Technology One Limited · ASX:TNE
Technology One — Shareholder Meeting (February 2015)
18 slides from Technology One's shareholder meeting presentation, Feb 18, 2015
Slide 1: Annual General Meeting Presentation
18-Feb-15 Annual General Meeting Presentation February 18th 2015 Adrian Di Marco Adrian_Dimarco@TechnologyOneCorp.com FINAL 1.0 Feb 2015 Commercial in confidence Technology One Ltd Annual General Meeting – 18 February 2015 Technology One Ltd (ASX:TNE) today conducted its Annual General Meeting at th
Slide 2: Agenda and Results Summary
18-Feb-15 Agenda Results Significant Achievements Outlook for Full Year Long Term Outlook Appendix TechnologyOne Overview Results Summary FY14 FY13 Variance % Profit Profit Before Tax $40.2 m $35.1 m 15% Profit After Tax $31.0 m $27.0 m 15% Revenue $195.1 m $180.6 m 8% Initial Licence Fees
Slide 3: Results Highlights
18-Feb-15 Results Highlights Continuing strong performance Significant investments have continued as follows United Kingdom ($800k loss) TechnologyOne Cloud ($2m loss) Preconfigured solutions ($3m loss) R&D, including Ci Anywhere ($38m) Fully expensed as incurred Highlights Guidance PB
Slide 4: Dividend and Balance Sheet
18-Feb-15 Dividend Dividends for this year 10.00 Dividend Up 46% Half 1 1.95 cps up 10% (paid) 8.00 Compound Growth 9% Cents per share Half 2 4.21 cps up 10% (declared) 6.00 4.00 Sub Total 6.16 cps up 10% 2.00 Special Dividend 2.0 cps (declared) 0.00 2010 2011 2012 2013 2014 Total Dividend
Slide 5: Cash Flow and Historical Performance
18-Feb-15 Cash Flow NPAT versus Operating Cash Flows Operating Cash Flow strong at $35m 50 50 $35.1m • Operating Cash Flow up 6% from $33m* 40 $33.0m 40 $'m $'m NPAT $31m • Operating Cash Flow of $35m versus NPAT of $31m 30 NPAT $27m 30 * As at September 2013 20 20 10 10 0 0 2013 Operating Cash Flow
Slide 6: Annual Support Fees and Licence Fees Highlights
18-Feb-15 Highlights Annual Support Fees Up 16%, Licence Fees Up 11%, 90 45 $4.0m $11.5m 80 40 Compound Growth 19% 70 35 Compound Growth 16% 60 30 50 25 $'m $'m 40 20 30 15 20 10 10 5 ‐ ‐ 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Annual suppo
Slide 7: Ci Anywhere and TechnologyOne Cloud
18-Feb-15 Ci Anywhere Enterprise software Any device. Any where. Any time. Launched at Evolve Feb 2014 Early adopters in progress, positive feedback Solution showcases in progress Deliver all products on this platform over next 2 years Deliver all our enterprise functionality on this platf
Slide 8: TechnologyOne Cloud and Other Initiatives
18-Feb-15 TechnologyOne Cloud Expect a smooth transition of our business to the Cloud over next 5+ years Significant benefits for us as we transition our business to the Cloud • Streamline our business, reduce costs • Reduce time to market • Increase innovation and creativity • Improve our custo
Slide 9: Acquisitions: ICON Software Solutions
18-Feb-15 Acquisitions ICON Software Solutions Local Government – Online Planning & Approval Strengthens our overall solution in Local Government • Strategic high value addition to TechnologyOne OneCouncil solution • Have market presence and credibility ICON also well positioned in state Gover
Slide 10: Outlook for Full Year
18-Feb-15 Outlook for Full Year Economic Environment The enterprise software markets has been one of the most resilient sectors of the IT industry in recent years In particular TechnologyOne markets have remained robust in recent years: government and government related businesses The Pipeline
Slide 11: Outlook for Full Year: Our Focus
18-Feb-15 Outlook for Full Year Our focus next financial year is ... Control R&D costs and Variable Costs Focus on our seven vertical markets – resilient & strong Cross sell into our large existing customer base Focus on our newer products • HRP, Asset Management, ECM TechnologyOne Cloud
Slide 12: Long Term Outlook
18-Feb-15 Long Term Outlook Focus is to substantially improve Net Profit Margin Before Tax PBT margins through: 35% 31% 29% 27% 30% 25% 26% 24% 25% Controlled R&D growth 25% 21% 21% 21% 19% 20% 18% 17% 17% 17% Product Maturity 15% 10% 5% 0% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
Slide 13: Product Maturity
18-Feb-15 Product Maturity 16 Tipping point reached 14 Profit exceeds Licence fees Contribute $16+m of additional 12 10 profit per year in 5+ years time 8 6 $'m 4 2 0 (2) (4) Financials & Supply Student Management Asset Management Enterprise Content CPM Chain Management HR/Payroll Property Stakehold
Slide 14: TechnologyOne Overview
18-Feb-15 Agenda Results Significant Achievements Outlook for Full Year Long Term Outlook Appendix TechnologyOne Overview TechnologyOne Overview Formed in 300+ Employees developers 1000+ Revenue 1987 1000+ R&D in centre corporations, government and statutory authorities $195+m One of Austr
Slide 15: TechnologyOne Overview: Financially very strong
18-Feb-15 1000+ high profile customers TechnologyOne Overview Financially very strong¹ .... Cash and Equivalents $80.2m Return on Equity 30+% Adjusted Return on Equity² 76+% Debt/Equity 4% Interest Cover 168 Continually paid dividends since 1996 (19 years) Continually profitable since
Slide 16: What makes us unique
18-Feb-15 What makes us unique ... We are one of only a few Enterprise Vendors globally... Single supplier of a suite of 12 products Best of Breed functionality We believe in the Deeply integrated freedom of choice Common platform our solution is Consistent user interface modular by design
Slide 17: What makes us unique: no partners or resellers
18-Feb-15 What makes us unique ... We do not use implementation partners or resellers We take complete responsibility for building, marketing, selling, implementing, supporting and running our enterprise solution for each customer to guarantee long term success. The Power of One Our Vision Clear & f
Slide 18: Transforming business, making life simple
18-Feb-15 technologyone Transforming business, making life simple 18