Download - Logm investor presentation q4 2015
Investor PresentationQ 4 2 0 1 5
2© 2015, LogMeIn, Inc.
Safe Harbor Statement
This presentation contains forward-looking statements, as defined by federal and state securities laws. Forward-looking statements include statements concerning plans, objectives, goals, strategies, expectations, intentions, projections, developments, future events, performance or products, underlying assumptions, and other statements which are other than statements of historical facts. In some cases, you can identify forward-looking statements by terminology such as “may,” “will,” “should,” “hope,” “expects,” “intends,” “plans,” “anticipates,” “contemplates,” “believes,” “estimates,” “predicts,” “projects,” “potential,” “continue,” and other similar terminology or the negative of these terms. From time to time, we may publish or otherwise make available forward-looking statements of this nature. All such forward-looking statements, whether written or oral, and whether made by us or on our behalf, are expressly qualified by the cautionary statements described on this message including those set forth below. In addition, we undertake no obligation to update or revise any forward-looking statements to reflect events, circumstances, or new information after the date of the information or to reflect the occurrence or likelihood of unanticipated events, and we disclaim any such obligation. Forward-looking statements are only predictions that relate to future events or our future performance and are subject to known and unknown risks, uncertainties, assumptions, and other factors, many of which are beyond our control, that may cause actual results, outcomes, levels of activity, performance, developments, or achievements to be materially different from any future results, outcomes, levels of activity, performance, developments, or achievements expressed, anticipated, or implied by these forward-looking statements. As a result, we cannot guarantee future results, outcomes, levels of activity, performance, developments, or achievements, and there can be no assurance that our expectations, intentions, anticipations, beliefs, or projections will result or be achieved or accomplished. These forward-looking statements are made as of the date hereof and are based on current expectations, estimates, forecasts and projections as well as the beliefs and assumptions of management. LogMeIn’s actual results could differ materially from those stated or implied in forward-looking statements. Past performance is not necessarily indicative of future results. We do not intend to update these forward looking statements even though our situation may change in the future. Further, we encourage you to review the risks that we face and other information about us in our filings with the SEC, including our Annual Report on Form 10-K which was filed on February 20th, 2015, and our Quarterly Reports on Form 10-Q, all of which are available at www.SEC.gov. We have also included GAAP and non-GAAP and adjusted EBITDA financial measures in this presentation. A reconciliation of GAAP and non-GAAP financial measures are available in our press release dated February 11th, 2016 located on our website at www.LogMeInInc.com.
We believe –possibilities
increase with connectivity
Our mission –simplify how
people connect to each other and the world around them
5© 2015, LogMeIn, Inc.
Key Business Areas
1%of 2015 Rev
IoT
Instant online meeting and access solutions with ease of
use that delights users.
Software suite to connect, manage, and engage
products and customers.
34%of 2015 Rev
IT Management
Best in class management applications for SMBs and
IT professionals.
32%of 2015 Rev
Collaboration
32%of 2015 Rev
Service
Durable, fast remote support and chat software
for PCs and mobile.
6© 2015, LogMeIn, Inc.
25%Adjusted EBITDA
22%Revenue Growth
6
Full Year 2015 Performance
32%Operating Cash
Flow Margin
7© 2015, LogMeIn, Inc.
Driving Consistent Revenue and EBITDA Growth (M)
2009 2010 2011 2012 2013 2014 2015 2016 GUIDANCE
Revenue EBITDA
$74.4
$101.1
$119.5
$138.8
$166.3
$222.0
$26.9$30.6 $32.0 $34.5
$49.5
$15.4
$322 - $326
$76.5 - $80.0
CAGR 24%
$271.6
$67.6
8© 2015, LogMeIn, Inc.
Attracting World Class CustomersOur products are simple enough for small business and strong enough for the enterprise.
Collaboration
10© 2015, LogMeIn, Inc.
Instant Collaboration and Access, Simply Delivered
Industry Drivers
Online meetings are increasingly spontaneous
66% of companies are actively looking for a new collaboration solution¹
Long tail of applications and data moving to the cloud
Solution
join.me ranks #1 in speed and ease of use with 1M+ new users per month
The average join.me enterprise customer saves 50% while doubling their licenses
LogMeIn Pro allows people to connect to applications or data from anywhere
¹Ovum Research
11© 2015, LogMeIn, Inc.
Strong Growth Driver
$2.4B web
conferencing market2Best in classNet Promoter Score1150%
Increase in subscribers in the last 12 months
Primary
growth driver for the company
1M+new users per month
¹Satmetrix 2Frost & Sullivan Jan, 2016
IT Management
13© 2015, LogMeIn, Inc
Empowering the Modern Workforce
Industry Drivers
70% of employees work from alternate locations regularly¹
By 2018, 54% of companies will have at least 30% of their applications in the cloud²
49% of ex-employees have accessed a former employers account after leaving a company³
Solution
Pro offers instant access to apps, desktops, and data from anywhere
Central offers business critical IT management and automation
LastPass provides intuitive and secure password and application management
¹Intelligent Office, ²ESG Research, ³Osterman Research
14© 2015, LogMeIn, Inc.
Strong Cash Flow Generator
Central is the
top ratedremote access tool for small businesses1
Acquired
on October 9, 2015#1Cash flow engine for the company 12M
connected PCs
Central connects IT managers with employees
500M times annually
1Qualitrics
Service
16© 2015, LogMeIn, Inc.
Best in Class Support Tools
Industry Drivers
Companies utilize tools to support connected products to improve service
Problems aren’t always solvable through remote access
Engagement expectations have increased and leverage multiple platforms
Solution
Rescue is the #1 premium support tool in the world¹
Rescue Lens is a video-aided support capability that allows technicians to remotely support virtually any product
Bold delivers a modern, mobile-first customer chat experience
¹The top three computer manufacturers use Rescue for customer support, Gartner
17© 2015, LogMeIn, Inc.
Good Margin Contributor
$500Mmarket growing @ 10%1
165Msessions in 20152
Best in class customer list (Microsoft, HPSymantec, Dell) #1
in mobile device support
Customers who use chat are
7.5Xmore likely to convert
1IDC 2Rescue and BoldChat sessions combined
Xively
19© 2015, LogMeIn, Inc.
The Internet of Things
Industry Drivers
Increasingly, connected products are being built requiring new expertise
Security concerns are one of the biggest barriers to broader IoT adoption¹
Companies are struggling to provide sufficient speed and scalability
Solution
Xively provides a complete enterprise IoT solution
Blueprint makes it easy for companies to manage permissions, provisioning, and authentications
Xively’s messaging service delivers high-speed communication between millions of devices
¹BI Inside Report
20© 2015, LogMeIn, Inc.
Transformative Opportunity
25Bconnected devices by 20201
Voted Best IoT Platform3
1Gartner Research, 2IDC, 3M2M Evolution, 4Xively’s capacity
$600B+current market2
1Mmessages per second4
Customer Wins
21© 2015, LogMeIn, Inc.
Three Growth Initiatives
Expand our collaboration opportunity
Disrupt the high-growth identity
market
Help companies transition into
connected businesses
22© 2015, LogMeIn, Inc.
Financial Highlights
~30% Operating cash flow margin
Strong revenue growth with
robust EBITDA
Addressing large and growing
markets
$
When Everything is Connected, Anything is Possible