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INVESTORPRESENTATION
June 6, 2017
DISCLAIMER
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Forward-looking statementThis document contains certain forward-looking statements with respect to 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 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. All amounts are in Canadian dollars.
These assumptions include, without limitation:
No significant change in the current value of CAD$ vs. US$
No significant increase or decrease in revenues and operating expenses
Stable market conditions
INVESTOR PRESENTATION
OUR MISSION
Provide innovative and efficientE-commerce solutions
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COMPANY OVERVIEW
+ Founded in 1996, public since 2000, MDF.TO
+ Workforce of 450 employees
+ Revenue $77.7M, Adj. EBITDA $28.6M, 37% (FY17)
+ Market capitalization $230M*
+ Dividend $0.10/quarter
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
*as at June 6, 2017
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$0,58 $0,69
$0,97 $0,80
$1,00 $1,05 $1,06
FY11 FY12 FY13 FY14 FY15 FY16 FY17
Profit par action
$10,3 $12,3
$18,0$22,2 $24,1 $22,3 $23,7
FY11 FY12 FY13 FY14 FY15 FY16 FY17
Cash flow from Operations
15,1 17,4
25,2 24,327,5 28,6 28,6
FY11 FY12 FY13 FY14 FY15 FY16 FY17
Adjusted EBITDA
47,1 53,8 60,7 65,4 70,2 73,0 77,7
FY11 FY12 FY13 FY14 FY15 FY16 FY17
Revenue
LONG TERM VALUE CREATION METRICS
(in millions of CA$, except per share amounts | CAGR: compound annual growth rate)
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
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OUR BUSINESSES
(JOB BOARD)
(CLASSIFIED ADS)
(ONLINE DATING)(CONTRACT MANAGEMENT)
(E-PURCHASING)
(E-PURCHASING)
STRONGEST GROWTH POTENTIAL
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
(SUPPLY CHAIN) (AUTOMOTIVE AFTERMARKET)
(DIAMONDS & JEWELRY)
(WINE & SPIRITS)
(ELECTRONIC COMPONENTS)
FOCUS ON ORGANIC GROWTH
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FOCUS ON ORGANIC GROWTH
Invest in highest growth potential platforms
o E-Purchasing
o Supply Chain
o Consumers
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
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E-PURCHASING OFFERING
E-purchasing Market:Double digit growth market*
Merx (Canada): 2,000 buyers70,000 suppliers
BidNet (USA): 1,100 agencies 60,000 suppliers
Recurring revenues: ~55%
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
*(Forrester Research, see appendix)
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E-PURCHASING GROWTH STRATEGY
Monetize existing buyer relations through VASA
Grab new business with Source-to-ContractB
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
Bid Evaluation Contract Management Vendor Performance Management
Develop the US enterprise market
Increase buyer stickiness through a broader offering
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CONTRACT LIFECYCLE MANAGEMENT
RFPBIDS AWARD
CONTRACTMANAGEMENT
PERFORMANCEMANAGEMENT
VENDOR QUALIFICATION
DOCUMENTDEVELOPMENT
EVALUATION
Essential piece for MERX & BidNet for product evolution
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
Source-to-Contract
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ACQUISITION
In line with our growth strategy
Operate in fast growing market*
Provide cross selling, integration opportunities
Generate ~70% of recurring revenues (50% in USD)
Asset purchase – May 31, 2016, $17.1M
*(CAGR 2010-2015 of 15% according to Forrester Research)
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
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SUPPLY CHAIN OFFERING
Unique Combined OfferingPrivate CatalogueEDI Business Network (VAN Tier-1)
Automotive
Healthcare
Apparel & General Merchandise
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
90%+ Recurring revenues (75% US$)
3,000+ Retailers & suppliers
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SUPPLY CHAIN GROWTH STRATEGY
o Help retailers address the challenges of the digital transformation through our combined offering
o Introduce Web EDI for small vendors who need to transact with retailers
o Increase Sales & Marketing efforts
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
Our solutions accelerate time-to-market, with richer and more standardized product data, that retailers can quickly promote on any sales channel, especially online.
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CONSUMER GROUP OFFERING
PRESENT IN KEYLIFE EVENTS &MOMENTS
LesPAC: Buy & sell
Jobboom: Find a job & manage your career
Réseau Contact: Find love & build relationships
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
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CONSUMER GROUP GROWTH STRATEGY
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
More Content more Traffic more Leads
Increase platform content
o Freemium model - March 1st
Monetize added content
o New visibility tools
Focus on SMB that wants to sell online
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CONSUMER GROUP GROWTH STRATEGY
Evolution of the business platform to:
o Provide additional tools for the job seeker
o Improve recruitment process of the employer
INVESTOR PRESENTATION | FOCUS ON ORGANIC GROWTH
PROCÈS-VERBAL DE LA RÉUNION DU 2 JUIN 2016FINANCIAL HIGHLIGHTSYear ended March 31st, 2017
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FY2017 HIGHLIGHTS
Revenues of $77.7M | +6% ASC revenues - 10 months $4.2M*
Adjusted EBITDA of $28.6M | 37% margin
Profit of $15.8M | $1.06 per share
Cash flow from operations of $23.7M
INVESTOR PRESENTATION | YEAR ENDED MARCH 31ST, 2017
* Net of the acquired deferred revenue adjustment to their fair value @ the acquisition date: $0.6M
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QUARTERLY RESULTS
(in millions of CA$)
INVESTOR PRESENTATION | YEAR ENDED MARCH 31ST, 2017
18,8 19,0 19,5 19,3 20,0
6,6 7,08,1
7,1 6,4
2,53,7
4,5 4,0 3,6
35%37%
42%37%
32%
Q4-FY16 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17Revenues Adjusted EBITDA Profit Adjusted EBITDA margin
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FINANCIAL POSITION
Healthy balance sheet
Strong adjusted EBITDA margin
High cash flow from operations
Net debt / adjusted EBITDA @ 0.7X*
Liquidity of $59M + accordion feature of $40M*
*LTM Adjusted EBITDA, Net debt as at March 31, 2017*Accordion feature subject to lenders approval
INVESTOR PRESENTATION | YEAR ENDED MARCH 31ST, 2017
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M&A GUIDELINES
North American location
Ethical and diversified business sectors
Strong business models– High profitability– Recurring | Transactional revenues– Sustainable competitive advantage
Web technology
Acquisition target– Companies between $5M - $25M in annual revenues– Aligned to take advantage of our resources
(Technical, Financial, HR)
INVESTOR PRESENTATION | YEAR ENDED MARCH 31ST, 2017
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OWNERSHIP
14.9 million shares outstanding*
Alignment of interests Directors & Officers owns 28% of all shares o/s
• Claude Roy, President & CEO, currently holding 24%
*March 31st, 2017
INVESTOR PRESENTATION | YEAR ENDED MARCH 31ST, 2017
25INVESTOR PRESENTATION
BOARD OF DIRECTORSClaude RoyChairman and CEO
Gilles LaurinChartered Accountant and Director of Corporations
Michel DubéConsultant
Catherine RoyPresidentGestion Catsachar Inc.
André GauthierPresidentAndré Gauthier Holding Inc.
Jean-François SabourinPresident and CEOFinlogiK Inc. & JitneyTrade Inc.
Gilles LaporteDirector of Corporations
MANAGEMENT TEAMClaude Roy President and Chief Executive Officer
Suzanne MoquinVice President, Consumers Solutions
Paul BourqueChief Financial Officer
Jean-Michel StamVice President, Canadian Operations
Hélène HallakVice President and General Counsel
Stéphane Anglaret Vice President, Technology
Mark Eigenbauer Vice President, US Operations
Camil RousseauVice President, Research & Development
APPENDIX
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FORRESTER RESEARCH
*
INVESTOR PRESENTATION
MEDIAGRIF INTERACTIVE TECHNOLOGIES INC. 1111 St-Charles Street West, Suite 255Longueuil, QuébecCanada J4K 5G4
www.mediagrif.com
Toll Free: 877 677-9088Phone: 450 449-0102
Fax: 450 449-8725
