Dug Technology Ltd · ASX:DUG
Dug Technology — Investor Presentation (February 2023)
26 slides from Dug Technology's investor presentation, Feb 28, 2023
Slide 1: H1 FY23 Investor Presentation
DUG Technology Ltd H1 FY23 Investor Presentation February 2023 www.dug.com 1
Slide 2: Our business
Our business Business Units Product Lines Delivery Platform National Security & Space Software o Analytic software development o Algorithms and optimisation o Data processing and visualisation o DUG Insight in 59 countries Oil & Gas High Performance Computing (HPC) o Green HPC and storage o Patented
Slide 3: Our ambition
Our ambition At the forefront of technical excellence and innovation Be a global leader in data Leverage strong history management and oil & into new compelling gas seismic imaging industries Supply clients with world- Focus on R&D to foster class and sustainable innovation and industry supercomputi
Slide 4: H1 FY23 snapshot
H1 FY23 snapshot Strong order intake Record breaking results Positive cash flow and low net debt o Services contract wins of Record breaking profit and loss o Operating cash inflows of US$24.7 million, up 19% on H2 results on all measures US$3.0 million, includes FY22 and 305% on H1 FY22 working cap
Slide 5: Positioned to capitalise
Positioned to capitalise Tailwinds from emerging global themes o Increasing complexity and size of data ü Revolutionary geoscience imaging and analysis technology o Emphasis on agile and complex data ü Bespoke data solutions and expert support analytics ü State-of-the-art computing hardware o Growin
Slide 6: Software
Software o Revenue of US$3.2 million o Growth in revenue of 9% on H1 FY22 o Strong renewals and client wins during the period o Top 3 software clients tied to multi-year (3-5 year) agreements. Total combined revenue >US$1.3 million per annum o Incremental opportunities from FWI technology www.dug.co
Slide 7: HPCaaS
HPCaaS o Revenue of US$2.2 million Third Party HPCaaS Billings (US$millions) o Growth in revenue of 29% on H1 FY22 0.9 o Record billings in December 2022 support H2 FY23 0.8 revenue 0.7 o Strategically important new clients including: 0.6 o Committed compute and storage with Monash 0.5 University 0.
Slide 8: Services
Services o Revenue of US$19.8 million Historic Services Calendar Year Order Intake o Growth in revenue of 60% on H1 FY22 50 90 45 80 o Record calendar year order intake of US$45.5 million 40 supported by improved oil prices 70 Calendar year contract wins US$m 35 Year end oil price $/bbl 60 o Access
Slide 9: Deep Client Relationships
Deep Client Relationships o Our top 10 clients accounted for 50% of revenue for Top 10 customers by revenue and by relationship length the last 18 months (FY22 and H1 FY23 combined) s o Deep longevity of relationships with large clients, ear $9 US$ Millions 3y across multiple product lines $8 o Rela
Slide 10: Outlook
Outlook o Services order intake has increased work in hand to US$28.8 million at 31 December 2022, up 30% compared to 30 June 2022. o Software revenues will be supported by strong renewals with existing clients as well as contracted client wins during H1 FY23. o HPCaaS expected to continue to penetr
Slide 11: Financials
Financials www.dug.com 11
Slide 12: Profit and Loss
Profit and Loss o US$8.6 million (52%) increase in total revenue from USD’m H1 FY231 H2 FY22 H1 FY22 % Change % Change H2 FY22: HoH YoY Revenue o Software – seasonal revenue business due to Software 3.2 3.2 2.9 - 9% timing of renewals. Growth of 9% on H1 FY22. HPCaaS 2.2 2.2 1.7 - 29% o HPCaaS – ste
Slide 13: Balance Sheet
Balance Sheet USD’m 31 Dec 20221 30 Jun 2022 Current Assets o Debt levels in line with 30 June 2022 at US$4.5 million Cash and cash equivalents 2.5 2.7 gross debt and US$2.0 million net debt Trade and other receivables 10.1 4.9 Contract assets 2.5 0.3 Other 1.5 1.7 o Net debt : EBITDA (Last 12 Month
Slide 14: Cash Flow
Cash Flow USD’m 1H FY231 2H FY22 1H FY22 Cash flow from operating activities o Operating cash inflows of US$3.0 million included a - EBITDA 7.6 2.7 - build up of US$3.6 million of working capital, a portion - Movement in working capital (3.6) 0.9 (0.5) of which is expected to unwind during H2 FY23 -
Slide 15: Disclaimer
Disclaimer This presentation has been prepared by DUG Technology Ltd ("DUG") based on information available as at the date of this presentation. The information in this presentation is provided in summary form and does not contain all information necessary to make an investment decision. Reliance sh
Slide 16: Appendices and Case Studies
Appendices and Case Studies www.dug.com 16
Slide 17: DUG Overview
DUG Overview o ASX-listed global technology company with offices in London, Houston and Kuala Lumpur—HQ in Perth o Founded in 2003 by Dr Matthew Lamont and Dr Troy Thompson to introduce an enhanced Decision Support System to the Oil & Gas industry o Designs, owns and operates some of the largest and
Slide 18: DUG's global footprint
DUG’s global footprint www.dug.com 18
Slide 19: Global opportunity
Global opportunity Global HPC Cloud Market Size (US$ billion)¹ 11.45 a st G row th 9.87 US$11.5bn ec For 8.51 Global HPC Market Value 2026 Forecast 7.37 6.30 5.10 4.30 +17.6% Forecast CAGR 2022 to 2026 2020 2021 2022 2023 2024 2025 2026 (1) https://www.hpcwire.com/2022/05/30/hyperion-hpc-market-is-s
Slide 20: Corporate summary
Corporate summary Share Price (ASX:DUG) Corporate Structure Units 1 4 Share Price (as at 22 Feb 2023) A$/sh 0.85 0.8 Shares on Issue #m 118.1 3 Price (A$/share) Market Capitalisation A$m 100.4 Volume (millions) 0.6 2 (+) Financial Debt¹ (as at 31 Dec 2022) A$m 6.6 0.4 (-) Cash at Bank¹ (as at 31 Dec
Slide 21: Case study – Sharpening Earth observation capabilities
Case study – Sharpening Earth observation capabilities o Smart-satellite provider LatConnect 60 is working to promote a subscription-based monitoring service to enhance crop management o To sustain a large-scale deployment of the service, LatConnect 60 required a tailored, cost- effective and effici
Slide 22: Case study – Supercharging medical research at Perkins
Case study – Supercharging medical research at Perkins o Researchers at the Harry Perkins Institute of Medical Research (Perkins) must constantly develop new algorithms and methodologies to keep pace with the rapid evolution of bioinformatics o Perkins required a fully supported HPC system designed
Slide 23: Case study – Better and greener shipbuilding
Case study – Better and greener shipbuilding o Ship design specialists at Austal perform resource-intensive computational analyses to improve the efficiency and performance of its industry-leading defence and commercial vessels o Austal required quick access to different hardware and an efficient, f
Slide 24: Case study – The SKA project
Case study – The SKA project o The Square Kilometre Array (SKA) Project is one of the largest international scientific research projects in history o The Murchison Widefield Array (MWA) telescope had amassed a backlog of data that was being processed using the Pawsey Supercomputing Centre o DUG HPC
Slide 25: Case study – Outsmarting bushfires with AI
Case study – Outsmarting bushfires with AI o The Frontier Development Lab AusNZ approached DUG to provide the HPC service and support for Data Quest 2020—a research sprint incorporating artificial intelligence (AI) into firefighting o Predicting and preventing bushfires are arduous tasks due to the
Slide 26: Connect with DUG
Connect with DUG www.dug.com facebook.com/teamdug linkedin.com/company/teamdug twitter.com/team_dug youtube.com/dugeoonline info@dug.com +61 8 9287 4100 www.dug.com 26
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