Australian Bond Exchange Holdings Ltd. · ASX:ABE
Australian Bond Exchange — FY2023 Earnings Presentation
25 slides from Australian Bond Exchange's earnings presentation, Sep 7, 2023
Slide 1: Australian Bond Exchange FY2023 Results Presentation
Australian Bond Exchange Holdings Ltd. Level 19, 15 Castlereagh Street Sydney NSW 2000 P.O. Box R445, Royal Exchange NSW 1225 ABN 11 629 543 193 Telephone: (02) 8076 9343 support@bondexchange.com.au www.bondexchange.com.au Australian Bond Exchange FY2023 Results Presentation Thursday 7 September 202
Slide 2: About Australian Bond Exchange Holdings
About Australian Bond Exchange Holdings Australian Bond Exchange Holdings (ASX: ABE) is an Australian financial services company that uses its proprietary technology to provide Australian Investors with direct access to the best of the fixed income asset class in Australia and internationally. ABE's
Slide 3: FY 2023 Results Investor Presentation
FY 2023 Results Investor Presentation 7 September 2023 Australian Bond Exchange Holdings Limited
Slide 4: Disclaimer
Disclaimer This presentation has been prepared by Australian Bond Exchange Pty. Ltd. (ABN 73 605 038 935, AFSL 484453) and contains general advice only. Every effort has been made to ensure that it is accurate; however, it is not intended to be a complete description of the matters described. It doe
Slide 5: Agenda
Agenda • FY2023 Key Highlights • Business Overview • FY2023 Financial Results Bradley McCosker • FY24 Priorities Managing Director & CEO • Long Term Strategic Priorities 3
Slide 6: FY2023 Key Highlights
FY2023 Key Highlights Australian Bond Exchange Limited
Slide 7: FY2023 Key Highlights
FY2023 Key Highlights Client retention $4.7M 77% Completed rate transactional CBDC Total Revenue 131% YoY Active clients YoY 99% pilot with the DFCRC and RBA $5.9M Investments per Client Portfolio $77M+ Successful completion of NPP Cash and cash equivalents 21% Of Market Linked products issues ANZ p
Slide 8: Business Overview & Strategy
Business Overview & Strategy Australian Bond Exchange Limited
Slide 9: Who we are
Who we are Our Mission: Provide equal access to financial products and markets for all investors. Our Strategy: Our Use our proprietary technology to remove barriers to mission entry that have limited investor access to global financial markets. Our strategy What we do today: What we do Offer attrac
Slide 10: Unique Position in Evolving Landscape
Unique Position in Evolving Landscape Proprietary innovative technology solution offering Scalable business model market transparency and with significant barriers investor protection to entry Access to numerous client Ability to tailor product acquisition channels according to investor preferences
Slide 11: Our strategy for growth
Our strategy for growth Opportunity Transaction Technology Opportunities Credit Technology Opportunities Foundation Client Opportunities Bond trading is the foundation of our business which we can scale to grow and cultivate other revenue streams as part of our long-term strategic priorities Identif
Slide 12: FY2023 Financial Results
FY2023 Financial Results Australian Bond Exchange Limited
Slide 13: Results Summary
Results Summary FY23 FY22 % difference • 131% growth in revenue Revenue $4.7million $2.0million + 131% • Significant improvement of Other income $0.6million $0.5million + 40% 59% in operating cash flow Total expenses $10.3million $6.1million + 62% • The total expense increase Net loss ($5million) ($
Slide 14: FY 2023 Revenue
FY 2023 Revenue Private Client Revenue Growth over time Private 5 Desirable Business Features Clients $ Millions Shown long tern Revenue Growth 4 Resistant to different economic cycles 3 Stable Income Stream 2 Repeat Business 1 Significant Growth Opportunity Competitive Advantage 0 2019 2020 2021 20
Slide 15: Cash flows
Cash flows FY23 FY22 % difference Cash flow from operating activities ($2.3million) ($5.7million) +59% • Significant improvement of - Receipt from customers $156.0million $106.6million +46% 59% in operating cash flow - Payments to suppliers & ($159.0million) ($112.6million) +30% employees • Driven b
Slide 16: FY2024 key priorities
FY2024 key priorities Australian Bond Exchange Limited
Slide 17: Key priorities for FY2024
Key priorities for FY2024 Focus on cost Positive operating Continue to grow management cash flow by end of revenue CY2024 15
Slide 18: Revenue growth
Revenue growth Continue to Continue to grow identify and Australian Credit sales volumes in develop Opportunity both existing and innovative Fund new clients financial products 16
Slide 19: Cost management
Cost management Implement cost Reduce Reduce reduction operating dependency on program across expenses and third party all aspect of the improve agencies business operating cash flows 17
Slide 20: Long term strategic priorities
Long term strategic priorities Australian Bond Exchange Limited
Slide 21: Key Global Themes
Key Global Themes Artificial Transaction ESG Intelligence Technology 19
Slide 22: ABE Credit Ratings leveraging AI
ABE Credit Ratings leveraging AI • We use AI for credit analysis on the Saves products we offer time • Our technology produces a bond credit Aligned to ABE’s rating in a matter of minutes with accuracy core mission Reduces cost AI Credit • We have been exploring the best way to Analysis monetise our
Slide 23: Transaction Technology
Transaction Technology ABE’s technology T+0 ready • Matching & settlement within ABE’s Global Asset Register eliminated clearing requirements NPP Trials Continue • Instantaneous settlement significantly reduces barriers to entry to financial markets RBA CBDC Pilot Completed • Currencies used by econ
Slide 24: Long term strategic priorities
Long term strategic priorities Our mission is to provide all investors equal access to financial markets ABE’s state-of-the-art AI and T+0 transaction technologies are increasing efficiencies and reducing barriers for all prospective investors Bond trading is the foundation of our business which we
Slide 25: Questions
Questions Australian Bond Exchange Limited
Australian Bond Exchange Holdings — FY2023 Earnings Presentation on 6ix