NETSUITE GLOBAL LEADER IN CLOUD ERP NYSE: N

NETSUITE GLOBAL LEADER IN CLOUD ERP NYSE: N April 28, 2016 1 © Copyright 2016 SAFE HARBOR STATEMENT This presentation contains “forward-looking” s...
Author: Trevor Wood
2 downloads 1 Views 3MB Size
NETSUITE GLOBAL LEADER IN CLOUD ERP NYSE: N April 28, 2016

1

© Copyright 2016

SAFE HARBOR STATEMENT This presentation contains “forward-looking” statements that involve risks, uncertainties and assumptions relating to expectations, plans, and prospects including expectations relating to NetSuite’s future growth and the future growth of the cloud computing market. These statements are based on information available to NetSuite management at the time of this presentation. Actual results could differ materially from our current expectations as a result of many factors, including, but not limited to: the market for on-demand services may develop more slowly than expected or than it has in the past; and adverse or unpredictable macro-economic conditions or reduced investments in ondemand applications and information technology spending. These and other risks and uncertainties associated with our business are described in our annual report on Form 10-K for the period ending December 31, 2015 and any subsequently filed periodic reports on Form 10-K or 10-Q. We assume no obligation to, and do not intend to, update any forward looking statements. Customers who purchase our services should make sure that their decisions are based on features that are currently available. Please be advised that any unreleased services or features from NetSuite referenced in this presentation or other public statements are not currently available and may not be delivered on time or at all.

2

2

© Copyright 2016

© NetSuite Inc. 2015

INVESTMENT HIGHLIGHTS • The World’s Leading Pure-play Software-as-a-Service (SaaS) Provider of ERP Software Suites − 10,000+ companies running 30,000+ subsidiaries and entities across 100+ countries

• Large and Expanding Addressable Market − ERP has largest TAM of any business app category − Suite approach expands TAM to multiple categories

• Decade of Sustained Revenue Growth − 14+ year head-start, not even a close #2 − Powerful SaaS financial model; high visibility; strong renewals

• Winning Growth Strategy − − − −

3

Verticalization of the suite Moving up market and going global with OneWorld Platform Expanded to OmniChannel with SuiteCommerce Large and growing partner ecosystem

© Copyright 2016

NETSUITE: WORLD’S #1 CLOUD ERP BACKGROUND

PERFORMANCE

• Founded 1998; IPO in 2007

• World’s most deployed cloud ERP

• Publicly traded on NYSE: “N”

• Used by 10,000+ companies, running 30,000+ subsidiaries and entities

• 4,600+ employees • Offices in 12 countries • $741.1M revenue in FY15

• Fastest growing top 10 Financial Management Software Worldwide • Used across 100+ countries #1 Cloud ERP Suite

4

© Copyright 2016

NETSUITE: FASTEST GROWING TOP 10 FINANCIAL MANAGEMENT SYSTEM VENDOR WORLDWIDE 50.0%

Top 10 WW FMS Vendors: 2015 YoY Market Share Growth Rate %

45.0%

40.0%

30.0%

20.0%

• NetSuite is the only pure Cloud vendor in Top 10

14.1% 10.6% 10.0%

8.3% 4.2%

• NetSuite is #6 (up from #8 in 2014) overall by Market Share in 2015

2.9%

1.0%

-0.6%

-9.1%

-12.4%

Sage

Visma Software

Unit4

SAP

0.0%

NetSuite

Deltek Microsoft Oracle

Infor

Yonyou

-10.0%

-20.0% Source: Gartner, Market Share: All Software Markets, Worldwide, 2015. Published March 31, 2016. Chart created by NetSuite based on calculations of Gartner market share data.

5

© Copyright 2016

NETSUITE NAMED ON FORBES’ 2015 LIST OF WORLD’S MOST INNOVATIVE GROWTH COMPANIES Rank

NetSuite Receives 90% Innovation Premium on the 2015 List of Most Innovative Growth Companies — Forbes, May 2015

Company

5-year Avg Sales Growth (%)

Enterprise Value ($billion)

Innovation Premium (%)

Industry

1

Xero

112.2

2.0

90.1

IT SW & SVCS

2

NetSuite

27.8

7.4

90.0

IT SW & SVCS

3

DexCom

52.1

5.2

84.3

Health Care Equip & Svcs

4

ASOS

34.3

4.8

84.3

Retailing

5

athenahealth

32.3

4.8

80.0

Health Care Equip & Svcs

6

M3

34.6

6.4

77.6

Health Care Equip & Svcs

7

Ultimate Software Group

21.1

4.8

76.6

IT SW & SVCS

8

Kakaku.com

25.6

3.6

75.2

IT SW & SVCS

9

Start Today

13.9

2.8

74.6

Retailing

10

Qlik Technologies

28.2

3.2

74.2

IT SW & SVCS

Source, Forbes, May 2015 List of World’s Most Innovative Growth Company less than $10B market capitalization

6

© Copyright 2016

CLOUD OPPORTUNITY: THE BIG LAND GRAB Massive Market Opportunity In Billions

$40

Cloud is the Future

ERP

4x

$20 $27

$29

$31

$33

$35

$27

2014

2015

2016

2017

2018

2019

70% Faster growth than worldwide IT market

Chart created by NetSuite based on Gartner research. Source: Gartner, Forecast: Enterprise Software Markets, Worldwide 2012-2019, 3Q15 Update, 18 September 2015

Rapid SaaS Growth Forecast vs. On-Premise (Enterprise Resource Management (ERM)

17% 5%

10%

15%

20%

Source: IDC, Worldwide SaaS Enterprise Applications 2014-2018 Forecast and 2013 Vendor Shares, Dec 2014 ERM includes Financial applications, Procurement, Order management, Human Capital Management, Payroll, Enterprise asset management, Project management and Financial performance and Strategy management

7

7

© Copyright 2016

© NetSuite Inc. 2015

Sources: IDC CIO Agenda Webinar, 2015 IDC WW and Regional Public IT Cloud Service Forecast 2011-15

Fortune 5 Million: US Enterprise & Mid-Market SMBs Enterprise >1,000 employees ~9,000 firms

2%

SaaS Growth (2013-18)

0%

Technology affecting IT

70% of CIOs embrace a cloud-first strategy in 2016

$0

On-Premise Growth % (2013-18)

#1

Mid-Market 100 - 1,000 employees ~116,000 firms Small