Senetas Corporation Limited · ASX:SEN
Senetas — Shareholder Meeting (November 2023)
22 slides from Senetas's shareholder meeting presentation, Nov 30, 2023
Slide 1: 2023 Annual General Meeting – Chairman's Address and CEO Presentation
30 November 2023 ASX ANNOUNCEMENT Senetas Corporation Limited 2023 Annual General Meeting – Chairman’s Address and CEO Presentation Senetas Corporation Ltd (ASX: SEN) (Senetas), is pleased to provide a copy of the Chairman’s address and the CEO’s presentation with annotations to be delivered to shar
Slide 2: About Senetas / About Votiro
ABOUT SENETAS Senetas is a global leader in high-performance encryption security solutions. Senetas cybersecurity solutions are developed and manufactured in Australia. Senetas high-speed encryptors protect network data in transit without compromising performance. They include certified high-assuran
Slide 3: Chairman's Address
SENETAS CORPORATION LIMITED AGM – 30 NOVEMBER 2023 CHAIRMAN’S ADDRESS Good morning everyone and welcome to the Senetas Corporation Limited Annual General Meeting for 2023. Thank you for your attendance this morning and for your ongoing support as Senetas shareholders. Our CEO, Andrew Wilson, will pr
Slide 4: Chairman's Address (continued)
SENETAS CORPORATION LIMITED AGM – 30 NOVEMBER 2023 we are seeing a growing requirement by many governments for our sovereign encryption algorithm capability. So, the Senetas encryption business remains a quality business with a solid and reliable track record that continues to deliver good revenue,
Slide 5: Chairman's Address: Votiro outlook
SENETAS CORPORATION LIMITED AGM – 30 NOVEMBER 2023 Votiro remains in its early growth phase and requires financial support to see it through until it becomes self-sufficient from a cash flow and profitability perspective – which was a key driver of the share placement and entitlement offer announced
Slide 6: CEO introduction
• Thanks Francis • Good morning everyone – I’d also like to add my welcome to the Senetas 2023 AGM • This morning I will take you through some of the operating and financial highlights from the 2023 financial year. Following that I will provide a brief update on developments year to date, and brief
Slide 7: Group financial highlights for 2023
• Turning first to the group financial highlights for 2023. • Group operating revenue was up 17% to $29.3 million driven by 33% growth in revenue for the Votiro business, and 12% growth in the Senetas business. • Votiro’s annual recurring revenue was $7.0 million in August 2023, and US$7.2 million a
Slide 8: Operating revenue over time
• Looking a bit more closely at operating revenue over time. You can see that Senetas’s consolidated revenue has continued to grow steadily over the last 5 years. • In 2023 we saw good revenue growth in all regions, with consolidated group revenue up 17% over 2022. • The good revenue growth in the A
Slide 9: Senetas business segment
• Looking specifically now at the Senetas business segment… 4
Slide 10: Senetas revenue returned to growth in FY2023
• Senetas revenue returned to growth in FY2023 following a softer year in 2022 which was more affected by the impacts of the global component shortages • Whilst those shortages continued to have an impact during FY2023, there were good signs of improving third party demand and increased product ship
Slide 11: Senetas sales pipeline and R&D
• Whilst completed third party sales of Senetas encryptors have not yet returned to the levels they were prior to the global component shortages, we have seen strong growth in the pipeline of future sales. • Thales’s pipeline of future sales for Senetas encryptors grew over 110% during FY2023 and no
Slide 12: Votiro progress through FY2023
• Now turning to look at the progress Votiro made through FY2023… 7
Slide 13: Votiro revenue and ARR
• The Asia Pacific region remains the largest contributor to Votiro revenue and was the primary driver of growth in FY2023. • Revenue was up 33% to $7.7 million, and annual recurring revenue reached US$7.0 million in August 2023 – in line with what we advised the market in late June 2023. ARR was sl
Slide 14: Votiro ARR target and pipeline
• As I just mentioned, Votiro reached its mid year ARR target of US$7.0 million and, subject to its sales pipeline being realised as anticipated, Votiro is targeting annual recurring revenue of up to US$10 million by the end of 2023 • Votiro’s sales pipeline more than doubled through the 2023 financ
Slide 15: Unstructured data risk
• The industry is suffering a serious problem with unstructured data entering an organisation via a multitude of sources. The picture on the right hand slide shows some of the sources of this data. • Any of this data can contain hidden and often undetectable malware / ransomware. Other security solu
Slide 16: Votiro Data Detection and Response
- Responding to customer demand and feedback particularly out of the Europe and the US, Votiro is expanding its CDR platform to provide a world leading Data Detection and Response DDR capability. - So what does this mean in practice, Votiro’s DDR is a proactive cutting edge solution that safeguards
Slide 17: Votiro progression since Senetas invested
• This slide shows the progression of Votiro since Senetas invested. • In 2018 Votiro established itself in the APAC and Japan market. Today its go to market model is mature, the technology is recognized as the worlds best and demand and pipeline is growing strongly. • In 2022 Votiro entered the US
Slide 18: 2024 financial year update and outlook
• I’ll now provide a brief update on the 2024 financial year to date, and a few comments on the outlook for our 2 businesses and the capital raising announced on Monday… 13
Slide 19: Senetas FY2024 outlook
• As I mentioned earlier, strong demand for Senetas products has driven sales pipeline growth of over 110% through FY2023. • These encouraging signs of growth in Thales’s end user sales during FY2023 have continued into the first 4 months of FY2024. • Whilst we don’t expect that same rate of growth
Slide 20: Votiro outlook
• Increasing rates of cyber crime and the ongoing evolution of Votiro’s security management solutions presents a sizeable opportunity for Votiro. • The business continues to make strong progress with 50% ARR growth since December 2022 and 60% growth since the same time last year, and we see a clear
Slide 21: Entitlement offer and share placement
• Senetas announced a partially underwritten non-renounceable entitlement offer and share placement earlier this week to raise up to $5 million. • Up to $3.5 million will be raised via a partially underwritten non- renounceable pro rata entitlement offer of 1 new share at A1.4 cents per share for ev
Slide 22: Capital raising and closing remarks
still requires ongoing support from its shareholders in the meantime. • As Francis mentioned earlier, we believe Votiro represents an exciting growth opportunity for Senetas shareholders and we will continue to support it to achieve the growth we believe it can deliver in the near term. • The Chairm