Crexendo, Inc. · NASDAQ:CXDO
Crexendo — Q2 2020 Earnings Presentation
23 slides from Crexendo's earnings presentation, Sep 1, 2020
Slide 1: Second Quarter 2020 Investor Presentation: CXDO
Second Quarter 2020 Investor Presentation: CXDO
Slide 2: Safe Harbor Statement
Safe Harbor This presentation includes forward-looking statements within the meaning of the federal securities laws. These statements relate to, among other things, our history, our business lines, business strategy, goals , plans and expectations concerning our business, our market position and the
Slide 3: The Best Kept Secret in UCaaS
The Best Kept Secret Fast-Growing Tech Leader in the UCaaS and Cloud in UCaaS Communications space Unparalleled Executive Telecom Experience with over Crexendo® knows how to keep things connected in the 150 Years Combined VoIP and UCaaS (Unified Communications as a Service) industry. We design, deve
Slide 4: Communicate from Anywhere, on Any Device
Communicate from Anywhere, on Any Device Now more than ever, businesses need to communicate from anywhere on any device in real time. Our cohesive cloud-based solution supports and adapts to those needs. It’s the power of having everything connected.
Slide 5: The UCaaS Market is Trending
The UCaaS Market is Trending 2x The rate organizations deploy Cloud Telephony will more than DOUBLE from 2017 to 2021 World Class, Cloud- Hosted System Built $54 IDC forecasts that the Worldwide UC and Collaboration Total Available for Small and Large Businesses Market will be $54 Billion by 2022 BI
Slide 6: The Telecom Industry in 2020: It's a Land Grab!
The Telecom Industry in 2020 It’s a Land Grab!
Slide 7: What Makes Us Unique in the Space
What Makes Us Unique in the Space Higher Margins with In- CLEC Vetted and House Solutions Approved Our VoIP platform and phones are 100% Our services are rigorously vetted and designed and engineered in-house. available everywhere in the US. Maintenance and High-End Features Come Upgrades Included S
Slide 8: US-Based Service and Support, Custom Engineering
US-Based Service and Custom Engineering Support Available Dedicated team and data centers are For above and beyond service in our here and available 24/7/365. designs and software. Easy to Switch Carriers but Keep Hardware We help transition customers to our service but retain their current phones.
Slide 9: Why Invest Right Now?
Why Invest Right Now? + High Growth Higher Multiples + Recurring Revenue & Great Future! + Strong Cash Flow 25% 100% ~ $1.1M $1.6M INCREASE CONTRACTS NET INCOME CASH FLOW 25% increase in Telecom Service Nearly all customers are on Net income of $0.08 and $0.07 Positive cash flow provided by Revenue
Slide 10: Q2 2020 Financial Results: GAAP & Non-GAAP Net Income
Q2 2020 Financial Results: GAAP & Non-GAAP Net Income GAAP BASIS Non-GAAP The Company reported net income of $508,000, or $0.03 per On a Non-GAAP basis, we had a net income for the quarter of $660,000, basic and diluted common share for the quarter, compared to or $0.04 per basic and diluted common
Slide 11: Growing Financial Profile
Growing Financial Profile * Up-Listed to Nasdaq on July 8, 2020 Year Ended Year Ended Year Ended Quarter Ended Ticker: CXDO December 31, 2017 December 31, 2018 December 31, 2019 June 30, 2020 $137.8 million $36.0 million (@$9.08 on 8/15/20) Market Capitalization $30.0 million $63.3 million (@$4.25)
Slide 12: Telecommunications Segment Revenue
Telecommunications Segment Revenue 2017 2018 2019 Q2 2019 YTD Q2 2020 YTD $14,500,000 $12,500,000 $10,500,000 $7,591,000 $7,785,000 $8,500,000 $6,500,000 $4,500,000 $2,500,000 $500,000 Service Product
Slide 13: Telecommunications Segment Backlog
Telecommunications Segment Backlog 12/31/2017 12/31/2018 12/31/2019 Q2 2019 Q2 2020 $27.35 Million $30,000,000 $25,000,000 $20,000,000 $15,000,000 $10,000,000 $5,000,000 $-
Slide 14: Expected Backlog Revenue Recognition
Expected Backlog Revenue Recognition 2020 2021 2022 2023 2024 2025 $9,500,000 $8,500,000 $7,500,000 $6,500,000 $5,500,000 $4,500,000 $3,500,000 $2,500,000 $1,500,000 $500,000 Service Revenue Product Revenue
Slide 15: Net Income (Loss) & Non-GAAP Income (Loss)
Net Income (Loss) & Non- GAAP Income (Loss) 2017 2018 2019 Q2 2019 YTD Q2 2020 YTD $2,000,000 Net Income: $648,000 $1,500,000 Non-GAAP: $934,000 $1,000,000 $500,000 $- $(500,000) $(1,000,000) Non-GAAP Income (loss) Net Income (loss)
Slide 16: Our Growth Strategy
Our Growth Strategy Partner Sales Direct Sales Currently more than 200 Active Partners Sell directly to larger customers and with plans to add 3-5% per quarter national accounts Tenured staff with wealth of experience Tenured and experienced team with in Channel Partnerships plans to hire more! Focu
Slide 17: Experienced Leadership Team
Experienced Leadership Team Steve Mihaylo CEO Doug Gaylor President & COO Ron Vincent CFO With over 150 years combined experience in the telecom industry, we know how to progress and continue to innovate in the cloud- hosted communications space. Nishith Chudasama Theresa Weitzel Brian Spitler VP of
Slide 18: It's Never Been a More Perfect Time
It’s Never Been a More Reliable technology that we own and design Perfect Time Software developed for (and with) our customers Experienced team with track record industry success We call it “ride the cloud” because our Industry with tremendous future growth opportunity business and the UCaaS industr
Slide 19: Questions?
Questions?
Slide 20: Appendix: Non-GAAP and EBITDA Reconciliation
Appendix Six Months Ended June 30, 2020 (In thousands) 2019 U.S. GAAP net income $ 648 $ 577 Share-based compensation 240 186 Amortization of intangible assets 46 27 Non-GAAP net income $ 934 $ 790 Non-GAAP earnings per common share: Reconciliation of U.S. GAAP Net Basic Diluted $ $ 0.06 0.06 $ $ 0.
Slide 21: Appendix: Condensed Consolidated Balance Sheets
Appendix Crexendo Inc. and Subsidiaries Condensed Consolidated Balance Sheets (in thousands, except par value and share data)
Slide 22: Appendix: Crexendo's Cloud Telecom Features
Appendix Crexendo’s Cloud Telecom Features Highlighted VoIP Highlighted User Features Features Business-Class Voicemail with E-Mail Delivery Extension Dialing ACD Call Center Apps Extensive Auto Attendant Options Follow Me/Find Me Monitor Barge Free Unlimited Local & Domestic Long-Distance Calling I
Slide 23: Thank You For Your Time!
Thank You For Your Time! Nasdaq: CXDO