Repay Holdings Corporation · NASDAQ:RPAY
Repay — Investor Presentation (May 2022)
28 slides from Repay's investor presentation, May 10, 2022
Slide 1: May 2022 Investor Presentation
May 2022 Investor Presentation Exhibit 99.3
Slide 2: Disclaimer
Disclaimer On July 11, 2019 (the “Closing Date”), Thunder Bridge Acquisition Ltd. (“Thunder Bridge”) and Hawk Parent Holdings LLC (“Hawk Parent”) completed their previously announced business combination (the “Business Combination”) under which Thunder Bridge acquired Hawk Parent, upon which Thunder
Slide 3: Agenda
Agenda Introduction to REPAY REPAY Investment Highlights REPAY Financial Overview 1 2 3 2
Slide 4: Introduction to REPAY
1 Introduction to REPAY 3
Slide 5: REPAY's proprietary, integrated payment technology platform reduces complexity
REPAY’s proprietary, integrated payment technology platform reduces the complexity of electronic payments for clients, while enhancing the overall experience for consumers and businesses 4 REPAY provides integrated payment processing solutions to verticals that have specific transaction processing n
Slide 6: Your Industry. Our Expertise.
ENERGY AUTOMOTIVE LOANS B2B MERCHANT ACQUIRING PERSONAL LOANS CREDIT UNIONS HEALTHCARE MORTGAGE ARM B2B AP AUTOMATION 5 Your Industry. Our Expertise.
Slide 7: Who We Are
Who We Are 6 A leading, highly-integrated omni-channel payment technology platform modernizing B2B payments, loan repayment verticals, and healthcare payments CAGR is from 2019A–2021A As of 3/31/2022 2021A Cash Flow Conversion calculated as Adjusted EBITDA – Capex / Adjusted EBITDA 2021 ANNUAL CARD
Slide 8: Driving Shareholder Value
Driving Shareholder Value 1) Third-party research and management estimates as of 3/31/2022 7 Secular trends away from cash and check toward digital payments Transaction growth in key verticals Further penetrate existing clients ~$5.3Tn TAM(1) Creates long runway for growth Deep presence in key verti
Slide 9: Our Strong Execution and Momentum
Our Strong Execution and Momentum TOTAL ADDRESSABLE MARKET ~$535Bn ~$5.3Tn(2) # OF ISV INTEGRATIONS 53 225(4) CLIENT COUNT ~4,000 ~19,000+(3) Delivering Superior Results (FY 2021) First Quarter 2022(1) AT INITIAL BUSINESS COMBINATION (IBC) CARD PAYMENT VOLUME GROSS PROFIT ADJ. EBITDA +35% +44% +57%
Slide 10: REPAY Investment Highlights
2 REPAY Investment Highlights 9
Slide 11: Business Strengths and Strategies
1 Business Strengths and Strategies 10 A leading, omni-channel payment technology provider Fast growing and underpenetrated market opportunity Vertically integrated payment technology platform driving frictionless payments experience Experienced board with deep payments expertise Multiple avenues fo
Slide 12: We are Capitalizing on Large, Underserved Market Opportunities
1 We are Capitalizing on Large, Underserved Market Opportunities 11 REPAY’s existing verticals represent ~$5.3Tn(1) of projected annual total payment volume END MARKET OPPORTUNITIES Healthcare $30Bn $185Bn $70Bn $420Bn $500Bn $70Bn $600Bn $1.2Tn $2.2Tn Energy Credit Unions ARM Mortgage Personal Loan
Slide 13: Key end markets have been underserved by payment technology and service providers
1 Key end markets have been underserved by payment technology and service providers Credit cards are not permitted in loan repayment which has resulted in overall low card penetration CLIENTS SERVING REPAY’S MARKETS ARE FACING INCREASING DEMAND FROM CUSTOMERS They want electronic and omnichannel pay
Slide 14: Card and Debit Payments Underpenetrated in Our Verticals
Card and Debit Payments Underpenetrated in Our Verticals The Nilson Report – December 2018. Represents debit and credit as a percentage of all U.S. consumer payment systems, including various forms of paper, card, and electronic payment methods Third-party research and management estimates 13 Across
Slide 15: REPAY Has Built a Leading Next-Gen Software Platform
REPAY Has Built a Leading Next-Gen Software Platform 14 Proprietary, integrated payment technology platform reduces complexity for a unified commerce experience Pay Anywhere, Any Way, Any Time Businesses and Consumers Clients 2
Slide 16: Value Proposition to REPAY's Clients
REPAY Has Built a Leading Next-Gen Software Platform 15 Clients Value Proposition to REPAY’s Clients Accelerated payment cycle (ability to lend more / faster) through card processing Faster access to funds to help businesses with working capital 24 / 7 payment acceptance through “always open” omni-c
Slide 17: Value Proposition to Clients' End Customers
REPAY Has Built a Leading Next-Gen Software Platform 16 Businesses and Consumers Value Proposition to REPAY’s Clients’ End Customers Self-service capabilities through ability to pay anywhere, any way and any time, 24 / 7 Option to make real-time payments through use of card transactions Immediate fe
Slide 18: Key Software Integrations Accelerate Distribution
Key Software Integrations Accelerate Distribution 17 REPAY leverages a vertically tiered sales strategy supplemented by software integrations to drive new client acquisitions NUMBER OF SOFTWARE INTEGRATION PARTNERS Sales Strategy / Distribution Model 3 55% CAGR Software Integrations
Slide 19: Attractive and Diverse Client Base Across Key Verticals
Attractive and Diverse Client Base Across Key Verticals 18 REPAY’s platform provides significant value to >19,000(1) clients offering solutions across a variety of industry verticals offering solutions across a variety of industry verticals Healthcare Other ARM B2B Loan Repayment ~20% of card paymen
Slide 20: Demonstrated Ability to Acquire and Successfully Integrate Businesses
Demonstrated Ability to Acquire and Successfully Integrate Businesses 19 Represents a significant opportunity to enhance organic growth in existing verticals and accelerate entry into new markets and services Extend Solution Set via New Capabilities New Vertical Expansion Deepen Presence in Existing
Slide 21: Multiple Levers to Continue to Drive Growth
*Majority of growth derived from further penetration of existing client base 20 Multiple Levers to Continue to Drive Growth EXPAND USAGE AND INCREASE ADOPTION* ACQUIRE NEW CLIENTS IN EXISTING VERTICALS OPERATIONAL EFFICIENCIES FUTURE MARKET EXPANSION OPPORTUNITIES STRATEGIC M&A REPAY’s leading platf
Slide 22: Experienced Board with Deep Payments Expertise
Richard Thornburgh Senior Advisor, Corsair Bob Hartheimer Former Managing Director, Promontory Experienced Board with Deep Payments Expertise 21 John Morris CEO & Co-Founder Shaler Alias President & Co-Founder William Jacobs Former SVP, Mastercard / Board Member, Global Payments and Green Dot Peter
Slide 23: REPAY Financial Overview
3 REPAY Financial Overview 22
Slide 24: Financial Highlights
Financial Highlights 23 Low volume attrition and low risk portfolio Differentiated technology platform & ecosystem Deeply integrated with customer base Recurring transaction / volume-based revenue REPAY’s Unique Model Translates Into A Highly Attractive Financial Profile As of 3/31/2022 2021A Cash F
Slide 25: Significant Volume and Revenue Growth
Total Card Payment Volume ($Bn) Total Revenue ($MM) 24 Significant Volume and Revenue Growth REPAY has generated strong, consistent volume growth, resulting in ~$20.5Bn in annual card processing volume in 2021 REPAY’s revenue growth has been strong, resulting in 45% CAGR from 2019 to 2021 42% 42% 44
Slide 26: Translating into Accelerating Profitability
Gross Profit ($MM)(1) Adjusted EBITDA ($MM)(2) 25 ...Translating into Accelerating Profitability Gross margins are improving due to a decrease in processing costs Highly scalable platform with attractive margins 75% 75% 73% 44% % Margin 41% CAGR 38% 43% % Margin 44% CAGR Gross profit represents tota
Slide 27: Adjusted EBITDA Reconciliation – Historical
Adjusted EBITDA Reconciliation – Historical 26 Note: Financials have been updated to match the Company’s restated financials in its Form 10-K for the year ended December 31, 2020. For the year ended December 31, 2021, reflects amortization of customer relationships, non-compete agreement, software,
Slide 28: Thank you
Thank you