Banco Santander (brasil) S.a. · BMFBOVESPA:SANB3
Banco Santander (brasil) — Getnet Adquirência e Serviços para Meios de Pagamento — Non-Deal Roadshow (October 2021)
41 slides from Banco Santander (brasil)'s roadshow presentation, October 2021
Slide 1: Sep-Oct 2021 Company Presentation
Sep-Oct 2021 Company Presentation
Slide 2: Disclaimer
Disclaimer This presentation has been prepared by Getnet Adquirência e Serviços para Meios In addition to factors identified elsewhere in this presentation, the following factors, de Pagamento S.A. (the “Company”) solely for informational purposes. The among others, may cause actual results to diffe
Slide 3: Getnet's Professionals
Getnet’s Professionals General Manager CEO – PagoNxt CEO – Getnet CFO – Getnet IRO – Getnet – PagoNxt MS Board Member Getnet BR Board Member Getnet BR Board Member Getnet BR Javier San Félix Ignacio Narvarte Pedro Coutinho Andre Parize Luciano Ferrari Previous Experience: Previous Experience: Previo
Slide 4: Multiservice Platform: a True One-Stop-Shop in the Brazilian Payments Sector
Multiservice Platform: a True One-Stop-Shop in the Brazilian Payments Sector Multiple Channels Platform Multiservice Platform Software Traditional Acquiring Large Corporate solutions TEF – Reconciliation GetPay Link Payment Marketplace Link SMEs Payment Devices GetPay Link Long-Tail Ecosystem Softwa
Slide 5: Unique Growth Track Record Among Peers in the Industry
Unique Growth Track Record Among Peers in the Industry Market Share (%) Active Clients (‘000)1 53% 2.0mm POS 37% 891 876 CAGR (‘15-20) 771 27% +20% 24% 506 16% 500 418 10% 356 9% 3% 4% 1% 2013 2014 2015 2016 2017 2018 2019 2020 1H21 Getnet Peer 1 Peer 2 Peer 3 Peer 4 2015 2016 2017 2018 2019 2020 1H
Slide 6: Consistent Topline Growth
Consistent Topline Growth Outperforming the Market with Growing Volumes TPV (BRL billion) Prepayment (BRL billion) CAGR (‘18-20) vs. Market CAGR (18-20) +21% +17% +25% +76% 274 +64% 73 208 52 54 187 183 47 112 31 2018 2019 2020 1H20 1H21 2018 2019 2020 1H20 1H21 Historically outperforming and Contin
Slide 7: The Economy is Recovering and is Positively Impacting the Payment Sector
The Economy is Recovering and is Positively Impacting the Payment Sector Consistent TPV Growth Resilient Even in Challenging Times Still Underpenetrated Total Payment Volume & Growth in BRL tr TPV Growth YoY Brazil TPV as a % of Household Consumption 14.5% 18.4% 24.5% 24.6% 11.1% 50% 2.5 46% 18.7% 4
Slide 8: After a Rough 2020, KPIs Improving Across the Board
After a Rough 2020, KPIs Improving Across the Board Positive Outlook for 2021 TPV Mix Retail Segments’ % of Getnet’s TPV (Feb-20 vs Apr-21) Retail Wholesale Segments Pre-Covid TPV Share Current TPV Share SMEs COVID-19 impact 40% on TPV Mix Market¹ 68% T&E² 13% 4% 66% 60% 57% Gas Stations 18% 14% 32%
Slide 9: Closing the Gap in 2021, but Growth has just Begun
Closing the Gap in 2021, but Growth has just Begun Earnings Reflecting Covid-19 and Recent Long-Term Investments Total Revenue (BRL MLN)1 EBITDA2 (BRL MLN) and EBITDA Margin (%) CAGR (‘18-20) 50.6% 49.0% +4% 35.0% 35.8% +13% 2,730 1,304 1,130 2,022 2,172 812 1,100 1,239 451 2018 2019 2020 1H20 1H21
Slide 10: A Successful and Trailblazing Track-Record in Payments
A Successful and Trailblazing Track-Record in Payments Tech Startup Origins Acquiring First-Mover Diversification Multiservice Strategic Vision Building our Commercial Model Profitability & Efficiency Platform 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
Slide 11: Well Positioned to Leverage Growth with a Full Platform for Merchants
Well Positioned to Leverage Growth with a Full Platform for Merchants Powerful Ecosystem for Merchants of all Sizes Complementary Businesses Services for Physical and Digital Operations Additional features to the ecosystem Complete Solution for Microentrepreneurs ERP/SmartPOS: better experiences wit
Slide 12: Industry Leaders Trust Getnet
Industry Leaders Trust Getnet Wide Range of Clients Across All Economic Segments Physical Digital Phygital 12
Slide 13: Growing in SMEs & Microentrepreneurs
Growing in SMEs & Microentrepreneurs SMEs Active Clients (‘000)¹ Main Growth Drivers +18% CAGR (‘18-20) +21% 435 461 459 389 313 Long-Tail Expansion 2018 2019 2020 1H20 1H21 Long-Tail Active Clients (‘000)¹ Digital Stores (‘000) +23% CAGR (‘18-20) +132% 385 369 9 Growth: 53 282 300 +6.0x 71 JUNE 202
Slide 14: New Distribution Channels Growing Beyond the Santander Brasil Ecosystem
New Distribution Channels Growing Beyond the Santander Brasil Ecosystem 14
Slide 15: Investing for Long-Term Sustainable Results in the Independent Channel
Investing for Long-Term Sustainable Results in the Independent Channel Recent Investments in the Independent Channel expected to be Tailwinds for the Future Independent Channel Investment (BRL MLN)¹ Continuously investing to Active Clients (‘000)² improve our value proposition and increase our Activ
Slide 16: Getnet has emerged as an E-Commerce leader
Getnet has emerged as an E-Commerce leader, a segment that will change the landscape and dictate the future of payments 16
Slide 17: E-Commerce Market is Accelerating in Brazil
E-Commerce Market is Accelerating in Brazil Solid Perspectives in the Brazilian E-Commerce due to Fast Digitalization Pace and Low Penetration Brazilian E-Commerce Evolution (BRL billion) Growth YoY (‘19-20) +37% 132 115 Accelerated with the 90 93 Covid-19 Pandemic, but 75 still has considerable roo
Slide 18: Getnet Serves its Clients in a Holistic Manner
Getnet Serves its Clients in a Holistic Manner Full Suite of Tools for Clients to Start, Run and Grow a Business Online Getnet E-Commerce E-Commerce Ecosystem CHECKOUT ADVISORY ACQUIRING RECURRING ENGINE SMEs ONLINE STORE RECONCILIATION ALTERNATIVE PAYMENT VAULT METHODS FRAUD SPLIT PAYMENT MANAGEMEN
Slide 19: E-Commerce Market Leader
E-Commerce Market Leader Increasing our Footprint in a Fast-Growing Industry Getnet E-Commerce TPV (BRL billion) Market-Share (%)¹ CAGR (‘18-20) +99% +94% 33% 60 27% 45 13% 21 23 16 38 5M21 2018 2019 2020 1H20 1H21 2019 2020 5M21 +94% CAGR18-20, with an increasing Emerging as a market leader in Braz
Slide 20: Creating Value Through Sustainability, Social Justice and Responsible Investments
Creating Value Through Sustainability, Social Justice and Responsible Investments 20
Slide 21: ESG Strategy
ESG Strategy THE MOST THE BEST PARTNER REFERENCE IN SAFE, SUSTAINABLE OF THE BRAZILIAN EFFICIENT AND OPERATION OF THE MICRO PROFITABLE SECTOR ENTREPRENEUR MANAGEMENT Environment Social Governance 21
Slide 22: Vision of the Future: from Local to Global
Vision of the Future: from Local to Global Getnet will benefit from being part of PagoNxt, a global payments tech company within Santander Group with a core cloud-based infrastructure providing reliability and scalability 22 Classificação da Informação: Restrito
Slide 23: Getnet Brasil to be part of GETNET Global Franchise, powered by PagoNxt
Getnet Brasil to be part of GETNET Global Franchise, powered by PagoNxt ✓ Technology-focused global payments integrated solutions for merchants, enterprises and consumers ✓ Shared cross-border platforms and infrastructure ✓ Leveraging Santander scale and global reach Merchant Solutions Trade Solutio
Slide 24: Getnet Brasil to benefit from its integration in PagoNxt
Getnet Brasil to benefit from its integration in PagoNxt PagoNxt will improve Getnet Brasil competitiveness, in efficiency and value proposition Significantly reduce Optimize need for time to market investments Integrated in a global Benefit from two-sided technology platform with a networks with Pa
Slide 25: The next chapter of our story
The next chapter of our story 25
Slide 26: Spin-Off Rationale
Spin-Off Rationale Next Chapter of Getnet’s Story Unlocking Value Global Payments Platform ✓ Started from scratch and became a ✓ Shareholders will have direct exposure ✓ PagoNxt will concentrate technology reference in the Brazilian payments to the fast-growing payments and payment businesses indust
Slide 27: Timeline of the Process
Timeline of the Process February 26th April 1st Santander Brasil Filing with the Brazilian July 14th TBC(2) Shareholders’ Meeting Central Bank for spin-off BACEN authorization Record date in BR and US call notice authorization February 25th May and June March 31st TBC(1) Filling with CVM (May 14th)
Slide 28: Santander Brasil and Getnet: A Strong Partnership between a Bank and a Technology Company
Santander Brasil and Getnet: A Strong Partnership between a Bank and a Technology Company 28
Slide 29: Getnet and Santander Brasil Partnership
Getnet and Santander Brasil Partnership Client Origination and Active Alignment of Incentives Business Parameters Economic Relationship Base Increase ▪ Getnet and Santander Brasil ▪ All transactional and non-credit ▪ New clients will come from ▪ Getnet pays Santander Brasil for fully aligned, with c
Slide 30: Santander Brasil Channel Maintains its Solid and Robust Operation
Santander Brasil Channel Maintains its Solid and Robust Operation Aligned Interests and Incentives Model Assuring Balanced Client Acquisition Getnet Governance with SANB11 Santander Brasil Channel Getnet growth throughout its history was supported by WEEKLY COMMITTEES SANTANDER BRASIL’S BANKING PLAT
Slide 31: Key Takeaways
Key Takeaways 1 Solid track record 2 Leading e-commerce player in Brazil 3 Revenue Diversification and Efficiency as drivers of growth 4 One of the leading players in Brazilian payments that will be part of a global business franchise 5 Expanding TAM with the Independent Channel beyond Santander whi
Slide 32: Appendix #1
Appendix #1 32
Slide 33: Income Statement (IFRS)
Income Statement (IFRS) Income Statement (R$000') 2018 2019 2020 1H2021 1H2020 Revenue 2,231,606 2,662,893 2,320,495 1,259,870 1,098,498 Cost of Goods Sold (898,463) (1,086,511) (1,426,192) (749,040) (623,202) Gross Profit 1,333,143 1,576,382 894,303 510,830 475,296 Other Operating Income (Expenses)
Slide 34: Balance Sheet (IFRS)
Balance Sheet (IFRS) Balance Sheet (R$000’) 2018 2019 2020 1H20 Total Assets 27,569,682 27,141,134 43,021,698 49,289,671 Total Current Assets 26,218,566 25,562,506 41,478,266 47,364,265 Cash and equivalents 1,793,937 211,702 265,096 95,456 Financial Instruments 1,800,552 1,425,079 925,383 1,147,433
Slide 35: Cash Flow Statement (IFRS)
Cash Flow Statement (IFRS) Cash Flow Statement (R$000') 2018 2019 2020 1H2021 1H2020 Net Income 692,252 794,032 361,013 188,017 236,825 Net Income Adjustments 308,259 375,068 369,080 247,010 197,056 Depreciation and amortization 256,273 277,895 322,232 178,653 156,758 Exchange gain (18) 3,772 (16,46
Slide 36: Appendix #2
Appendix #2 36
Slide 37: Income Statement (BR GAAP)
Income Statement (BR GAAP) Income Statement (R$000’)(1) 2018A 2019A 2020A 30/06/2020 30/06/2021 Financial Income 86,787 93,801 50,107 38,366 15,636 Securities 86,787 93,801 50,107 38,366 15,636 Financial Expenses (56,413) (58,489) (54,909) (30,392) (32,635) Borrowing and lending (9,675) (12,140) (26
Slide 38: Balance Sheet (BR GAAP)
Balance Sheet (BR GAAP) Balance Sheet (R$000’) 2018A 2019A 2020A 30/06/2020 30/06/2021 Balance Sheet (R$000’) 2018A 2019A 2020A 30/06/2020 30/06/2021 Total Assets 27,130,768 26,571,613 42,321,124 28,153,667 48,595,962 Total Liabilties and Shareholder's Total Current Assets 26,172,935 25,558,444 41,3
Slide 39: Cash Flow Statement (BR GAAP)
Cash Flow Statement (BR GAAP) Cash Flow Statement (R$000’) 2018A 2019A 2020A 30/06/2020 30/06/2021 Net Income 482,763 585,384 289,960 166,899 187,577 Net Income Adjustments 501,134 583,648 459,626 281,526 201,701 Depreciation and amortization 454,969 485,167 383,035 221,491 174,881 Allowance for loa
Slide 40: Appendix #3
Appendix #3 40
Slide 41: Income Statement Santander Brasil (BR GAAP)
Income Statement Santander Brasil (BR GAAP) Income Statement (R$000') 1H2021 1H2020 Net Interest Income 13,423,827 13,629,203 Allowance for Loan Losses (3,325,060) (3,333,960) Net Interest Income after Loan Losses 10,098,767 10,295,243 Fees 4,699,748 3,705,340 General Expenses (5,105,770) (4,929,816
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