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2014 Financials
March 2015
Disclaimer
This document includes forward looking statements. Whilst these forward looking
statements are made in good faith they are based upon the information available to
zamano at the date of this document and upon current expectations, projections,
market conditions and assumptions about future events. These forward looking
statements are subject to risks, uncertainties and assumptions about the Group and
should be treated with an appropriate degree of caution.
1
Contents
Financial Highlights 2014
Investment Highlights
zamano at a Glance
Digital Products
Consumer Journey & Billing
Key Relationships to Drive Success
Bespoke Technical Platform
Payfunnel
zamano M&A Target Criteria
Industry Dynamics
Financials
Summary & Outlook
Appendix (Board & Management Team, Major Shareholders)
4
6
7
8
9
10
11
12
13
14
16
18
20
2
Significant financial and
operational progress in 2014
zamano is in a strong position to
capitalise on the opportunities in the
web and mobile marketplace.
3
Financial Highlights 2014
• Revenue of €19.863M (up 23.9% on revenue of €16.034M, 2013);
• EBITDA of €2.735M (up 4.9% on EBITDA of €2.608M, 2013);
• Operating profit of €2.232M (up 0.4% on operating profit of €2.224M, 2013);
• Pre-tax profit €2.177M (up 13.5% on pre-tax profit of €1.918M, 2013);
• Cash at bank of €4.950M at 31 December 2014 (€2.747M at 31 December 2013);
• Significant improvement in net cash during 2014 (net cash of €4.603M at 31 December 2014 versus
net cash of €2.139M at 31 December 2013);
4
Experts in mobile technology
We are continuously developing our platform and our products,
which in turn is being used by thousands of customers every day.
5
Investment Highlights
6
B2B Services
Via Bespoke API
Zamano at a Glance
Leading international mobile content, messaging and mobile billing provider.
24 employees.
Public company, headquartered in Dublin and listed on both the Irish and London stock exchanges.
7
Message Hero
SMS Marketing & Bulk SMS for Business
D2C Proposition
Mobile Entertainment & Downloads
Identify Acquisitions
International Expansion
Direct Carrier Billing
EXISTING GROWTH OPPORTUNITIES
Digital Products
8
• Digital products are compatible with all mobile
platforms (iOS, Android, Windows and Feature
phones);
• Focused on sourcing premium digital mobile
products through licensing deals;
• Revenue Models – Once off Billing, “All You Can
Eat”, Recurring Subscriptions and Revenue Share;
• Monetised through premium SMS and direct
carrier billing.
Consumer Journey & Billing
9
Zamano continuously monitors its portfolio in order to operate profitable services. We maintain our billing
connections in territories even if we are not actively marketing in order to maximise our opportunities.
Key Relationships to Drive Success
10
Gateways Telecom Operators
Consumers
Clients
Advertising Partners
Bespoke Technical Platform
11
Payfunnel
• Zamano are developing
Payfunnel, a frictionless mobile
micropayment solution;
• Send payment messages to your
customers and then let them
pay with a single tap.
12
Zamano Plc M&A Target Criteria
13
Outlined below are zamano’s key M&A criteria:
Financial Criteria
• The target should be generating revenues of €3m+;
• The target should ideally be generating profits, cash and have a growing customer base;
• The target should be willing to accept zamano shares as part payment.
Location
• The target must be located in Ireland or the United Kingdom.
Product Area & Market
• The target should operate in payments, mobile/online advertising or mobile D2C/B2B products;
• Target’s market should have growth trends, niche opportunities and synergies with zamano.
Key Executives
• Management in target should be willing to stay on post-transaction.
Shareholders
• Target shareholders should be prepared to accept zamano shares in part payment of the acquisition.
Industry Dynamics
1. www.emarketer.com
2. Morgan Stanley Research
3. OTT & Operator Strategy & Forecasts 2013-2017 (Juniper Research - March, 2013).
4. The Future for Phone-Paid Digital Goods and Services November 2014 PhonepayPlus 14
Smartphone Penetration
• 1.76 billion people used their smartphone every month in
2014 – up 25% on 20131;
• Mobile users surpassed desktop users in 20142.
Mobile Payments
• Mobile Operator billing in digital goods to reach £500M in UK by
20194.
Mobile Content
• Global revenues from mobile content are expected to rise
from $2 billion in 2012 to over $13 billion by 20173.
Our Results
Our scale and focus on user engagement has delivered.
15
Financials: Profit & Loss
• Total revenue increased by 24% in 2014;
• Strong UK performance, especially in B2B
sales;
• EBITDA increased by 4.9% in 2014;
• Continued focus on cost control;
• Profit after tax of €1.9m in 2014.
Euro M 2014 2013
Total Revenue €19.9 €16.0
Revenue By Territory
• UK
• Ireland
• Other
€15.2
€3.6
€1.1
€9.7
€4.1
€2.2
Gross Profit €4.8 €5.0
Administrative Expenses (€2.5) (€2.8)
EBITDA €2.7 €2.6
Profit before Tax €2.2 €1.9
Diluted EPS €0.019 €0.017
16
Financials: Balance Sheet
• Strong equity growth creating value for
shareholders;
• At 31 Dec 2014, zamano only had bank debt
of €347k;
• No banking covenants;
• Very strong cash generation resulting in cash
of €4.95m at 31 Dec 2014;
• Attractive balance sheet for potential
partner and/or to pursue acquisition
strategy;
• Subscriber base not capitalised on the
balance sheet.
Euro M 31 Dec
2014
31 Dec
2013
Total Assets €14.7 €11.6
Total Equity €9.4 €7.4
Total Liabilities €5.4 €4.2
Cash at Bank €4.9 €2.7
Intangible Assets €6.5 €6.4
17
Summary & Outlook
Strong Performance
• zamano consolidated it’s position as a leading provider of targeted, interactive and measurable web and mobile marketing
campaigns to end users.
Territorial Expansion
• Focus on core English speaking markets with stable regulations;
• Plans to expand into regulatory stable markets in 2015 – Austria, Germany, France and Spain;
• zamano continues to build on its territorial expansion strategy which commenced in 2013.
Messagehero.com
• Messagehero is an innovative messaging product targeted at SME and the enterprise market in Ireland and UK;
• Messagehero is being refined in accordance with market demands.
Positive Outlook for 2015
• zamano will strive to capitalise on the opportunities in the mobile micro-payment marketplace;
• Emphasis on strategic partnerships and joint ventures in 2015;
• Maintain a solid core operation in 2015.
18
19
Behaviours and attitudes are changing…
We intend to capitalise on the next frontier of payments and
communications.
Appendix: Board & Management
20
Appendix: Management
21
Appendix: Major Shareholders (at 28 February 2015)
22

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Zamano 2014 Financials

  • 2. Disclaimer This document includes forward looking statements. Whilst these forward looking statements are made in good faith they are based upon the information available to zamano at the date of this document and upon current expectations, projections, market conditions and assumptions about future events. These forward looking statements are subject to risks, uncertainties and assumptions about the Group and should be treated with an appropriate degree of caution. 1
  • 3. Contents Financial Highlights 2014 Investment Highlights zamano at a Glance Digital Products Consumer Journey & Billing Key Relationships to Drive Success Bespoke Technical Platform Payfunnel zamano M&A Target Criteria Industry Dynamics Financials Summary & Outlook Appendix (Board & Management Team, Major Shareholders) 4 6 7 8 9 10 11 12 13 14 16 18 20 2
  • 4. Significant financial and operational progress in 2014 zamano is in a strong position to capitalise on the opportunities in the web and mobile marketplace. 3
  • 5. Financial Highlights 2014 • Revenue of €19.863M (up 23.9% on revenue of €16.034M, 2013); • EBITDA of €2.735M (up 4.9% on EBITDA of €2.608M, 2013); • Operating profit of €2.232M (up 0.4% on operating profit of €2.224M, 2013); • Pre-tax profit €2.177M (up 13.5% on pre-tax profit of €1.918M, 2013); • Cash at bank of €4.950M at 31 December 2014 (€2.747M at 31 December 2013); • Significant improvement in net cash during 2014 (net cash of €4.603M at 31 December 2014 versus net cash of €2.139M at 31 December 2013); 4
  • 6. Experts in mobile technology We are continuously developing our platform and our products, which in turn is being used by thousands of customers every day. 5
  • 8. B2B Services Via Bespoke API Zamano at a Glance Leading international mobile content, messaging and mobile billing provider. 24 employees. Public company, headquartered in Dublin and listed on both the Irish and London stock exchanges. 7 Message Hero SMS Marketing & Bulk SMS for Business D2C Proposition Mobile Entertainment & Downloads Identify Acquisitions International Expansion Direct Carrier Billing EXISTING GROWTH OPPORTUNITIES
  • 9. Digital Products 8 • Digital products are compatible with all mobile platforms (iOS, Android, Windows and Feature phones); • Focused on sourcing premium digital mobile products through licensing deals; • Revenue Models – Once off Billing, “All You Can Eat”, Recurring Subscriptions and Revenue Share; • Monetised through premium SMS and direct carrier billing.
  • 10. Consumer Journey & Billing 9 Zamano continuously monitors its portfolio in order to operate profitable services. We maintain our billing connections in territories even if we are not actively marketing in order to maximise our opportunities.
  • 11. Key Relationships to Drive Success 10 Gateways Telecom Operators Consumers Clients Advertising Partners
  • 13. Payfunnel • Zamano are developing Payfunnel, a frictionless mobile micropayment solution; • Send payment messages to your customers and then let them pay with a single tap. 12
  • 14. Zamano Plc M&A Target Criteria 13 Outlined below are zamano’s key M&A criteria: Financial Criteria • The target should be generating revenues of €3m+; • The target should ideally be generating profits, cash and have a growing customer base; • The target should be willing to accept zamano shares as part payment. Location • The target must be located in Ireland or the United Kingdom. Product Area & Market • The target should operate in payments, mobile/online advertising or mobile D2C/B2B products; • Target’s market should have growth trends, niche opportunities and synergies with zamano. Key Executives • Management in target should be willing to stay on post-transaction. Shareholders • Target shareholders should be prepared to accept zamano shares in part payment of the acquisition.
  • 15. Industry Dynamics 1. www.emarketer.com 2. Morgan Stanley Research 3. OTT & Operator Strategy & Forecasts 2013-2017 (Juniper Research - March, 2013). 4. The Future for Phone-Paid Digital Goods and Services November 2014 PhonepayPlus 14 Smartphone Penetration • 1.76 billion people used their smartphone every month in 2014 – up 25% on 20131; • Mobile users surpassed desktop users in 20142. Mobile Payments • Mobile Operator billing in digital goods to reach £500M in UK by 20194. Mobile Content • Global revenues from mobile content are expected to rise from $2 billion in 2012 to over $13 billion by 20173.
  • 16. Our Results Our scale and focus on user engagement has delivered. 15
  • 17. Financials: Profit & Loss • Total revenue increased by 24% in 2014; • Strong UK performance, especially in B2B sales; • EBITDA increased by 4.9% in 2014; • Continued focus on cost control; • Profit after tax of €1.9m in 2014. Euro M 2014 2013 Total Revenue €19.9 €16.0 Revenue By Territory • UK • Ireland • Other €15.2 €3.6 €1.1 €9.7 €4.1 €2.2 Gross Profit €4.8 €5.0 Administrative Expenses (€2.5) (€2.8) EBITDA €2.7 €2.6 Profit before Tax €2.2 €1.9 Diluted EPS €0.019 €0.017 16
  • 18. Financials: Balance Sheet • Strong equity growth creating value for shareholders; • At 31 Dec 2014, zamano only had bank debt of €347k; • No banking covenants; • Very strong cash generation resulting in cash of €4.95m at 31 Dec 2014; • Attractive balance sheet for potential partner and/or to pursue acquisition strategy; • Subscriber base not capitalised on the balance sheet. Euro M 31 Dec 2014 31 Dec 2013 Total Assets €14.7 €11.6 Total Equity €9.4 €7.4 Total Liabilities €5.4 €4.2 Cash at Bank €4.9 €2.7 Intangible Assets €6.5 €6.4 17
  • 19. Summary & Outlook Strong Performance • zamano consolidated it’s position as a leading provider of targeted, interactive and measurable web and mobile marketing campaigns to end users. Territorial Expansion • Focus on core English speaking markets with stable regulations; • Plans to expand into regulatory stable markets in 2015 – Austria, Germany, France and Spain; • zamano continues to build on its territorial expansion strategy which commenced in 2013. Messagehero.com • Messagehero is an innovative messaging product targeted at SME and the enterprise market in Ireland and UK; • Messagehero is being refined in accordance with market demands. Positive Outlook for 2015 • zamano will strive to capitalise on the opportunities in the mobile micro-payment marketplace; • Emphasis on strategic partnerships and joint ventures in 2015; • Maintain a solid core operation in 2015. 18
  • 20. 19 Behaviours and attitudes are changing… We intend to capitalise on the next frontier of payments and communications.
  • 21. Appendix: Board & Management 20
  • 23. Appendix: Major Shareholders (at 28 February 2015) 22