Slide 1: Cerillion plc Final Results for the year to 30 September 2024
AN INNOVATOR IN BILLING, CHARGING & CUSTOMER MANAGEMENT SYSTEMS Cerillion plc Final Results for the year to 30 September 2024 18 November 2024
Slide 2: Presentation Team
PRESENTATION TEAM Louis Hall Andrew Dickson Founder & CEO CFO ▪ Led the MBO of the original ▪ Joined in 2022 business from Logica plc in 1999 ▪ Over 20 years’ experience; early ▪ Over 30 years’ experience in the career at Deloitte LLP. software industry ▪ Previously Group Director of ▪ Previously he
Slide 3: Key Highlights
KEY HIGHLIGHTS Year to 30 September 2024 > New highs across key financial measures – including revenue, Customer View PBT, EPS Virgin Media Ireland > Adjusted pre-tax profit up 18% to a record £19.8m (2023: £16.8m) > Total new orders up 21% to a record £38.1m (2023: £31.6m) Major transformation proj
Slide 4: Cerillion at a Glance
CERILLION AT A GLANCE Mission critical BSS/OSS1 software for the global telecoms market 2024 REVENUE c. 80 customer installations £43.8m across c. 45 (2023 £39.2m) countries 2024 ADJ PBT £19.8m (2023 £16.8m) c. 360 staff London, c. 120 India, c. 210 Sofia, c. 30 1. Business Support Systems/Operation
Slide 5: Linking Network Infrastructure to Customers
LINKING NETWORK INFRASTRUCTURE TO CUSTOMERS Business Support Operations Support Systems (BSS) Systems (OSS) Digital Engagement Planning Product Offerings Capacity Management Infrastructure Customers Sales Service Connection Network Work-Flow Work-Flow Customer Care Balance Management Billing Chargin
Slide 6: Cerillion Product Suite
CERILLION PRODUCT SUITE PRODUCT Dealer Portal INTEGRATION DOMAIN DOMAIN DOMAIN SALES Self Service • Dealer Sales CRM Plus • E-commerce • Omni-channel • Account Management Mobile App • Lead & Opportunity Mgt • Service Management • Android / iOS Apps • GenAI Product Creation • Configure-Price-Quote (C
Slide 7: Delivery Model
DELIVERY MODEL SOFTWARE-AS-A-SERVICE MANAGED SERVICE ▪ Cloud or on-premise ▪ Pre-integrated SUPPORT deployment BSS/OSS modules LICENSE ▪ Common product ▪ Term licensing for all customers PRIVATE MODULAR CLOUD PUBLIC CLOUD ENTERPRISE ▪ 5+ year subscription m PRODUCT ▪ End-to-end or agreements SUITE m
Slide 8: Markets and Channels
MARKETS AND CHANNELS Market Segments Channel Partners Tier 1/2 Operator Other Tier 2/3 CSPs Groups Verticals Innovative National Challengers: Operators: Subscription BSS Point solutions / End-to-end billing and Standardising Best of breed End-to-end transformation usage-based for multi- sales to sup
Slide 9: Global Customer Base
GLOBAL CUSTOMER BASE 28-Nov-24 Commercial-In-Confidence c. 80 CUSTOMER INSTALLATIONS IN c. 45 COUNTRIES 9
Slide 10: Competitive Landscape
COMPETITIVE LANDSCAPE Large ISVs1 Equipment Vendors Small ISVs1 SaaS/Best-of-Breed Independent Analysis OUR DIFFERENTIATORS OUR DIFFERENTIATORS OUR DIFFERENTIATORS OUR DIFFERENTIATORS ▪ Lower TCO2 ▪ Lower TCO2 ▪ Greater breadth/depth ▪ Lower TCO2 ▪ Shorter time-to-market ▪ Shorter time to market ▪ B
Slide 11: FY 2024 KPIs
FY 2024 KPIs Key KPIs at Record Levels Revenue (£m) 39.2 43.8 Adj PBT1 (£m) 19.8 Net Cash (£m) 29.9 16.8 24.7 32.7 20.2 26.1 11.9 18.8 20.8 8.5 13.2 7.7 3.5 3.7 5.0 2019 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 2024 2019 2020 2021 2022 2023 2024 Recurring Revenue2 (£m) 15.5 New Logo Sales 2
Slide 12: FY 2024 Financial Highlights (Audited)
FY 2024 FINANCIAL HIGHLIGHTS (AUDITED) > Record highs across key KPIs £m FY24 FY23 Orders 38.1 31.6 Back-order book1 46.9 45.4 ▪ Record sales pipeline and continuing strong Total revenue 43.8 39.2 back-order book1 Software2 24.3 22.0 provide good visibility Services 17.9 15.5 ▪ Reported revenue +12
Slide 13: Cash Generation
CASH GENERATION > Strong cash generation £m FY24 FY23 Adj. EBITDA 20.7 18.1 Decrease/(increase) in working capital (6.1) (5.8) ▪ Free cash flow used to fund dividend and Cash generated from operations 14.6 12.3 lease payments Capitalisation of development costs (1.3) (1.1) ▪ Closing net cash of Purc
Slide 14: Audited Summary Consolidated Income Statement
AUDITED SUMMARY CONSOLIDATED INCOME STATEMENT 1 Year to Year to £m 30 Sep 2024 30 Sep 2023 Total revenue 43.8 39.2 Cost of sales (8.6) (8.4) ▪ Adjusted EBITDA margin increase due to Gross profit 35.2 30.8 improved operational Gross profit margin 80.5% 78.6% efficiency partly offset Operating expense
Slide 15: Audited Summary Consolidated Balance Sheet
AUDITED SUMMARY CONSOLIDATED BALANCE SHEET £m Consolidated 30 Sep 2024 30 Sep 2023 Non-current assets Goodwill 2.1 2.1 Other intangible assets 2.6 2.3 Property, plant and equipment 0.5 0.8 Right of use asset 2.2 2.3 Trade and other receivables 8.1 5.1 Deferred tax 0.2 0.3 15.7 12.9 Current assets Tr
Slide 16: Audited Summary Consolidated Cash Flow Statement
AUDITED SUMMARY CONSOLIDATED CASH FLOW STATEMENT Year to Year to 30 Sep 2024 30 Sep 2023 Consolidated £m Operating cash flows before movements in working capital 20.7 18.1 (Increase) / decrease in trade and other receivables (4.9) (6.5) Increase / (decrease) in trade and other payables (1.2) 0.7 Cas
Slide 17: Operations
OPERATIONS > Two major implementations completed > Telesur (Suriname) > CWS (Seychelles) > Delivery for two FY24 new logo wins progressing well: > Virgin Media Ireland > Leading provider of connectivity in Southern Africa > Scope to grow these relationships > Increased R&D investment, c. 13,000 man
Slide 18: Summary & Outlook
SUMMARY & OUTLOOK > Total new orders up 21% to a record £38.1m Dividend Record (p) 13.2 > Back-order at £46.9m underpins revenue visibility 11.3 9.1 > Very strong pipeline of new prospects, including further 7.1 large contract opportunities 4.9 5.5 3.9 4.2 4.5 > Trading environment remains favourabl
Slide 19: Supplementary Information
AN INNOVATOR IN BILLING, CHARGING & CUSTOMER MANAGEMENT SYSTEMS Supplementary Information ▪ Board of Directors ▪ Major Shareholders ▪ Capital Allocation Policy ▪ Sticky Customer Base ▪ Financial Summary
Slide 20: Board of Directors
BOARD OF DIRECTORS Guy O’Connor Mike Dee Alan Howarth Louis Hall Andrew Dickson Non-executive Non-executive Chairman CEO CFO Director Director Alan Howarth has Louis Hall is the CEO and Andrew joined Cerillion as Guy is a co-founder of Mike Dee served as CEO of extensive senior executive founder of
Slide 21: Major Shareholders
MAJOR SHAREHOLDERS1 As at 6 November 2024 MAJOR SHAREHOLDERS % MAJOR SHAREHOLDERS % Louis Hall 30.43 Danske Bank Asset Management 1.33 Gresham House Asset Management 8.72 WH Ireland, stockbrokers 1.13 Investec Wealth & Investment 6.07 Evelyn Partners (Retail) 1.10 Charles Stanley 4.75 Goldman Sachs
Slide 22: Capital Allocation Policy
Capital Allocation Policy Maximising shareholder returns Organic Dividend Strategic Other growth policy investments considerations Continued Progressive Strategic investments Maintain strong investment to: dividend policy: to support longer balance sheet to ▪ enhance offering term growth support str
Slide 23: Sticky Customer Base Generates High Levels of Predictable Income
STICKY CUSTOMER BASE GENERATES HIGH LEVELS OF PREDICTABLE INCOME Revenue Sources (£m) 0.4 6.6 >80% Annual income typically 0.5 derived from existing customers 1.0 30.3 27.4 0.7 24.7 3.8 4.3 18.4 1.0 3.0 3.8 15.1 3.9 10.0 10.8 8.9 8.88 5.8 6.7 8.5 9.8 6.6 7.5 3.6 3.6 3.8 4.1 4.1 4.2 5.1 FY 2014 FY 20
Slide 24: Financial Summary
FINANCIAL SUMMARY Long-Term Track Record (£m) 43.8 39.2 32.7 26.1 20.8 20.7 17.4 18.8 18.1 14.8 16.0 13.3 14.0 13.8 10.5 4.6 5.8 2.8 2.9 3.1 3.6 3.9 FY2014 FY2015 FY2016 FY2017 FY 2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 Revenue Adjusted EBITDA EBITDA and Adjusted EBITDA are non-GAAP measures.