Wejo Group Limited (WEJOF) 16 May 222022 Q1 Earnings call transcript

Greetings, and welcome to the Wejo’s First Quarter Business Update Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It’s now my pleasure to turn the call over to Wejo’s Senior Vice President, Investor Relations, Tahmin Clarke. ahead. go Please

John Founder events, call Remarks expectations, made our Good Wejo’s our Kevin. similar trends objectives, quarter and you on thank operational Thank update or morning, call this Barlow, results Maxwell, joining about the items me With business financial first and forward-looking. are on other call to CFO. CEO; for and Richard future strategies, today and projected you, financial results. everyone, today discuss XXXX our are

Forward-looking the the statements Harbor Private Safe Securities XXXX. subject of are to provisions Litigation of Reform Act

are including of context the such of statements recently on report our SEC are as performance the should and risks and the uncertainties that filed as with quarterly Forward-looking as filed not XX-Q other guarantees documents the outlined SEC. Form in Wejo, be well of taken in future filings

the no company Forward-looking update such statements and made speak in the date only of to obligation the future. undertakes as statements

during this to generally In conform discussing better the principles in metrics accounting known not call, U.S. financial be addition, GAAP. do accepted that we will as certain

will to For the report our And the filed on XX-Q to of with financial Richard. over turn I please quarterly refer Form now, call these a GAAP, reconciliation to SEC. metrics

for Wejo’s update. Thank business you joining first XXXX quarter

the Wejo’s on to public this on goals governmental investment starting U.S., So some are are with we of untapped deliver and sector, the Act. incredible sectors, the JOBS Wejo much corporations solutions infrastructure, value how having about as to the has across revenue. Every of data across been world wide day range and year vehicle electric gain organizations conversations help the progress autonomous, made a traction and smart mobility in utilize biggest connected

year made far. Wejo result of full to on we with have track process excited is our fruition recently deals a to so our results have And guidance about these the XXXX. we that consistent deliver As come are that and conversations

period, now how the and deliver we they are sets During with mapping up relationship they’re to Microsoft this data using solutions. expanded our the

going primary XX are delivering to Amazon of having Europe. help Flex vehicles We platform, supports continue giving live day. live that pleased also enable which into to our be a data our logistics as also enhance data moves and now I’m deliver note, millions guidance packages global source, on every more we [indiscernible] platform, million to us as well than substantial on solutions

time killer processing data not time at companies world’s hard as at is data processes work largest with This question, solutions much scale This brings we’ll speed. like connected rely including is Another agreement mapping size reason significant why global traffic paramount where and Amazon on work Wejo coverage our data from replicated. app OEM along real Honda. it’s the us creating have and vehicles no the large is update one for Wejo. because which Wejo’s Wejo’s so our they solutions? regions, The why Asia-Pacific mode, is framework and companies easy with else is is real first is the Wejo from the Microsoft

Let examples we of give me attracting. companies you type are four

a paramount vehicle their major to deliver connected is data. their Privacy to design valuable are First data operations privacy trusting using us to around who going and manage engaging company vehicle more be to more their U.S. customers. platforms automotive OEMs are as services

meet we by solutions deals. to part expect customize specific can of we to partners the OEM privacy execute products, suite As our of similar needs and

U.S. with are in the develop end-to-end products Second, discussions start Wejo that insurance help its and breakdown in insurance services.

insurance repair offering vehicle fraud their help Our of to data and premiums, will solutions by improve software business Americans. electric millions them autonomous connective cloud had ultimately and times reduce and improve

few last SOMPO that in provider relationship over announce recently Palantir. services the third the to of agreement. pleased with The electric addition signing Japanese insurance our underscores with relationship in when a The I’m fourth the is operating have Inrix, is months in deals system other Telenav, to And our which who an iceberg, resulting agreements another larger and new the substantially key significantly in major from now to gross is tip smaller second last of announced accelerates progressed customer And Rekor, built vehicle also new our This system, accounts customer business is accelerate more our speak while year. platform deeper forms autonomous in CFO, just as Palantir’s to about deals accounts code we’re EVOS build we collaboration of the activity in we relationship vehicle using is advance experiencing. autonomous AVOS also running infrastructure with of bookings that quarter. Palantir, the of the are here we’ve as bookings significant operating help these future. Maxwell. including indicators To added closed compared John first resulting our the the to of gross number XX generated strength Wejo we vehicle that mentioned,

Thank you, Richard.

believe a started for We stream not alone the just $XXX,XXX, Net in are period years, start the our we year. million Most performance hundred in prior revenue are Traffic management on be our of reflects few informs product. revenue to several representing traffic we the but an base will an in was we traffic that is a off relying same revenue dollar where XX% strong in and quarter XXXX. traffic. growth this excellent year-over-year revenue increase over

XXXX our regional help lines expecting marketplace growth We which expect strong are in additional launch software and growth, solutions data and beyond. cloud will to of and product accelerate all

year our The is full metrics We to this. XXXX KPI most in seeing real prominent guidance. our news exciting support acceleration are

over next complete number of a months. major deals customer the will We several

across products. of significant yet we As in experiencing build reflected revenue. our business multiple the traction want in that continue Wejo commercially highlight to to evidence we I and GAAP are markets isn’t

unique universities, and value recognize governments our customer colleges inbound large enterprises, the very Our all and that activity strong, bring. can is businesses, small platform

same is accelerating the an over business customers our total period XXX% fourth Our year-end continuing year, and that last of quarter trend highlighted in was update. number up

long-term revenue as progress we revenue our activity our towards base customer will help New goals. drive

up Beyond revenue value an TCV, of signed over million has $XX contract year. we rate. shows metric in compared traffic Wego traction to-date is customers how XX% at we total in data seeing that all are which new contracts, XXXX. increasing when comes is total strong value in or TCV entered is from signing to the in marketplace, which last customers, up another are Acceleration

expect new this add business additional see more we and solutions, and sign product metric. in marketplace As cloud and we to growth lines software

increase last period Additionally, year. gross same bookings from are up substantially, XXX% the a

only basis. on $X.XX of Vehicles by KPIs determinant customer platform given monetizable higher bookings these levels, marketplace, generate our will for horizon. date. are business Most XX% quarter early is value our and stages and to like at most growth, achieving. on over per product other strong introduced these that reflecting stage refrain quarters not XX% is reported net are that the gross continued of of traffic revenue in gross of the progress We we platform the are rolling live have of TCV this to the maturity, are Wejo four success. that We The which common vehicle bookings in on prominent a our bookings are and demand, bookings we of significant up indicators multi-year a is believe better

our Turning was in for and million. of expenses we employees lower our was of to phasing the spending. financial new based on as than EBITDA specific $XX to efficiencies loss other quarter adjusted This managed our be ahead performance, hiring planned expectations of

As from we discussed, when a for we outlook will the more data move transactional licenses to revenues. provided our model subscription generates of based evolution these our that relationships, customer recurring

when last up year. in Moving which direction to business $X.X this million, compared ARR our of generated was XX%

in support new models, in ARR, marketplace currently tools are greater expect efficiency product the and the growth on them and additional to cloud solutions to software business the lines marketplace, We’ve solutions. ARR. expansion will that be many Our additional return line subscription traffic leveraged increased product revenue will based investment. developing product for developing enable in of should lines, traffic we improving with and in be that able our we overall along in tools been To drive

We new our and bookings. expansion into of the gross continue to accelerate expect will pace even lines activity customer our product further accelerate five that our

As Richard readily product the product is data other our the are apparent, that our emphasize to traffic reach line success marketplace within expressed, important but in it lines is now.

usage stay solutions products good insurance, operation of to With true are focus efficiency discussions increase on and we business vehicle on insurance with fraud vehicle several and scheduling is a in and significantly our love solutions products that strategy remote are While additional to will instead help a enhance analytics developed Wejo are behavior the be car leakage based and three to few ordering for we repairs, think highly services our repairs time. of benefits defective their insurance, in we analytics. open and In for parts we let’s end-to-end the the customers built parts, maintenance customers. hours diagnostics, working determine can and minimizing services claims departments their and to of in providers, efficient, These uniquely over work make This revenue To includes derived product deliver dealerships on of but launch mobility service and the to we to loyalty of process boost that that about enhance are There cloud large or customer management end-to-end of on can improve believe services a companies connected mantra is revenue remote insurance focused valuable receive will using talk the share traffic of and we line little insurance analyze from and consumers. types product end-to-end lines give to in driver the profitability, the best supporting context, these claims more to positioned create service the the to will significantly businesses our automatic worn the UBI, with quite operations. insurer’s these data focus faster. these which valuable more itself, customer and near-term. and of smart plan experience. company and software a in department marketplaces and the of

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the we takeaway leverage these expect that deliver markets, robust to that these generate already organizations, multi-million goes from bookings are retail per a a effectiveness to large the and today. with media lines to accelerated anonymized private enterprises shortly that of of in we some into For then these believe the These and new to to commercial, relationships. sector most that a various of profiles We expansion and insights successful want and and multiple we product will use XXXX, listens company expect is retailer, user lines example, just multi-year public few vehicle. end-user additional will have customers access product media. very are product if result applicable that thereafter return dollar these analytics in would’ve including of in lines. gross end By that discussions to deals the the be important cases will The to

metric XXXX, the As are We active traction add as continue that this of and a end various was lines. believe solutions per of lines, our enterprise can within on monetized, gain approximately increase XX.X new $X.XX, relationships of will million platform our to versus year. first in vehicle prior representing large vehicles bookings there gross XX% that increase quarter the we customer software product product grow the be

can partnerships by lines. customers when to OEM received these we We this traffic per million revenue proceeds enterprise XX primarily sign on year. of fleet Wejo to relationships generate million. earlier from we and more opportunities expect in and drive our multiplier previous million, XX, and as we our ongoing XX to we At continue have analytics to million platform mobility generate their range to about and we or in $XX in organizations the agreement more expansion solutions the us. we based careful but This expenses bringing occurs revenue Japan. OEM our $XXX in have way. committed bookings expect of businesses bookings Historically demonstrated presence. areas, of in to purchase our up rich the business. net to the on the sets the expect U.S., drive product expanding offer between higher can We improve raises make guidance, Apollo international forward internationally, this in over and facility we equity capital OEM timing data loss and our our Based will believe across growth we to adding that front we company gross government does X will Tier with you major The Currently and on the this expect by which year looking well Over decisions are vehicles partnerships Consistent in we and our engagement the will the data additional adjusted $XXX effect can access new data to new generate EBITDA just from where year. with on including beyond vehicle are platform. regions million other future have vehicles this on time, of our to Richard. noted XX

Thank you, John.

to autonomous in our leaders and vehicle and along the that people commitment and industry is paying technologies, connected in electric investments the are off. We data

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around visualization our area a the in take and Let’s utilize tool look at Square. surrounding Times me

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develop Second, breakdown the and in in an services. its discussions joint U.S. with help Wejo insurance products insurance are

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incredible Inrix, deals leader. Renault, market are and with Honda, closed also we We Rekor, Telenav, the

of up to contract have significant bookings Gross with you XX% take up now we of revenue your As financials. total like our I on annual recurring John I’d value made vehicles your time, and XXX%, and XX%. process questions. John platform XX%, mentioned, a will for thank

Thank Jeff [Operator question from Instructions] you. is Our today from coming first Meuler Baird.

Your live now line is

you. Thank

us but running now. give is point, So ARR. metrics, It’s struggling flat totally of best reconciling at understand the other one with the sequentially and this metric why couple a revenue’s not I’m quarters you been various

billings why with growth bookings and So what’s isn’t ARR just build? in the ARR us to accruing an on understand going help and

We Jeff. we had the a – of their canceled lost Good had last they Hi, because customer so actually morning. had they – at a end a customer Sure. we order. – that, year,

ARR The showed it metric. up ARR the way in end the is quarter So the times of measure we XX. the month

that that was we out point basis in a will in over happens do monthly it time. just churning So back there so see that it at customer up on churned them same that back and customer we is pick a time, and

to continue over we’ll that see So build time.

so Okay. within like past says they And providers in I and obviously including some Amazon just you’ve how naming continue get question Google, traffic, guess to Wejo, one on that is And are the Microsoft, relative why which customers, traffic logos. named we then Flex Waze. great different, to

information you accelerometer just of in us of type what do development So kind types RTTI help incremental have? beyond sensors solution? or data bring and you of location of the understand the What do

Wejo in a we traffic providers now other work does. It’s and call cloud them provider. heavy so working got data. seatbelt station realtime data. realtime now. including well, a of work of process Rekor Inrix But that that a and that well complete which do shouldn’t proxy great only with as as measuring that’s Microsoft with we traffic. deployment, as fact are we processing call But other there None for We as more as changes the mapping also that all there’s underestimate now, lift such – you we Yes, don’t get mention. as we’ve other the radio sensors We providers sensors and is we’re why mentioned examples, that we with – huge,

we day. can XX% any is every even the roads fact anything we data leading And parts analysis on consistently quality We real any because much accurate processing. congestion at benchmarked receive higher – the of congestion for result congestion there in of The and and So the value than more you us. a a identify huge in from show out much a our in is point there. time of as mentioned we Waze, our road, time U.S. providers – most that realtime we key, show versus any the mapping versus our consistently out add analysis

sense the of just index not XX the it’s accuracy as that and a XX sensors heavy don’t So – inability over means lane include data But we fact points over trillion billion to because lifting date rely the processing of are if because day. data, we on well. our mobile we other

So as said they you vehicle, a autonomous trust quality that vehicle, players high we’ve mobile electric that with do where vehicle, much trust outcome. can’t provides they an outcome, few it if a Because us. connected higher a

markets and then you And that the in insurance Okay. as ways. there’s other mentioned, players on attack other UBI

for first, guess data So your the and claims That’s understand in fraud I of just what’s broader then It is and included some end-to-end all part help there’s like sounds how superior us prevention. solution. as UBI well. just it

commoditized they is The manufacturers the we billion the time there’s delivered industry. score there how our damage. on help that of – so estimated There’s have – shorten as the then become savings vehicles, high supply alone U.S. be vehicle insurance be of panel identify repaired. well of traction in an parts call why believe are a real in is because from that accurately the in which can biggest there the vehicle, that costs. from last can And claim UBI carriers telematics other in any [indiscernible] of it insurance going can insurance well, the most of data time terms failures. And intervention, shops to significantly invested so end-to-end $XX example, reduces, U.S. what they were biggest that parts Yes, all process. alone real and are we industry insurers With earlier we we with parts We to We big the may terms driving at well the our recovery who repair is deliberately, largest in out we of very tow storage of and in before costs, we between is we, behavior. times in shrinkage where discussions body data, and terms credit arguably, the that’s haven’t since quicker or we there’s which manual XX% means SOMPO sort X% matured saving. so is identify getting little much certain identified of difference for never why time, real costs industry have reducing reduces reduces is getting – a chain between seeing providers UBI say can one we quarter relationship that insurance mind done could in again, year. – last costs the the shorten provider as insurance That’s became costs, actually potentially claims the

you. Thank Okay.

turn the Thank reached of like comments. session. end question-and-answer you. over for any further closing to back We I’d floor our

Thank you all our joining today. call for

on seen but dominant more traffic real being we which leverage OEMs have have added time that mentioned, X Tier are have our we our as pure deploying of total only you’ll added platform, and from partners, also we’ve we from. contracts of shown information, leading now of over significantly receive base base We’ve further position the contract XX.X more where where that As more being OEMs million value. we our John fleet provider products industry vehicles an data client to we shown position we’ve XX to of

leading position. a in We’re market

you various calls meeting call. given And We’re business look earnings forward guidance in other with we’re our next date. scaling and our and happy the we we’ve to to

does you. update. business today’s conclude Thank That

We a thank this have You disconnect at you wonderful participation line your today. your for may time and day.