENDIX Income statement 1H25 1H24 £m £m Growth Revenue 136.9 132.4 3.4% Cost of sales (41.6) (40.8) Gross profit 95.3 91.6 4.1% Gross profit % 69.6% 69.2% 40bps Adjusted operating expenses (66.3) (67.3) (1.4)% (Increase)/decrease in ECL - (0.4) Adjusted operating profit 29.0 23.9 +21.3% Adjusted o
Slide 23: Balance sheet
APPENDIX Balance sheet Sept 24 Mar 24 Sept 23 £m £m Change £m Tangible assets 3.0 3.2 (0.2) 5.2 Goodwill, intangible assets and investments 693.3 744.1 (50.9) 785.6 Deferred tax assets 0.7 0.9 (0.3) 0.7 Non-current receivables 7.2 6.2 0.9 6.0 Non-current assets 704.1 754.5 (50.4) 797.5 Inventory 1.2
Slide 24: Cash flow statement
APPENDIX Cash flow statement 1H25 1H24 FY24 £m £m Change £m Opening net debt balance (80.9) (105.9) 25.0 (105.9) Adjusted EBITDA 30.0 25.2 4.8 63.8 Working capital (4.7) 0.5 (5.2) (4.9) Adjusted operating cash flow 25.3 25.7 (0.4) 58.9 Exceptional costs paid (0.9) (2.8) 1.9 (4.1) Operating cash flow
Slide 25: Historic performance by segment
APPENDIX Historic performance by segment Reported revenue £m FY22 FY23 FY24 1H24 1H25 Location 66.3 76.9 81.1 36.6 39.5 Identity 142.8 162.7 156.0 76.6 80.3 Fraud 33.3 39.2 40.2 19.2 17.1 Other 0.1 - - - - Group revenue 242.5 278.8 277.3 132.4 136.9 Adjusted operating profit £m FY22 FY23 FY24 1H24 1
Slide 26: Disclaimer
Disclaimer Restricted distribution Forward-looking statements This presentation is not for release, publication or distribution, in whole This document contains certain forward-looking statements, or in part, directly or indirectly, in, into or from any jurisdiction where to including statements reg
Slide 27: Contact
Contact Richard Foster Head of Investor Relations richard.foster@gbgplc.com