Fiducian Group Ltd · ASX:FID
Fiducian — H1 FY2018 Earnings Presentation
21 slides from Fiducian's earnings presentation, Feb 15, 2018
Slide 1: FY 2017-18 H1 Results Investor Presentation
Fiducian Group (ASX:FID) For personal use only FY 2017-18 H1 RESULTS INVESTOR PRESENTATION 15 February 2018 STIRLING RANGE NATIONAL PARK 1 WA
Slide 2: Business Overview
Business Overview Fiducian Group H1 Results December 2017 • Business Overview For personal use only • Financials • Growth Strategy and Business Outlook • Contacts 2
Slide 3: Profit Generating Sustainable Business Model
Business Overview Profit Generating Sustainable Business Model For personal use only Management • Process driven, client focused investment products • 15 Managed Funds: 4 Diversified Funds, 4 Sector Funds, 7 Specialist Funds Funds • $2.21 Billion in Funds under Management (FUM) • Listed comparables
Slide 4: Funds Management
Business Overview Funds Management • 15 Funds using Fiducian’s Manage-the-Manager (MTM) system of Investment For personal use only • Select expert Managers – with proven performance, differing investment processes / styles • Combine experts with different weightings – up to 40 Fund Managers • Dynami
Slide 5: WRAP Platforms (FSS/FIS) – FinTech (FORCe & FASTrack)
Business Overview WRAP Platforms (FSS/FIS) – FinTech (FORCe & FASTrack) • Public offer “Superannuation Fund” For personal use only • Investor Directed Portfolio Service (IDPS) • 15 – Multimanager Funds using the Fiducian Manage-the-Manager system • 57 – Single Manager Fund Choices • 13 – Managed Dis
Slide 6: Financial Planning – Focus on Quality and Expertise
Business Overview Financial Planning – Focus on Quality and Expertise • We are selective in recruiting Financial For personal use only Planners • National footprint with 38 practices, 61 representatives 31 Franchise Offices 7 Salaried Offices Total 61 Authorised Representative 6
Slide 7: Integrated Business Model
Business Overview Integrated Business Model Our clients experience the Fiducian difference: For personal use only Funds Management Administration / Financial Planning Platforms $2.21 bil $2.31 bil $1.80 bil Half Year Gross Revenue $22.3 mil Fiducian Integrated Business Model FUMAA $6.32 bil Note: FU
Slide 8: Financials
FY 2017-18 H1 Results For personal use only FINANCIALS GLASS HOUSE MOUNTAINS NATIONAL PARK 8 QLD
Slide 9: Financial Highlights
Financials Financial Highlights For personal use only Financial Highlights Half Year Ending 31 December ($ in thousands) 2017 2016 % Change Operating Revenue 22,349 19,903 12% Fees and Charges paid (6,020) (5,041) Net Revenue 16,329 14,862 10% Gross Margin 73% 75% Underlying EBITDA 7,019 5,610 25% D
Slide 10: Segment Update
Financials Segment Update For personal use only Funds Revenue for the half-year is $6.1 mil Management Top quartile performance has driven significant inflows Benefitting from scaled fees from underlying managers Revenue for the half-year is $8.3 mil Administration Operational efficiencies through s
Slide 11: Cash Flow
Financials Cash Flow • Cash Flow in line with expectations for Jul – Dec 17: For personal use only • $24.5 mil Receipts from Customers • $4.8 mil Net Operating Cash Flow after expenses and tax • $11.4 mil Cash at end of the period • Reinvestments into business: • $0.7 mil payments for Client acquisi
Slide 12: Net Fund In-Flows in Platform
Financials Net Fund In-Flows in Platform For personal use only Funds Inflows and Outflows (in $ mil) Years Inflows Outflows Net Flows Dec 14 78 -49 29 Jun 15 88 -48 40 Dec 15 111 -37 74 Jun 16 135 -42 93 Dec 16 115 -39 77 Jun 17 290 -119 171 Dec 17 157 -44 114 Net In- Flows of $114 mil during FY17
Slide 13: FUMAA Growth
Financials FUMAA Growth For personal use only FUMMA Closing Balance (in $ bil) Years FUM FUAdm FUA Total Dec 14 1.28 1.11 1.46 3.84 Jun 15 1.37 1.17 1.54 4.08 Dec 15 1.47 1.25 1.66 4.39 Jun 16 1.59 1.32 1.82 4.74 Dec 16 1.76 1.45 1.92 5.13 Jun 17 1.96 1.58 2.14 5.68 Dec 17 2.21 1.79 2.26 6.27 Cons
Slide 14: FID outperformance against All Ords Accum Index
Financials FID outperformance against All Ords Accum Index • Since Jun 12, For personal use only outperformance 391% including dividend • Dividend pay-out policy 60-70% of Net Profit After Tax • Double digit EPS growth in 14 out of 18 years since listing • H1 dividends 9.0 cents – 27% growth over co
Slide 15: Strategy & Outlook
FY 2017-18 H1 Results For personal use only STRATEGY & OUTLOOK MOUNT KOSCIUSZKO 15 NSW
Slide 16: Growth Strategy
Growth Strategy Growth Strategy Strategy & Outlook For personal use only Funds Leverage of successful Manage-The-Manager Management model and expand in new markets where profitable Distribute SMA capabilities, offer Badged solutions Administration to IFA market and Build SMSF Administration Financia
Slide 17: Business Outlook – Revenue Streams
Strategy & Outlook Business Outlook – 3 Revenue Streams Revenue Growth is a function of volume of FUMAA For personal use only Example: Financial Platform Funds Under Planning FUMAA 3 Admin Management Advice Growth Revenue increase Increases $100 increases $300 mil Streams $100 mil mil $100 mil Plus,
Slide 18: Projecting the Potential: Conceptual Representation
Strategy & Outlook Projecting the Potential: Conceptual Representation The following is a concept extrapolation* of how increasing scale lifts EBITDA at an For personal use only accelerating rate above a relatively fixed cost base: Funds under Management, Administration and Advice (FUMAA) & EBITDA T
Slide 19: Outlook
Strategy & Outlook Outlook • Grow Funds Under Advice organically and through strategic acquisitions of financial For personal use only planning businesses • Expand platform administration services and SMA capabilities to IFAs and capture market share where value accretive • Build SMSF Admin and Acco
Slide 20: Key Dates and Contacts
Key Dates and Contacts Key Dates For personal use only • H1 dividend Record Date: 1 March 2018, Payment Date: 15 March 2018 • Full Year results announcement: Thursday, 16 August 2018 Contacts • Investor Relations: Rahul Guha, Chief Financial Officer +61 2 8298 4600 rahulguha@fiducian.com.au • Media
Slide 21: Important Notice and Disclosure
Important Notice and Disclosure The material and information contained in this presentation is general background information about Fiducian Group Limited’s (Fiducian) activities. This information is For personal use only an incomplete summary and should be read in conjunction with previous ASX anno