investor presentation 0910

8/7/2019 investor presentation 0910

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elliot noss |ceo + president

Simple, useful services that make the Internet easier

Version 2.1


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This presentation may contain forward-looking statements,

relating to the Companys operations or to the environment in whichit operates, which are based on Tucows Inc.s operations, estimates,forecasts and projections. These statements are not guarantees of

future performance and are subject to important risks, uncertaintiesand assumptions concerning future conditions that may ultimatelyprove to be inaccurate or differ materially from actual future events or

results. A number of important factors could cause actual outcomesand results to differ materially from those expressed in these

forward-looking statements. Consequently, investors should notplace undue reliance on these forward-looking statements, which arebased on Tucows Inc.s current expectations, estimates, projections,

beliefs and assumptions. These forward-looking statements speak

only as of the date of this presentation and are based upon theinformation available to Tucows Inc. at this time. Tucows Inc.disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future

events or otherwise."


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"To provide simple, useful services thathelp people unlock the power of the Internet."

core purpose is...


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Founded 1993 Worlds first domain wholesaler

Worlds largest domain wholesaler > 10,000 Resellers in >100 countries

> US$80 million in revenue Cash flow positive for last 8 years

Revenue(US$ millions)

at a glance...


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consistencyreliabilityvisibility

return capital to shareholders

investmentproposition


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consecutive years of

revenue growth

consecutive years of

positive cash flowfrom operations

14

7


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Contribution

By Gross Margin FY2009


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?


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69.63.176.11


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FACEBOOK.COM


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>10,000RESELLERS

(IN >100 COUNTRIES)


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Over 10 million

domains*

registered through

*>5% OF ALL DOMAINS ON THE NET!


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ETC.

SSL

EMAIL

>10,000RESELLERS

(IN >100 COUNTRIES)


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(MILLIONS OF MAILBOXES)

(#1 VERISIGN RESELLER)

>10,000RESELLERS

(IN >100 COUNTRIES)ETC.

SSL

EMAIL


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By Gross Margin FY2009

Contribution


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Over 180,000 names expire in OpenSRS every month


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owns

100,000 Domains


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owns domains like...Gems Brandable Direct Navigation

Tool.com CustomBridal.com ETOJM.com

Backs.com TheDogStore.com Sci-Journal.org

Sleuth.com SafeLife.com Low-Fat-Recipe.com

Veggies.com CarTrackers.com SATPrepPlan.com


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sells names like...Gems

($10K - $50K) Brandable($1K - $5K) Direct Navigation

Tool.com DraftZone.com 4,000 domains for$885,000

Backs.com KansasGolf.com 2,100 domains for$450,000

Sleuth.com MarriageMinded.com 58 domains for$30,000

Veggies.com FixYourFeet.com 77 domains for$15,000


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...and generates ad revenue.


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Surname PortfolioWorlds Best email Address


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SMITH.NET

JOE SMITH

[email protected]

WWW.SMITH.NET


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SMITH.NET

JOE SMITH

[email protected]

WWW.SMITH.NET

BETTY SMITH

DAVE SMITH


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SMITH.NET

[email protected]

WWW.SMITH.NET

[email protected]

BETTY.SMITH.NET

[email protected]

DAVE.SMITH.NET

JOE SMITH

BETTY SMITH

DAVE SMITH


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Roughly2/3 of

North Americannames

owned by

and sold through


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Revenue(US$ millions) CFFO(US$ millions)

Financial Snapshot

As of June 30, 2010

Most revenue is recurring Renewal rate on services of ~70% Low CapEx requirements

Cash: US$4.1 million Long-term Debt US$2.2 million


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How Will We Grow?


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A Growing Market


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gTLDs only Source: Zooknic Intelligence

Domain Growth 2000 - 2009


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Market Share


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Upsell


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Committed to Returning Capitalto Shareholders

Number of

Shares

% of

Outstanding

2010 13.7 million ~20%Since

Feb. 1, 2007

23.2 million ~30%

Share Repurchase Summary


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Committed to ReturningCapital to Shareholders

Repurchased ~16 million shares since Jan. 1, 2009representing >21% of shares outstanding*

Initiated 5th Dutch tender (Sept. 2010) to purchase upto an additional 2.9 million shares

*As of Dec. 31, 2008


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Why ? Why Now? Unique position in the growing domain name market.

Strong, growing base of over 10,000 wholesale customers in

more than 100 countries.

Portfolio of more than 100,000 domain names.

Operating efficiencies not yet recognized by the market.

Experienced team with demonstrated ability to grow revenue andgenerate cash flow.

Dedicated to returning value to shareholders.


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elliot noss |[email protected]

thank you!

investor presentation 0910

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