Tribal Group plc · LSE:TRB
Tribal — H1 2023 Earnings Presentation
23 slides from Tribal's earnings presentation, August 2023
Slide 1: Tribal Group – Half Year Results 2023
Overview & Financial Strategy Update Appendix Highlights Performance EMPOWERING THE WORLD OF EDUCATION Tribal Group – Half Year Results 2023
Slide 2: Tribal – Empowering the World of Education
Overview & Financial Business Appendix Highlights Performance Update Tribal – Empowering the World of Education Who We Are What We Do Who We Help Our Goal Provider of software Student Information Over 500 institutions and services to Solutions to both empowered by Tribal’s education Higher & Further
Slide 3: Good performance in underlying business
Overview & Financial Business Appendix Highlights Performance Update Good performance in underlying business • Good SIS sales performance, expanding with existing NTU customers and winning new ones • Contract terminated in March 2023, project wound down and • Three Cloud migration contracts with exi
Slide 4: Why We Win
Overview & Financial Business Appendix Highlights Performance Update Why We Win TRIBAL SITS • Deep understanding of our markets • Leading solution in UK on APUC HE Framework • >25 years in the UK HE market • Leading position in the UK: • Deep customer and sector relationships • 100+ customers • Lon
Slide 5: Tribal Student Information System Products
Overview & Financial Business Appendix Highlights Performance Update Tribal Student Information System Products Tribal Mobile App Suite • Delivering products “as-a-Service” in the Tribal Student Experience platform (Dynamics) public cloud EXPERIENCE Marketing & Student Support & Business • Market-le
Slide 6: …With Significant New Customer Wins
Overview & Financial Business Appendix Highlights Performance Update …With Significant New Customer Wins Tribal: Cloud Student Management System Student Management System (Migrations) SITS: Vision (incl Cloud) Ebs / Maytas Successfully growing ARR Winning new customers in the cloud, Winning new cu
Slide 7: Financial Performance
Overview & Financial Strategy Update Appendix Highlights Performance FINANCIAL PERFORMANCE DIANE MCINTYRE, CHIEF FINANCIAL OFFICER
Slide 8: Financial Summary: Continued positive sales momentum
Overview & Financial Business Appendix Highlights Performance Update Financial Summary: Continued positive sales momentum £43.4M £51.9M £163.7M Revenue up 1.5% ARR up 2.8% in six months Committed income down from £42.7m From £50.4m 4.1% from £170.7m £8.1M £5.9M 2.2p Adjusted EBITDA up 21% Statutory
Slide 9: Segments: Education Services driving increase in revenue
Overview & Financial Business Appendix Highlights Performance Update Segments: Education Services driving increase in revenue SIS ES TOTAL SEGMENT Revenues and Operating Margin % Revenues and Operating Margin % Operating Margin and Operating Margin % -5.5% +36.7% +16.8% – Revenue impacted by £2.8m f
Slide 10: SIS: Transition to a high-quality revenue base
Overview & Financial Business Appendix Highlights Performance Update SIS : Transition to a high-quality revenue base CORE REVENUE DECREASING BY 4.3% 2023 H1 2022 H1 CHANGE GROWTH Foundation Support and • Cloud – Five cloud migrations and two new sites won during 2022 Maintenance 12.3 12.5 (0.3) (2.0
Slide 11: SIS ARR: High growth in Cloud and Foundation Software
Overview & Financial Business Appendix Highlights Performance Update SIS ARR: High growth in Cloud and Foundation Software 2023 H1 2022 FY CHANGE GROWTH CORE PRODUCT ARR HAS INCREASED 6.3% Foundation Support • Foundational support and maintenance flat due to inflationary 24.5 24.5 - 0.2% and Mainten
Slide 12: Cashflow: Impact of NTU and ES working capital drag
Overview & Financial Business Appendix Highlights Performance Update Cashflow: Impact of NTU and ES working capital drag Net cash from Net cash from OPENING OPENING operating operating activities CASH CASH activities before before tax NET CLOSING tax NET CLOSING CASHCASH TRADING TRADING Net loan Clo
Slide 13: SIS: Decreasing Edge investment from peak in 2022
Overview & Financial Business Appendix Highlights Performance Update SIS: Decreasing Edge investment from peak in 2022 £7.6m Edge sales • Edge ARR £5.4m with growing pipeline of future £6.7m opportunities Edge investment 5.4 • £41.9m capitalised to date 4.6 • 17% decrease in Edge investment from the
Slide 14: Business Update
Overview & Financial Strategy Update Appendix Highlights Performance B U S I N E S S U P D AT E M A R K P I C K E T T, C H I E F E X E C U T I V E O F F I C E R
Slide 15: Edith Cowan University live with Admissions
Overview & Financial Business Appendix Highlights Performance Update Edith Cowan University live with Admissions • Provides modern Admissions product • Delivered as-a-Service natively from the cloud – secure, scalable, multitenant, true SaaS product • Improved Student & Staff Experience • Agility: d
Slide 16: Multiple Drivers of High-Quality Organic Growth
Overview & Financial Business Appendix Highlights Performance Update Multiple Drivers of High-Quality Organic Growth Continued Core ARR Expansion With Significant Runway For Growth Expand Existing Expand Expand Customer Share of Addressable Markets Geographic Reach Wallet • Cross-sell of products in
Slide 17: Expand Existing Customer Share of Wallet
Overview & Financial Business Appendix Highlights Performance Update Expand Existing Customer Share of Wallet Tribal Cloud Upsells Admissions Proposition • Moving customers from perpetual • Existing on-prem customers pay licenses to subscription; • Significant interest generated in on S&M • Releas
Slide 18: Summary & Outlook
Overview & Financial Business Appendix Highlights Performance Update Summary & Outlook Growing ARR Edge Development • Continued progress in growing ARR, • Continue to see strong customer Summary particularly in migration of existing customer to the cloud demand for cloud-based solutions • Focussing
Slide 19: Q&A
Overview & Financial Strategy Update Appendix Highlights Performance Q&A
Slide 20: Appendix
Overview & Financial Strategy Update Appendix Highlights Performance APPENDIX
Slide 21: Tribal Leadership Team
Overview & Financial Business Appendix Highlights Performance Update Tribal Leadership Team TRIBAL BOARD TRIBAL EXECUTIVE TEAM RICHARD LAST MARK PICKETT PAUL DAVIES MIKE COPE CHLOE PAYNE CHAIR CHIEF EXECUTIVE OFFICER GLOBAL PROFESSIONAL SERVICES CHIEF TECHNOLOGY OFFICER HR DIRECTOR DIRECTOR ROGER MC
Slide 22: Financial Definitions
Overview & Financial Business Appendix Highlights Performance Update Financial Definitions TERM DEFINITION Constant Currency Prior year reported results restated to “constant currency” using current year rates to exclude foreign currency impact. Operating profit of continuing operations which exclud
Slide 23: www.tribalgroup.com
Overview & Financial Strategy Update Appendix Highlights Performance 0330 016 4000 hello@tribalgroup.com www.tribalgroup.com 23 Tribal Half Year Results to 30th June 2023