Upland Software, Inc. · NASDAQ:UPLD
Upland Software — 29th Annual ROTH Conference (March 2017)
28 slides from Upland Software's conference presentation, Mar 13, 2017
Slide 1: 29th Annual Roth Conference
29th Annual Roth Conference March 13, 2017
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation includes “forward-looking statements,”, which are subject to substantial risks, uncertainties and assumptions, subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Accordingly, you should not place undue reliance on th
Slide 3: $85MM Enterprise Cloud Software Platform
$85MM Enterprise Cloud Software Platform (1) + Acquire cloud software applications and restructure them for improved profitability and sustainable growth + Award-winning cloud software for Project & IT Management, Workflow Automation, and Digital Engagement + Business model built on 100% Customer Su
Slide 4: Recurring Revenue Growth Trend
Recurring Revenue Growth Trend Recurring Revenue ($ in millions) $71.2 $65.4 $57.2 $48.6 $30.9 $18.3 2012 2013 2014 2015 2016(1) 1Q’17 (2) Annualized Actuals Guidance Source: Company information and management. (1) Full year guidance (at the mid-point) for the fiscal year ended December 31, 2016 as
Slide 5: Quarterly Adjusted EBITDA Trend
Quarterly Adjusted EBITDA Trend Adjusted EBITDA ($ in millions) $5.25 $4.0 $3.6 $2.8 $2.0 $1.8 $1.1 $0.7 $0.3 1Q’15 2Q’15 3Q’15 4Q’15 1Q’16 2Q’16 3Q’16 4Q’16 (2) 1Q’17(3) Actuals(1) Guidance Source: Company information and management. (1) Quarterly reported results (see slide 27 for definition and r
Slide 6: Recent Developments
Recent Developments + Solid Q3’16 Results + Record Adjusted EBITDA @ 19%(1) + 21% year-over-year growth in recurring revenues + Strong Q4’16 and Q1’17 Guidance + Growth in Adjusted EBITDA to 26%(2) + 17% year-over-year growth in recurring revenues(2) + Healthy M&A Activity + Four accretive acquisiti
Slide 7: Management Team
Management Team Founder, Chairman and CEO +Chairman and CEO Perficient, Inc. (NASDAQ: PRFT) (1999-2009) + Grew business from eight to 1200 employees, startup to $250 million in revenues + Completed seventeen acquisitions + Created $500+ million market cap on total net equity investment ~$10 million
Slide 8: Upland Product Family: Overview
Upland Product Family: Overview Project and IT Workflow Digital Management Automation Engagement Manage your Optimize, automate and Effectively engage organization’s projects, secure document with your customers, professional workforce and intensive workflows prospects and IT costs. across your ente
Slide 9: Upland Product Family: Brands
Upland Product Family: Brands Project and IT Workflow Digital Management Automation Engagement Tenrox FileBound Mobile Commons Eclipse PPM AccuRoute Clickability PowerSteering Ultriva LeadLander ComSci 9 Company Confidential ©2017 Upland Software, Inc.
Slide 10: Upland Product Family: Solutions
Upland Product Family: Solutions Project and IT Workflow Digital Management Automation Engagement Lean Six Sigma/Process Excellence Enterprise Content Management Application-to-Person Mobile Project & Portfolio Management Accounts Payable/Receivable Automation Messaging Professional Services Automat
Slide 11: Upland Product Experience Architecture
Upland Product Experience Architecture Project and IT Management Single Sign On (SSO) Common UI/UX Digital Engagement Workflow Automation Mobile Upland Upland Integration Integration Platform Platform Enterprise- Class Cloud Enterprise Cloud Platform Key Third-Party Applications 11 Company Confident
Slide 12: Total Addressable Market $18.6B
Total Addressable Market $18.6B Workflow Automation $3.5B Workflow PPM Automation $2.0B $3.5B Web Content PSA Project and IT $6.7B Management Management $3.4B $11.4B Digital Engagement ITFM $2.7B $3.7B A2P SMS $0.3B Sources: Magic Quadrant for Cloud-Based IT Project and Portfolio Management Services
Slide 13: Our Customers
Our Customers FINANCIAL SERVICES TECHNOLOGY GOVERNMENT, NON-PROFIT, EDUCATION HEALTHCARE MANUFACTURING, INDUSTRIAL MEDIA CONSUMER CORPORATE SERVICES 13 Company Confidential ©2017 Upland Software, Inc.
Slide 14: One Unified Operating Platform sets the foundation for customer success
One Unified Operating Platform sets the foundation for customer success 100% Customer Success High-Touch Customer Expert Professional Success Program Services Loyalty EBITDA ↑ Renewal Expansion Quality-Focused 24x7 R&D Global Support Cross-Sell Referral Customer-Driven Enterprise Cloud Platform Inno
Slide 15: Upland Customer Success Program
Upland Customer Success Program Premier Success Plans Quarterly Virtual User Conferences GOAL 100% Customer Success (Value + Experience) Customer Success Manager/Representativ Executive Outreach e Net Promoter Net DRR Score Onboarding Product Feedback Loop and Training KPIs Onboard Adopt Optimize Ex
Slide 16: Upland Development Platform
Upland Development Platform Upland Product Experience Architecture Customer Product Feedback Delivered Product Product Roadmap Management Development Platform Code Automated Automated Automated Automated Knowledge Bug & Issue Source Code Quality Automated Unit Tests Functional QA Production Manageme
Slide 17: Datacenters
Cloud Hosting Strategy 22 + All hosting to AWS by 2018 20 + Benefits include simplicity, security, compliance, geo- 15 14 expansion, utilization variability Datacenters and headroom, performance, 10 market credibility + Enables seamless and rapid 5 onboarding of new acquisitions 2 + Saves $1MM+ per
Slide 18: Sales and Marketing
Sales and Marketing High-touch Low-cost Customer Success Process-driven Demand Engine Executive Outreach Automated Field/Inside Sales (3/6) Repeatable Customer Success (22) Solutions Consultants (6) Advocates Prospects Renewals Account Development (4) Marketing Marketing Customer Success Team (CSM)
Slide 19: Premier Success Plans
Premier Success Plans Features Bundled services, support and product experience offering with three tiers (Standard, Gold, Platinum) 80% standardized across product lines for efficiency and scale Offers compelling package of services and support to customer at efficient marginal cost to Upland New a
Slide 20: Selected Land-and-Expand Success
Selected Land-and-Expand Success Cross Sell Initial Current ARR Category Company Start Date ARR$ ARR$ CAGR% Project & IT U. S. Multi-National Bank 2006 264,000 1,196,993 16% Management Global Enterprise Software 2009 265,127 1,140,346 23% Global Food and Beverage 2011 60,000 655,328 61% Global
Slide 21: Corporate Rebranding
Corporate Rebranding Website Launch April 3 Features Simplified design (color, layout, lifestyle images, fewer words) Updated company messaging (emphasis on 100% customer success) Emphasize Upland brand ID One platform and template across all product lines Benefits Improved navigation Clarified Upla
Slide 22: M&A Strategy
M&A Strategy + Add $15MM+ revenues per year through accretive acquisitions that build out our 3 product families + Continuous outreach and pipeline management + Target VC portfolio and bootstrapped enterprise software companies with sticky applications, strong recurring revenue, GMs and NDRR, and lo
Slide 23: M&A Integration: UplandOne Platform
M&A Integration: UplandOne Platform + One way to run every function, not n ways to run them + Building functional excellence into every area of operation + Every company we acquire is brought onto the platform in a standardized way + Our core processes are better than whatever processes exist pre- a
Slide 24: Summary
Summary + Large growth opportunity through accretive/strategic acquisitions, installed base expansion and cross-sell, and efficient new logo acquisition + Strong top-line revenue growth through acquisitions + Recurring, predictable revenue model with high renewal rates + Diversified customer base +
Slide 25: Appendix
upland Appendix
Slide 26: Operating Targets (as a % of Revenue)
Operating Targets (as a % of Revenue) Excludes Depreciation & Amortization and Stock-based compensation 1Q’15 2Q’15 3Q’15 4Q’15 1Q’16 2Q’16 3Q’16 4Q’16(4) 1Q’17(5) Target Model Revenue 100% 100% 100% 100% 100% 100% 100% 100% Non-GAAP Gross Margin(1) 68% 68% 68% 66% 67% 70% 70% 73% Research & Develop
Slide 27: Adjusted EBITDA Reconciliation to Net Loss
Adjusted EBITDA Reconciliation to Net Loss We define Adjusted EBITDA as net loss, calculated in accordance with GAAP, plus net income (loss) from discontinued operations, depreciation and amortization expense, interest expense, net, other expense (income), net, provision for income taxes, stock-base
Slide 28: Upland Products – Competitive Overview
Upland Products – Competitive Overview Project & IT Management Workflow Automation Digital Engagement 28 Company Confidential ©2017 Upland Software, Inc.
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