Dye & Durham Ltd. · TSX:DND
Dye & Durham — Q3 FY2024 Earnings Presentation
16 slides from Dye & Durham's earnings presentation, May 14, 2024
Slide 1: Q3 FY2024 Results Presentation
Q3 FY2024 RESULTS PRESENTATION May 14, 2024 When being certain is everything dyedurham.com dyedurham.com
Slide 2: Disclaimer
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DISCLAIMER This presentation has been prepared for informational purposes only. These materials are not, and in no circumstances are they to be construed as, a prospectus, an o
Slide 3: Disclaimer (Cont'd)
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DISCLAIMER (CONT’D) Many of these risks are beyond the Company’s control. If any of these risks or uncertainties materialize, or if the opinions, estimates or assumptions under
Slide 4: Your Legal Practice, Made Perfect
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx YOUR LEGAL PRACTICE, MADE PERFECT Our mission-critical software gets business done right, every time. We provide premier practice management solutions and vital data insights s
Slide 5: Dye & Durham at a Glance
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx DYE & DURHAM AT A GLANCE Dye & Durham is a leading provider of software solutions to law firms globally (Practice Management and Data & Insights Software) Additionally, the com
Slide 6: Key Investment Highlights
KEY INVESTMENT HIGHLIGHTS Dye & Durham is focused on bringing software capabilities together to provide a single point solution for customers Key Industry Drivers Dye & Durham Key Growth Drivers 1 Growing Contracted Revenue Accelerated adoption of legal technology to improve efficiencies and client
Slide 7: Legal Software: Unity Global Platform
LEGAL SOFTWARE: UNITY GLOBAL PLATFORM UNITY® WE BELIEVE YOU WILL HAVE EVERYTHING YOU NEED TO RUN YOUR LEGAL PRACTICE ALL IN ONE PLACE. From intake to invoicing, and everything in between. A Destination for Law Firms Bringing together multiple legal solutions – that saves time, provides operational &
Slide 8: Product Offering Aligns with Fastest Growing Segments in Legal Tech
DYE & DURHAM’S PRODUCT OFFERING ALIGNS WITH SOME OF THE FASTEST GROWING SEGMENTS IN LEGAL TECH Top Growth Segments for Legal Tech Spend Growth Momentum1 Dye & Durham Core CAGR % (2024-2030) Low Medium High Software Competency Analytics 12.0% Practice Management 11.0% Legal Research 10.0% Dye &
Slide 9: Growth in Contracted Revenue
GROWTH IN CONTRACTED REVENUE • Growth in contracted revenue has been driven by a dedicated organic sales effort and some small tuck-in acquisitions Annualized Contractual Revenue1,2,3 (C$ mm) ARR Other Revenue Under Contract % of Contracted Revenue 53% 49% 46% $221.1 37% 39% $203.2 $198.1 $166.0 $95
Slide 10: Revenue Growth Drivers
REVENUE GROWTH DRIVERS • Q3 FY2024 revenue increase of 3% YoY driven by new acquisitions and pricing initiatives, partially offset by divestiture of TM Group • Organic growth of 4.1% Q3 FY2023 vs Q3 FY2024 Revenue Bridge (C$ mm) Divestiture When being certain is everything Strictly private and confi
Slide 11: Quarterly Financial Performance
QUARTERLY FINANCIAL PERFORMANCE Dye & Durham continues to effectively navigate the current high interest rate environment, delivering stable financial performance Revenue (C$ mm) Adjusted EBITDA1 (C$ mm) Adj. EBITDA EBITDA Margin % 70% 130 100 58% 57% 55% 56% 60% 120 120 120 54% 54% 54% 54% 107 110
Slide 12: Leading Among Recent IPO Canadian Software Companies
LEADING AMONG RECENT IPO CANADIAN SOFTWARE COMPANIES Post IPO Performance 160% 87% 31% 13% - (16%) (21%) (26%) (41%) (40%) (47%) (50%) (50%) (58%) (61%) (57%) (73%) (74%) (80%) (85%) (94%) (98%) (98%) Dye & Company Company Company Company Company Company Company Company Company Company Company J Com
Slide 13: Strong Track Record of Executing and Integrating Acquisitions
ibdroot\projects\IBD-NY\driveins2022\902367_1\Presentations\05. Lender Presentation\DND Private LP - November 2022_v26.pptx STRONG TRACK RECORD OF EXECUTING AND INTEGRATING ACQUISITIONS Since our IPO in July 2020, D&D has deployed a total of ~$2.0 billion on acquisitions across Canada, UK, Ireland,
Slide 14: Capacity for Growth
CAPACITY FOR GROWTH Dye & Durham’s strong and stable revenue profile and sticky customer base mean the business is well-equipped to generate strong returns to support future growth Leverage Ratio (C$ mm) As of March 31, 2024 Total Debt Outstanding1 1,046 (-) Cash (98) Net Debt 948 Consensus FY2024E
Slide 15: Appendix
APPENDIX When being certain is everything everything Strictly private private and and confidential confidential for for discussion discussion purposes purposes only only / 1515
Slide 16: Adjusted EBITDA Reconciliation
ADJUSTED EBITDA RECONCILIATION Net Income to Adjusted EBITDA (C$ 000’s) Three months ended March 31, Twelve months ended June 30, 2024 2023 2023 2022 Income (loss) for the period $(21,063) $(35,147) $(170,643) $7,841 Amortization and depreciation $39,822 $37,147 $151,129 $132,932 Finance costs, net