Macquarie Technology Group Limited · ASX:MAQ
Macquarie Technology — H1 2021 Earnings Presentation
22 slides from Macquarie Technology's earnings presentation, Feb 24, 2021
Slide 1: Half Year Results 2021
Half Year Results. 2021. 24 February 2021 Authorised for release by the CEO of Macquarie Telecom Group Limited
Slide 2: Business design
Business design. Business Areas Percentage of Revenue and EBITDA in 1H21 What we do Value proposition Competitors People / Skill ® macauarie Revenue EBITDA For business customers, we are the full service provider of data, voice, mobile & colocation services. We are the telecom that does everything r
Slide 3: Key Business Highlights
33 Key Business Highlights. Revenue EBITDA NPAT EPS $143.6m $36.4m $7.0m 33.0 ps ● Thirteen consecutive halves of revenue and EBITDA growth ● EBITDA CAGR of 17.4% over the last 3 years %) ● All Business Units grew revenue, with particularly strong growth in Cloud Services and Government in 1H FY21 v
Slide 4: Business Highlights Summary
4 Macquarie Telecom Macquarie Cloud Services ● #1 in Asia Pacific for SD WAN with over 5,000 sites activated ● Continues to grow successfully leveraging the Hybrid IT ● Strong cross sell of Cloud Services solutions into Telecom’s megatrend customers ● Managed Azure Practice continues to perform stro
Slide 5: Best Customer Experience in the World
Best Customer Experience in the World At the 2020 World Communication Awards in London we won the award for best Customer Experience in the World for our Heartbeat program. Our CEO David Tudehope was also recognised with the World CEO of the Year award. “We’re definitely looking for the X-Factor and
Slide 6: A Differentiated Offering
A Differentiated Offering. Macquarie Telecom Group | Half Year Results 2021
Slide 7: +76 NPS
7 Company purpose. Customer focus. To make a difference in markets • Our continued focus on providing a great customer experience is core to our service that are under served and offering and differentiation overcharged. • Won the World’s Best Customer Experience Award at the World Communications Aw
Slide 8: Quality Infrastructure
Quality Infrastructure. Macquarie Telecom Group
Slide 9: Data Centre Portfolio
Data Centre Portfolio. Intellicentre 1 Intellicentre 2 Intellicentre 3 East Intellicentre 4 Bunker, Intellicentre 5 South Sydney CBD Macquarie Park Macquarie Park Canberra Bunker, Canberra Macquarie Data Centre’s projected total load is 50MW comprising of: – Macquarie Park Data Centre Campus 43MW: I
Slide 10: IC3 East Progress
IC3 East Progress. ● IC3 East build is progressing well and we expect completion in March 2021 and on budget ● Construction of capacity under the new contract will occur through CY21 for completion late CY21 / early CY22 – billing due to start shortly after completion ● Planning for IC3 West ● Revie
Slide 11: IC5 South Bunker Canberra
IC5 South Bunker Canberra. ● Completed in December 2020 on time and on budget ● Built to Federal Government security standards (SCEC Zone 5 ready) and redundancy (Tier IV) ● Stage 1 investment of $17m complete with planning approval for expansion options ● Australian Sovereign data centres to suppor
Slide 12: Our private cloud continues to be a key source of data centre utilization
Our private cloud continues to be a key source of data centre utilization and generates higher revenue per rack. Underlying infrastructure anonymised as we sell outcome focused solutions Cloud Services & Government’s Hybrid IT managed services deliver 10 times revenue per MW compared with colocation
Slide 13: Financials
Financials. Macquarie Telecom Group | Half Year Results 2021
Slide 14: Financial Results
14 Financial Results. $m 1H FY20 2H FY20 1H FY21 1H FY21 v 2H FY20 % change Total Revenue Telecom 71.1 68.5 68.7 0.2 0.3% Cloud Services & Government 51.9 56.4 64.8 8.4 14.9% Data Centres 17.4 17.9 19.6 1.7 9.5% Inter-Segment (8.5) (8.5) (9.5) (1.0) 11.8% Total Revenue 131.9 134.3 143.6 9.3 6.9% EBI
Slide 15: Group Financial Performance
15 Group Financial Performance. • Over the last 3 years: – Revenue CAGR of 7.6% – EBITDA CAGR of 17.4% – EBITDA margin increased from 19.6% (1H18) to 25.3% (1H21) Macquarie Telecom Group | Half Year Results 2021
Slide 16: Financial Performance – Hosting Segment
16 Financial Performance – Hosting Segment (Cloud Services & Government + Data Centres) Hosting Revenue ($m) Hosting EBITDA ($m) 84.4 27.3 69.3 74.3 23.9 22.2 53 57.6 16.9 46.1 49.5 15.3 13.4 13.4 1H18 2H18 1H19 2H19 1H20 2H20 1H21 1H18 2H18 1H19 2H19 1H20 2H20 1H21 • Over the last 3 years: – Revenu
Slide 17: Financial Performance – Telecom
17 Financial Performance – Telecom Telecom Revenue ($m) Telecom EBITDA ($m) 71.1 71.4 70.4 70.4 71.1 68.5 68.7 11.9 9.1 10.1 9.8 9.4 9.7 9.1 1H18 2H18 1H19 2H19 1H20 2H20 1H21 1H18 2H18 1H19 2H19 1H20 2H20 1H21 • Telecom revenue and EBITDA have been broadly flat over the historical period. Macquarie
Slide 18: Financial Performance – Cloud Services & Government
18 Financial Performance – Cloud Services & Government Cloud Services and Government Cloud Services and Government Revenue ($m) EBITDA ($m) 64.8 18.0 56.4 15.7 51.9 13.5 1H20 2H20 1H21 1H20 2H20 1H21 • Revenue in 1H21 grew 14.9% compared to 2H20 • EBITDA grew 14.6% in 1H21 compared to 2H20 • Cloud S
Slide 19: Financial Performance – Data Centres
19 Financial Performance – Data Centres Data Centres Revenue ($m) Data Centres EBITDA ($m) 17.9 19.6 9.3 17.4 8.7 8.2 1H20 2H20 1H21 1H20 2H20 1H21 • Data Centres revenue increased 9.5% in 1H21 compared to 2H20 • EBITDA increased 13.4% in 1H21 compared to 2H20 • Data Centres is a new segment from FY
Slide 20: Growth Capex
20 Growth Capex. Customer Growth Maintenance Capex. Capex. ● Growth Capex is for the building of ● Customer Growth Capex is for ● Most of the remaining Capex is new data centre capacity, additional cabling, racks, servers infrastructure refresh and increased power supply, new & storage that enable u
Slide 21: Balance Sheet & Cash Flows
21 21 Balance Sheet & Cash Flows. $m FY20 1H FY21 ● Cash and cash equivalents of $11.7m. The Cash & Cash Equivalents 37.9 11.7 undrawn debt facility amounts to $96.5m Current Assets 43.9 60.9 which will be used to fund the build of IC3 Non Current Assets 242.4 290.2 data centre Total Assets 324.2 36
Slide 22: Outlook
22 22 Outlook. ● FY21 EBITDA is expected to be approximately $72 to $75m FY21 $m ● Telecom continue to win customers from legacy data and IP carriers with our nbn and SD WAN EBITDA 72 - 75 solutions Customer Growth Capex 25 - 28 ● Cloud Services continue to grow successfully Growth Capex 17 - 20 lev
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