Release of Presentation

www.gentrack.com
UBS Conference -13 November 2018
GENTRACK GROUP (GTK)
Essential software for essential services

Gentrack delivers software solutions with deep market and
operational expertise.
This enables utilities and airports to lower service costs
and drive innovation to deliver better service to their
customers.
EXPERTISE AND PASSION
MISSION CRITICAL SOFTWARE FOR ESSENTIAL SERVICES

•Started in ‘80s as an Auckland based computer hardware business
•Moved into energy software in late ‘90s with NZ energy restructuring
•Grew into Australia and UK –similar energy market structures
•PE ownership 2007 -2014
•GTK listed on ASX and NZX in June 2014
–at A$2.19 (NZ$2.40)
–Market cap A$159m (NZ$175m)@72.7m shares
•Total Shareholder returns 211% over four years
–with share price at A$6.40 (NZ$6.90) plus dividends
–Market cap A$630m (NZ$ 680m)@98.5m shares
•Two divisions providing solutions to utilities and airports(utilities 80% revenue and profit)
Gentrack history

Proven solutions for energy and water utilities
Enabling utilities to differentiate their
businesses in competitive markets:
-Deliver great customer service experiences
-Achieve lower service costs
-Launch innovative products
-Stay compliant with market regulations
Billing and
Customer Information
Integration Services
Credit, Collections and
Debt Management
Revenueand Cost
Assurance
Market Interaction
Portfolio Data
Management

Over 100 utilities customers where our solutions
are mission critical anddeeply embedded.
United Kingdom
100+ energy suppliers
35+ water suppliers
#1
19 energy suppliers
and distributors
2 Water suppliers
New Zealand
35 energy suppliers
#2
13 energy suppliers
9 water suppliers
Singapore
20+ energy suppliers
Australia
75 energy suppliers
45 water suppliers
#4
3 energy suppliers
#2
58 energy suppliers
2 water suppliers
GENTRACK CUSTOMERS

Evolve acquisition extends our
penetration with large suppliers
Secured contracts with three of the
UK Big 6 energy suppliers in FY18
•Extending our product offering
•Leveraging existing footprint in Big 6 for Industrial and Commercial billing
•Cross selling Evolve into core markets
•Delivering managed services
Success with Tier 1 UK energy suppliers

Airport ERP Solutions
21 of the ‘Top 100’
Skytraxairports use
Veovo solutions
Enabling 120 airports and aviation authorities
globally to:
-Achieve highly efficient operations
-Maximise airport revenues
-Deliver exceptional guest experiences
Aeronautical
Billing
Resource
Management
Flight Information
Display
Airport Operational
Database
Guest
Prediction
Airport Concessions
–Non-aero billing

0
10
20
30
40
2014 - IPO2015201620172018*
EBITDA NZD$
* Based on FY18 Guidance NZ$30-32M EBITDA
Delivering profitable growth
↑ 11%
↑ 16%
↑ 43%
↑ 30%
$14.5m
$16.7m
$23.9m
$30-32m*
$13m

Revenue breakdown
FY17 Revenue by Type NZD$
FY17 Revenue by Region NZD$
Recurring Revenues
57%

•Track record of c.15% organic profit growth over the last 7 years
•Approximately 60% recurring revenue with c.90% of revenue from existing customers
•Historic 32%+ EBITDA margins reflect deep IP and competitive advantage
•Strong cash generation with 70-80% of NPATA paid as dividends
•Strategic acquisition in 2018 –Evolve Analytics
•$90m rights issue in 2018–now debt free with $50m undrawn facility
Transformation and growth

•Acquired in June 2018
•A leading provider of SaaS solutions to the UK energy sector
•Specialise in the identification and correction of meter dataerrors,
and reconciliation ofenergy and network cost settlement
•SaaS based solutions and services improve revenue collection and cost control, and is highly
complementary to our core billing and customer engagement solutions
•Opportunity to cross sell into 40+ existing customers.
Evolve Analytics acquisition

•Investing in pre-configured product for each market to accelerate delivery and ROI
•Developing Cloud-native solutions which enable utilities to innovate at pace and
lower service costs
•Signing new customers on a SaaS basis provisioned in the Cloud
•Increasing total lifetime value of customers
•Growing contracted recurring revenues and margins
•Transition to SaaS revenueand operating model being achieved while maintaining
profit growth
Our journey to SaaS

GOVERNMENT AND
REGULATORY CHANGES
Leveraged to the utilities revolution

NEW BUSINESS MODELS
•Monthly Subscription
•Digital engagement
•Chatbot
•Mobile app only
NEW CHALLENGER BRANDS
•“Digital Attacker”
•Self-disruption
•Low cost to serve
•Digital channels
NEW PRODUCT OFFERINGS
•Bundled product and
services
•Electricity, gas and telco
on a single bill
•Lowering cost to serve
through non-staff
interactions
NEW MARKET STRATEGIES
•Joint venture between
Northumbrian Water and
Anglian Water
•Hold 22% of the
competitive non-household
retail water market
•Focusing on winning in the
world's first competitive
water market.
Our customers are adapting

•Continue to drive profitable growth in our existing markets
•Continue to invest in our SaaS products, operating model and partnerships
•Cross selling across customer base
•Deliver cost effective cloud-ready solutions to enable our customers to innovate
and lower cost to serve
•Consider further acquisitions aligned with our current solution offering
•Explore emerging competitive energy markets
•Targetting 15% organic growth, conservative gearing, anda growing dividend.
Looking forward

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MORE AT:
WWW.GENTRACK.COM/INVESTORS