Globant S.a. · NYSE:GLOB
Globant — Investor Presentation (June 2018)
12 slides from Globant's investor presentation, Jun 20, 2018
Slide 1: Globant at a Glance
Argentina Other Latam US & Europe India 37% 41% 11% 11% 37 offices in 30 cities throughout 12 countries 39% Q1 2018 Adj. Gross Profit Margin Percentage 6,900+ Total Employees as of March 31, 2018 27% 2014 – 2017 Revenue CAGR 15% Q1 2018 Adj. Profit from Operations Margin Percentage 88% % of 2017 Rev
Slide 2: Large and fast growing addressable markets
As the temporal nature of digital transformation becomes completely foundational to future business, the proportion of "digital related" consulting engagements will increase from about half of all business and IT consulting engagements in 2013 – 2015 to approximately 70% of all engagements in 2020 o
Slide 3: Large and fast growing addressable markets: AI and AR/VR
Large and fast growing addressable markets Artificial Intelligence Revenue is expected to grow at a 60% CAGR through 2025. 2016 2017 $10 $20 $30 $40 $50 $60 $70 $ - $ Billions 2018 2019 2020 2021 2022 2023 2024 CAGR: 60% 2025 Source: Tractica Mobile AR to drive $108 billion VR/AR market by 2021. 100
Slide 4: Globant recognized as a Worldwide Leader of Digital Strategy Consulting
Strategies LEADERS Globant recognized as a Worldwide Leader of Digital Strategy Consulting Services by IDC MarketScape report in 2016 and 2017 IDC MarketScape Worldwide Digital Strategy Consulting 2016 DIGITAL LEADERSHIP Major Players Capabilities
Slide 5: Innovative Solutions by Globant
• We contributed to NatGeo’s goal of improving the customer journey of kids. • Leveraging latest trends (UX, Visual Design), we developed websites for kids that are fun, smart and engaging. • A Globant customer for more than 6 years. • We contributed to the development of EA’s highly successful FIFA
Slide 6: Global Delivery Model
Multiple time zones enable us to deliver agile services to our customers and global partners. We benefit from c ultural similarities and a strong history of innovation. We have an abundant talent pool of highly educated IT professionals. GLOBAL DELIVERY MODEL Country Dec - 14 Dec - 15 Dec - 16 Dec -
Slide 7: Significant Revenue Growth
Significant Revenue Growth Average Revenue by Client ($M) Clients with Revenues >$1M Clients 2014 2015 2016 2017 Q1 2018 Top 1 9 12 10 10 11 Top 5 28 33 34 29 31 Top 10 44 47 47 42 45 Client Revenue Contribution (%) CAGR: 27.5% Top 10 Top 20 CAGR: 25.5% CAGR: 23.4% 34.9% Revenue ($M)
Slide 8: Industry Revenue Breakdown (Q1 2018)
Industry Revenue Breakdown (Q1 2018) Time & Materials Fixed Price Others North America USD Latam and Others Europe Media & Entertainment Travel Banks & Financial Ss. Tech. & Telecomm. Professional Services Consumer, Retail & Manufacturing Others Geography Currency Contract type
Slide 9: Operating Levers
Operating Levers Yearly Revenue per IT Professional ($K) Adjusted SG&A (% of revenues) Revenues in Hard Currencies with Costs in Local Currencies Revenues Q1 2018 Headcount distribution as of Q1 2018 Notes: Adjusted SG&A excludes depreciation and amortization, share - based compensation and acquisit
Slide 10: IFRS Financial Measures
IFRS Financial Measures: Three months ended March 31, Year ended December 31, 2018 2017 2017 2016 2015 (in thousands, except for percentages and per share data) Consolidated Statements of profit or loss and other comprehensive income: Revenues $119,712 $88,742 $413,439 $322,856 $253,796 Cost of reve
Slide 11: Reconciliation of IFRS to Non IFRS Financial Measures
Reconciliation of IFRS to Non IFRS Financial Measures: Three months ended March 31, Year ended December 31, 2018 2017 2017 2016 2015 (in thousands, except for percentages) Reconciliation of adjusted gross profit Gross Profit $45,169 $33,248 $150,268 $131,461 $93,504 Adjustment Depreciation and amort
Slide 12: Reconciliation of Non-IFRS Financial Data Overview
Reconciliation of IFRS to Non IFRS Financial Measures: Reconciliation of Non - IFRS Financial Data Overview To supplement our financial measures prepared in accordance with IFRS, we use certain non - IFRS financial measures including ( i ) adjusted diluted earnings per share ("EPS"), (ii) adjusted n