10 February 2016 – SYDNEY - nearmap ltd (ASX: NEA) is pleased
to announce its results for the half year ended 31 December 2015
(1H FY16), with the Company reporting total revenue of $14.1M, up
21% on corresponding prior period total revenue of $11.7M.
CEO Rob Newman said that the results demonstrated the
compelling customer value proposition of nearmap’s cloud based,
scalable and disruptive geospatial imaging platform.
“Our customers want coverage, up to date images, an archive, tools
to help turn the data into successful outcomes in their own
businesses, and consistency and service at a good price. That’s
nearmap in a nutshell.”
1H FY16 Financial Overview
Australia
• Subscription revenue up 21% to $13.6M (1H FY15: $11.2M)
• Gross profit up 22% to $12.3M (1H FY15: $10.1M)
• Gross margins of 90% (1H FY15: 89%)
• Fully costed EBIT $7.0 (1H FY15: $5.8M)
United States
• Subscription revenue of $0.2M (1H FY15: $Nil)
• Annualised contract value (ACV) of $1M
• Fully funded by internal cash resources
• $4.5M investment in sales and marketing
Group
• Strong balance sheet with no debt
• Cash balance of $14.4M (30 June 2015: $17.2M)
• Net operating cash flows of $0.3M (1H FY15: $1.4M)
1H FY16 Operational Overview
• Achieved market guidance of Australian ACV of $30M, with
strong penetration across industries.
• Achieved US ACV of $1M at 31 December 2015, with
continued quarter on quarter growth.
• Continued technology leadership with the successful
completion of the first capture and processing of enhanced
imagery at commercial quality using our next generation
HyperCamera 2 technology.
• Enhanced leadership team with experienced, growth
oriented board and executive team members joining in 1H
FY16, with on the ground presence in the US.
Commenting on the 1H FY16 result, Dr Newman said that high
margins, a strong balance sheet and targeted marketing investments
driving growth were delivering returns to nearmap domestically and
in America.
“The first half of FY16 was an encouraging period for nearmap. We
are pleased to continue building our recurring income streams, with
subscription revenues at a group level of $13.8M, a 23% increase on
1H FY15.”
Outlook
In commenting on the outlook for the business, Dr Newman said the
Company reaffirms the opportunities for growth and high returns in
the aerial imaging market in Australia and the US.
“We continue our revenue growth in Australia. We are building the
foundations in the US and starting to deliver returns on our
investments. The launch in H2 FY16 of our next generation
HyperCamera 2 technology will further enhance our customer value
proposition and positioning against competitors.
“Given the compelling nature of our opportunities, we continue to be
a growth company, firmly in growth mode.”
-ends-
NEA Price at posting:
36.5¢ Sentiment: Hold Disclosure: Held
