Slide 1: Half Year Results Presentation Ending March 2009
For personal use only Half Year Results Presentation Ending March 2009 Adrian Di Marco Executive Chairman www.TechnologyOneCorp.com Commercial in confidence May 2009
Slide 2: TechnologyOne Overview
For personal use only TechnologyOne Overview TechnologyOne develops, markets, sells, implements and supports Click ____ to __a new editgeneration ____ Master enterprise _____ text solution ____ stylesspecifically ______ targeted at seven vertical markets: Second _____ _____ level Local Governmen
Slide 3: TechnologyOne Overview: Products
TechnologyOne Overview Our enterprise solution consists of the following products: For personal use only Business TechnologyOne Financials Intelligence Click ____ to __edit ____Master _____text TechnologyOne Supply Chain ____ styles ______ Human Second _____ _____ level Supply Resource & Tec
Slide 4: TechnologyOne Overview
For personal use only TechnologyOne Overview Offices ____into Click Australia, __ edit ____ New Zealand, Master _____ text ____ styles ______ Asia and, more recently, United Second _____ _____ Kingdom level Third ____ business Growing level _____in the United Kingdom Fourth _____ _____ level F
Slide 5: Agenda
Agenda For personal use only Click ____ 2009to __ edit ____ Half YearMaster _____text Results ____ styles ______ Second _____ _____ level Summary Third ____ level _____ Analysis Fourth _____ _____ level Significant Achievements Last Six Months Fifth ____level _____ Outlook for Full Year
Slide 6: 2009 Half Year Results Summary
2009 Half Year Results Summary For personal use only Half Yearto Click ____ Revenue __ edit $55.9m, ____Master _____up 13% text ____ (up $6.4m) styles ______ Net Profit Before Second _____ _____ levelTax $4.96m, down 45% (down $4m, as forecast to market) Third ____ Net Profitlevel _____ After
Slide 7: 2009 Half Year Results Summary
2009 Half Year Results Summary For personal use only Continuing strong demand for our products: 16% increase in new licence fees Continued Click ____ __investments to edit as_____ ____Master follows: text ____styles ______ To build our United Kingdom business ($806k loss) Second _____ _____ lev
Slide 8: Full Year Forecast – No Change
For personal use only Full Year Forecast – No Change No Change Click ____ to to FullMaster __edit ____ Year Forecast _____ text ____ styles ______ Profit Growth Second _____ _____of 10% to 15% for the full year level Revenue Third ____ growth to continue over the full year, and come in at 15% to
Slide 9: 2009 Half Year Results Summary
2009 Half Year Results Summary For personal use only Transparency Click ____ to __edit of results ____ Master – all R&D _____ fullystyles text ____ expensed ______ Balance _____ Second _____ sheet levelstrong Third ____ level _____ Cash & Equivalents*: $14.3m Fourth _____ Bank_____ level overd
Slide 10: 2009 Half Year Results Summary: Cash
2009 Half Year Results Summary For personal use only Cash & Click ____ to __Equivalents: edit ____Master$14.3m _____down $9.4m text ____ (vs $23.7m 30/9/08) styles ______ Dividend Paid of $7.3m (19/12/08) Second _____ _____ level Cash Flow from Operations was negative $500k Third ____ level ___
Slide 11: 2009 Half Year Results Summary
2009 Half Year Results Summary For personal use only Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____
Slide 12: 2009 Half Year Results
For personal use only 2009 Half Year Results Total licence Click ____ to __edit feesMaster ____ of $13.3m, _____up 10%styles text ____ (up $1.2m) ______ New licence fees of $6.9m, up 16% (up $1m) Second _____ _____ level Existing licence fees of $6.4m, up 3% (up $200k) Third ____ level _____
Slide 13: Year History – Half Years
For personal use only 10 Year History – Half Years Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Average compound growth over the last 10 years Revenue 19% per annum R&D expense 21% per a
Slide 14: Year History – Full Years
10 Year History – Full Years Revenue For personal use only Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Net Profit After Tax Fourth _____ _____ level Fifth ____level _____ TechnologyOne has been doubling in size, on average every 3 years
Slide 15: Product Analysis
For personal use only Product Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Works & Assets licence fees down 37% ($600k) to $1m Expected to improve in second half Property lice
Slide 16: Product Analysis
For personal use only Product Analysis Business Click ____ __Intelligence to edit ____Master licence fees _____ textup styles ____ 38% ($926k) to $3.8m ______ ECM licence Second _____ _____fees up significantly ($1.28m) to $1.87m level Financials/Supply Third ____ _____ Chain licence fees up 6% (
Slide 17: Geographical Analysis
For personal use only Geographical Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ All regions performed well, except the UK
Slide 18: Geographical Analysis: Central Region
For personal use only Geographical Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Central Region performed strongly, licence fees up 22% ($1.13m) to $6.4m VIC licence fees up 57%
Slide 19: Geographical Analysis: Northern Region
For personal use only Geographical Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Northern Region licence fees up 8% ($332k) to $4.7m QLD licence fees up strongly, 59% ($1.39m) to
Slide 20: Geographical Analysis: Asia Pacific
For personal use only Geographical Analysis Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Asia Pacific Region performed strongly, licence fees up 42% ($382k) to $1.3m New Zealand licence
Slide 21: Geographical Analysis: United Kingdom
For personal use only Geographical Analysis Unitedto Click ____ Kingdom __ edit ____licence Masterfees up _____ 10% styles text ____($41k) to $457k ______ Two significant Second _____ _____ level new contracts signed University of Hertfordshire Third ____ level _____ Scarborough Borough Counci
Slide 22: Agenda
Agenda For personal use only Click ____ 2009to __ edit Half____ YearMaster _____text Results ____ styles ______ Second _____ _____ level Summary Third ____ level _____ Analysis Fourth _____ _____ level Significant Achievements Last Six Months Fifth ____level _____ Outlook for Full Year L
Slide 23: Significant Achievements Last Six Months
Significant Achievements Last Six Months For personal use only Unitedto Click ____ Kingdom __ edit ____Master _____text ____styles ______ Malaysia_____ Second _____ level New Zealand Third ____ level _____ Fourth _____ Student _____ level Management Fifth ____ level _____ Performance Planning
Slide 24: United Kingdom
For personal use only United Kingdom Licence fees up 10% ($41k) to $457k, but a loss of $806k Additional Click ____ to __edit ____staff added Master _____ totext meet ____ demand styles expected in the second ______ Second _____half _____ level Cost Third ____ control initiatives implemented l
Slide 25: United Kingdom
For personal use only United Kingdom We now have a good footprint in many of our key verticals: Click ____ to __edit Hereford ____ Master & Worcester_____ text ____ Fire & Rescue styles Service______ Second _____ _____ Institutelevel of Education Royal Liverpool Children's NHS Trust Third __
Slide 26: UK Coverage
UK Coverage For personal use only 0. TechnologyOne Office (Maidenhead) 1. Institute of Education - Education Click ____ to __edit ____Master _____text ____styles 2. ______ University of Hertfordshire – Education Second _____ _____ level 3. Hereford Fire & Rescue – H&CS, Local Govt Third ____ level _
Slide 27: Malaysia
For personal use only Malaysia Disappointing market for a number of years Click ____ to__edit____Master _____text ____ styles ______ New strategy being implemented Second _____ _____ level Appointment of a Distributor/Partner for Malaysia Third ____ level _____ Provides us with Fourth _____
Slide 28: New Zealand
For personal use only New Zealand Now restructured Click ____ to __edit into_____ ____Master 2 regions text ____ styles ______ Auckland/Local Government Second _____ _____ level Wellington/Government Third ____ level _____ Creates greater focus & clear accountability Fourth _____ _____ level
Slide 29: Student Management
For personal use only Student Management Student Click ____ to __ Management edit had a loss ____Master _____ of $1.45m text ____ styles ______ Continue_____ Second _____ tolevel invest significant funds to deliver our strategically important Student Management CI product to the market, which is k
Slide 30: Performance Planning
For personal use only Performance Planning Loss ofto Click ____ $698k __ edit ____Master _____text ____styles ______ Newly acquired Second _____ _____ level product Strategy Third ____ now finalised going forward level _____ Migrate Fourth _____ to our Connected Intelligence platform over the n
Slide 31: Enterprise Content Management (ECM)
Enterprise Content Management (ECM) For personal use only Marginally Click ____ to profitable __edit ____Master in the firsttext _____ half ____ ($114k profit vs 628k loss last year) styles ______ Product _____ Second _____ acquired level18 months ago Third ____ level _____ Now tightly integrated
Slide 32: Research & Development (R&D)
For personal use only Research & Development (R&D) R&D has been key to our strong growth over the last 16 years Profit increased by average 31% per annum compound over this time Click ____ to __edit R&D increased ____ Master 28% ($2.8m) _____ text ____ to $12.6m; representing styles ______ 23%
Slide 33: User Conference
User Conference TechnologyOne User Conference held over 3 For personal use only days Brisbane Click ____ to __edit Convention ____ & Exhibition Master _____ text ____Centre styles ______ 1000+ delegates from Australia, New Zealand, Second _____ _____ level Asia & UK Third ____ level _____ Co
Slide 34: Agenda
Agenda For personal use only Click ____ 2009to __ edit ____ Half YearMaster _____text Results ____ styles ______ Second _____ _____ level Summary Third ____ level _____ Analysis Fourth _____ _____ level Significant Achievements Last Six Months Fifth ____level _____ Outlook for Full Year
Slide 35: Outlook for Full Year
For personal use only Outlook for Full Year Forecast Click ____ __profit to edit ____ growth of 10%text Master _____ to 15% ____ for stylesthe full year ______ Drivers _____ Second _____ level Strong Third ____ committed annual licence revenue in second half level _____ Student Fourth _____ Ma
Slide 36: Strong Committed Annual Licence Revenue
Strong Committed Annual Licence Revenue For personal use only Annualto Click ____ licences __ edit ____ are weighted Master _____textdisproportionately ____ styles ______ to the second half 39% _____ Second _____ inlevel Half 1 vs 61% in Half 2 Half 1 level Third ____ accounted for only $15m of
Slide 37: Student Management & UK Business to Breakeven in Full Year
Student Management & UK Business to breakeven in the full year For personal use only Student Click ____ to __ Management edit & UK results ____Master _____ text ____ impacted styles our first half results ______ Student Management loss of $1.45m in Half 1 because no new contracts Second _____ ___
Slide 38: Continuing Good Sales Pipeline for the second half
Continuing Good Sales Pipeline for the second half For personal use only Pipeline Click ____ __foredit to second ____ half Master remains _____ goodstyles text ____ ______ Pipeline _____ Second _____ supports levelrevenue growth of 15% to 18% Third ____ level _____ Fourth _____ _____ level Fifth _
Slide 39: Expenses To Track Down
For personal use only Expenses To Track Down Expenses Click ____ to in first __edit ____ half Master _____weretext up significantly, ____ ______up 26% styles Second _____ Expense_____ level growth to track down in second half Third ____ level _____ Total expenses Fourth _____ level for the full y
Slide 40: Expense Growth To Slow Down
For personal use only Expense Growth To Slow Down Click ____ to __edit ____Master _____text ____styles ______ Second _____ _____ level Third ____ level _____ Fourth _____ _____ level Fifth ____level _____ Expenses in first half were up significantly, up 26% • 180 new staff added in 2008, only15 ne
Slide 41: Expenses To Track Down: Cost Control Initiatives
For personal use only Expenses To Track Down Cost to Click ____ Control __edit ____ Initiatives Master _____ instigated text ____ to______ ensure this happens: styles Head Second _____ count/new staff appointments _____ level Third 180 new staff added last year, with majority added in the second
Slide 42: Full Year Forecast Unchanged
Full Year Forecast Unchanged 15% to 18% 10% to 15% For personal use only revenue growth profit growth Total expenses up Click ____ to __edit ____Master _____text ____styles 15% to 18%______ Second _____ _____ level 2 half expense nd First half Third ____ level _____ expenses up growth to slow down 2
Slide 43: Dividend
For personal use only Dividend TechnologyOne's Click ____ to __edit Balance ____Master _____ sheet textremains ____ strong: styles ______ Cash & Equivalents*: $14.3m , undrawn bank overdraft facility of $7m, Second _____ _____ level Debt/Equity of 6.4% Third ____ In this level _____ challenging
Slide 44: Agenda
Agenda For personal use only Click ____ 2009to __ edit ____ Half YearMaster _____text Results ____ styles ______ Second _____ _____ level Summary Third ____ level _____ Analysis Fourth _____ _____ level Significant Achievements Last Six Months Fifth ____level _____ Outlook Long Term Outl
Slide 45: Long Term Outlook
For personal use only Long Term Outlook Economic Click ____ to climate __edit has_____ ____Master continued to deteriorate text ____ styles ______ Our significant Second _____ _____ levelinvestments over the last few years position us well Third ____ level _____ Investment in our new Connected In
Slide 46: Long Term Outlook
For personal use only Long Term Outlook Organisations Click ____ to __edit looking ____ at driving Master _____ greater text ____ efficiencies ______& reduce their costs styles Organisations Second _____ _____ are re-evaluating their ERP solutions level Leading Third ____ to our competitors’ cust
Slide 47: Half Year Results Presentation Ending March 2009
For personal use only Half Year Results Presentation Ending March 2009 Adrian Di Marco Executive Chairman www.TechnologyOneCorp.com Commercial in confidence May 2009