Vista Group International Ltd · NZX:VGL
Vista Group International — Investor Day (September 2023)
75 slides from Vista Group International's investor day presentation, Sep 13, 2023
Slide 1: LA Investor Update
LA Investor Update 13 September 2023 Page 1
Slide 2: Welcome to the Vista Group Investor Day
Welcome to the Vista Group Investor Day Part A: From the Industry Part B: From Vista Group • Shelli Taylor, Alamo Drafthouse • Stuart Dickinson • George Eyles, Deluxe Page 2
Slide 3: Why we are here today – Alamo
Why we are here today – Alamo They live and breathe movies (film, food, and fun) https://youtu.be/MpFWQWjmHEQ?si=XxYK0mfopbAPX0X_ Page 3
Slide 4: Shelli Taylor
Shelli Taylor Chair, Alamo Drafthouse • Joined Alamo Drafthouse as CEO in 2020 leading through the pandemic to August 2023 with Alamo's current industry- topping performance and renewed expansion • Former President of United Planet Fitness Partners, the largest Planet Fitness franchise • Former Star
Slide 5: Slide 5
Slide 6: Best theater ever
“BEST THEATER 3 EVER.” TIME MAGAZINE Into @ life long memory. Through our creative programming, unique food and CELEBRATING FILM. It is the simple reason Alamo Drafthouse exists, ‘Our goal is to deliver the best cinema experience in beverage offering, unconventional experiences and highly collectibl
Slide 7: Wired Magazine
v WIRED MAGAZINE
Slide 8: Alamo Drafthouse Cinemas
ALAMO DRAFTHOUSE CINEMAS
Slide 9: Food & Drinks
/ Ne ~ She mt See 's ASTEROID CITY Lager. FOOD & DRINKS =
Slide 10: Content & Editorial
NO © TALKING | ee ecoccccccce CONTENT & EDITORIAL fe for =i > Asa brand that loves showing movies, it only makes sense that we love talking about movies with the widest audience possible. Instead of featuring ads on screen, we curate a special show before every screening. This content includes our c
Slide 11: Film Marketing
FILM MARKETING > Alamo Drafthouse takes a deliberate approach to marketing titles for maximum success at the box office. With over 25 years of customer insights, owned digital platforms, and a trusted voice in film, we're able to create bespoke, targeted campaigns that directly connect films we love
Slide 12: Media Opportunities
MEDIA OPPORTUNITIES »
Slide 13: Fantastic Fest
FANTASTIC FEST. ss-nsex 21-20 202 > Hailed a: “the coolest film festival in the world” by IGN, Fantastic Fest is the largest genre film festival in the US, specializing in horror, fantasy, sci-fi, action, and just plain fantastic movies from all around the world. The festival is dedicated to champio
Slide 14: Ranked #4 most innovative companies in Hollywood
RANKED #4 “THE WORLD'S MOST INNOVATIVE COMPANIES IN HOLLYWOOD” aeeeetecesisne ) FAST COMPANY
Slide 15: Unlimited Movies
a ae UNLIMITED MOVIES
Slide 16: Total Experience
TOTAL EXPERIENCE At Alamo Drafthouse, we don’t just deliver the best films, food and drink in our theaters, Whether it’ intimate ac talent, custom: producing the most 1s, we pride ourselves in creating the most awe: experiences for our gui Bur the fun doesn’t stop in our theaters... For the finely-h
Slide 17: =ounu Ti
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Slide 18: Alamo Drafthouse
ALAMO DRAFTHOUSE LOCATIONS 39 NATIONAL MARKET SHARE 7 APP DOWNLOADS 1.4M TOTAL FOLLOWERS SOCIAL 1.7M VICTORY LOYALTY MEMBERS EMAIL 3M SCREENS 324 AVG MONTHLY THEATER GUESTS 570K AVG MONTHLY WEB + MOBILE VISITS 1.3M ‘AVG ANNUAL REACH AVG ENGAGEMENT RATE 5.5M 5% EMAIL SUBSCRIBERS 2M ALAMO DRAFTHOUSE L
Slide 19: Contact
CONTACT MARKETING@DRAFTHOUSE.COM FOR A MEDIA KIT AND CUSTOM CAMPAIGN
Slide 20: George Eyles
George Eyles EVP & GM, Cinema Worldwide, Deluxe • Responsible for Deluxe's global Cinema strategy and operations. • Previously CEO of Maccs and led Numero's box office reporting business. Launched cloud native system Mica and expanded box office reporting services globally. • Worked at Arqiva, deplo
Slide 21: Deluxe has been a trusted partner to the cinema industry since 1915
DELUXE HAS BEEN A TRUSTED PARTNER TO THE CINEMA INDUSTRY SINCE 1915 CO NTE NT IN THIS DO CUME NT IS CO NFI DE NTI AL & PROPRIETARY.
Slide 22: Global leader in content servicing and delivery
FOR OVER 100 YEARS, DELUXE HAS BEEN THE GLOBAL LEADER IN CONTENT SERVICING AND DELIVERY DELUXE SETS THE STANDARD FOR QUALITY AND DISTRIBUTION AT SCALE Future BRAND SYNONOMOUS WITH TRUST & DELIVERY 2020 2015 Real-Time Localization UNMATCHED 4,000+ 13 36 195 Operating Countries 1915 Cloud Mastering an
Slide 23: Servicing the end-to-end theatrical workflow
SERVICING THE END-TO-END THEATRICAL WORKFLOW FROM CREATING THE ORIGINAL MASTER TO DELIVERING TO THEATERS WORLDWIDE LOCALIZATION MASTERING DISTRIBUTION KEYS CO NTE NT IN THIS DO CUME NT IS CO NFI DE NTI AL & PROPRIETARY.
Slide 24: Unmatched scale & reach
UNMATCHED SCALE & REACH SERVICING THE BIGGEST BLOCKBUSTERS REQUIRES GLOBAL SCALE COMBINED WITH LEADING TECHNOLOGY AND 24x7 OPERATIONS 14 Facilities 25QC 26 7K+ 600+ Replication Connected Worldwide Theaters Facilities Cinemas Team Members CONTENT IN THIS DOCUMENT IS CONFIDENTIAL & PROPRIETARY.
Slide 25: Looking forward
LOOKING FORWARD CONTENT IN THIS DOCUMENT IS CONFIDENTIAL & PROPRIETARY.
Slide 26: Accelerating the new era of entertainment
ACCELERATING THE NEW ERA OF ENTERTAINMENT CO NTE NT IN THIS DO CUME NT IS CO NFI DE NTI AL & PROPRIETARY.
Slide 27: Questions
Questions Page 27
Slide 28: 5 minute break
Thank you, Shelli and George 5 minute break Page 28
Slide 29: Connected Future
Connected Future Powering a vibrant industry with client-inspired innovation and high performing technology. 13 September 2023 Page 29
Slide 30: Important notice
Important notice This presentation has been prepared by Vista Group International Limited and its • although Vista Group’s management may indicate and believe the assumptions related companies (collectively referred to as Vista Group). This notice applies to this underlying the forward-looking state
Slide 31: The Vista Group Formula
Solving our client's business needs.… The Vista Group Formula … 1. The Film industry is vibrant. 2. AI-enabled cloud technology will power stronger margins and performance. 3. An ecosystem approach enables client-inspired innovation and speed to market. Page 31
Slide 32: The industry is vibrant
Company records for The industry is vibrant biggest single day ever, • Summer box office exceeded $4 billion for the first time since 2019 biggest opening weekend • 119% of 2022 box office - B&B Theatres • 96% of the average of 2017-19 summers with half the releases • Diversity drove admissions, wit
Slide 33: Streamers / new studios have powered up theatrical release
Streamers / new studios have powered up theatrical release and the box office Air Sound of Freedom Killers of the Napoleon Exclusive theatrical Flower Moon Angel Studios – new entrant, Apple trend: exclusive release before streaming $183m and counting in the Wide global theatrical theatrical release
Slide 34: What about the strikes?
What about the strikes? Q4 2023 • Vista Group less impacted by writers and actors strikes than other areas of the entertainment industry • A diverse slate of films for the rest of the year and 2024 is also looking strong Q1 2024 • Barbie and Oppenheimer success carries over: August was the second mo
Slide 35: Premiumisation: a truly differentiated experience
Premiumisation: a truly differentiated experience • Premiumisation refers to luxury auditoriums and seating, extended dining and enhanced technology in addition to immersive sound and 3D screens. • Omdia reports that between 2021-22, premium format screens (PLF, 4D, and motion seating) rose from 7,0
Slide 36: Key trends are driving investment and momentum for exhibitors
Key trends are driving investment and momentum for exhibitors Desire to offer more than just Premiumisation the ticket to moviegoers Loyalty and Desire to build audience engagement engagement from the moment the trailer drops Technology is essential The movie Desire to increase wallet share and and
Slide 37: With great content and investment exhibitors see a strong future
With great content and investment exhibitors see a strong future Everyman Media Group: Strong operational and financial performance "Supported by an increasingly strong pipeline of new releases, commitment to the theatrical window from studios and new investment “Our record-breaking July box office
Slide 38: Delivering Products Solutions that fit
AI enabled Cloud is inevitable Value is in the Suite Delivering Products Solutions that fit … Page 38
Slide 39: Our digital ecosystem supports the entire industry value chain
Our digital ecosystem supports the entire industry value chain Studio Distributor Exhibitor Moviegoer Digital creative for movies Studio marketing & research Box office reporting Film booking, content delivery & revenue management Movie & cinema information for moviegoers Independent cinema manageme
Slide 40: The future is the Vista Cloud Platform
The future is the Vista Cloud Platform Our next generation of moviegoer and enterprise cinema management platform. Reassuringly familiar yet radically superior, Vista Cloud Platform propels exhibitors into the future. Page 40
Slide 41: The future is the Vista Cloud Platform
The future is the Vista Cloud Platform Components Business driver Market bundle Let me focus on delivering exceptional operations and Core Confidence guest experiences confident that I have world-class All technology that don’t drain my resources or let me down. Reveal how I’m performing, why, and r
Slide 42: Exhibitors determine their preferred path and pace to Vista Cloud
Exhibitors determine their preferred path and pace to Vista Cloud Core The foundation to succeed Capabilities Aligning innovation to needs Journey Multiple points of entry and adoption velocity Page 42
Slide 43: A robust Core
A robust Core On-premise SaaS "Let me focus on delivering exceptional operations and guest experiences confident that I have world-class technology that don’t drain my resources or let me down.” Software Subscription License Fee Implementation Governance Our Core delivers: Maintenance • Exceptional
Slide 44: A robust Core
A robust Core USE CASE With more frequent and severe cyberattacks, building cybersecurity resilience is critical but also complex, especially for cinemas. Vista Cloud leverages its technological advantages and dedicated team to identify and manage any security issues that might arise. Vista Cloud Pl
Slide 45: Capabilities: Data empowerment
Capabilities: Data empowerment "Reveal how I’m performing, why, and recommend what I should do to seize every opportunity.” Horizon: circuit-wide, full-fidelity data warehouse, with quality data made available in seconds across Vista, Veezi Horizon and third-party products. Oneview: Vista, Numero an
Slide 46: Capabilities: Data empowerment
Capabilities: Data empowerment USE CASE 1 session is sold out, 1 session hasn't sold any tickets. Real-time, circuit-wide insights and alerts let the Head Office know straight away, enabling the Film team to adjust the schedule. Horizon and Oneview can create significant uplift opportunities. Page 4
Slide 47: Capabilities: Digital Connectivity
Capabilities: Digital Connectivity "Allow me to scale to blockbuster moments and deliver amazing user experiences regardless of who builds my sales channels” Connect: Digital APIs and building blocks to deliver innovative ticketing and concession ordering service CXM: guest experience engine to dyna
Slide 48: Capabilities: Digital Connectivity
Capabilities: Digital Connectivity USE CASE Moviegoers are queuing online to get tickets to this highly anticipated release. They try their luck on other websites. Horizontal scaling improves performance during peak load, removing or reducing the need for digital queuing systems. Channels powered by
Slide 49: Capabilities: Moviegoer engagement
Capabilities: Moviegoer engagement "Allow me to drive incremental returns and boost moviegoer retention with tailored interfaces, communications and offers." EQ: a faster, simpler, smarter data analytics and campaign management solution Lumos: sleek out-of-the-box websites, mobile apps, kiosks Livin
Slide 50: Capabilities: Moviegoer engagement
Capabilities: Moviegoer engagement USE CASE Cinemas need easy-to-set-up yet impactful marketing campaigns to increase visitation. “With EQ, the process to achieve [a premium Through machine learning, dynamic content, moviegoing experience] has been significantly and customisable omnichannel streamli
Slide 51: Capabilities: Operational excellence
Capabilities: Operational excellence "I want my teams to serve our guests and operate our theatres as efficiently and effectively as possible." New user experience: simple, seamless, and centralised UX to boost productivity with secure single sign on and centralised navigation Serve: mobile app dedi
Slide 52: Capabilities: Operational excellence
Capabilities: Operational excellence USE CASE Exhibitors wish to reduce transactional labour and pivot to an experiential service delivery model whilst generating savings. Self check-in gates facilitate moviegoers’ flow at peak times, reduce staff assigned to supervising entry, and let remaining sta
Slide 53: Embedding the power of AI
Embedding the power of AI Capabilities: Moviegoer engagement Capabilities: Operational excellence • Greater moviegoer self-service Film Programming • Dynamic pricing and offers • Optimised scheduling and ‘like’ movie prediction • Actionable guest feedback per movie / per site • Personalised guest co
Slide 54: Embedding the power of AI
Embedding the power of AI USE CASE Cinemas can do zone-based pricing for seats. However, demand fluctuates based the movie's popularity and how long it’s been out, while supply depends on overall seating capacity and types (e.g. recliners). AI-driven data science allows us to see heat map utilisatio
Slide 55: Vista Cloud Platform is the destination, no matter the journey
Vista Cloud Platform is the destination, no matter the journey Implementation and adoption are progressive and tailored to exhibitors’ preferred path and pace. • To address their priorities in a timely manner, exhibitors can start their journey where their business needs are. • To make the most of o
Slide 56: Vista Cloud Platform propels clients into the future
Vista Cloud Platform propels clients into the future Desire to offer more than just AI enabled - dynamic pricing, Premiumisation the ticket to moviegoers occupancy & yield management. Loyalty and Performance prediction, audience growth and Desire to build audience engagement feedback. Loyalty, CRM a
Slide 57: The power is in our suite
Vista Group is ready The power is in our suite The Vista Group Formula … One Organisation … 1. The Film industry is vibrant. 1. Clear strategy. 2. AI-enabled cloud technology will 2. Aligned client-centric business model power stronger margins and performance. and operating structure. 3. An ecosyste
Slide 58: Unifying and globalising our business structure
Unifying and globalising our business structure – From a company / product centric approach … Clients Companies Vista Cinema Veezi Media Numero TDS Flicks Products Vista Digital Cinema EQ Mica MovieXchange Madex MaccsBox Cinema Intelligence Page 58
Slide 59: Unifying and globalising our business structure
Unifying and globalising our business structure – … to a client aligned business model Clients Studio / Distribution Exhibition / Cinema Mica Madex Movio Cinema EQ Maccs Movio Media Vista Cloud Products Flicks MovieXchange Vista Cinema Numero Vista Digital Veezi Oneview Page 59
Slide 60: Growing our success with our people
Growing our success with our people • Our new global structure allows for diverse experience from our global teams to drive innovation and deepen client engagement • Creating opportunities for our people to work across our suite of products and services • Uniting our teams' expertise for a more conn
Slide 61: Keeping track of progress
Vista Group is ready Keeping track of progress … Page 61
Slide 62: Strong momentum against our 2025 aspirations
Strong momentum against our 2025 aspirations Live Commited Contracting Available ~40% of 2025 targets are live, committed, or in the contracting stage to Vista Horizon/Oneview Digital ~30% more are in the Vista Digital sales pipeline Vista Cloud 0% 20% 40% 60% 80% 100% 62 Page 62
Slide 63: Path clear to our 2025 ARR baseline aspiration
Path clear to our 2025 ARR baseline aspiration $12m is already contracted, committed or high conviction renewals Page 63
Slide 64: Optimising our operating and capex cost base
Optimising our operating and capex cost base – Smoothing of capex run rate Capitalised Development 35 Rephased capex profile 30 25 Lower cash out in 2023-2025 20 15 Higher cash out in 2026-2027 10 5 Impact of AI likely to reduce some aspects of technology transition in medium term 0 FY23 FY24 FY25 F
Slide 65: Optimising our operating and capex cost base
Optimising our operating and capex cost base – Cost base sized for focused growth (and 4Q24 positive Free Cash Flow) Expected 1H24 and 2H24 underlying cash costs = $76m (per half) (1)1H23 cash costs = $67m in EBITDA + $3m Leases/Financing + $10m Capitalised Development Page 65
Slide 66: Transition aspirations from November 2022 remain the same
Transition aspirations from November 2022 remain the same June 2023 4Q 2024 December 2025 100% Platform Sites 5,000 1,600-2,400 (Digital or Cloud) 6,000+ ARR $118m $175-205m $300m+ EBITDA margin 15%+ 25-30%+ Free cash flow Positive Box office 50%+ 5-7% influence (60-70% in cinema) Page 66
Slide 67: In enterprise SaaS language … $US50B+ of seriousness
In enterprise SaaS language … $US50B+ of seriousness Significant of portion of the $50B goes through Vista today1 Benchmarked enterprise software SaaS take rates can be between 0.7 – 3% Page 67
Slide 68: Aligning for shared success
Aligning for shared success • The box office in direct markets grew consistently for 25 years up to 2019 (source: Omdia) • Growing at 1.7% per year Admits in Vista Direct Market • Non-box office spend growing faster than box office spend 5M • Enterprise market is ~70-80% of box office 4M • Vista Cin
Slide 69: The business case for investing in Vista Group is strong
If that was our only window, the business case for investing in Vista Group is strong A world leader in film and cinema technology Competitive advantage through Growing free cashflow (FCF) 50% global market share in the and EBITDA during Q4 2024 enterprise cinema market1 Strong annualized Increasing
Slide 70: Focus on executing on our two core strategies
Focus on executing on our two core strategies … 01 02 03 Support our Expand our platform Create and invest clients to thrive and deliver value in new opportunities Page 70
Slide 71: We are not blind to the opportunities beyond Strategy 1 and 2
We are not blind to the opportunities beyond Strategy 1 and 2 01 02 03 Support our Expand our platform Create and invest clients to thrive and deliver value in new opportunities Page 71
Slide 72: At our core…
At our core… We offer technology capable of transacting at extraordinary high volume, to a staggering number of countries, at both local and enterprise scale. We are unique: • Market Leadership – Unrivaled market share within the fragmented cinema market, with technology solutions and relationships
Slide 73: Bigger than blockbusters
Bigger than blockbusters The combination of our formula and our people brings exciting opportunities for expansion BEYOND FILM Leverage our core competencies outside the film vertical, partnering with clients doing the same Film Distribution Restaurants Theme Parks Live Music QSR Restaurants Family
Slide 74: The business case for investing in Vista Group
The business case for investing in Vista Group A world leader in film and cinema technology Competitive advantage through Growing free cashflow (FCF) 50% global market share in the and EBITDA during Q4 2024 enterprise cinema market1 Strong annualized Increasing total recurring revenue (ARR), forecas
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Vista Group International — Investor Day (September 2023) on 6ix