Technology One Limited · ASX:TNE
Technology One — Shareholder Meeting (November 2005)
46 slides from Technology One's shareholder meeting presentation, Nov 4, 2005
Slide 1: 2005 Annual General Meeting
Slide 2: 2005 Full Year Results
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Slide 3: 2005 a year of continuing growth
= 2005 a year of continuing growth = Record Revenue of $55.8m, up 8% * Record Profit (NPBT) of $14.3m, up 9% « Dividend of 3.10 cents fully franked, up 9% * Yield 5.6% ff on share price of 55cs * Strong Operating Cash Flow * $11.1m compared to NPAT of $10.3m = Invested strongly in our future «= R&D
Slide 4: Adjusted ROE of 55%
« Adjusted ROE of 55% « Unadjusted ROE of 28% = Debt/Equity of 3% * Capital Buy Back program instigated = Manage our capital base in respect of options exercised now and in the future business softwere adiutions if technologyone
Slide 5: 2005 Full Year Results - Summary
2005 Full Year Results - Summary Dividends (cps) for the Year ae 2 Cents Per Years 2 a | _) oe | y gtechnologyone i business softwere adiutions oom onne ot ed NLC! I 220CO moo emer were
Slide 6: Results by revenue line
r R asults - = Licence fees to new customers up 17% = Strong indicator of the increasing success of our Connected Intelligence product line = 83 new customers « Annual licence and support revenue of $17.3m, up 20% « Implementation and consulting services revenue of $14.8m up 12% « Project Services r
Slide 7: Results by product
r R asults - Technology One Financials (Finance One) suite revenue up 7% = Involved in almost all deals = Have not yet tapped into the full potential of our Supply Chain and HR/Payroll (People One) Technology One Rating and Property Management (Proclaim One) revenue up 18% Technology One Education A
Slide 8: 2005 Full Year Results
2005 Full Year Results Summary Highlights Significant Achievements Review of Operations Overseas Expansion Outlook By Product By Geography Summary Challenges in 2006 Long Term Outlook technologyone business softwere adiutions —— om Gonnected( Atel IPCN6O ooo ome memer ere eee
Slide 9: Significant Achievements
hievements = Success of our new Finance One Cl = Organisational Changes technologyone business softwere adiutions
Slide 10: Finance One Connected Intelligence (Ci) — a new generation of financials
Finance One Connected Intelligence (Ci) — a new generation of financials to support a more devolved and empowered organisations 34 customers live on Cl platform (at 1 October 2005) Another 42 customers in progress of implementing Cl Product leadership position over our competitors Started the redeve
Slide 11: Technology One continues to evolve and change
Technology One continues to evolve and change Transition to a new executive team « Increased bandwidth to better manage our expanding business =" Commitment to “Think Globally, Act Locally” " Better pipeline management « Better interaction between regions and head office = Strategic planning introdu
Slide 12: Changes to better address roll out of new software
= Changes made to better address the ‘roll out’ of new software to the market = Product Marketing — support our sales people in the field to win business = Product Service Delivery — support our consultants in the field to implement if technologyone business softwere adiutions ed, NCH CONGO... ee ee
Slide 13: More changes planned over the next months
More changes planned over the next 12 months R&D — changes to focus on delivering AWESOME software Consulting — changes to focus on delivering EXCEPTIONAL customer service Sales — dramatically increase the effectiveness of our sales organisation if technologyone business softwere adiutions COM eT Oc
Slide 14: 2005 Full Year Results
2005 Full Year Results Summary Highlights Significant Achievements Review of Operations Overseas Expansion Outlook By Product By Geography Summary Challenges in 2006 Long Term Outlook technologyone business softwere adiutions —— om Gonnected( Atel IPCN6O ooo ome memer ere eee
Slide 15: Gye hr Age
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Slide 16: Increased Sales
= Increased Sales =» Regional Achievements * Continued R&D Program technologyone business softwere adiutions
Slide 17: New customers
= 83 new customers = Licence fees to new customers up 17% * Strong indicator of the increasing success of our Connected Intelligence product line * Significantly improved sales pipeline management if technologyone business softwere adiutions
Slide 18: New general commercial clients
45 new general commercial clients: § Utilities - CrossCity Motorway Pty Ltd, State Water Corp, Southern Rural Water, Papua New Guinea Harbours Limited, Adelaide Airport Limited 12 Corporate - SMB Fleet Management, The Marketing Repartment, Mitsui Coal Holdings, Qld Motorways, QM Technologies, Ramsey
Slide 19: New Local Government clients
= 14 new Local Government clients: * Armidale Council * Clarence Valley Council * Snowy River Shire Council * Environmental Bay of Plenty Regional Council * Far North District Council * North Shore City Council « Mareeba Shire Council * City of Campbelltown SA * City of Holdfast Bay * The Barossa Co
Slide 20: New State and Federal Government clients
id Federal Government = 12 new State and Federal Government clients: =" NSW Long Service Payment Corporation =" NSW Office of State Revenue Project =" ACT Department of Justice and Community Safety = Northern Territory Archives Service = Commerce Commission « Energy Efficiency Conservation Authority
Slide 21: People One, Work One, Student One
= People One (Payroll/HR) = 37 new contracts signed = Sold as ‘add on’ to Finance One, not as best of breed * Played an important part in winning Finance One deals = 103 customers now using People One = Work One (Asset and Work Management) = 17 Work One contracts signed = Very strong start for this
Slide 22: New clients in New Zealand
= 15 new clients in New Zealand * Port of Tauranga Limited = NZ Automotive Association Incorporated * Wellington Institute Of Technology * Ticketek New Zealand Limited * Pinnacle Group Limited * Commerce Commission * Energy Efficiency Conservation Authority * Ministry of Agriculture and Forestry * N
Slide 23: New clients in Malaysia
= 4newclients in Malaysia Hijrah Venture Holdings Malaysia Khazanah Holdings Berhad Nando's Chickenland Malaysia Sdn Bhd Delcom Services Malaysia business softwere adiutions if technologyone Connected (nielligenG@rnmnn cme
Slide 24: Australia achievements
ievements AUSTRALIA 62 deals signed with new customers in Australia across all regions Sales, implementation and relationship managers built around a vertical market focus Development of teams of specialists for areas such as Payroll/HR Improved Client Relationship Management to engage with clients
Slide 25: New Zealand achievements
1ievements NEW ZEALAND 15 new clients signed in the last 12 months Now one of the two major players in the local government market Opening of new office in Wellington enabled us to grow our market share in central government as well as other sectors if technologyone business softwere adiutions bh CE
Slide 26: Asia and the Pacific achievements
1ievements = ASIA AND THE PACIFIC = Malaysian office had its most successful year in 2005 including signing a partnership agreement with a local organisation to represent us in Asia and the Middle East = Won several large deals in the Pacific; this is now an area of focus for us if technologyone bus
Slide 27: R&D continued at 18% of revenue, fully expensed
R&D continued at 18% of revenue, fully expensed Significant enhancements across all our products Introduction of domain teams to improve product quality and increase innovation and productivity Introduction of a new formal product roll out process Substantial effort expended on the next generation o
Slide 28: Technology One Financials (Finance One)
« Technology One Financials (Finance One) = Delivered first release of our Connected Intelligence (Cl) Series * Cl significantly raises the bar in enterprise technology with its focus on being user centric rather than functionality centric = Focus on delivering multi-currency functionality for our l
Slide 29: Supply Chain and Retail Management (Retail One)
= Supply Chain and Retail Management (Retail One) = Consolidated the retail management solution = Completed initial stages of migration to the Connected Intelligence (Cl) platform = 2006 development will focus on finalising migration to the Cl platform and delivering improvements to Supply Chain Man
Slide 30: Work and Asset Management (Work One)
* Technology One Work and Asset Management (Work One) * New solution to complete our solution for local government and asset intensive industries * Totally integrated to our local government solution as well as Financials and Human Resource and Payroll = Provides clients with project management, wor
Slide 31: Business Intelligence (Enterprise One)
= Technology One Business Intelligence (Enterprise One) = Significant new direction = Business Intelligence “out of the box” across all our products = Lower cost of ownership; Technology One aware but also able to incorporate other non Technology One data sources = Aseparate R&D team based in Perth
Slide 32: Human Resources and Payroll (People One)
= Technology One Human Resources and Payroll (People One) Two major new releases delivered to the market Increased depth of functionality included: * Additional Human Resource functionality * Training * Automated forms * Integration to Work One Market is looking to vendors to provide a totally integ
Slide 33: Rating and Property Management (Proclaim One)
Technology One Rating and Property Management (Proclaim One) = Solution now used by local government authorities, utilities, ports and airports, commercial property managers and not for profit organisations = Three major new releases of the product = Development included internet self-service functi
Slide 34: Student Administration (Student One)
= Student Administration (Student One) * Development focused on providing timely compliance with new government reporting requirements = Technology One the first vendor to provide its clients with the ability to comply to the new legislative requirements = Development in 2006 will focus on delivery
Slide 35: R&D Program: new areas under investigation
ed R&D Program = New areas under investigation CRM — Customer Relationship Management Contract Management Fleet Management Property Management business softwere adiutions if technologyone Connected (nielligenG@rnmnn cme
Slide 36: 2005 Full Year Results
2005 Full Year Results Summary Highlights Significant Achievements Review of Operations Overseas Expansion Outlook By Product By Geography Summary Challenges in 2006 Long Term Outlook technologyone business softwere adiutions —— om Gonnected( Atel IPCN6O ooo ome memer ere eee
Slide 37: Overseas Expansion: UK and South Africa
Expansion. United Kingdom Office opens early 2006 Country Manager identified and appointment in progress Australian staff to go across as ‘culture carriers’ Power of One business model to be adopted Opportunities for substantial growth — market estimated to be 3+ times size of Australian market 4 of
Slide 38: 2005 Full Year Results
2005 Full Year Results Summary Highlights Significant Achievements Review of Operations Overseas Expansion Outlook By Product By Geography Summary Challenges in 2006 Long Term Outlook technologyone business softwere adiutions —— COM eT Occ ttt tt tt ttt tt ttt ttt ttt ttt
Slide 39: Finance One Ci gaining traction
= Finance One Ci gaining traction = 76 customers now signed up to Cl « Increase win rate expected = Improving market conditions » Will need to carefully manage the roll-out of Cl to our existing customers so as not to slow our ‘win rate’ * Proclaim One = The new Cl series coupled with Work One and t
Slide 40: People One, Supply Chain, Work One outlook
= People One Total of 103 clients now using People One (vs 53 last year) Addition of HR functionality and the new Cl series will position this product well in the future Focus on product stability and user satisfaction over the next 12 months Becoming critical in the sale of Finance One Best of bree
Slide 41: Student One, Project Services, Integrate One
= Student One " Significant opportunities in 2005/2006 " Callista and PeopleSoft ‘melt down’ = Student One Cl will position us strongly — available late 2006 = Project Services = Re-look at the strategy going forward in NSW and Victoria = Re-align to add value to our products through Integrate One i
Slide 42: Outlook by geography
Australia « Market conditions continue to improve " Increase “win rate” expected New Zealand = Strong opportunities going forward « Increase “win rate” expected Malaysia " Target smaller deals to get into larger opportunities = Partners to access more deal flow United Kingdom 7 Early days — expect a
Slide 43: Expect growth of 5% to 10% in 2006
= Expect growth of 5% to 10% in 2006 = Assumptions: Market conditions continue to improve Increased win rate from Cl Increased penetration of Student One, People One, Proclaim One Opportunities from Work One and Enterprise One initiatives Limit our expenditure on the United Kingdom to $800,000 No si
Slide 44: Growth will come because of our integrated strategy
Growth will come because of our integrated strategy: " Focus on business software solutions « Financials, Supply Chain, HR/Payroll, Work/Projects, Student Administration, Rating and Property Management, Business Intelligence etc. New Connected Intelligence series * Positions us well for the future C
Slide 45: Slides available from the company's website
These slides are available from the company’s web site, under the Investor Relations section: www.TechnologyOneCorp.com business softwere adiutions if technologyone om Gonnected( Atel IPCN6O ooo ome memer ere eee
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