Mach7 Technologies Ltd. · ASX:M7T
Mach7 Technologies — Shareholder Meeting (November 2019)
26 slides from Mach7 Technologies's shareholder meeting presentation, Nov 11, 2019
Slide 1: 2019 AGM CEO Presentation
For personal use only 2019 AGM CEO Presentation 11 November 2019 – 10am
Slide 2: Disclaimer 'Forward-Looking' Statements
Disclaimer ‘Forward-Looking’ Statements Summary of information: This presentation contains general and background information about Mach7 Technologies Limited (“M7T”) activities current as at the date of the presentation and should not be considered to be comprehensive or to comprise all the informa
Slide 3: Mach7 Technologies: Global enterprise imaging software provider for healthcare
Mach7 Technologies: Global enterprise imaging software provider for healthcare For personal use only • Growing global customer base: USA, UK, Qatar, South East Asia … USA HQ ASEAN • Global imaging market ~US$3BN Burlington, VT Operations Singapore • Two revenue models: SaaS & upfront license • Deliv
Slide 4: Mach7 Enterprise Imaging Product Strategy
Mach7 Enterprise Imaging Product Strategy For personal use only Referring Physician Radiologist Vendor Neutral Archive Mach7 sells a Picture Archive and (VNA) is the cornerstone Core Capability is providing Communications System (PACS) of an EI strategy Enterprise Imaging (EI) with its partner
Slide 5: Addressable Global Imaging Market
Addressable Global Imaging Market For personal use only Mach7 Addressable Market* 3,500 • Total Market ~US$3BN – growing 5-6% CAGR 3,000 • Enterprise Imaging Market (EI) $520M* 2018 – forecast growth ~30%* p/a for next two 2,500 years • EI market is fastest growing market 2,000 • Standalone departme
Slide 6: Competition (VNA)
Competition (VNA) For personal use only Other IBM Watson 14% Health • Mach7 only independent VNA company 22% featured on this chart Sectra AB 3% Mach7 • Disruptive technology 3% • Most “big brand names” are selling “VNA” Agfa Healthcare 4% inclusive with other products Carestream 4% • Mach7 is a mar
Slide 7: Mach7 Competitive Advantages
Mach7 Competitive Advantages Interoperability across the For personal use only enterprise (connecting all systems, across all ‘ologies’) Customer controls their Attractive own data – easy Price Point user interface and rules engine Very Little Hardware (Lowers cost and Ease of Install; accelerates i
Slide 8: Mach7 Enterprise Imaging Platform
Mach7 Enterprise Imaging Platform With an industry recognized best-of-breed enterprise platform, Solutions Features For personal use only Mach7 Management Studio solutions deliver control and ownership over your clinical images and content. Enterprise Imaging Platform • • Vendor Neutral Archive (VNA
Slide 9: Mach7 Clinical Studio
Mach7 Clinical Studio Mach7 Clinical Solutions Mach7 Clinical Studio delivers workflows for clinical end users and patients that simplify the access, capture, import, For personal use only and sharing of the patient record across departments and traditional boundaries. Solutions Features Clinical Vi
Slide 10: Mach7 Diagnostic Studio
Mach7 Diagnostic Studio Mach7 Diagnostic Solutions (PACS) For personal use only Mach7 Diagnostics Studio advances PACS with intelligent Solutions Features vendor neutral workflow and data management Enterprise PACS Universal Worklist capabilities while delivering diagnostic viewing • • QC Workflow t
Slide 11: Customers
For personal use only Customers Global customer base & growing 100% retention in all major markets FY19 strong sales orders results Premier healthcare institutions (examples) 11
Slide 12: Our Customers
For personal use only Our Customers (sample of Mach7’s expanding global customer base) 100% Customer Retention in all Major Markets 12
Slide 13: Recent Wins – CY19
Recent Wins – CY19 $5.1M / For personal use only 5 yrs. $2.1M / 5 yrs. $950k $760k / / 4 yrs. $365k / 5 yrs. 5 yrs. $57k $25k $43k Mississippi State Loyola University Children’s Sentara Healthcare University Veterinary Health System Alabama (Diagnostic Studio) (Clinical Portal) (Migration) Maine Hea
Slide 14: Sales Orders
Sales Orders For personal use only 73% of sales orders come from tenders 25% Strong sales orders results in FY19 existing customers (expansions, new features) (leading to recurring revenue growth FY20 & beyond) Last 3 Years Sales Orders (TCV) New (Tender) New (Other) Existing 25.0 20.0 25% 15.0 10.0
Slide 15: Advocate Aurora Health
Advocate Aurora Health For personal use only Mach7 Platform & Migration • Mach7 Platform to be health-network-wide • ~3.5 Petabytes of archived data to migrate • 3.5 Million Annual Procedures • Contract value $5.1M over 5 years • 100% Gross Margin Customer Objectives • Enable scalable and interopera
Slide 16: Sentara Healthcare
Sentara Healthcare For personal use only Enterprise Imaging, Migration & PACS Modernisation Projects • Mach7 VNA and 20 million study migration underway • Recent PACS modernization contract won $2.1M over 5 years (+ volume expansion opportunity) • 100% Gross Margin Customer Objectives • Reduce compl
Slide 17: Hospital Authority of Hong Kong
Hospital Authority of Hong Kong For personal use only Deal value HK$81 Million (~ A$15M) / 5 years Enterprise Imaging and Viewer for entire Hong Kong territory • The Hospital Authority manages 43 public hospitals and institutions, 48 specialist outpatient clinics and 73 general outpatient clinics. C
Slide 18: Financials
For personal use only Financials 2 Revenue models Strong annual recurring revenue growth Cashflow positive Q1 2020, on track for cash flow break even target Strong cash receipts growth while payments are flat 18
Slide 19: Revenue Models – Capital & Subscription
2 Revenue Models – Capital & Subscription For personal use only Revenue component Type, P&L recognition FY18 FY19 Q1 FY20 Software license fee One-off, at sale $3.2M $3.1M $3.5M CAPITAL SALE (5yr) Services One-off, over services period (~6- $2.1M $1.9M $0.7M 12 mths) Annual Support (5yr) Recurring (
Slide 20: Annual Recurring Revenue (ARR, CARR)
Annual Recurring Revenue (ARR, CARR) For personal use only 10.0M Recurring revenue is derived from software 9.0M support & subscription contracts (“CARR”). 8.0M Typical length of contract is 5 years. 7.0M 6.0M Under Contract Today: 5.0M $8.5M Annual Contracted Support (CARR) across 52 contracts 4.
Slide 21: Cashflow Break Even Target On-track
Cashflow Break Even Target On-track For personal use only Cash flow positive Q1 FY2020. On track for cash flow break even over 12 months (since March 2019). Cash flows 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 0 FY17 FY18 FY19 Q120 (YTD) Expenses Receipts 21
Slide 22: Cashflows – Receipts Growth, Payments Flat
Cashflows – Receipts Growth, Payments Flat For personal use only Strong growth in cash receipts Payments are steady Cash Receipts Cash Payments $12,000,000 4,500 4,000 $10,000,000 3,500 3,000 $8,000,000 2,500 2,000 $6,000,000 1,500 1,000 $4,000,000 500 0 $2,000,000 $- FY2017 FY2018 FY2019 Q120 (YTD)
Slide 23: Why Invest in Mach7
Why Invest in Mach7 Med-Tech-Thematic For personal use only • No obvious ASX alternative for pure exposure to Enterprise Imaging • Disruptive Technology Strong Financials Pending Catalysts High Proportion of • • Recurring Revenue High (>80%) gross $$ $ • • Free cash flow positive by Feb 2020 Nearing
Slide 24: Mach7 Technologies (M7T)
Mach7 Technologies (M7T) For personal use only FINANCIAL INFORMATION ($A) MAJOR SHAREHOLDERS Share price (approx.) $0.675 JM Financial Group (Melbourne) 18.1% Number of shares (m) 150.3m BV Healthcare (Singapore) 7.9% Market Capitalisation $101.5m Australian Ethical (Sydney) 4.7% Ravi Krishnan (Foun
Slide 25: Mach7 Board and Leadership Team
Mach7 Board and Leadership Team only MANAGEMENT Mike Jenni Pilcher David Eliot Siegel, MD CFO, COMPANY Lampron For personal useBOARD Chambers NON-EXECUTIVE SECRETARY NON-EXECUTIVE MANAGING DIRECTOR CHAIRMAN DIRECTOR Executive experience in ASX- Thought leader in the world of 20+ years experien
Slide 26: Thank You!
For personal use only Thank You! Mike Lampron Managing Director Mike.Lampron@mach7t.com +1 845 5547277 Jenni Pilcher CFO, Company Secretary Jenni.Pilcher@mach7t.com +61 424 750737 26
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