GEO LIMITED Financial Results
Six Months Ended
31 December 2021
IMPORTANT NOTICE
This document is provided by GEO Limited ("GEO") for general information purposes only. It constitutes neither investment advice nor an offer or recommendation of securities in GEO and should be read in conjunction with GEO's Preliminary Results Announcement for the year ended 31 December 2021 and other recent market releases.
This document presents a summary only and does not purport to be complete, or independently verified. While all reasonable care has been taken in compiling it, GEO accepts no responsibility for any errors or omissions.
In addition to historical information, this document may contain forward-looking statements. Any such statements are based upon current expectations and involve both known and unknown risks and uncertainties. Actual results may differ materially and there can be no assurance that any results contemplated will be realised.
GEO LIMITED FY22 HALF YEAR INVESTOR PRESENTATION
GLOSSARY
- ARR: Annualised Recurring Revenues
- MRR: Monthly Recurring Revenues
- LTV / CAC: Lifetime Value of Customer vs Customer Acquisition Cost
- EBITDA: Earnings Before Interest, Tax, Depreciation & Amortisation
- PCP: Prior Corresponding Period (i.e. six months ended 31 December 2020)
Executive Summary
Financial Results | • | Strong new sales growth offset by churn from lockdowns, delivering flat subscription revenues |
Sales | • | Record quarterly new customer sales continued (up 98% on PCP, 24% on preceding half) |
Retention | • | Q1 COVID lockdowns drove a short spike in MRR churn, reverting to historical levels in Q2 |
ANZ Market | • | Sales conversion rates materially exceeded internal targets |
UK Market Entry | • | Head of Sales relocating to London in March 2022 to build local presence |
Product/Engineering | • | Significant investment in Product/Engineering will accelerate platform strategy |
Capital | • | $7.0m capital raise will fund growth and expanded platform offering through CY23 |
GEO LIMITED FY22 HALF YEAR INVESTOR PRESENTATION
Key Operational Updates
ANZ Market | UK Market | Product & Development |
• Record quarters of new customer growth with | • Market opportunity estimated at 3-4x ANZ | • Accelerating platform development to deliver |
lead conversion rates exceeding budget | • Andrew Young relocating to UK in March 2022 | richer feature sets, enhance lead conversion |
• Robust sales approach established by Head of | and increase retention | |
• Building a UK team to accelerate UK growth | ||
Sales Andrew Young working well | • Significant Product/Engineering team hiring | |
• Sam Madden promoted to ANZ Sales Manager | • Marketing spend to increase as UK conversion | programme underway |
• Marketing spend to accelerate as ANZ | metrics improve | |
transitions beyond COVID restrictions |
GEO LIMITED FY22 HALF YEAR INVESTOR PRESENTATION
Financial Result Overview
Record new customer quarters offset by lockdown churn spike
- Subscription revenues for the continuing Geo product remained stable at $1.5m:
- Record new customer quarters delivered (continuing established trend)
- Short spike in ARR churn due to COVID lockdowns in Q1.
- Total revenues down by 21.0% to $1.7m due to recognition in PCP of one-off COVID subsidies and the divestment of the Geo for Sales business.
- EBITDA loss from operations increased from $(0.3)m to
$(0.7)m due to increases in staffing and reinstatement of customer acquisition / marketing spend. - Operating and investing cash outflows increased to $(1.3)m from $(0.2)m
SIX MONTHS ENDED 31 DECEMBER | 2021 | 2020 | Mvmt | Mvmt |
$'000 | $'000 | $'000 | % | |
Recurring revenues (subscriptions) | 1,543 | 1,606 | (63) | -3.9% |
Other income (incl. grants) | 143 | 526 | (383) | -72.8% |
Total revenues | 1,688 | 2,137 | (449) | -21.0% |
Less: discontinued operations | - | (254) | 254 | +100.0% |
Total revenues (excl. discontinued operations) | 1,688 | 1,883 | (195) | -10.4% |
Geo ARR (at 31 December 2021) | 3,134 | 3,019 | 115 | +3.8% |
Earnings | ||||
Statutory net loss after tax | (1,544) | (604) | (940) | -155.6% |
Operating EBITDA | (678) | (325) | (352) | -108.2% |
EBITDA | (980) | (107) | (873) | -812.0% |
Operational cash flows | ||||
Operating cash flows | (730) | 142 | (872) | -614.2% |
Investing cash flows | (578) | (382) | (196) | -51.4% |
Operating & investing cash flows | (1,308) | (240) | (1,068) | -445.5% |
Note: All figures are in NZD unless otherwise indicated
GEO LIMITED FY22 HALF YEAR INVESTOR PRESENTATION
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Geo Ltd. published this content on 27 February 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 March 2022 08:59:08 UTC.
