Specialist
Former VP at Getty Images
Agenda
- Getty Images' operating environment
- Competitive positioning vs Shutterstock (NYSE: SSTK), Adobe (NASDAQ: ADBE) and others
- Recent financial and operational performance, highlighting growth drivers and recent acquisition of Unsplash
- Outlook for 2022 and beyond, focusing on potential threats to operating performance
Questions
1.
Could you give an overview of Getty Images’ operating environment and the state of demand in the photo related tech services industry? What key trends should we monitor?
2.
Could you elaborate on the USD 2bn-4bn TAM sizing across the key markets Getty Images participates in, highlighting Getty Images’ market share and any market share trends or shifts?
3.
Could you elaborate on Getty Images’ main competitive advantages?
4.
You mentioned that the current management has designed more consistent strategies. What growth strategies is Getty Images implementing?
5.
Could you name some of the smaller niche players in the market? What kind of threat do they pose to Getty Images over time?
6.
You mentioned Getty Images’ recent acquisition of Unsplash for about USD 90m. What are your thoughts on the decision to acquire this company? What opportunities does this open up?
7.
How is Getty Images expanding its product offerings and diversifying relative to other players in the market? What could we expect for Getty Images’ longer-term product offering roadmap?
8.
Could you elaborate on Getty Images’ relationships with photographers on the editorial side?
9.
Can you quantify the recent changes in pricing and royalty rates and the impact on Getty Images’ business and margins?
10.
Is increased competition eroding Getty Images’ base of mid-stock photographers? Is this a significant risk for Getty Images relative to competitors such as Adobe and Shutterstock?
11.
Getty Images reported a 28% YoY gain in adjusted EBITDA in Q1 2021, which was USD 78m compared to USD 61m in Q1 2020. Are there any areas where Getty Images may be able to pursue further incremental cost efficiencies? What is driving cost inefficiencies?
12.
What would you say are Getty Images’ main top-line growth drivers?
13.
Revenues were up by 10% YoY to about USD 219m in Q1 2021. When you talk about the main drivers such as digital marketing, broadcasting, and production over the next 2-3 years, what kind of growth do you think will be sustainable?
14.
What is Getty Images’ acquisition strategy? What do you think are some attractive M&A opportunities for it and why? Are there any logical buyers or sellers in the market?
15.
What progress has Getty Images been making with its liquidity issues? Its liquidity consisted of USD 176m in cash at the end of Q1 2021, an improvement compared to USD 156m at the end of 2020. What further actions do you think the company can take to address liquidity concerns?
16.
Could you talk about the impact of Getty Images’ liquidity issues now and in the past? What restructuring actions took place while you were there and what impact did they have on Getty Images’ stakeholders, including customers, partners and employees?
17.
Could you evaluate Getty Images’ ability to upsell to its clients? To what extent are there substantial adjacent opportunities within its customer base?
18.
How diversified is Getty Images’ customer base across different verticals or mid-market vs large enterprise clients?
19.
What are the cross-selling opportunities? Are any specific products driving up cross-selling motions? How do these opportunities increase the revenue per customer?
20.
Are there any non-core assets you think Getty Images may seek to divest in the near-to-mid-term?
21.
Is there anything we haven’t covered or any points we haven’t done justice to?
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