Vista Group International Ltd · NZX:VGL
Vista Group International — Macquarie Conference 2019
39 slides from Vista Group International's conference presentation, May 1, 2019
Slide 1: Macquarie Conference
MACQUARIE CONFERENCE Wednesday 1 May, 2019
Slide 2: What does Vista Group do?
WHAT DOES VISTA GROUP DO? THE GLOBAL LEADER IN SOFTWARE AND DATA SOLUTIONS FOR THE FILM INDUSTRY.
Slide 3: Agenda
• Industry Backdrop • Vista Group • 2018 Financial Highlights • Vista Cinema • Movio • Questions 3
Slide 4: Industry Backdrop
INDUSTRY BACKDROP 4
Slide 5: Global Box Office
GLOBAL BOX OFFICE All Films (US Billions) $45 $40.6 $41.1 $40 $38.4 $38.8 $35.9 $36.4 $35 $30 29.5 29.2 $25 27.3 27.4 25.0 26.0 $20 $15 $10 $5 10.9 10.4 11.1 11.4 11.1 11.9 $0 2013 2014 2015 2016 2017 2018 International % Change % Change COURTESY OF THE MOTION PICTURES 2013 2014 2015 2016 2017 2018
Slide 6: Cinema Screen Growth
CINEMA SCREEN GROWTH Cinema Screen Growth 200,000 180,000 160,000 140,000 120,000 100,000 80,000 60,000 40,000 20,000 0 2012 2013 2014 2015 2016 2017 2018 COURTESY OF THE MOTION PICTURES ASSOCIATION OF AMERICA 6
Slide 7: Vista Group
VISTA GROUP 7
Slide 8: Vista Group Companies Within the Film Industry Value Chain
VISTA GROUP COMPANIES WITHIN THE FILM INDUSTRY VALUE CHAIN PRODUCTION DISTRIBUTION CINEMA EXHIBITION MOVIEGOER
Slide 9: 2018 Financial Highlights
2018 FINANCIAL HIGHLIGHTS 9
Slide 10: 2018 Financial Highlights
2018 FINANCIAL HIGHLIGHTS TOTAL REVENUE RECURRING REVENUE OPERATING PROFIT $130.7m $79.9m $24.7m (up 23%) (up 24%) (up 21%) EBITDA1 OPERATING CASHFLOW FINAL DIVIDEND $29.2m $27.6m 2.10 (up 17%) (up 150%) CENTS P/SHARE (Total FY18 dividend up 27%) 1EBITDA is a Non-GAAP measure and is defined as earni
Slide 11: Operating Segments
OPERATING SEGMENTS 2018 Additional Group Early Stage NZ$M Vista Cinema Movio Corporate Total Companies Investments Revenue 82.4 22.8 15.0 4.5 5.9 130.7 EBITDA1 25.6 6.2 1.4 0.4 (4.5) 29.2 EBITDA % of revenue 31% 27% 9% 10% (76%) 22% 2017 Additional Group Early Stage NZ$M Vista Cinema Movio Corporate
Slide 12: Key Focus - Super-Circuits
KEY FOCUS - SUPER-CIRCUITS CUSTOMER ACTIVITY IN 2018 / 2019 AMC / Odeon Signed for Vista Cinema and Movio for Odeon Cineworld Signed extension for all sites for 5 years Cinepolis Signed enterprise pricing agreement Cinemex Signed USA circuit (ex-Cobb) CJ CGV Signed for Vista Cinema in Russia JV Cine
Slide 13: Vista Cinema
VISTA CINEMA 13
Slide 14: Vista World Share
Vista World Share Vista Cinema percentage of the world market – for cinema exhibition companies with 20+ screens 85% CANADA 2,082/2,446 screens 29% EUROPE 6,014/20,497 screens 22% ASIA 48% USA 10,358/46,339 screens 16,505/34,230 screens 58% MIDDLE EAST 1,661/2,886 screens 98% CENTRAL AMERICA 7,217/7
Slide 15: Vista Cinema
VISTA CINEMA Vista Cinema provides cinema management software to the world’s largest cinema exhibitors • 1013 new sites in 2018 (including 199 sites in China). • Total now 7,202. Total in China now 958. • Vista Cinema now has customers in 97 countries. • Market share globally of 20+ screen segment a
Slide 16: Vista Cinema – Product Model
VISTA CINEMA – PRODUCT MODEL 16
Slide 17: Veezi
VEEZI Provides cinema management software to the world’s independent cinema exhibitors • 258 new sites bring total site numbers to 901 – including China. • China now with 93 sites, an increase of 72 over 2017. • 14% increase in revenue per site compared to 2017. • USA continues to be strongest marke
Slide 18: Additional Group Companies Segment
ADDITIONAL GROUP COMPANIES SEGMENT $15M $1.4M GROWTH +123% REVENUE EBITDA GROWTH +22% World leading film marketing products Provides world leading theatrical distribution Movie and cinema review and showtime guide • Excellent revenue growth (52%) delivered software • Unique visitors up 24% to 8.2m a
Slide 19: Early Stage Investments Segment
EARLY STAGE INVESTMENTS SEGMENT $4.5M GROWTH +285% $0.4M +$2.2M REVENUE EBITDA Software to optimise film forecasting and A platform to share film digital assets & enable Social app to share video reaction to movies scheduling new cinema ticketing sales channels to access and TV shows • Excellent rev
Slide 20: Associate Companies
ASSOCIATE COMPANIES Performance • Revenue of $NZD20.6m, 19% increase over 2017. • 199 new sites added – 41% from existing customers. Total now 958 sites. • Vista China market share of 20+ screens segment estimated as 17%. • Top 5 circuit Stellar now rolling out – Vista China will have 3 of the top 5
Slide 21: Growth Focus
GROWTH FOCUS New customers / Cloud / New products new geographies Managed services Scale smaller Integrated Group Continue focus companies Agreements on super-circuits 21
Slide 22: Movio
MOVIO
Slide 23: Macquarie Conference
Macquarie Conference MAY 2019
Slide 24: Artificial Intelligence
ARTIFICIAL INTELLIGENCE
Slide 25: Movie Insights
Movie Insights • Most Likely 5x more likely • Likely 3 – 5x more likely • Less Likely 1 – 3x more likely • Unlikely less than 1x likely
Slide 26: Audience Insights
Audience Insights 4! Movies Q Search movies/models | Captain Marvel | Alita: Battle Angel | Glass Cold Pursuit 165K | What Men Want. 9.0k | Happy Death Day 6.8k | Aquaman 4.5k
Slide 27: Omni-Channel
OMNI-CHANNEL
Slide 28: Advanced Personalisation
Advanced Personalisation cinemaco Your Points 100 Hi Thaisa Last chance to see Glass this week! You Might Also Enjoy cinemaco Your Points 50 Hi Ashleigh! Join us for a Bohemian Rhapsody singalong this weekend! You Might Also Enjoy
Slide 29: Omni-Channel Dynamic Content
Omni-Channel Dynamic Content
Slide 30: Global Results
Global R E S U LT S
Slide 31: Visit & Revenue Uplift: Overview
V I S I T & R E V E N U E U P L I F T: O v e r v i e w Purpose Process To definitively calculate the admissions • Built a model to stratify contactable members by similar and revenue uplift generated by using behavior and remove bias – the only difference between them Movio Cinema was whether they h
Slide 32: Visit & Revenue Uplift
Visit & revenue uplift Uplift * Global Uplift * Global Visit uplift Total box office per moviegoer 0.89 revenue per exhibitor $12.1M Admission uplift Total box office per moviegoer 1.96 globally $227M Box office revenue Total box office and uplift per moviegoer $16.61 concession uplift $324.8M * Per
Slide 33: Return for every $1 spent on Movio
$21.37* Return for every $1 spent on Movio * USD
Slide 34: Serviceable Obtainable Market
S e r v i c e a b l e O B TA I N A B L E MARKET
Slide 35: Serviceable Obtainable Market for Movio Media
S e r v i c e a b le O bta i n a b l e M a r ke t ( S O M ) fo r Movio Media Digital 2019 2021 2023 Average marketing spend per release in North America ¹ $28.5M $29.7M $30.8M Wide release films estimate – 12 per month 144 144 144 Portion of film marketing budgets spent on digital marketing, increas
Slide 36: Movio
MOVIO
Slide 37: Questions?
QUESTIONS?
Slide 38: Important Notice
IMPORTANT NOTICE This presentation has been prepared by Vista Group International Limited (“Vista Group”). Information in this presentation: • is provided for general information purposes only, does not purport to be complete or comprehensive, and is not an offer or invitation for subscription or pu
Slide 39: a nl
a nl
Vista Group International — Macquarie Conference 2019 on 6ix