Raiz Invest Ltd. · ASX:RZI
Raiz Invest — FY2018 Earnings Presentation
25 slides from Raiz Invest's earnings presentation, Aug 28, 2018
Slide 1: Invest & Save confidently with Raiz: Full Year Results Presentation
For personal use only Invest & Save confidently with Raiz Full Year Results Presentation 28th August 2018 Raiz Invest Limited FY18 Results Presentation 1
Slide 2: Important Information
Important Information For personal use only Important notice and disclaimer (Important Notice) This presentation has been prepared by Raiz Invest Limited (ACN 615 510 177) (RAIZ). References in this presentation to RAIZ include its group of companies and trusts. In consideration for being given acce
Slide 3: Raiz Overview FY18
Raiz Overview FY18 For personal use only 129% 82% 56% Well funded to deliver on Funds Under Management Customer sign ups Active customers current growth strategy, 30 June 2018: $199.8m 30 June 2018: +500k 30 June 2018: +160k with over $11.6m in cash 31 July 2018: $222.4m 31 July 2018: +525K 31 July
Slide 4: About Raiz
About Raiz For personal use only Raiz (formerly Acorns) is a mobile first micro-investing platform via mobile phone or web app, which allows customers to invest in a portfolio of Exchange Traded Funds (ETFs) in and outside of superannuation on a single platform. Raiz launched in February 2016 and is
Slide 5: Raiz Customers
Raiz Customers For personal use only Active or paying customers increased 55.6% to 160,510 at FY18 versus 103,144 at FY17 600,000 Paying FY18 500,000 525,000+ 500,000 Customers Customer Sign Ups (as at 31 July 2018) 56% 400,000 240,000+ Investment Account 300,000 FY18 (as at 31 July 2018) 235,000 20
Slide 6: Revenue Growth
Revenue Growth For personal use only Normalised revenue up 126% from FY17 to FY18. Revenue growth $1,000,000 Netting 9% Advertising 12% driven by FUM and Account Fee advertising revenue 7% $800,000 Maintenance Fee 71% $600,000 $400,000 $200,000 $- Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec
Slide 7: Funds Under Management (FUM)
Funds Under Management (FUM) For personal use only FUM grew 129.9% to $199.8m in FY18 from $86.9m at FY17. $200,000,000 $222m As at 31 July 2018 $150,000,000 $100,000,000 $50,000,000 $- Mar-16 Jun-16 Sep-16 Dec-16 Mar-17 Jun-17 Sep-17 Dec-17 Mar-18 Jun-18 Raiz Invest Limited FY18 Results Presentatio
Slide 8: Raiz Invest Super
Raiz Invest Super For personal use only Since launching in July 2018, FUM has grown to $10+ million (as at 31 July 2018). Marketed to existing customers of Raiz through online channels targeting the database of over 500,000 sign ups. Raiz Invest Super gives customers access to their Superannuation v
Slide 9: Raiz Rewards Partnership Growth
Raiz Rewards Partnership Growth For personal use only Raiz Reward Partners grew 326% to 115 in FY18 from 27 at FY17. No. of Raiz Rewards Partners Raiz Reward Partners include: 120 100 80 60 40 20 0 7 7 8 17 17 18 18 16 17 17 r-1 -1 r-1 n- n- b- b- c- g- c- ct Ap Ap Ju Ju Fe Fe De Au De O Raiz has re
Slide 10: Product and Strategy
For personal use only Product and Strategy Raiz Invest Limited FY18 Results Presentation 10
Slide 11: Raiz Product Overview
Raiz Product Overview For personal use only New features and products driven by customer feedback Raiz Kids: Simple way to invest Goals functionality to assist Raiz Invest Super Raiz Rewards improvements for under 18s customers to save 20K+ $5m a month via $10m+ FUM 115+ 12k+ transactions Raiz Kids
Slide 12: Raiz Growth Strategy
Raiz Growth Strategy For personal use only The Company’s growth strategy will focus on opportunities to add multiple revenue streams based on Raiz’s scalable technology platform: Accelerating the Raiz Group’s growth in Australia through increased marketing spend and R&D with machine learning and AI
Slide 13: Raiz Customers
Raiz Customers For personal use only Raiz appeals to a new generation of investors, with its automated processes, and as a result, the Raiz platform will grow with our customers on their life journey, to meet their emerging wealth and well-being needs. 26% 160,000+ increase in revenue Active custome
Slide 14: FY2019 Momentum
FY2019 Momentum For personal use only Raiz focus for FY2019: Increase paying customers by proactively engaging inactive customers and new customers. Market Raiz Invest Super to our database of over 500,000 sign ups. Continuously improve the platform and user experience by frequently innovating new p
Slide 15: Competitive Advantages
Competitive Advantages For personal use only Raiz is able to leverage technology to offer and facilitate the provision of financial services and products at a lower cost with greater efficiency than a traditional financial services business. Raiz owns the end-to-end mobile first technology platform
Slide 16: Financials
For personal use only Financials Raiz Invest Limited FY18 Results Presentation 16
Slide 17: Statement of Cash Flow
Statement of Cash Flow For personal use only To be read in conjunction with the Company 2018 Statement of Cash flow (Extract) FY18 FY17 Annual Results $000 $000 Receipt from Customer 4,486 870 Payment to suppliers & employees (10,781) (4,616) • $11.6m held in cash and cash Other revenue activities -
Slide 18: Statement of Profit & Loss
Statement of Profit & Loss For personal use only To be read in conjunction with the Company 2018 Annual Results Statement of Profit & Loss FY18 FY17 (Extract) $000 $000 • Revenue for the normalised pre- restructure entity for the FY18 and Total Revenue 2,761 8,162 include more than just the current
Slide 19: Financial Position
Financial Position For personal use only To be read in conjunction with the Company 2018 Annual Results Financial Position FY18 FY17 (Extract) $000 $000 Cash and cash equivalents 4,446 4,479 • Balance Sheet is for the normalised Trade & other receivables 859 21,797 pre-restructure entity for FY18 an
Slide 20: Appendix
For personal use only Appendix Raiz Invest Limited FY18 Results Presentation 20
Slide 21: Australian Market Opportunity
Australian Market Opportunity For personal use only 5.6M Australians are currently interested in investing/savings. 1.5M planning to invest in the stock market within the next 12 months. The Australian investment platform industry is growing – FUM from $436bn in June 2011 to $765bn in June 2014(1) .
Slide 22: Raiz: Market Conditions
Raiz: Market Conditions For personal use only Current market conditions have seen consumers move away from the traditional finance models and incumbents The Royal Commission and Productivity Commission have greatly affected the way consumers view the industry: Customer trust in all financial institu
Slide 23: Key People – Board & Management
Key People – Board & Management For personal use only Key People - Board Peter Anthony (Tony) Fay • He has worked for several leading investment banks and brokerage firms and held senior positions with Industry bodies. Non-Executive Chairman • He was instrumental in establishing the agricultural der
Slide 24: Customer Stories – Building confidence
Customer Stories – Building confidence For personal use only “I can pass this “Discovering the app has knowledge on to my given me much more peace of kids and break the cycle mind as it ensures some of my of poor financial income will continue to grow.” literacy.” Raiz Invest Limited FY18 Results Pr
Slide 25: Thank you
Thank you For personal use only Contact Business: Media Enquiries: George Lucas – glucas@raizinvest.com.au Lauren Stutchbury– lstutchbury@cannings.net.au Brendan Malone – brendan@raizinvest.com.au Phone 02 8284 9992 This document & the information herein is confidential, intended only for the named