Slide 1: Appen Limited FY2014 Results Presentation
For personal use only Appen Limited Global Leader in Language Technology Solutions FY2014 Results Presentation
Slide 2: Agenda
Agenda For personal use only Topic: Speaker: Introduction to Appen Chris Vonwiller (Chairman) Financial Performance Mark Byrne (CFO) Growth and Outlook Lisa Braden-Harder (Managing Director) People and Leadership Chris Vonwiller 2
Slide 3: Introduction to Appen
Introduction to Appen For personal use only Company snapshot Business snapshot Global leader in language technology solutions Appen has two business divisions: • Established in 1993 and provides language • Content Relevance: technology data and services to leading technology • provides data annotati
Slide 4: Financial Highlights
Financial Highlights For personal use only FY2014 Pro-Forma Financial Highlights Appen has exceeded FY14 prospectus forecasts • Revenue A$51.0m up 4.0% vs prospectus forecast of A$49.1m • EBITDA A$6.7m up 15.2% vs prospectus forecast of A$5.8m • NPAT A$3.6m up 5.4% vs prospectus forecast of A$3.
Slide 5: Summary Income Statement
Summary Income Statement For personal use only Pro-forma vs Prospectus Commentary Pro forma Prospectus • Revenue increased by 4.0% driven by better than Growth $ in millions actual forecast expected results from both divisions FY14 FY14 V$ V% Sales revenue 51.0 49.1 1.9 4.0% • Pro-Forma EBITDA incre
Slide 6: Statutory vs Pro Forma Reconciliation
Statutory vs Pro Forma Reconciliation For personal use only Statutory vs Pro-forma Commentary • Statutory EBITDA ahead of prospectus by 52% Actual Prospectus* 2013 $ in millions • Stronger sales leading to higher profitability FY14 FY14 % FY13 % • Excise net tax refund of $1.2m Statutory EBITDA 4.8
Slide 7: Divisional Earnings
Divisional Earnings For personal use only Divisional Earnings Commentary Speech & • Strong last quarter revenues from both businesses Sales Performance Data Content Company • Speech and Data Collection continued to win ($ in millions) Relevance Revenue Collection new work and execute quickly and eff
Slide 8: Balance Sheet
Balance Sheet For personal use only Balance Sheet Commentary $ in millions FY14 FY13 % • Total assets increase due to higher cash balances Cash 8.6 5.8 50% Trade and other current assets 10.3 11.9 -13% • Intangibles impacted by FX rates Total current assets 18.9 17.7 7% Intangibles 10.9 10.0 8% • Bo
Slide 9: Cash Flow
Cash Flow For personal use only Cash Flow Commentary Cash Position ($ in millions) FY14 • Year end cash has been driven by the timing of Cash per Prospectus forecast 2.4 receipts and payments Lower supplier payments 0.5 Delayed tax payment 0.5 • We expect some reversal of these items over the Custom
Slide 10: Foreign Exchange
Foreign Exchange For personal use only Foreign Exchange impact Commentary The assumptions behind this are: • All changes are off the numbers reflected in the Weaker AUD Neutral Stronger AUD prospectus at an FX rate of $0.90 Movement • That the Speech and Data Collection division is fully 5% 10% 0% -
Slide 11: Growth and Outlook
Growth and Outlook For personal use only Appen reaffirms FY2015 prospectus forecast Appen reaffirms its FY2015 prospectus forecasts – Revenue $53.6m and EBITDA $6.8m (pro-forma) • Current operating results with revenue and business won thus far in FY2015 is on track with forecast • Pipeline and orde
Slide 12: Strategic Growth Opportunities
Growth and Outlook For personal use only Strategic Growth Opportunities Industry drivers are positive across all segments • Search, social media, e-commerce, government, automotive New client acquisition in Content Relevance • Master Service Agreements in place with 7 Fortune 500 companies and initi
Slide 13: People and Leadership
People and Leadership For personal use only People and Leadership Appen has a stable and long serving board and senior management team Managing Director transition • Current Managing Director and founder of Butler Hill, Lisa Braden-Harder, will transition from her executive role to a non-executive r
Slide 14: People and Leadership
People and Leadership For personal use only People and Leadership A Long Term Incentive Plan has been introduced covering senior management • We have continued to strengthen our global workforce to optimise our capability-base and our cost structure • LTIP covers a three-year period and is based upo
Slide 15: Important Notice and Disclaimer
Important Notice and Disclaimer For personal use only This presentation (“Presentation”) has been prepared by Appen Limited ACN 138 878 298 (“Appen”) in connection with the release of its financial results for the 12 month period ending on 31 December 2014. The material in this Presentation provides
Slide 16: Investor Relations contact details
For personal use only Investor Relations contact details Mark Byrne (CFO and Joint Company Secretary) mbyrne@appen.com +612 9468 6322 Leanne Ralph (Company Secretary) leanne.ralph@boardworx.net.au