5g Networks Limited · ASX:5GN
5g Networks — H1 FY2024 Earnings Presentation
15 slides from 5g Networks's earnings presentation, Feb 21, 2024
Slide 1: 1H FY24 Results Presentation
1H FY24 Results Presentation For personal use only 21 February 2024
Slide 2: Disclaimer
Disclaimer This presentation contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that 5G Netwo
Slide 3: FY24 First Half Financial Results – Continued Growth
FY24 First Half Financial Results – Continued Growth For personal use only 2% 6% 2735% Gross Margin Profit before Tax 69% 32% $80.2M 6 months ended 31 December 2023 - Growth from PCP1 of 67% EBITDA² 6 months ended 31 December 2023 - 0.5% $9.0M PCP1 Loss of $3.2M 6 months ended 31 December 2023 - Rev
Slide 4: Webcentral Sale Transaction Summary
Webcentral Sale Transaction Summary For personal use only Group Structure Total value breakdown (A$M) 5G Networks Transaction $158M2 Cash proceeds of $108M (ASX:5GN) Entities $108M Retained equity stake in Domains 5G Networks Digital Marketing Subsidiary entities Business of $20M Domain name registr
Slide 5: Sale of Webcentral Business Benefits
Sale of Webcentral Business Benefits $158M total value represents 9x EBITDA of the Domains Business and nearly $100M profit on acquisition by For personal use only 5G Networks in November 2020 Transaction unlocks significant value for shareholders, with the implied transaction multiple representing
Slide 6: Profit & Loss - 1H FY24
Profit & Loss - 1H FY24 Dec-23 Dec-22 Change - PCP • Revenue and other income of $48.9m flat PCP assisted by For personal use only $M $M change $M change% Revenue the sale of non-core assets, delivering a profit of $1.6m Cloud 16.7 17.4 (0.7) (4.0%) Domains 11.4 11.8 (0.4) (3.4%) • Profit on sale of
Slide 7: Revenue and Margin by Product
Revenue and Margin by Product Actual Incremental Dec-23 $M Dec-22 $M % Change Margin % Margin % For personal use only Cloud 16.7 17.4 (4.0%) 60% 75% Domains www 11.4 11.8 (3.4%) 72% 70% Networks 3.7 3.5 5.7% 5% 80% Data Centres 4.2 4.5 (6.7%) 20% 80% Managed 6.0 5.5 Services 9.1% 30% 35% Digital (23
Slide 8: Enterprise and Wholesale: Strong new sales, customer re-signs and pipeline
Enterprise and Wholesale: Strong new sales, customer re-signs and pipeline New sales of $3.05M in MAR1 1HFY24 For personal use only • New contracts across cloud, data centre and networks and MIT service lines • Engagement at industry seminars and digital marketing campaigns generating significant ne
Slide 9: 5GN operates in Retail, Enterprise and Wholesale customer segments
5GN operates in Retail, Enterprise and Wholesale customer segments For personal use only Customer Segments ($M) Dec-23 Dec-22 Change Retail 24.5 25.5 (0.4%) Enterprise 18.3 19.0 (0.3%) Wholesale 4.1 4.0 3.0% Total Revenue 47.0 48.5 (0.3%) • Retail growth in domains and hosting offset by decline in d
Slide 10: Security Shift Acquisition
Security Shift Acquisition For personal use only • 5GN acquired Security Shift, a cyber security consultancy business in January 2024 • Normalised Revenue $4M and EBITDA of $1.3M • Security Shift business provides cyber security consultancy, end-to-end managed services and outsourced IT engineering
Slide 11: Cashflow - 1H FY24
Cashflow - 1H FY24 HY Dec 23 HY Dec 22 % Change • $20m investment in privatised Webcentral business For personal use only $M $M v PCP Receipts 52.5 54.4 (3.5%) with 33 % share Payments (53.9) (49.8) (8.2%) Net Interest Paid (1.1) (1.5) 26.7% • Net cash proceeds after 33% purchase of Webcentral Under
Slide 12: Balance sheet – 1H FY24
Balance sheet – 1H FY24 Dec-23 Jun-23 Change • Cash at Bank increased by $67m For personal use only $M $M Cash and cash equivalents 71.1 4.5 66.6 Trade and other receivables 3.8 5.1 (1.3) • Bank loans repaid $28m, remaining equipment Deferred COGS - Domain names - 6.3 (6.3) leases $1.2m Other curren
Slide 13: Product Offering
Product Offering 5GN services more than 2,500 Government, enterprise, wholesale, and small and medium business For personal use only (SMB) customers across Australia and New Zealand. With 170 employees we seamlessly provide a range of cloud enabling solutions to businesses which consist of the follo
Slide 14: 5GN Owned and Operated Network Infrastructure
5GN Owned and Operated Network Infrastructure 5 Owned and Operated For personal use only National Data Centres 100 GB IP Transit Capacity Fibre Optics Installed, 100+ KM connecting major CBD’s and Data Centres 50+ Data Centres Connected Across Australia 600 GB DDOS Mitigation 1700 TB Cloud Capacity
Slide 15: For further information contact
For further information contact Joe Demase Glen Dymond Managing Director Chief Financial Officer Thank you For personal use only jd@5gn.com.au gdy@5gn.com.au 1300 10 11 12 0408 199 712 15