Trakm8 : Interim Presentation 2022

FY 2022 Half Year Results

November 2021

John Watkins CEO & Jon Edwards CFO

Overview

• Return to profitability
• • 23% Growth in Revenue
  • • Insurance and Automotive up £0.4m
    • Fleet and Optimisation up £1.3m
    • Connected devices increased in period by 1,000
  • 241% increase in Adjusted Profit/Loss before tax / 106% increase in Profit/Loss before tax
  • • Improved gross margins due to higher proportion of software revenues
    • Increase in costs following reduction in furloughed team members and higher levels of marketing activity
• Net Debt increased since year end at £6.2m, £0.5m unutilised RCF and £0.9m cash in bank at period end
• • HMRC Time to Pay met in full reducing liability by £0.94m
  • Capital repayments resumed
• Outlook
• • Full year revenues to be circa £18m despite challenges around completion of driving tests continuing to affect Insurance revenues
  • Group expects to return profit measures slightly ahead than previous expectations despite this

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Financial Statement

Income Statement

	6 Months to 30	6 Months to
£000's	Sept 2021 30 Sept 2020	FY-2021
	Unaudited	Unaudited	Audited
Revenue	9,021	7,321	15,961
of which, Recurring Revenues	4,806	4,635	9,379
Gross Profit	5,844	4,517	9,318
Gross Profit Margin	64.8%	61.7%	58.4%
Administrative Expenses*	(5,262)	(4,711)	(9,585)
Adjusted Profit/(Loss) before
Tax*	444	(314)	(342)
Profit/(Loss) before Tax	47	(845)	(1,867)
Profit/(Loss) after Tax	273	(732)	(1,237)
Adjusted basic EPS* (p)	0.81	(0.56)	0.07

• Adjusted for exceptional costs and share based payments

H1-2021 Results

• Revenues up 23%
• • Recurring revenues up 4%
• Increased overheads:
• • £0.38m increase in costs due to lower levels of furloughed staff
  • Marketing spend up £0.15m
  • Depreciation & Amortisation £0.16m up
  • Underlying costs continue to reduce
• Reconciliation to statutory PBT
• • Exceptional costs £0.3m (30% down on prior year)

 Share based payments £0.1m	3

Financial

Revenue Bridge

	Connections			Revenue by Sector
	185,000	5,354	5,435	5,712
	173,000163,000183,000			4,419
77,000	70,000			3,484	3,432	3,309
				2,902

77,000	70,000

Fleet & Optimisation

Insurance & Automotive

Fleet & Optimisation

Insurance & Automotive

H1-2018

H1-2019

H1-2020

H1-2021

H1-2018

H1-2019

H1-2020

H1-2021

Fleet Telematics connections static at 70,000





Fleet & Optimisation revenue includes hardware,

installation, service, consulting and Optimisation license



Insurance & Automotive connections up 1,000 (0.5%)

fees- up 29%

since FY2021 & 2,000 (1.1%) since H1 2020



Insurance & Automotive revenue includes hardware,

installation, consulting and service fees - up 14%

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Financial

Adjusted Loss before Tax Bridge

	-			
1,327	380
				
	150	-	-	
	-	224	102
	161		444
				
(314)

H1	Gross	Furlough	Marketing	Depn &	Other	Grant income	H1
2020	Margin	Reduction	Spend	Amortisation	Overheads	and Interest	2021
			Increase

Adjusted Profit/Loss increased by 241%

Additional cost of staff as furlough reduced compared to prior period

Increased marketing spend of £150K to generate more leads

Other overheads includes payroll saving of circa £0.16m

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