Janison Education Group Ltd. · ASX:JAN
Janison Education — H1 FY2020 Earnings Presentation
22 slides from Janison Education's earnings presentation, Feb 12, 2020
Slide 1: 1H FY20 Investor Presentation
For personal use only 1H FY20 Investor Presentation JAN.ASX February 2020
Slide 2: Janison delivering 59% shareholder return this financial year
Janison is gaining recognition as a rapidly growing global EdTech company, delivering 59% shareholder return this financial year For personal use only JAN.ASX $0.50 JAN.ASX Share price at listing $0.30 ASX Small Ords $0.45 Share price at 31 Jan 2019 $0.46 $0.40 JAN Share price growth since listing +
Slide 3: 1H FY20 Key Financial Highlights
The business model has transformed to generate high recurring revenue and significantly improved margins For personal use only 1H FY20 Key Financial Highlights: 56% growth in ARR1 to $14.3m (as at 31 December 2019 vs. 31 December 2018) 14% growth in Total Reported Revenue for the six months to 3
Slide 4: Products and Clients
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 4
Slide 5: Janison has invested $30m+ building two products and unique IP
Working with its valued clients, Janison has invested $30m+ building two products and unique intellectual property For personal use only Products & Services Revenue by Segment $23m Online Assessment platform for digitising pen $17m and paper exams $14m Exam Management Services $10m for higher educat
Slide 6: Janison Insights end-to-end online assessment solution
Janison Insights is now a complete product which provides an end-to-end online assessment solution For personal use only JAN.ASX 6
Slide 7: Partnerships
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 7
Slide 8: Janison partners with publishers, education companies and accreditation bodies
Janison partners with publishers, education companies, accreditation bodies and departments of education with recognised brands and distribution channels to grow the business globally For personal use only JAN.ASX 8
Slide 9: OECD is an example of a partner enabling global growth
OECD is an example of a partner enabling Janison to grow globally and leverage its brand, reputation and distribution For personal use only TAM 3 Yr 1 Janison Share 2 No. of No. of % Market Total Yr 1 Date Yr 1 Test 15 year old 15 year old Share of Licence Country Signed Signed Commences students 1
Slide 10: Market Opportunity
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 10
Slide 11: Janison's total addressable market is immense and continues to grow
Janison’s total addressable market is immense and continues to grow as education is digitised For personal use only By 2025 there will be 0.5bn more school and university graduates in the world than today, driven primarily by population growth in developing countries. Expenditure on education and tr
Slide 12: Janison has established an enviable position in nearly all sectors
Janison has established an enviable position in nearly all sectors Sector Schools (K-12) Higher Education English Language Corporate / Lifelong For personal use only Clients Products / Digital assessment platform Digital assessment platform Digital assessment platform Digital assessment Services Exa
Slide 13: Profitability
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 13
Slide 14: 1H FY20 revenue up 14% and ARR up 56%
In 1H FY20 Janison increased its half-year revenue by 14% and ARR by 56% on pcp1 For personal use only First-Half Reported Revenue ARR (Annualised Recurring Revenue) Recurring Platform Revenue $14.3m Exam Services $11.4m Project Services $10.0m 2.3m $10.3m $8.4m $7.2m $9.2m 4.7m 2.8m 3.2m $7.1m 3.5m
Slide 15: Janison is increasing margins and will improve further with scale
Janison is increasing margins and will improve further with scale For personal use only GROUP GM% 50% 46% 46% 39% 35% 25% FY17 A FY18 A FY19 A FY20 E 15 JAN.ASX “GM%” = Gross Margin percentage of total revenue
Slide 16: 1H FY20 Gross Margin and EBITDA increased significantly
In 1H FY20 Gross Margin & EBITDA increased significantly to 46% and 9% For personal use only INCOME STATEMENT - FIRST HALF RESULT First-Half Revenue & EBITDA (FY17-FY20) Growth adjusted Six months ending for AASB16 1H FY20 AASB16 1H FY20 1H FY19 $ % (A$m) Revenue $11.4m Reported Adjustments Pre-Adju
Slide 17: Leadership
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 17
Slide 18: Experienced and committed Executive Leadership Team
Experienced and committed Executive Leadership Team For personal use only Tom Richardson Derek Welsh Stuart Halls George Gorman Fiona Ward Carly Daff Pippa Lennon Rebecca Niemiec CHIEF EXECUTIVE COO CFO CTO HEAD OF LEARNING HEAD OF HEAD OF PEOPLE MANAGING OFFICER PRODUCT DIRECTOR – LTC 19 Years wi
Slide 19: Governed by an experienced, professional Board
Governed by an experienced, professional Board For personal use only 25 years in the Education industry Managing Partner – CEO of Janison until EduWorld 2015 Managing Partner – JWT Education JAN.ASX 19
Slide 20: Outlook
For personal use only Products and Clients Partnerships Market Opportunity Profitability Leadership Outlook JAN.ASX 20
Slide 21: FY20 outlook: Gross Margin above 45%, EBITDA above $4.0m
Despite investing in growth, Gross Margin is expected to exceed 45% and EBITDA to exceed $4.0m for FY20 with positive operating cash flow For personal use only >25% >45% Full Year ARR Growth Gross Margin >$4m >$4.0m Operating Cash Flow EBITDA 21
Slide 22: Contact
For personal use only Tom Richardson trichardson@janison.com +61 421 029 620
Janison Education Group — H1 FY2020 Earnings Presentation on 6ix