Paysauce Limited · NZX:PYS

Paysauce — H1 FY2024 Earnings Presentation

18 slides from Paysauce's earnings presentation, November 2023

  1. Slide 1: Results presentation – six months ended 30 September 2023

    2023 Results presentation SIX MONTHS ENDED 30 SEPTEMBER 2023

  2. Slide 2: Disclaimer

    Disclaimer The information in this presentation is of a general nature and does not This presentation may include statements relating to past constitute financial product advice, investment advice or any other performance, which should not be regarded as a reliable indicator for recommendation. Noth

  3. Slide 3: Agenda

    Agenda Asantha 1. Intro & Strategy Wijeyeratne CEO, Co-founder Jaime 2. Financial Results Monaghan Chief Financial Officer 3. Q & A PaySauce 3

  4. Slide 4: Intro & Strategy

    Intro & Strategy Asantha Wijeyeratne PaySauce 4

  5. Slide 5: Maiden positive earnings in year of transition

    Maiden positive earnings in year of transition Annualised Recurring EBTDA2 Rule of 40 Cashflow Revenue (ARR) Up $455k YoY reversing the Above industry Generating cash flow Up 32% on Sept 2022 Sept 2022 loss of $200k benchmark from operations1 $ 7.4m $ 255k 48 $ 464 k • Gen 2.0 Payroll Engine • Gener

  6. Slide 6: FY24 - a year of transition

    FY24 - a year of transition Annualised Recurring • Strong ARR growth continued - up 32% YoY Revenue (ARR) 7.4m to $7.4m $ • Interest income up 105% YoY • Processing Fees growth lower at 15% YoY as $8m 32% the business transitions $6m • Growth in processing fees came from 8% increase in new customers

  7. Slide 7: We are in transition to our platform for the future

    We are in transition to our Gen 2.0 Payroll platform for the future Engine Rev Gen 1.0 Gen 2.0 Embedded Payroll Existing code base serving 5600 customers In NZ A PI Payment PaySauce solution Gen 2.0 integration Gen 1.0 goPayroll + Engine SmoothPay (acquisition) Serving 1500 customers in A PI NZ, AU

  8. Slide 8: Gen 2.0 Payroll Engine affords us commercial optionality

    Gen 2.0 Payroll Engine affords us commercial optionality Embedded Embedded payroll opportunity Payroll CUSTOMER CUSTOMER REVENUE TIME TO SALES CTS THR OUGH A NNE PI ACQUISITION SUPPORT RECOGNITION SALE CYCLE CO Rapid global End customer Fixed term, multi 4−6 months Serve new Configure jurisdiction sc

  9. Slide 9: Strategic priorities

    Strategic priorities STRATEGI C PRIORITY #1 ST R AT EG IC PR IO R ITY # 2 STR ATEG I C PR I O R I TY # 3 STR ATEG I C PR I O RITY # 4 Re-invest for Obsess over Win-win-win Awesome long term customers partnerships people growth Highlights Highlights Highlights Highlights Embedded payroll Accelerated

  10. Slide 10: Financial Results

    Financial Results Jaime Monaghan PaySauce 10

  11. Slide 11: Customer value growth

    Customer value growth Customer Lifetime Value (CLTV) Macro-economic conditions and cost CLTV $7,070 per customer discipline support value accretio Customer $ 7,070 Lifetime 10% YOY 9.2 yrs CLTV : CAC -17% YOY 14:1 CAC -20% YOY $ 508 Customer stays with PaySauce +37% YOY Customer Lifetime New custome

  12. Slide 12: Customer acquisition, recurring revenue and cost to serve

    SEP 2023 SEP 2022 YOY Change • CAC: Fewer customers acquired, Customer Customer acquisition costs ($000s) 418 348 20% and cost to acquire increased Acquisition New customers (organic) 822 939 (12%) (CAC) CAC per addition 508 371 37% • Cost to serve each customer held at $21 per month as SEP 2023 SEP

  13. Slide 13: Delivering maiden positive earnings

    Delivering maiden positive earnings SEP 23 ($000s) SEP 22 ($000s) Change • Maiden positive EBTDA result Earnings / (Loss) before tax, impairment, of $255k 255 (200) (227%) depreciation & amortisation • Positive net operating Net operating cashflow* 464 (88) $552k cashflow of $464k* Cash and Cash equ

  14. Slide 14: Sustainable growth & the rule of 40

    Sustainable growth & the rule of 40 The rule of 40 provides a measure of two -23 8 36 71 67 48 key metrics for SaaS businesses: growth and earnings. 100 100% 75 50% PaySauce uses the combination of recurring 50 revenue growth, and EBTDA* to assess 0% against this measure. 25 -50% 0 In a year of tran

  15. Slide 15: Positioned for an acceleration in growth

    Embedded Embedded payroll opportunity Payroll Positioned for an acceleration in growth CUSTOMER CUSTOMER REVENUE CTS THR OUGH A NNE PI ACQUISITION SUPPORT RECOGNITION CO Rapid global End customer Fixed term, multi Configure jurisdiction scalability by relationship and year contract, rules embedding i

  16. Slide 16: Questions

    Questions PaySauce 16

  17. Slide 17: Glossary

    Glossary Recurring Revenue: Recurring revenue customers. This is often then expressed It is calculated by dividing the lifetime income tax expense to the amounts is revenue that is expected to repeat as a percentage, where the gross value of a customer by the customer reported in the NZ IFRS-based f

  18. Slide 18: 85 The Esplanade, Petone, Lower Hutt 5012, New Zealand www.paysauce.com/investor

    85 The Esplanade, Petone, Lower Hutt 5012, New Zealand www.paysauce.com/investor

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