Navigator Global Investments Ltd · ASX:NGI
Navigator Global Investments — FY2024 Earnings Presentation
50 slides from Navigator Global Investments's earnings presentation, Aug 27, 2024
Slide 1: 2024 Full Year Results
<> Navigator 2024 Full Year Results 27 August 2024 Authorised by: Board of Navigator Global Investments Limited
Slide 2: Agenda
Agenda Introduction and Highlights NGI Strategic Investments Review
Slide 3: Introduction & Highlights
Slide 4: Company Overview
Navigator Global Investments (NGI) is an ASX-listed asset Company 1: : management company exclusively focused on partnering with Ove ‘vi ew leading alternative asset managers globally Partner Firms’ investment strategies have low correlation to global equity and fixed income markets and to one anoth
Slide 5: Our Business Model
NGI | Our Business Model Navigator (NGI) Our Business A diversified asset management company that generates earnings from partnering with leading alternative asset : firms ‘ v v . ; ; To a diverse group of well established, high quality alternative asset managers : Partnerships Provides Growth Capit
Slide 6: The Year in Summary
NGI | The Year in Summary Significant momentum across NGI, positioning us for Strong Growth || oll -_ ky a~ WwW . . | Strong investment Financial Outperformance performance by P Partner Firms a~ WwW Robust balance sheet & cash flow to support continued growth = ze) Tailwinds benefiting global altern
Slide 7: NGI FY2024 Financial Results
NGI Adjusted EBITDA up 85% on pep driven by: + $61.4m of distributions received from the NGI Strategic Portfolio partner firms ($26.8m pcp); and + $11.5m of distributions from Marble & Invictus ($5.0m pcp) + Anincrease in Lighthouse management fees and performance fees of 10% and 72% respectively, c
Slide 8: FY2024 Highlights
NGI | FY2024 Highlights Earnings ahead of Upgraded Guidance Strengthened Leadership Team -—— °- Adjusted EBITDA of USD90.5m, beating mid-point of USD85-89m. oe —S June 2024 guidance by 4% + Strengthened leadership team with appointment of new CEO, enabling more active engagement with Australian mark
Slide 9: AUM Growth
NGI | AUM Growth Growth in a challenging fundraising environment g 5 g g a 23 4 = NGI Ownership Adjusted AUM1 usp billions : & 5 8 & a a NGI Ownership 8 g 8 8 5 €8 < < Adjusted AUM! 2 g g 2 £ ge 5 5 ne 3 3 3 3 3 3 YoY growth USD billions 3 3 8 3 3 a8 = = Yov growth to Lighthouse NS 139 144 154 | 158
Slide 10: AUM Drivers
NGI | AUM Drivers Investment performance drove 2H AUM growth FY2024 Ownership Adjusted AUM growth g 8 2 + zs o£ Bs 8 5 8 3s Ze Asset Strategy 89 ¢ Ee eo 52 25.5 (1.2) 19 26.2 USD billions 35 3 ge 3s ao — — ao 2 Es Zo “s 8 8 5 qt NGI Strategic’ 10.1 (0.3) 0.6 10.4 3% Lighthouse 15.4 (0.9) 13 15.8 2%
Slide 11: CY19 CY20 CY21
300 100% 90% 250 89 80% 67 91 70% 200 34 47 60% 183 150 169 50% 162 151 143 40% 100 38% 30% 34% 25% 27% 20% 50 17% 10% - 0% CY19 CY20 CY21 CY22 CY23
Slide 12: Indicative Revenue Composition
NGI | Indicative Revenue Composition By Segment NGI Strategic 3-year management fee revenue CAGR of 16% reflects the increasing importance of NGI Strategic contributions, alongside Lighthouse growth Management Fee Revenues cy20 © CY21.«—«C¥22.~«—=—C¥23._3yr Average Syr average : ; ’ 9 ‘ For both NGI
Slide 13: Our Business Model and Key Drivers for Growth
NGI | Our Business Model and Key Drivers for Growth Navigator Has A Simple Business Model Growth in Partnership Firm FUM Growth in Fee Revenue and Profit Distribution From Partner Firms Growth in Cashflow and Additional Investments to Further Accelerate Growth Key Components of Earnings and Cash Flo
Slide 14: NGI Strategic Investment Review
-.NGI Strategic Inve tn Review "ROSS Zachary, NGI CIO and Head of NGk gr
Slide 15: NGI Strategic | Our Partner Firms
NGI Strategic | Our Partner Firms Diversified assets and earnings from scaled firms, with USD58 billion firm level AUM, who have demonstrated leadership in their respective strategies and asset classes emus = CEM PEXCROW SB wvicru: pee hese ent $4 billion AUM $10 billion AUM $15 billion AUM $1 billi
Slide 16: NGI Strategic | Highly Diversified Segment
NGI Strategic | Highly Diversified Segment Broad exposure across alternatives through scaled, institutional organisations Firm Level AUM by Business! reese ‘TwWaterfal AUMKP a o capstone $58 billion’ (firm level AUM) Highly diversified AUM across the broad alternative asset management sector closed
Slide 17: NGI Strategic | Ownership Adjusted AUM Trends
NGI Strategic | Ownership Adjusted AUM Trends Diversified portfolio delivers continued AUM growth FY 2023 FY 2024 12 month 12 month AUM as of Investment AUM as of AUM as of Investment AUM as of USD billions Net Inflows AUM Growth Net Inflows AUM Growth 1 July 2022 Performance 30 June 2023 1 July 202
Slide 18: NGI Strategic | Distribution Income
NGI Strategic | Distribution Income Profit Distributions from a highly diverse set of earnings streams NGI Strategic Segment NGI Strategic Portfolio Profit Distributions Received! Total Profit Distributions Generated and Ownership Adjusted AUM © Gross pistributions aebn SBP USD millions FY2021 © FY2
Slide 19: NGI Strategic | Executing on Growth Initiatives
NGI Strategic | Executing on Growth Initiatives NGI Strategic Portfolio Transformative strategic transaction to diversify and scale NGI earnings while establishing long term partnership with Blue Owl GPSC? Transaction Dates + 1 February 2021 / 3 January 2024 Total Consideration + $366 million? FY 20
Slide 20: NGI Strategic | Criteria Focus on Sustainable Growth
NGI Strategic | Criteria Focus on Sustainable Growth Diversification by asset class, strategy, geography and vintage is key to resilient earnings Our partnership with Blue Owl GPSC, dedicated focus on alternatives and experience team with global network results in high quality sourcing PMSA collate
Slide 21: Lighthouse Review
Slide 22: Lighthouse | Overview and Strategy
Lighthouse | Overview and Strategy Diversified and innovative platform $15.8 billion yiedge Funds Total assets! 25 years Firm Tenure 500 Total personnel? 202 Investment professionals? timated as ofthe most recent monttrend and subjctto chan jected herein (ie, Hedge Funds and Hedge Fund Solutions) in
Slide 23: Lighthouse | Adjusted EBITDA
Lighthouse | Adjusted EBITDA of $25.7m' Management Fee and Performance Fee trendlines positively impacting results 7 FY2024 v FY2023 Average management fee rate %pa USD millions FY2022 FY2023 FY2024 Fee Growth (%) 0.54% Management Fees 731 76.5 84.0 10% 0.52% 0.52% — + -— Performance Fees 10.6 69 ng
Slide 24: Lighthouse | AUM Trends
Lighthouse | AUM Trends Growth driven by scaling certain hedge fund strategies across various client channels globally USD billions AUM as of AUM as of AUM as of 12-month AUM Growth = 24-month AUM Growth 30 June 2022 30 June 2023 30 June 2024" (%) (%) Hedge Funds 26 3.9 40 2% 55% Hedge Fund Solution
Slide 25: Lighthouse | Investment Performance
Lighthouse | Investment Performance Strong performance across the Lighthouse strategies in 2024 12mths to 12mths to 12mths to YTD 2024 30 June 2024 30 June 2023 30 June 2022 Hedge Funds - Product 1 (Equity) 8.32% 10.85% 484% 5.24% Hedge Funds - Product 2 (Macro) 3.51% 5.58% (5.46%) 13.59% Hedge Solu
Slide 26: Lighthouse | Client Focused Solutions
Lighthouse | Client Focused Solutions Strong Relative and Absolute Performance Product Innovation Strong Partnerships Key strategies across Lighthouse continue to exhibit strong relative and absolute performance, and hedge fund allocator interest in such strategies remains high Development of innova
Slide 27: Financial Results
gr Financial Results
Slide 28: FY2024 Financial Highlights
NGI | FY2024 Financial Highlights Adjusted EBITDA! of $90.5 million, up 85% on pcp and ahead of upgraded guidance billions 30 June 2024 30 June 2023 Change to pcp 30 June 2024 30 June 2023 nership-adjusted AUM. millions Statutory financial metrics Revenue 2688 180.2 886 49% 409.9 2676 Other income B
Slide 29: FY2024 Adjusted EBITDA
NGI | FY2024 Adjusted EBITDA! $90.5 million, up 85% on pcp USD millions 30 June 2024 30 June 2023 Change to pcp Management fees revenue 84.2 76.7 10% >») Increase in management fee revenue reflects AUM and higher Performance fee revenue ng 69 72% average management fee rates Net distributions from N
Slide 30: FY24 delivered across business lines
NGI | FY24 delivered across business lines Both NGI Strategic and Lighthouse demonstrated stronger financial performance NGI Strategic + Lighthouse — qqnouse Corporate NGI Group USD millions 30 June 30 June Change 30 June 30 June Change 30 June 30 June Change 30 June 30 June Change 2024 2023 to pep
Slide 31: Key Metrics
NGI | Key Metrics The components driving NGI Growth NGI Strategic 0 Lighthouse LIGHTHOUSE Management fees 1.20% . °; 9 840 pa 17% 90 - 95% 0.52%pa 756 734 76.5 3 year average Indicative Average ‘AUM that Distribut Syear average —_Indicative margin lL] L [] lL management management Performance can ea
Slide 32: Balance Sheet and Funding
NGI | Balance Sheet and Funding Flexible balance sheet and significant cash flow support ability to fund growth opportunities aw aw Key Metrics ww Funding Strategy Yd Target Net Debt Up to 1.5x Adjusted EBTIDA Strong and growing free cash flow to support our growth and allowing flexibility in deploy
Slide 33: Outlook
— a AM ee 2 _ Stephen Darke, NGI
Slide 34: Growth Profile
NGI | Growth Profile Compounding Investment Opportunity Increased Diversification & Resilience of AUM + Earnings Px) ©s& New Partner Firms Actively evaluating pipeline of investment opportunities all Partner Firm NGI Industry Growth Performance & Inflows Value Creation Navigator
Slide 35: Industry Growth & Trends
NGI | Industry Growth & Trends Alternative assets should continue to see strong growth Global alternative assets under management, US$ trillions = | 2002 2012 BB Private equity HB Atternative credit equin, company financials, Bain analysi @) zea CAGR 2012-2022 60-65 16% 7% 25 2- —3 2 7 16% 12 2022 2
Slide 36: Blue Owl Value Creation
NGI | Blue Owl Value Creation B sue ow. _ Blue Owl GP Strategic Capital’ has raised permanent capital to establish value-added partnerships and creative maximum alignment to help their Partner Firms, including NGI, to achieve their goals Corporate Strategy and M&A + Advise on Business Expansion + Ne
Slide 37: Sustainable Growth Driving Value Creation
NGI | Sustainable Growth Driving Value Creation EPS and Share Price Growth Bi Ye Stability Growth Drivers = Capital Allocation Portfolio approach Partner Firms Quality diver s with multiple Investment performance, new flows and egies strategies Disciplined allocation of cash flow supports growth Ali
Slide 38: The Year in Summary
NGI | The Year in Summary Significant momentum, positioning us for Strong Growth a~ WwW — . . | Strong investment Financial Outperformance performance by P Partner Firms a~ WwW — <4 O Robust balance sheet & cash flow to support continued growth = ze) Tailwinds benefiting global alternatives ae WwW a
Slide 39: Q&A
Slide 40: Performance Notes
Performance Notes Performance may vary among different share classes or series within a Fund, Past performance is not ingicatve of future results. ‘This information has been prepared by Navigator Global Investments Limited (NGI) for release to the Australian Securities Exchange and isnot intended fo
Slide 41: Disclaimer
Disclaimer ‘This presentation has been prepared by Navigator Global Investments Limited (NGI) and provides information regarding NGI andits activities current as at 27 August 2024, Iti in summary form andi not necessarily complete. It should be read in conjunction with NG's 30 June 2024 Annual Finan
Slide 42: Appendices
Appendices =. gr
Slide 43: NGI Strategic | Investment Performance
NGI Strategic | Investment Performance Strong investment performance position these businesses for continued growth NGI Strategic Portfolio CY2024 CY2023 CY2022 CY2021 3 Year 5 Year YTD to June NGI Strategic Portfolio +6.72% 8.61% 11.82% 8.64% 9.64% 8.37% Composite1 Hedge Fund Research HFRX • Strong
Slide 44: NGI Strategic | Diversification Benefit
NGI Strategic | Diversification Benefit Diverse and unique strategies deployed across the NGI Strategic Portfolio 5 Year! 3 Year! Partner Firms / Funds Market Indices 2 28 22 3A 38 ac an 42 5A___8 5 09 “1 01 01 || 0s on 00 00 sap soo MSCIAC World Bloomberg US HFRX Global in m a 3 a a aa a Q TotalRet
Slide 45: Statutory Results
NGI | Statutory Results USD millions 30 June 2024 30 June 2023 Change to pcp Management fees revenue 84.2 767 10% Performance fee revenue 1.9 69 72% Revenue from reimbursement of fund operating expenses 172.7 96.6 79% Revenue from provision of office space and services 74 47 57% Total revenue 276.2
Slide 46: Statutory to Adjusted EBITDA Reconciliation
NGI | Statutory to Adjusted EBITDA Reconciliation USD millions 30 June 2024 30 June 2023 Change to pep Statutory net profit after tax Tax expense Depreciation and amortisation expense Net interest income/(expense) { Statutory EBITDA Non-cash items Fair value adjustment of financial assets & liabilit
Slide 47: Statutory to Adjusted NPAT Reconciliation
NGI | Statutory to Adjusted NPAT Reconciliation USD millions 30 June 2024 30 June 2023 Change to pcp Statutory net profit after tax 66.3 35.5 87% Norreash items Differences between the Fair value adjustment of financial assets & liabilities (3.4) (4.4) (23%) accounting expense and the Shate-based pa
Slide 48: EPS
NGI | EPS USD millions 30 June 2024 30 June 2023 Change to pcp Statutory EPS Statutory NPAT 66.3 35.5 87% Basic number of shares on issue1 (millions) 399.0 246.9 62% 16.6 14.4 15% EPS accretion from significant uplift in earnings created by settling the redemption Proforma Adjusted EPS liability thr
Slide 49: Summary from Statutory Balance Sheet
NGI | Summary from Statutory Balance Sheet USD millions 30 June 2024 30 June 2023 Change to pep Cash and cash equivalents 616 678 (0%) Trade and other receivables 329 244 35% Current tax assets 25 oa 2400% Total current assets 97.0 923 5% Investments at Fair Value 523.1 4959 5% Investments in associ
Slide 50: Summary of Statutory Cash Flow
NGI | Summary of Statutory Cash Flow USD millions 30 June 2024 30 June 2023 Change to pcp Cash receipts from operating activities 269.1 183.0 47% Cash paid to suppliers and employees (245.0) (1658) 48% Cash generated from operations 244 173 39% Distributions received from investments 73.0 669 9% Dis
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