HANSEN TECHNOLOGIES LIMITED — AGM Information 2014

Nov 25, 2014

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Hansen Technologies Annual General Meeting

26[th] November 2014

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Introduction David Trude – Chairman of the Board

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Revenue EBITDA & NPAT by Financial Year

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Earnings per share (from operations)

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9.2
8.7
8.2
7.2
5.7 5.7
5.3
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Hansen Enterprise value comparison

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Average monthly exchange US$ & UK £

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Shareholder groups

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Hansen shareholder participation analysis

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Dividends per share

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CEO/Managing Director’s commentary

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Hansen Overview

• Global provider of customer care and billing systems software and solutions

• 400 plus staff worldwide, with primary offices in Australia, UK, USA, NZ, China and Argentina

• Hansen provides mission critical software that sits at the centre of our customers’ operations and cash flow

• High barriers to entry: track record of success + ownership of IP

• Long term relationships with customers

• Founded in 1971, listed on ASX in 2000

• History of profitable growth and strong cash flow generation

• Grown organically and via strategic acquisitions

 Our strategic matrix provides a solid platform for growth – our business is diversified across:

• Industry verticals - Utilities (Energy & Water), Communications (PayTV & Telco)

• Products

• Geographies

Global Market Experience

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North America Europe Asia / Pacific
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Global Footprint

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Strategic Matrix – Geographies

Revenue contribution by region

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A$m
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We expect to see a more even contribution from each of the regions in FY2015

Regional Operating Structure

A regional operating structure supports our global business

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Full Year Results

Record result for Hansen, with growth over pcp positively impacted by organic growth and acquisitions (ICC, Utilisoft and Banner)

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12 mths ending Jun‐13 June‐14 % change
A$ million
O eratin Revenue 63.8 86.0 +35%
p g
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Profit before tax 12.6 19.5 +54%
Income tax expense (3.5) (4.7) +32%
Net Profit After Tax 9.1 14.8 +62%
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Earnings per share (cents) 5.7 9.2 +61%
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Half on Half Comparison

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Six months to June 2014 has shown continued growth over the half year ending December
2013, which benefited from a full six month contribution from both the ICC and Utilisoft
acquisitions 9%
11%
38%
16%
19%
46%
A$m
6%
36%
39%
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Our Core Business: Customer Care & Billing

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Strategic Matrix – Products and Industries

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While our focus is customer care & billing, we are diversified across a matrix of
products, and industries
Electricity, Gas Pay TV
and Water and Telco
Energy and Telecommunications
Energy – large retailers and
distribution companies
Energy – complex billing
and smart grid
Pay TV
Energy – market data
management
Energy and Water –
municipal market
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Strategic Matrix – Emerging Markets

• Exposure to both developed and emerging markets is another aspect to our matrix

• In particular, Hansen’s ICC product is well positioned to satisfy growth in PayTV demand

• Demonstrated by our recent announcement of a 7 year licence agreement with DirecTV Latin America for its PanAmericana division - provides satellite PayTV to over 6 million subscribers

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• Anticipate an increasing amount of organic growth will come from emerging markets, as the level of PayTV penetration increases from current low levels

Strategic Matrix – Benefits

The benefits of our Strategic Matrix include:

1. Best of breed solutions – reap the benefits of scale and scope, being able to leverage product solutions and subject matter experts from across our business to meet the needs of different market segments

2. Stable platform - the business is not overly exposed to a single customer, product, industry or region. While not immune from market forces that affect all businesses, the mission critical nature of our proprietary software, added to our diversification, does provide a level of relative stability

3. Employee engagement - enhanced career development opportunities for our staff, who are able to cross skill across technologies, industries and geographies

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Strategic acquisitions

 Hansen targets acquisitions

• in and adjacent to its core

• with a similar business model – annuity/recurring revenues

• with intellectual property

• that extend its footprint - new market segment, geography, or industry vertical

	2010 • Core business - customer care & billing • Added US Commercial & Industrial segment North America Fully integrated
	2013 • Core business - customer care & billing • New industry vertical - PayTV Global Fully integrated 2013 • Adjacent to core business • Energy market data management – cross sell Australia Fully integrated 2014 • Core business - customer care & billing • Extended footprint into Water and muni North America & Integration close to
	market segment Caribbean completion

Trading Update & Outlook

• Solid start to the year - experiencing favourable trading conditions

• Consistent with previous guidance for the fiscal year ending June 2015:

• Expect operating revenue in excess of $95m

• Target an EBITDA margin of 25-30%

 If trading conditions remain favourable an EBITDA margin towards the top of our target range is achievable in the first half of fiscal 2015

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Resolutions

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Resolution 1

Adoption of Director’s Remuneration Report:

• ‘In accordance with the requirements of the Corporations Act, adopt the Remuneration Report for the year ended 30 June 2014 as it appears in the Directors’ Report within the Annual Report 2014.’

Proxies received

• FOR

• 51,684,781 shares

• representing 95.4% of the shares voted by proxy

• AGAINST

• 1,855,168 shares

• representing 3.4 % of the shares voted by proxy

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Resolution 2

Re-election of Mr. Bruce Adams:

• ‘That Mr. Bruce Adams, a Director retiring by rotation in accordance with the Company’s Constitution and being eligible and having signified his candidature for Office, be and is hereby re-elected a Director of the Company.’

Proxies received

• FOR

• 82,418,422 shares

• representing 87.2 % of the shares voted by proxy

• Against

• 11,453,810 shares

• representing 12.1 % of the shares voted by proxy

Resolution 3

Re-election of Mr. David Osborne:

• ‘That Mr. David Osborne, a Director retiring by rotation in accordance with the Company’s Constitution and being eligible and having signified his candidature for Office, be and is hereby reelected a Director of the Company.’

Proxies received

• FOR

• 89,824,601 shares

• representing 95.4 % of the shares voted by proxy

• AGAINST

• 3,677,724 shares

• representing 3.9 % of the shares voted by proxy

Resolution 4

Election of Ms. Sarah Morgan:

• ‘

• • That Ms. Sarah Morgan, a Director appointed by the Board effective

• 1 October 2014 until this annual general meeting of the Company in accordance with the Company’s Constitution and being eligible and having signified her candidature for Office, be and is hereby elected a Director of the Company.’

Proxies received

• FOR

• 92,859,839 shares

• representing 98.3 % of the shares voted by proxy

• AGAINST

• 964,488 shares

• representing 1 % of the shares voted by proxy

Resolution 5

Conditional Spill Resolution:

• `

• • As the earlier Resolution #1 did not reach the 25% AGAINST vote

• threshold, I am pleased to advise that the condition precedent for the tabling of the Resolution # 5 has not been met and accordingly it is not required to be considered by this meeting.

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