View
236
Download
2
Category
Preview:
Citation preview
1
2
This presentation includes certain “forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995,
including statements concerning our position to execute on our growth strategy in the mid-market, and our ability to expand our leadership
position and market opportunity for our inbound platform. These forward-looking statements include, but are not limited to, plans,
objectives, expectations and intentions and other statements contained in this press release that are not historical facts and statements
identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates" or words of similar meaning. These
forward-looking statements reflect our current views about our plans, intentions, expectations, strategies and prospects, which are based
on the information currently available to us and on assumptions we have made. Although we believe that our plans, intentions,
expectations, strategies and prospects as reflected in or suggested by those forward-looking statements are reasonable, we can give no
assurance that the plans, intentions, expectations or strategies will be attained or achieved. Furthermore, actual results may differ
materially from those described in the forward-looking statements and will be affected by a variety of risks and factors that are beyond our
control including, without limitation, our history of losses, our ability to retain existing customers and add new customers, the continued
growth of the market for an inbound platform; our ability to differentiate our platform from competing products and technologies; our ability
to manage our growth effectively to maintain our high level of service; our ability to maintain and expand relationships with our marketing
agency partners; our ability to successfully recruit and retain highly-qualified personnel; the price volatility of our common stock, and other
risks set forth under the caption "Risk Factors" in our Quarterly Report on Form 10-Q filed on August 6, 2015 and our other SEC
filings. We assume no obligation to update any forward-looking statements contained in this document as a result of new information,
future events or otherwise.
Safe Harbor
3
An inbound marketing and sales
SaaS platform
Focused on the
mid-market15,500+
customers
4
5
Continued Momentum Since IPOGROWTH DRIVERS: Domestic | International | Upsell Customer
REVENUE CUSTOMERS ASRPC
..The Marketing Playbook IS BROKENIs
6
VS.
Cold Calling
eMail Spam
Ads
SEO
Blogging
Social
INBOUNDTRADITIONAL
7
VISITOR
LEAD
Landing PagesCalls-to-action Automation
Blogging Social SEOWebsite
8
VISITOR
All-In-OneMarketing PlatformLEAD
9
Platform > ∑ Point Solutions
10
Screenshot from HubSpot product, 9/18/14
Blogging + SEO
11
VISITOR LEAD CUSTOMER
Social Inbox + Inbound Database
Screenshot from HubSpot product, March 2015
12
Website + Inbound Database
13
3M companies
X $10,127/year
>$30.4 Billion
Total Addressable
Market
1 – 10employees
10 – 2000employees
2000+employees
-3.0M is US, CAN, and Europe. 1.6M mid-market businesses with a web presence in the United States and Canada. 1.4M mid-market businesses with a web presence in Europe.
-AMI Partners data, 2014. Avg. Subscription Revenue per Customer from Q2’15 14
The Power of Inbound
Screenshot from HubSpot product, 7/27/15 15
2,500+ Agency Partners
16
The InboundMovement
Available in
9 languages
10,000+Conference Attendees
2,500+Partners
125,000+Members
Trained and certified
17,000+ professionals
2.0+ millionMonthly Visits
BLOG
17
Stats as of July 27, 2015.
HubSpot customers
see an average
5.7x increasein lead generation
after 12 months
Source: Internal Analysis of >3,000 customers, 2014
Month 1 Month 12Customer Age In Months
18
Customer Growth
19
5,783
8,159
10,111
13,607
14,746
2006 2007 2008 2009 2010 2011 2012 2013 2014 Q1'15
15,839
Q2’15
Pricing as of July 28, 2015
HubSpot Pricing
Upgrade based on
contact database
size.
Upgrade based on features.
20
Average Subscription Revenue Per Customer
21
$5,395
$6,580
$7,752
$8,926
$9,740
$-
$1,000
$2,000
$3,000
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
$10,000
2011 2012 2013 2014 Q1'15 Q2'15
Editions Editions + Contacts
$10,127
2009 2010 2011 2012 2013 2014
Revenue Growth
$6.6M$15.4M
$28.6M
$51.6M
$77.6M
$115.9M
22
$38.2M58% Y/Y
$42.9M58% Y/Y
Q1’15 Q2’15
Key Financial Metrics
Key financial
metrics2011 2012 2013 2014 Q1’15 Q2’15
Gross Margin 61% 70% 65% 70% 73% 75%
% of revenue
R&D 27% 19% 18% 17% 15% 15%
S&M 82% 66% 67% 63% 57% 56%
G&A 21% 16% 19% 18% 17% 16%
Operating (Loss) /
Income %(69%) (31%) (39%) (28%) (16%) (13%)
All percentages for historical period are non-GAAP and exclude expenses associated with stock based compensation and amortization of acquired intangibles.
Please refer to the end of this presentation for a reconciliation of GAAP to non-GAAP figures. 23
..The Sales Playbook IS BROKENIs
24
OPPORTUNITY
CUSTOMER
Lead Enrichment
LeadSourcing
ContentManagement
CRM System
EmailOptimization
25
OPPORTUNITY
CUSTOMER
HubSpot CRM
SIDEKICK
CRM is for managing sales;
Sidekick is for making sales
26
Sidekick.
A free, lightweight set of inbox productivity tools that sales folks will love.
• Track email opens & clicks, schedule emails, and leverage templates right from your inbox
• Surfaces useful details about the contacts & companies you are communicating with
• Connects to HubSpot Marketing, Salesforce or HubSpot CRM
• Free, $10 & $ 50 user/month versions
27Screenshot of Sidekick product, March 2015.
LEAD
OPPORTUNITY
CUSTOMER
All-In-OneMarketing &
Sales Platform
VISITOR
28
29
Develop New
Products
30
Growth Strategy
Large Domestic
Opportunity
Large International
Opportunity
Upsell Customer
Base
1 2
3 4
Thank You
31
GAAP to Non-GAAP Reconciliation
32
HubSpot, Inc.
GAAP to Non-GAAP Reconciliation
$ '000s
% of
Revenues $ '000s
% of
Revenues $ '000s
% of
Revenues $ '000s
% of
Revenues $ '000s
% of
Revenues $ '000s
% of
Revenues
Cost of Revenue
Subscription* 4,964 17% 9,689 19% 18,745 24% 23,655 20% 5,668 21% 7,484 17%
Stock-based compensation (16) 0% (27) 0% (50) 0% (128) 0% (24) 0% (92) 0%
Amortization of acquired intangibles (130) 0% (224) 0% (359) 0% (118) 0% (43) 0% (19) 0%
Non-GAAP subscription* 4,818 17% 9,438 18% 18,336 24% 23,409 20% 5,601 21% 7,373 17%
Professional services and other 6,368 22% 6,004 12% 8,759 11% 11,425 10% 2,614 10% 3,789 9%
Stock-based compensation (131) 0% (100) 0% (211) 0% (498) 0% (83) 0% (347) -1%
Amortization of acquired intangibles - 0% - 0% - 0% - 0% - 0% - 0%
Non-GAAP professional services and other 6,237 22% 5,904 11% 8,548 11% 10,927 9% 2,531 9% 3,442 8%
Gross Profit
Gross Profit* 17,221 60% 35,911 70% 50,130 65% 80,796 70% 18,816 69% 31,668 74%
Stock-based compensation 147 1% 127 0% 261 0% 626 1% 107 0% 439 1%
Amortization of acquired intangibles 130 0% 224 0% 359 0% 118 0% 43 0% 19 0%
Non-GAAP gross profit* 17,498 61% 36,262 70% 50,750 65% 81,540 70% 18,966 70% 32,126 75%
Operating Expenses
Research and development 10,031 35% 10,585 21% 15,018 19% 25,638 22% 4,948 18% 8,158 19%
Stock-based compensation (2,341) -8% (739) -1% (691) -1% (6,190) -5% (153) -1% (1,629) -4%
Amortization of acquired intangibles - 0% - 0% - 0% - 0% - 0% - 0%
Non-GAAP research and development 7,690 27% 9,846 19% 14,327 18% 19,448 17% 4,795 18% 6,529 15%
Sales and marketing 24,088 84% 34,949 68% 53,158 68% 78,809 68% 17,094 63% 26,291 61%
Stock-based compensation (647) -2% (691) -1% (1,194) -2% (5,596) -5% (475) -2% (2,077) -5%
Amortization of acquired intangibles - 0% - 0% - 0% (20) 0% (7) 0% (7) 0%
Non-GAAP sales and marketing 23,441 82% 34,258 66% 51,964 67% 73,193 63% 16,612 61% 24,207 56%
General and administrative* 7,517 26% 9,117 18% 16,204 21% 24,958 22% 5,051 19% 8,541 20%
Stock-based compensation (1,484) -5% (958) -2% (1,318) -2% (3,946) -3% (441) -2% (1,497) -3%
Amortization of acquired intangibles - 0% - 0% - 0% - 0% - 0% - 0%
Non-GAAP general and administrative* 6,033 21% 8,159 16% 14,886 19% 21,012 18% 4,610 17% 7,044 16%
Loss from Operations
Loss from operations (24,415) -86% (18,740) -36% (34,250) -44% (48,609) -42% (8,277) -31% (11,322) -26%
Stock-based compensation 4,619 16% 2,515 5% 3,464 4% 16,358 14% 1,176 4% 5,642 13%
Amortization of acquired intangibles 130 0% 224 0% 359 0% 138 0% 50 0% 26 0%
Non-GAAP loss from operations (19,666) -69% (16,001) -31% (30,427) -39% (32,113) -28% (7,051) -26% (5,654) -13%
* Amounts have been adjusted from prior SEC filings for reclassification of customer credit card fees from cost of revenue, subscription to general and administrative expenses to conform with current year's presentation,
Three Months Ended
June 30, 20152014
Year ended December 31,
2011 2012 2013
Three Months Ended
June 30, 2014
HubSpot CRM.
Say goodbye to manual tasks and confusing features. Say hello to HubSpot CRM.
• Stores a companies’ most important prospect & customer data
• Designed with ease of use for small companies in mind
• Optional integration with HubSpot’s Marketing platform and Sidekick
• Free product anyone can use, integrates seamlessly with paid add-ons (Sidekick)
33Screenshot of CRM Product, March 2015.
Recommended