Slide 1: FY21 – Full Year Results
FY21 – Full Year Results Twelve months ended 30 September 2021 02 December 2021
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION AND ITS CONTENTS ARE STRICTLY CONFIDENTIAL AND ARE NOT FOR PUBLICATION, DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, IN WHOLE OR IN PART, IN OR INTO THE UNITED STATES OF AMERICA (INCLUDING ITS TERRITORIES AND POSSESSIONS, ANY STATE OF THE UNITED STATES AND THE DISTRI
Slide 3: Agenda
Agenda Session 01. Results summary 02. Financial review 03. Strategy & outlook 04. Q&A 05. Appendix 2
Slide 4: 01. Results summary
01. Results summary John-Paul Savant
Slide 5: FY21 highlights – Ahead of expectations
FY21 highlights – Ahead of expectations Strong operational and financial results, with trading exiting Q421 ahead of expectations Volume and online share sustained as the industry’s structural shift continues Successfully managing historically high levels of activity across our marketplaces, while c
Slide 6: FY21 – Financial & operational metrics
FY21 – Financial & operational metrics Aggregate Revenue Aggregate Adjusted EBITDA Bidder Sessions £70.1m £31.8m 122m +34% +43% +14% 1 Total Hammer Value Online Share % Gross Merchandise Value £6.3bn 35% £2.2bn +37% 1 +2pp 1 +47% 1 Note: KPIs and revenue reflect the Group’s aggregate operations, ATG
Slide 7: 02. Financial review
02. Financial review Tom Hargreaves
Slide 8: Group financial summary
Group financial summary Aggregate YoY Var. £m FY21 FY20 Headline Organic Excellent revenue growth as structural shift online Aggregate Revenue 70.1 52.3 34% 29% continues, accelerated by COVID-19 tailwinds. Cost of Sales (24.5) (22.3) (10%) Reported revenue growth boosted by acquisition of Gross
Slide 9: Group organic revenue growth
Group organic revenue growth Reported growth: 34% Actual FX rates Organic growth: 29% Constant FX rates “ “ “ “ “ “ 2 3 1 xx YoY % ¹ Period from 13 Feb 20 to 30 Sept 20 2 01 Oct 19 to 12 Feb 20 for ATG 3 01 Oct 19 to 12 Feb 20 for Proxibid 8
Slide 10: Aggregate revenue by segment, type and geography
Aggregate revenue by segment, type and geography Aggregate Revenue by segment Aggregate Revenue by type FY21 Aggregate YoY Var. 4% £m FY21 FY20 Reported Organic 10% 5% Industrial & Commercial (inc. CS&R) 43.7 34.6 26% 34% 3% Art & Antiques 16.2 13.4 21% 23% 25% 20% FY20 Total Marketplace 59.9 48.0 2
Slide 11: Total marketplace KPIs
Total marketplace KPIs GMV (£m) Online share (%) THV (£bn) Actual FX rate 69% 39% 11% 31% Constant FX rate 69% 47% 11% 37% £6.3bn £2,217m 35% 33% £4.8bn £1,593m FY20 FY21 FY20 FY21 FY20 FY21 Take rate (%) Total revenue (£m) Exceptional growth in THV during the period, benefitting Actual FX rate 27
Slide 12: Spotlight on HY2 FY21 – Lapping COVID-19 – Total Marketplace
Spotlight on HY2 FY21 – Lapping COVID-19 – Total Marketplace GMV (£m) Online share (%) THV (£bn) Actual FX rate 23% 114% 94% 8% 6% 17% 27% 34% Constant FX rate 22% 116% 102% 16% 5% 17% 31% 42% £1,118m £1,099m 42% £3.0bn £3.3bn £1,018m 37% 34% £2.4bn £2.5bn £576m 24% H1 FY20 H2 FY20 H1 FY21 H2 FY21 H
Slide 13: LiveAuctioneers - GMV, online share, revenue, adj. EBITDA
LiveAuctioneers - GMV, online share, revenue, adj. EBITDA GMV 1 ($m) Online share (%) % Growth 18% 44% 53% THV $1.8bn $2.1bn $2.4bn $3.3bn $504m 15% 15% $375m 12% 13% $221m $261m 2018 2 2019 2020 TTM Sept 21 3 2018 2019 2020 TTM Sept 21 3 Revenue ($m) Adj. EBITDA ($m) Take rate4 9.5% 9.1% 8.4% 8.6%
Slide 14: Balance sheet and operating cash flow
Balance sheet and operating cash flow Balance sheet (£m) Cashflow (£m) £m 30 Sept 21 30 Sept 20 £m FY21 Goodwill 141.2 124.0 Adjusted EBITDA 31.8 Other Intangible assets 68.1 74.8 Movement in working capital 0.7 Property, plant and equipment 0.4 0.5 Capital expenditure (2.1) Right of use / other non
Slide 15: 03. Strategy & outlook
03. Strategy & outlook John-Paul Savant
Slide 16: ATG’s Digital Marketplaces – Unlocking value of secondary goods
ATG’s Digital Marketplaces – Unlocking value of secondary goods Bidders Auction Houses Empowering bidders to Levelling the playing field for buy at auction in a trusted, auctioneers, enabling greater reach convenient, secure and engaging and returns through specialised forum with over 14m specialise
Slide 17: ATG’s Digital Marketplaces’ role in the auction industry is expanding
ATG’s Digital Marketplaces’ role in the auction industry is expanding Current Emerging • Aggregate supply for bidders • Provide THE sales/buying channel • Aggregate demand for auctioneers • E2E integrated suite of services • Connect them via platform • Auction operating cost efficiencies • Augment e
Slide 18: Unlocking the value of the secondary goods market
Unlocking the value of the secondary goods market also unlocks the potential of the circular economy; ATG is a critical enabler The Online Auction Industry is increasingly The pandemic has further heightened relevant to sustainable commerce awareness of the benefits of online auctions • Promotes the
Slide 19: ATG makes a positive impact on the world’s global CO2 emissions
ATG makes a positive impact on the world’s global CO2 emissions by accelerating awareness & viability of the secondary market Our carbon footprint research • Just 15 of the top items sold on ATG Volume sold via Emissions saved • c600k items of 9.5m lots sold1 in FY21 Item auction p.a. (Tonnes) • >1
Slide 20: ATG emerges from the pandemic stronger with even more capabilities
ATG emerges from the pandemic stronger with even more capabilities to lead the evolution of the auction industry… Industry leading position in all marketplaces, by geography and vertical Structural tailwinds sustained, supporting transfer of activity online Network effect and virtuous circle expandi
Slide 21: ATG has delivered against all six of its growth levers in FY21
ATG has delivered against all six of its growth levers in FY21 Grow Take Rate via Pursue VAS Accretive Expand M&A operating Enhance leverage the Network effect Grow online penetration Extend the TAM 20
Slide 22: Execution resulted in movement of critical success indicators…
Execution resulted in movement of critical success indicators… Added >£4bn to our existing, Expand Grew our margins from 42% to Extend the immediately addressable TAM operating 45% while increasing our absolute TAM with LA and more via the oil and operating spend by £8.2m, 27% to gas and classic car
Slide 23: ATG has continued to innovate on its product and experience
ATG has continued to innovate on its product and experience Timed Bidding Enhancements - Eligible bid amount Introduction of ‘Quick Bid’ to support bidders • Enhances timed auction journey • Enables bidding direct from catalogue page • Reduced clicks-to-bid from 7 to 2 Lot-tissimo Replatform – Inclu
Slide 24: Auctioneer dynamics are often the focus but the impact plays out in bidder dynamics
Auctioneer dynamics are often the focus but the impact plays out in powerful bidder dynamics >120m c.8m c.700k >100m c.6m +14% YoY +27% YoY +20% YoY +37% YoY +33% YoY Site Auction Unique Bids placed Lots sold Sessions Registrations Bidders (Online) (Online) Note: KPIs and revenue reflect the Group’s
Slide 25: All six growth levers offer significant opportunities looking forward…
All six growth levers offer significant opportunities looking forward… • New auction houses Expand • Centralise services (SFMC) Extend the operating TAM • More inventory from existing • Centralise key functions in LA leverage • Timed bidding improvements Pursue Grow online • New product features • D
Slide 26: Outlook and guidance
Outlook and guidance1 Revenue • ATG has delivered annual growth of 34% in FY21 which includes three quarters of very strong growth supported by the shift online accelerated by COVID-19 (fiscal Q1 – fiscal Q3) and one quarter lapping a COVID-19 impacted quarter (i.e. fiscal Q4 21 on fiscal Q4 20). In
Slide 27: Thank You
Thank You 26
Slide 28: 04. Q&A
04. Q&A
Slide 29: 05. Appendix
05. Appendix
Slide 30: Recap on terms used
Recap on terms used Term Definition FY20 – Reported Represents the period from formation of the current group on 13 Feb 20 to 30 Sep 20 Reflect the Group’s aggregate operations, ATG and Proxibid on a combined basis for all periods plus Aggregate later acquisitions on an acquired basis Organic growth
Slide 31: Auction KPIs by segment
Auction KPIs by segment Actual Rates Constant Currency £m FY21 FY20 FY21 YoY Var. FY20 YoY Var. FY21 YoY Var. FY20 YoY Var. Industrial & Commercial Total Hammer Value £4.6bn £3.5bn 31% 15% 39% 15% Online Share % 41% 39% - - - - Gross Merchandise Value £1,883m £1,361m 38% 79% 47% 80% Take Rate % 2.3%
Slide 32: Auction Services and Content
Auction Services and Content Auction Services revenue (£m) Content revenue (£m) Actual FX rate (5%) 373% (12%) 11% Constant FX rate (5%) 413% (12%) 11% £7.1m £3.1m £2.8m £1.5m FY20 FY21 FY20 FY21 Auction Services includes revenues from ATG’s auction house back Content revenues recovered followin
Slide 33: Exceptional operating items
Exceptional operating items £m FY21 FY20 Exceptional operating items primarily related to listing costs associated with the IPO, and acquisition costs Acquisition costs 13.3 8.0 related to the acquisitions of both Auction Mobility and LiveAuctioneers. Listing costs 8.4 - Restructuring costs - 1.8
Slide 34: Revenue by segment - Prior year restatement
Revenue by segment - Prior year restatement £m FY18 FY19 FY20 FY21 Industrial & Commercial 22.6 25.8 35.8 - Art & Antiques 11.7 13.5 13.7 - Content 3.5 3.2 2.8 - Aggregate Revenue - IPO 37.7 42.5 52.3 - Industrial & Commercial (1.1) (1.2) (1.2) - Art & Antiques (0.4) (0.4) (0.4) - Auction Services 1
Slide 35: Reported P&L reconciliation
Reported P&L reconciliation Reported Aggregate 1 Oct 19 – 13 Feb 20 – Total £m FY21 12 Feb 20 30 Sep 20 FY20 Revenue 16.8 35.5 52.3 70.1 Cost of Sales (7.3) (15.1) (22.3) (24.5) Gross Profit 9.5 20.4 30.0 45.5 Administration expenses (7.5)1 (25.6) (33.1) (66.5) Other operating income 0.0 0.2 0.2 0.3