Slide 1: FY 2019 - 1st Half Investor Update
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Slide 2: Agenda
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Slide 3: Financial Highlights
FINANCIAL HIGHLIGHTS For personal use only ANNUAL REVENUE RECURRING REVENUE EBITDA $ 29m 71% RECURRING $ 42.2m 5.6m $ 225% CASH CONVERSION RESEARCH & DEVELOPMENT EARNINGS PER SHARE CASH $ 6.3m 22% OF REVENUE $ 3.9cps $3.6m IN NPAT $ 29.3m AT 31 DEC 2018 GREAT GOVERNANCE BETTER BUSINESS 3
Slide 4: Investing to Develop Outstanding Software
INVESTING TO DEVELOP OUTSTANDING SOFTWARE For personal use only RESEARCH & DEVELOPMENT 128.4 122.1 leads to… 109.0 96.2 84.9 Outstanding Increasing 74.0 54.9 64.3 products & investment 45.8 27.1 36.5 solutions in R&D 8.7 17.4 9.6 9.4 9.3 9.1 9.4 9.7 11.0 11.3 12.9 13.1 6.3 8.8 FY07 FY08 FY09 FY10 FY
Slide 5: Market Attributes
MARKET ATTRIBUTES For personal use only Worldwide Content Services Market - 20171 CSP Content Services Platform market CCP Objective named a Visionary $6.4 B Content Collaboration Platform market by Gartner, in 2018 $3.2 B Magic Quadrant for Content Services Platforms. CCP PRODUCTS CSP PRODUCTS “ …o
Slide 6: Macro Drivers
MACRO DRIVERS For personal use only GOVERNANCE DIGITAL TRANSFORMATION • Compliance with industry regulations • Risk aversion • Re-imagining what’s possible • Lower cost of processes • Recordkeeping • Transparent tracking & processes • Breaking internal silos • Citizen / customer focused services • I
Slide 7: Our Purpose
OUR PURPOSE For personal use only Bringing Governance and Better Business to the organisations our communities depend on. Public Sector Local Government Healthcare Financial Services & Insurance Energy & Infrastructure GREAT GOVERNANCE BETTER BUSINESS 7
Slide 8: Unified User Experience - Objective IQ
“ UNIFIED USER EXPERIENCE User experience remains a key differentiator for Content Services Platform products. For personal use only OBJECTIVE IQ This is a mature market and feature differentiation A revolutionary experience for digital transformation and cross-sell opportunity across longstanding p
Slide 9: Growth Strategy
GROWTH STRATEGY For personal use only 1. 2. 3. 4. 5. Develop outstanding Growth within customers Grow number of Geographic Growth through software customers expansion acquisition We invest to develop Leverage deep customer Expanding footprint within Use experience from APAC Add additional capabiliti
Slide 10: Performance Against Strategy
PERFORMANCE AGAINST STRATEGY For personal use only 1. 2. 3. 4. 5. Develop outstanding Growth within customers Grow number of Geographic Growth through software customers expansion acquisition • 22% of revenue invested in • 82% ECM customers have • Direct-to-customer model for • Positioned to take Ob
Slide 11: Agenda
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Slide 12: Content Services
CONTENT SERVICES For personal use only FINANCIAL SUMMARY - A$m BUSINESS HIGHLIGHTS Financial Performance 1HY FY19 1HY FY18 % CHANGE • Revenue comparison to 1H2018 impacted by finalisation of large services project • Operating margin of 21%, in line with 2HY2018 (22%) SALES REVENUE 22.5 28.0 20% • Pr
Slide 13: Keystone
KEYSTONE For personal use only FINANCIAL SUMMARY - A$m BUSINESS HIGHLIGHTS Financial Performance 1HY FY19 1HY FY18 % CHANGE • Operating profit of $0.5m • Successful customer acquisitions in FY2017 and FY2018, new customer wins in FY2019 SALES REVENUE 3.5 2.8 31% buoyed earnings momentum Market disru
Slide 14: Connect
CONNECT For personal use only FINANCIAL SUMMARY - A$m BUSINESS HIGHLIGHTS Financial Performance 1HY FY19 1HY FY18 % CHANGE • Moderated revenue growth rate following re-structure in go-to-market team to focus on sales leadership, field marketing and digital engagement SALES REVENUE 1.5 1.1 32% Produc
Slide 15: Trapeze
TRAPEZE For personal use only FINANCIAL SUMMARY - A$m BUSINESS HIGHLIGHTS Financial Performance 1HY FY19 1HY FY18 % CHANGE • Growth in both revenue and operating profit • Transition to subscription-only licensing well progressed SALES REVENUE 1.4 1.2 18% Market Development - Objective Trapeze • 22 n
Slide 16: Contents
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Slide 17: Transition to Subscription Model
TRANSITION TO SUBSCRIPTION MODEL 1HY2019 Recurrent Revenue For personal use only In 1HY2019, recurrent revenue represents 71% of total revenue and subscription revenue represents 87% of total licence revenue. CATEGORY PRODUCT DESCRIPTION PRICING MODEL MINISTERIALS • Deliver more accurate, timely and
Slide 18: Product Position for Future Growth
PRODUCT POSITION FOR FUTURE GROWTH For personal use only CONCEPT CONCEPT MARKET BUSINESS RE-INVENTION SALES CREATION DEVELOPMENT DEVELOPMENT OPTIMISATION MINISTERIALS HARVEST OPENGOV GDPR TIME GREAT GOVERNANCE BETTER BUSINESS 18
Slide 19: Growth Opportunity
GROWTH OPPORTUNITY For personal use only Repository independence Increased Addressable Market The uncoupling of Objective ECM has enabled our products to support additional content sources such as With solutions that now work with other vendors’ Micro Focus Content Manager and Microsoft Office 365,
Slide 20: Significant ARR Runway
SIGNIFICANT ARR RUNWAY 5 - 10 YEAR OPPORTUNITY For personal use only GREAT GOVERNANCE BETTER BUSINESS 20
Slide 21: Growth Strategy
GROWTH STRATEGY For personal use only 1. 2. 3. 4. 5. Develop outstanding Growth within customers Grow number of Geographic Growth through software customers expansion acquisition We invest to develop Leverage deep customer Expanding footprint within Use experience from APAC Add additional capabiliti
Slide 22: Q&A
#% && '()& && ((+ !"# ( $% && &'( %$ )&& &'( &'( )* !"# $% && &'( !"# )&& $ &'( (- !"# $% && &'( )&& !"# $ '+'+ ' !"# $% && &'( )&& '-'-* !"# $% && &'( )&& &''+ ' !"# $% && &'( )&& '+'& * !"# $% && &'( )&& '),& . For personal use only !"# '((% $% )*% !"# $% !"# $% !"# $% !"# $% &% &% &% Q&A
Slide 23: Safe Harbour
SAFE HARBOUR For personal use only This document is provided to recipients for information purposes only. This document has not been filed, lodged, registered or approved in any jurisdiction and recipients should keep themselves informed of, comply with and observe all applicable legal and regulator
Slide 24: For personal use only
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