May 2023

Agenda

  • 2022 Overview
  • Financial & Operational Review
  • Post period end update & Outlook
  • Questions

Donald McGarva

Group Chief Executive Officer

Mark Carlisle

Group Chief Financial Officer

Software-led progress against KPIs - ARR up 23%

Total revenue

Software &

Exit run rate annual

services revenue

recurring revenue (ARR)

$91.1m

$24.1m*

$18.7m*

(2%)

FY 21: $92.9m

+8% FY 21: $22.4m

+23% FY 21: $15.2m

% of software & services revenue

Adjusted EBITDA

Adjusted operating cash flow

recurring

67%

$14.6m

$8.9m

+9bps

FY 21: 58%

(21%) FY20: $18.4m

(46%) FY 21: $16.7m

*negatively impacted by €/$ FX rate

3

Income statement summary

$m

FY22

FY21

Var

Revenue

91.1

92.9

(1.8)

Cost of sales

(49.1)

(48.0)

(1.1)

Gross profit

42.0

44.9

(2.9)

Margin %

46%

48%

-2%

Operating costs

(27.4)

(26.5)

(0.9)

Adjusted EBITDA

14.6

18.4

(3.8)

Margin %

16%

20%

-4%

Depreciation and amortisation

(7.1)

(6.6)

(0.5)

Adjusted operating profit

7.5

11.8

(4.2)

Margin %

8%

13%

-2%

Impairment of goodwill

(12.5)

0.0

(12.5)

Exceptional items

(6.7)

(1.5)

(5.2)

Share-based payments

(0.4)

(1.1)

0.7

Amortisation of acquired intangibles

(4.6)

(4.0)

(0.6)

Net interest

(0.3)

(0.4)

0.1

Profit before tax

(16.9)

4.8

(21.7)

Tax

(0.5)

0.6

(1.1)

Profit after tax

(17.4)

5.4

(22.8)

  • Device revenues decreased by $3.4m year-on-year and as a result total revenue decreased by 2% to $91.1m
  • Gross margin down 2% due to decrease in higher margin device revenues.
  • Adjusted EBITDA down $3.8m mainly driven by device revenues reduction
  • Amortisation of acquired intangibles up $0.6m due to Nordija acquisition.
  • The tax charge of $0.5m (2021: $0. 6m credit) comprises $2.0m (2021:
    $2.8m) current tax charge, offset by $0.8m release (2021: $0.1m) of
    uncertain tax provision, and $0.7m (2021: $3.4m) net deferred tax recognised.
  • The Group has carried out an impairment review of the Amino software and devices CGU and recognized $12.5m impairment loss on goodwill in the year.
  • Total dividend for the year: GBP 0.01 per share, already paid as interim dividend

4

Cashflow bridge

  • Good operating cash flow generation despite significant investment in inventory to mitigate global supply chain disruption during the period.
  • Adjusted cashflow from operating activities before tax was $8.9m (2021: $16.7m) representing an adjusted EBITDA cash conversion of 61% (2021:91%)

5

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Aferian plc published this content on 17 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 19 May 2023 07:19:10 UTC.