International Money Express, Inc. · NASDAQ:IMXI
International Money Express — Q1 2019 Earnings Presentation
20 slides from International Money Express's earnings presentation, May 2019
Slide 1: First Quarter 2019 Earnings Presentation
First Quarter 2019 Earnings Presentation May 2019 CONFIDENTIAL
Slide 2: Safe Harbor Statement / Non-GAAP Financial Measures
Safe Harbor Statement / Non-GAAP Financial Measures The information in this presentation is current only as of its date and may have changed or may change in the future. We undertake no obligation to update this information in light of new information, future events or otherwise. We are not making a
Slide 3: On Track to Execute on 2019 Strategic Priorities
On Track to Execute on 2019 Strategic Priorities Priority #1 is to continue driving core growth initiatives Long runway ahead Core expansion in both growth and stronghold states Continued growth opportunity secondary and tertiary LatAM markets Expanding our breadth and depth of service O
Slide 4: Review of Key Performance Indicators
Review of Key Performance Indicators Growth Revenue and Adjusted EBITDA growth of 22% year-over-year Market Share Intermex continued to aggregate share in Mexico / Guatemala Expansion Key growth initiatives across new products and markets Returns IMXI shares have appreciated nearly 20% since initial
Slide 5: Intermex Growth Story
Intermex Growth Story Money Transfer Transactions Volume (# In millions) ($ in millions) 6.16 $2,200.5 4.97 $1,784.2 1Q18 1Q19 1Q18 1Q19 Revenue Adjusted EBITDA(1) ($ in millions) ($ in millions) $10.8 $68.3 $56.0 $8.8 1Q18 1Q19 1Q18 1Q19 (1) Adjusted EBITDA reflects add-backs for one-time, non-recu
Slide 6: Favorable, Fragmented Competitive Landscape
Favorable, Fragmented Competitive Landscape Intermex enjoys a strong and growing position across key target markets Intermex Share of Key Target LAC Market Landscape LAC Countries - 2018 Markets (2) Mexico Market Share Breakdown Size Country (US$B)1 Region 2014 2018 1Q19 MEX 35.7 40% GUA 9.6 11% 7.9
Slide 7: First Quarter 2019 Performance Highlights
First Quarter 2019 Performance Highlights Generated impressive year-over-year growth of key metrics: 22.1% revenue growth 21.9% Adjusted EBITDA growth(1) 23.3% growth in remittance volume Net income of $3.2 million vs. a net loss of $540 thousand in Q1 2018 Basic and fully diluted EPS of
Slide 8: Market Share and Percent Of Industry Growth Tier I Countries
Market Share and Percent Of Industry Growth Tier I Countries Mexico Remittance Volume Growth Guatemala Remittance Volume Growth 18.0% 17.4% 25.5% 14.9% 24.0% 21.6% 12.1% 18.8% $992 $3,123 $3,079 9.7% $934 15.4% 14.0% $792 7.9% $2,188 $671 59% 58% $1,546 62% 59% 41% 57% 41% 42% $1,208 61% 38% $397 43
Slide 9: Reiterating 2019 Financial Guidance
Reiterating 2019 Financial Guidance $320-$330 million Revenue $54-$58 million Adjusted EBITDA(1) (1) Adjusted EBITDA reflects add-backs for one-time, non-recurring items. Please see pages 19 and 20 for more detail and reconciliation CONFIDENTIAL | 9
Slide 10: Warrant Exchange Highlights
Warrant Exchange Highlights Exchange offer expired April 25, 2019 Announced completion and settlement of the exchange in April 30 press release Exchanged 8.9 million or 99.5% of the outstanding warrants Issued 1.8 million common shares and made an approximately $10 million cash payment in co
Slide 11: Appendix
> 4 intermex \ INTERNATIONAL MONEY EXPRESS y Appendix
Slide 12: Intermex Overview
Intermex Overview • Leading Money Transfer service provider to the $90B US to 1Q18 1Q19 Latin America and Caribbean corridor (LAC)(1) Revenue $56.0M $68.3M • Unique and differentiated approach has driven rapid market share growth Adjusted $8.8M $10.8M EBITDA(2) • Impressive Financial Performance – R
Slide 13: Intermex – Evolution of a Market Leader
Intermex – Evolution of a Market Leader History of sustained market share growth provides a strong platform for future growth ($ in millions) 2009 – 2012 2013 – 2018 Revenue CAGR: 8% Revenue CAGR: 31% $273.9 $215.5 $165.4 $124.2 $82.8 $98.3 $55.7 $57.9 $61.9 $70.6 2009 2010 2011 2012 2013 2014 2015
Slide 14: Core Strengths of the Story
Core Strengths of the Story Since 2011, Intermex has grown in excess of the industry while sustaining strong margins and increasing transaction growth to Mexico This is driven by our disciplined approach to expansion which focuses on prioritizing agent productivity and consistently growing transacti
Slide 15: Global Remittance Market
Global Remittance Market 247M people live outside of $613B USD estimated amount of remittances their country of birth.(1) sent, worldwide in 2017(2) $148B USD $31B USD was sent from the U.S. alone(2) was sent from the U.S. to Mexico in 2017, the largest remittance corridor in the world(2) (1) The Wo
Slide 16: Customer Transaction Flow
Customer Transaction Flow Illustrative example of $375 transaction to Mexico $375 $375 is wired to Mexico. Customer picks up money with transaction code in $375 local currency. $375 +$10 fee Agent records $375 transaction to Mexico and charges the customer $385 and provides customer Intermex process
Slide 17: Consolidated Balance Sheets
Consolidated Balance Sheets March 31, December 31, (in thousands of dollars) 2019 2018 ASSETS Current assets: Cash $ 84,739 $ 73,029 Accounts receivable, net of allowance of $621 and $842, respectively 86,664 35,795 Prepaid wires 7,293 26,655 Other prepaid expenses and current assets 2,050 3,171 Tot
Slide 18: Consolidated Statements of Operations
Consolidated Statements of Operations Three Months Ended March 31, (in thousands of dollars) 2019 2018 (Unaudited) Revenues: Wire transfer and money order fees $ 58,451 $ 47,854 Foreign exchange 9,402 7,731 Other income 496 371 Total revenues $ 68,349 $ 55,956 Operating expenses: Service charges fro
Slide 19: Net Income (Loss) to Adj. EBITDA Reconciliation
Net Income (Loss) to Adj. EBITDA Reconciliation Three Months Ended March 31, (in thousands of dollars) 2019 2018 Net income (loss) $ 3,156 $ (540) Adjusted for: Interest expense 2,071 3,284 Income tax provision (benefit) 1,081 (207) Depreciation and amortization 3,152 3,789 EBITDA 9,460 6,326 Transa
Slide 20: Net Income(Loss) to Adj. EBITDA Reconciliation
Net Income(Loss) to Adj. EBITDA Reconciliation Three Months Ended 2015 FY 2016 FY 2017 FY 2018 FY March 31, 2019 Net income (loss) $ 5,757,824 $ 9,400,026 $ (13,491,874) $ (7,244,353) $ 3,156,221 Adjusted for: Interest expense 4,234,371 9,540,046 12,061,677 18,448,192 2,070,615 Tax expense 4,191,643
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