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Investors Investors Presentation August 2012

Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

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Page 1: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Investors Investors Presentation

August 2012

Page 2: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Disclaimer

Forward Looking StatementsThis presentation contains certain forward-looking statements with respect to the Company, including, without limitation, guidance on future earnings of the Company. These forward-looking statements, by their nature, necessarily involve risks and uncertainties that could cause actual results to differ materially from those contemplated by these forward-looking statements. We consider the assumptions on which these forward-looking statements are based to be reasonable, but caution the reader that these assumptions regarding future events, many of which are beyond our control, may ultimately prove to be incorrect since

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events, many of which are beyond our control, may ultimately prove to be incorrect since they are subject to risks and uncertainties that affect us. We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities legislation

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Assumptions: No significant change in the current value of CDN$ vs. US$No significant increase or decrease in revenues and operating expensesStable market conditions

Page 3: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Our Mission

Provide innovative interactive e-commerce solutions to help our clients efficiently reach their objectives, while

harnessing the power of interactive technologies.

In doing so, we seek to create value for our clients, our employees and our shareholders.

We connect Buyers and Sellers

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E-Commerce Solutions

‒ Marketplaces‒ Procurement ‒ Business

Worldwide Client Base‒Private sector‒Public sector‒Consumers

Page 4: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

x Gov. Opportunities

x Gov. Opportunities

x x x Wine & Spirits

x x Computer, IT & Telecom

x Automotive Aftermarket

x

Diversified Business Sectors

MARKETPLACE BUSINESS E-PROC. CONSUMER INDUSTRY

INITERACTIVE E-COMMERCE SOLUTIONS

x Medical Equipment

x Computer, IT & Telecom

x Electronic Components

xSupply

Chain Collaboration

x Automotive Aftermarket

x Diamonds & Jewelry

x x x Classifieds / Ad / Deals

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Page 5: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Reaching New Heights

47,945,7

47,1

53,8

27%

32%32%

39%

25%

30%

35%

40%

45%

50%

35

45

55

65

(CAD currency in Millions of $)

5

15,8

5,2

12,4

15,117,4

6,1

-1,32,5

8,09,5

3,6

11%

0%

5%

10%

15%

20%

-5

5

15

25

FY09 FY10 FY11 FY12 FY13 Q1

Revenues EBITDA Profit for the period EBITDA Margins %

Page 6: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

‒ White Label E-Procurement SolutionGovernment of Canada preferred solutionCanadian/U.S public & private sector adoption

‒ SaaS E-Commerce SolutionCurrently utilized by Major North American clientWhite label solution opportunities in other vertical markets

First Quarter FY13 - Highlights

• Revenues up 25% or $3.2 million to $15.8 million

• EBITDA of $6.1 million, up 53% compared to $4.0 million

• Strong contribution from LesPAC in Q1-FY13

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‒ Build on InterTrade EDI Market High growth in SMB Web EDI solutions market

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• Net earnings of $3.6 million ($0.26 per share)

• Repayment of $2.0 million on the term loan($1.0M in advance)

• Declared a quarterly dividend of $0.09 per share. (October 2012)

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Page 7: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

First Quarter FY13 - Financial Summary

Three months ended

June 30

(in thousands of Canadian dollars, except for numbers related to shares - unaudited)

2012

2011

Revenues 15,847 12,637

EBITDA 6,125 3,992

Operating profit 4,892 3,225

Net earnings 3,633 2,158

Earnings per share

77

Earnings per share

- Basic & Diluted

0.26

0.16

Weighted average number of share outstanding (in thousands)

- Basic 13,740 13,682

- Diluted 13,789 13,725

(For more details - see Financial Information section on our website @ www.mediagrif.com)

Page 8: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

‒ White Label E-Procurement SolutionGovernment of Canada preferred solutionCanadian/U.S public & private sector adoption

‒ SaaS E-Commerce SolutionCurrently utilized by Major North American clientWhite label solution opportunities in other vertical markets

Term Loan & Revolving Facility

• $40M Borrowed November 2011

• $32M Balance as of June 30, 2012- ($8 million repaid, $6 million in advance)

Term loan:

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‒ Build on InterTrade EDI Market High growth in SMB Web EDI solutions market

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• $7.5M Borrowed on $20 million approved

• $4.5M Balance as of June 30, 2012

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Revolving Facility:

*Both facilities mature in November, 2016

Page 9: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

June 30th 2012

Dec 2008

$248 M

$28 M

Market Cap. Stock Price

$17.94

$2.00

Increased Analyst CoverageValue For Shareholders

Focus on Value Creation

Dec 08 2010 2011

Stock Performance

2012

‒ Acumen Capital Finance Partners

‒ Valeurs mobilières Banque Laurentienne

‒ GMP Securities L.P.

‒ Cormark Securities

‒ National Bank

Increased Analyst Coverage

Market Cap. and share price up more than 10X

Value For Shareholders

Quarterly dividend of C$ 0.09

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Page 10: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Contractual Recurring Revenues

Membership (SaaS)*

Software (Right of use)

Transactional

5%5%

1%

61%

Building on Recurring Revenues

Transactional

Advertising

Maintenance

Value Added Services

Information Services

*Software -as-a-Service

38%

19%

17%

15% Recurring Rev. Q1 FY13

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Page 11: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Reallocation of Resources Prioritizing following organic growth initiatives

‒ MERX 4 Private Tender and BI Solution

‒ InterTrade EDI Solution

Organic Growth Initiatives FY13

‒ InterTrade EDI Solution

‒ LesPAC

‒ US Construction Tender Solution

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Page 12: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

North American Location

Ethical and Diversified Business Sectors

Strong Business ModelsHigh Profitability

Recurring / Transactional Revenues

MDF Acquisition Criteria

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SaaS (Software-as-a-Service)

Sustainable Competitive Advantage

Web Based Solutions

Acquisition TargetsCompanies between $5 - $25 M in annual revenues

Aligned to take advantage of our resources (Technical, Financial, HR)

Page 13: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Reaching New Heights

Planes change. Values don’t.

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Page 14: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Claude Roy President and Chief Executive Officer

Richard Lampron Chief Operating Officer

Paul Bourque Chief Financial Officer

Hélène Hallak Senior Vice President and General Counsel

Mark Eigenbauer Vice President, US Operations

Management Team

Paul Saunders President, MERX

Eric Phaneuf President, InterTrade

Suzanne Moquin President, LesPAC

Jean-Michel Stam Vice President, e-Business networks

Stéphane Anglaret Vice President, Technology

Camil Rousseau Vice President, R & D

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Page 15: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Claude Roy 3,283,700 23.8%

Directors and Officers 761,711 5.5%

Employees 156,003 1.1%

Subtotal 4,201,414 30.4%

Shares % of total

Ownership Structure

Outstanding shares 13,726,275 100%

Options outstanding 37,500

Public 3,749,989 27.2%

Institutional Investors 5,844,872 42.4%

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As of June 30th 2012

Page 16: Mediagrif Investors Presentation EN 20120808€¦ · Microsoft PowerPoint - Mediagrif_Investors_Presentation_EN_20120808 Author: sgoulet Created Date: 8/9/2012 9:48:57 AM

Gilles LaurinChartered Accountant Advisor and Director of corporations

Claude RoyChairman and CEOMediagrif

André CourtemanchePresident and Chief Executive OfficerVIAVAR Capital

Board Members

Gilles LaporteDirector of Corporations

Jean-François SabourinPresident and Chief Executive OfficerFinlogiK Inc. Chairman of the Board and ManagingDirectorJitneyTrade inc.

Michel DubéConsultant

André GauthierPresidentAndré Gauthier Holding Inc.

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