Eagle Eye Solutions Group Plc · LSE:EYE
Eagle Eye Solutions — H1 2021 Earnings Presentation
23 slides from Eagle Eye Solutions's earnings presentation, Mar 16, 2021
Slide 1: Strong profit growth underpinned by new domestic and international customer wins
Strong profit growth underpinned by new domestic and international customer wins
Slide 2: Hello. We are Eagle Eye.
Hello. We are Eagle Eye. Our mission is to transform marketing for a digital world by bridging online to offline Eagle Eye enables companies to digitally connect to their customers through promotions, loyalty, apps, subscriptions and gift services Our mantra is digitally enabled and data driven lead
Slide 3: Global retail market undergoing digital revolution
Global retail market undergoing digital revolution C >|erated the drive to digital customer engagement (eCommerce sales up 59%*) andemic has a * “Winning businesses’ will be those w relationships with the omers, personalising every interaction * Marke will be transformed the always-on, cts of the cu
Slide 4: Where we fit
Where we fit Data management , Manage and store data toe advanced analytics and customer insights to d future transactions Transactional capability eagle eagleeye
Slide 5: Addressing client pain points
eagleeye Addressing client pain points Oo 2] 3) © 5 ] 6) o Limited ability to Limited ways to Disjointed customer Batch processes, Manual, multi- Manual funding > personalise offers engage customers view time-lagged touch offer management management = <500m Points per amount 5 IDs = 5 customers ~3-5
Slide 6: Executive Summary
Executive Summary Strong profit growth underpinned by new domestic and international customer wins * Strong trading performance - delivering revenue and adj. EBITDA* growth and healthy cash performance * New wins in the UK and internationally * COVID-19 lockdowns continue to impact on our Food & Bev
Slide 7: Financial Update
eagleeye Financial Update
Slide 8: Key KPIs
eagleeye Key KPIs Revenue growth to £10.8m g . %) 8% (H1 20: £10.1m) Churn (H1 20: 0.3%) Recurring revenue (H1 20: 73%) Net cash; (H1] 20: net debt £2.2m) Operating profit Adjusted EBITDA (H1 20: £1.3m) (H1 20: £(0.5)m loss)
Slide 9: Revenue split by business model
Revenue split by business model Change in product mix shows the diversity and breadth of the platform H1 21 H1 21 H1 20 H1 20 % of total % of total One off £2.9m 26% £2.8m 28% implementation fees Recurring revenue: Licence fees £3.8m 35% £3.8M 37% Transaction fees £3.0m 28% £3.0m 30% SMS fees £1.2m
Slide 10: Chargeable interaction and redemption volumes
Chargeable interaction and redemption volumes Overall chargeable AIR redemption and interaction volumes fell by 5% to 452m in H1 21 (H1 20: 477m) Growth in loyalty delivered by annualisation of Sainsbury's and new international clients Promotions reduction reflects Covid impact on F&B and brand clie
Slide 11: H1 - Income Statement
H1 21 - Income Statement + 5% half on half growth (H2 20 to H1 21) * 91% GM. reflecting impact of growth in lower margin SMS business * £7.7m net operating expenses, 6% lower * Net staff costs held at £4.8m (representing 62% of total overheads) * £0.1m decrease in infrastructure costs; due to saving
Slide 12: Net cash/(debt) bridge
Net cash/(debt) bridge * £1.4m cash outflow including c£1.1m COVID-19 repayments; (H1 20 £0.9m outflow) * Operating cash inflow of £0.2m: EBITDA £2.1m, working cap outflow £1.6m, £0.3m overseas corporate tax payments * £1.4m capex: £1.0m capital expenditure on AIR, IFRS 15 contract costs capitalised
Slide 13: Strategic Update
eagleeye Strategic Update
Slide 14: Strategic focus
Strategic focus 1. To win new customers, transact through our platform, deepen with additional products from our portfolio 2. To develop new products to provide further upsell opportunities across our customer base and strengthen our competitive positioning 3. To enter new geographies 4. To run the
Slide 15: Delivering on our customer strategy
Delivering on our customer strategy Win * Increased win rate + New Enterprise wins * Successful launch of Pret A Manger’s ‘YourPret Barista’ programme * Key technology provider for Virgin Red * Increasing number of partners & collaborations Transact + Volumes impacted by COVID-19 + Increased number
Slide 16: Virgin Red
Virgin Red Creating a coalition network to earn and spend points Virgin’s new rewards club where points never expire * Members can earn and spend Virgin Points across not only the Virgin companies but also partners across retail, energy and entertainment sectors * Eagle Eye AIR platform acts as the
Slide 17: Strengthened position in North America
eagleeye Strengthened position in North America Suppliers Partners Programs & Offers Direct win of second US customer * Three-year agreement with a leading speciality office and home products and services retailer. Over 1,000 stores Expansion of SEG with powerful partners + First phase launched July
Slide 18: Platform for expansion in Australia and New Zealand
Platform for expansion in Australia and New Zealand Five-year agreement with Woolworths Group Limited, Australia’s largest retailer Support their personalised real-time digital marketing programme Continue to support The Warehouse Group, one of the largest retailing groups in New Zealand Pilot of it
Slide 19: Innovation and agility lies at the heart of Eagle Eye
Innovation and agility lies at the heart of Eagle Eye New personalised Message At Till capability - opening up a new segment of the US retail market Load to Card function - leveraging data analytics and artificial intelligence. Already in use at SEG Enhanced POS Connect loyalty feature - providing r
Slide 20: Key focus on our people
Key focus on our people Our ethos came to fore during COVID-19 Better, Simpler, Cheat We remain committed to our goal of being a great place to work and to create an environment where our people can flourish ree clear on An employee stress survey led to th e increased level of honest communication a
Slide 21: Outlook
eagleeye Outlook
Slide 22: We stand ready to support the recovery once lockdown ends
“We stand ready to support the recovery once lockdown ends and help businesses to re-connect with their customers.“
Slide 23: Thanks.
Thanks. eagleeye eagleeye.com @weareeagleeye
Eagle Eye Solutions Group — H1 2021 Earnings Presentation on 6ix