DMGT INVESTOR BRIEFING

Transcription

1 DMGT INVESTOR BRIEFING MATTHEW BURKLEY, CHIEF EXECUTIVE OFFICER WEDNESDAY 9 SEPTEMBER 2015

2 DISRUPTIVE CHANGES DRIVE NEED FOR INFORMATION Decentralisation of Production Changing Sources of Supply & Demand Digitisation of Commodities & Energy Regulation & Deregulation Home/Business Generation of Renewable Power Renewables replacing Carbon-based Power Generation Conventional Wisdom is being replaced by fact-based analysis Global Commitment to Reduce Greenhouse Gas Emissions Broader geographic and industry participation in Oil & Gas production Adoption of demand management and energy conservation programmes Uneven and volatile global economic growth Increasing professionalisation of management Rapid increase in new measurement drones, nano-satellites, sensors Greater environmental enforcement in the United States & China Deregulation of Power, Oil & Gas Markets (i.e. Japan & Mexico) 2015 DMGT 2

3 OPTIMISING PERFORMANCE THROUGH TRANSPARENCY Genscape s Mission: Optimising the performance of commodities & energy supply chains and markets through greater transparency Gather Measure & Analyse Create Services Distribute Proprietary Monitoring Collect Public Data Purchase Private Data Reuse Exhaust Data Normalise Aggregate Analyse Real-time Production Event Analysis Forecasts Fair Market Analysis Alerts & Reports via /twitter Genscape Portals Data Feeds Third Party Redistribution Proprietary Power Monitoring Oil Tank Measurement Analysis of Power Prices Distribution Channels 2015 DMGT 3

4 Energy Price per MWh DIFFERENTIATED AND COMPELLING VALUE Genscape s services help Commodities & Energy firms better manage volatility, make complex decisions and increase efficiency of supply chains $250 $200 $150 $100 $50 Mid Atlantic Energy Prices on April 7, 2015 Energy prices rise to over $200/MWh shortly after the trip of two units at Calvert Cliffs PREDICTIVE ANALYTICS Predictions to help anticipate where the market is moving WORKFLOW TOOLS Workflow tools are industry standard and are needed to run the business INTELLIGENCE AND REAL-TIME ALERTS Analysis and commentary that is designed to optimise customer s business decisions $0 12:00 AM 3:00 AM 6:00 AM 9:00 AM 12:00 PM 3:00 PM 6:00 PM 9:00 PM FUNDAMENTAL DATA Deliver highly differentiated information that customers cannot get anywhere else 2015 DMGT 4

5 BROAD & DIVERSE CUSTOMER BASE Power (Electricity) Oil Gas/Gas Liquids Agriculture & Biofuels Maritime Shipping Water Year Launched Producers Large Utilities, Cooperatives, Renewables Oil Majors, Regional Producers, Pipelines Operators Gas Producers, Pipeline Operators, Refiners Farmers, Fertilizer/ Ethanol/Gasoline Producers Port Operators, Line Owners, Logistics firms Injection Wells, Exploration & Production Firms Financial Traders (Banks, Trading Houses, Hedge Funds, Brokers) Government & Regulators 2015 DMGT 5

6 STRONG DIVERSIFIED REVENUE GROWTH Genscape continues to drive into new markets to both grow revenues and decrease volatility within the business. ~20% CAGR (15% Underlying) Oil 19% FY 2011 FY 2013 Marine Shipping 5% Biofuels 1% 2015 (10 Months) Marine Shipping 10% Biofuels 2% Gas <1% Revenues $37 M Power 81% Oil 27% Gas 8% $48 M Power 59% Oil 27% Gas 11% $63 M (10 Months July YTD) Power 43% 2015 DMGT 6

7 BALANCING GROWTH, SCALE AND INNOVATION Scale Businesses Emerging/ Recovering Businesses New Investments Sustainability Investments Direct Operating Profit Margins* High Medium Low NA Current Portfolio Future Strategy North American Power SpringRock Oil Invest to Support Core Create Next Gen. Strategy Maritime Gas Market Intelligence Invest to Establish Scale and Differentiation Biofuels/Ag Water Next Gen. Power Commodity Vectors Stage I: Invest & Launch Stage II: Scale or Kill Next Gen. Platform Reliability Security/Compliance Risk Management Assess Risk & Invest * Excludes Central Administration (Administration, Strategy, HR, Finance), Central Technology (Infrastructure, Architecture) 2015 DMGT 7

8 CONTINUED RUNWAY FOR GROWTH AND SCALE Genscape s Market Penetration (By Users) Genscape Customers 6% Composition of Genscape s Customers (By Users) Water <1% Oil/Pet Chem 28% Revenue Model 90%+ subscription based Annual and multi-year contracts Remaining revenues are largely volumetric (pipeline flows) <1% one-off revenues Non-Genscape Users 94% Power 49% Overall Market Size: $ Billion Biofuels/Ag 1% Maritime 9% Gas 12% Customer Dynamics Target 90%+ retention rates Regulatory change and volatility biggest drivers of demand Exiting the market or business altogether are biggest drivers of cancellations 2015 DMGT 8 Source: Genscape analysis of Marketing Database & External Market Studies

9 KEY GENSCAPE DIFFERENTIATORS Strong Intellectual Property Inter-Disciplinary Domain Expertise Trusted Customer Relationships Drive Innovation Entrepreneurial Talent 65 patents protect the key intellectual property of the business. 30% of the team members attained advanced degrees. 39% of the revenue growth from Genscape s core markets (Oil, Gas, Power & Maritime) is coming from products developed in the last 18 months. 60% of the senior leadership and P&L owners have started a company or were part of a founding team DMGT 9

10 ILLUSTRATION: PROVIDING FUNDAMENTAL DATA ACROSS THE GAS SUPPLY CHAIN How much Gas will be produced? How much Gas is already sitting in storage? How much Gas is going to this port? How much is ready for export? How much is sitting on Liquid Natural Gas Ships? How much do customers want? Supply & Production Acquisition & Storage Primary Distribution Product Storage Secondary Distribution End Customer Demand Refining and Processing Production Decisions Trading Strategies Risk Management Portfolio/Asset Optimisation Compliance 2015 DMGT 10

11 NORTH AMERICAN REAL TIME GAS MONITORING 2015 DMGT 11

12 VESSELTRACKER MONITORS IN REAL TIME ALL MAJOR VESSELS 24/7 AROUND THE GLOBE 2015 DMGT 12

13 COMMODITY VECTORS LIQUID NATURAL GAS TRACKING & PREDICTIVE ANALYSIS 2015 DMGT 13

14 GENSCAPE: DELIVERING OUR STRATEGY Strategic Goals Performance Goals Mid-Teens Growth in Core Business Drive New Growth Vectors High teens growth supported by bolt-on acquisitions New Asset Classes: Natural Gas Liquids Ethanol Fertilizer Waste Water SaaS Business Models: Pipeline Scheduling Biofuels Continue double digit organic growth with bolt-on acquisitions Maintain balance between margin & investment Predictive Analytics Continued Asset Class Expansion: Renewables (Solar) Rail Tracking International Expansion: Asia Cross-Asset Class: Foreign Exchange Equities 2015 DMGT 14

15 GENSCAPE: DELIVERING OUR STRATEGY Strategic Goals Performance Goals Continue to Scale Business to Support Growth Marketing D-Base Names: 145K 544K*(+275%) Sales People: 19 Technologists: 55 35(+84%) 84(+54%) Established two redistribution partnerships Launched rebuild of core platforms & increased operational resiliency Created signature process in recruiting & onboarding Continue to attract high talent people Maintain top-quartile employee engagement Develop relationships with key industry leaders to create thought leadership Continue to expand and personalise content marketing Continue investment in monitor & sensor development * Includes Partner databases 2015 DMGT 15

16 BOLT-ON ACQUISITIONS ACCELERATE STRATEGY POWER OIL GAS AGRICULTURE North America Europe Crude Refined Product Petro- Chemicals Natural Gas Nat. Gas Liquids Crops Biofuels Supply Forecasting Energytics Energy Fundamentals SpringRock SpringRock SpringRock Landviewer Current Production Promethean Devices Petrotranz WellAware Digital H2O Petrotranz Landviewer Acquisition & Storage Primary Distribution Energytics Energy Fundamentals Petrotranz Petrotranz Vesseltracker, Commodity Vectors, MIS 2015 DMGT 16

17 SUMMARY: SIGNIFICANT GROWTH POTENTIAL Large Addressable Market Market Size: Over $1.0-$1.5 Billion* (traders, physical producers, analysts) With less than 10% market share, there is opportunity to further penetrate our markets The overall macro environment is driving the need for additional information Building Scale & Critical Mass Differentiated, Defensible Services Maintaining Momentum We continue to invest in people, processes and systems to scale the business to support growth Our philosophy is to drive growth & innovation until differentiated and sustainable scale is achieved We continue to expand our business to create further growth vectors All services are driven by patented, proprietary business processes and technology Bolt-on acquisitions in niche areas to exploit growth opportunities/accelerate growth strategy Strong entrepreneurial culture with a unique combination of inter-disciplinary skills Long-term, trusted customer relationships Double digit revenue growth Continue to balance investment and margin expansion 2015 DMGT 17 *Source: Genscape analysis of Marketing Database & External Market Studies

18 QUESTIONS