Count Limited · ASX:CUP
Count — Investor Presentation (February 2023)
31 slides from Count's investor presentation, Feb 27, 2023
Slide 1: 2023 Half-Year Results
ASX announcement CountPlus Limited 2023 Half-Year Results Presentation and Investor Discussion Pack 27 February 2023 (Sydney). This presentation has been authorised for release to the ASX by the Board of CountPlus Limited. Results Presentation 1H23 1
Slide 2: Group Results
Group Results Results Presentation 1H23 2
Slide 3: CountPlus Network
CountPlus Network The CountPlus and Count Financial network includes 3,513 people in 138 firms. 17 2 2 1 14 2 66 738 2,709 39 8 Services Accounting Wealth 2 39 7 Count Financial member firms CountPlus equity firms 4 1 3,513 Results Presentation 1H23 3
Slide 4: 2023 Half-Year Highlights
2023 Half-Year Highlights Reported EBITA Reported Revenue Reported Contribution Adjusted EBITA* +8% +13% -50% +28% to $2.9M, includes impairment to $45.4M to $23.6M to $5.0M and write-down of $2.1M Employee net promoter score Wealth segment reported Interim dividend per share Adviser numbers rev
Slide 5: CountPlus Half-Year 2023 Overview
CountPlus Half-Year 2023 Overview Headline growth • Strong +8% increase in reported revenue to $45.4M, coupled with disciplined cost management delivered a +13% increase in reported contribution. in adjusted EBITA • Adjusted EBITA is $5.0M, an increase of $+1.1M (+28%) from adjusted EBITA in 1H22 of
Slide 6: CountPlus Half-Year 2023 Overview (continued)
CountPlus Half-Year 2023 Overview (continued) • Accounting reported revenue of $33.3M, an increase of +1% from 1H22 revenue of $33.1m. • Accounting firm average adjusted EBITA margin the same as 1H22 at 17%. Improved metrics • Accounting segment lock up of 83 days (1H22 78 days) reflecting previousl
Slide 7: EBITA analysis
2023 Half-Year Results EBITA analysis Adjusted EBITA* increase of $1.1M +28% growth in 1H23 Acquisitive growth – accounting segment Basis of analysis: Acquisitions WSC Group This analysis is prepared by deducting non-recurring gains and losses, including the impact of business operations that are be
Slide 8: CountPlus – 100% aggregation 1H23 on 1H22 by segment
2023 Half-Year Results Overview CountPlus – 100% aggregation 1H23 on 1H22 by segment 140 121 120 104 100 80 $’M 1H22 60 1H23 39 40 32 20 13 11 8 6 0 Aggregated revenue Aggregated contribution margin Adjusted EBITA Adjusted EBITA attributable to CountPlus shareholders Basis of analysis: This analysis
Slide 9: Key dates for Interim 1H23 dividend
2023 Half-Year Results Dividend • 1H23 dividend of 1.50 cents per share, fully franked (1H22 1.50 cents per share). Key dates for Interim 1H23 dividend Ex-Dividend date Record date Payment date Franking credits at 31 December 2022 Thursday Friday Wednesday amount to $10.3M 16 March 2023 17 March 202
Slide 10: Segment results
Segment results Incorporating Accounting Wealth Services Results Presentation 1H23 10
Slide 11: CountPlus – 100% aggregation
2023 Half-Year Results Overview CountPlus – 100% aggregation Total Accounting Wealth Services 1H23 1H22 1H23 1H22 1H23 1H22 1H23 1H22 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Gross revenue 120,947 103,732 62,375* 57,763 55,780 44,850 2,792 1,119 Fees (47,338) (37,637) – – (47,338) (37,637) –
Slide 12: Accounting
Accounting Results Presentation 1H23 12
Slide 13: Accounting segment key highlights
2023 Half-Year Results Overview Accounting segment key highlights Aggregated adjusted EBITA Aggregated adjusted EBITA Aggregated Revenue Aggregated Contribution percentage +8% +15% +7% 17% to $62.4M to $30.3M to $10.7M in-line with 1H22 Accounting segment Lock up days Write-offs* acquisitions -
Slide 14: Wealth
Wealth Results Presentation 1H23 14
Slide 15: Wealth segment key highlights
2023 Half-Year Results Overview Wealth segment key highlights Reported Revenue Reported Contribution Reported EBITA EBITA percentage +17% +23% +99% +70% to $8.4M to $5.7M to $1.4M to 16.3% Results Presentation 1H23 15
Slide 16: Count Financial update
2023 Half-Year Results Count Financial update Number of Advice Documents 14,000 • Advice documents written up 112% from 1H20 to 12,571 in 1H23. 12,015 12,571 12,000 • Gross Business Earnings (GBE) up 55% from 1H20 to $46,109 in 1H23. 10,000 8,122 • GBE per Adviser up 58% from 1H20 to 165 in 1H23. 8,
Slide 17: Financial Adviser Numbers Update
2023 Half-Year Results Financial Adviser Numbers Update Total number of Advisers in Industry* Count Financial Adviser numbers 19500 300 18,947 19000 18500 279 280 18000 17500 -14% 17000 260 +13% 16500 16,258 248 16000 240 15500 15000 14500 220 FY21 FY22 1H2022 1H2023 *Sourced from data released by A
Slide 18: Remediation provision
2023 Half-Year Results Remediation provision • As per the ASX announcement on 8 December 2022, the Commonwealth Bank of Australia raised the indemnity for Count Financial to $520M. • Amount of remediation paid or offered as at 31 December 2022 was $442M. • Number of customers paid or offered remedia
Slide 19: Services
Services Results Presentation 1H23 19
Slide 20: Services segment key highlights
2023 Half-Year Results Overview Services segment key highlights Adjusted Revenue Adjusted EBITA Adjusted EBITA percentage +150% +59% 36% to $2.8M to $1.1M to 40.9% Notes: Adjusted revenue and EBITA includes the removal of the impact of business operations that are being discontinued. Results Pres
Slide 21: Services segment
2023 Half-Year Results Services segment We remain focused on executing our services strategy. Accurium Wealth Axis • 2022 winner of the CoreData award for best actuarial certification provider; • Reduction of operating losses to the value of $429k; • 2022 winner of the SMSF Advisers award for best a
Slide 22: Group cash flow
Group cash flow Results Presentation 1H23 22
Slide 23: Statutory Cash Flow bridge
2023 Half-Year Results Statutory Cash Flow bridge Statutory Cash Flow bridge – 1 July 2022 to 31 December 2022 $ Cash on hand has decreased in 1H23 from 30 June 2022 due to acquisitions The following acquisitions were completed during 1H23 but are not included in the completed during the half year t
Slide 24: M&A
M&A Results Presentation 1H23 24
Slide 25: 1H23 M&A and recruitment pipelines
1H23 M&A and recruitment pipelines Active M&A Advisers in due diligence opportunities 2 5 Qualified M&A from 24 to 19 from 12 to 14 leads Early-stage M&A discussions 15 Prospective Advisers from 80 to 95 9 10 from 24 to 33 from 156 to 166 Basis of comparison: Comparison of M&A and recruitment p
Slide 26: Appendices
Appendices Appendices Results Presentation 1H23 26
Slide 27: Reminder of how we report by segment.
Appendices Reminder of how we report by segment. • This segment refers to CountPlus equity partnerships in converged accounting and financial planning firms. Accounting • As at 31 December 2022 there were 18 equity partners in this segment. • This segment refers to the operations of Count Financial.
Slide 28: Reconciliation from aggregated adjusted segment EBITA to reported EBITA
Appendices Reconciliation from aggregated adjusted segment EBITA attributable to shareholders to reported EBITA. Total Accounting Wealth Services 1H23 1H22 1H23 1H22 1H23 1H22 1H23 1H22 $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Adjusted segment EBITA attributable to 7,528 6,381 5,392 5,186 1,1
Slide 29: Appendix 1: CountPlus subsidiaries and associates
Appendices Appendix 1: CountPlus wholly-owned subsidiaries, partially owned subsidiaries and associates. Accounting Firms Shareholding Accounting Firms Shareholding No. No. Wholly-owned subsidiaries % Associates % 1. CountPlus One Pty Ltd 100.00 12. Southern Cross Business Holdings Pty Ltd 49.00 2.
Slide 30: Important information
Important information This presentation is provided for information purposes only. The information in this Certain statements in this presentation may constitute forward-looking statements or presentation is in a summary form, does not purport to be complete and is not statements about future matter
Slide 31: Thank You
Thank You Results Presentation 1H23 31