INVESTOR PRESENTATION
N o v e m b e r 1 3 , 2 0 1 8
1
TRANSACT IN
THE DIGITAL ECONOMY
INVESTOR PRESENTATION
Forward-looking statement
This document contains certain forward-looking statements with respect to the Company. These
forward-looking statements, by their nature, necessarily involve risks and uncertainties that could
cause actual results to differ materially from those contemplated by these forward-looking
statements. We consider the assumptions on which these forward-looking statements are based to
be reasonable, but caution the reader that these assumptions regarding future events, many of
which are beyond our control, may ultimately prove to be incorrect since they are subject to risks
and uncertainties that affect us.
We disclaim any intention or obligation to update or revise any forward-looking statements,
whether as a result of new information, future events or otherwise, except as required by applicable
securities legislation.
All amounts are in Canadian dollars.
These assumptions include, without limitations:
+ No significant change in the current value of CAD$ vs. US$
+ No significant increase or decrease in revenues and operating expenses
+ Stable market conditions
2
INVESTOR PRESENTATION
Our Mission
3
INVESTOR PRESENTATION
Albany, New York Longueuil, Canada
Laval, Canada
Shenzhen, China Atlanta, Georgia
4
Company Overview
Global EmployeeWorkforce
as at November 12, 2018
Created in 1996,
Public since 2000,
MDF.TO
1996Connecting buyers & sellers through various platforms
524
$23,4M*
$80,9M
FY 2018Revenue & Adjusted EBITDA*
Quarterly dividendper share
$0,10 Market Capitalisation
as at November 12, 2018
$153M
*FY 2018 Adjusted EBITDA includes $2.0 M of non recurring costs
INVESTOR PRESENTATION 5
World-wide Locations
Longueuil, Canada
Laval, Canada Ottawa, Canada Albany, New York
Copenhagen, Danemark Atlanta, GeorgiaShenzhen, China
INVESTOR PRESENTATION 6
Historical Results
53,860,7 65,4 70,2 73,0 77,7 80,9
FY12 FY13 FY14 FY15 FY16 FY17 FY18
Revenue
17,4
25,2 24,327,5 28,6 28,6
23,4
FY12 FY13 FY14 FY15 FY16 FY17 FY18
Adjusted EBITDA
$12,3
$18,0
$22,2$24,1
$22,3 $23,7
$17,9
FY12 FY13 FY14 FY15 FY16 FY17 FY18
Cash flow from Operations
$0,58 $0,69
$0,97
$0,80
$1,00 $1,05 $1,06
$0,48
FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18
Earnings per Share
*FY 2018 Adjusted EBITDA includes $2.0 M of non recurring costs
2018 EPS includes a non-cash, non-recurring income tax expense of $1.4 million ($0.09 per share) following the U.S. tax reform enacted on Jan.1 2018.
*
INVESTOR PRESENTATION 7
FY-2019 Focus
INVESTOR PRESENTATION
UNIFIED COMMERCE MARKETPLACES
DIGITAL COMMERCE
SUPPLY CHAIN COLLABORATION
AUTOMATIVE AFTERMARKET
SUPPLY BASE MANAGEMENT
CONTRACT MANAGEMENT
STRATEGIC SOURCING
ONLINE RECRUITING
ONLINE DATING
SOURCING CLASSIFIED ADS
ELECTRONIC COMPONENTS
DIAMONDS & JEWLERY
8
Our Solutions
INVESTOR PRESENTATION
Canada• 2,000 buyers
• 70,000 suppliers
• Strong public &
private presence
across Canada
90% recurring
USA• 1,200 agencies
• 63,000 suppliers
• Presence in 30
States
90% recurring
9
CAD/USA• 40+ clients
• Contract Life cycle
management
solutions
• Cross selling &
Integration
opportunities
82% recurring
Revenue type:
Strategic Sourcing: Main Brands
INVESTOR PRESENTATION 10
Strategic Sourcing
• RFx:
• Creation
• Management
• Publication
• Bid evaluation
• Award
publication
• Vendor
database
• Vendor
qualification
• Performance
management
• Vendor
certification
• Repository
• Alert
• Contract
creation
• Requisitions
management
• Approval
workflows
• Data cleansing
• Categorization
• Analytics
• Notification
• Dashboard
• Decision
Support
Sourcing
Supply Base
management
Contract
management
Spend
Analysis
INVESTOR PRESENTATION 11
Strategic Sourcing : Growth Initiatives
Implement value added
Supplier Services
Contract Management
Growth
Increase Buyer Content
INVESTOR PRESENTATION 12
Supply Chain Collaboration
Unique Combined Offering
• Private Catalogue
• Business Network (EDI VAN Tier-1)
• 90%+ Recurring revenues (75% US$)
• 4,100+ Retailers & Suppliers
Automotive
Healthcare
Apparel & General MerchandiseEnable trading relationships
between retailers and
manufacturers
INVESTOR PRESENTATION 13
Our solutions accelerate time-to-market, with richer and more standardized product data, that retailers can
quickly promote on any sales channel, especially online.
Supply Chain – Growth Initiatives
• Introduce multi-retailer Web EDI solution for small vendors
• Implement product data compliance and managed services
practice to clients
• Support retailers addressing the challenges of the digital
transformation with new value added services
INVESTOR PRESENTATION 14
Digital Commerce
Cloud-based commerce solutions offering mid-size,
enterprise Retailers and Brands a Single Platform to drive
unified customer experiences online and in-store.
Flexible, open and globally available solution on Microsoft
Azure.
INVESTOR PRESENTATION
Digital Commerce
Experience Mgmt (DCXM)
Mobile Store
Fulfillment
Commerce OrchestrationTM
Platform
15
Main Product Offering
The API-first commerce platform
that makes omnichannel retail work
A cloud platform that enables leading
brands to create unique shopping
experiences for any channel, device, or
application.
Create engaging shopping
experiences for your customers that
convert to more sales
Cloud-based experience management
that works with our Commerce
OrchestrationTM Platform to deliver
tailored web and mobile shopping
experiences for your customers.
Turn your stores into local
fulfillment centres
Make all your inventory
accessible online, and leverage
your local stores to ensure
customers get the products they
want, when and where they want
them.
INVESTOR PRESENTATION 16
• Target market: $9,4B world-wide spending on digital
commerce platform software by 2020
• E-Commerce CAGR: >15% over the next five years (1)
• Current Trends: Moving to Cloud and API-First
“headless” platforms, enabling
personalized and “Experience
Commerce”
• Geographical reach: World-wide
(1)Source: Gartner Report, “Magic Quadrant for Digital Commerce 2018.”
Addressable Market Size
INVESTOR PRESENTATION 17
Retail & Brand Manufacturing enabling top brands
INVESTOR PRESENTATION 18
Present in key life
events & moments
• LesPAC: buy & sell
• Jobboom: Find a job & manage your career
• Réseau Contact: Find love & build relationships
B2C Marketplaces
INVESTOR PRESENTATION 19
• Increased platform content:
Freemium model (launched 03/2017)
• Monetize added content:
New visibility tools, such as: Showcase / Tags
Discovery tools (Alerts, Favourite, Comparisons)
Automatic renewal
Focus on SMBs that want to sell online, e. g.: Recurring monthly options
Priority ranking
Geographical banner targeting
Growth Strategy
INVESTOR PRESENTATION 20
Growth Strategy Update
• Ads published increased 15% Year over Year.
• New SMB visibility tools / Features for SMBs performing
well
• Consumer behavior AI triggered content suggestions
INVESTOR PRESENTATION 21
• Content increased 4% (Q2-FY19 vs Q2-FY18)
• Integration in Google Jobs
• Evolution of the business platform for:
Employers to improve recruitment processes:
Assisted Recruitment
Recurring employer packages
Growth Strategy Update
INVESTOR PRESENTATION 22
Financial Highlights
Second Quarter FY-2019
ended September 30th, 2018
INVESTOR PRESENTATION
• Revenues of $20,3M | + 1,1%
• Adjusted EBITDA of $6,6M | 33% Margin
• Profit of $3,2M | $0,21 / Share
• Cash flow from operations of $2,7M
23
Q2 FY-2019 Highlights
INVESTOR PRESENTATION 24
Quarterly Results
20,0 20,5 20,521,1
20,3
5,56,1
5,6 5,3
6,6
1,71,0
2,1 2,43,2
28%
30%
27%25%
33%
Q2-FY18 Q3-FY18 Q4-FY18 Q1-FY19 Q2-FY19
Revenue Adjusted EBITDA Profit Adjusted EBITDA margin
In M of Canadian $
INVESTOR PRESENTATION 25
*LTM Adjusted EBITDA as per lenders agreement, net debt as of September 30, 2018 & accordion feature subject to lenders approval
Financial Position
• Healthy balance sheet
• Strong adjusted EBITDA margin
• High cash flow from operations
• Net debt / adjusted EBITDA @ 0.6X*
• Liquidity of $64M + accordion feature of $40M*
INVESTOR PRESENTATION
• North American location
• Ethical and diversified business sectors
• Strong business models High profitability
Recurring | Transactional revenues
Sustainable competitive advantage
• Web technology
• Acquisition target
Companies between $5M - $25M in annual revenues
Aligned to take advantage of our resources (Technical, Financial, HR)
26
M&A Guidelines
INVESTOR PRESENTATION 27
Ownership
• 14,8 million shares outstanding
• Alignment of interests
Directors & Officers own 28% of all shares o/s
Claude Roy, President & CEO, currently holding 24%
INVESTOR PRESENTATION 28
Claude Roy
Chairman and CEO
Gilles Laurin
Director of Corporations
Philippe Duval
First Vice President & C.O.O.,
Réseau Sélection
Catherine Roy
President,
Gestion Catsachar Inc.
André Gauthier
President,
André Gauthier Holding Inc.
Jean-François Sabourin
President and CEO,
JitneyTrade Inc.
Gilles Laporte
Director of Corporations
Natalie Larivière
President , Yuma Strategies
Viviane Trudel
Founder & President of Metix Inc.,
Metix Capital Inc. and B-CITI Solutions Inc.
Claude Roy
President and Chief Executive Officer
Mark Eigenbauer
Vice President, US Operations
Paul Bourque
Chief Financial Officer
Jean-Michel Stam
Vice President, Canadian Operations
Hélène Hallak
Vice President and General Counsel
Suzanne Moquin
Vice President, Consumers Solutions
André Leblanc
Vice President, Marketing
Camil Rousseau
Vice President, Research & Development
Stéphane Anglaret
Vice President, Technology
Management Team
Board of Directors
INVESTOR PRESENTATION
MEDIAGRIF INTERACTIVE TECHNOLOGIES INC.
1111 St-Charles Street West, Suite 255Longueuil (Quebec)Canada J4K 5G4
www.mediagrif.com
Toll Free: 877 677-9088
Phone: 450 449-0102
Fax: 450 449-8725
Top Related