Slide 1: Webcentral Limited FY22 Results Presentation
Webcentral Limited ASX: WCG FY22 Results Presentation 22 August 2022
Slide 2: Disclaimer
Disclaimer This presentation contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that Webcentr
Slide 3: Continued Growth in FY22
Continued Growth in FY22 “The team at Webcentral is energised by the organic growth we are seeing across our traditional products and also our new products 6% 100% in such a tough macro backdrop. This growth along with continued synergy savings will see 6% 2.5% Dividend³ another record EBITDA result
Slide 4: Profit & Loss – FY22
Profit & Loss – FY22 FY21 FY22 • Record revenue of $96.7m was hindered by hardware Change $M $M fulfilment delays and which delayed a number of managed Revenue Cloud 27.8 29.4 5.9% services projects Domains 15.0 22.6 50.5% Network & Voice 9.2 10.2 10.3% • Record EBITDA of $17.6m underpinned by conti
Slide 5: Highlights and Achievements
Highlights and Achievements Launch new .au domains - March ‘22 25k .au domains sales in FY22 37k .au domain sales to mid Aug ‘22 Generated $1.2m cash in FY22 Generated $1.7m in cash to mid Aug ‘22 Hosting increased from 6% to 25% of all new domain sales New products launched: • NBN offered to 330,00
Slide 6: Revenue and Margin by Product
Revenue and Margin by Product Actual Incremental FY21 $M FY22 $M1 % Change Margin % Margin % Cloud 27.7 29.4 5.9% 69% 75% Domains www 15.0 22.6 50.5% 72% 70% Network 9.2 10.2 10.3% 66% 80% and Voice Data Centres 8.5 8.0 (5.9)% 56% 80% Managed 13.4 12.0 (10.3)% 30% 35% Services Digital 2.4 4.5 87.6%
Slide 7: Product Offering
Product Offering Webcentral services more than 330,000 Government, enterprise, wholesale, and small and medium business (SMB) customers across Australia and New Zealand. With 350 employees we seamlessly provide a range of cloud enabling solutions to businesses which consist of the following: Domains
Slide 8: Significant .au Revenue Opportunity from existing customer base
Significant .au Revenue Opportunity from existing customer base Kick the .com Kick the .com goodbye goodbye yourbusiness .com.au • .au launched in March 2022 with $1.2m yourbusiness .com.au sales in FY22 and $1.7m to Aug-22 • $9.6m revenue opportunity from 45% C 370k .com.au domains currently manage
Slide 9: Growth in average revenue per customer
Growth in average revenue per customer Continued growth in ARPU in FY22 and significant increase in lifetime value per customer due to new customers. $350 $300 ARPU Growth 8% $250 $200 $150 11% $100 $50 FY21 FY22 FY21 FY22 $0 Lifetime value per customer $3.7k Lifetime value per customer $2.0k (+56%)
Slide 10: Strong email and web hosting customer growth
Strong email and web hosting customer growth ‘000 Annualised Renewal Units • 8% growth in hosting customer sales 300 compared to PCP¹ 250 200 150 6% • transition to monthly services from 100 18% annual with 29% growth compared to 50 FY21 FY22 FY21 FY22 PCP¹ in monthly offsetting 6% decline 0 Hosting
Slide 11: Continued increase in renewal rates across domains, email and hosting
Continued increase in renewal rates across domains, email and hosting Improved customer renewal rates from initiatives to improve customer service, systems and billing processes 100% • Higher renewal rates across domains, email and web hosting products due to customer 95% service, systems and proces
Slide 12: Webcentral Owned and Operated Network Infrastructure
Webcentral Owned and Operated Network Infrastructure 5 Owned and Operated National Data Centres 100 GB IP Transit Capacity Fibre Optics Installed, 100+ KM connecting major CBD’s and Data Centres 50+ Data Centres Connected Across Australia 600 GB DDOS Mitigation 1700 TB Cloud Capacity 12
Slide 13: Cashflow – FY22
Cashflow – FY22 $M FY21 FY22 % Change • Strong operating cash flow of $3.8m in the 4th quarter to June Receipts 95.7 106.9 11.7% Payments (83.8) (98.1) 17.1% • Investment in CNW.ASX of 18.5% Net Interest Paid (1.8) (2.7) 52.8% valued at $5.4m Underlying Operating Cashflow 10.1 6.0 (40.6)% Restructur
Slide 14: Balance sheet – FY22
Balance sheet – FY22 $M FY21 FY22 Change • Continued investment in fibre networks Cash and cash equivalents 19.2 5.4 (13.8) extending by 50km for FY22 Trade and other receivables 6.0 3.7 (2.3) Other current assets 9.0 10.0 1.0 • Upgrade cloud capacity incorporating Total Current Assets 34.2 19.1 (15
Slide 15: FY23 Outlook
FY23 Outlook • FY23 Forecast Revenue range $108M to $118M • FY23 EBITDA¹ Guidance of $23M to $27M • Interim and Final Dividends with growth from FY22 Final Dividend 130 Forecast revenue range 120 100 100 90 80 70 60 $M FY22 .Au & Domains NBN Hosting HW & SW Networks FY23 1. EBITDA before no-recurrin
Slide 16: Webcentral Capital Structure
Webcentral Capital Structure ASX Code WCG Shares on issue 331,092,792 Performance Rights and Options (Unlisted) 37,785,000 19 August 2022 market capitalisation $86.1M Cash (June 2022) $5.4M Available Debt (June 2022) $10.8M Share Price Movement 1.00 bdc Brisbane Data Centre Acquisition 0.80 Merger w
Slide 17: Thank you
Thank you For further information contact: Joe Demase Managing Director jd@webcentral.com.au 1300 10 11 12 Glen Dymond Chief Financial Officer gd@webcentral.com.au 0408 199 712