JDC Group AG · XETR:JDC
JDC — FY2023 Earnings Presentation
25 slides from JDC's earnings presentation, Mar 8, 2024
Slide 1: Earnings Call FY 2023 (Preliminary): Back to Double Digit Growth
EARNINGS CALL FY 2023 (PRELIMINARY) Back to Double Digit Growth Dr. Sebastian Grabmaier (CEO) Ralph Konrad (CFO) JDC Group AG 08 March 2024 1
Slide 2: JDC's Earnings Call presented by
JDC‘s Earnings Call presented by Dr. Sebastian Grabmaier (CEO) Ralph Konrad (CFO) • Strategy • IT - Platform • Human Resources • Operations • Products • Finance • Investor/Public Relations • Legal & Compliance • M&A JDC Group AG 08 March 2024 2
Slide 3: Platform technology: Making German Insurance Digital
Platform technology MAKING GERMAN INSURANCE DIGITAL JDC‘s platform is a market leader for the administration and processing of financial products and the #1 for insurance contracts. Currently there are 4.9M contracts on the platform. Direct Clients Next to increasing back-office efficiency thr
Slide 4: FY 2023 preliminary
FY 2023 preliminary • After a very strong fourth quarter with a turnover growth of >20%, JDC is back on the double Turnover digit growth path: turnover whole year 2023 +10% +10% • Strong outperformance of the insurance segment overcompensates the weaker sectors, which are recovering fast in 2024 156
Slide 5: Q4/FY 2023 in Numbers – Group
FY 2023 preliminary Q4/ FY 2023 IN NUMBERS – GROUP Q4 2023 FY 2023 FY FY Turnover in million EUR Q4 2023 Q4 2022 vs. vs. 10.0% 2023 2022 Q4 2022 FY 2022 Revenues 48.8 40.3 21.2% 171.7 156.1 10.0% 156.1M 171.7M → Advisortech 42.4 34.9 21.6% 150.8 132.9 13.5% → Advisory 9.6 8.3 16.1% 33.2 34.7 -4.3% F
Slide 6: Strong and accelerating insurance business (+19%!)
Strong and accelerating insurance business (+19%!) Turnover development FY 2023 A good recovery in the investment and 0.4M real estate segment and the +4% 17.2M consolidation of Top Ten Group in -2.0M December reduced the decline in sales 171.7M -4% +19% from -17% (9M) to just -4% for the year 156.1
Slide 7: IFA Business is recovering despite weak first quarter
IFA Business is recovering despite weak first quarter Turnover development FY 2023 Advisortech turnover split FY 2023 7.5M -1.5M 1.9% -0.3M -4.3% -9.0% +25.9% IFA 10.7M business 24.3% 171.7M +10.7% Major 156.1M customers 3M: -0.3% 6M: +9.0% 73.8% Direct 9M: +9.2% clients IFA Major Direct FY 2022 Adv
Slide 8: Weak start: quarterly comparison shows recovery since Q2
WEAK START: quarterly comparison shows a weak start in 2023 and a recovery since Q2 The QoQ comparison normally shows 15 to 20% turnover growth from Q1 to Q1. Development of quarterly turnover (in kEUR) 50.000 45.000 + 1.4% 40.000 + 20.2% 35.000 + 14.4% 30.000 25.000 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 9: Strong finish: normal seasonality since Q2
STRONG FINISH: quarterly comparison shows a normal seasonality since Q2 The QoQ comparison normally shows 30% turnover growth from Q3 to Q4. Precondition: normal year-end business Development of quarterly turnover (in kEUR) 50.000 + approx. 45.000 27% + approx. 40.000 + approx. 15% 30% 35.000 + appr
Slide 10: Weak start – strong finish and good visibility for the coming year
WEAK START – STRONG FINISH and good visibility for the coming year Development of quarterly turnover (in kEUR) Development of quarterly EBITDA (in kEUR) 50.000 6.000 5.000 45.000 + 1% + 21% + 8% 4.000 - 15% + 81% 40.000 + 10% 3.000 + 15% 35.000 + 100% 2.000 30.000 1.000 25.000 0 2022 2023 2022 2023
Slide 11: Q4/FY 2023 in Numbers – Advisortech
FY 2023 preliminary Q4/ FY 2023 IN NUMBERS – ADVISORTECH Q4 2023 FY 2023 FY FY Turnover ADVISORTECH Q4 2023 Q4 2022 vs. vs. 13.5% 2023 2022 Q4 2022 FY 2022 Revenues 42.4 34.9 21.6% 150.8 132.9 13.5% 132.9M 150.8M Gross profit 12.8 10.1 26.7% 41.3 37.1 11.4% Depreciation and FY 2022 FY 2023 -1.3 -1.1
Slide 12: Q4/FY 2023 in Numbers – Advisory
FY 2023 preliminary Q4/ FY 2023 IN NUMBERS – ADVISORY Q4 2023 FY 2023 FY FY Turnover ADVISORY Q4 2023 Q4 2022 vs. vs. 2023 2022 -4.3% Q4 2022 FY 2022 Revenues 9.6 8.3 16.1% 33.2 34.7 -4.3% 34.7M 33.2M Gross profit 3.8 3.0 28.6% 11.7 11.1 5.7% Depreciation and FY 2022 FY 2023 -0.3 -0.4 12.9% -1.2 -1.
Slide 13: Preliminary Cash Flow Statement
FY 2023 preliminary PRELIMINARY CASH FLOW STATEMENT The cash flow statement has not yet been reconciled with the auditor. Due to the initial consolidation of the Top Ten Group in December, there may still be shifts within the items as part of the review. Very satisfying Cash Flow from 01/2023 01/202
Slide 14: JDC platform activity 2023 at all-time high levels
JDC platform activity 2023 at all-time high levels Overall Platform activity with an All-Time-High! – driven by the insurance sector # of orders up more than + 20% # of contract transfers more than +100% Annual net premium on the JDC platform is growing constantly and will reach 1.2bn EUR so
Slide 15: Further Facts
FY 2023 FURTHER FACTS Development of share price Bond 2023/2028 4. Share price (XETRA): 20.40 EUR (March 7th, 2024) Quote (Tradegate): 105.51 % (March 7th, 2024) 104,603 own shares (as of March 1st, 2024) Volume: 20,000,000 EUR Purchase price 18.87 EUR per share coupon: 7.0 % p.a Reserves 160k / Sha
Slide 16: JDC Group – stock market data
JDC Group – stock market data Shareholder structure Own shares 0.8% Provinzial Management 6% 11.2% Shares Outstanding 13,668,461 Great West 26.9% ISIN DE000A0B9N37 Other Shareholders 49.1% Bloomberg JDC:GR Current share EUR 20.40 price as of VKB March 7th, 2024 6% Market Cap EUR 279m Average daily t
Slide 17: Spotlights
Spotlights: Asset Management @ JDC Summitas Economies of Scale JDC Group AG 08 March 2024 17
Slide 18: Asset Management @ JDC
Asset Management @ JDC WITH THE ACQUISITION OF TOP TEN/ DFP GROUP, ASSET & WEALTH MANAGEMENT GAINS RELEVANCE with More than 1.7bn EUR 130 label- AuM strategies and more than and 13,000 30 label-funds customers Within the in GER, LU, AT und FL Top 30 with With more than Wealth a leading tech 17m EUR
Slide 19: Summitas
SUMMITAS SUMMITAS GROUP HAS SUCCESSFULLY EXECUTED FIRST TRANSACTIONS/ TEAM COMPLETE Joint Venture of Bain Capital (65%), Great West (25%), JDC Group (10%): Several 100m EUR (thereof up to 150m equity) will be invested into a roll up investment case to consolidate the German and Austrian commercial b
Slide 20: Economies of Scale
ECONOMIES OF SCALE JDC IS CONSTANTLY IMPROVING ITS SCALING EFFECTS • Total Costs are increasing modestly. • Increasing gross margin leads to a disproportional development of earnings and relevant KPIs JDC Group AG 08 March 2024 20
Slide 21: Guidance
Guidance JDC Group AG 08 March 2024 21
Slide 22: Guidance 2023
Guidance 2023 Guidance 2023 Achievements 2023 Turnover LOWER Turnover 175 to 190 million END 171.7 million EBITDA LOWER EBITDA 11.5 to 13 million END 11.7 million • Further development of bancassurance business Goals • 3 to 5 acquisitions of Summitas and first turnover on the JDC platform 2023 • Suc
Slide 23: Guidance 2024
Guidance 2024 Achievements 2023 Guidance 2024 Turnover Turnover 171.7 million 205 to 220 million EBITDA EBITDA 11.7 million 14.5 to 16 million • Integration of Top Ten Group Goals • Relevant turnover and gross margin from Summitas companies 2024 • Refocus on smaller IFAs – Leverage the experience fr
Slide 24: Thank you for your attention!
Thank you for your attention! JDC Group AG 08 March 2024 24
Slide 25: Disclaimer
Disclaimer This presentation does not address the investment objectives or financial situation of any particular person or legal entity. Investors should seek independent professional advice and perform their own analysis regarding the appropriateness of investing in any of our securities. While JDC