Transcript Organizational Chart

Thomas Weisel Partners
Tech2003 Conference
VeriSign Company Overview
Dana Evan, CFO
February 2003
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Safe Harbor
Statements in this presentation other than historical data and information, including but not limited to,
statements regarding benefits of VeriSign’s restructuring and new service offerings, constitute forwardlooking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E
of the Securities Exchange Act of 1934. These statements involve risks and uncertainties that could
cause VeriSign's actual results to differ materially from those stated or implied by such forward-looking
statements. The potential risks and uncertainties include, among others:
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VeriSign's limited operating history under its current business structure,
the risk that businesses of previously-acquired companies as well as other businesses
will not be integrated successfully and unanticipated costs of such integration;
uncertainty of future revenue and profitability and potential fluctuations in quarterly results;
the ability of VeriSign to successfully develop and market new services and
customer acceptance of any new services;
the risk that VeriSign’s announced strategic relationships may not result in additional
products, services, customers and revenues;
increased competition and pricing pressures;
risk that the company may not be able to achieve anticipated cost savings from the restructuring; and
risks related to potential security breaches.
More information about potential factors that could affect the company's business and financial results
is included in VeriSign's filings with the Securities and Exchange Commission, including in the
company's Annual Report on Form 10-K for the year ended December 31, 2001 and quarterly reports
on Form 10-Q. VeriSign undertakes no obligation to update any of the forward-looking statements after
the date of this presentation.
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VeriSign’s Mission
Provide the Critical
Infrastructure Services That
Make Commerce and
Communications Possible
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5 million SMEs & consumers
45+ countries
4,000 enterprises
$1+ billion in revenues
1,000 carriers
3,100 employees
Q4 ’02 Financial Performance
Income Statement
Revenue
$275 million
Exited 3rd party product re-selling business;
anticipated decline in Mass Markets business
Gross margin
58%
Improvement due to decrease in low-margin
3rd party re-selling business
Operating margin (pf)
17%
Benefits from realization of restructuring and
expense management
Net income (pf)
$42 million
Leverage in model generated solid income
EPS (pf)
$0.14
Balance Sheet
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Cash & cash equivalents
$404 million
OCF of ~$80m and FCF of ~$77m
A/R
$134 million
Reduced by $72m from Q3 and ~50% from 2001
Deferred revenue
$484 million
5% anticipated decline in domain name business,
additional 3% from migration of billing system
VeriSign Services Portfolio
Web Presence
Services
Domain Names
Web
Domain
Site Security
Names
Web Site Hosting
Domain-based e-mail
TrustedInternet
Infrastructure
& Application
Services
Infrastructure
Services
Network & Security Services
Authentication
& Access
Network
& Security
Services
Digital
Brand
Management
Authentication & Access
Payment
Payment Services
Services
IP Addressing
Directory Services
25
%
Web Presence
Infrastructure
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Q4’02 Revenue Mix
38
%
Security
Infrastructure
Transaction
Payment
Infrastructure
ATLAS Directory & Routing Infrastructure
Telecom
Infrastructure
Services
SS7 Signaling
Database Services
Wireless Billing
Clearing & Mediation
37
%
Telecom
Infrastructure
Thomas Weisel Partners
Tech2003 Conference
VeriSign Company Overview
Dana Evan, CFO
February 2003
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