Jackson Hewitt Tax Service Inc
Jackson Hewitt Tax Service — Investor Presentation (March 2005)
16 slides from Jackson Hewitt Tax Service's investor presentation, Mar 11, 2005
Slide 1: Jackson Hewitt Tax Service
SVJACKSON HEWITT «TAX SERVICE NYSE: JTX March 2005 Michael Lister Chairman & Chief Executive Officer
Slide 2: Important Disclosure
Important Disclosure Certain comments made in this presentation are forward-looking statements within the meaning of Federal securities laws. Actual results may differ materially from those expressed or implied in the forward-looking statements due to a number of factors, including but not limited t
Slide 3: Profitable and high-growth business model
@ Profitable and high-growth business model @ Leading player with growing share in growing market @ Multiple opportunities for additional growth NY NSH rs
Slide 4: Company Overview
Company Overview | ™@ 2nd largest tax preparer in the United States — Over 5,400 locations in 49 states — 3.1 million tax returns prepared in 2004 - doubled since 1999 m Revenues earned from tax return preparation and financial product facilitation — High margin franchise segment — Growing profitabi
Slide 5: High-Growth Model: Revenue and Income From Operations
; Model adjusted") High-Growth B: ed Revenue and Income From Operations (2 Revenues (mitfions) Income From Operations (mittions) 23% CAGR $192.4 28% CAGR $67.4 L $57.8 $104.3 $36.6 $32.0 | 2002 © 2003-2004 2001 2002-2003 2004 2001 seu anaavone aque re ton: 9 Ha mee Conan sna nen MATa ona Fete OY est
Slide 6: Jackson Hewitt Tax Returns (000s)
Jackson Hewitt Tax Returns (000s) sam Returns (000s) Model 4.0% 2.0% pa 0.0% jaa 2.0% 20032004 19920002001 2002 43654772 2,212 2,625 2.826 3,135 3.202" High-Growth Busine: turn Growth 3,500 16% CAGR 3,000 2,500 2,000, 1,500 1,000 00 SSOIRSTaxRetun Growth 19% 18% 19% = O7% O28 OSH *2006 estimated tax
Slide 7: Leader in Growing Market
ket 1997 - Total U.S. Market 121 Million Returns er in Growing Market 2004 - Total U.S. Market 132 Million Returns Self Prepared Prepared 50% 5 6omm 2004 - Total Paid Preparer Segment | \Y SMEKSON HEWITT 79 Million Returns Jackson Hewitt 4%
Slide 8: Multiple Opportunities for Growth
Multiple Opportunities for Growth Customer Profile Workforce of America Likely to receive a large tax refund Many have no banking relationships Less likely to migrate to computer Desire for near-term access to money Early Season Client Needs Late Season Client Needs ™@ Speed is priority Increased se
Slide 9: Multiple Opportunities for Growth
Itiple Oppo @ Increase the number of offices in existing territories ™@ Add offices through the sale of new territories ™@ Increase the number of tax returns per office @ Offer innovative financial products @ Deliver pricing value to consumers NY NSH Ts
Slide 10: Target: stores per existing territory
Target: 3 stores per existing territory = Over 3,000 additional offices LZ 0% 20% 40% 60% 4% of Territories # of Offices per Territories JACKSON HEWITT 20% 100%
Slide 11: Expand Network into New Territories
Multiple Opportunities f Expand Network into New Territories @ More than 1/3 of total territories remain available for sale — Average of over 200 new territories sold each of past 3 years — Under-penetrated states include New York, California, Ohio, Michigan, Massachusetts and Pennsylvania — 75% of
Slide 12: Focus on our Customer
Focus on our Customer @ Large existing client base = Sports marketing partnerships with NASCAR and PBA — _ Large and loyal fan base @ Strong retail presence in Wal-Mart, Simon Malls and other retailers — Access to millions of shoppers and employees = Growing Employee Benefit Programs — _ Relationshi
Slide 13: Update on 2005 Tax Season
Update on 2005 Tax Season = Through February 28, 2005: — Tax return growth of 4.8% (vs. Feb. 29, 2004) — Tax return growth of 3.8% (on day over day basis) @ Fiscal year ending April 30, 2005 expectations: — Tax return growth of 4-6% to approximately 3.3 million returns — Revenue per tax return growt
Slide 14: Revenue and Income From Operations (As adjusted reconciliation)
Revenue and Income From Operations (As adjusted reconciliation) (miltions) 2001 2002 20032004 Het revenue (as reported) $755 $1570 $4715 § 2056 Adjustmes Franchise operations segment - New SBB&T agreement @ 53 79) 8.0) (13.2) Franchise operations segment intercompanyelimination —_(b) @) 4.0) Company
Slide 15: Profitable and high-growth business model
@ Profitable and high-growth business model @ Leading player with growing share in growing market @ Multiple opportunities for additional growth NY NSH
Slide 16: Searchable text section of graphics shown above
Searchable text section of graphics shown above [ LOG O] NYSE: JTX March 2005 Michael Lister Chairman & Chief Executive Officer Imp ortant Disclosure Certain comments made in this presentation are forward-looking statements within the meaning of Federal securities laws. Actual results may differ mat
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