27
MobileIron Confidential Investor Presentation February 2019

Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

  • Upload
    others

  • View
    3

  • Download
    0

Embed Size (px)

Citation preview

Page 1: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron Confidential

Investor Presentation

February 2019

Page 2: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Safe Harbor Slide

Safe Harbor Statement

This presentation contains forward-looking statements that involve risks and uncertainties, including statements regarding

MobileIron's revenue and other GAAP and non-GAAP financial metrics for the company's fourth quarter in 2018 and other

statements regarding trends in the company's business, including statements regarding MobileIron's GAAP and non-GAAP

revenue and operating expense targets, growth in our customer base, increased customer adoption, and expected benefits

from new product offerings and MobileIron’s partner ecosystem. There are a significant number of factors that could cause

actual results to differ materially from statements made in this presentation, including MobileIron's limited operating history,

quarterly fluctuations in MobileIron's operating results, MobileIron's need to develop new solutions and enhancements to

compete in rapidly evolving markets, product defects, competitive pressures, customer adoption, changes by operating

system providers and mobile device manufacturers, MobileIron's inability to manage growth, the quality of MobileIron

support, MobileIron's reliance on channel partners and development of partner ecosystem.

Additional information on potential factors that could affect MobileIron's financial results is included in the company's SEC

filings, including its most recent Form 10-K and Form 10-Q. MobileIron does not assume any obligation to update the

forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they

were made.

Page 3: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

COMPANY SNAPSHOT

Foundation for modern workBest-of-breed platform for cloud and on-premises

Leadership positionTop independent vendor

Gartner Leaders Quadrant for EMM seven years in a row +

Leaders Quadrant in Unified Endpoint Management in 2018

75+ modern EMM patents, including enterprise app store

Full security certification (Common Criteria, FedRAMP, SOC 2)

Blue-chip customer base 17,000+ cumulative customers

Deep footprint in regulated and high-security industries

Only EMM vendor with SCP Customer Support certification

Broad ecosystem350+ ISV technology integrations

No conflict of interest with Apple or Google

Strong business model20% Recurring Revenue growth rate

High renewal rate (~90%)

Strong cash position

Page 4: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Mobile Security

Security foundation

for modern devices and apps

Cloud Security

Control the

new perimeter

Threat Defense

Detect and remediate

Page 5: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Data used to be here

Page 6: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Mobile Cloud

Modern work is powered by…

Page 7: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Now data is scattered everywhere

Page 8: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

If your workforce has these… And they use these …

Then your data is at risk every day!

And they’re probably

connecting to these…

Page 9: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Two clicks and your data is gone …

Download app to

unmanaged device

Sign in to access

and sync data

Can you:

Delete app if device is lost?

Prevent data sharing to Dropbox?

Comply with regulations such as GDPR?

Page 10: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Threats are real, sophisticated and escalating

2014 2015 2016 2017

Masque7.x, 8.x

Wirelurker 2014-4487<8.1.3

Used in jailbreak

ICMP Double

Direct

xCode

Ghost

YiSpectoriOS 8.4 and below

Pegasus

Remote iOS exploit, in use for

2+ years

Stagefright

for iOSCVE-2016-4637

zIVA Mach

portal

DoubleDirectTowelRoot200M devices

impacted

Heartbleed800K devices

impacted

Stagefright95% of Android

impacted

Wormhole

(Moplus SDK)

Oxygen

SwiftKey

Triada Zygote

System exploit

HummingBad

Hummer

malware

QuadRooter Godless Blueborne

HummingWhale(HummingBad variant)

DirtyCow

Drammer

PokeMon Go

Guide

Page 11: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Modern work requires a new security model

Decisions move to the edge

Security is invisible

Choice is paramount

Security is cross-stack Security is contextual

Trust is fluid

Page 12: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Only MobileIron establishes the

Modern Data

Perimeter

Protects data across endpoints, apps & clouds

Page 13: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

MobileIron Data PerimeterProtect business data from the endpoint to the cloud

Detect and remediate threats

Provision business workspace

Protect data and privacy

Block untrusted endpoints and apps

Page 14: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Only MobileIron secures all 3 Mobile Imperatives Unified Endpoint Mgt.

Cloud

Security

New in Q4’16

Mobile Threat

Defense

New in Q4’17

Sold to 17,000+

customers

Page 15: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

The Forrester Wave™: Enterprise

Mobility Management, Q4 2017

Reprint available from MobileIron

“The Forrester Wave™: Enterprise Mobility Management, Q4 2017,” David K. Johnson and Andrew Hewitt, 30 November 2017. The Forrester Wave™ is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave™ are trademarks of Forrester

Research, Inc. The Forrester Wave™ is a graphical representation of Forrester's call on a market and is plotted using a detai led spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service

depicted in the Forrester Wave™. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change.

“MobileIron is a strong solution for customers with

stringent security and compliance requirements”

Page 16: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Financial Overview

Page 17: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Product Revenue Shifting Towards Subscription

See earnings press release for non-GAAP reconciliation

Shift from

Product to

Subscription

Steady base of

support revenue

with high

renewals

Increased

Predictability

Cloud Services up 37% in Q4 FY18

Page 18: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Annualized Recurring Revenue Growth

103.3

110.4116.8

119.7 121.3125.7

133.1 134.5 135.4

147.6

158.8163.2

60%

65%

70%

75%

80%

85%

90%

$50

$70

$90

$110

$130

$150

$170

Q1 16 Q2 16 Q3 16 Q4 16 Q1 17 Q2 17 Q3 17 Q4 17 Q1 18 Q2 18 Q3 18 Q4 18

Re

ve

nu

e $

MM

Annualized Recurring Revenue Recurring Revenue % of Total

17% Recurring Revenue CAGR

Page 19: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

TTM Operating

Cash Flow & N-G

Operating Margin

Cash &

InvestmentsTarget model * Target

Gross Margin 80% – 82%

Sales & Marketing 32% - 35%

Research &

Development17% – 19%

General & Admin 6% - 8%

Operating Income 20% - 25%

Continuing Improvement to Target Model

* Non-GAAP

Page 20: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Financial Results & Guidance – Quarterly

* Non-GAAP

$ Millions Q4 ResultsY/Y Improvement/

DeclineQ1 19 Guide Y/Y Change

Revenue $54.1 10% $46 - $49 + 5% - 12%

Billings $69.5 15% - -

Non-GAAP Gross Margin 82.9% (4.5) % points ~ 83% ~ (2) % points

Non-GAAP Operating Expenses $42.5 (0.5) % point $45 - $46 (5%) - (7%)

Non-GAAP Operating Margin 4.4% 3 % points - -

Page 21: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Financial Results & Guidance – Yearly

* Non-GAAP

$ Millions FY 18 ResultsY/Y Improvement/

DeclineFY 19 Guide Y/Y Change

Revenue $193.2 7% $205 - $215 + 6% - 11%

Billings $223.3 11% - -

Non-GAAP Gross Margin 84.6% (1) % point - -

Non-GAAP Operating Expenses $167.7 1.5% - -

Non-GAAP Operating Profit ($4.3) 74%Expect to generate

profit-

Non-GAAP Operating Margin (2.2%) 7 % points - -

ARR $162.6 20% $190 - $200 + 17% - 23%

Page 22: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron Confidential

Page 23: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

GAAP to Non-GAAP Reconciliation

(in USD $000s, except for percentages) Q118 Q218 Q318 Q418 FY2018

Non-GAAP Revenue 43,689 46,129 49,251 54,122 193,191

GAAP Gross Profit 35,712 38,219 40,777 43,558 158,266

Amortization of intangibles 100 - - - 100

Stock based compensation charges 1,381 1,067 1,223 1,334 5,005

Restructuring charge - - - - -

Non-GAAP Gross Profit 37,193 39,286 42,000 44,892 163,371

Non-GAAP gross margin(non-GAAP gross profit over non-GAAP revenue)

85.1% 85.2% 85.3% 82.9% 84.6%

Page 24: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

GAAP to Non-GAAP Reconciliation(in USD $000s, except for percentages) Q118 Q218 Q318 Q418 FY2018

Research & development - GAAP 21,335 18,273 18,465 19,976 78,049

Stock based compensation charges (4,767) (3,343) (3,670) (4,201) (15,981)

Restructuring charge - - - - -

Research & development - non-GAAP 16,568 14,930 14,796 15,774 62,068

Research & development - non-GAAP;

as %age of non-GAAP revenue38% 32% 30% 29% 32%

Sales & marketing - GAAP 23,681 24,320 22,867 23,335 94,203

Stock based compensation charges (2,529) (2,159) (2,653) (2,123) (9,464)

Restructuring charge - - - - -

Sales & marketing - non-GAAP 21,153 22,161 20,213 21,212 84,739

Sales & marketing - non-GAAP;

as %age of non-GAAP revenue48% 48% 41% 39% 44%

General & administrative - GAAP 7,223 7,051 6,804 7,801 28,879

Stock based compensation charges (2,014) (1,851) (1,834) (2,286) (7,985)

Restructuring charge - - - - -

General & administrative - non-GAAP 5,208 5,200 4,970 5,515 20,893

General & administrative - non-GAAP;

as %age of non-GAAP revenue12% 11% 10% 10% 11%

Page 25: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

GAAP to Non-GAAP Reconciliation

(in USD $000s, except for percentages) Q118 Q218 Q318 Q418 FY2018

Operating loss - GAAP (16,527) (11,425) (7,359) (7,554) (42,865)

Amortization of intangibles 100 - - - 100

Stock based compensation charges 10,692 8,420 9,380 9,944 38,436

Restructuring charge - - - - -

Litigation settlement charge - - - - -

Impairment of IPR&D - - - - -

Operating loss - non-GAAP (5,735) (3,005) 2,021 2,390 (4,329)

Operating Margin - non-GAAP;(non-GAAP operating loss over non-GAAP revenue)

(13.1%) (6.5%) 4.1% 4.4% (2.2%)

Page 26: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

GAAP to Non-GAAP Reconciliation(in USD $000s, except for percentages) Q118 Q218 Q318 Q418 FY2018

GAAP Revenue 43,689 46,129 49,251 54,122 193,191

Total unearned revenue, end of period 80,925 82,934 92,974 105,837 105,837

Less: Total unearned revenue,

beginning of period(77,022) (80,925) (82,934) (92,974) (77,022)

Total customer arrangements with

termination rights, end of period17,187 19,512 16,506 19,367 19,367

Less: Total customer arrangements with

termination rights, beginning of period(19,546) (17,187) (19,512) (16,506) (19,546)

Total unbilled accounts receivable, end

of period(2,663) (2,521) (1,608) (1,974) (1,974)

Less: Total unbilled accounts

receivable, beginning of period3,435 2,663 2,521 1,608 3,435

Gross Billings 46,005 50,605 57,198 69,480 223,288

Page 27: Investor Presentations21.q4cdn.com/387111300/files/doc_presentations/2019/MOBL-Feb'… · Ghost YiSpector iOS 8.4 and below Pegasus Remote iOS exploit, in use for 2+ years Stagefright

MobileIron ConfidentialMobileIron Confidential

Explanation of Non-GAAP Measures

To supplement our financial results presented on a GAAP basis, we use the non-GAAP measures indicated in the tables, which exclude stock-based compensation, the amortization of intangible assets, and perpetual revenue recognized from licenses delivered prior to 2013, that we believe are helpful in understanding our past financial performance and our future results. Our non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP. Our management regularly uses our supplemental non-GAAP financial measures internally to understand, manage and evaluate our business and make operating decisions. These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Compensation of our executives is based in part on the performance of our business based on these non-GAAP measures. Our non-GAAP financial measures reflect adjustments based on the following items:

Perpetual license revenue recognized from licenses delivered prior to 2013 We have excluded the effect of perpetual license revenue recognized from licenses delivered prior to 2013 from revenue gross profit, gross margin, operating loss, and operating margin. Because we had not established vendor specific objective evidence, or VSOE, of fair value of software support and services prior to January 1, 2013, we recognized perpetual license revenue ratably over the term of the related software support agreement. Upon establishing VSOE on January 1, 2013, we began to recognize perpetual license revenue upon delivery assuming all other revenue recognition criteria are met. As a result, our perpetual license revenue includes amounts related to licenses delivered in previous years. Revenue from these perpetual licenses delivered prior to 2013 has declined over each quarter since the quarter ended March 31, 2013 and will continue to decline sequentially until it is fully amortized. We evaluate our business performance excluding revenue from these perpetual licenses delivered prior to 2013 as we believe that the inclusion of this revenue makes it difficult to compare periods and understand growth in our business.

Stock-based compensation expenses: We have excluded the effect of stock-based compensation expenses from our non-GAAP cost of revenue, operating expenses and net income measures. Although stock-based compensation is a key incentive offered to our employees, and we believe such compensation contributed to the revenues earned during the periods presented and also believe it will contribute to the generation of future period revenues, we continue to evaluate our business performance excluding stock-based compensation expenses. Stock-based compensation expenses will recur in future periods.

Amortization of intangible assets: We have excluded the effect of amortization of intangible assets from our non-GAAP cost of revenue, operating expenses and net income measures. Amortization of intangible assets is inconsistent in amount and frequency and is significantly affected by the timing and size of our acquisitions. Investors should note that the use of intangible assets contributed to our revenues earned during the periods presented and will contribute to our future period revenues as well. Amortization of intangible assets will recur in future periods.

Restructuring Charges: In our non-GAAP financial measures, we have excluded the effect of the severance and other expenses related to our reduction in workforce. Restructuring charges may recur in the future; however, the timing and amounts are difficult to predict.

GAAP to Non-GAAP Reconciliation