Slide 1: Audinate 1H25 Investor Presentation
Audinate 1H25 Investor Presentation Aidan Williams, CEO Chris Rollinson, CFO Approved by the Board of Audinate Group Limited Audinate 1H25 Investor Presentation 17 February 2025 1
Slide 2: Highlights & Strategy
Audinate 1H25 Highlights & Strategy Aidan Williams, CEO Audinate 1H25 Investor Presentation 17 February 2025 2
Slide 3: 1H25: results above guidance
1H25: results above guidance FY25 Strong Underlying Growth Strategic Growth Driven by a year of transition Momentum Three Key Pillars Manufacturing customers are working Software revenue up 13% – a key indicator of Audio, Video, and Platform Software form the through their accumulated inventory unde
Slide 4: 2H25: moderate growth expected
2H25: moderate growth expected Executing our strategy: Strong Balance Sheet Full Year Outlook New Product Launches in Enabling Growth FY25 Dante Director launched commercially A$111.3 million in cash at period end, providing Gross profit in Q2 FY25 was ahead of Q1 FY25 in 1H25 – the long-term corner
Slide 5: 1H25 Highlights – Key financial metrics
1H25 Highlights – Key financial metrics 1H25 results above market guidance, expect moderate growth in 2H25 US$m Gross Margin Variance Other Key Financial Metrics 1H24 1H25 vs 1H24 24 $22.7 139.0% 137.0% $21.8 135.0% 22 133.0% 131.0% US$ M US$ M 129.0% 127.0% 20 $18.9 125.0% 123.0% US$ Revenue 30.4 1
Slide 6: 1H25 Highlights – Shift in product mix
1H25 Highlights – Shift in product mix Transition from CCM to Software continues as expected Variance Other Key Financial Metrics 1H24 1H25 Revenue Mix by Product – 1H24 v 1H25 vs 1H24 24% US$ Revenue by Product US$ M US$ M 44% CCM 22.7 10.1 (56%) 75% Software 7.3 8.3 13% 53% Other 0.4 0.5 12% 1H24
Slide 7: Strong Progress on FY25 Objectives
Strong Progress on FY25 Objectives 1 2 3 4 Focus on sales & Get customer video Successfully deliver Dante Director: ongoing marketing activities to products to market new Dante products to development of drive revenue with repeat orders broaden revenue base technology & infrastructure • Introduced t
Slide 8: Leading global Pro-AV technology supplier
Leading global Pro-AV technology supplier Audinate is the company behind the Dante media networking solution used 4,372 689 in the professional AV industry Dante-enabled Total OEM products brands licensing Audinate locations Dante products >290k 226 Poland Professionals Employees USA UK trained on D
Slide 9: World-leading technology supplier to Pro-AV
World-leading technology supplier to Pro-AV Dante is in millions of devices and can be found in a diverse range of installations and applications across industries, including: Universities Conference Broadcast Corporate Houses of Arenas and Rooms Studios Campuses Worship Stadiums Recording Conferenc
Slide 10: Key Strategic Pillars
Key Strategic Pillars STRENGTHEN GROW MANAGE AUDIO VIDEO AV INSTALLS • Expand into lower cost higher • Continue to build out video • Vision: interoperable control and volume products platform capability management of Dante networks, from anywhere • Shift to software • Ongoing focus on design wins •
Slide 11: Networked AV market opportunity is US$2 billion
Networked AV market Audinate Updated TAM* US$2bn* opportunity is US$2 billion Audio share of Audio Market Networking estimated at 9% Audio US$330m Revenue opportunity for addressable audio products including speakers, microphones, amplifiers, mixing consoles and signal processors Additional revenue
Slide 12: Audinate's lead continues to grow
Audinate’s lead continues to grow Total audio products per protocol 476 4,500 “Over the past 12 months Dante 4,372 >290,000 OEM brands again increased it’s dominance in Professionals 4,000 audio networking technology. An shipping Dante order of magnitude more products trained on Dante enabled produc
Slide 13: OEM Design Wins through Product Launch
OEM Design Wins through Product Launch Design Wins OEM Brands shipping & developing Dante-enabled Products Dante-enabled Products Ecosystem Developing product Shipping product 649 621 583 4,372 520 538 497 513 4,176 84 4,008 78 476 460 430 3,853 64 61 61 400 410 391 53 53 403 3,688 42 42 3,610 153 1
Slide 14: Dante Director Update
Dante Director Update Indicative Roadmap as shared at Integrated Systems Europe (ISE) Tradeshow - February 2025 TODAY CURRENTLY IN 12-18 MONTHS DEVELOPMENT ‘Standard’ tier for ‘Standard’ tier feature ‘Enterprise’ tier as DDM small-mid installations alternative enhancements 20-100+ devices o Remote m
Slide 15: Ongoing traction in Video
Ongoing traction in Video In 1H25 we have… 60 Dante AV partners / OEMs licenced for video up from 50 at 1H24 116 Dante video products launched by customers at the end of 1H25, up from 66 products at 1H24 Launched Dante AV-H Multi Channel which supports more sophisticated products with multiple
Slide 16: Audinate 1H25 Financial Performance
Audinate 1H25 Financial Performance Chris Rollinson, CFO Audinate 1H25 Investor Presentation 17 February 2025 16
Slide 17: Income Statement
Income Statement (A#039;000) 1H24 1H25 Change (%) US$ revenue decreased 38.0% to U$18.9 millions with A$ revenue decreasing 38.4% to Revenue 46,604 28,722 (38%) A$28.7 millions Gross profit 33,481 23,685 (29%) Gross Margin % 71.8% 82.5% Lower employee expenses from a reduction in employee incentives ex
Slide 18: Chips, cards & modules decline whilst Software revenue grows
Chips, cards & modules decline whilst Software revenue grows Revenue (US$M) Dante units shipped ('000s) $35.0 800 744 30.4 29.6 683 700 646 $30.0 26.2 600 230 7.3 $25.0 8.0 484 20.6 500 290 322 6.9 18.9 412 405 418 18.6 $20.0 400 14.8 4.7 4.8 145 180 301 $15.0 300 185 8.3 514 3.8 22.7 21.1 200 $10.0
Slide 19: Cash-flow Statement
Cash-flow Statement (A#039;000) 1H24 1H25 Receipts from Customers * 46,631 Payments to suppliers and employees includes bonus payments of $4.3 million relating to 33,911 the prior year performance (1H24: $3.3 million) Payments to suppliers and employees * (35,482) (34,787) 1H25 Operating Cashflow to EB
Slide 20: Balance Sheet
Balance Sheet (A$’000s) 30-Jun-24 31-Dec-24 Change ($) Cash 47,842 70,652 22,810 $111.3 million in Cash & Term Deposits Term deposits 69,195 40,627 (28,568) Trade and other receivables 10,690 6,896 (3,794) Inventories 5,233 4,809 (424) Income tax receivable 45 17 (28) Property, plant and equipment 2
Slide 21: Outlook
Outlook Aidan Williams, CEO Audinate 1H25 Investor Presentation 17 February 2025 21
Slide 22: Continuing focus on growth
Continuing focus on growth FY25 Priorities 1 2 3 4 Focus on sales Get customer Successfully Dante Director: & marketing video deliver new ongoing activities to products to Dante development of drive revenue market with products to technology & repeat orders broaden infrastructure revenue base Audina
Slide 23: FY25 Outlook
FY 25 Outlook Long-term strategic thesis for Audinate remains strong • Q2 FY25 gross profit exceeded Q1 FY25, with a moderate strengthening expected in the second half. • FY25 remains a transitional year as customers work through inventory backlogs • Audinate expects a return to normal order pattern
Slide 24: Audinate Pty Ltd contact details
Audinate Pty Ltd Level 7, 64 Kippax Street +61 2 8090 1000 ABN 41 120 828 006 Surry Hills NSW 2010 www.audinate.com
Slide 25: Important Notice and Disclaimer
Important Notice and Disclaimer Disclaimer Past performance Market share information To the maximum extent permitted by law, none Past performance information, including past All market share information in this of the Audinate Group Limited or its share price information, given in this presentation
Slide 26: OEM Design Wins Drive Future Revenue Growth
OEM Design Wins Drive Future Revenue Growth Buy OEM Release Pre-sales DESIGN Product Prototype New WIN Design Dante Product Units OEM sells OEM Dante- Manufactures enabled more AV AV products Design wins Customer From design win to products are a key step commits to use product release in the OEM Da
Slide 27: Dante Product Map
Dante Product Map System Software (For system setup, management and troubleshooting) Audio Visual Dante Dante Domain Dante Controller Manager Director Integrators, Professionals & Consumers AVIO Network Adaptors PC/Mac/Cloud Software • Analogue • USB / Bluetooth • Dante Studio (AV) • Dante Virtual S
Slide 28: OEM Business Model
OEM Business Model Audinate’s Original Equipment Manufacturer (OEMs) customers purchase Dante chips, cards & modules and software to build inside their ProAV products Dante Product Map Audinate products OEM example customers OEM products Audinate 1H25 Investor Presentation 17 February 2025 28
Slide 29: Dante Controller for AV Professionals
Dante Controller for AV Professionals Dante Controller Free system setup tool • Downloadable from Audinate homepage • Registration required • Define virtual wires across the network • > 270,000 downloads Manages audio and video signals Simple & easy to use • Standard industry matrix view • Training
Slide 30: Dante Audio & Adaptors
Dante Audio & Adaptors Dante Audio Chips & Modules Brooklyn Broadway Ultimo Dante Pro S1 Adaptors • Hardware based implementations for a range of product counts and price points • Transports uncompressed audio signals across standard computer networks Dante Adaptors 32 & 64 audio channel 8 & 16 audi
Slide 31: Dante Audio Software
Dante Audio Software Dante audio device software Reference Design IP Core Embedded Platform Application Library • Software based implementations for a range of product counts and price points • OEM customers, based on per unit royalty model • Transports uncompressed audio signals across standard com
Slide 32: Dante Video Products
Dante Video Products Dante AV Chips & Modules Dante AV Ultra Viper Dante AV-H Dante AV-A • Dante AV Ultra and Viper are premium products targeting live venues, broadcasters, corporate board rooms and university lecture spaces. Dante Software • Dante AV-H enables existing Premium Dante AV Fully integ
Slide 33: Dante Via & DVS for AV Professionals
Dante Via & DVS for AV Professionals Dante Virtual Soundcard Dante Via (DVS) • Routes audio from devices • Turns a computer into a and applications to one Dante-powered workstation, another – up to 16 audio integrating a Mac or PC with channels Dante-enabled audio • Connects devices and equipment on
Slide 34: Ongoing focus on innovation and R&D to maximise future growth opportunities
Ongoing focus on innovation and R&D to maximise future growth opportunities Research and Development (A$M) 14.0 40% 31% 31% 29% 12.0 25% 20% 19% 21% 20% 10.0 9.5 8.9 9.0 8.0 0.5 7.9 0.2 0% 8.0 1.5 7.3 0.9 0.6 6.3 1.0 6.0 0.2 -20% 6.7 6.9 4.0 5.7 6.2 5.9 4.8 4.7 -40% 2.0 2.1 2.1 1.5 1.4 1.4 1.3 1.4 0