INVESTOR PRESENTATION. November 2017

Transcription

1 INVESTOR PRESENTATION November 2017

2 Forward Looking Statement Disclaimer This presentation contains statements, including statements about future plans and expectations, which constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of Such forward looking statements are generally stated in terms of the Company s plans, expectations and intentions. These statements are based on the current beliefs, expectations and assumptions of the Company s management and the current economic environment. Forward looking statements are inherently subject to significant economic, competitive and other uncertainties and contingencies, many of which are beyond the control of management. The Company cautions that these statements are not guarantees of future performance. There are or will be important known and unknown factors and uncertainties that could cause actual results to differ materially from those expressed or implied in the forward looking statements. These factors, include, but are not limited to, risks associated with the global economic environment on the Company s customer base (particularly financial services firms) potentially impacting our business and financial condition; competition; changes in technology and market requirements; decline in demand for the Company's products; inability to timely develop and introduce new technologies, products and applications; difficulties or delays in absorbing and integrating acquired operations, products, technologies and personnel; loss of market share; an inability to maintain certain marketing and distribution arrangements; and the effect of newly enacted or modified laws, regulation or standards on the Company and its products; and other factors and uncertainties discussed in our filings with the U.S. Securities and Exchange Commission (the SEC ). You are encouraged to carefully review the section entitled Risk Factors in our latest Annual Report on Form 20-F and in our other relevant filings with the SEC for additional information regarding these and other factors and uncertainties that could affect our future performance, and undue reliance should not be placed upon these statements. The forward-looking statements contained in this presentation are made as of the date hereof, and the Company undertakes no obligation to update or revise them, except as required by law. 2

3 NASDAQ : NICE >25,000 Customers >85% Fortune 100 Customers >150 Countries ~5,900 Employees ~1,800 R&D Professionals >35 Local Offices 3

4 WHY WE KNOW HOW TO Capture structured and unstructured data across multiple sources Handle massive amounts of data Implement real-time analytics and guidance Operationalize analytics by proactively addressing issues and opportunities using predictive models based on machine learning Leverage domain expertise to transform technology to business use cases UNDERSTANDING HUMAN INTENT

5 CUSTOMER ENGAGEMENT FINANCIAL CRIME & COMPLIANCE Making people s EXPERIENCES timely & seamless Enabling B2C enterprises to deliver an effortless, consistent and personalized customer experience PROTECTING people s money & assets Protecting and securing organizations and their clients in a digital world

6 Strategic Alignment NICE and the Market 2017 Complete alignment between NICE and market opportunities CXone Open, unified cloud platform Enhance Cloud: incontact Acquisition Enhance Analytics: Nexidia Acquisition True Enterprise Software Co.: Defense business divestiture Large Portfolio: Rapid Innovation, Analytics, Cloudification, Omni Channel, AI Operational Efficiency: Realign processes, Streamline operations

7 CLOUD Omni Channel Strategic Pillars Analytics Artificial Intelligence

8 Strategic Pillars CLOUD CLOUD Analytics Omni Channel Artificial Intelligence Opportunities Assets Increasing TAM Expanding in all market segments Faster enterprise adoption Changing competitive dynamics True cloud = Multi tenant, elasticity Leading go-tomarket and ecosystem Cxone fully integrated, open cloud platform Market leadership the largest CCaaS provider NICE Actimize Essentials

9 Strategic Pillars Omni Channel CLOUD Analytics Omni Channel Artificial Intelligence Opportunities Assets Rapid growth in number of channels Moving from managing channels to managing journeys Need for intelligent decisioning CXone omnichannel platform and smart routing NICE customer journey solutions Multi channel analytics

10 Strategic Pillars Analytics CLOUD Analytics Omni Channel Artificial Intelligence Opportunities Assets Increase efficiencies Improve customer service Predict behavior NICE Analytics NICE Actimize NICE Real Time Solutions Ensure compliance Lower TCO Vertical expansion Nexidia Customer Journey Solutions Managed Analytics

11 Strategic Pillars Artificial Intelligence CLOUD Analytics Omni Channel Artificial Intelligence Opportunities Assets Need for more automation Reduce cost of compliance Self service Intelligent data steering NICE Robotic Automation ActimizeWatch Machine learning and neural networks Access to data for predictive analytics

12 CLOUD Omni Channel NICE2B Analytics Artificial Intelligence

13 NICE2B Vision for a $2 BILLION COMPANY CUSTOMER ENGAGEMENT Reinvent the customer service market NICE leading WFO incontact + leading cloud + contact center Nexidia powerful analytics Expanding in all segments Offering high-end market analytics with no limits and omni-channel solutions Providing high and mid-market full, end-to-end, integrated analytics driven suite of customer service solutions in the cloud Expanding internationally with our cloud and analytics offering

14 NICE2B The World s #1 Cloud Customer Experience Platform

15 The World s #1 Cloud Customer Experience Platform one experience one cloud one path one leader 15

16 Unified Cloud Platform OMNICHANNEL ROUTING ANALYTICS WORKFORCE OPTIMIZATION AUTOMATION & AI Connect Journeys Across Any Channel Turn Insights into Results Unlock Your Team s Potential Streamline Service Delivery Analytics-based routing with context between selfservice and agent-assisted channels Analyze every interaction in real-time to identify issues and opportunities & see trending of sentiment and topics Adaptive persona based and analytics driven approach for agent engagement and improvement Self and assistedservice bots and robotic process automation OPEN CLOUD FOUNDATION-POWERING RAPID INNOVATION Elasticity Turnkey Telephony Rapid turn-up Easy Integration Extensibility Enterprisegrade

17 ONE Experience - Unmatched Capabilities Omnichannel Routing Analytics Workforce Optimization Automation & AI Nexidia Analytics Desktop Analytics Omnichannel Recording Workforce Management Quality Central ACD IVR Outbound Dialer CRM/UCaaS Integration IVR Optimization Customer Journey Optimization Total VOC Performance Management Back Office Incentive Compensation Management Unattended / Attended Robotic Automation Real Time Authentication Open Cloud Foundation-Powering Rapid Innovation Elasticity Turnkey Telephony Rapid turn-up Easy Integration Extensibility Enterprise-grade

18 NICE2B Vision for a $2 BILLION COMPANY FINANCIAL CRIME AND COMPLIANCE ENABLING ORGANIZATIONS TO LOWER COSTS Through analytics and automation EXPANDING TO ADJACENT MARKETS Introducing our cloud offering to the mid market Anti Bribery & Corruption EXPANDING TO NEW VERTICALS Regulation is spreading to new verticals

19 Q Highlights Revenue $327 million, 36% growth year-over-year Recurring revenue accounted for 69% of total revenue Gross profit increased 34% year-over-year to $233 million Operating income increased 22% year-over-year to $78 million Operating margin 24.0% compared to 26.7% last year EPS $0.95, 14% increase year-over-year Operating cash flow of $106 million compared to $41 million last year * All numbers, except cash flow, are Non-GAAP

20 Strong Growth Q REVENUE ($M, Non-GAAP) $327 GROSS PROFIT (Non-GAAP) $233 $240 36% $174 34% OPERATING INCOME (Non-GAAP) EARNINGS PER SHARE ($, Non-GAAP) $78 $0,95 $64 22% $0,83 14%

21 Business Model Strong base of recurring revenue 69% of total revenue in Q Q Q Non-recurring revenue 49% Non-recurring revenue 31% Recurring revenue 51% Recurring revenue 69% * All numbers are non-gaap 21

22 Business Model Significant increase in cloud revenue in Q Cloud 6% Q Products 29% Cloud 30% Q Products 21% Services 65% Services 49% * All numbers are non-gaap 22

23 Analytics (% of New Bookings) 61% 60% 55% 49% 49% Q3 13 Q3 14 Q3 15 Q3 16 Q * All numbers exclude results from the Intelligence and the Physical Security divisions

24 Business Unit Breakdown (Non-GAAP, % of Revenue) Q Financial Crime and Compliance 19% Customer Engagement 81%

25 GLOBAL PRESENCE (Non-GAAP, % of Revenue) Q APAC EMEA 15% 8% Americas 77%

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