Catapult Sports Ltd. · ASX:CAT
Catapult Sports — Bell Potter Investor Conference September 2019
30 slides from Catapult Sports's conference presentation, Sep 18, 2019
Slide 1: FY19 Results – Bell Potter Investor Conference September 2019
FY19 RESULTS For personal use only BELL POTTER INVESTOR CONFERENCE SEPTEMBER 2019 Dr. Adir Shiffman, Executive Chairman CATAPULTSPORTS.COM 1
Slide 2: We exist to build and improve the performance of athletes and teams
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only WE EXIST TO BUILD AND IMPROVE THE PERFORMANCE OF ATHLETES AND TEAMS. Cover image: This photo was taken during the semi-finals of the Série A: Campeonato Carioca state championship between Clube de Regatas do Flamengo and Fluminense FC. The gam
Slide 3: For personal use only
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only CATAPULTSPORTS.COM 3
Slide 4: Catapult's global scale and emerging operating leverage
INVESTOR CONFERENCE SEPTEMBER 2019 CATAPULT’S GLOBAL SCALE AND EMERGING OPERATING LEVERAGE For personal use only A high-growth The global market leader Scalability: delivering recurring revenue with the best products profitability and business generating and service transitioning to high gross margi
Slide 5: FY19 continued strong revenue growth and first positive EBITDA
INVESTOR CONFERENCE SEPTEMBER 2019 FY19 CONTINUED STRONG REVENUE GROWTH AND FIRST POSITIVE EBITDA For personal use only $6M INCREASE CATAPULTSPORTS.COM 5
Slide 6: EBITDA growth momentum
INVESTOR CONFERENCE SEPTEMBER 2019 EBITDA GROWTH MOMENTUM For personal use only DELIVERED FIRST POSITIVE EBITDA DRIVEN BY RECURRING REVENUE AND NEW BUSINESS GROWTH EBITDA ($M) EBITDA ($m) REVENUE INCREMENT EBITDA INCREMENT 6 $18.6M 4 2 $12.4M $6.0M 0 FY17 FY18 FY19 $2.0M -2 FY18 FY19 FY18 FY19 -4 16
Slide 7: FY19 achievements
INVESTOR CONFERENCE SEPTEMBER 2019 FY19 ACHIEVEMENTS For personal use only CUSTOMER PRODUCT →→ 2,970 teams, up more than 1,100 vs last year →→ Launched 7th generation wearables product, Vector, with first sales →→ 153 teams with more than one product →→ First sales of new video product, Catapult Vis
Slide 8: Catapult has extended its global leadership
INVESTOR CONFERENCE SEPTEMBER 2019 CATAPULT HAS EXTENDED ITS GLOBAL LEADERSHIP For personal use only TEAMS BY REGION TEAMS BY SPORT Total customer base of 2,970 teams, up more than 7% 1,100 in FY19 24% 12% APAC Catapult will continue to achieve 221 growth in three key areas: AUS OTHER →→ Greenfield
Slide 9: Catapult is unique in providing world-class solutions across the stack
INVESTOR CONFERENCE SEPTEMBER 2019 CATAPULT IS UNIQUE IN PROVIDING WORLD-CLASS SOLUTIONS ACROSS THE STACK For personal use only V I D E O A N A LY S I S Following the strategic acquisition of video market-leader XOS Digital, Catapult has invested in a scalable, needs-driven video platform, Vision, t
Slide 10: Growing momentum of teams with more than one product
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only GROWING MOMENTUM OF TEAMS WITH MORE THAN ONE PRODUCT Teams with 2 or 3 products spend an average of 8x p.a. more with Catapult than NUMBER OF PRODUCTS 3 15 single product teams 2 138 1 2817 TEAMS CATAPULTSPORTS.COM 10
Slide 11: Improving scale and leverage across the business
INVESTOR CONFERENCE SEPTEMBER 2019 IMPROVING SCALE AND LEVERAGE ACROSS THE BUSINESS For personal use only O P E R AT I N G E X P E N S E LABOUR EXPENSE TO REVENUE TO REVENUE 90% 60% 80% 50% 70% 60% 40% FY17 FY18 FY19 FY17 FY18 FY19 CATAPULTSPORTS.COM 11
Slide 12: Prosumer resized to achieve potential while managing cash flow
INVESTOR CONFERENCE SEPTEMBER 2019 PROSUMER RESIZED TO ACHIEVE POTENTIAL WHILE MANAGING CASH FLOW For personal use only →→ Revenue growth of 54% to $5.3 million →→ Online channels delivering most of the FY19 sales. →→ NPS score of 65.8 PROSUMER UNITS (0 0 0 ’s ) 14.0 47% INCREASE CATAPULTSPORTS.COM
Slide 13: Headcount: positioned to deliver on Catapult strategy
INVESTOR CONFERENCE SEPTEMBER 2019 HEADCOUNT: POSITIONED TO DELIVER ON CATAPULT STRATEGY For personal use only HEADCOUNT BY FUNCTION HEADCOUNT BY REGION SALES EMEA: 81 & MARKETING: 94 TECHNOLOGY & PRODUCT: 119 APAC: 20 AMERICAS: 165 OPERATIONS: 98 AUSTRALIA: 89 CORPORATE: 44 TOTA L H E A D C O U N T
Slide 14: FY19 Profit & Loss
INVESTOR CONFERENCE SEPTEMBER 2019 FY19 PROFIT & LOSS For personal use only Delivered positive EBITDA while FY19$M FY18 $M % CHANGE investing in future growth REPORTED REPORTED YOY →→ FY19 revenue driven by 33% ARR 66.1 53.4 24% growth in core elite wearables →→ Elite video delivered 14% growth Tota
Slide 15: Large and growing stream of accelerating recurring revenue
FY19 RESULTS LARGE & GROWING STREAM OF ACCELERATING REVENUE For personal use only RECURRING REVENUE ARR ($m) 80.0 Drivers of continued strong growth in ARR include; 1 9. 6 % o f →→ New products focused on R -1 9 C AG 34.1m subscription contracts 60.0 F Y 1 7 →→ Greenfield and cross sell opportunitie
Slide 16: Strong growth across all revenue streams
INVESTOR CONFERENCE SEPTEMBER 2019 STRONG GROWTH ACROSS ALL REVENUE STREAMS For personal use only R E V E N U E B R I D G E F Y 1 8 t o F Y 1 9 ( $ 0 0 0 ’s ) 100,000 1,850 95,000 95,375 2,807 1,931 90,000 4,230 85,000 7,763 80,000 76,793 75,000 70,000 FY18 Revenue Americas recurring ROW recurring A
Slide 17: Americas video product strength in US sports
INVESTOR CONFERENCE SEPTEMBER 2019 AMERICAS VIDEO PRODUCT STRENGTH IN US SPORTS For personal use only →→ $44.8m Revenue, up 14% vs last year →→ 544 teams 30 →→ Traditionally this was a North American business 30 25 →→ Developing global footprint: Catapult Vision in early sales process 25 →→ High mar
Slide 18: Elite wearable analysis
INVESTOR CONFERENCE SEPTEMBER 2019 ELITE WEARABLE ANALYSIS For personal use only R E C O R D E W S A L E S W I T H P L AY E R T E K + S A L E S M E E T I N G A M A R K E T O P P O R T U N I T Y A N D C R E AT I N G U P S E L L P OT E N T I A L C U M U L AT I V E E L I T E U N I T S (0 0 0 ’S ) 38.5
Slide 19: We make the right investments in the right regions
INVESTOR CONFERENCE SEPTEMBER 2019 WE MAKE THE RIGHT INVESTMENTS IN THE RIGHT REGIONS For personal use only REVENUE CONTRIBUTION BY REGION WE HAVE INVESTED IN FUTURE GREENFIELD GROWTH Asia Pac 5% Australia 6% AMERICAS EMEA AUSTRALIA ASIA PAC GROUP REVENUE $65.4m $19.6m $5.4m $5.0m $95.4m EMEA 20% RE
Slide 20: FY19 investment focus on core elite products
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only FY19 INVESTMENT FOCUS ON CORE ELITE PRODUCTS →→ Capital investment program in FY20 is FY19 focused on delivering new products in Elite DESCRIPTION Wearables (Vector) and Elite Video (Vision) ($000's) →→ AMS investment focused on target markets
Slide 21: Strong seasonal cash receipts drive improved current balance
INVESTOR CONFERENCE SEPTEMBER 2019 STRONG SEASONAL CASH RECEIPTS DRIVE IMPROVED CURRENT BALANCE For personal use only R E C O R D E W S A L E S W I T H P L AY E R T E K + S A L E S M E E T I N G A M A R K E T O P P O R T U N I T Y A N D C R E AT I N G U P S E L L P OT E N T I A L FCF BRIDGE FY18 VS
Slide 22: FY19 recap
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only FY19 RECAP →→ First positive EBITDA of $4.1m, a $6m improvement →→ 1,100 new teams to 2,970 →→ ARR growth 24% to $66.1m →→ Revenue growth 24% to $95.4m →→ Slowing OPEX growth, 14% to 9% →→ Lower EW subscription churn, 5.2% from 8.4% →→ New pro
Slide 23: Momentum continues as expected into FY20
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only MOMENTUM CONTINUES AS EXPECTED INTO FY20 CASH BALANCE GLOBAL CUSTOMER BASE GROWING AS EXPECTED INCREASING AS EXPECTED RECENT WINS INCLUDE: S PA N I S H S O C C E R BANGLADESH SOCCER BAHRAIN SOCCER JA PA N E S E U N I V E R S I T Y L E VA N T E
Slide 24: Outlook
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only OUTLOOK →→ The Board expects continued strong revenue growth, with a further reduction in operating expense growth →→ Catapult is committed to subscription sales and ARR growth, with high quality, high margin, revenue →→ 3 key drivers exist to
Slide 25: Thank you
FY19 RESULTS For personal use only THANK YOU CATAPULTSPORTS.COM 25
Slide 26: Appendix 1: Elite wearables – subscription units reconciliation
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only APPENDIX 1: ELITE WEARABLES – SUBSCRIPTION UNITS RECONCILIATION UNITS ELITE SUBSCRIPTION FLEET (30 JUNE 2018) 17,098 NEW SUBSCRIPTION UNITS SOLD 5,605 CHURN - SUBSCRIPTION CONTRACTS NOT RENEWED (895) TEAMS REDUCING NUMBER OF UNITS UNDER SUBSCR
Slide 27: Appendix 2: EBITDA to underlying core EBITDA
INVESTOR CONFERENCE SEPTEMBER 2019 APPENDIX 2: EBITDA TO UNDERLYING CORE EBITDA For personal use only E B I T D A B R I D G E F Y 1 9 S TAT U T O R Y E B I T D A T O C O R E U N D E R LY I N G E B I T D A ( $ 0 0 0 ’ S ) CATAPULTSPORTS.COM 27
Slide 28: Appendix 3: Stronger balance sheet provides platform for growth
INVESTOR CONFERENCE SEPTEMBER 2019 APPENDIX 3: STRONGER BALANCE SHEET PROVIDES PLATFORM FOR GROWTH For personal use only →→ Working capital decrease driven by use of 30 JUNE 19 30 JUNE 18 funds for capital investment as operating $M $M cash flows are used to fund one off investments in core labour a
Slide 29: For personal use only
INVESTOR CONFERENCE SEPTEMBER 2019 For personal use only CATAPULTSPORTS.COM 29
Slide 30: For personal use only
For personal use only CATA P U LTS P O R TS .CO M @catapultsports catapult-sports 30
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