Frontier Digital Ventures Ltd. · ASX:FDV
Frontier Digital Ventures — Investor Presentation (March 2017)
24 slides from Frontier Digital Ventures's investor presentation, Mar 22, 2017
Slide 1: Online Classifieds in Frontier Markets
For personal use only ONLINE CLASSIFIEDS IN FRONTIER MARKETS INSTITUTIONAL INVESTOR PRESENTATION | MARCH 2017 FRONTIER DIGITAL VENTURES
Slide 2: Highlights
HIGHLIGHTS For personal use only 2016 ▪ Total revenue of A$13.4m on 100% basis, up 82% over 20151 Total revenue1 (2015: A$7.3m) Financial ‒ Zameen expanded its revenues to A$5.8m (up +227% from 2015) performance ‒ Encuentra24.com recorded revenues of A$5.0m (up +17% from 2015) A$13.4m +82% ‒ 7 out o
Slide 3: FY2016 Financial Results
FY2016 FINANCIAL RESULTS For personal use only Strong revenue growth across the portfolio and prudent cost management highlights Frontier’s significant progress towards achieving cash flow breakeven Total revenue (A$m; 100% basis) Total EBITDA (A$m; 100% basis) Significant growth in revenues as port
Slide 4: Revenue Breakdown Across Portfolio
REVENUE BREAKDOWN ACROSS PORTFOLIO For personal use only Strong financial performance in 2016 validates Frontier’s differentiated strategy of partnering with local entrepreneurs Current 2016 revenue Revenue growth Operating company shareholding (A$000, 100% basis) (annual) Type Zameen 30% 5,750 227%
Slide 5: Encuentra24.com: Trading Update
ENCUENTRA24.COM: TRADING UPDATE For personal use only Encuentra24.com is the leading general classifieds portal in the key Central American markets of Panama, Costa Rica, Nicaragua and Honduras Business update Total listings (000s) – Encuentra24.com is the leading general online classifieds 600 port
Slide 6: iMyanmarHouse: Trading Update
IMYANMARHOUSE: TRADING UPDATE For personal use only Successful roll-out of the iMyanmarHouse app and usage with real estate agencies is driving strong operational and financial performance over the last 2 years Business update Real estate agencies using platform (#) – iMyanmarHouse.com is the leadin
Slide 7: LankaPropertyWeb: Trading Update
LANKAPROPERTYWEB: TRADING UPDATE For personal use only Strong growth in listings over the last 2 years has seen LankaPropertyWeb overtake its competitors as the leading online real estate portal in Sri Lanka Business update Competitive landscape – total listings (#) 40 – LankaPropertyWeb is the lead
Slide 8: Kupatana: Trading Update
KUPATANA: TRADING UPDATE For personal use only Operational outperformance in 2016 has transitioned Kupatana to significant monetisation stage from its position of clear market leadership in Tanzania Business update Total users (000s) 500 – Kupatana is the leading general classifieds portal in Tanzan
Slide 9: Zameen: Demonstrated Value Creation
ZAMEEN: DEMONSTRATED VALUE CREATION For personal use only Frontier’s first investment, Zameen, has already increased in value by more than 5x on the investment to date (stake now worth US$27m) Growth in Zameen equity value Zameen proportion of Frontier portfolio Company value increase of 22.5x FDV n
Slide 10: Zameen: Blueprint to Roll Out Across Portfolio
ZAMEEN: BLUEPRINT TO ROLL OUT ACROSS PORTFOLIO For personal use only Frontier’s further 14 investments are following the Zameen blueprint and are rapidly progressing towards monetisation Zameen optimisation process Optimisation of key metrics ▪ Zameen was optimised based on Frontier Mar-14 Change Im
Slide 11: Current Portfolio of Investments Across Countries
CURRENT PORTFLIO OF 15 INVESTMENTS ACROSS 19 COUNTRIES For personal use only Frontier continues to establish strong brand awareness within our target markets as the funding partner of choice for many successful entrepreneurs – Focuses on early stage, locally-based operating companies where the team’
Slide 12: Revenue and Session Data per Website
REVENUE AND SESSION DATA PER WEBSITE For personal use only Strong operational performance was recorded across the portfolio with all businesses experiencing growth across both revenue and sessions over 2015 Standalone revenue (A$000's) Total sessions (000's) Current Ownership if all Accounting 1H to
Slide 13: Frontier's Differentiated Strategy
FRONTIER‘S DIFFERENTIATED STRATEGY For personal use only Frontier has a differentiated investment strategy that combines the drive of well invested local founders with Frontier’s top tier experience building online classifieds businesses Frontier’s clear strategy… ...and unique position to execute –
Slide 14: Strategic Vision for Frontier
STRATEGIC VISION FOR FRONTIER For personal use only Frontier is currently executing on its short- to medium-term plan of taking 10 online classifieds businesses to monetisation Establish Bring 10 Portfolio Establish Monetise portfolio businesses to rationalisation >A$100m market equity monetisation
Slide 15: Maturing Portfolio
MATURING PORTFOLIO For personal use only Frontier is currently optimising the operations of its 15 online classifieds investments and rapidly progressing these investments towards monetisation Investment progression Jun 14 Dec 14 Jun 15 Dec 15 Jun 16 Dec 16 2016 revenue (A$) Currently monetising Zam
Slide 16: Market Position of Investments
MARKET POSITION OF INVESTMENTS For personal use only Frontier is focused on achieving a market leading position in all of its investments as a key requirement to being able to successfully monetise its user base Currently monetising Monetisation planning stage Growing operating metrics #1 #1 upinves
Slide 17: Shift to Transaction Revenue – Online Classifieds v2.0
SHIFT TO TRANSACTION REVENUE – ONLINE CLASSIFIEDS v2.0 For personal use only Frontier markets present a significant opportunity to roll-out the v2.0 online classifieds business model and benefit from transactional revenue streams – There exists a significant opportunity to roll-out v2.0 of the onlin
Slide 18: Equity Call Options
EQUITY CALL OPTIONS For personal use only Frontier’s structured investment terms include valuable call options over several portfolio companies that are expected to generate additional shareholder value over time Operating company Shareholding to be acquired Amount payable (US$) Expiry date Decision
Slide 19: Upcoming Share Price Catalysts
UPCOMING SHARE PRICE CATALYSTS For personal use only Frontier has a number of upcoming share price catalysts as it continues to focus on building the equity value of its portfolio PORTFOLIO – Continued roll-out of successful Zameen blueprint to other portfolio OPTIMISATION companies MARKET – Near te
Slide 20: Investment Highlights
INVESTMENT HIGHLIGHTS For personal use only Frontier provides investors with a diversified portfolio of high growth online classifieds businesses in some of the fastest growing emerging markets – Frontier is the leading global operator of online classifieds businesses in frontier markets – Frontier’
Slide 21: Disclaimer
DISCLAIMER For personal use only The material contained in this presentation is non-specific and is a summary of the background to the Company’s activities. As this information is in a summary form it is not intended to be complete. Independent advice should be sought by investors or potential inves
Slide 22: Contact Details
For personal use only CONTACT DETAILS Principal Office 39-8 The Boulevard Mid Valley City, Lingkaran Syed Putra Kuala Lumpur, Malaysia Telephone: +60 3 2201 0790 FRONTIER DIGITAL VENTURES
Slide 23: Corporate Snapshot
CORPORATE SNAPSHOT For personal use only Frontier is focused on developing online classifieds businesses in underdeveloped, emerging countries or regions Key personnel Top shareholders Catcha Group (Patrick Grove and Luke Elliott) 40.8% David Baxby Chairman Shaun Di Gregorio (CEO & Founder) 17.1% –
Slide 24: The Person Behind Frontier
THE PERSON BEHIND FRONTIER DIGITAL VENTURES For personal use only Online classifieds since 1999 2001– 2009 • General manager REA Group – Australia (ASX:REA) • General manager REA Group – International 2010 – 2014 • CEO – iProperty Group (ASX:IPP) 2010 to 2014 achieved 3000% shareholder return – amon
Frontier Digital Ventures — Investor Presentation (March 2017) on 6ix