Senetas Corporation Limited · ASX:SEN
Senetas — Investor Presentation (November 2013)
21 slides from Senetas's investor presentation, November 2013
Slide 1: Senetas Corporation Revised Corporate Overview
SENETAS CORPORATION REVISED CORPORATE OVERVIEW DUPLICATED SLIDE 4 HAS BEEN REMOVED FROM THE PREVIOUS RELEASE & AND SLIDE 13 HAS BEEN ADDED TO THIS PRESENTATION NOVEMBER 2013 1
Slide 2: Capital Structure
SENETAS CORPORATION ASX: SEN Capital Structure Market Cap. ($0.045 share): $48 mill Shares on Issue: 1,065 m Revenue: $7.7 mill EBITDA ($0.7) mill Net Profit: ($0.9) mill Net Cash: $5.0 mill Directors Francis Galbally - Chairman Andrew Wilson, CEO Lt Gen Ken Gillespie (Non Executive) Lachie Given (N
Slide 3: Senetas leads the market in sophisticated data encryption devices
SENETAS LEADS THE MARKET IN SOPHISTICATED DATA ENCRYPTION DEVICES World leading developer of high speed, layer 2 network security devices Products meet the most stringent world-wide standards for security Overview Products deployed across 29 countries Head office in Melbourne, Australia ASX-
Slide 4: Senetas is actively pursuing a range of short- and medium-term growth strategies
SENETAS IS ACTIVELY PURSUING A RANGE OF SHORT- AND MEDIUM- TERM GROWTH STRATEGIES TO RAISE ITS PROFILE AND EXPAND ITS REACH Market expansion Offering expansion Continued product innovation and R&D investment Expand in UK via CAPS accreditation New markets Develop security solutions capability
Slide 5: Business Highlights
BUSINESS HIGHLIGHTS • Global leader of layer 2 network encryption devices Global leader • IP-rich with world leading R&D and product engineering capabilities • Sophisticated, high speed, scalable, low latency with plug-and-play ease-of-use, with the recently developed CN6000 range at the cutting edg
Slide 6: Senetas Encryption Technology
SENETAS ENCRYPTION TECHNOLOGY • PURPOSE BUILT ENCRYPTION TECHNOLOGY • OVERCOMES TRADITIONAL ENCRYPTION LIMITATIONS: • Complexity • Incompatibility • Performance • Operate in either point-to-point or meshed/multi-point networks ENCRYPTION PRODUCTS FOR SECURING THE FOLLOWING TYPES OF NETWORKS ‐ Gove
Slide 7: Government, defence and commercial customers across 29 countries
GOVERNMENT, DEFENCE AND COMMERCIAL CUSTOMERS ACROSS 29 COUNTRIES 7
Slide 8: Senetas has a portfolio of industry-leading layer 2 encryption products
SENETAS HAS A PORTFOLIO OF INDUSTRY-LEADING, HIGH PERFORMANCE, LOW LATENCY LAYER 2 ENCRYPTION PRODUCTS Ethernet Versatile, high-performance encryption solution for 100Mbps, 1Gbps and 10Gbps layer Encryption 2 Ethernet networks that integrates into point-point or meshed network topologies CN1000 10
Slide 9: Our new CN6000 series encryptors are at the cutting edge of layer 2 encryption
OUR NEW CN6000 SERIES ENCRYPTORS ARE AT THE CUTTING EDGE OF LAYER 2 ENCRYPTION TECHNOLOGY Designed to address the need for high speed (up to 10 Gbps), highly secure, highly resilient wire speed encryption of Ethernet traffic across both dark fibre and metro or wide area Ethernet services More th
Slide 10: Product Roadmap
5. PRODUCT UPDATE / R&D ROADMAP PRODUCT ROADMAP NEAR-TERM PRIORITIES NEW AND INNOVATIVE PRODUCT ENHANCEMENTS ‐ CN4010 low cost encryptor ‐ CN6010 cost reduced 1 Gb rack mount ‐ CN8000 multi-slot investigation ‐ Implementation of Transmission Security – unique feature SPECIFIC MARKET ENCRYPTORS ‐
Slide 11: Unlike layer 3, layer 2 encryption enables high speed, scalable, secure data transfer
UNLIKE LAYER 3, LAYER 2 ENCRYPTION ENABLES HIGH SPEED, SCALABLE, SECURE DATA TRANSFER WITH NEAR ZERO LATENCY APPROXIMATELY 90% OF GLOBAL NETWORKS ARE LAYER 3 IP/TCP ROUTED NETWORKS Lowest impact on NETWORK TOPOLOGIES ARE EVOLVING AND THE USE OF network performance LAYER 2 IS BECOMING INCREASINGL
Slide 12: Only organisation certified against each of FIPS, Common Criteria and CAPS
SENETAS IS THE ONLY ORGANISATION GLOBALLY WHOSE ENCRYPTION PRODUCTS ARE CERTIFIED AGAINST EACH OF FIPS, COMMON CRITERIA AND CAPS Certification received in March 2012 (certificate Certification received in November 2009 (certificate Certification received in November 2012 (certificate numbers 1
Slide 13: Near Term Market Drivers
NEAR TERM MARKET DRIVERS NEW DISTRIBUTION DISTRIBUTION RELATIONSHIP WITH SAFENET • Far greater access to key global markets • Direct customer contact with largest customers • Relationship strongest it has ever been SPECIFIC MARKET ENCRYPTORS ‐ Custom algorithm encryptors ‐ New NATOcertification
Slide 14: Experienced leadership team with long-term continuity
SENETAS IS MANAGED BY AN EXPERIENCED LEADERSHIP TEAM WITH LONG-TERM CONTINUITY IN THE PRODUCT DEVELOPMENT TEAM CEO CTO GM Engineering GM Europe GM Marketing Andrew Julian John Gareth Simon Wilson Fay Weston Jones Galbally Chief Technical Head of Marketing General Manager of General Manager of CEO Of
Slide 15: Other Information – Industry Overview
3 | OTHER INFORMATION – INDUSTRY OVERVIEW
Slide 16: Organisations globally are seeing explosive growth in data usage
ORGANISATIONS GLOBALLY ARE SEEING EXPLOSIVE GROWTH IN DATA USAGE AND INCREASING PRESSURE ON NETWORK RESOURCES More and more content is created, transmitted and stored Unprecedented growth in valuable digital assets MARKET ESTIMATES THAT THE "DIGITAL UNIVERSE" (THE ORGANISATIONS ARE EXPERIENCING
Slide 17: Cyber intrusion is the biggest threat to valuable digital assets
CYBER INTRUSION IS THE BIGGEST THREAT TO VALUABLE DIGITAL ASSETS WHILST THEY ARE CREATED, STORED, MOVED AND SHARED Drivers of increasing focus on cyber security Cyber- warefare / Cybercrime / fraud / Government / national Obsolete security “hacktavism” regulatory technologies requirements State-base
Slide 18: Optical fibre is not inherently secure; encryption is the solution
IT HAS BEEN CLEARLY PROVEN THAT OPTICAL FIBRE IS NOT INHERENTLY SECURE… ENCRYPTION IS THE SOLUTION TO TOTALLY SECURING OPTICAL FIBRE MYTH Optical fibre is inherently secure Anyone with mischief or criminal intentions can access data anywhere along an optical cable that is TRUTH not adequately protec
Slide 19: Addressable layer 2 encryption market expected to grow from c.$180M to c.$460M
THE ADDRESSABLE LAYER 2 ENCRYPTION MARKET IS EXPECTED TO GROW FROM C.$180M TO C.$460M BY 2017 Layer 2 Encryption Market Estimates 2011 – 2017 market growth Assumptions 2011 2017 Ports sold (m) 184 307 Average ports per unit 16 16 Estimated units (m) 11.5 19.2 Percentage external links 10% 10% 100M E
Slide 20: Only 3 other players compete in the layer 2 crypto device market
THERE ARE ONLY 3 OTHER PLAYERS WHO COMPETE IN THE MARKET FOR LAYER 2 CRYPTO DEVICES ATmedia is a Germany-based provider of high speed encryption products Thales, a €5bn France-based diversified equipment and solutions provider, is a reseller of ATmedia layer 2 encryptors through its e-Security d
Slide 21: Disclaimer
DISCLAIMER THIS PRESENTATION ("PRESENTATION") HAS BEEN PREPARED BY SENETAS CORPORATION LIMITED (“SENETAS” OR “THE COMPANY”) FOR THE SOLE PURPOSE OF PROVIDING GENERAL AND BACKGROUND INFORMATION ON THE COMPANY. NOTHING CONTAINED IN THIS PRESENTATION IS OR SHOULD BE RELIED UPON AS A REPRESENTATION AS T