Slide 1: Q3 FY22 Results Update: Zip Accelerates Path to Profitability
21 April 2022 Q3 FY22 RESULTS UPDATE ZIP ACCELERATES PATH TO PROFITABILITY Zip Co Limited (ASX: ZIP) (“Zip”, or the “Company”) today announced its third quarter results for the period ending 31 March 2022 (“Q3 FY22”). KEY HIGHLIGHTS Group quarterly revenue of $159.2m (up 39% YoY). Transaction volume
Slide 2: Business Performance
economics and fast tracking profitability. The quarter saw us continue to deliver top line growth and strong revenue margins, while beginning to implement this refreshed strategy. The Sezzle acquisition remains on track and will deliver significant scale and synergies, directly supporting our object
Slide 3: Group Updates: Merchants and Sezzle Update
Customers* 11.4m 15% t 78% t USA 6.6m 16% tT 14% & ANZ 34m 3% * 19% Rest of World! 1.7m 42% * N/A 1(113% 4 YoY pro forma) Merchants* 86.2k 5% t 90% t USA 19.7k 6% TF 52% ANZ 41.5k 3% * 28% T Rest of World! 25.0k 8% * N/A 1(1,686% *% YoY pro forma) GROUP UPDATES In line with our strategic objectives
Slide 4: Sezzle Synergies and Unit Economics
The transaction is expected to deliver potential cost and revenue synergies of up to c. A$130m in FY24 and supports Zip’s accelerated path to EBTDA to profitability and positive cash flow during FY24, Unit Economics - Managing credit performance Due to a combination of both internal and external fac
Slide 5: Regional Updates: Zip US
Exceeding our group target, Zip achieved 42% representation of women across our global workforce. Zip also renewed its partnership with Women Who Code, a global not-for-profit empowering women in technology careers. Launched a partnership with Zolo, Australia’s first tech-cycling service to recycle
Slide 6: Zip ANZ
The partnership is set to launch towards the end of April, and will enable the scaling of physical cards, a key strategic in-store initiative. Zip ANZ All key operating metrics include Zip’s consumer operations in Australia and New Zealand based on Zip’s unaudited financials as of 31 March 2022. Rev
Slide 7: Zip RoW
e Released transaction enrichment for spending activity within the Zip app, helping our customers easily identify a transaction. This initiative is the first step in integrating experiences from Pocketbook into the Zip app. Zip RoW All key operating metrics include Zip’s consumer operations from Can
Slide 8: Zip Business
o Middle East: PatPat, Arabian Automobiles, Majid Al Futtaim Gift Cards and Virgin Mobile. © Canada: Clek, Fanatics, Lids, Famous Footwear and Naturalizer. © UK: Revlon Hair Tools, Braun Shop, Mercedes Benz and GlossyBox. ZIP BUSINESS All key operating metrics include Zip’s service offerings to smal
Slide 9: Capital Management
CAPITAL MANAGEMENT AU Zip Master Trust - Rated Note Series *2020-1 $285.0m $285.0m Oct-22 *2021-1 $475.0m $475.0m Apr-24 *2021-2 $617.5m $617.5m Sep-24 - Variable Funding Note $535.4m $430.2m Mar-24 - Variable Funding Note 2 $200.0m $10.0m Jan-23 2017-1 Trust $264.7m $211.0m May-23 2017-2 Trust $100
Slide 10: Important Legal Information
IMPORTANT LEGAL INFORMATION Cautionary Statement Regarding Forward-Looking Statements This communication contains certain forward-looking statements (including within the meaning of the federal securities laws) with respect to the proposed acquisition of Sezzle Inc. by Zip (the “Proposed Transaction