Cash Converters International Limited · ASX:CCV
Cash Converters International — H1 FY2022 Earnings Presentation
15 slides from Cash Converters International's earnings presentation, February 2022
Slide 1: H1 FY 2022 Investor Presentation
H1 FY 2022 Investor Presentation Cash Converters (ASX:CCV) February 2022
Slide 2: About Us
About Us Supporting good borrowers. We are Australia’s leading sub-prime, non-bank lender, providing responsible cash solutions through a well- established store and online network. Our core competency is helping good borrowers with challenging credit files, and we aim to support the millions of Aus
Slide 3: Our Competitive Advantage
Our Competitive Advantage Large Customer Base Leading Tech Platform Healthy Balance Sheet Sustainability Regulation ✓ Transacting with over ✓ Proprietary platforms built ✓ Over $64.1m in cash, and ✓ Facilitating circular ✓ Already meeting National 20,000 new customers a inhouse, growing digital ~$80
Slide 4: H1 FY 2022 Highlights
H1 FY 2022 Highlights Revenue Growth | Loan Book Growth | Online Growth | Strong Free Cashflow | Operating Profit Steady | Dividend Declared • 24% of trading days lost to COVID-19. • Strong revenue growth. Earnings Leverage $115.2m $24.4m $7.7m • • Significant loan book growth resulted in $7.7m ECL
Slide 5: Quality Lending Growth
Quality Lending Growth Total Gross Loan Book Cumulative SACC/MACC Loss Rate1 Since Loan Disbursal $200m 2018 Q1 2019 Q1 2020 Q1 2021 Q1 $192.1m 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 Months Since Disbursal 36% 34% 23% $140.5m COVID low-point 2 32% (
Slide 6: Strategy Update
Strategy Update Acquisitions & Expansion H1 FY 2022 H2 FY 2022 Acquiring strategic loan books, franchises and ✓ 3 franchise stores acquired. • Acquire strategic loan books and businesses. investing in Greenfields to expand our ✓ 1 Greenfields store opened. • Disciplined franchise acquisition and net
Slide 7: Free Cash Flow
Free Cash Flow 31 Dec 2021 31 Dec 2020 Variance • Strong free cash flow generation, leveraged to fund loan books throughout the half. $'000 $'000 $'000 EBITDA • In current period reported EBITDA is impacted by the 13,469 24,633 (11,164) non-cash impairment charge of $10.9 m to the Net non-cash items
Slide 8: ESG Framework
ESG Framework Operating for over 37 years, we understand the importance of adding value to the lives of our customers by operating a sustainable business over the long term. Environmental Social Governance • Our retail trade is driven by pre-owned (second- • Our business serves as an essential and •
Slide 9: ESG In Practice
ESG In Practice As part of its hypermarket transformation plan, Carrefour is continuing to introduce new formats and offerings tailored to changing consumer trends. Carrefour is partnering with Cash Converters to launch the Carrefour Occasion shop-in-shop concept. This offering aims to increase Carr
Slide 10: Appendix
Appendix cashédnverters
Slide 11: Reconciliations
Reconciliations 31 Dec 2021 31 Dec 2020 Variance $'000 $'000 $'000 EBITDA1 Reported Basis 13,469 24,633 (11,164) Impairment expenses 10,934 - EBITDA Operating Basis 24,403 24,633 (230) EBIT Reported Basis 6,109 16,251 (10,142) Impairment expenses 10,934 - EBIT Operating Basis 17,043 16,251 792 (Loss
Slide 12: Tax Rate Reconciliation
Tax Rate Reconciliation Operating Basis Impairment As Reported $'000 $'000 $'000 EBITDA1 24,403 (10,934) 13,469 Depreciation & Amortisation (7,360) - (7,360) EBIT 17,043 (10,934) 6,109 Finance Costs (6,261) - (6,261) Profit / (Loss ) before income tax 10,782 (10,934) (152) Taxation (3,126) 3,280 154
Slide 13: Gross Loan Books
Gross Loan Books 30 Jun 31 Dec 30 Jun 31 Dec Jun 21 vs Dec 20 vs 2020 2020 2021 2021 Dec 21 Dec 21 Loan Book $63.1m $59.8m $67.6m $69.0m SACC1 +2% +15% % Of Total 38% 38% 38% 36% Loan Book $31.7m $30.9m $49.4m $65.1m MACC2 +32% +111% % Of Total 19% 20% 28% 34% Loan Book $61.5m $49.7m $44.3m $43.4m G
Slide 14: Disclaimer
Disclaimer The material contained in this presentation is intended to be general background information on Cash Converters and its activities current at the date of the presentation. The information is supplied in summary form and is therefore not necessarily complete. It is not intended that it be
Slide 15: Cash Converters
cashédnverters
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