Beforepay Group Limited · ASX:B4P

Beforepay — H1 FY22 Earnings Presentation

26 slides from Beforepay's earnings presentation, Feb 28, 2022

  1. Slide 1: Beforepay Group Limited H1 FY22 Financial Results Investor Presentation

    Beforepay Group Limited ASX ANNOUNCEMENT (ASX: B4P) 28 February 2022 H1 FY22 Financial Results Investor Presentation Beforepay Group Limited (Beforepay or the Company) (ASX: B4P) advises the following H1 FY22 Financial Results Presentation will be used in the Company's H1 FY22 Results Webinar which

  2. Slide 2: Half Year Results H1 FY22

    Beforepay Group Limited ASX:B4P Half Year Results H1 FY22

  3. Slide 3: Disclaimer

    Disclaimer This presentation has been prepared by Beforepay Group Limited (‘Beforepay’ or the ‘Company’). This presentation may contain forward-looking statements, guidance, forecasts, estimates, prospects, projections or statements in relation to future matters (‘Forward Statements’). Forward State

  4. Slide 4: Key Highlights

    Key Highlights. A$, unless otherwise stated H1 FY22 H1 FY21 Change Pay Advances Net Platform Metrics of $132.0m up transaction Pay advances ($m) 132.0 19.9 563.3% Average pay advance 240.5 123.7 94.3% 563.3% in H1 loss down to Active Users (no. of users) 139,071 46,486 199.2% FY22 2.9% from 7.4% sin

  5. Slide 5: What we do

    What We consider ourselves to be Provide short- A we do. A leading term finance fixed provider of to working fee of Pay on Australians 5% Demand filling a gap in the market for on the amount Beforepay provides users with a service services in Australia (not a Buy- flexible, transparent and on- advan

  6. Slide 6: Business update

    Business update.

  7. Slide 7: Total and Average Pay Advances growing quickly

    Total and Average Pay Advances growing quickly. Total Pay Advances Average Pay Advance +361% +108% $77.0m $260 Dec $29.1m $217 $55.0m $190 $45.0m $162 Nov $132 $125 $25.1m $28.1m $16.7m Oct $22.7m $3.2m Q1-FY21 Q2-FY21 Q3-FY21 Q4-FY21 Q1-FY22 Q2-FY22 Q1-FY21 Q2-FY21 Q3-FY21 Q4-FY21 Q1-FY22 Q2-FY22 N

  8. Slide 8: Continued rapid growth in active users

    Continued Active Users rapid growth in active users. +199% 95% of customers who have 139,071 successfully repaid their first Pay advance have subsequently 121,996 used the service again1 102,671 73,376 46,486 15,460 Sep-20 De c-20 Mar-21 Ju n-21 Sep-21 De c-21 Note: Certain financial metrics and inf

  9. Slide 9: Net Transaction Margin now positive

    Net Transaction Margin now positive. Net Transaction Margin by period Net Transaction Margin by quarter $175,684 $184,485 H1 FY21 ($1,008,537) (103.6%) FY21 Q3 FY21 Q4 FY22 Q1 FY22 Q2 H1 FY22 $360,169 6.0% ($298,152) ($753,000) Note: Certain financial metrics and information included throughout this

  10. Slide 10: Transaction losses falling sharply

    Transaction losses falling sharply. H1 FY21 H1 FY22 7.4% gross 7.4% net 3.3% gross 2.9% net Gross and Net 9.0% transaction loss % 9.0% 7.2% 7.2% 5.3% 5.2% 4.0% 3.6% 3.8% 3.1% 3.2% 2.7% Gross transaction loss % (of Pay advances inclusive of fees) Net transaction loss % (of Pay advances inclusive of f

  11. Slide 11: Low sensitivity to rising interest rates

    Low sensitivity to rising interest rates. On current funding arrangements, our funding costs are less than 10% of Beforepay income for the average 20 days Pay advance A rate increase of 1% would increase 11.77% 80% funding costs as a percentage (0.055 years) Cost of external Loan-to-value ratio of o

  12. Slide 12: Direct costs falling sharply

    Direct costs falling sharply. H1 FY21 H1 FY22 2.2% of Pay advances 0.7% of Pay advances Direct costs include data collection, $2.75 $2.76 transaction categorisation, direct Direct costs per credit, and direct debit Pay advance $2.39 Direct costs do not vary with the $2.30 amount advanced—positive op

  13. Slide 13: Key financial metrics

    Key financial metrics. A$, unless otherwise stated H1 FY22 H1 FY21 Change % Beforepay income 5,954,893 973,806 511.5% Gross transaction loss (4,517,279) (1,550,792) 191.3% Gross transaction loss % (of Pay advances inclusive of fees) (3.3%) (7.4%) (56.0%) Recoveries (net of costs) 542,012 - N/A Recov

  14. Slide 14: Balance sheet

    Balance sheet. Adjustments have been made to show the impact of the January 2022 Initial Public Offering undertaken by Beforepay (IPO), namely, the increase in cash and the decrease in liabilities resulting from the IPO. See Slide 21 for further detail on the impact of IPO figures. 31 Dec 2021 plus

  15. Slide 15: What comes next

    What Seek to maintain Identify opportunities comes growth in Australia to work with channel with existing direct-to- partners for consumer acquisition additional customer next. model acquisition Continue to Continuous explore overseas improvement of risk opportunities models, product, and customer e

  16. Slide 16: Q&A

    Q&A. Beforepay Group Limited ASX:B4P

  17. Slide 17: Appendix

    Appendix. Se: \y a? d ,°. Woo:

  18. Slide 18: Management P+L

    Management P+L. A$, unless otherwise stated H1 FY22 A$, unless otherwise stated H1 FY22 Beforepay income 5,954,893 EBITDA, excluding one-off and/or significant items (11,191,439) Gross transaction loss (4,517,279) Depreciation & amortisation expense (D&A) (303,623) Gross transaction loss % (of Pay a

  19. Slide 19: Net transaction margin reconciliation to statutory P+L

    Net transaction margin reconciliation to statutory P+L. Management P+L – Income to Net transaction margin Statutory Profit and Loss Reference to A$, unless otherwise stated H1 FY22 statutory Profit and loss A$ Statutory P&L 6mths 31-Dec-21 Beforepay income 5,954,893 1 Beforepay income Revenue Before

  20. Slide 20: EBITDA reconciliation to statutory P+L

    EBITDA reconciliation to statutory P+L. Management P+L – Net transaction margin to EBITDA Statutory Profit and Loss A$, unless otherwise stated H1 FY22 Reference to statutory Profit A$ Statutory P&L 6mths 31-Dec-21 and loss Net transaction margin Revenue 360,169 Beforepay income $5,954,893 Net trans

  21. Slide 21: Statutory profit & loss

    Statutory profit & loss. Adjustments to calculate EBITDA excluding one- Beforepay Group Consolidated Statutory P&L EBITDA excluding one-off off and/or significant Statutory P&L Proforma Statutory Profit & Loss 6mths 31-Dec-21 and/or significant items items 31 Dec-21 6mths 31-Dec-20 Revenue Beforepay

  22. Slide 22: Statutory balance sheet and impact of IPO

    Statutory balance sheet and impact of IPO. Summary Balance Sheet Key Balance Sheet Metrics 31-Dec-2021 plus A$m 31 Dec 2021 plus impact of IPO A$m 31-Dec-21 Impact of IPO impact of IPO Cash 37.6 Cash position 6.0 31.6 37.6 Net cash / (debt) 24 Receivables 15.1 15.1 PP&E 1.5 1.5 Total facilities 45.0

  23. Slide 23: Glossary

    Glossary. Term Definition Term Definition 1 of 3 Active users Customers of Beforepay who have taken out an advance in the previous 12 Direct costs or “Direct service costs” from the half-year statutory financial statements. months from the relevant date. This includes customers who have not repaid D

  24. Slide 24: Glossary

    Glossary. Term Definition Term Definition 2 of 3 Equity position “Total liabilities” from the half-year statutory financial statements minus “Total Loan-to-value The portion of Pay advances for which Beforepay is able to access third-party or adjusted assets” from the half-year statutory financial s

  25. Slide 25: Glossary

    Glossary. Term Definition Term Definition 3 of 3 Other income “Other income” from the half-year statutory financial statements Third party Third party funding costs divided by Total pay advances. funding costs % Pay advance An advance made or offered by Beforepay to a user. (of Pay advances) Pay adv

  26. Slide 26: Thank you

    Thank you. Beforepay Group Limited ASX:B4P

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