AGM Presentation June 2018

Transcription

1 AGM Presentation June 2018

2 Forward Looking Statements This presentation contains certain forward-looking statements that are based upon current expectations, which involve risks and uncertainties associated with Posera Ltd. s business and the environment in which it operates. Any statements contained herein that are not statements of historical facts may be deemed to be forward-looking, including those identified by the expressions anticipate, believe, plan, estimate, expect, intend, and similar expressions to the extent they relate to Posera Ltd. (the Company ) or its management. The forward-looking statements are not historical facts, but reflect the Company s current expectations regarding future potential results or events. These forward-looking statements are subject to many risks and uncertainties that could cause actual results or events to differ materially from current expectations, including the matters discussed under Risks and Uncertainties in the Company s Annual Information Form filed on March 28 th, 2018 with the securities regulatory authorities and available on SEDAR. The Company assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements, unless required by law. 2

3 AGENDA Posera Corporate Overview Financial Reports Key Achievements 2017: Divestment of FingerPrints Path to Profitability Maitre D SecureTablePay (STP) Kitchen Display Systems (KDS) JV with DLT Labs 3

4 Posera Overview 30+ year history of supporting merchant business success in the hospitality industry Manage merchant transactions and facilitate all aspects of the transaction Solutions include POS system software solutions, enterprise management tools, software to enable secure transaction at the table and kitchen display monitors Three Business Divisions Full-Service Hospitality POS Pay-at-the-table Software Kitchen Display System Solutions deployed in over 30,000 merchant locations, 25 countries and 8 different languages Direct sales force bolstered by a global dealership network of resellers 4

5 Posera Financial Results (Millions) Fiscal 2016 Fiscal 2017 Revenue 1 $9.5 $10.7 Recurring Revenue 1 $2.9 $2.7 EBITDA 1 ($3.4) ($2.1) Net Operating Working Capital $1.9 $12.0 (1) Amount applies the retrospective presentation for the Fingerprints and Zomaron transactions completed in September, 2017 and April, 2016 respectively 5

6 Divestiture of FingerPrints Business Fingerprints Summary Launched in 2004 Specifically for Quick Service Restaurant industry Primarily one large customer Benefits of Transaction Slow growth and headwinds SICOM was better home for FP given reach and relationships Retired corporate debt Recapitalized the Company Specifics of the Sale Price - $12.2M Recorded gain - $10.9M Almost all FP employees transferred to SICOM Posera provided a 6 month successful transition 6

7 Path to Profitability Improved financial management and discipline Elimination of corporate debt YE $1.5M YE nil Trimmed operating expenditures Reduced facility costs by more than 55% Reduced headcount 50% Increased revenue per head by 30% $146k per head Improved cash management Working capital ratio increased from 1:1 to 3.5:1 (current assets/current liabilities) Overdue receivables reduced 17 percentage points to 33% (of AR Balance) Reduced days sales outstanding from 106 to 54 7

8 Maitre D

9 Maitre D Success in Hotel Industry Hotel expansion in Europe with a year-overyear 220% increase in hotel related revenues Installations with iconic hotels such as the Hilton Charles De Gaulle, Hilton Barcelona, Hilton Luxembourg Integration completed hotel back-office solutions allowing for further Hotel expansion worldwide 9

10 Maitre D Additional Achievements Senior Housing Market Completed integration with Common Cents who provides back-office solutions to improve retirement reporting based on customer selections Deployments completed with Leisure Care Partnership with large US Payment Processor Replaced major US payment processor s POS with Maitre D NF 525 France Market Fiscal printer, similar to SRM in Quebec Required for France in

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12 SecureTablePay in Action

13 STP Key Achievements Fiscal 2017 STP is now certified and has been piloted with the below Major Acquirers in the USA and Canada 13

14 SecureTablePay Story Initial Purchase Posera purchased the SecureTablePay business (TMC) in January 2015 Bought for US opportunity as market for STP solutions in Canada was saturated Posera Anticipated a Massive Opportunity in the US for STP Pay-at-the-table really does not exist in the US EMV mandated in the US (chip cards) Estimated ~600,000 sites will need new EMV terminals and potentially PaTT Certifications and Pilots Certifications with multiple leading US Payment Processors: Vantiv / Worldpay, Heartland, First Data and Sterling Successfully completed Pilots: Several Processors - Vantiv, FirstData and Heartland Variety of POS Systems - Aloha, Micros, Maitre D, Pixelpoint Variety of restaurant types and geographies Lots of learnings and product improvements Distribution through partner channels: Processors, POSs, Dealers, Distributors and Hardware Providers Launch of STP in the US to commence in Q3 2018

15 Old Product Innovation Product Roadmap Ingenico IWL 250 Series One device. Reliable, durable and proven. The Past. Ingenico Tetra Platform Pax A920 Verifone Engage Platform Ingenico Moby M70 Many devices. Colour. Smart. Touch Screen. and Text enabled. The Future. Clover Flex

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17 KDS Increases Kitchen Productivity COMPREHENSIVE, COST EFFECTIVE AND EFFICIENT KDS sends orders to kitchen staff instantly. Fully customizable order display screens simplify order preparation and decrease the average time it takes to complete an order Display up to 20 orders at a time 35 different screen display modes, including split and summary screens Font, size and colour can be customized Item consolidation and prioritization 3 lines of remarks can be displayed Display client and/or seat numbers for each Display average order ties on the screen Display either long or short descriptions Display the server, revenue center and mode with each other On the fly feature will transmit items to the KDS as you enter them 1 7

18 KDS Key Achievements Historically sold exclusively bundled with Maitre D Proprietary product. Home grown solution Repositioned as stand-alone offering in 2017 Repackaged and rebranded Integrated to 3 non-posera POS systems Dedicated direct sales efforts Secured 2 major accounts Streamlined supply chain 570% increase in unit sales ( units) 450% increase in revenues ( $1.6M) Developing business plan to expand business as full-standalone Separate business unit Brand, marketing, sales channels (currently only direct) Developed API to facilitate technical integration

19 Joint Venture with DLT Labs Continued product innovation & revitalization KDS, STP, etc. Determination to seek new technology & product extensions Evaluated options and partners Blockchain preferred technology New emerging technology. Robust potential Fit with industry and products DLT Labs is a global leader in the development and integration of innovative enterprise solutions using distributed ledger technology (DLT) / blockchain Canadian company; HQ in Toronto. Development offices in India. 80 people and growing quickly Distributed data management products for enterprise; e.g. DL Asset Track Supply chain on blockchain - Cobalt tracked transparently from source in Congo right through to retail DL Certify University certifications put on blockchain to provide accessibility and trust DL Wallet Digital wallet to store digital currency or points Not crypto currency 19

20 Joint Venture with DLT Labs Posera & DLT Labs announce joint venture - October 2017 Blockchain in hospitality POS and payments No separate legal entity Multiple opportunities Hospitality POS solutions on blockchain with digital wallet Blockchain and digital currency enabled payment devices Exploring in stealth Formalizing relationship - May 2018 Funding via secured convertible loan (up to $1.6M) Posera benefits from option to either JV itself or conversion into equity in DLT 20

21 Summarizing Posera 2017 Achievements Key Achievements Divestiture of the FingerPrints Path to Profitability Maitre D Additional Achievements Product Improvements Hotel Expansion Senior Housing Market Processors Partnerships NF 525 France SecureTablePay Certifications and Pilots Kitchen Display Systems Decoupling from Maitre D Rolling-out to Large US Customer JV with DLT Financial Improvement (Millions) Fiscal 2016 Fiscal 2017 Revenue 1 $9.5 $10.7 Recurring Revenue 1 $2.9 $2.7 EBITDA 1 ($3.4) ($2.1) Net Operating Working Capital $1.9 $12.0 (Millions) Q Q Revenue 1 $2.1 $2.7 Recurring Revenue 1 $0.6 $0.7 EBITDA 1 ($1.1) ($0.7) Net Operating Working Capital $2.7 $11.4 (1) Amount applies the retrospective presentation for the Fingerprints and Zomaron transactions completed in September, 2017 and April, 2016 respectively 21

22 For further information please contact: Dan Poirier CEO Kevin Mills CFO posera.com 22