Company profile - Wandisco feature image - 28062019 - JPG

WANdisco

LN: WAND

£171.9m market cap

380p last close

WANdisco’s proprietary replication technology enables its customers to solve critical data management challenges created by the shift to cloud computing. It has established partner relationships with leading players in the cloud ecosystem including Amazon and Microsoft.

Investment summary

At Microsoft’s Ignite conference yesterday, WANdisco co-presented an embedded solution with Azure, effectively announcing Microsoft as the ‘major enterprise cloud partner’ referenced in WANdisco’s 15 July press release. While investors had speculated that Microsoft was the partner, public confirmation that the leading enterprise cloud provider globally is embedding Fusion within its platform clearly demonstrates the value of WANdisco’s technology. It should also reassure investors that the relationship is progressing.

Y/E Dec
Revenue (US$m)
EBITDA (US$m)
PBT (US$m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2017A 19.6 (0.6) (7.8) (19.4) N/A 259.0
2018A 17.0 (9.4) (16.3) (37.5) N/A N/A
2019E 24.0 (7.0) (14.0) (31.7) N/A 722.6
2020E 40.7 6.2 (0.8) (2.0) N/A 28.2
Industry outlook

WANdisco has set out its ambition to generate annual revenue of at least $100m in the next three to five years from a combination of 1) data migration; 2) hybrid cloud; and 3) multi-cloud. Ahead of a shift to recurring revenue visibility is limited but our scenario analysis suggests $84m by FY23 as a base case (a fivefold increase from FY18 levels).

Last updated on 14/11/2019
Sector
TMT
Share price graph
Balance sheet
Forecast net cash (US$m) 16.2
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (6.2) (23.7) (4.5)
Relative* (7.3) (25.9) (8.3)
52-week high/low 781.0p/340.0p
*% relative to local index
Key management
David Richards CEO
Erik Miller CFO

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