Data#3 Limited. · ASX:DTL
Data#3 — Investor Presentation (February 2009)
22 slides from Data#3's investor presentation, Feb 23, 2009
Slide 1: Boardroom Radio Investor Briefing
For personal use only Boardroom Radio Investor Briefing 1H 2009 performance and outlook for full year 23rd February 2009
Slide 2: Content
Content For personal use only • Quick refresher on Data#3 • 1H performance - highlights • Full year outlook
Slide 3: Quick refresher on Data#3
Quick refresher on Data#3 For personal use only • Commenced operations in 1977 • Listed on ASX in 1997 • National ICT solutions company • $360M revenue in 2007/08 • 460 staff / 360 contractors • Mid to large corporate and government customers
Slide 4: Quick refresher on Data#3
Quick refresher on Data#3 For personal use only Data#3 specialises in: • Software Licensing Solutions – software licensing and software asset management to optimise our customers’ acquisition and management of software licensed in volume from global vendors • Infrastructure Solutions – design, procu
Slide 5: 1H performance
For personal use only 1H performance
Slide 6: 1H - Chairman's comment
1H - Chairman’s comment For personal use only “We are delighted to extend the run of ‘best ever’ performances to six years. The interim dividend of 20 cents per share is an 11% increase on the previous corresponding period and, in an increasingly challenging market, indicative of the inherent resili
Slide 7: 1H – Income statement
1H – Income statement For personal use only Half-Year Half-Year Change 2008/09 2007/08 2006/07 to Consolidated Income Statement $’000 $’000 2008/09 Sales revenue 116,502 62,371 + 87% − Software Solutions 91,918 73,575 + 25% − Infrastructure Solutions 21,055 20,779 + 1% − People Solutions Other reven
Slide 8: 1H - Balance Sheet
1H - Balance Sheet December 2008 June 2008 December 2007 For personal use only Current assets Cash and cash equivalents 8,822 17,014 6,973 Trade and other receivables 65,925 68,238 41,797 Inventories 5,805 6,601 3,620 Other 2,152 1,379 1,157 Total current assets 82,704 93,232 53,547 Non-current asse
Slide 9: 1H - Cash
1H - Cash For personal use only Half-Year Half-Year 2008/09 2007/08 Consolidated Cash Flow Statement $’000 $’000 Net cash outflow from operating activities* (2,887) (6,089) Net cash outflow from investing activities** (578) (322) Net cash outflow from financing activities*** (4,727) (3,983) Net decr
Slide 10: 1H – Consolidated revenue
1H – Consolidated revenue For personal use only 250 200 150 $M 100 50 Total 0 1H 1H 1H 1H 1H 2004/05 2005/06 2006/07 2007/08 2008/09 Total revenue grew by 46% to $230 million
Slide 11: 1H – Areas of specialisation
1H – Areas of specialisation For personal use only 120 100 80 1H 2005/06 $M 60 1H 2006/07 40 1H 2007/08 20 1H 2008/09 0 So f t war e Inf r ast r uct ur e Peo p le Software Solutions up 87%, Infrastructure Solutions up 25% People Solutions up 1%
Slide 12: 1H - Expenses
1H - Expenses For personal use only 88 87 86 % 85 84 83 Expense as % GM 82 1H 1H 1H 1H 1H 2004/05 2005/06 2006/07 2007/08 2008/09 Cost ratio – (Internal staff costs & operating expenses as a percentage of gross margin) increased from 85.2% to 87.5%
Slide 13: 1H - NPAT
1H - NPAT For personal use only 5 4 3 $M 2 NPAT 1 0 1H 1H 1H 1H 1H 2004/05 2005/06 2006/07 2007/08 2008/09 Net profit after tax increased 9% to $4.0M
Slide 14: 1H - Earnings and dividends
1H - Earnings and dividends For personal use only 30 25 20 Cents 15 EPS 10 DPS 5 0 1H 1H 1H 1H 1H 2004/05 2005/06 2006/07 2007/08 2008/09 Earnings up 9% to 26.16 cents Dividends up 11% to 20.0 cents, a 76% payout
Slide 15: Share price
For personal use only Share price
Slide 16: Difficult market effected….
Difficult market effected…. For personal use only • People Solutions • Flat revenues – strong Q1 then ‘collapse’ • $1M extra expense over pcp • $800K reduction in profit contribution over pcp • Parts of Infrastructure Solutions • ‘Business as usual’ technology refresh • Projects
Slide 17: Offset by….
Offset by…. For personal use only • Software Licensing Solutions • Revenues + 87% • NSW Department of Health • Whole of Federal Government • Parts of Infrastructure Solutions • Datacentre solutions • Contract product procurement • Managed Services
Slide 18: 2H - Outlook
2H - Outlook For personal use only “The outlook is difficult to predict as shareholders would understand however it remains our intention to do all that we can to at least equal the earnings result of the previous year and to remain strongly positioned for an improving market” Richard Anderson – Cha
Slide 19: 2H - Outlook
2H - Outlook For personal use only – Most indicators point to an increasingly difficult market – Why should we be immune? • Demonstrated we can win in the market • Skilled and engaged team • Our solutions appeal to very large proportion of ICT spend • Vendor investment in creating demand • Strong ba
Slide 20: 2H - Outlook
2H - Outlook For personal use only • Software Licensing Solutions • Revenues flow from whole of Federal Government • Slowing of commercial sector • Solid revenue growth at lower margins • Infrastructure Solutions • Continued pressure on pricing • Opportunity to leverage general industry ‘stress’ • R
Slide 21: 2H - Outlook
2H - Outlook For personal use only – Course to chart • Keep short term returns ahead of like alternative investments • Position strongly for any upswing – Full year objectives • Dividends to shareholders of at least 46 cents per share • NPAT at least equal to pcp – Confirmed by 1H and forward estima
Slide 22: For personal use only
For personal use only © 2008 Data#3 Limited ABN 31 010 545 267 The material contained in this document, including all attachments, is confidential and the copyright Data#3 Limited. No part may be reproduced, used or distributed for any purpose other than the purpose for which it is issued, without t