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JCURVE SOLUTIONS LTD — AGM Information 2009
Nov 10, 2009
65158_rns_2009-11-10_9d2795d8-ed8b-4e70-983a-b95c14ce5589.pdf
AGM Information
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Stratatel Limited ABN 63 088 257 729
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Level 4 22 Atchison Street St Leonards NSW 2065
[T] +61 2 9467 9200 [F] +61 2 9467 9201 [W] stratatel.com.au
11 November 2009
Manager of Company Announcements ASX Limited Level 6, 20 Bridge Street SYDNEY NSW 2000
By E-Lodgement
PRESENTATION TO SHAREHOLDERS
Please find attached the presentation to be provided by Mr Mike Fairclough at the Company’s Annual General Meeting on 12 November 2009.
Yours faithfully
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Emma McCormack
Company Secretary
Stratatel – Going for Growth
2009 Annual General Meeting
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Mike Fairclough
Highlights
- Strong revenue growth 2008/2009
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Strong earnings (EBITDA) growth in 2008/2009
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• Continued dividends to shareholders
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Release of softlog.mobile™; initial trials
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Release of CostManager solution for print management
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Launched “New Leader” program to empower talented/committed staff
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Highlights Continue
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Stratatel Resource profitable and operating cash flow positive
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Achieved IBM Premier Business Partner status
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Optus MobileFleet sales pipeline re-energised
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Recent new sales
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Good pipeline
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Rights Issues successfully completed
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Financials to 30 June 2009
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Consolidated Revenue Growth 2006-2009
$9,000,000
$8,000,000
$7,000,000
$6,000,000
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
2006 2007 2008 2009
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Financials to 30 June 2009
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Consolidated EBIT/EBITDA Growth 2006-2009
$2,000,000
$1,500,000
$1,000,000
$500,000
$0
2006 2007 2008 2009
-$500,000
-$1,000,000
EBIT EBITDA
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Financials to 30 June 2009
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EBITDA per Share Growth 2006-2009
1.50
1.00
0.50
0.00
2006 2007 2008 2009
-0.50
-1.00
cents per share
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Stratatel Operations Today
QUICK FACTS
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2 operating divisions
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~ $6m of annuity revenue as at 1/11/09
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~ 67 staff
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4 Australian offices
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2 International representative offices
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Stratatel Operations Today
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STRATATEL
MARKETING BOARD TECHNICAL BOARD
Stratatel Resource Group Group Group Stratatel EMD
Sales & Operations Finance Marketing Development Sales & Operations
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About Stratatel Resource
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IBM Premier Business Partner (software)
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Only Premier Partner in WA
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Established 15 years
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Need to hold IBM certifications to sell and support
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Sells High End Software Solutions/applications using IBM Software (commission on sales up to 40%)
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Provides application design, build and support services on hourly rate and project basis
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Targeting: Government, Mining and Engineering and current Stratatel clients
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Significant growth opportunity in Australia and overseas
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Organic growth and acquisition
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The Outlook
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Govt/Enterprise clients, gaining sales momentum (Phoneware/FleetManager)
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Why the Company is optimistic of double digit revenue growth in 2009/2010
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new products/refresh the current products
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more salespeople/growing sales pipeline
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additional marketing resources for sales lead generation
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key partners Canon, IBM, Optus, Telstra, NEC
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large govt/enterprise client base
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new business division, Stratatel Resource; substantial untapped opportunity
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public relations/advertising strategy to support sales and corporate activities
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financial capacity to execute business plan
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Potential Game Changes
OPPORTUNITIES
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International release and distribution of
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softlog.mobile™
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Softlog sales ramp up for Canon – Australia/New Zealand and other international opportunities
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IBM Business Partner expansion – Australia and international
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Additional applications on mobiles – Blackberry, iPhone
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Acquisition opportunities in pipeline
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The Plan
ACQUISITIONS:
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Software and services targets
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Complete 1 to 2 acquisitions in 2009/2010
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Complete 1 to 2 acquisitions in 2010/2011
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Each ideally between $5m – $10m revenue
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Profitable
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Targeting IBM Business Partners but not essential/limited
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Continue to develop products for organic growth
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The Plan
SO BY 31/12/2011
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Consolidated annualised revenue in the range of
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$30m – $35m
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Consolidated annualised EBITDA in the range of $5m – $6m
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Revenues underpinned by base of recurrent revenue which should deliver:
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increased share price
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increased dividends
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Capital Structure
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Shares: 139,743,441
Listed Options: 23,115,861
Unlisted Employee Options: 4,500,000
Current Share Price: 7 cents (02 November 2009)
Market Capitalisation: $9.8 million
No debt
Operating cashflow positive and profitable
Cash at bank $1.8m (31 October 2009)
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Do you know this company?
- Over the 4 years to 30 June 2009:
o Average revenue growth 49% pa
o Average EBITDA growth of 93% pa
o Average EBITDA per share growth of 65% pa
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Maintained annual dividend of 0.5 cents per share since 2007
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Currently trades at a EBITDA Multiple of 6.4 times[1 ]
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Has IP ownership
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Stable competent management
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Is the leader in its field in Australia
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Has major revenue generating alliances with Optus, Telstra, NEC, Canon, IBM
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Has over 1,000 clients (including ASX 200 companies)
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Has growth opportunities overseas
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Board and management have significant equity in the business
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Note 1: Based on share price as at 02 November 2009