X2m Connect Limited · ASX:X2M
X2m Connect — Shareholder Meeting (November 2023)
17 slides from X2m Connect's shareholder meeting presentation, Nov 28, 2023
Slide 1: AGM presentation
For personal use only ASX:X2M AGM presentation 28 November 2023
Slide 2: CEO's address
For personal use only CEO’s address
Slide 3: FY23 was a good year for X2M
FY23 was a good year for X2M o Strong revenue growth For personal use only o Stronger gross profit growth o Connected devices, recurring revenues growing strongly o Enterprise and government customers up o Modest cost growth o Cash burn down o Overall an improving P&L o Clear path to positive operat
Slide 4: FY23 – the specifics
FY23 – the specifics For personal use only -$2.3m 62% improvement -$4.6m on pcp 25% improvement $16.2m $3.8m on pcp up 56% on pcp up 64% on pcp $9.1m up 2% on pcp Gross Opex Operating Adjusted Revenues margin up growth 2% cash burn EBITDA loss up 56% 64% down 62% down 25% AGM November 2023 I X2M CON
Slide 5: FY23 Operating cash burn comes down significantly
FY23 Operating cash burn comes down significantly FY23 operating activity cash burn of $2.3m is an improvement from $6.2m in FY22. X2M reported a positive cash flow from operating activities for 2Q23 For personal use only and 4Q23 (Appendix 4C). QUARTERLY OPERATING CASHFLOW COMPARISON 388 105 -962 -
Slide 6: FY23 is not a one-off
FY23 is not a one-off Revenue ($M) Gross profit ($M) FY23 revenue of $16.2m, FY23 gross profit of $3.8m, 3.8 For personal use only up 56% on the pcp 16.2 up 64% on the pcp +64% 10.4 +56% 2.3 1.6 5.7 FY21 FY22 FY23 FY21 FY22 FY23 Annualised recurring revenue* (ARR, $ millions) Adjusted EBITDA June 20
Slide 7: Connections to the X2M platform are accelerating
Connections to the X2M platform are accelerating 6 months to connect next ~100k For personal use only devices “ 6 months to connect 428,801 Annualised Recurring next ~100k devices 390,626 Revenue increased 361,345 from $0.7m in Dec 2021 6 months to connect to $1.4m “ 6 months to connect next ~50k de
Slide 8: X2M Platform continues to be well positioned
X2M Platform continues to be well positioned Demand for data and AI driving growth For personal use only Machine Learning Health Checks AI & Big data Billing Platforms CRM Engines & Asset & Social Analytics Management Applications X2M Management Platform - “Vision” End Devices Any Device Any Meter A
Slide 9: X2M's Addressable market is large
X2M’s Addressable market is large Australia For personal use only 26m people Addressable market in current geographies: 9m households 250 million people. 104m households Beijing, China 22m people 9m households Addressable market across existing customers: >10m households1. Japan Revenue potential >$
Slide 10: …and penetration growing - South Korea a good example
…and penetration growing - South Korea a good example Total addressable market and share of TAM increasing as X2M gets embedded into customer eco systems generating follow-on orders SOUTH KOREA MARKET – SEP 2021 SOUTH KOREA MARKET – JUN 2023 For personal use only TAM of all Cumulative Cumulative TAM
Slide 11: Next market - Australia: Profits plus social contribution
Next market - Australia: Profits plus social contribution Smart community with large number of smart homes plus community resources all working cohesively Consumer enjoys a sustainable, eco-friendly, environment and community For personal use only Significantly reduced energy consumption Significant
Slide 12: Key take outs from FY23
Key take outs from FY23 Another year of solid performance For personal use only Cash burn reducing and a clear path to positive operating cashflows A technology solution that is resonating “ Stage is now set to transition to a significant global player in utility automation, data Customer base repre
Slide 13: 1Q24 trading update – Key financial metrics on target
1Q24 trading update – Key financial metrics on target Solid revenue growth, improved margins, reduced costs and declining cash burn are highlights of the 1Q results For personal use only Gross Opex $2.2m Operating Adjusted Revenues margin down 2% cash burn EBITDA loss $4m up 7% $1.3m up $1.1m down $
Slide 14: Drivers of future value performing equally well
Drivers of future value performing equally well For personal use only Enterprise and SaaS and maintenance government customers revenues 70 up 35% $0.4m up 60% Connected devices Annualised 472,882 recurring revenues up 62% $1.5m up 67% 1. All FY24 financial results in this presentation are unaudited
Slide 15: FY24 KPI's Targets
FY24 KPI’s Targets > 20% Revenue growth For personal use only > 60% growth in annualised recurring revenues > 50% growth in gross profit Operating costs flat and cash burn halved >50% growth in connected devices AGM November 2023 I X2M CONNECT 15
Slide 16: X2M a compelling investment proposition
X2M a compelling investment proposition Significant and growing addressable market For personal use only Existing customer base provides an immediate addressable market to harvest within utility digitisation and energy management in APAC. Attractive business model Comprising upfront fees and recurri
Slide 17: Shareholder Enquiries
For personal use only Shareholder Enquiries Automic Pty Ltd hello@automic.com.au +61 (2) 9698 5414 Media and Investor Enquiries Mohan Jesudason, CEO and MD investor.relations@x2mconnect.com 1 800 926 926 (1 800 X2M X2M)