Nextdc Limited · ASX:NXT
Nextdc — Non-Deal Roadshow (September 2016)
43 slides from Nextdc's roadshow presentation, Sep 27, 2016
Slide 1: US Investor Roadshow
For personal use only US INVESTOR ROADSHOW September 2016 NEXTDC LIMITED ACN 143 582 521
Slide 2: Vision and Mission
For personal use only VISION Our vision is to help enterprises harness the digital age, improving our society through the advancement of technology MISSION Our mission is to be the leading customer- centric data centre services company, delivering solutions that power, secure and connect enterprise
Slide 3: Agenda
For personal use only Agenda Company & industry overview Financial results S2 Capital raising overview Operational performance Outlook Appendices S1 Sydney data centre 3
Slide 4: NEXTDC is Australia's leading independent data centre operator
NEXTDC is Australia’s leading independent data centre operator National Tier III carrier-neutral data centre footprint For personal use only Largest carrier, vendor and integrator- neutral ecosystem in Australia 100% availability across Tier III next-generation facilities B1 B2 High power density to
Slide 5: Virtualised, on-demand services drive rapid IT change
Virtualised, on-demand services drive rapid IT change "Cloud services will remain the essential foundation of the IT industry's 3rd For personal use only Platform of innovation and growth. As the cloud market enters an 'innovation stage', there will be an explosion of new solutions and value creatio
Slide 6: Cloud answers challenge of digital economy
Cloud answers challenge of digital economy "Put together, new solutions born on the cloud and For personal use only traditional solutions migrating to the cloud will steadily pull more customers and their data to the cloud." Frank Gens, Senior Vice President & Chief Analyst at IDC By 2020 By 2019 Co
Slide 7: Colocation data centres are hubs for cloud access
Colocation data centres are hubs for cloud access “Cloud services providers are amongst the largest users of For personal use only data centres facilities in the world and this is a catalyst for growth in the DC ecosystem, drawing enterprise customers, telcos and IT services firms.” Wonjae Shim, Res
Slide 8: Financial results
For personal use only Financial results 8
Slide 9: FY16 highlights
FY16 highlights For personal use only CONTRACTED REVENUE1 EBITDA UTILISATION $92.8m $27.7m 26.1MW 52% 247% 20% on FY15 on FY15 on FY152 1. Total revenue from continuing operations (including data centre services revenue as well as other revenue) 2. Pro forma for the Federal Government contact announ
Slide 10: FY16 highlights (cont)
FY16 highlights (cont) For personal use only Revenue from continuing operations up $32.0m (52%)1 to $92.8m Ongoing Contracted utilisation up 4.4MW 2 (20%)2,3 to 26.1MW growth in revenue Interconnection up 1,682 (58%3) to 4,575, representing ~5% of recurring revenue4 EBITDA up $19.7m (247%)1
Slide 11: Capital Raising overview
Capital Raising overview NEXTDC recently undertook a fully underwritten Capital Raising to raise approximately $150 million For personal use only NEXTDC continues to experience strong demand for its premium data centre services Sydney facility (S1) is contracted to 82% of its total power capacit
Slide 12: Funding flexibility to deliver capacity expansion
Funding flexibility to deliver capacity expansion For personal use only Sources Funding sources $m Comment Cash and term deposits 191 As at 30 June 2016 Secured Debt Facility 100 Upsized facility previously announced to ASX on 11 August 2016 Capital Raising 150 Underwritten Total 441 Above funding s
Slide 13: Operational performance
For personal use only Operational performance 13
Slide 14: Strong sales momentum
Strong sales momentum For personal use only 52% revenue growth on FY15 247% EBITDA growth on FY15 Recurring and project revenue1 EBITDA3 $16.4m $48.0m Project revenue2 EBITDA Recurring revenue $41.3m $11.4m $31.9m $5.0m $3.0m $26.7m $18.9m $11.4m ($6.0m) ($8.2m) ($8.5m) $5.2m $3.8m ($10.1m) $1.0m ($
Slide 15: Strong growth in sales metrics
Strong growth in sales metrics For personal use only Annualised unweighted Customers2 Interconnection pipeline ($m)1 (number of cross connects) 241 647 4,575 566 203 3,843 198 478 22% 35% 2,893 58% Jun 15 Dec 15 Jun 16 Jun 15 Dec 15 Jun 16 Jun 15 Dec 15 Jun 16 1. 30 June 2015 figure excludes Federal
Slide 16: Strong growth in revenue per unit metrics
Strong growth in revenue per unit metrics Annualised revenue per square metre ($)1 For personal use only 8,359 8,472 Demonstrates ongoing growth in revenue per square metre, noting the deployment of large, high 7,991 density, ecosystem-enhancing deals over time 7,452 7,205 Demonstrates the reven
Slide 17: Strong growth in earnings metrics
Strong growth in earnings metrics EBITDAR / Data Centre Services Revenue1,2 Highlights the rapid growth in the company’s For personal use only 51% operating performance 47% 40% 40% Is a property-agnostic measure of EBITDA margin Demonstrates the operating leverage achievable by owning the land
Slide 18: Diversified recurring revenue model
Diversified recurring revenue model Customer by industry1,2 Utilisation by density3 5% For personal use only 6% Enterprise More than 6kW 6% Cloud 14% 6kW 21% Connectivity 5kW 32% System Integrators 4kW 13% Government 3kW Financial Services 30% 26% 2kW or less 18% Digital Media 20% 10% 3% Cloud, conn
Slide 19: Utilisation
Utilisation Installed capacity1 vs contracted utilisation Billing vs contracted utilisation For personal use only 8.5MW available for sale at 30 June 2016 Contracted utilisation up 4.4MW (20%) to 26.1MW since 30 June 20152 Project works underway at C1, critical plant expansion works continue a
Slide 20: Facilities capacity and utilisation
Facilities capacity and utilisation As at 30 June 20163 M1 Melbourne 30 Contracted utilisation3 Final hall completed, further customer infrastructure still For personal use only Project Plus capacity being installed Future build 25 S1 Sydney Build in progress Final hall completed, further custom
Slide 21: Facilities under development
Facilities under development B2 M2 For personal use only +6MW +25MW Artist’s impression Artist’s impression B2 At a glance M2 At a glance Expected Specifications Expected Specifications Location Fortitude Valley Location Tullamarine Technical Space ~3,000m2 Technical Space 10,000m2+ Total IT Capacit
Slide 22: FY17 New developments
FY17 New developments For personal use only NEXTDC US Investor Roadshow 22
Slide 23: Outlook
For personal use only Outlook 23
Slide 24: FY17E Outlook
FY17E Outlook For personal use only Revenue in the range of $115m to $122m (up 24% to 31% on FY16) Ongoing FY17E revenues underpinned by growth in contracted revenues growth in Expecting revenue growth in connectivity underpinned by 58% growth in cross connects (FY16 vs FY15) revenue NEXTDC re
Slide 25: Appendices
For personal use only Appendices 25
Slide 26: Financial results
For personal use only Financial results 26
Slide 27: FY16 profit and loss summary
FY16 profit and loss summary FY16 FY15 Change For personal use only Statutory financial results: Note ($m) ($m) ($m) Revenue from continuing operations: Data centre services Data centre services revenue Other revenue 89.3 3.6 58.7 2.2 30.6 1.4 REVENUE Total revenue from continuing operations 92.8 60
Slide 28: Strong asset base
Strong asset base For personal use only 30 June 2016 30 June 2015 ($m) ($m) Cash flow profile Cash and term deposits 191.4 52.9 $205.6m $89.4m Property, plant, equipment 302.7 221.2 Net assets 333.1 214.9 $191.4m $22.3m Financing $52.9m Operating cash flow of $22.3m achieved in FY16 1 Raised $22
Slide 29: Business strategy
For personal use only Business strategy 29
Slide 30: NEXTDC is where the cloud lives
NEXTDC is where the cloud lives® For personal use only Consumption economics is a powerful driver of hybrid cloud and colocation. NEXTDC customers enjoy a wide choice of public, private and hybrid cloud solutions through our Cloud Centre partner community: the largest carrier, vendor and integrator
Slide 31: Channel-first sales strategy
Channel-first sales strategy For personal use only Partners tailor solutions with NEXTDC data centre services NEXTDC US Investor Roadshow 31
Slide 32: Cloud Centre
Cloud Centre NEXTDC data centres are a marketplace for the digital economy For personal use only NEXTDC is home to many enterprises, government organisations, and some of the world’s largest cloud computing providers. Our ecosystem value grows through interconnectedness. The data centre is the heart
Slide 33: Product & services portfolio
Product & services portfolio For personal use only NEXTDC US Investor Roadshow 33
Slide 34: Certifications & Industry awards
Certifications & Industry awards For personal use only NEXTDC US Investor Roadshow 34
Slide 35: Customer testimonials
For personal use only Customer testimonials 35
Slide 36: Scott Barnes, StorageCraft testimonial
For personal use only Scott Barnes Chief Technology Officer and Co-Founder, StorageCraft. “Finding a data centre hosting partner that has the experience, the infrastructure, and the knowledge to compliment our high requirements is paramount to our cloud services business in Australia. We are thrille
Slide 37: Jack Beech, SoftLayer testimonial
For personal use only Jack Beech Vice President Business Development SoftLayer an IBM Company “By extending our Direct Link services to now include access to NEXTDC, we further our goal to improve the flexibility, performance, security and reliability of enterprise connections to our IaaS platform.”
Slide 38: Dave Pearson, Global Cloud Xchange testimonial
For personal use only Dave Pearson Managing Director of Australia and New Zealand, Global Cloud Xchange “Our expansion across key data centres in Australia and New Zealand, including NEXTDC in Melbourne and Sydney, further enhances our Global Network and Cloud capabilities, and opens up new markets
Slide 39: Case studies
For personal use only Case studies
Slide 40: Case study – B1 Brisbane
Case study – B1 Brisbane 1,2 Billing utilisation Highlights For personal use only Facility EBITDA ($m) Facility EBITDA NEXTDC’s first facility, 1H12 2H12 1H13 2H13 1H14 2H14 1H15 2H15 1H16 2H16 6.0 100% commenced operations 90% in October 2011 5.0 80% Breakeven reached 4.0 70% after 9 months of
Slide 41: Case study – M1 Melbourne
Case study – M1 Melbourne 1 Billing utilisation For personal use only Facility EBITDA ($m) Facility EBITDA 2Q13 2H13 1H14 2H14 1H15 2H15 1H16 2H16 18.0 90% 16.0 80% 14.0 70% 12.0 60% 10.0 50% 8.0 40% 6.0 Highlights 30% 4.0 NEXTDC’s second facility, commenced operations in September 2.0 20% 2012 0.
Slide 42: Case study – S1 Sydney
Case study – S1 Sydney 1 Billing utilisation For personal use only Facility EBITDA ($m) Facility EBITDA 2Q14 2H14 1H15 2H15 1H16 2H16 9.0 70% 8.0 60% 7.0 6.0 50% 5.0 40% 4.0 30% 3.0 2.0 Highlights 20% 1.0 NEXTDC’s fourth facility commenced operations in September 2013 0.0 10% Breakeven reached a
Slide 43: Thank you
For personal use only Thank you Register for Investor Updates at www.nextdc.com/our-company/investor-centre DISCLAIMER: The information may not be reproduced or distributed to any third party or published in whole or in part for any purpose. The information contained in these materials or discussed