Online Distribution & Digital Product
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Half Year Presentation- September 2016 Online Distribution & Digital Product Hub Half Year Presentation- September 2016 Disclaimer The information contained in these slides and communicated verbally to you, including the speech(es) of the presenter(s) and any materials distributed at or in connection therewith (together, the "Presentation") is confidential. Reliance upon the Presentation for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or other assets invested. If any person is in any doubt as to the contents of the Presentation, they should seek independent advice from a person who is authorized for the purposes of the Financial Services and Markets Act 2000 (“FSMA") and who specializes in advising on investments of this kind. The Presentation is being supplied to you solely for your information. 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(the "US Securities Act") or under the securities laws of any other undertakes no obligation to publicly release any update or revisions to the jurisdiction, and are not being offered or sold (i) directly or indirectly, within forward-looking statements contained in the Presentation to reflect any or into the US, Canada, Japan, Australia or the Republic of South Africa or change in events, conditions or circumstances on which any such (ii) to, or for the account or benefit of, any US persons or any national, statements are based after the time they are made. citizen or resident of the US, Canada, Japan, Australia or the Republic of South Africa, unless such offer or sale would qualify for an exemption from registration under the US Securities Act and/or any other applicable securities laws. 2 Half Year Presentation- September 2016 Overview . New Management Team . New Strategy . Restructuring . Organic Growth . Non-organic Growth . Financial Results . Outlook 3 Half Year Presentation- September 2016 New Management Ido Erlichman CEO . Joined Crossrider Plc in May 2016 as Group Chief Executive Officer . More than nine years’ experience in the technology sector garnered through roles in private equity, consulting and finance . Joint CEO of Visual DNA – executed turnaround and achieved EBITDA growth & geographical expansion . Senior Manager within KPMG's Transaction Services and Private Equity deal advisory practice . Author of the best seller book 'Battle of Strategies’ . CPA graduated Magna Cum Laude in Accounting and Economics from the Hebrew University and MBA, from the University of Cambridge Judge Business School Moran Laufer CFO . Appointed as Crossrider Plc Acting Chief Financial Officer in August 2016 . 8 years of experience in accounting and financial controls . 4 years as Crossrider’s Corporate controller supporting the IPO . Divisional controller at SafeCharge international . Senior Auditor at E&Y for London Stock Exchange and NASDAQ traded companies primarily focused on the technology sector . CPA & MBA Tel Aviv University 4 Half Year Presentation- September 2016 Highlights Operational Financial Strong Adjusted Cash App Distribution and Media Restructuring – realising Flow from Operations Appointment of new CEO segment results increased to $2M in annualised savings of $4.1M representing 119% $7.6M from $5.6M cash conversion of adj. EBITDA Revenue in line with expectations down by $12.1M Strong current trading in to $28.7M primarily due to a Adjusted EBITDA of $3.5M Strategic plan in place both Media and App predicted revenue decrease in line with expectations Distributions Segments in the Web apps and License segment 5 Half Year Presentation- September 2016 New Strategy . Restructuring . Organic Growth . In-organic Growth 6 Half Year Presentation- September 2016 Evolving business model …from ad-tech to an online distribution & product hub Expanding product portfolio Using distribution capabilities Online digital product distribution company Leveraging ad-tech capabilities Online Products Online Distribution Ad-tech 7 Half Year Presentation- September 2016 Change in reporting segments Old segmentation New segmentation Mobile Web App Distribution Media Web Apps and Licence Definiti App distribution App distribution Definiti Web apps Web apps Ajilion Web apps Ajilion Technology licensing 50% of Web apps 50% of Web apps Technology licensing Technology