FY 2017 Revenues. February 1 st, 2018

Transcription

1 FY 2017 Revenues February 1 st, 2018

2 Disclaimer This presentation does not constitute or form part of and should not be construed as any offer for sale of or solicitation of any offer to buy any securities of ATEME, nor should it, or any part of it, form the basis of or be relied on in connection with any contract or commitment whatsoever concerning ATEME s assets, activities or shares. All statements other than historical facts included in this presentation, including without limitations, those regarding ATEME s position, business strategy, plans and objectives are forward-looking statements. The forward-looking statements included herein are for illustrative purposes only and are based on management s current views and assumptions. Such forward-looking statements involve known and unknown risks. For illustrative purposes only, such risks include but are not limited to impact of external events on customers and suppliers; the effects of competing technologies competition generally in main markets; profitability of the expansion strategy; litigation; ability to establish and maintain strategic relationships in major businesses; and the effect of future acquisitions and investments. ATEME expressly disclaims any obligation or undertaking to update or revise any projections, forecasts or estimates contained in this presentation to reflect any change in events, conditions, assumptions or circumstances on which any such statements are based, unless so required by applicable law. These materials are supplied to you solely for your information and may not be copied or distributed to any other person (whether in or outside your organization) or published, in whole or in part, for any purpose. 2

3 ATEME Factsheet Public since M in 2017 (+29%) ATEME designs software video compression solutions to enable innovative live or on demand video delivery services while preserving picture quality. 220 people in 18 countries 700 clients in 100 countries Strategic partnerships 22 Patents 3

4 Market Trends ATEME

5 Industry Shift to Software, the Revolution in Progress 10 years ago, Video Head Ends consisted in heterogeneous specialized hardware for each operation Then, VOD and multiscreen were added and managed as separate operations Today, Service Providers deploy Software Converged Video Headends (Live + VOD, Box + Multiscreen), in a virtualized environment Software Virtualized Headend Legacy VHE + VOD + Multi- Screen = Running on Private cloud Legacy Video Headend for the linear distribution to the box VOD and Multiscreen separated infrastructure Software Virtualized Video Headend running on a private cloud 5

6 Transforming Video Delivery, Reducing Distribution Costs MPEG2 (1994) H264 (2003) HEVC (2013) AV1 (2018) H266 (2020?) TITAN supports all international video compression standards Recent involvement of ATEME R&D and deployment successes include: 30% density increase without network or decoder/stb upgrade QAM reclamation enabling new services Close partnership with Reduce the required bandwidth for mainscreen & OTT HD Reduce the solution s TCO 1 st to market with a production -ready HEVC solution Deploying HEVC projects with Tier1 clients worldwide The only compression vendor part of AV1, the royalty free codec, will be supported by TITAN in 2018 ATEME s research team is working to help define the next MPEG video compression standard 6

7 Consolidation Clearing the Way for ATEME Sept 2015 Sept 2015 Dec 2015 Jan 2018 acquires acquires acquires acquires 51% of $ M (5-7x) $125M (4x) 69M (1x) US service providers running away from their competitor (Amazon Prime Video) Envivio partners are Ericsson competitors Redundant employees (Sales worldwide) Products end of life confusing clients Redundant employees (Rennes R&D) Essentially down from 7 to 4 Players Ideal Scenario for ATEME 7

8 2017 Revenues ATEME

9 2017 in Short Revenues 9 Months 32.0m +25.1% Revenues Q4 16.4m +38.3% Revenues FY m +29.3% The statements are currently being audited. 9

10 Consistent Organic Growth +30% CAGR 48.4m 37.5m m 20.6m 24.8m 28.6m m Q1 Q2 Q3 Q4 IPO The statements are currently being audited. 10

11 2017 Revenue Split by Region USA/Canada 32% of 2017 revenue EMEA 38% of 2017 revenue Latin America 17% of 2017 revenue 13% of 2017 revenue APAC 11

12 In Million EMEA : +14.1% +14.1% 16,3 16,3 18, Increasing demand for software solutions 12

13 In Million USA & Canada : +31.4% +31.4% 7,1 11,9 15, TITAN powers significant percentage of primetime America, for both OTT applications and traditional TV services 13

14 In Million LATAM : +90.4% +90.4% 8,0 2,4 4, Growth driven by strong demand for digital terrestrial distribution solutions 14

15 In Million APAC : +22.3% +22.3% 5,0 6,1 2, Revenues for Asia-Pacific increased by 22.3%, following % growth 15

16 Number of customers invoiced per year Increasing Number of Customers

17 No Dependency 17

18 Successful Strategy Since the IPO m m 12.3m m 15.0m m 20.9m 27.5m -0.9m -1.1m -2.5m 0.0m -1.6m 3.6m 0.3m TBD IPO July Revenues 135 Net Loss/Profit Phase 1: 30 hires in 6 months (opened Rennes R&D office) Phase 2: Design of TITAN 4 and reorganization of international offices Phase 3: Commercial launch Growth acceleration in H2 2016: a 2 years ROI since the IPO 50 hires in 12 months (R&D in France, Support engineers and Sales in all 4 regions) 18

19 Outlook ATEME

20 ATEME Competitive Advantages Technology leadership : TITAN offers : Video Quality, Speed / Density, 100% Home Grown Software, Flexibility TITAN supports all international video compression standards : HEVC and AV1 UHD / HEVC broadcasted events using ATEME s technology Close Strategic Partnerships Growing access to Video Infrastructure Market ; Capacity to win tier-1 customers Significant expansion in addressable market : Video Networking Market $25 billion One of the last independent player 20

21 Plan Win the Video Head End market and prepare expanding to Network Topline expected to keep growing in the 20-30% range (all regions will contribute) Gross Margin expected up (shift to software) S&M investments to win the Video Head End market and prepare expanding to Network, but will not grow as fast as the topline R&D investments to prepare expanding to Network, but will not grow as fast as the topline Targeting double digit operating profit in

22 Investors Relations Shareholder structure Number of shares: 10,284,539 Potential dilution : up to 227,244 shares Founders and management 14,9% 8,9% 11,7% Business angels VCs 19,00 17,00 15,00 13,00 11, Market data ISIN: FR Ticker: ATEME Stock price: (as of 30 January 2018) Market cap: 156 m (as of 30 January 2018) Next investor dates ELIGIBLE PEA PME Free float 64,5% 9,00 7, March 28, 2018 May 4, 2018 June 7, Year-End Results 2018 First Quarter Revenues Annual Shareholders Meeting 5, July 25, Half-Year Revenues Source : company, as of 31 Dec Liquidity contract: Gilbert Dupont 3,00 Jan-17 Apr-17 Jul-17 Oct-17 Jan-18 Stock price Volume 0 Sept. 27, 2018 Nov. 8, Half-Year Results 2018 Third Quarter Revenues 22