Adslot Ltd · ASX:ADS
Adslot — H1 FY2024 Earnings Presentation
22 slides from Adslot's earnings presentation, Feb 29, 2024
Slide 1: Financial Year 2024 Half-Year Results
Financial Year 2024 Half-Year Results 29 February 2024 Adslot Limited (ASX: ADS) 1
Slide 2: Our Business Units & Revenue Models
REVIEW Our Business Units & Revenue Models Product Primary Revenue Model Description A global digital media marketplace, enabling media buyers and sellers to trade premium display advertising on a targeted, forward-guaranteed basis Trading Fees (direct buys). A global enterprise SaaS platform, provi
Slide 3: Financial Highlights
Financial Highlights THE FIRST HALF OF FY 2024 SAW IMPROVEMENT IN FINANCIAL PERFORMANCE ACROSS THE COMPANY Improved Adjusted EBITDA and Adjusted NPAT performance; losses down 16% & 12% HoH* respectively Trading Fee revenue up 63% HoH License Fee revenue declined 5% HoH and 6% vs PCP** Total Trading
Slide 4: Commercial Progress
Commercial Progress OVER THE FIRST HALF, CONTINUED PROGRESS WAS MADE ON ACCELERATING COMMERCIAL OPPORTUNITIES % fee generating Total Transaction Value (TTV)*** on the Adslot Media platform increased for 3 consecutive quarters Volume of trades on the Adslot Media platform reached record levels in Dec
Slide 5: Refined Objectives for 2024
Refined Objectives for 2024 THE COMPANY HAS A TARGETED FOCUS ON A NUMBER OF SUBSTANTIAL COMMERCIAL ACTIVITIES TO DRIVE THE BUSINESS TO PROFITABILITY: Successfully launch the br1dge solution in the US market with trading via multiple agency groups; Scale trading in the German CTV market following the
Slide 6: br1dge – a Solution for a Cookieless World
br1dge – a solution for a cookieless word BR1DGE INC WAS ESTABLISHED AS A WHOLLY-OWNED SUBSIDIARY TO TAKE ADVANTAGE OF GENERATIONAL INDUSTRY CHANGE • Cookie deprecation by end of 2024 has created an “addressability gap” for buyers and sellers • The addressable market for a solution to this gap in th
Slide 7: German Market Connected TV & Video
German market Connected TV & Video TOP 5 DIGITAL ADVERTISING MARKET WITH LOW ADOPTION OF PROGRAMMATIC TRADING • Leader of GDPR privacy framework • Activation focus has been on the highly valuable Connected Television (CTV) sector which is currently traded inefficiently • Custom CTV workflow designed
Slide 8: The UK Market Growth from Cornerstone Customers
The UK market growth from cornerstone customers THE UK IS A TOP 5 ADVERTISING MARKET WITH STRONG GROWTH SIGNALS • H1 FHY24 saw strong growth in UK trading, up 68% HoH • Focus on trading growth from longstanding partners GroupM and Mobkoi • Activity underway for transition of all direct trading for l
Slide 9: Financial Performance
FINANCIAL PERFORMANCE 9
Slide 10: H1 FY24 Reduced Operating Costs, and Improved Adjusted EBITDA and Adjusted NPAT
H1 FY24 Reduced Operating Costs, and Improved Adjusted EBITDA and Adjusted NPAT $0.00 Millions -$1.00 -$2.00 -$3.00 -$4.00 -$5.00 -$6.00 -$7.00 H1 FY23 -$8.00 -$9.00 EBITDA LOSS IMPAIRMENT ADJUSTED EBITDA LOSS NPAT LOSS ADJUSTED NPAT LOSS ($3.506M) ($2.596M) ($0.910M) ($5.150M) ($2.553M) VS PCP -43%
Slide 11: H1 FY24 Operating Cost Reduced
H1 FY20 H1 FY21 H1 FY22 H1 FY23 H1 FY24 $0.00 Millions H1 FY23 - Operating -$1.00 Cost Reduced -$2.00 -6% -$3.00 – Total Operating Costs of VS PCP $5.413M for the half were 6% & 2% lower on prior corresponding period (PCP) & -$4.00 half on half (HoH) respectively OPERATING COST – Operating Costs are
Slide 12: Improved Adjusted EBITDA Loss
H1 FY20 H1 FY21 H1 FY22 H1 FY23 H1 FY24 $0.00 Millions -$0.20 H1 FY23 – Improved Adjusted EBITDA Loss -$0.40 -16% HoH -$0.60 – H1 FY24 adjusted EBITDA loss ADJUSTED EBITDA of $0.910M was a 16% LOSS -$0.80 improvement HoH and a 9% improvement on PCP ($0.910M) -$1.00 -9% vs PCP -$1.20 • Adjusted EBITD
Slide 13: Improved Adjusted NPAT
H1 FY20 H1 FY21 H1 FY22 H1 FY23 H1 FY24 -$2.30 Millions …. and improved -$2.40 Adjusted NPAT -$2.50 -$2.60 -12% HoH -$2.70 ADJUSTED NPAT – H1 FY24 adjusted NPAT Loss -$2.80 LOSS of $2.553M was a 12% improvement HoH and a 11% improvement on PCP ($2.553M) -$2.90 -11% -$3.00 vs PCP -$3.10 • Adjusted NP
Slide 14: H1 FY24 Cash Receipts, Net Operating Cashflows and Cash Position
H1 FY24 Cash Receipts, Net Operating Cashflows and Cash Position $10.00 H1 FY23 H1 FY24 $8.00 $6.00 $4.00 $2.00 $0.00 -$2.00 NET OPERATING CASH RECIEPTS CASH CASHFLOWS $7.312M ($1.216M) $3.113M VS PCP -9% -9% -21% 14
Slide 15: Appendix: Revenue Segments
APPENDIX: REVENUE SEGMENTS 15
Slide 16: Revenue Segments
LICENSE FEE TRADING FEE REVENUE REVENUE Revenue Segments THREE MAIN REVENUE SOURCES: TRADING 1. Licence Fees generated primarily from Symphony but also from TECHNOLOGY Adslot Media; REVENUE 2. Trading Fees generated primarily from Adslot Media but also from Symphony; and, 3. Services provided to Sym
Slide 17: Trading Fee Revenues
Trading Fee Revenues +63% HoH – Trading Fees up 63% half-on- half (HoH) and down 13% on prior corresponding period TRADING FEES (PCP) $0.591M – Commencement of German CTV trading in H1 FY24 – Strong UK TTV Growth HoH -13% vs PCP 17
Slide 18: License Fee Revenue
$3.50 Millions $3.00 License Fee $2.50 Revenue $2.00 – Licence Fees down 5% half-on- -5% half (HoH) and 6% on prior Ho H corresponding period (PCP) $1.50 – Modest revenue decline due to LICENCE FEES effect of removal of low activity $1.00 Symphony markets in H2 FY 23 $3.036M $0.50 -6% v s PCP $0.00
Slide 19: Trading Technology Revenue Growth
Trading Technology Revenue Growth +2% HoH – Trading Technology revenue grew 2% half-on-half (HoH) reduced 7% on prior TRADING corresponding period (PCP) TECHNOLOGY – Trading Technology revenue $3.627M represents the combination of Trading Fees and License Fees -7% vs PCP 19
Slide 20: Disclaimer
Disclaimer The information contained in this presentation is given in good faith and has been prepared from information believed to be accurate and reliable. The information presented does not take into account your individual financial circumstances and it is not designed to be a substitute for spe
Slide 21: Definitions
Definitions *Half on Half (HoH) growth rates referenced are calculated against the last 6 months, being 6 months to 30 June 2023 **Prior Corresponding Period (PCP) growth rates rates referenced are calculated against the prior Half Year period, being 6 months to 31 December 2022 ***Total Transaction
Slide 22: Thank you
Thank you Questions? investor.relations@adslot.com Adslot.com 22