Slide 1: Text S.A. Q4 2023/24 KPIs
Text S.A. Q4 2023/24 KPIs April 2024
Slide 2: Vision and Mission for Text.com
VISION AND MISSION FOR TEXT.COM for better customer service We help brands provide better customer service at scale by analyzing enriching, and automating text communication. 2
Slide 3: 10 Years as Publicly Listed Company
10 YEARS AS PUBLICLY LISTED COMPANY 3
Slide 4: Almost 6 times more customers: 2014 vs 2024
10 YEARS AS PUBLICLY LISTED COMPANY Almost 6 times more 7.643 42.548 clients of LiveChat product subscriptions of Text paid products customers USD 6.2m ARR USD 79.9m ARR 12.5 times higher ARR Annual Recurring Revenues Annual Recurring Revenues in April 2014 in April 2024 PLN 0.38 EPS PLN 6.69 EPS 37
Slide 5: Key Facts
KEY FACTS B2B subscription revenue Unique customer Global SaaS business acquisition model Ca 35% of MRR generated in the model Allowing high, US, less than 2% in Poland sustainable margins. Products Co-founders Dividend company Consortium led by With a track record of sharing co-founders is company’
Slide 6: Products: Key Features of Our Services
PRODUCTS Customer service platform Platform to build and Ticketing system for teams A tool for gathering allowing for a contact with launch conversational knowledge and sharing all human agent across all chatbots without coding the answers with channels and customers and within team asynchronously K
Slide 7: KPIs
KPIs
Slide 8: MRR of All Products (M USD)
MRR OF ALL PRODUCTS (M USD) Monthly Recurring Revenues at the end of a given month 8
Slide 9: Payments Received (M USD)
PAYMENTS RECEIVED (M USD) As reported in reports on preliminary results The presented data are the estimates and preliminary as published in the respective reports. Therefore, they may ultimately differ from those shown in the periodic financial reports. Because the Company generates the vast majority
Slide 10: KPIs: LiveChat Number of Customers
KPI’s LiveChat (number of customers) In the fourth quarter, we continued to operate in an environment of increased churn. Actions aimed at optimizing price lists and the way customers use our products additionally increased this indicator in January and February, which translated into a slight decli
Slide 11: KPIs: ARPU and Initial ARPU of LiveChat
KPI’s ARPU and initial ARPU of LiveChat (in USD) Optimization activities translated into a sharp increase in ARPU in January. In February, value of this indicator dropped, but in March we noted its stabilization at an increased level. The company will continue optimization activities in the coming q
Slide 12: KPIs: ChatBot Paying Customers
KPI’s ChatBot (number of paying customers) The number of ChatBot customers remained stable during the quarter (-2 net customers). The company expects improvement with better economic conditions in the key market and intensified efforts to offer the LiveChat + ChatBot bundle. 12
Slide 13: KPIs: ARPU of ChatBot
KPI’s ARPU of ChatBot (in USD) ChatBot's ARPU increased by over 2 USD during the quarter. The average payment for additional interactions (above the limit included in the subscription) increased by 24% in March compared to December 2023 and by over 90% year-on-year. This value is not included in MRR
Slide 14: KPIs: HelpDesk Paying Customers
KPI’s HelpDesk (number of paying customers) Despite the challenging environment, HelpDesk added 42 net customers during the quarter. In the following quarters, we can increase its business potential thanks to the merger with KnowledgeBase and better use of the partner channel. 14
Slide 15: KPIs: ARPU of HelpDesk
KPI’s ARPU of HelpDesk (in USD) Sustainable ARPU growth reflects product development and MRR expansion capacity (negative MRR churn in all Q4’s months). As a result, HelpDesk's ARPU increased by USD 3.2 in March alone, even despite very low initial payments. 15
Slide 16: One - Brand New AI Assistant for LiveChat Agents
ONE - BRAND NEW AI ASSISTANT DESIGNED FOR ALL AGENTS USING LIVECHAT In essence, One is agent’s companion in navigating LiveChat products, services, and any knowledge. It’s an interactive database, agent can communicate with through text commands. MORE 16
Slide 17: ChatBot Results on livechat.com After Launch of AI Chatbot
CHATBOT results achieved on livechat.com after 4 months since launch of AI based chatbot -The AI Bot had 400 thousand conversations on its own (without any human touch), which translate into 80% of all customer service chats. -The AI Bot currently does the equivalent work of 100 full-time agent (bas
Slide 18: Highlights: KPIs and Product
HIGHLIGHTS ● MRR growth of 2.6% compared to the previous quarter and 4.1% year-on-year. Payments received amounted to USD 21.74 million KPIs (8.6% more than last year). ● 59 customers paying for 4 products (+10 during Q4) ● LiveChat: actions to optimize price lists and product use by customers trans
Slide 19: Financial Results
financial results
Slide 20: Financial Results (PLN mn)
FINANCIAL RESULTS (PLN MN) +19.3% +16.4% +16.7% 20
Slide 21: Financial Results (PLN mn) in Q3 2023/24
FINANCIAL RESULTS (PLN MN) IN Q3 2023/24 +3.9% -7.0% -7.1% Q3 results were heavily affected by the USD/PLN effect. Net sales expressed in dollars increased by 17.2%.
Slide 22: Future Revenues (in PLN m)
FUTURE REVENUES (IN PLN M) As a result of the new revenue recognition policy the annual subscriptions and longer contracts are spread evenly over the time the service is provided, creating the revenues of the future revenues. Presented as liabilities from customer contracts at the end of Q2 2023/24
Slide 23: Cash Position (PLN mn)
CASH POSITION (PLN MN) cash 31.12.2023 Cash flow from financial activities = dividends paid (115.6 mn PLN) + leasing (686 k PLN) 23
Slide 24: Revenue per Product
REVENUE PER PRODUCT Revenues per product Q1-Q3 Q1-Q3 Change Q3 2022/23 Q3 2023/24 Change (USD mn) 2022/23 2023/24 * 42.83 54.50 +27.2% 15.97 18.48 +15.7% 2.87 3.84 +33.8% 1.04 1.40 +34.6% ** 0.81 1.36 +67.9% 0.30 0.51 +70.0% *Including: Marketplace **Including KnowledgeBase 24
Slide 25: Revenue Split by Products Q3 2023/24
REVENUE SPLIT BY PRODUCTS Q3 2023/24 revenue split 2.5% 6.9% 90.6% The price change effect helped LiveChat regain some of its revenue share in Q3. In the coming quarters, we expect a faster growth rate of new products. LiveChat revenues include Marketplace and KnowledgeBase 25
Slide 26: Dividend Policy
DIVIDEND POLICY Dividend paid (PLN mn) Dividend per share (PLN) *Management’s proposition (final decision to be made by AGM). In January 2024, the Company paid out the first advance toward expected dividend for the current financial year. The value of the installment per share amounted to 1.63 PLN comp
Slide 27: Overview
overview
Slide 28: Team of 250+
TEAM OF 250+ Meet us at www.livechat.com/team 28
Slide 29: Text History
TEXT HISTORY EBITDA+ GG PRO Positive result for Management LiveChat Software S.A. the first time in history buyout from GG First customers 63% of shares A business version 50% of shares acquired take over by GG of Gadu-Gadu Network S.A. LiveChat Sp. z o.o. by Capital Partners Network S.A communicator
Slide 30: Company's Structure
COMPANY’S STRUCTURE 30
Slide 31: Shareholders
SHAREHOLDERS* * According to the shareholders’ notifications received by the Company and other public data from the Polish pension funds’ reports as of 31 December 2021 14
Slide 32: Clients
CLIENTS ~37 700 2800+ 150+ 25+ Companies from Clients of LiveChat Clients of ChatBot Countries Fortune 500’ list 32
Slide 33: Geography (MRR Split)
GEOGRAPHY (MRR SPLIT) MRR as at the end of May 2023 without taking into account revenues that are not allocated to specific countries. In this perspective, Poland accounts for approx. 1.5% of MRR 33
Slide 34: Dictionary
DICTIONARY Software as a Service, is a business model where a software is licensed on a subscription SAAS basis and it is stored in the cloud. Monthly Recurring Revenues, it is a measure of predictable total revenue generated from all MRR active and paying subscriptions in a particular month. It inc
Slide 35: Investor Relations
INVESTOR RELATIONS ir@text.com FIND OUT MORE: investor.text.com OR CHAT WITH US when we are not at the meetings DISCLAIMER This document may include forward-looking statements. Because such statements deal with future events, they are subject to various risks and uncertainties. The Company undertake