Beeks Financial Cloud Group Plc · LSE:BKS
Beeks Financial Cloud — FY2018 Earnings Presentation
18 slides from Beeks Financial Cloud's earnings presentation, 2018
Slide 1: Beeks
Beeks 22°" a = CME QeExXcM i OANDA FOREX con EQUINIX
Slide 2: Beeks Financial Cloud
Beeks Financial Cloud A rapidly deployed, secure and scalable cloud environment for automated trading applications 2
Slide 3: The Network Map
The Network Map 3 UK OFFICE FR2 FRANKI Beeks f°" beeksfinancialcloud.com - @CME ZFxcm WD EQUINIX
Slide 4: Key Messages
Key Messages £’m Strong financial performance with growing levels of 8 revenue visibility 7 6 Successful geographic expansion and entry into all 5 key asset classes 4 3 Continued momentum in the automated trading industry 2 towards the cloud model of deployment Annualised Committed Monthly Recurring
Slide 5: Positive Financial Results
Positive Financial Results • Revenue increased by 41% to £5.58m (2017: £3.97m) The benefits of our IaaS model: • Annualised Committed Monthly Revenue up 47% to £6.9m (2017: • 95% of clients pay monthly £4.7m) • 5% pay annually in advance • Gross margin increased to 53% (2017: 39%) • Average entry fe
Slide 6: Income Statement
Income Statement INCOME STATEMENT (¢,000) 3,970 Aas 2,981 1,569 1,147 = 2016 2017 2018 i Turnover I Gross Profit @ EBITDA* INCOME STATEMENT Turnover Gross profit Gross Margin % EBITDA* EBITDA % Operating profit* EBIT % Profit before tax* EBT % Wy 7 5 Beeks £22: - @CME ZFXCM OANDA [AY BeKan EQUINIX b
Slide 7: Capacity
Capacity • Total unused capacity of 8.5 racks across locations • Potential to support up to c.£3m of additional annualised revenue from 7 of these racks, depending on location/mix, from current cost base 7
Slide 8: Balance Sheet
Balance Sheet BALANCE SHEET (¢,.000) 4844 3,670 2,253 1,201 — Pn rl = (375) 2016 2017 2018 Net Assets Ml Debt Ml Op Asset Cost Beeks f°" beeksfinancialcloud.com wu: ~=@CME EQUINIX 2016 2017 2018 (g'000) (£000) —_(£'000) ASSETS Tangible fixed assets 648 1,302 2,137 Goodwill / Intangibles 639 574 852
Slide 9: Cash Flow
Cash Flow CASH FLOWS FROM OPERATING ACTIVITIES (INCLUDING EXCEPTIONALS): 2016 ©2017-2018 (e'000) (£'000) (£000) Operating cash flows before working capital (including tax paid) 499 (253) 1,486 Net receivables/payables 412 872 (1,038) Net cash from operating activities 911 619 448 Purchase of PPE (ne
Slide 10: Delivering Against Our Growth Strategy
Delivering Against Our Growth Strategy GROWTH DEVELOPMENT INVESTMENT • Expansion into Crypto • Built and launched • Increase in headcount currencies, Equities financial services to 35, particularly in and Fixed Income industry’s only self- technical support and • Geographic expansion service portal
Slide 11: The Market Opportunity
The Market Opportunity SCALE • Global algorithmic trading market expected to grow MARKET NEED from $8.8bn in 2016 to $18.1bn by 2025 – a 8.7% • Majority of institutions are still using their CAGR* own IT infrastructure • Up to 20,000 financial institutions as potential customers • Decreased latency,
Slide 12: Strategic Priorities
Strategic Priorities SHORT TERM ONGOING • Asia focus • Further self-service • Potential expansion into South America automation • ‘Wait and see’ approach to China • Further services to our • Anticipate growing revenue contribution from Fixed Income and Cryptocurrency platform, e.g. data feeds automa
Slide 13: Summary and Outlook
Summary and Outlook • Profitable business with continued revenue growth • Compelling offering with high barriers to entry • Trusted relationships and a reliable client base • Continued movement to our service offering • Ongoing growth of the automated trading market • Confident in our ability to dri
Slide 14: Appendix
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Slide 15: Sales trends
Sales trends all ae == TOtal Web Sales ==aee= Net Institutional Sales == Cancellations 2017-07 2017-08 2017-09 2017-10 2017-11 2017-12 2018-01 2018-02 2018-03 2018-04 2018-05 2018-06 Wy 7 5 Beeks £2" wu. = @CME ZFXCM 1) CANDA FORE com 5 EQUINIX beeksfinancialcloud.com eu
Slide 16: Our Clients
Our Clients Buy and sell side: Technology partners: 16
Slide 17: Board and Executive Team
Board and Executive Team Gordon McArthur Simon Goulding Mark Cubitt Christopher Livesey Will Meldrum CEO CFO Chairman Independent NED Independent NED • Founder & CEO since 2011 • At Beeks since 2012 • 21 years’ of PLC experience • 25 years’ experience in the • Currently SVP and Chief of Staff at • 1
Slide 18: Disclaimer
Disclaimer The information contained in this document (the Presentation) has been prepared by Beeks Financial Cloud Group plc (the Company). This Presentation has not been approved by an authorised person in accordance with section 21 of the Financial Services and Markets Act 2000 and therefore it i
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