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CYBER-SECURITY AND GOVERNANCE SOLUTIONS FOR INFORMATION SYSTEMS ACCESS HALF-YEARLY RESULTS 27 October 2016
CYBER-SECURITY
AND GOVERNANCE
SOLUTIONS FOR
INFORMATION SYSTEMS
ACCESS
HALF-YEARLY
RESULTS27 October 2016
2
WALLIX, FRANCE’S EXPERTS IN CYBER-SECURITY
In 2019, the impact of cyber-attacks around the
world is estimated1 to reach:
$2.1 trillion
1 Source: Juniper research – May 2015
September 2016
“Hackers take remote control of a Telsa Model S car”
September 2016
“French hosting giant OVH is hit by the largest ever 1Tbps
DDos attack”
Lunch-time news& Evening news23/09/2016
Evening news20/04/2016
Evening news23/01/2016
January 2016
“HSBC falls victim to its second cyber-attack in the space of a
month”
September 2016
“Dropbox admits hackers stole 68 million e-mail addresses and
passwords at the end of August”
Données de l’entreprise
3
WALLIX, THE SPECIALIST IN PRIVILEGED ACCOUNT GOVERNANCE
Internal and
external users
Unauthorized users
Protecting against data leaks
Software solution
IDENTIFYTRACE MONITOR RECORD AUDITCENTRALIZE
Pirate users
Building a network of
trust
ALERT
4
SOLID FOUNDATIONS FOR LASTING GROWTH
350+active clients
65employees
90+resellers &
integrators in 25
countries
€5.3min turnover in
2015
INNOVATION
EVANGELISM
EXPANSION
Launch of WAB Suite, enrichment of the
offer and global deployment
First sales in
France and Benelux
Self-funded development of the
first software offering WAB
2003 - 2009
2009 - 2014
IPO
01SOLID FOUNDATIONS FOR
DEVELOPMENT
CYBER-SECURITY AND GOVERNANCE SOLUTIONS FOR INFORMATION SYSTEMS ACCESS
6
A TARGET MARKET WITH AN ANNUAL GROWTH RATE OF 20%
EXTERNALIZATION
DIGITALIZATION
REGULATION
82% of French companies use external providers,
with major groups (90%) slightly ahead of SMEs (77%)*
47% of companies use a Cloud** software suite
Vitally Important Operators (VIO) must comply with
the implementing decree of March 2015***
$ million
$-
$200
$400
$600
$800
$1 000
$1 200
2015 2016 2017 2018 2019 2020
Large entreprises Government sector SMEs
Global market for Privileged Access Management****
* Source: Xerfi-Precepta “BPO in France”, 2015
** Source: Netmediaeurope “Cloud Computing impact in organisations”, 2015
*** Sectors of activity: Health, Water, Food, Energy, Transport
**** Source: TECHNAVIO.COM “Global PAM Market”, 2016/2020
7
A CONDUCIVE REGULATORY FRAMEWORK
Obligation to install IT intrusion detection software
1st IMPLEMENTING
DECREE
12 “Vitally Important” sectors of activity
Application
No later than
May 2018
2014 2015 2016 2017 2018
FAILURE TO COMPLY: Fine of €150,000 for the head of the company + prison sentence
Entry into force
in H2 2016
Health*Water*Food*
Energy*Transport*
250 Operators of Vital Importance to protect in France
Next up:
Govt. civil services
Govt. military services
Judicial services
Space and Research
Communications
Electronics
Audiovisual and
information
Finance
Industry
NIS DIRECTIVE(Network &
Information Security)Energy
TransportHealth
Financial services
GRDP(General Regulation on
Data Protection)Unified legal framework in
the European Union (promulgated in April 2016)
8
AN EXHAUSTIVE & MATURE SOFTWARE SUITE
Medium-sized
companies and
local authorities
Cloud operators
Major corporates
and administrationsPASSWORD
MANAGEMENT
+
+
H1
20
16
H2
20
15
TRACEABILITY
AUDIT - RISK COMPLIANCE
PRIVILEGED USER
EXTERNAL SERVICE
9
…CERTIFIED AND RECOMPENSED WITH PRESTIGIOUS LABELS
PRODUCT OF THE YEAR IN 2016
IDENTITY & ACCESS MANAGEMENT category
No. 1 solution in Europefor privileged account management
Rated “BEST BUY” by SC Magazine
WAB Suite
CSPN certification from the ANSSI
Best solution in 2016
IDENTITY & ACCESS MANAGEMENT category
10
REINFORCEMENT OF OUR CLOUD EXPERTISE
Launch of Cloud Bastion
& 1st Cloud revenues expected as of 2017
ENRICHMENT OF OUR
TECHNOLOGICAL EXPERTISE
Acquisition of MLstate
Appointment of Henri Binsztok
as VP Cloud Products
Co-funded innovation
programme as part of the
Programmes d’Investissement
d’Avenir (Programme of
Investments for the Future)
INTEGRATION IN THE GLOBAL
ECOSYSTEM
02GO TO MARKET IS COMPLETE
CYBER-SECURITY AND GOVERNANCE SOLUTIONS FOR INFORMATION SYSTEMS ACCESS
12
REINFORCEMENT OF TOP/MIDDLE MANAGEMENT AND TEAMS
VP SALES FOR CENTRAL AND EASTERN
EUROPE
Appointed in March 2016
CHANNEL MANAGER FOR WESTERN AND
SOUTHERN EUROPE
Appointed in July 2016
PHILIPPE GUERBER
MARKUS WESTPHAL
VP PRODUCT MARKETING
Appointed in April 2016
EDWIGE BROSSARD
44 staff
30/06/2015
65 staff
30/06/2016
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MARKETING: NEW BUSINESS VERTICALS TO STRENGTHEN OUR
POSITION AS EXPERTS
PRIORITY SECTORS
Finance / InsuranceIndustryHealth
CONDUCIVE
REGULATORY
FRAMEWORK
NIS / OVI
GRDP
PCI-DSS
BASEL I, II, III
Sarbanes-Oxley
Act-SOX
SOLVENCY 2
ISO-27001/17799
NERC CIP
SP-800-82
ISO 27000
NIS / OVI
GRDP
NIS / OVI
PGSSI-S / HIPPA
HDS
Potential market in France: over €50m
SOLID REFERENCES 50+ clients35+ clients45+ clients
Source : WALLIX
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CHANNEL: DEPLOYMENT OF A NEW PROGRAMME OF
STRATEGIC PARTNERSHIPS…
Objective: Create a strong
sales dynamic
Challenge:
Greater sales and technical
autonomy for Channel
partners
Objective: Bring added
value to products
Challenge:
Complete functional
coverage of WAB Suite with
software building blocks or
systems
Objective: Offer joint
interoperable solutions
Challenge:
Joint deployment of
complementary solutions for
WAB Suite
WAP-APP WAP-TECH WAP-CHANNEL
90+ PARTNERS IN FRANCE AND AROUND THE WORLD
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…TO BOOST OUR BUSINESS MODEL BY
FOCUSING ON INDIRECT SALES
WAB Partner Program
Leverage sales whilst minimizing direct costs
CHALLENGE
RESOURCESSegmentation of market and
distribution via a network of partners
Elite System
Integrators Program
Clients
Premier System
Integrators Program
Managed Services
Providers Program
Sales &
Marketing
271 peopleSmall companies and Internet of Things
(via Cloud operators and IT services companies)
Medium-sized companies and
local authorities
Major corporates and
administrations
Tra
inin
g
18 pers.
30/06/2015
58 pers.
30/06/2016
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A GLOBAL REACH: THE BASES FOR LASTING DEPLOYMENT…
Opening of an
office in Munich
Negotiation of a
first partnership
Partnerships
signed
5076
96
2014 2015 H1 2016
New organization
and UK
partnerships
North America
Central EuropeNorthern Europe
17
…WITH FIRST SUCCESSES IN CENTRAL EUROPE
AMBITION: Become the benchmark leader of
privileged account management in Europe
Autumn 2015Opening of an
office in Germany
Q2 2016Creation of a regional team
March 2016Recruitment of
Markus WESTPHAL
October 2015Partnership
with SoftShell
September 2016 1st client references (Germany, Poland
and Russia)
03ACCELERATION IN GROWTH
DYNAMIC
CYBER-SECURITY AND GOVERNANCE SOLUTIONS FOR INFORMATION SYSTEMS ACCESS
19
TURNOVER
POTENTIAL
WITH1 CLIENT
DEPLOYMENT
OF WAB
SESSION
MANAGER
FULL
ACCESS TO
WAB SUITE
TEST RUN FOR
WAB
SESSION
MANAGER
1 site equipped
10sites
equipped
100 sites
equipped
Dec. 2014 Dec. 2015
220 ACTIVE
CLIENTS
300 ACTIVE
CLIENTS
GLOBALTURNOVER
POTENTIAL
WAB SUITE, STRONG SALES LEVERAGE AMONGST OUR
EXISTING DATABASE OF INSTALLED CLIENTS
June 2016
350+ ACTIVE
CLIENTS
889 916
1,736
449
721
1,013
276
252
173
H1 2014 H1 2015 H1 2016
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ACCELERATION IN GROWTH CONFIRMED
French accounting standards
1,614
1,889
+17%
LICENSESMAINTENANCEMANAGED
SERVICES
Software sales: +68%
o/w Licenses: +89%
o/w Maintenance: +41%
Managed services: -31%
Sales France: +66%
Sales International: +30%
Change: H1 2016 vs H1 2015
+55%2,922
In € thousand
30/06/2015 30/06/2016
Turnover 1,889 2,922
Other operating income
(capitalized production, subsidies, etc.)1,028 1,456
Total operating costs - 3,644 -5,797
o/w other operating costs -919 -1,945
o/w payroll -2,041 -3,030
o/w depreciation and provisions -561 -678
Operating profit - 727 -1,419
Extraordinary income and expenses 0 107
Current income before tax - 726 -1,315
Net profit - 726 -1,315
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PROFIT & LOSS STATEMENT
French accounting standardsAudited consolidated figures (in € thousand)
New markets acquired:Ongoing sales & marketing operations and structural costs linked to threshold effect
Strengthening of teams to support Group growth
Breakdown
22
CASH FLOW STATEMENT
Audited consolidated figures (in € thousand)
30/06/2015 30/06/2016
Gross cash flow -165 -645
Change in working capital requirement 1,255 -308
CASH FLOW LINKED TO OPERATIONS 1,090 -953
Acquisitions of fixed assets -667 -1,559
Disposals of fixed assets 10 366
CASH FLOW LINKED TO INVESTMENTS -657 -1,193
Capital increase 7,943 0
New borrowings 0 300
Loan repayments -72 -70
CASH FLOW LINKED TO FINANCING 7,872 230
CHANGE IN CASH FLOW 8,305 -1,917
CLOSING CASH 9,460 6,850
Technological investments(including acquisition of Mlstate) to maintain the Group’s leading edge
New credit line from banks to improve financial flexibility
Solid cash flow position at end-June 2016
Breakdown
French accounting standards
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BALANCE SHEET STATEMENT
ASSETS 31/12/2015 30/06/2016
Non-current assets 4,348 5,172
o/w intangible fixed assets 3,667 4,151
Current assets 12,674 11,315
o/w client and other receivables 2,093 1,893
o/w cash and cash equivalents 8,769 6,852
Total Assets 17,022 16,487
LIABILITIES 31/12/2015 30/06/2016
Shareholders’ equity 10,575 9,261
Provisions 161 217
Borrowings and financial debt 937 1,420
Supplier and other payables 478 554
Prepayments 3,308 3,525
Other debt and accruals 1,533 1,509
Total Liabilities 17,022 16,487
Shareholders’ equity of €9,261thousand
Cash net of financial debt of €5,432thousand
Prepayments linked to research taxcredit and subsidies of €1,456thousand
Breakdown
Audited consolidated figures (in € thousand)French accounting standards
Breakdown in capitalAt 26 October 2016
24
SHAREHOLDERS AND MARKET DATA
FOUNDERS AND
EMPLOYEES
FLOATAURIGA PARTNERS
TDH
BPIFRANCE
SEED FUND
OTHER
25%9%
11%
15%26%
4%
Market data
INNOVATIVECOMPANY
ISIN code: FR0010131409
Ticker: ALLIX
Share price: €8.75 (Open - 26/10/2016)
Market capitalization: €34 million
(at 26/10/2016)
Tracking analyst: Midcap Partners
10%
Next publication
2016 turnover 15 February 2017
2016 yearly results 30 March 2017
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04CONCLUSION
CYBER-SECURITY AND GOVERNANCE SOLUTIONS FOR INFORMATION SYSTEMS ACCESS
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ACCELERATION IN GROWTH CONFIRMED
Complete, certified and
all-in-one platform
Reinforced team
Strategic distribution
partnerships in the US and UK
Strengthening of commercial roadmap in the 2nd half of 2016
with the creation of priority business verticals and prospects
for global expansion
A conducive regulatory
framework
Finance / InsuranceIndustry
Health
Objective: sustained growth in 2016 turnover
launched at the start of 2016COMPLETE SOFTWARE SUITE
in France and around the world
on new market segments
in line with expansion strategy
in full boom
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POSITIVE OUTLOOK
TARGET MARKET
RECRUITMENT PLAN
POTENTIAL FOR NEW GROWTH
MAJOR SUCCESS
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2
4
3
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