Ebiquity Plc · LSE:EBQ
Ebiquity — H1 2008 Earnings Presentation
35 slides from Ebiquity's earnings presentation, October 2008
Slide 1: Interim Presentation
Interim Presentation Six Months to October 2008 an Ebiquity company
Slide 2: Welcome to Ebiquity!
Welcome to Ebiquity! A company newly positioned to meet the needs of a new age Our strategic goals have been met: 1. A new name signals our commitment to data analytics 2. A new on-line interface that brings our technology tools and services together into one powerful program 3. An upgraded advertis
Slide 3: A view from the Boardroom
A view from the Boardroom The CEO perspective “Marketing, once seen as an expensive luxury, must now become a hygiene factor for my organisation The Marketing Director waxes lyrical about the intangible asset of the brand…but we all have to clearly demonstrate what that investment produces in terms
Slide 4: Looking into the future
Looking into the future A view from the agencies "Clients won't move in the future unless they get quantitative justification for what they do. We may not like it - creative departments of ad agencies certainly don't - but that's the way the world's going." Martin Sorrell 4
Slide 5: Perfectly positioned to help companies address the challenges of the new communications landscape
Perfectly positioned to help companies address the challenges of the new communications landscape 5
Slide 6: Challenge 1
Challenge 1 ...a very different recession with a mountain of debt 6
Slide 7: Challenge 2
Challenge 2 Dynamic and complex media landscape Consumers and their journeys have become more complex and less stereotyped Marketing and media planning has been slow to change 7
Slide 8: Challenge 3
Challenge 3 Multi dimensional environment calls for sophisticated analytics MEDIA DIGITAL CREATIVE CREATIVE DIGITAL PR CLIENT MEDIA EVENTS SPONSORSHIP CRM/e-CRM The common currency is data Consolidated data analytics crucial to delivering inter-related insights and effective ROI 8
Slide 9: Challenge 4
Challenge 4 How can I deliver more for less? ROI just became a lot tougher Ensuring that every last penny is maximised is a pre-requisite 9
Slide 10: Complex data sources drive key decisions
Complex data sources drive key decisions Change sub heading - via *View* / HEADER & FOOTER Product Price Promotion NPD TV Range Radio Distribution Press Quality SALES Outdoor Competitor Online Economic Sponsorship -ve/+ve PR Marketing Consumer Weather trend Seasonality External 10
Slide 11: Calls for a new approach to communication planning
Calls for a new approach to communication planning Change sub heading - via *View* / HEADER & FOOTER Data landscaping Promotional Strategy Econometrics Media Audit Effectiveness Planning Additional services Execute Learn Learn ‘Pre-flight’ check Media Testing 11
Slide 12: Data landscaping
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Slide 13: Online tools
Online tools Proprietory tools to support better decision making 13
Slide 14: Online tools
Online tools Billetts Media Monitoring LOWER QUALITY NORM HIGHER QUALITY Track your own - and competitors’ - activity in real-time 14
Slide 15: Dashboard delivery
Dashboard delivery Desktop access to international results all in one place 15
Slide 16: A unique ability to meet a growing demand
A unique ability to meet a growing demand People, process, data, knowledge, results • People & Experience – 200 media professionals operate across an international network, with our senior team offering an average of 20 years experience in each market. • Processes – uniquely developed audit process
Slide 17: The story so far…..
The story so far….. an Ebiquity company
Slide 18: What we do
What we do Two complementary divisions •Media Auditing and Optimisation Analytics Division •Marketing Effectiveness •Ad Monitoring Platform Division •News Monitoring •Publisher Services 18
Slide 19: A story of two parts
A story of two parts ...but weak economy has a silver lining! Strong growth in a market Analytics Division in which ROI and value are ‘mission critical’ Weaker sales from those companies for whom Ad Monitoring is not Platform Division ‘mission critical’. Newslive is work in progress but early signs
Slide 20: Analytics Division
Analytics Division Strong growth with limited competition • Billetts ‘Marketing Investment Management’ provides ‘best practice’ approach to media and marketing investment • Billetts name - strongest sector specialist • Largest media data base with proprietary analytics • Continuing significant growt
Slide 21: Platform Division
Platform Division Advertising Monitoring less strong as economy bites • Successful launch of ‘vertical strategy’ • Few premium pricing opportunities • Renewal rates under pressure as companies for whom Ad Monitoring is not mission critical suspend service • Growth drivers – multi-geography monitorin
Slide 22: Platform Division
Platform Division Newslive - work in progress but good start • Weak economy means reputation monitoring increasingly mission critical • But more price competitive than before • Successful launch of ‘best in class’ platform - September • Trials phase successfully completed • Loss making in 2008/9 • F
Slide 23: Financials: Financial Summary
Financials Six months to October 2008 Financial Summary 23
Slide 24: Revenue
Revenue Change sub heading - via *View* / HEADER & FOOTER Oct 08 Oct 07 YOY Apr 08 All numbers in £’000s 6m 6m % 12m Analytics 5,717 5,467 5% 11,310 Platform 2,875 2,935 (2%) 5,910 Total 8,592 8,402 2% 17,220 24
Slide 25: Gross Margin
Gross Margin Change sub heading - via *View* / HEADER & FOOTER Oct 08 Oct 07 YOY Apr 08 6m 6m % 12m Gross profit Analytics 2,892 2,646 9% 5,541 Platform 1,520 1,738 (13%) 3,418 Total 4,412 4,384 1% 8,959 Gross margin Analytics 51% 48% 6% 49% Platform 53% 59% (10%) 58% Total 51% 52% (2%) 52% 25
Slide 26: Underlying Operating Profit
Underlying Operating Profit Change sub heading - via *View* / HEADER & FOOTER Oct 08 Oct 07 YOY Apr 08 6m 6m % 12m Analytics 1,204 836 44% 1,857 Platform (228) 295 (177%) 419 Central (55) (69) (20%) (259) Underlying operating profit 921 1,063 (13%) 2,017 Highlighted items - non cash (333) (1,690) 83
Slide 27: Profit Before Tax & EPS
Profit Before Tax & EPS Change sub heading - via *View* / HEADER & FOOTER Oct 08 Oct 07 YOY Apr 08 6m 6m % 12m Underlying operating profit 921 1063 (13%) 2,017 Highlighted items (494) (2,153) (77%) (3,140) Reported operating profit 427 (1,090) 139% (1,123) Net finance costs (131) (127) (3%) (250) Pr
Slide 28: Net Debt
Net Debt Change sub heading - via *View* / HEADER & FOOTER Oct 08 Oct 07 Apr 08 Cash 1,277 1,286 1,687 Gross debt 4,000 4,038 3,751 Net debt 2,723 2,752 2,064 Unutilised cash facility 1,000 4,100 4,100 28
Slide 29: Outlook
Outlook A unique offering in a growing market • Media and Marketing analytics key driver of growth • International growth likely to continue to accelerate with strong pipeline • Advertising Monitoring likely to continue to show some weakness • Growing impact of Newslive as revenues begin to scale al
Slide 30: The Future Looks Bright
The Future Looks Bright • We help our clients to save money, make them more efficient and help them to make better informed decisions • Our services are even more valid during economic uncertainty • We see big international opportunities with limited credible competition • We are at the beginning of
Slide 31: The Registry, Royal Mint Court, London
The Registry Royal Mint Court London EC3N 4QN Tel. +44 (0) 20 7650 9600 Fax. +44 (0) 20 7650 9650 www.ebiquity.com an Ebiquity company
Slide 32: Financial Appendices
Financial Appendices an Ebiquity company
Slide 33: Highlighted items
Highlighted items Oct 08 Oct 07 Apr 08 6m 6m 12m Recurring Share based expenses 152 45 99 Amortisation of purchased intangibles 181 188 369 333 233 468 Non recurring Write down of development asset - 1,457 1,457 Property costs - 246 458 Management restructuring 161 127 521 Other - 90 236 161 1,920 2
Slide 34: Balance sheet
Balance sheet Oct 08 Oct 07 Apr 08 Non current assets 13,841 13,284 13,606 Current assets Trade debtors 3,194 3,496 3,052 Accrued income 2,083 1,698 1,904 Cash 1,277 1,286 1,687 Other 853 466 797 7,407 6,946 7,440 Current liabilities Loans 2,400 2,038 1,951 Deferred income 2,927 2,562 2,830 Other 4,
Slide 35: Cashflow
Cashflow Oct 08 Oct 07 6m 6m Cash generated from operations 376 430 Finance expense (147) (164) Income taxes paid (118) 167 Net cash from operating activities 111 433 Investing activities Purchase of PPE (341) (140) Capitalised development costs (454) (211) Finance income 16 30 (779) (321) Financing