Spacetalk Limited · ASX:SPA
Spacetalk — MGM Wireless — Investor Presentation (June 2006)
23 slides from Spacetalk's investor presentation, June 2006
Slide 1: MGM Wireless Public Corporate Presentation
Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward looking statements that involve a number of risks and uncertainties. Various statements that we make about our expectations for the future, our plans and our prospects also may constitute forward looking statements. Our actual results may
Slide 3: Agenda
agenda • MGM Wireless today • Financial review • Growth strategy Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 4: Who we are
who we are We are recognised in Australia as pioneers, experts and market leader in the application of SMS-TEXT technology to effectively improve student attendance. We deliver an integrated suite of software, communications and professional services. MGM Wireless solutions enable schools to reduce
Slide 5: Major opportunity
Major opportunity Strong Mobile phone & Political Case SMS Technology OPPORTUNITY New Family social difficulties & issues Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 6: Government policy
government policy • State & Federal level – a attendance is a priority • Federal Legislation ties school funding to attendance • Federal initiative will require public reporting of attendance rates • Messageyou has been independently proven by WA, ACT, SA & NSW Governments that it works Commercially
Slide 7: Intellectual Property Protection
Intellectual Property Protection • Numerous technologies Patented or applications lodges • Australia, NZ, Europe, Canada, USA • All implementation methodologies and processes copyrighted • All brand names registered Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 8: Number of Schools Growth
Number of Schools Growth 250 218 204 200 186 161 150 141 118 106 100 88 71 48 50 39 0 2 10 Jun'03 Dec'03 Jun'04 Dec'04 Jun'05 Dec Jun '05 '06 Starting Point – June Quarter 2003 Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 9: MGM Wireless in Australia
MGM Wireless in Australia 2 US: 3 21 38 49 72 17 3 4 NZ: 4 Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 10: Financials
Financials Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 11: Consecutive Annual Revenue Growth
Consecutive Annual Revenue Growth 2006 estimated $2,000,000 $1,800,000 $1,600,000 $1,400,000 $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $0 2003 2004 2005 2006 +758% +166% Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 12: Share Price
Share Price Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 13: Financials
Financials INCOME 2006 2005 2004 Dec Op Revenue 1349 1060 325 Op Profit (loss) 52 (502) (580) Net profit (loss) 52 (497) (580) EPS (Cents) 0.03 (0.34) (0.56) 2006 2005 2004 BALANCE SHEET Dec Current Assets 974 927 534 Non Current Assets.. 544 606 782 Current Liabilities 163 230 77 Non Current Liabil
Slide 14: Market Size Snapshot
Market Size Snapshot Australia MGM Wireless Competitors Secondary Schools* 2,632 203 30 *also includes combined secondary/primary 9% 1.5% Primary Schools 6,594 3 Near zero Australian secondary market has hardly been tapped. Tapped – 10.5% of Total Market (MGM 9%) Opportunity – 65% of Total Market Co
Slide 15: Growth Strategy
Growth Strategy Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 16: Leading the company to new heights
Leading the company to new heights Extending Broadening our Australian Product offering Leadership OPPORTUNITY Expanding Globally Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 17: Extending our leadership - Australia
Extending our leadership - Australia • Accelerate our ‘down the street business’ • Major Account – Systemic Opportunities 2006/7 • Acquisitions Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 18: Expanding our Offering
Expanding our Offering • 2001 - We started with corporate messaging – messageyou • 2002 - We automated – messageyou • 2002 – Introduced Professional Services • 2003 - We specialised for schools – messageyou™Schools • 2004 – We improved messageyou™Schools v 2.1 • 2005 – We analysed - released message
Slide 19: Expanding Globally
Expanding Globally • 94 Countries identified as an opportunity • NZ has commenced • US Rollout commenced March 2006 – 3 School / 3 Districts installed – Early results – very positive – US Summer Vacation (2 month) just commenced – Backing from US based investment Bank – Full commercial rollout Decem
Slide 20: U.S. Market Size
U.S. Market Size • 40,000+ High Schools (Australia 2,632) Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.
Slide 21: U.S. Market Size Snapshot
U.S. Market Size Snapshot U.S. Australia Number Secondary 40,000 2,632 Schools Average Student Size 753 700 Primary Schools 84,500 6,594 Daily Unexplained 10+% 10-12% Absences Market Opportunity 100% 90% No US competitors identified yet. (May 2006) Commercially Confidential © 2006 MGM Wireless Holdi
Slide 22: Positioned for Continued Success
Positioned for Continued Success • Solid financially and solid track record – strong forward revenue bookings • Tenured, experienced management & organization • Momentum in ‘down the street’ sales – moving towards systemic opportunities • Significant installed user base • Solid product portfolio • G
Slide 23: MGM Wireless Ltd
MGM Wireless Ltd Commercially Confidential © 2006 MGM Wireless Holdings Pty Ltd.