SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 6-K
REPORT OF FOREIGN PRIVATE ISSUER
PURSUANT TO RULES 13a-16 OR 15d-16 OF
THE SECURITIES EXCHANGE ACT OF 1934
For the Month of August 2002
GENESYS S.A.
(Exact name of registrant as specified in its charter)
L'Acropole, 954-980 avenue Jean Mermoz, 34000
Montpellier, FRANCE (Address of principal executive offices)
(Indicate by check mark whether the registrant files or will file
annual reports under cover Form 20-F or Form 40-F.)
Form 20-F X Form 40-F
--- ---
(Indicate by check mark whether the registrant by furnishing the
information contained in this Form is also thereby furnishing the
information to the Commission pursuant to Rule 12g3-2(b) under the
Securities Exchange Act of 1934.
Yes No X
--- ---
(If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b): 82-_______________.
[slide 1]
Q2 2002 EARNINGS
French GAAP
August 13, 2002
Genesys Conferencing logo
The World's Leading Conferencing Specialist
[slide 2]
Forward-Looking
Statements
This conference call contains statements that constitute forward-looking
statements within the meaning of the U.S. Private Securities Litigation Reform
Act of 1995. Forward-looking statements are statements other than historical
information or statements of current condition. These statements appear in a
number of places in this presentation and include statements concerning the
parties' intent, belief or current expectations regarding future events and
trends affecting the parties' financial condition or results of operations.
Forward-looking statements are not guarantees of future performance and involve
risks and uncertainties, and actual results may differ materially from those in
the forward-looking statements as a result of various factors. Some of these
factors are described in the Form 20-F registration statement which was filed by
Genesys with the Securities and Exchange Commission on June 12, 2002. Although
management of the parties believe that their expectations reflected in the
forward-looking statements are reasonable based on information currently
available to them, they cannot assure you that the expectations will prove to
have been correct. Accordingly, you should not place undue reliance on these
forward-looking statements. In any event, these statements speak only as of the
date of this conference call. Except to the extent required by law, the parties
undertake no obligation to revise or update any of them to reflect events or
circumstances after the date of this conference call, or to reflect new
information or the occurrence of unanticipated events.
[slide 3]
Agenda
Q2 2002
Strategy Update
o Q2 Key Elements
o Genesys continues to execute on its vision and strategy
Financial Results
o Q2 EBITDA results in line with 2002 margin guidance
Outlook & Guidance
o Genesys: well-positioned for the future
[slide 4]
Q2 Key Facts
Genesys continues to execute on its strategic plans
o Generated Volume Growth of 39% vs Q2 01
o Continued shift to automation: 53% of revenue
o Closed second call-center in North America
o SG&A* decreased 2.3 M euro vs Q2 01 and 0.1 M euro sequentially
o Improved EBITDA* by 56.8% vs Q2 01
* Excludes non-recurring costs
[slide 5]
Q2 Key Facts
Genesys continues to execute on its strategic plans
o Genesys Meeting Center continues to gain strong momentum:
- 120,000 seats sold at June 30th
o Market conditions in Telecommunication Industry create strong opportunities
o Renegotiated Telecom long distance contract in the US
o Actions executed to generate 2.5 M euros and 3.5 M euros savings for Q3 &
Q4, respectively*
[slide 6]
Second Quarter 2002
Financial Review
[slide 7]
Genesys' Financial Execution
Genesys is committed to continuous performance improvement
o Genesys executes a rapid transformation of its US business towards its
European model
- Shift to automation
- Consolidation of call centers
- Harmonization and integration, ...
o Genesys is aggressively reducing SG&A costs to improve profitablility
[slide 8]
A Strong European Model
Automated services reached 64% of revenues in Q2 02
[Bar graph omitted showing European automated services
as a percentage of revenues]
[slide 9]
North America is Trending
towards the European Model
Automated services reached 47% of revenues in Q2 02
[Bar graph omitted comparing North American and
European automated services as a percentage of revenues]
[slide 10]
...and so is Asia-Pacific
Automated services reached 51% of revenues in Q2 02
[Bar graph omitted comparing European, North American and
Asia-Pacific automated services as a percentage of revenues]
[slide 11]
Genesys is Rapidly Moving its Business
towards its European Model
Automated services reached 53% of revenues in Q2 02
[Bar graph omitted showing targets for the fourth quarters of 2002
and 2003 for automated services as a percentage of revenue]
[slide 12]
Automated service volumes
Automated services reach 65%
of call volume in 1Q 02
[line graph omitted showing the evolution of
automated services volumes from April 2001 until June 2002,
and growth of +109% between June 2001 and June 2002]
[slide 13]
Overall GM on Automated Services Remains
High and Stable Despite Price Erosion
[Bar graph omitted showing gross margin %]
[slide 14]
Q2 Results
Proforma
o Total volumes: 282 M minutes, up 39% vs Q2 01
& up 5.7% sequentially
o Automated
service volumes: 71% of total audio volume, up 114%
vs Q2 01 and 16% sequentially
o Revenues: 52.7 M euros down 2.5% vs Q2 2001
o Gross margin*: 59.0% up 190 basis points vs
Q2 2001
o EBITDA*: 7.5M euros, up 56.8% vs Q2 2001
[slide 15]
Q2 2002 P&L
Proforma
Euro Million Q2 2001 Q2 2002 % Change
- --------------------------------------------------------------------------------
Revenue 54.0 52.7 (2.5%)
Gross Profit 30.9 31.1 0.9%
Gross Margin* 57.1% 59.0%
EBIT(1) (0.2) 0.6
EBITDA* 4.8 7.5 56.8%
EBITDA margin 8.9% 14.3%
* Excludes non-recurring charges.
(1) Excludes amortization of identifiable intangibles, acquisition and deferred
financing costs
[slide 16]
Additional Financial Data
Q2 cash earnings per share
Net loss euro M (8.4)*
Depreciation 4.5
Amortization of goodwill 2.4
Amortization of intangibles 4.0
----------
Cash earnings euro M 2.4
==========
Cash earnings per share euro 0.15
Basic shares 15,544,450
* Excludes non-recurring charges
[slide 17]
Additional Financial Data
(cont.)
o Cash and equivalents
June 30, 2002: euro 5.1 M
o Cash and equivalents
August 9, 2002: euro 9.7 M
o Net debt June 30, 2002: euro 129.4 M
o Debt payments 2H 2002: US$ 3.0 M
[slide 18]
Genesys Conferencing
Well Positioned for
the Remainder of the Year
and Beyond
[slide 19]
Take Advantage
of Telecom Market Conditions
and Conferencing Consolidation
o Conferencing services get greater awareness
o Conferencing and collaboration service market shall continue to grow
rapidly
o Genesys' three largest competitors have to face significant issues on their
core business
o Conferencing industry is under consolidation
All of the above create strong
------------------------------
growth opportunities
--------------------
[slide 20]
Shift to Automation Continues to Hide
Growth Potential
Q4 01 Q1 02 Q2 02
----- ----- -----
o Automated Services
------------------
% of audio volumes 59% 65% 71%
% of total revenues 41% 47% 53%
o All Services
------------
Total volume growth 35% 38%* 39%
Price erosion 9.5% 8.5% 12.8%*
Potential revenue growth w/o impact
of shift to automated services 25% 29% 26%
--- --- ---
*Excludes BT
[slide 21]
Call Center Consolidation
Drives Improved Profitability
o Consolidate 6 call centers into 3 call centers to improve customer service
and operating efficiencies
o Remaining call centers will absorb current volume and provide for future
growth
[Map of the United States showing call center closures and remaining call
centers that will absorb the volume of the closed centers]
[slide 22]
Genesys Meeting Center
Deployment Update
[slide 23]
Genesys Meeting Center
The fastest growing web-conferencing platform
[GRAPHIC OMITTED]
o Key Elements of success
- Drive mass market adoption
- Leverage 17,000 customers worldwide
- complete integration of audio, web and video conferencing
o 120,000 seats sold through June 30, 2002
o First enterprise-wide contracts are being signed
o Prices and market-value remains unmatched 15 seats package for $39.95 flat
fee per month
o Continues to drive 10-15% increase in audio usage
[slide 24]
Genesys Meeting Center 2.0
Launched June 10, 2002
[GRAPHIC OMITTED]
o Genesys Meeting Center v.2.0
- Integrates reservation-less multipoint video over IP
- Outlook Exchange / Calendar integration
- MSN -Instant Messaging integration
- Reservation-less multipoint video over IP: $10 per participant
(unlimited duration of the conference)
- Generates gross margin of approx. 70%
- Easy to sell, easy to buy, easy to use
[slide 25]
Genesys Meeting Center Data
Genesys Meeting Center is the world's fastest growing
multimedia conferencing and collaboration service
o Total number of seats deployed: 120,000
o 2 web conferences per month per subscriber
o Generates 15% additional audio volumes
o Enterprise-wide contracts are being deployed
o Partnership expansion: HP, Dell, Philips, Jornada
[slide 26]
Year-end Guidance
[slide 27]
Actions Executed to Generate
Q3 & Q4 Cost Savings
(in 000's)
Q3* Q4*
o Transport savings 1,900 2,300
o Headcount savings 500 1,100
o Other 100 100
Total Savings Expected 2,500 3,500
* Expected savings compared to Q2
[slide 28]
Full Year 2002 Updated Guidance
Updated Previous
o Year-end % 60 - 65% 50%
of Revenue Automated
o Revenue* 200 - 210 M euro 230 - 250 M euro
o EBITDA Growth** 33.8 - 35.4 M euro 33.8 - 35.4 M euro
27 - 33% 27 - 33%
proforma growth proforma growth
from 2001 from 2001
* Assumes 1 euro = $1
** Excludes non-recurring costs but includes
the Q2 02 1.2 M euro long distance expense
[slide 29]
Genesys Conferencing
Well Positioned for the Future
o Fast-growing market
o Strong volume growth
o Hidden strong revenue growth
o Improving margins
o 17,000+ customers
o Unique worldwide coverage
o Genesys Meeting Center: our platform for continued success
[slide 30]
Leading the World of
Conferencing
[Genesys Conferencing Logo]
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
Dated: August 14, 2002
GENESYS SA
By: /s/ Francois Legros
-------------------------------------
Name: Francois Legros
Title: Chairman and Chief Executive
Officer