Ibex Limited · NASDAQ:IBEX

Ibex — Q1 2024 Earnings Presentation

25 slides from Ibex's earnings presentation, Nov 9, 2023

  1. Slide 1: ibex Q1 FY2024 Earnings Call

    Built for what’s next. ibex Q1 FY2024 Earnings Call Bob Dechant, CEO & Taylor Greenwald, CFO November 09, 2023

  2. Slide 2: Disclaimer

    Built for what’s next. Disclaimer This presentation includes forward-looking statements within the meaning of the Private Securities This presentation also contains estimates and other statistical data made by independent parties and Litigation Reform Act of 1995. All statements contained in this pr

  3. Slide 3: Q1 FY2024 Compelling Track Record of Transformation and Execution

    Q1 FY2024 Compelling Track Record of Transformation and Execution • 7 Consecutive quarters of Adjusted EBITDA growth YoY Strong EBITDA Growth • 5 Consecutive quarters of Adjusted EBITDA Margin expansion YoY Favorable Net Cash • More than double net cash position vs $28.2m Position as of June 2021 $6

  4. Slide 4: Q1 FY2024 Results & Highlights

    Q1 FY2024 Results & Highlights Strong Results Throughout the P&L $124.6m $13.7m $7.6m Revenue Adj. EBITDA Adj. Net Income $67.4m 11.0% $6.6m TTM Adj EBITDA Adj. EBITDA Margin FCF 31% 6% $0.40 TTM Adj. EBITDA Growth Adj. EBITDA Growth Adj. EPS (YoY) (YoY) 4

  5. Slide 5: New Logo Engine: Strong Performance Winning Great Brands

    New Logo Engine: Strong Performance Winning Great Brands Client Cohort New Client Cohort Data ($m) FY19-FY23 Performance $100 Year 1 Year 2 Year 3 • Strong Pipeline with high profile $90 clients across key verticals $80 • ~ $35m of new logo revenue in FY23 o 10 new logos $70 • Four new logos won in

  6. Slide 6: Powerful Land & Expand with our Digital First Clients

    Powerful Land & Expand with our Digital First Clients Leading Blue-Chips & Digital and Revenue Breakdown ($m) Analytics-First Brands $450 $400 • 77% Digital & Integrated Omni- $350 lie nts Channel up from 71% C O 2.0 • 75% of total revenue in High margin P ur B $300 in o Nearshore and Offshore regio

  7. Slide 7: Generative AI – the Next Wave of Wave X

    Generative AI – “the Next Wave” of Wave X AI-Powered Tech Stack AI across Agent Lifecycle AI Driven Insights Digital Customer Experience Productivity Boost Quality Boost Volume Boost • Agent Assist • Quality Assurance on 100% • Human live Voice Bot and • AI Based Agent Training of Interactions Chat

  8. Slide 8: Capital Allocations

    Capital Allocations Infrastructure positioned • Upgrading ERP & HCM systems for continued growth • 419,136 shares Share Repurchase* * As of November 8, 2023 • Totaling $6.7m Further expansion into • Offshore higher margin regions • New Geographies • Enhancing our solutions & competitive moat Targete

  9. Slide 9: Financial Results

    Built for what’s next. Financial Results Taylor Greenwald CFO

  10. Slide 10: Q1 FY2024: Financial Highlights – US GAAP

    Q1 FY2024: Financial Highlights – US GAAP • Digital and Omni-Channel delivery represent 77% of total revenue Revenue (71% in Q1 FY23) $124.6m • Shift in Geo Mix and decline in FinTech vertical -2.5% YoY • Growth in our strategic HealthTech and Retail & E-commerce verticals Net Income $7.4m Q1 FY24 S

  11. Slide 11: Q1 FY2024: Financial Highlights – Non-GAAP

    Q1 FY2024: Financial Highlights – Non-GAAP Q1 Adjusted EBITDA $15.0 Adjusted EBITDA $14.5 $13.7m Q1 FY24 +6.2% YoY Stronger operating results driven $14.0 % +6 $13.7m by improved capacity utilization $13.5 $13.0 $12.9m Increased revenue from higher margin regions from 70% of total $12.5 Adjusted Net

  12. Slide 12: Revenue: Model Client Diversification

    Revenue: Model Client Diversification Q1 FY24 Client Statistics (% of Revenue) Top 5 Clients 39.9% 59.4% Top 10 Clients Top 25 Clients 83.2% 12.2% Largest Client 12

  13. Slide 13: Winning in Strategic Verticals

    Winning in Strategic Verticals Continued Growth in HealthTech and Retail & E-commerce 8.3% 9.0% 16.8% Technology 17.3% Technology Telecommunications Telecommunications 23.4% 21.3% 13.5% Retail & Q1 13.0% Q1 Retail & Travel, E-commerce E-commerce Transportation Travel, and Logistics Transportation FY

  14. Slide 14: Q1 FY 2024: Cash Flow and CapEx

    Q1 FY 2024: Cash Flow and CapEx Net Cash Generated from Capital Expenditures Operations $2.1m, 1.6% of Revenue Q1 FY24 $8.7m Q1 FY24 $3.6m, 2.8% of Revenue Q1 FY23 $5.6m Q1 FY23 DSO Non-GAAP Free Cash Flow 67 days Q1 FY24 $6.6m Q1 FY24 63 days Q4 FY23 $2.0m Q1 FY23 59 days Q1 FY23 14

  15. Slide 15: September 2023 Balance Sheet

    September 2023 Balance Sheet Cash and Cash Equivalents • Increase in borrowing availability under our $62.0m revolving credit facilities to $72.6m as of June 30, 2023: $57.4m September 2023 v. $71.9m as of June 2023 Total Debt • Net Cash position at September Quarter end ~ $1.0m improved to $61.1 mi

  16. Slide 16: Reaffirming Full Year Guidance

    Reaffirming Full Year Guidance FY24 Revenue $525-535m Adj. EBITDA ~13% Margin CapEx $15-20m • Macro-economic environment pressuring client volumes • Continue trend toward offshoring/nearshoring • Efficient use of CapEx • Investments in Sales & Marketing, Infrastructure, Compliance 16

  17. Slide 17: Q&A

    Built for what’s next. Q&A

  18. Slide 18: Appendix

    Built for what’s next. Appendix

  19. Slide 19: Most Awarded BPO 2.0 Provider

    Most Awarded BPO 2.0 Provider 2023 America’s Greatest 2023 Customer 2023 & 2024 Philippines 2023 Most Innovative 2023 Female Executive of Workplaces for Parents & Experience Innovation Best Employers Company the Year - Julie Casteel Families Awards - Wave X 2022 Top Exporter Award 2022 & 2023 Contac

  20. Slide 20: Differentiation with Technology & Analytics

    Differentiation with Technology & Analytics Wave X Wave X Insights Purpose-built technology to Advanced Analytics to outperform provide customer insights 400+ 250+ Experienced IT Professionals Data and Business Analysts 16 70+ Technology Platforms CX & Cost Optimization Supported Case Studies 50+ 90

  21. Slide 21: Reconciliation of Net Income to Adjusted Net Income

    Reconciliation of Net Income to Adjusted Net Income Three months ended Twelve months ended 30-September 30-Jun US$ in thousands, except per share amounts, unaudited 2023 2022 2023 2022 Represents US GAAP transition expense, severance Net income $ 7,425 $ 6,523 $ 31,582 $ 21,456 A expense, legal and

  22. Slide 22: Reconciliation of Net Income to Adjusted EBITDA

    Reconciliation of Net Income to Adjusted EBITDA Three months ended Twelve months ended 30-September 30-Jun US$ in thousands 2023 2022 2023 2022 Net income $ 7,425 $ 6,523 $ 31,582 $ 21,456 Represents US GAAP transition expense, severance Interest expense 104 148 792 1,289 A expense, legal and settle

  23. Slide 23: FY23 by Quarter: Income Statement

    FY23 by Quarter: Income Statement 23

  24. Slide 24: Reconciliation of FY23 by Quarter: Net Income to Adjusted Net Income

    Reconciliation of FY23 by Quarter: Net Income to Adjusted Net Income 24

  25. Slide 25: Reconciliation of FY23 by Quarter: Net Income to Adjusted EBITDA

    Reconciliation of FY23 by Quarter: Net Income to Adjusted EBITDA 25

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