WELCOME 2011 Annual GlobalSCAPE Shareholders Meeting June 2, 2011 Exhibit 99.1 |
This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The words “would,” “exceed,” “should,” “anticipates,” “believe,” “steady,” “dramatic,” and variations of such words and similar expressions identify forward-looking statements, but their absence does not mean that a statement is not a forward-looking statement. These forward-looking statements are based upon the Company’s current expectations and are subject to a number of risks, uncertainties and assumptions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Among the important factors that could cause actual results to differ significantly from those expressed or implied by such forward-looking statements are risks that are detailed in the Company’s Annual Report on Form 10-K for the 2010 calendar year, as filed with the Security Exchange Commission on March 29, 2011. Safe Harbor Statement 2 |
Today’s Discussion Information security for consumers and companies Market growth drivers – Security – Cloud – Big Data GlobalSCAPE at a glance Growth into adjacent markets Gaining the edge on computer viruses Recent financial highlights 3 |
Data loss incidents creating buzz Source: DataLossdb.org website, March 21, 2011. 4 |
Regulations and Compliance Sarbanes-Oxley Act Health Insurance Portability and Accountability Act of 1996 (HIPAA) Gramm–Leach–Bliley Act (GLBA) EU Data Protection Directive Payment Card Industry Data Security Standard (PCI DSS) Federal Information Security Management Act (FISMA) 5 |
Expensive and under utilized data centers “Pay as you go” service instead of buying and supporting software, hardware servers, power, patches, upgrades Main benefit is cost reduction – Example – Library of Congress data multiple times over • Buy hardware and equipment: $1.7M * • Outsource the storage: $130K * Main concern is security U.S. government “Cloud First” policy Moving to the cloud * Source: Investors Business Daily “How To Overcome The Data Tsunami”. February 28, 2011. 6 |
Business relies on secure data transfers Need to securely and efficiently exchange business data with partners or customers on a global basis Need data transfers automated to keep business moving Need to send very large files via email to meet a deadline Need to provide full compliance and auditing reporting Need to seamlessly connect to existing backend systems like procurement, fulfillment, accounting, customer, inventory, and support 7 |
Company at a glance Overview We provide secure information exchange software and services for enterprises and consumers Headquartered in San Antonio, Texas, with 87 employees Founded 1996; publicly traded on NYSE Amex under ticker symbol ‘GSB’ Business Highlights GlobalSCAPE has over 10,000 enterprise customers in over 150 countries; 2M licenses issued for CuteFTP ® ; deployed by majority of Fortune 100 Recognized as leader and innovator in the Information Security and Managed File Transfer Sectors by Gartner Group and others Profitable for 26 of the past 28 quarters (as of 3/31/2011); CAGR of 25+% during 2005 – 2009 (resulting in Deloitte Technology Fast 500 recognition in 2009 and 2010); Named to Russell Microcap ® Index 92% maintenance and support renewals indicating high customer satisfaction in 2010 Outstanding company culture recognized by Computerworld and other publications 4 products introduced in last 12 months with additional product launches over next 6 months 8 |
Leadership Team 9 |
Awards, Recognition, and Media Coverage 10 |
Unequalled Solution Certifications US Army Certificate of Networthiness* Signifies successful completion of a stringent assessment to ensure Army Automated Information Systems are secure, supportable, sustainable, and compatible with Army standards. FIPS-140-2 Certified The Federal Information Processing Standard (FIPS) Pub 140-2 specifies the security requirements of cryptographic modules. The certification verifies that a vendors product has met or exceeded the requirement. AS/2 Drummond Certified Drummond certification is vendor-neutral operability testing and certification that a vendor meets or exceeds the Applicability Statement 2 (AS/2) standard with their product. These certifications represent a considerable barrier to entry that significantly differentiates GlobalSCAPE from its competitors. 11 |
12 Select Customers |
Customer Success Thomson Reuters – Transfer over 800,000 files per day worldwide – Supports financial products and services 13 US Army Logistics – Transfer mission critical logistics data worldwide – Professional services for SAMS-E program (partner with MAT) Broward County Sheriff’s Office – Transfer digital crime scene evidence to lab – Immediate processing of evidence |
14 Dashboard Visibility (Examples) • Daily Sales Licenses Maintenance and Support Services • Also Available Sales Pipeline Web Analytics Custom Reports (Historical) • Customer Support Open Cases Responsiveness Severity Status |
Secure File Transfer Leader Recognized global leader in the Managed File Transfer market 15 |
Growth into Email Security Launched email-based secure file transfer in August 2010 16 |
Growth into Cloud Services Launched cloud-based service for exchanging business data in July 2010 17 |
Growth into Endpoint Security Investment in CoreTrace ® in December 2009; Announced new consumer security product in February 2011 18 |
Total Path Security™ 19 |
appShield™ Announcement Development underway, with targeted commercial release date in summer 2011 Pioneering application whitelisting solution for consumers High value for consumer and prosumers for their home computers – Immediately blocks all unauthorized programs from running – Offers always-on protection against known and unknown threats – Consumes minimal computer resources Complements existing consumer antivirus products 20 |
21 Trended Financial Results ($ in thousands) Q1 2010 Q2 2010 Q3 2010 Q4 2010 Revenue 4,413 $ 4,466 $ 4,769 $ 4,917 $ Gross Margin 4,311 4,322 4,627 4,704 Gross Margin 97.7% 96.8% 97.0% 95.7% Operating Expenses R&D 646 725 832 813 SG&A 2,909 3,213 3,326 3,367 Operating Income (Loss) 556 185 268 272 Net Income 364 134 233 150 Adjusted EBITDA * 1,020 607 744 778 Cash & Short Term Invstmt 8,455 9,132 10,141 11,087 * Excludes stock-based compensation |
2010 Strategy Results 22 Continue to enhance and develop our solutions Pursue strategic solution partnerships and acquisition opportunities Grow our sales capabilities Increase our market visibility and recognition |
2011 Strategy Focus 23 Enter and establish leadership in broader markets Grow recurring revenue and annual contract value Continue to enhance and develop our solutions Extend our presence in the endpoint security market Increase international and channel sales Grow government sales across Federal, state, and local Continue to grow our corporate brand |