Cash Converters International Limited · ASX:CCV
Cash Converters International — FY2018 Earnings Presentation
18 slides from Cash Converters International's earnings presentation, Aug 27, 2018
Slide 1: FY 2018 Full Year Results Investor Presentation
FY 2018 Full Year Results Investor Presentation – 27th August 2018 –
Slide 2: Corporate Overview
Corporate Overview • Cash Converters’ core business objective is to satisfy the cash needs of our customers • Cash Converters’ strategy is one of growth, leveraging our Cash Converters is a leading trusted brand and continuing to put the customer at the centre of everything we do international opera
Slide 3: Strategic Priorities
3 Strategic Priorities Building trust by delivering value to Cash Converters’ strategic priority is to our customers at every opportunity… remain relevant to our customers, achieving sustainable long term • We take a customer-first approach, growth… understanding our customer’s needs and building en
Slide 4: Management Update
4 Management Update Mr Mark Reid Ms Ellen Comerford Mr Ben Cox Chief Executive Officer Non-Executive Director General Manager Corporate Distribution • Coinciding with the release of the • Ms Comerford has made the decision to • The Company is pleased to appoint Mr FY2018 results, Mr Reid has decided
Slide 5: FY 2018 Highlights
FY 2018 Highlights cashédnverters
Slide 6: FY 2018 Key Metrics
6 FY 2018 Key Metrics Loan Books EBITDA EBITDA margin NPAT EPS (Basic) $172.3m $49.8m 19.1% $22.5m 4.55cents up 49.7% up 8.9% up 13% up 9.1% up 8% $22.5 4.55 $49.8 $20.6 4.21 $172.3 $45.7 19.1% 16.9% $115.2 FY18 FY17 FY18 FY17 FY18 FY17 FY18 FY17 FY18 FY17 • Total loan books up 49.7% to $172.3m • EB
Slide 7: Key Highlights
7 Key Highlights Operational Financial • Enforceable Undertaking successfully closed out Feb • FY 2018 NPAT of $22.5m up 9.1% 2018 • EBITDA of $49.8m up 8.9% • Strengthened Balance Sheet • Personal Finance lending volume up 22.4% to $180.9m • Increased Loan Book securitisation facility of $150m unti
Slide 8: FY 2018 Financial Results
8 02 – FY 2018 Financial Results –
Slide 9: FY 2018 Overview
9 FY 2018 Overview • FY 2018 revenue of $260.3m was down 4.0% on pcp, as FY 2018 FY 2017 Variance anticipated due to the risk management enhancements Consolidated basis ($m) ($m) implemented across the Personal Finance business • H2 FY18 revenue was up 11.4% on H1 FY18 and up 4.6% Revenue 260.3 271.
Slide 10: FY 2018 Divisional EBITDA
10 FY 2018 Divisional EBITDA Franchise Operations • Franchise operations EBITDA up 18.2% as a result of the strategic Divisional FY 2018 FY 2017 turnaround of the United Kingdom business which delivered EBITDA up Variance EBITDA ($m) ($m) 84.5% to $3.2m from $1.7m • New Zealand’s 25% equity EBITDA c
Slide 11: FY 2018 Balance Sheet
11 FY 2018 Balance Sheet Loan receivables • A strong year has seen growth across all lending 30 Jun 18 30 Jun 17 Variance products, with the largest growth areas GLA & As at ($m) ($m) MACC, with respective loan books up 109.3% and Cash and cash equivalents 140.0 80.6 +73.7% 154.6% respectively Loan
Slide 12: Funding
12 Funding Available Cash $69.8m - Cash on hand and at bank $140.0m Less - Committed to Bond Repayment ($60.0m) Less - Restricted Cash Deposits ($10.2m) - Net available Cash Balance $69.8m Bond $60.0m • Issued by FIIG. • Matures September 2018, will be repaid from cash as indicated above • 7.95% p.a
Slide 13: Loan Book Composition
13 Loan Book Composition 30 June 2016 30 June 2017 30 June 2018 7% 3% 6% 9% 17% 24% GLA MACC 12% SACC Pawn 50% 20% 62% 90% • A changing loan book profile reflects us meeting our customers diverse funding needs • Achieved FY 2018 combined loan book growth of 49.7% - MACC up 154.6% - GLA up 109.3% - S
Slide 14: Positioned for further growth
14 Positioned for further growth… Continued Revenue & Earnings Growth • Customer leadership in our core markets Proven • Transforming digital capabilities Management Execution • Ongoing development of new products and channels • Transformation of Green Light Auto business • Investing in our store ne
Slide 15: Appendices
15 Appendices –
Slide 16: Appendix I: Division Details
16 Appendix I : Division Details Division Description • Royalties and licence fees from 18 countries with franchised Cash Converters operations as well as Cash Converters UK Ltd (CCUK), a wholly owned subsidiary of the Company and Cash Converters NZ (CCNZ) in which a 25% equity Franchise operations
Slide 17: Appendix II: Glossary of terms
17 Appendix II : Glossary of terms Division Description Personal Finance ; CCPF ; • Unsecured personal loan business transacted online and in-store, short/medium and long-term and amount Financial Services unsecured personal loans GLA • Green Light Auto Group Pty Ltd, a wholly owned subsidiary that
Slide 18: Disclaimer
18 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
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