Slide 1: FY22 Results Presentation
FY22 Results Presentation 23 August 2022
Slide 2: Empowering better financial futures, together
Empowering better financial futures, together Supporting over 300,000¹ customers to meet their investment and retirement goals 1. Customer accounts across Platform and Class service offerings
Slide 3: Record financial results and growth delivered for FY22
Record financial results and growth delivered for FY22¹ Statutory $14.7m $192.5m $160.5m NPAT Including $17.9m of strategic Up 50% transaction & project costs (pre tax) 76% Total Group Revenue³ 59% Platform Revenue Underlying $70.4m $62.3m NPAT2 $35.9m Up 133% 92% Group Underlying 64% Platform Under
Slide 4: HUB24 Group
HUB24 Group Platform Tech Solutions 92 7,000+ PLATFORM PARS Financial Services Clients Unique Clients¹ Custodial administration Non-custodial administration Technology & Data Services Cloud-based software Platform FUA PARS FUA HUBconnect Broker Class Super $49.7bn $15.9bn Customer management & SMSF
Slide 5: Consistently delivering record growth
Consistently delivering record growth Funds under administration Revenue CAGR +41%¹ 4 YR CAGR +68% UEBITDA CAGR +56%¹ $80b $200m $70b $60b $150m $50b $40b $100m $30b $20b $50m $10b $0b FY18 FY19 FY20 FY21 FY22 $0m FY18 FY19 FY20 FY21 FY22 PARS FUA Platform FUA Revenue HUB24 UEBITDA Class Contributio
Slide 6: HUB24 Group – Growth & market share
HUB24 Group – Growth & market share Platform FUA Growth in Platform FUA, PARs FUA & Growth in Class accounts Class Super Accounts PARS FUA net flows per year² Platform FUA Netflows Total Accounts 200,000 FUA Netflows 195,000 $m ($m) 190,000 70,000 Platform FUA 4YR 14,000 185,000 60,000 CAGR 56%⁴ 12,
Slide 7: FY22 continuing strong growth & delivering on our strategy
FY22 continuing strong growth & delivering on our strategy Innovating to enhance customer value Record annual platform net inflows HUB24 Present - market-leading digital reporting functionality launched HUBconnect Licensee - enabling licensees with Growing customer advocacy dashboards & insights, re
Slide 8: FY22 continuing customer & industry recognition
FY22 continuing customer & industry recognition No.1 No.1 No.1 No.1 Value for Managed Best SMSF Money¹ portfolios – Platform³ Administration 6th year running² Provider⁴ No.1 No.1 No.1 No.1 Best Adviser Product Best SMSF Experience³ Offer² Investment Platform⁴ Options³ 1. Investment Trends Adviser Te
Slide 9: FY22 Continuing to invest in our people
FY22 Continuing to invest in our people Creating the right environment for our people to thrive Our Values Integrity Attracting, retaining and developing talented people: 700 Do the right thing Creating a strong client Investing in leadership focused culture development & providing Collaboration car
Slide 10: Financial results
Financial results Kitrina Shanahan Chief Financial Officer
Slide 11: Combined group snapshot as at June 2022
Combined group snapshot as at 30 June 2022¹ Consolidated Group Result2 HUB24 Class3 Technology Technology Solutions Corporate Document Sales Solutions Corporate Other 2% 3% 5% 15% 2% 13% Revenue Revenue Revenue $168.6m $23.9m $192.5m Underlying EBITDA Underlying EBITDA Underlying EBITDA $60.9m $9.5m
Slide 12: Group financial results
Group financial results¹ Operating Revenue ($m) +76% FY22 FY21 Change 192.5 1.6 22.4 $m $m % 109.1 59.4 Operating Revenue 192.5 109.1 76% Operating Expenses (122.1) (72.4) 69% Underlying EBITDA from Continuing Operations2 70.4 36.7 92% FY21 Platform Tech Solutions Corporate FY22 Underlying EBITDA ma
Slide 13: Platform segment results
Platform segment results Benefits of strategic transactions and Funds Under Administration ($bn) continued FUA growth leading to expanding UEBITDA margins $68.3 $5.0 ($5.4) $1.1 ($2.3) $65.6 $1.9 $3.0 $58.6 $6.7 FY22 FY21 Change $18.3 $15.9 $m $m % $17.2 Platform FUA 49.7bn 41.4bn 20% PARS FUA 15.9b
Slide 14: Platform segment results
Platform segment results FUA growth delivering scale benefits Platform UEBITDA margin improved 1.3% compared Revenue and Expenses ($m) Revenue Expenses UEBITDA Margin (RHS) to FY21. Remained flat UEBITDA $m Margin (%) 2HFY22 compared to 180 1HFY22, in the context of 40 160 38 global inflation concer
Slide 15: Composition of platform FUA
Composition of platform FUA Portfolio Composition of Platform FUA and Revenue ($m) 3% 6%1% 3% 5% 1% The acquisition of Xplore and launch of private 16% 16% labels in FY21 has broadened our reach and increased market share 81% 93% 81% 94% FY22 FUA FY22 Revenue FY21 FUA FY21 Revenue Retail clients rep
Slide 16: Platform revenue
Platform revenue Platform Revenue ($m)1 +59% Platform revenue growth of 59% reflecting record 160.5 net inflows and benefits from acquisitions 101.1 2.8 3.1 83.2 77.3 Platform revenue increased to $160.5 million (up 59%) 10.4 Revenue continues to increase with the scale of the 57.3 9.6 business, pla
Slide 17: Group expenses
Group expenses Group Expenses by function ($m)1 +79% Investing for scale while delivering improvements +46% to the Group's cost to income ratio 171.3 30.2 141.1 Group expenses increased by $39.9 million or 46% before 126.7 14.4 10.1 the addition of Class and costs associated with strategic transacti
Slide 18: Increasing profitability
Increasing profitability Statutory NPAT up 50% representing strong growth Share based payments of $10.8 $17.9 million of strategic transaction Higher amortisation, as development million in FY22 in relation to the and project costs related to the Class and capitalisation of IT assets Employee Share
Slide 19: Corporate Sustainability
Corporate Sustainability Andrew Alcock Managing Director
Slide 20: Enhancing our approach to sustainability
Enhancing our approach to sustainability ESG materiality assessment undertaken with stakeholders identified the following focus areas the following Business ethics Diversity & Climate Community Data Privacy Employee Customer & Integrity inclusion Risks & contribution & Security engagement experience
Slide 21: Class Update
oF Class Update
Slide 22: Class progress update
Class progress update Consolidating market leadership position Strategic and focusing on growth priorities Transition phase Growth phase Grow the SMSF market and market share Appointed experienced leadership Focus on core products, services and team including CEO market leadership Redesigned operati
Slide 23: Strategy & Outlook
Strategy & Outlook Andrew Alcock Managing Director
Slide 24: HUB24 well positioned to grow market share
HUB24 well positioned to grow market share Australian Investment Managed Account PARS SMSF Platform Market¹ Market² Market³ Market⁴ HUB24 market share HUB24 market share HUB24 market share Class market 5.1% 17% 9.3% 30% Investment Other services Inhouse Class Super $321bn $10.7bn $84.1bn Accounts⁵ 1
Slide 25: Our strategic pillars
Our Deliver customer value & growth strategic pillars Continue to develop our core product propositions to meet evolving customer needs, extend our market-leadership Enhancing our current proposition & extending and grow market share our competitive advantage Continue to build the platform of the fu
Slide 26: We're building the platform of the future
We’re building the platform of the future Single view of wealth for advisers and their clients One way of doing business Platform PARS Software, data and tech Incorporating custody & non custody Custodial Non-custodial SMSF Solutions and Services administration administration Efficient access to inv
Slide 27: Empowering better financial futures through innovation
Empowering better financial futures through innovation HUB24 Present HUB24 SMSF Access HUBconnect Licensee Producing client reports for reviews Traditional SMSF solutions seen as Access to quality, integrated data a are time consuming & inefficient cost-prohibitive for clients with lower challenge f
Slide 28: Outlook
Outlook Continue to invest Pursue Continuing strong for ongoing success Growth financial results Platform • Continued investment in product • Leverage existing relationships • Leverage operating scale innovation and customer service with financial professionals and to drive shareholder value FUA tar
Slide 29: Disclaimer
Disclaimer Summary information Forward looking statements The material herein is a presentation of general background This presentation contains certain forward- information about HUB24 Limited’s (‘HUB’) activities current as at looking statements. The words ‘anticipate’, date of presentation. This
Slide 30: AUB
AUB