May 26, 2015
Analysts’ Presentation Results FY 2014
Minds + Machines Group Limited (MMX)
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Analysts Presentation Results FY 2014 May 26, 2015 Minds + Machines - - PowerPoint PPT Presentation
Analysts Presentation Results FY 2014 May 26, 2015 Minds + Machines Group Limited ( MMX ) 1 Disclaimer The following is a presentation (the Presentation) relating to Minds + Machines Limited (MMX). The Presentation is being
Minds + Machines Group Limited (MMX)
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The following is a presentation (the “Presentation”) relating to Minds + Machines Limited (“MMX”). The Presentation is being communicated by MMX. It is confidential. Recipients may not provide, or otherwise make available, this Presentation to any person whatsoever and no part of it may be reproduced in any manner without the written permission of TLDH. The information in the Presentation is subject to updating, revision and amendment. The Presentation does not constitute or form part of any offer or invitation to sell or any solicitation of any offer to purchase or subscribe for any shares in MMX. No reliance may be placed for any purpose whatsoever on the information contained in the Presentation or any assumptions made as to its completeness.
accuracy of the information or opinions contained in the Presentation and no liability is accepted for any such information or
Presentation or its contents. The actual results, performance or achievements of MMX may be materially different from the future results, performance or achievements expressed or implied by any opinions, estimates and projections included in the
Services and Markets Act 2000 (“FSMA”) on the grounds that it is being provided only to persons of a kind described in Regulation 19 (being persons with professional experience in matters relating to investments), Regulation 48 (being a certified high net worth individual), Regulation 49 (being high net worth companies, trustees of high net worth trusts or unincorporated associations), Regulation 50 (being a sophisticated investor) or Regulation 50A (being a self-certified sophisticated investor) of the Financial Services and Markets Act 2000 (Financial Promotion) Order 2005 (the “Financial Promotion Order”) or to persons who are otherwise permitted by law to receive it.
as described above; or to whom distribution is otherwise not lawful may not rely on it, and should return the Presentation to MMX
person or any recipient. Each person or company must undertake such investigations as they see fit before entering into any contract of any kind. If you are in any doubt as to what action to take, you are recommended to seek your own financial advice from your stockbroker, bank manager, solicitor, accountant or other independent financial adviser authorized under the FSMA immediately.
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Supply
Registry Service Provider
Distribution
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Supply
Registry Service Provider
Distribution
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Supply
Registry Service Provider
Distribution
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10 additional TLDs remain contested
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Host Europe, Tucows, eNom, and 1&1
Registry RSP
Over 108,000 total domain name registrations generating USD$5m in gross sales from September - December 2014.
Total current registrations stand at over 177,000.
Registrar
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$5M cash revenue over final 4 months of year $37.5M in cash receipts from private auctions $13.5M costs/investment into building out business lines and operating company $22.1M total profit - relates primarily to one-off private auction proceeds
2014 Financial Highlights FY 2014 FY 2013 Percentage change $’000 $’000 Cash revenue (1) 5,028 56 7679% Of which accounted for as revenue (4) 1,922 56 3332% Administrative expenses (13,477) (5,189) 160% Royalties/guaranteed revenue payments (6) (3,574)
Total profit (4) 22,059 1,214 1717% Intangible assets (4) 40,597 2,560 1486% Other Long Term Assets (4) 5,982 14,350
Cash & Cash Equivalents (4) 45,796 14,884 208% Net Assets (4) 94,685 39,294 298% Basic earnings per share (4) 2.73 cents 0.21 cents 1202% Diluted earnings per share (4) 2.67 cents 0.20 cents 1236%
(1) Cash sales refer to total sales generated during the year (not deferred for accounting purposes). (2) Year ended 31 December 2014 (3) Year ended 31 December 2013 (4) As stated in the financial statements (5) The Company’s reporting currency has been changed to USD and results have been restated accordingly (6) Includes $3,297 prepaid expenses from a prior period which were previously reflected as current assets
Private Auctions - One off ($37.5 million) Cash Revenue ($5 million) Investment: gTLDs acquired (61%) Operating expenses (31%) Cost of Sales (8%) Cash In ($42.5 million) Cash Out ($43.1 million)
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Top Line Revenue Growth
Measuring Progress
Source: ntldstats.com
New gTLD Industry Growth
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Supply
Distribution
M+M gTLD
Sits on MMX RSP Platform
Resellers Affiliates
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fantasyfashion.com USD$75,000 lingeriefashion.com EUR€50,000 ladiesfashion.com USD$50,000
USD$66,000 247fit.com USD$65,000 workfit.com USD$54,000
USD$100,000 propertylondon.com USD$95,000 hotelinlondon.com USD$55,000
USD$120,000 365law.com USD$50,000 marijuanalaw.com USD$29,000
Source: www.sedo.com
Tier 1 = $50 pa Tier 2 = $100 pa Tier 3 = $250 pa Tier 4 = $500 pa Tier 5 = $1,000 pa Tier 6 = $2,500 pa Tier 7 = $5,000 pa Tier 8 = Call Us
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Minimum 10 new TLDs launching 2015 – 2016 Continue existing segmented strategy for standard names:
Market penetration: pioneers, resellers, and affiliates
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Domains under management Premium names sales growth Total Premium names sold pa
Standard names sales growth Total standard names sold pa
Average life per domain name
108,000
$184
$28
3 - 5% of total new gTLD registrations
$200 - $225
$15 - $22 2.25 - 4.0 years per name
*does not include royalties and revenue guarantees for certain TLDs (Based on industry released renewal rate range of 55% to 72%)
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2015
– Launch next 10 TLDs during 2015 - 2016 – Build out reseller and affiliate networks by vertical – Build out premium name sales teams
2016
2017
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Current cash as of April 30, 2015 - $48m
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2014:
No funds paid to Needly/Mozart No ongoing obligations MMX use of Mozart exclusively at MMX’s option MMX has right and title to certain Mozart themes
2015:
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Total Applications Submitted 1,930 Unique TLDs applied for 1,310
Total Fees paid to ICANN: $357,050,000 M+M Fees paid to ICANN: $13,320,000 No of TLDs launched to date: 628 M+M TLDs launched to date: 18 Total domains registered through 25 May 2015 5,778,881 Total M+M domains registered through 25 May 2015 178,352
Top Applicants
Donuts 307 Google 101 Amazon 76 MMX 72
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Antony Van Couvering - CEO avc@mindsandmachines.com
michael@mindsandmachines.com