Slide 1: The New Freedom of Business Communication – Financial Report Q1 2018
THE NEW FREEDOM OF BUSINESS COMMUNICATION Financial Report Q1 2018 17 May 2018
Slide 2: We want to dominate the European Cloud telephony market
We want to dominate the European Cloud telephony market by delivering freedom of business communication. Growth Excellence Note: Use of logos for Analyst Presentation only Leadership Award 2017
Slide 3: Introduction
1 Introduction 3
Slide 4: NFON – The only true Pan-European Cloud PBX company
NFON – The only true Pan-European Cloud PBX company Classic on-premise PBX Advantages of cloud telephony Founded 2007 Increased Device HQ in Munich, functionality agnostic Germany PBX Analog/ISDN PBX PSTN Lower total Flexibility cost of Active in ownership Cloud PBX 13 European countries Minimal Aut
Slide 5: Shift to cloud communication creates unique opportunity
Shift to cloud communication creates unique opportunity European business PBX market 2017 Disruptive business Cloud PBX market €16.7bn €3.2bn €1.6bn 26m seats 135m seats 13m seats On-premise & 16% Hosted PBX solutions CAGR 2017 2022 Market potential based on NFON’s recurring ARPU1 Source: MZA (2017)
Slide 6: Business Highlights
2 Business Highlights 6
Slide 7: Successful IPO - NFON has started operating as a listed Company in May 2018
Successful IPO - NFON has started operating as a listed Company in May 2018 Final offer price €12.00 Listing Frankfurt Stock Exchange (Prime Standard) on 11 May 2018 First price €13.00 Total Offer Size €80.5m total offer size, thereof €50m gross proceeds from capital increase Major Milestone Venture
Slide 8: Strong Q1 2018 – in line with expectations
Strong Q1 2018 – in line with expectations Strong revenue of €10.0m Increase of seats by 31.3% Customer base 80.6% recurring revenue driven by growing customer base Further success in core markets 8
Slide 9: Business Model & Financial Overview
3 Business Model & Financial Overview 9
Slide 10: NFON's top line mechanics are centred around recurring revenue
NFON’s top line mechanics are centred around recurring revenue Recurring revenue 81% Non-recurring revenue 19% Seats ARPU One-off 10m Q1 2018 revenue Licence fee Airtime Premium Activation fee Hardware Professional per extension solutions services 10
Slide 11: Strong top line results in Q1 2018 to be further accelerated
Strong top line results in Q1 2018 to be further accelerated, driven by cumulative effects Development total recurring vs. non-recurring revenue Comments €m Based on the nature of NFON’s 40,0 82,0% business, revenue growth rates in the 35,7 earlier quarters of the year tend to be 80,6% 35,0 80,0% lo
Slide 12: Strong growth in recurring revenue from consistent increase in seats
Strong growth in recurring revenue from consistent increase in total number of seats and largely stable ARPU Development number of seats and ARPU Comments #seats/€ per seat per month Historically, NFON has experienced a strong increase in the number of total seats serviced, driven by the attractiven
Slide 13: NFON – Q1 Financial Highlights at a Glance
NFON – Q1 Financial Highlights at a Glance €10m revenue 269,000+ seats Customer 80%+ recurring revenues base Largely stable ARPU <0.5% gross churn rate 13
Slide 14: Strategy Overview and Guidance
4 Strategy Overview and Guidance 14
Slide 15: Guidance for 2018
Guidance for 2018 2017 2018 Number We expect a significant growth 253k of seats of our customer base by around 30% Revenue We expect the revenue growth rate for 2018 17.3% growth (%) to clearly outperform the revenue growth rate of 2017 Recurring We expect the resulting recurring revenue in 2018 rev
Slide 16: Coherent multi vector growth strategy
Coherent multi vector growth strategy Increase Capitalise on Transform Expand penetration Open APIs high market product regionally and adoption fragmentation Increase Roll-out of Further develop Leverage Consolidate marketing efforts innovative open APIs to proven market highly fragmented to drive f
Slide 17: Key Investment Highlights and Q&A
5 Key Investment Highlights and Q&A 17
Slide 18: Key investment highlights
Key investment highlights Huge addressable business communication market being 1 disrupted by structural shift to Cloud PBX solutions Only true Pan-European Cloud PBX company best positioned to 2 become the dominant European player Strong business model resulting in unique combination of 3 massive g
Slide 19: Thanks
Thanks @NFONcom #cloud #telephony #allip 19
Slide 20: Appendix
6 Appendix 20
Slide 21: Management Board of NFON AG
Management Board of NFON AG Hans Szymanski Jan-Peter Koopmann César Flores Rodríguez CEO/CFO CTO CSO >20 years of C-Level >20 years of experience in >10 years of C-Level experience the IT/Telco industry experience Previous experience Previous experience Previous experience includes includes includes
Slide 22: NFON share at a glance
NFON share at a glance Facts Shareholder structure1 ISIN DE000A0N4N52 Segment Prime Standard/ Telecommunication Shares 13.8 million Designated Baader Bank sponsor ODDO Seydler First day of trading 11 May 2018 30.10% 14.94% 7.74% 7.36% 3.91% 35.95% Others 1based on notification of voting rights 22
Slide 23: Financial calendar
Financial calendar Date Event 17 May 2018 Interim Report 1st Quarter 2018 Web- and Telephone Conference 20 Sep 2018 Interim Half-year Report 2018 Web- and Telephone Conference 22 Nov 2018 Interim Report 3rd Quarter 2018 Web- and Telephone Conference 26 – 28 Nov 2018 German Equity Forum Frankfurt Ana
Slide 24: Contact
Contact Sabina Prüser Head of Investor Relations Blog NFON AG https://www.nfon.com/blog/de/ Machtlfinger Straße 7 Facebook 81379 München https://www.facebook.com/NFONcom Telephone Twitter Fon +89 (0) 89 453 00 134 https://twitter.com/NFONcom Fax + 89 (0) 89 453 00 33 134 sabina.prueser@nfon.com 24