Adslot Ltd · ASX:ADS
Adslot — Investor Presentation (September 2023)
27 slides from Adslot's investor presentation, Sep 6, 2023
Slide 1: Investor Webinar
For personal use only INVESTOR WEBINAR. 6 September 2023 Adslot LimitedMarch 2022 (ASX: ADS) 1
Slide 2: Agenda
AGENDA. 1. 2023 FINANCIAL YEAR RESULTS For personal use only 2. COMMERCIAL PROGRESS UPDATE RD 3. DEMISE OF THE 3 PARTY COOKIE AND ITS IMPLICATIONS 2
Slide 3: FY2023 Results
For personal use only FY2023 RESULTS. March 2022 3
Slide 4: Continued Progress
CONTINUED PROGRESS. THE 2023 FINANCIAL YEAR SAW IMPROVEMENT IN TRADING ACTIVITY ACROSS ADSLOT’S PLATFORMS ✔ 160% growth in monetised Total Transaction Value (TTV) across the full financial year For personal use only ✔ Record quarterly TTV, both monetised and unmonetised, in the June 2023 quarter ✔ Su
Slide 5: Growth in Key Trading Technology Revenues
GROWTH IN KEY TRADING TECHNOLOGY REVENUES For personal use only TRADING GROUP REVENUE FROM LICENSE FEE TRADING FEE TECHNOLOGY REVENUE CONTINUING OPERATIONS REVENUE REVENUE REVENUE $9.230M $8.934M $7.462M $6.424M $1.039M VS PCP -2% -1% +2% +6% -16% • For the current period, Group Revenue includes Rev
Slide 6: FY23 Reduced Operating Costs and Improved Adjusted EBITDA and NPAT
FY23 REDUCED OPERATING COSTS,AND IMPROVED ADJUSTED EBITDA AND ADJUSTED NPAT. For personal use only OPERATING COSTS EBITDA LOSS ADJUSTED EBITDA LOSS NPAT LOSS ADJUSTED NPAT LOSS $11.302M ($8.372M) ($2.087M) ($12.078M) ($5.794M) VS PCP -3% +1050% -7% +160% -6% Adjusted EBITDA (loss) and adjusted NPAT
Slide 7: Continuing Growth in TTV Performance
CONTINUING GROWTH IN TTV PERFORMANCE. JUNE 2023 QUARTER MONETISED TTV. RECORD RESULT. For personal use only $16.19M +42% QoQ +160 PCP 7
Slide 8: Continuing Growth in TTV Performance
CONTINUING GROWTH IN TTV PERFORMANCE. • Successful launch of integrated Symphony – Adslot Media solution saw APAC market greatest contributor For personal use only to TTV in FY23 • TTV generated via integrated solution includes SaaS fees as well as usual % trading fees • % fees generated via integra
Slide 9: Cost Management Continues
COST MANAGEMENT CONTINUES. Over the past 5 years, a combination of revenue increases and cost management has seen a continuing decline in cash burn across the business. For personal use only • Normalised* cash burn reduced from $9.7m to $6.1m between 2017 and 2022 • Cost reductions implemented in Ju
Slide 10: Commercial Progress
For personal use only COMMERCIAL PROGRESS. March 2022 10
Slide 11: Key Commercial Projects
KEY COMMERCIAL PROJECTS. For personal use only GERMAN MARKET UNITED KINGDOM UNITED STATES 11
Slide 12: Activating the German Market
ACTIVATING THE GERMAN MARKET. • German market is well suited to adoption of Adslot • Activation focus has been on the highly valuable Media Connected Television (CTV) sector • Top 2 media market in Europe • Updated workflows have been introduced to the Adslot Media workflow to debut October 2023 For p
Slide 13: Activating the German Market
ACTIVATING THE GERMAN MARKET. Publisher Partners Agency Groups For personal use only 13
Slide 14: GroupM UK: Agency Activations
GROUPM UK: AGENCY ACTIVATIONS. • Amended contracting structure with individual agencies now completed • DE&I trading via Adslot Media to commence once onboarding of For personal use only GroupM requested publishers (x15) is complete – expected September 2023. • Wider activation planning (beyond DE&I
Slide 15: US Market: IPG – Orion & Kinesso
US MARKET: IPG – ORION & KINESSO. • US trading activity failed to develop as expected in FY23 but opportunity remains significant following large investment by For personal use only the Company in the US market • Internal re-organization within IPG has seen relationship shift from Kinesso to individu
Slide 16: Demise of the 3rd Party Cookie
DEMISE OF THE For personal use only RD 3 PARTY COOKIE. March 2022 16
Slide 17: What Is a Cookie?
WHAT IS A COOKIE? 1st party cookie 3rd party cookie A small piece of data that a website stores on a user's A small piece of data stored on a user's device by a device through their web browser. company other than the one you are currently visiting. 1PD cookie is created by the website the user is U
Slide 18: 1st Party Cookie Example
1st PARTY COOKIE EXAMPLE. 1 1st Visit Next Visit For personal use only user visits news site user visits news site again ad ad ad ad cookie </> cookie </> “Hi John” 1st party cookie dropped 1st party cookie remembers on user’s browser you 2 18
Slide 19: 3rd Party Cookie Example = Audience-Targeting
3rd PARTY COOKIE EXAMPLE = AUDIENCE-TARGETING 1 3 visit ecommerce site user visits news site For personal use only shopping site adtech company e.g. Criteo, Trade Desk, etc. ad placement 3rd party cookie 3PD cookie </> management “data controller” 3rd party cookie dropped “data processor” on user’s
Slide 20: What's Happening with 3rd Party Cookies?
WHAT’S HAPPENING WITH 3rd PARTY COOKIES? 1 2 3 Privacy Concerns User Consent and Control Cross-Site Tracking and Security For personal use only 3rd party cookies enable advertisers and With increasing regulatory focus on data 3rd party cookies can potentially be trackers to collect and share user da
Slide 21: What's Happening with 3rd Party Cookies?
WHAT’S HAPPENING WITH 3rd PARTY COOKIES? Apple, Microsoft and Firefox already removed 3rd cookies and related targeting capabilities For personal use only Starting in early 2024, Google plans to migrate 1% of Chrome users to Privacy Sandbox and disable third-party cookies for them, the company annou
Slide 22: Cookie Replacement Alternatives
COOKIE REPLACEMENT ALTERNATIVES. For personal use only Not Targetable 22
Slide 23: Cookie Replacement Alternatives?
COOKIE PLACEMENT ALTERNATIVES? 1 2 Contextual Approach 1st Party Data (back to the future) Contextual advertising is a type of advertising strategy Advertising with 1st party data involves using information For personal use only where ads are displayed to users based on the content and collected dir
Slide 24: Adslot's Place in the New World Order?
ADSLOT’S PLACE IN THE NEW WORLD ORDER? Advertiser Demand Side Supply Side Publisher & Platform Platform Agency For personal use only Programmatic Ad quality risk = high Depends on 3rd Party Cookies $1.00 $0.20 $0.20 $0.60 ● fraudulent inventory ● non-viewable impressions and viable replacement to ex
Slide 25: Summary
SUMMARY 1. DSP-SSP business model is disrupted → profound change for the industry For personal use only 2. Drives incentives toward direct trading with contextual and 1st party audience targeting → positive for Adslot 3. Adslot’s direct publisher integrations → well positioned as a strong alternativ
Slide 26: Disclaimer
DISCLAIMER. The information contained in this presentation is given in good faith and has been prepared from information believed to be accurate and reliable. The information presented does not take into account your individual financial circumstances and it is not designed to be a substitute for spe
Slide 27: Thank you. Questions?
For personal use only Thank you. Questions? investor.relations@adslot.com Adslot.com 27