CPT GLOBAL LIMITED — AGM Information 2012

Nov 18, 2012

Independent Experience

==> picture [780 x 150] intentionally omitted <==

CPT Global Limited Annual General Meeting November 19, 2012

Item 1

==> picture [231 x 56] intentionally omitted <==

• CPT Global Chairman’s Address

Slide 2

Independent Experience

==> picture [780 x 150] intentionally omitted <==

CPT Global Limited Annual General Meeting November 19, 2012

Contents

==> picture [231 x 56] intentionally omitted <==

• CPT Background

• 2012 – Gearing Up Despite the Delays

• Financials

• 2012 in Review

• Growth Strategy

• Outlook

Slide 4

CPT Global Background

==> picture [231 x 56] intentionally omitted <==

• Founded in Australia in 1993. ASX listed in 2000 – ASX:CGO

• Operations throughout Asia Pacific, Europe and the Americas, with approximately 200 consultants world wide

• Technical Consultants reducing client costs through performance tuning, capacity management and testing in Mainframe, Midrange IT environments

• Management Consultants offering expert guidance on process improvement, IT governance, contract reviews and sourcing strategies

• Private & public sector client base (private sector clients being Fortune 500 / blue chip)

• Winner of 2012 Governor of Victoria Export Award for I.T (previously won in 2011 & 2007)

Slide 5

Services Provided

==> picture [231 x 56] intentionally omitted <==

CPT Global provides a range of highly tailored services based on a proven methodology, provided as single service or integrated solutions

Project & Program Management

Testing Services Database Services

Asset Management Data centre Cost Reduction Solution Design and Architecture

IT Management

==> picture [113 x 99] intentionally omitted <==

Technical Consulting

Cloud Computing Transition IT Operational Governance Storage Services

Capacity Planning Infrastructure Services

Performance tuning & benchmarking

Slide 6

CPT Global Operations

==> picture [231 x 56] intentionally omitted <==

• Australia / Asia – 60+ clients

• Melbourne

• Sydney

• Canberra

• Europe – 15+ clients

• London

• Paris

• Munich

• Americas – 15+ clients

• New York

• Washington, DC

• Toronto

• Sao Paulo

Slide 7

==> picture [231 x 56] intentionally omitted <==

Countries CPT Global Has Worked In

==> picture [66 x 44] intentionally omitted <==

==> picture [66 x 44] intentionally omitted <==

==> picture [66 x 44] intentionally omitted <==

Netherlands USA Norway

==> picture [66 x 40] intentionally omitted <==

Australia

==> picture [67 x 40] intentionally omitted <==

South Africa

==> picture [66 x 37] intentionally omitted <==

New Zealand

==> picture [66 x 39] intentionally omitted <==

Denmark

==> picture [66 x 46] intentionally omitted <==

Germany

==> picture [66 x 42] intentionally omitted <==

France

==> picture [66 x 44] intentionally omitted <==

Chile

==> picture [66 x 44] intentionally omitted <==

China

==> picture [67 x 33] intentionally omitted <==

Ireland

==> picture [66 x 44] intentionally omitted <==

Brazil

==> picture [66 x 40] intentionally omitted <==

Switzerland

==> picture [67 x 39] intentionally omitted <==

==> picture [66 x 39] intentionally omitted <==

UK Scotland

==> picture [66 x 44] intentionally omitted <==

Spain

==> picture [66 x 45] intentionally omitted <==

South Korea

==> picture [66 x 37] intentionally omitted <==

Burma

==> picture [66 x 45] intentionally omitted <==

Austria

==> picture [66 x 41] intentionally omitted <==

Malaysia

==> picture [66 x 40] intentionally omitted <==

Belgium

==> picture [66 x 37] intentionally omitted <==

Canada

==> picture [66 x 45] intentionally omitted <==

Singapore

==> picture [66 x 39] intentionally omitted <==

Portugal

==> picture [66 x 45] intentionally omitted <==

Finland

==> picture [75 x 49] intentionally omitted <==

Slovakia

==> picture [66 x 40] intentionally omitted <==

Sweden

==> picture [66 x 40] intentionally omitted <==

Luxembourg

==> picture [58 x 35] intentionally omitted <==

Poland

==> picture [66 x 45] intentionally omitted <==

Hong Kong

==> picture [66 x 45] intentionally omitted <==

Italy

==> picture [66 x 45] intentionally omitted <==

Taiwan

==> picture [66 x 42] intentionally omitted <==

India

Slide 8

CPT Service Offerings

==> picture [231 x 56] intentionally omitted <==

Value Proposition

• IT cost optimisation

Services

• Capacity : Cost minimisation via IT capacity optimisation

• Performance : Reduced IT running costs and maximisation of infrastructure lifetime

• • Testing : Ensure systems perform to expectations and targeted benchmarks

• Mgt of IT : IT cost optimisation while ensuring alignment of IT to business strategy

Service Model

• Australia: Placement of independent and expert services for large programs and operations management on the basis of a daily or solution rate

• International: Three phase cost reduction approach

• Phase 1 – Exploration of IT environment & assessment of potential savings, performed on a T&M or fixed price basis (approx $100k – $150k revenue)

• Phase 2 – Recommendation and implementation of efficiency improvements, with a fee charged based on percentage of client savings (approx $1m - $3m revenue)

• Phase 3 – Ongoing support ensuring efficiencies are maintained, performed on a time & materials basis (approx $0.5m – $2m revenue per annum)

Slide 9

==> picture [231 x 56] intentionally omitted <==

– 2012 Gearing up Despite the Delays

• Increased revenue in all regions and maintained profitability despite economic challenges • Australian Government spending cuts

• European financial crisis, which resulted in contract delays

• Expanded the number of tier one clients in the Australian market

• Increased CPT’s footprint in Sydney

• Grew the opportunity pipeline to approximately $50m

• Commencement of five Phase 2 success fee engagements

• Targeted expansion to Asia and South America with local partners

• Enhanced Australian “ Centres of Excellence” in Capacity Planning and Performance Tuning to support the provision of local services overseas via remote services on a scalable basis

• Enhancement of Midrange cost minimisation services to complement our established Mainframe offering enabling significant cross sell opportunities from existing client sites

Slide 10

Financial Summary

==> picture [231 x 56] intentionally omitted <==

$ millions	FY 12	FY 11
Revenue	$39.5	$38.1
EBITDA	$0.6	$1.7
NPAT	$0.6	$1.1
EPS	1.7¢	2.9¢
Full Dividend (fully franked)	1.5 ¢	2.5¢
Final Dividend (fully franked)	.0 ¢	1.0¢
Total Shares	36.7m	36.7m

Slide 11

==> picture [231 x 56] intentionally omitted <==

– Financial Performance Dividends per Share

==> picture [708 x 317] intentionally omitted <==

----- Start of picture text -----

9
8 7.7 Consistent payment of
more than 85% of NPAT
7
by way of fully franked
6.0
5.5
6 dividend
5.0
5
4
3
2.5
2
1.5
1
0.0
0
2006 2007 2008 2009 2010 2011 2012
Cents
----- End of picture text -----

Slide 12

- Financial Performance Revenue

==> picture [231 x 56] intentionally omitted <==

==> picture [625 x 313] intentionally omitted <==

----- Start of picture text -----

50.0
45.0
40.0
35.0
30.0
25.0
44.5 43.9
41.4
20.0 39.5
37.7 38.1
15.0 31.1
10.0
5.0
0.0
2006 2007 2008 2009 2010 2011 2012
$million
----- End of picture text -----

Slide 13

==> picture [231 x 56] intentionally omitted <==

– Financial Performance Net Profit after Tax

==> picture [667 x 277] intentionally omitted <==

----- Start of picture text -----

4.0
3.0 -
The 2010 result
-
2.0
3.0 comprised a $0.7m
1.0 2.1 2.2
1.7 operating loss and a
1.1
0.6
$2.4m goodwill
0.0
-0.7
impairment charge
-1.0
-2.0 -2.4
-3.0
-4.0
2006 2007 2008 2009 2010 2011 2012
$million
----- End of picture text -----

Slide 14

Balance Sheet

==> picture [231 x 56] intentionally omitted <==

$ millions	FY 12	FY 11
Current Assets	$12.7	$11.4
Total Assets	$21.0	$19.4
Current Liabilities	$7.8	$5.7
Total Liabilities	$8.1	$6.1
Net Assets	$12.9	$13.3
Net Tangible Assets	$5.6	$6.0
Total Shares on Issue	36.7	36.7

Slide 15

IT Market & CPT Business Mix

==> picture [231 x 56] intentionally omitted <==

Global IT Spend

• Australian IT is <2% of global IT

• North America & Europe spend is > 60 % of global IT and is home to the largest companies which have “Super Data Centres”

CPT Business Mix

• Australia

• Stable business, servicing approx 60 blue chip clients

• Revenue of $27.3m p.a. at reasonable margins

• Revenue predominantly time & materials or fixed price driven by headcount / solution

• International

• Growing business, servicing approx 35 Fortune 500 clients, mainly phase 1 with a growing phase 2 pipeline, providing higher margins driven by CPT’s value based solutions

• Revenue of $12.2m p.a. at higher margins than the Australian business

• Revenue predominantly success fee based, driven by client savings and then annuity

• The larger the client, the larger the revenue for a similar level of CPT effort (US banks can be 20 times larger than Australian banks in processing power)

• Achievement of 19% of mainframe savings in Phase 2.

• Highly scalable and can be serviced remotely from Australia

Slide 16

Revenue by Line of Business

==> picture [231 x 56] intentionally omitted <==

FY 12 has seen a shift in CPT’s revenue base from project and program management and capacity management to testing and performance tuning services.

==> picture [535 x 268] intentionally omitted <==

----- Start of picture text -----

Capacity Management
Technical Support Services 9%
17%
12%
Sourcing 17%
0%
Project & Program
7% 3%
Management
28% Mainframe & Distributed
9%
27% Performance Tuning
7%
MIT General
7%
25%
32%
Management, Functional &
Automation Testing
----- End of picture text -----

Slide 17

Revenue by Sector

==> picture [231 x 56] intentionally omitted <==

FY 12 has seen a continued shift away from the telecommunications sector to the banking and finance sector. This is not only reflected in CPT’s revenue but also in CPT’s opportunity pipeline.

==> picture [529 x 293] intentionally omitted <==

----- Start of picture text -----

Transport
Telecommunications
1%
14%
Retail 1%
18%
8%
Other 2%
3%
57% Banking & Finance
13%
19%
64%
Government
----- End of picture text -----

Slide 18

Revenue by Region

==> picture [231 x 56] intentionally omitted <==

The international business continues to contribute approximately 30% of CPT’s global revenues. Delays in client commitments due predominantly to the Eurozone financial crisis has delayed the growth of international revenues. Notwithstanding this, the international business is expected to grow at a far greater rate than the Australian business over the next few years.

==> picture [386 x 237] intentionally omitted <==

----- Start of picture text -----

North America
15%
15%
Australia
Europe
15% 16%
70%
69%
----- End of picture text -----

Slide 19

- 2012 in Review Australia

==> picture [231 x 56] intentionally omitted <==

Key Challenges

• Significant reduction in Federal Government spend

• NSW market expansion

• Account margins under tight pressure due to market conditions

Key Successes

• Revenue growth in Melbourne and Sydney of 7% and 55% respectively

• Increased the number of Tier 1 clients from 8 to 10

• Increased backlog (contracted revenue) brought in to FY13 from 4.6m to 9.4m

• Enhancement of service solutions

• Winner of the 2012 Victorian Export Awards

Slide 20

- 2012 in Review International

==> picture [231 x 56] intentionally omitted <==

Key Challenges

• Strong Australian dollar

• Eurozone financial crisis

• Transitioning engagements converting clients from Phase 1 projects to the lucrative Phase 2 success fee engagements and then annuity accounts

Key Successes

• Value proposition continues to gain overseas market recognition

• Commencement of 5 large performance optimisation contracts (in Phase 2)

• Renewal of 2 long term contracts with CPT’s largest international clients

• Expansion to Singapore, China and Brazil

• CPT was a participant in the Victorian Government China Trade Mission

• Maintenance of a strong opportunity pipeline

Slide 21

CPT Growth Strategy

==> picture [231 x 56] intentionally omitted <==

Australia

• Continue steady growth based on growing strategic client relationships

• Continue growing the Sydney operation through appointment of highly credentialed executives, focusing on blue chip companies and previous CPT clients

• Continued enhancement of service offering to achieve more solution and service partnership based assignments

International

• Cultivation of the opportunity pipeline to underpin >50% revenue growth in 2-3 years

• Margin improvement via increased scalability and growth of success fee based engagements

• Growth in Asia and South America

• Increased annuity based engagements

Slide 22

Key Opportunities in 2012 / 13

==> picture [231 x 56] intentionally omitted <==

Australia

• Continued expansion of footprint in Financial Services sector

• Increase the level of service partnership based relationships with our major clients

• Expansion of CPT’s service offerings through enhanced capabilities

• Greater presence in NSW market

• Opportunities in the telecommunication sector

International

• Five phase 2 opportunities (4 in Europe and 1 in the USA) with a total value of approximately 9.0m expecting closure in November / December and commencement in January / February 2013. Expected revenue impact in FY13 of approximately 4m

• Commencement of additional optimisation engagements from CPT’s opportunity pipeline

• • Asian and South American opportunities

• Increased scalability in the provision of remote services from CPT’s capacity planning and performance tuning centre of excellence

Slide 23

Outlook

==> picture [231 x 56] intentionally omitted <==

Australia

• Steady growth in Melbourne and Sydney

• Hold on to existing market share in Canberra

• Continued margin pressure as the market remains tight

International

• Aggressive growth over next 2 – 3 years based on proven value proposition and very strong opportunity pipeline

• Retention of high margins through increased scalability and success fee engagements

• Enhancement of annuity revenue stream

• Significant growth in Asia and South America

Risks

• Delays on client decisions and commencement of significant engagements

• AUD: Further strengthening will continue international revenue erosion

Slide 24

Outlook

==> picture [231 x 56] intentionally omitted <==

FY 13 is shaping up as a year of two contrasting halves

First Half

• Expecting a loss in the first half as:

• Costs are incurred on overseas engagements which are yet to be signed

• Business expansion expenses are incurred in Asia and South America

Second Half

• Potential revenue growth of up to 20% on the first half, due to the commencement of new international projects

• Expected significant profit growth to more than offset the first half negative performance

Risks

• Further ongoing delays in signing client engagements

Slide 25

Independent Experience

==> picture [780 x 150] intentionally omitted <==

CPT Global Limited Annual General Meeting November 19, 2012

Item 2

==> picture [231 x 56] intentionally omitted <==

• Receive and consider the financial statements and reports of the economic entity for the year ended 30 June 2012, together with the reports of the directors and auditor.

Slide 27

Item 3

==> picture [231 x 56] intentionally omitted <==

• That the Remuneration Report for the year ended 30 June 2012 (as set out in the Director’s Report, pages 17 – 20) be adopted.

Proxies Received

• For: 4,604,021 (88.8%)

• • Against: 462,100 ( 8.9%)

• • Open Usable: 57,500 ( 1.1%)

• • Open Conditional: 60,724 ( 1.2%)

• • Abstain: 10,000 N/A

• • Excluded: 15,495,978 N/A

Slide 28

Item 4

==> picture [231 x 56] intentionally omitted <==

• That Mr. Fred Grimwade be re-appointed as a non executive director of CPT Global Limited.

Proxies Received

• For: 19,436,266 (94.0%)

• • Against: 130,400 ( 0.6%)

• • Open Votes: 1,112,657 ( 5.4%)

• • Abstain: 11,000 N/A

Slide 29

Independent Experience

==> picture [780 x 150] intentionally omitted <==

CPT Global Limited Annual General Meeting November 19, 2012