Ebiquity Plc · LSE:EBQ
Ebiquity — H1 FY2012 Earnings Presentation
29 slides from Ebiquity's earnings presentation, January 2012
Slide 1: Interim Results Presentation, 6 months ended 31 October 2011
Interim Results Presentation 6 months ended 31 October 2011 January 2012 1 an Ebiquity company
Slide 2: Interim review
Change sub heading - via *View* / HEADER & FOOTER Interim review 6 months to 31 October 2011 2
Slide 3: Strong year on year performance
Strong year on year performance Revenue growth Total revenue up 17% Organic revenue up 6% Operating profit growth Total operating profit up 75% Organic operating profit up 44% Margin and earnings growth Gross margin up from 54% to 56% Operating margin up from 7% to 11% Underlying diluted EPS up 75%
Slide 4: Data-driven insights
data-driven insights 4
Slide 5: Data: The next frontier for innovation, competitiveness, and productivity
Data: The next frontier for innovation, competitiveness, and productivityMcKinsey & Company 5
Slide 6: 30 billion pieces of content shared on Facebook every month
30 billion pieces of content shared on Facebook every month 6
Slide 7: 40% growth in global data generated each year
40% growth in global data generated each year 7
Slide 8: Tesco now generates more than 1.5 billion items of data every month
Tesco now generates more than 1.5 billion items of data every month 8
Slide 9: Providing insight from data still depends on analysis and interpretation
Providing insight from data still depends on analysis and interpretation 9
Slide 10: …but now it's become a fog of digital exhaust
…but now it’s become a fog of “digital exhaust” …a by-product of all human activity 10
Slide 11: …a trail that, if followed, will help us understand behaviour
…. a trail that, if followed, will help us better understand corporate and consumer behaviour 11
Slide 12: Our mission is to help our clients turn data into profit
Our mission is to help our clients turn data into profit… … by providing a better understanding of how they can improve performance 12
Slide 13: Data-driven insights
Data-driven insights • Creates transparency • Improves performance • Enables better decisions • Automates responses • Creates new business models • Generates value 13
Slide 14: Highlights
Highlights • Improved client offering, with addition of “non-paid” media – Echo (May) • Continued international expansion – Russia (May), Australia (Oct) • 75% of revenues from international clients • Margin improvements from ‘Get Lean’ initiative • Analytics Division organic growth +16% - ‘adding v
Slide 15: Financial Summary
Financial Summary 6 months to 31 October 2011 15
Slide 16: Year on year revenue analysis
Year on year revenue analysis Revenue increase of 17%...6% organic increase 47% 37% 63% 53% 2010 20,099 - 414 20,513 movement 1,184 2,612 (290) 3,506 2011 21,283 2,612 124 24,019 16
Slide 17: Organic revenue analysis
Organic revenue analysis Strong growth in Analytics division +16% £20,099 +6% £21,283 17
Slide 18: Revenue from current period acquisitions
Revenue from current period acquisitions Results consolidated from date of control 6 months to 31 October 2011 18
Slide 19: Gross margins
Gross margins Positive impact of synergies implemented towards end of prior financial year 2010 2011 Platform 57% 61% Analytics 49% 50% Total 54% 56% Total gross profit £13,404k (2010: £11,037k) 19
Slide 20: Year on year underlying operating profit analysis
Year on year underlying operating profit analysis Positive impact of synergy release, acquisitions and disposal of underperforming business 2010 1,687 - (251) 1,436 movement 737 190 150 1,077 2011 2,424 190 (101) 2,513 20
Slide 21: Underlying margins
Underlying margins Positive impact of synergy release, acquisitions and disposal of underperforming business 2010 2011 EBITDA 9.7% 13.3% Operating 10.5% profit (EBIT) 7.0% 21
Slide 22: Highlighted items
Highlighted items Low level of integration costs £3,427k £2,014k 22
Slide 23: Profit before tax and EPS
Profit before tax and EPS Strong growth in underlying profit and EPS 6m ended 6m ended 31 October 31 October 2010 2011 Underlying operating result 1,436 +75% 2,513 Highlighted items (3,427) (2,014) Reported operating result (1,991) 499 Net finance costs (282) (300) Reported result before tax (2,273)
Slide 24: Financing analysis
Financing analysis Gross £1.8m¹ of available facility debt Gross debt 7,685 12,050 Cash 3,158 2,796 Net debt 4,527 9,254 Gross debt/EBITDA² 1.2 1.4 Net debt/EBITDA² 0.7 1.1 24 ¹ £270k Revolving Credit Facility (RCF) and £1,500k acquisition fund ² EBITDA based on 12m historic pro forma
Slide 25: Financial Summary
Financial Summary Strong year on year growth Revenue growth Total revenue growth 17% Organic revenue growth 6% Operating profit growth Total operating profit up 75% Organic operating profit up 44% Margin and earnings growth Gross margin up from 54% to 56% Operating margin up from 7% to 11% Underlyin
Slide 26: Financial Appendices
Financial Appendices 6 months to 31 October 2011 26
Slide 27: Appendix: Acquisitions during the period
Appendix: Acquisitions during the period Acquisition of Acquisition of Acquisition of Disposal of Echo Research Joined Up Media Faulkner Media Newslive Group Company Management Nature of business Reputation Media auditing Media auditing Editorial monitoring management in Russia and CEE in Australia/
Slide 28: Appendix: Statement of financial position
Appendix: Statement of financial position October 2011 October 2010 April 2011 Non current assets Goodwill 37,710 30,700 31,457 Purchased intangibles 10,104 9,079 8,350 Other 4,375 3,687 4,247 52,189 43,466 44,054 Current assets Trade debtors 8,107 6,648 10,143 Accrued income 3,510 1,871 2,130 Cash
Slide 29: Appendix: Cash flow statement
Appendix: Cash flow statement 6m to 6m to 12m to 31 October 2011 31 October 2010 30 April 2011 Cash generated from operations 15 (2,230) 1,430 Finance expense (293) (231) (365) Income taxes paid (228) (316) (757) Net cash from operating activities (506) (2,777) 308 Investing activities Acq’n of subs