1 Investors presentation October 2010
Any forecast and/or forecasting statement, included in this presentation, is based on the Management's assessment at its discretion. However, these forecasts and/or statements are based on the Company's expectations at the time of this Presentation and do hold in store a number of uncertainties and risk to consider. It is important to emphasize that actual results may differ substantially from expectations in these forecasts and/ or forecasting statements, resulting from various factors. The Company does not make any representations regarding the accuracy and achievement of the forecasts and/or forecasting statements. In addition, forecasts and/or forecasting statements relate to the date of this Presentation only and the Company is not under any obligation to update or correct any of the forecasts and/or forecasting statements to reflect events or circumstances after the date of this Presentation.
Noam Lanir (through Chanpak and Livermore Investments Group Ltd) 25% Reed Elsevier Venture20% Harel Insurance Investments & Financial Services Ltd6% Public44% Shareholders
80,000,000 users and counting See why
Making information relevant by bridging the language gap Hello שלום Hola
The language Gap yet 70% of Internet content is in English Only 30% of Internet users are native English speakers
visitors to babylon web properties 3.5M unique visitors to Babylon web sites daily
Babylon – Leading the World of Languages 80,000,000 desktop installations 90,000,000 translation requests a day Active in 231 countries 18,000,000 definition terms Supporting 75 languages 3,500,000 new unique visitors a day 100,000 daily downloads
Business Card 100K installations a day A variety of products and services Translation software (Win./Mac/iPhone/iPad/BBerry) Language learning (software/service) English writing improvement software Professional translation service Free translation service Online search service Corporate information retrieval solution Business Model
Search Engine Marketing
Social Networks Marketing
Affiliate Program
Business Model Software sales Online store (monthly recurrent or perpetual) Call Center (private users and SMB) Agents (large organizations) Advertising Search revenue share Display ads Distribution
Revenues Breakdown ($ Millions) AdvertisementCall CenterStoreOrganizations
Advertisement revenues
Advertisement monthly revenue
Advertisement revenue breakdown ($ Millions)
P&L ($ Millions)
P&L ($ millions) Revenue COGS Gross profit R&D S&M G&A Stock-based compensation Operating profit (0.1)(0.3)6.1 Financing (expenses) income Profit Before Income Tax Tax benefit Net profit 22% 18%11% Basic earnings per share ($)
Balance Sheet 2009 dividends – 8M$ Cash and cash equivalents -10.5M$ Equity M$ (85% of Assets) No debt
21 תודה רבהThank you شكرا Dank u Alon Carmeli, CEO Babylon Ltd. Tel Aviv Stock Exchange – BBYL,