Navigator Global Investments Ltd · ASX:NGI
Navigator Global Investments — FY2022 Earnings Presentation
43 slides from Navigator Global Investments's earnings presentation, Aug 25, 2022
Slide 1: Company Update and 2022 Annual Results
Company Update and 2022 Annual Results 25 August 2022 Authorised by: Board of Navigator Global Investments Limited The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated.
Slide 2: Introduction
Introduction 1 Overview of current NGI Group business 2 Lighthouse business review 3 Review of recent investments 4 Earnings drivers of today’s business 5 FY 2022 Results 6 Dividend and funding strategy 2
Slide 3: Overview of current NGI Group business
Overview of current NGI Group business Sean McGould, CEO 3
Slide 4: Company Overview
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Company Overview NGI is a diversified alternative asset management company with exposure to well established hedge funds, private and public credit strategies and real estate capital solutions We a
Slide 5: Today's Value Proposition
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Today’s Value Proposition Navigator now has a highly diversified asset and earnings base, exclusively focused on the alternative asset management industry NGI Today Ownership Partner Firms Investment
Slide 6: Highlights
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Highlights NGI is uniquely positioned to deliver earnings growth through a volatile and challenging market environment Our partners’ strategies are generating strong investment returns in 2022 on bot
Slide 7: Lighthouse business review
Lighthouse business review Sean McGould, CEO 7
Slide 8: Lighthouse Investment Partners
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Lighthouse Investment Partners Diversifying and expanding product mix in key growth areas Evolving our brands and product offering 14.4 ‒ North Rock’s multi-portfolio manager Firm level (multi-PM) he
Slide 9: Lighthouse Investment Partners
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Lighthouse Investment Partners AUM as at 30 June 2022 Total AUM Composition Americas 14.4 71% 14.2 13.9 Sovereign Wealth Funds 11.8 USD billions 11.3 Pensions 14% 52% Investor Investor Individuals Ty
Slide 10: Lighthouse Investment Partners
Lighthouse Investment Partners Strong relative investment performance through recent volatile markets Performance may vary among different share classes or series 30 June 2022 performance estimates for Calendar 3 year 3 month 3 year 5 year within a Fund. Past performance is not indicative of future
Slide 11: Review of recent investments
Review of recent investments Ross Zachary, MD of Strategic Corporate Development 11
Slide 12: 18 months of growth through quality acquisitions
18 months of growth through quality acquisitions NGI has completed strategic acquisitions which have diversified the Group and will drive earnings growth in the years to come Acquisition of strategic passive NGI Strategic Portfolio Strategic Investments in minority stakes in Marble Acquisition Longr
Slide 13: Overview of NGI Strategic Portfolio
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Overview of NGI Strategic Portfolio Scaled and uncorrelated portfolio comprised of well established specialised firms that are recognised as leaders in their respective strategies Overview of firms A
Slide 14: Overview of NGI Strategic Portfolio
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Overview of NGI Strategic Portfolio A two-stage transaction in which NGI purchased minority ownership stakes in six well established and uncorrelated alternative asset management businesses from fund
Slide 15: NGI Strategic Portfolio – Metrics
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. NGI Strategic Portfolio – Metrics The NGI Strategic Portfolio (the “Portfolio”) provides a stable and growing earnings stream through FY 2025 Portfolio Assets Under Management1 Ownership-adjusted AUM
Slide 16: NGI Strategic Portfolio - Redemption Payment
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. NGI Strategic Portfolio - Redemption Payment Scheduled acquisition of Dyal’s remaining share of portfolio profits in 2026 using an agreed upon purchase price formula Redemption Payment Price Expected
Slide 17: Investment in Marble Capital
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Investment in Marble Capital Proven investment capacity and capital raising momentum with unique return profile in a hard-to-access market Firm Overview Transaction Overview Interest USD 1.6 bn Real
Slide 18: Investment in Invictus Capital Partners
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Investment in Invictus Capital Partners Deep client relationships and ability to invest tactically across market segments and generate strong uncorrelated returns Firm Overview Transaction Overview I
Slide 19: Earnings drivers of the business
Earnings drivers of the business Ross Zachary, MD of Strategic Corporate Development Amber Stoney, CFO 19
Slide 20: Building Blocks of Our Recent Investments
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Building Blocks of Our Recent Investments NGI has added high quality and unique earnings streams, each with significant upside and growth potential Marble Capital NGI Strategic Total Illustrative and
Slide 21: Breakdown of Group Base Adjusted EBITDA
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Breakdown of Group Base Adjusted EBITDA Excluding Upside from performance fees, excess above PMDA, carried interest and other potential transaction-based income FY 2022 FY 20231 FY23 expected to be f
Slide 22: Our Growth Strategy is Delivering
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Our Growth Strategy is Delivering Creating a larger, more stable and growing portfolio of assets Upside from Carried Diversification Highly Visible Revenue Interest Added exposure to the uncorrelated
Slide 23: 2022 financial results
2022 financial results Amber Stoney, CFO 23
Slide 24: 2022 financial results
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. 2022 financial results AUM growth of 9% over the financial year reflects organic growth as well USD 22.9 bn USD 46.5 m as contribution from acquired ▲ 9% pcp ▲ 68% pcp minority stakes Adjusted EB
Slide 25: Annual Group Results: Adjusted EBITDA reconciliation
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Navigator Annual Group Results result 2022 Adjusted EBITDA of USD 46.5 million Excluded from Adjusted USD millions (unaudited) Adjusted (unaudited, Statutory assets and liabilities setting revenue an
Slide 26: Navigator Annual Group Results
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Navigator Annual Group Results result Adjusted EBITDA up 68% on pcp (Unaudited, non-IFRS measure) 30 June 2022 30 June 2021 Change to pcp USD millions USD millions Management fees revenue 73.5 75.6 ▼
Slide 27: Key revenue items
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Key revenue items Management fees $73.5 million (▼ 3% pcp) Management fees (USD millions) Earned from Lighthouse operating business, management Average management fee rate 73.5 fee revenue has remain
Slide 28: Key net operating expense items
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Key net operating expense items Impact of ‘pass through’ expense model 30 June 2022 30 June 2021 Change USD millions USD millions to pcp Reimburseable fund revenue & expenses Employee expenses 50.7 4
Slide 29: Utilising the balance sheet to support acquired growth
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Utilisingresult Annual the balance sheet to support acquired growth Proforma USD millions Jun-20 Jun-21 Jun-22 Jun-223 Cash 27.0 52.1 94.0 79.0 Receivables 16.0 21.0 18.7 18.7 Deferred purchase con
Slide 30: FY22 Dividend
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. FY22 Dividend Interim paid Final declared FY22 total Shares participating in final dividend USD 5.5 cps USD 3.0 cps USD 8.5 cps Ordinary shares on issue Shares participating in dividend via 235,692,0
Slide 31: Dividend and funding strategy
Dividend and funding strategy Amber Stoney, CFO Ross Zachary, MD Strategic Corporate Development 31
Slide 32: Summary of Deferred Consideration from Investments
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Summary Annual of Deferred Consideration from Investments result Deferred consideration is generally used to align interests with management and provide growth capital when needed by the businesses
Slide 33: Amended Dividend Policy from FY 2023
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Amended Dividend Policy from FY 2023 With the recent significant investments made by the NGI Group in recent months, both of which have deferred consideration, focus shifts to allocating more operati
Slide 34: Funding our commitments over the next 3 years
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Funding our commitments over the next 3 years NGI : will allocate cash flow from operations to fund our recent investments expects to pay a US 3.0 – 4.0 cents per share dividend on a financial ye
Slide 35: Closing remarks
Closing remarks Sean McGould, CEO 35
Slide 36: In Closing
In Closing We are in an exciting stage of our company’s evolution and growth Topic Conclusions Today’s NGI is a unique alternative asset management 1 Our current business company with a diverse group of leading partner firms Recent strong relative investment returns and demand for 2 Lighthouse multi
Slide 37: Q&A
Q&A
Slide 38: Appendices
Appendices gx \ Y .
Slide 39: Navigator Annual Group Results: Statutory EBITDA
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Navigator Annual Group Results result Statutory EBITDA up 35% on pcp 30 June 2022 30 June 2021 Change to pcp USD millions USD millions Management fees revenue 73.5 75.6 ▼3% Performance fee revenue 10
Slide 40: We focus on market leaders with sustainable growth
We focus on market leaders with sustainable growth Marble and Invictus fit our criteria, designed to identify those managers which will continue their already impressive growth and strong performance Navigator seeks opportunities with the potential for long term growth and sustained profitability dr
Slide 41: NGI operates and invests in the most attractive area of asset management
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. NGI operates and invests in the most attractive area of asset management Alternatives are the faster growing segment of the Key drivers of growth in alternative assets classes Asset Management indust
Slide 42: Minority Stake Partnership Model
Minority Stake Partnership Model The continued growth of high-quality managers will lead to additional investment and partnership opportunities Overview Experience The market for minority stakes in the management companies and general partnerships of alternative asset managers was Our team include
Slide 43: Disclaimer
The numbers in this presentation have been presented in US dollars (USD) unless otherwise indicated. Disclaimer This presentation has been prepared by Navigator Global Investments Limited (NGI) and provides information regarding NGI and its activities current as at 25 August 2022. It is in summary f
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