Eml Payments Ltd. · ASX:EML
Eml Payments — Shareholder Meeting (November 2013)
31 slides from Eml Payments's shareholder meeting presentation, Nov 13, 2013
Slide 1: 2013 Annual General Meeting
For personal use only 2013 Annual General Meeting November 13, 2013 1
Slide 2: Important Notice
Important Notice For personal use only emerchants refers to the Emerchants Group which contains Emerchants Limited and its We believe the information provided herein is reliable, as of the date hereof, but do not wholly owned subsidiaries including Emerchants Payment Solutions Limited. warrant its a
Slide 3: Contents
For personal use only Contents 1. Company Overview 2. FY13 Highlights 3. FY13 Financial Summary 4. FY14 Highlights and Objectives 5. Broker Coverage 3
Slide 4: Company Overview
For personal use only 4 Company Overview
Slide 5: Mission
For personal use only Mission empowering | Your Money To transform the commercial payment solutions landscape by inspiring companies to demand more control, more transparency and more flexibility over their money. To deliver our stakeholders sustainable financial success. 5
Slide 6: Our Value Proposition
Our Value Proposition For personal use only 6
Slide 7: Our History
For personal use only 7 Our History
Slide 8: What we do
What we do For personal use only emerchants offers clients payment solutions across all 4 segments of financial card industry Non-reloadable Reloadable 8
Slide 9: Sources of Revenue
Sources of Revenue 5. Customer info system authorises For personal use only transaction and adjusts cardholder account balance 1. emerchants issues emerchants prepaid card software Set up fee CAR fee 4. Transaction 6. Transaction request sent to authorised emerchants 2. Cardholder makes a 3. Transac
Slide 10: FY13 Highlights
For personal use only 10 FY13 Highlights
Slide 11: FY13 Business Highlights
FY13 Business Highlights For personal use only Enhanced Growth in Queensland Improvements in Key Product Reloadable Government Business Metrics Offering Programs Contract Continued to enhance and We commenced our sales As previously announced to the Despite a simultaneous focus on evolve our product
Slide 12: FY13 Key Contract Signings
FY13 Key Contract Signings For personal use only Launch February ‘13 November ‘13 December ‘13 October ‘13 July ‘13 Jan ’14 Aug ‘13 Two separate Pilot launched Launched in Full rollout Full rollout Launched programs. in July 2013 October 2013 complete by complete in the August 2013 with full with fu
Slide 13: Key Customers as at End FY13
What doKey weCustomers do? as at End FY13 1. Process transactions For personal use only 13
Slide 14: FY13 Financial Summary
For personal use only FY13 Financial Summary 14
Slide 15: FY13 Business Metrics
FY13 Business Metrics For personal use only Total Dollar Loads Total Active Cards Revenue 35% 30% 33% Over prior year to Over prior year to Business metrics drove a 33% $134.88m 516,000 cards improvement in Revenue to $5.03m and combined with lower operating expenses, drove a 41% improvement in EBIT
Slide 16: Key Business Metrics
Key Business Metrics Strong historical growth in all key metrics largely from single product offering For personal use only 0.6 160 Total dollars loaded prepaid platform Total number of active cards 140 ($millions) 0.5 (millions) 120 0.4 100 Millions Millions 0.3 80 60 0.2 40 0.1 20 0 0.0 FY09 FY10
Slide 17: Financials: Income statement
Financial ('000s) FY12 FY13 Financials Establishment and termination fees Transaction fees 1,710 1,262 2,274 1,925 For personal use only 1. Income statement for 12 months ended 30 June Interest received – host based stored value 533 586 Interest received – other entities 265 118 Service fee - 130 Re
Slide 18: Financials: Balance sheet at 30 June 2013
Financials Financial ('000s) Cash FY12 2,289 FY13 1,359 For personal use only 2. Balance sheet at 30 June 2013 Accounts receivable 584 233 R&D receivable & mining tenement receivable 397 125 Other current assets (includes breakage accrual) 193 625 Total Current Assets 3,463 2,342 Goodwill and Intang
Slide 19: Post Year End Capital Position
Post Year End Capital Position For personal use only Following the end of the Financial Year, EML had a successful capital raising and has placed itself in a strong financial position to deliver on our business plan. • Institutional Placement – The Company raised $7.5m in a placement to institutions
Slide 20: FY14 Highlights and Objectives
For personal use only FY14 Highlights and Objectives 20
Slide 21: Continued Growth in Non-Reloadable Programs
Continued Growth in Non-Reloadable Programs For personal use only Launch October ‘13 November ‘13 October ‘13 September ‘13 About Consumer cash back Consumer cash back RAN (restricted RAN (restricted program. program. authorisation network) authorisation network) card program entitling card that als
Slide 22: Partnership With GIVV Pty Ltd
For personal use only Partnership With GIVV Pty Ltd EML has re-signed an exclusive 5 year agreement with Givv for content provision and processing services for their electronic kiosks • GIVV has recently signed an agreement with GPT for the rollout of 25 kiosks generating approximately $5m in gift c
Slide 23: Queensland Government Agreement
Queensland Government Agreement For personal use only Contract Agreement Optimistic Government Sector Status Delays Outlook opportunities The parties remain close The delay in executing the We remain optimistic that We have not actively to executing an agreement agreement is likely to if the governm
Slide 24: Press coverage: Success is on the payment cards
BUSINESS WITH THE WALL STREET JOURNAL NEWS OPINION BUSINESS NATIONAL AFFAIRS SPORT TECHNOLOGY ARTS EXECUTIVELIVING TRAVEL HIGHERED MEDIA NENS LATEST | OPINION CONPANES | DATAROOM | MARKETS | WALLSTREET JOURNAL | WEALTH | MINING & ENERGY Success is on the payment cards: Emerchants Emerchants chief To
Slide 25: Press quote: a service the big banks can't provide
“ …a Service the Big For personal use only Banks Can’t ” Provide… Herald Sun 25 25
Slide 26: Press quotes on BPAY approval and capital raising
“ Prepaid card supplier Emerchants Ltd took a big For personal use only step in the transformation of its business last week when it was approved as a payer institution member of the BPAY scheme. Banking Day | 23 September 2013 ” “ emerchants secures $7.5m to fund an expansion of sales, marketing an
Slide 27: FY14 Objectives – General Business
FY14 Objectives – General Business Some of our key focus areas for the remainder of the year: For personal use only We operate in a market where sales cycles can be upwards of 12 months, depending on the project, Improve “ TTR” IT development required or regulatory complexity. We have implemented a
Slide 28: FY14 Objectives – Business Development
FY14 Objectives – Business Development We will continue to expand our presence in our key sales verticals For personal use only Consumer Lending We partner with 3 of the top 5 lenders in this vertical and we will look to deepen our presence, as well and Financial Services as continue to identify oth
Slide 29: Broker Coverage
For personal use only 29 Broker Coverage
Slide 30: Broker research summary, June 2013
24 June 2013 For personal use only BUY HOLD SELL Key points Low High Company description – Emerchants is a provider of prepaid financial card products and services in Australia. The company provides both non-reloadable and High reloadable cards, however, the focus is now on growing the reloadable se
Slide 31: Independent Investment Research
Independent Investment Research For personal use only • Banking agreements • Business opportunities • New contracts • Capital position Wilson HTM - Initiation Report • Large and growing market • Highly scalable platform • Advantages of prepaid cards • Highly experienced management 31