Scot Melland Chairman, President & CEO Mike Durney EVP, - - PowerPoint PPT Presentation

scot melland chairman president ceo mike durney evp
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Scot Melland Chairman, President & CEO Mike Durney EVP, - - PowerPoint PPT Presentation

Scot Melland Chairman, President & CEO Mike Durney EVP, Industry Brands Group & CFO Forward Looking Statement Look to Dice for Your Staffing Solutions This presentation and oral statements made from time to time by our representatives


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Mike Durney EVP, Industry Brands Group & CFO Scot Melland Chairman, President & CEO

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Look to Dice for Your Staffing Solutions

Forward Looking Statement

This presentation and oral statements made from time to time by our representatives contains forward looking

  • statements. You should not place undue reliance on those statements because they are subject to

numerous uncertainties and factors relating to our operations and business environment, all of which are difficult to predict and many of which are beyond our control. Forward-looking statements include information without limitation concerning our possible or assumed future results of operations, including descriptions of our business strategy. These statements often include words such as “may,” “will,” “should,” “believe,” “expect,” “anticipate,” “intend,” “plan,” “estimate” or similar expressions. These statements are based on assumptions that we have made in light of our experience in the industry as well as our perceptions

  • f historical trends, current conditions, expected future developments and other factors we believe are

appropriate under the circumstances. Although we believe that these forward-looking statements are based on reasonable assumptions, you should be aware that many factors could affect our actual financial results or results of operations and could cause actual results to differ materially from those in the forward-looking

  • statements. These factors include, but are not limited to, competition from existing and future competitors in

the highly competitive market in which we operate, failure to adapt our business model to keep pace with rapid changes in the recruiting and career services business, failure to maintain and develop our reputation and brand recognition, failure to increase or maintain the number of customers who purchase recruitment packages, cyclicality or downturns in the economy or industries we serve, failure to attract qualified professionals to our websites or grow the number of qualified professionals who use our websites, failure to successfully identify or integrate acquisitions, U.S. and foreign government regulation of the Internet and taxation, our ability to borrow funds under our revolving credit facility or refinance our indebtedness and restrictions on our current and future operations under such indebtedness. These factors and others are discussed in more detail in the Company's filings with the Securities and Exchange Commission, all of which are available on the Investor Relations page of our website at www.diceholdingsinc.com, including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2012, under the headings “Risk Factors,” “Forward-Looking Statements” and “Management's Discussion and Analysis of Financial Condition and Results of Operations.” You should keep in mind that any forward-looking statement made by the Company or its representatives herein, or elsewhere, speaks only as of the date on which it is made. New risks and uncertainties come up from time to time, and it is impossible to predict these events or how they may affect us. We have no

  • bligation to update any forward-looking statements after the date hereof, except as required by federal

securities laws. This presentation includes certain "Non-GAAP financial information." A reconciliation of such information to the most directly comparable GAAP data can be found in the Company’s most recent earnings release.

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Look to Dice for Your Staffing Solutions

Dice Holdings: Leading Specialty Sites

Tech & Clearance 71% Finance 16% Energy 11%

Career Center Advertising / Media Data Events

FY 2013G Revenue Contribution

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Employers, Recruiters & Marketers Professionals

Delivering Specific Audiences in Right Context

Actionable Filtered Talent Skill

Specific

Efficiency Efficiency

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Look to Dice for Your Staffing Solutions

Adjusted EBITDA Revenues Margin % 44% 44% 45% 40% 43% 40% 37% ($mm) $142.4 $155.0 $110.0 $129.0 $179.1 $195.4 $215.0 $62.5 $68.0 $49.6 $52.1 $77.6 $77.4 $79.0 $0.0 $50.0 $100.0 $150.0 $200.0 $250.0 2007 2008 2009 2010 2011 2012 2013G

Consistently Delivering Strong Profitability

Note: Revenues and Adjusted EBITDA not adjusted acquisitions.

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Today’s Agenda  The Market  Q&A  Transforming our Services  Cash Priorities  The Margin Question

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International North America

Notes: Dice Estimates; International does not include Africa, Middle East.

Estimate of Global Online Recruiting Market (in billions)

Online Recruitment Market Growing

$3.2 $3.5 6% $4.4 $4.7 $4.9

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Professional and Business Services

(in thousands)

Monthly Change in Employment

Source: Bureau of Labor Statistics, Establishment Survey

  • 200
  • 100

100 200 300 400 500 600 2/1/2002 2/1/2003 2/1/2004 2/1/2005 2/1/2006 2/1/2007 2/1/2008 2/1/2009 2/1/2010 2/1/2011 2/1/2012 2/1/2013

Solid New Job Creation…

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….But Turnover is the Driver!

Professional and Business Services

(in thousands)

Monthly Change in Employment Level of Voluntary Quits

Source: Bureau of Labor Statistics, Establishment & JOLTS Surveys

  • 200
  • 100

100 200 300 400 500 600 2/1/2002 2/1/2003 2/1/2004 2/1/2005 2/1/2006 2/1/2007 2/1/2008 2/1/2009 2/1/2010 2/1/2011 2/1/2012 2/1/2013

average

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Today’s Agenda  The Market  Q&A  Transforming our Services  Cash Priorities  The Margin Question

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Transforming our Services #1 Bring Efficiency to Social Recruiting #2 Expand Passive Reach #3 Create Complete Solution

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Next-generation, cloud-based, natural language search platform “Real-time” aggregating, parsing, normalizing, indexing data to create a comprehensive open web profile Aggregates and timestamps data from ~50 leading social media sites and billions of web pages

Open Web Turbocharges Efficient Recruiting

What it does What it is Global scale

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Creates Open Web “Super” Profile

The conference audience is viewing a

  • demonstration. To see

Open Web live, please contact ir@dice.com.

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Today’s Agenda  The Market  Q&A  Transforming our Services  Cash Priorities  The Margin Question

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Adjusted EBITDA Revenues Margin % 44% 44% 45% 40% 43% 40% 37% ($mm) $142.4 $155.0 $110.0 $129.0 $179.1 $195.4 $215.0 $62.5 $68.0 $49.6 $52.1 $77.6 $77.4 $79.0 $0.0 $50.0 $100.0 $150.0 $200.0 $250.0 2007 2008 2009 2010 2011 2012 2013G

Consistently Delivering Strong Profitability

Note: Revenues and Adjusted EBITDA not adjusted acquisitions.

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Margin Impacts 2011  2012

2011 Margin = 43% $195 mm in Revenues 100 bps = ~$2 mm 2012 Margin = 40%

eFinancialCareers 200 bps Slashdot Media 75 bps Development Projects 100 bps

2012 Impact

Open Web Investment CRM to SaaS Model 100 bps 100 bps 50 bps 200 bps

2013 Impact $215 mm in Revenues1 100 bps = ~$2.2 mm 2013G Margin = 37%

1 Guidance as provided on April 23, 2013

 2013

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Long Term Goal: 40 – 45% Margins Do these items change our margin profile? Open Web Slashdot Media eFinancialCareers

No No ?

CRM

No

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Today’s Agenda  The Market  Q&A  Transforming our Services  Cash Priorities  The Margin Question

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$0.0 $35.0 $70.0 2008 2009 2010 2011 2012 2013

Strong Free Cash Flow

1Q 2Q 3Q 4Q

Quarterly Free Cash Flow $50.2 $19.8 $42.4 $61.4 $48.8

($mm)

$19.0

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Growth through Acquisitions

Acquisition Strategy Other Verticals

Highly Paid Difficult/Costly to Recruit Skill/Experience Specificity Part of a Community High Velocity of Change

International

Opens New Markets Use Content Sites to Expand into Careers

Content/Information, Services, Tools

Drives Recurring Use for Communities Service Creates Deeper Relationships Expands Vertical Expertise

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50.0 60.0 70.0 80.0 Q1 2008 Q2 2008 Q3 2008 Q4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 Q4 2012 Q1 2013

Returning Cash to Shareholders

Weighted Average Diluted Shares Outstanding $65 mm

authorized

$30 mm

authorized

$50 mm

authorized (mm)

~ ~

Note: Weighted average diluted shares outstanding represent the share count as used in determining quarterly earnings per share.

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Dice Holdings Highlights Vertical Focus = Strong Competitive Advantage Transforming Services with Open Web Recruiting Tool Growth Opportunities for Technology, Finance and Energy Verticals Excellent Margins coupled with Strong Cash Generation

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Q&A

Mike Durney EVP, Industry Brands Group & CFO Scot Melland Chairman, President & CEO