Spenda Limited · ASX:SPX
Spenda — Shareholder Meeting (November 2022)
26 slides from Spenda's shareholder meeting presentation, Nov 25, 2022
Slide 1: 2022 Annual General Meeting
For personal use only 2022 Annual General Meeting 25 November 2022 Spenda Limited (the Company) ASX:SPX
Slide 2: Disclaimer
Disclaimer This presentation contains certain statements that may constitute forward looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that Spenda a
Slide 3: Table of contents
Table of contents For personal use only FY22 year in review 04 FY22 financial results 11 Case Study – unpacking the revenue model 15 Development update 18 Future Focus 24
Slide 4: FY22 year in review
For personal use only FY22 year in review 1
Slide 5: FY22 year in review
FY22 year in review For personal use only JULY 2021 NOVEMBER 2021 5-YEAR MASTERCARD ACQUIRED AGREEMENT GREENSHOOTS Signed a five-year referral Completing our retail solutions agreement with Mastercard in capabilities and enabling the JULY 2021 2021 to deliver trade finance business to natively offer
Slide 6: Disparity between share price and increase in cash receipts
Disparity between share price and increase in cash receipts For personal use only There is a disparity between the share price and the Company’s increase in cash receipts from customers over the second half of the financial year, where cash receipts continued to increase.
Slide 7: Key drivers to profitability
Key drivers to profitability Following the year of consolidation that was FY22, the Company is focusing on three key drivers, as it For personal use only strives towards becoming a profitable company. CONTINUED DEVELOPING DEPLOY GROWTH FUTURE-PROOF FUNDS PRODUCT
Slide 8: Delivering on customer growth goals and driving revenue
Delivering on customer growth goals and driving revenue For personal use only Customer acquisition and retention: We have consistently delivered growth in revenue quarter on quarter, year on year. The Company’s revenue increased 156% from $878k in 2021 to $2,246k in 2022. Delivering steady increases
Slide 9: Predicting customer trends and developing future-proof products
Predicting customer trends and developing future-proof products For personal use only Developing software to leverage the trend in increased adoption of digital payment methods for B2B commerce. Utilising best practice development principles to increase software delivery and overall performance, inc
Slide 10: Deploy funds to execute on our growth strategy
Deploy funds to execute on our growth strategy For personal use only Securitisation style debt warehouse secured with prominent Australian private credit fund on the term of 36 months at a fixed rate of interest. Utilising the $50m debt warehouse facility to provide capital to accelerate its ongoing
Slide 11: FY22 financial results
For personal use only FY22 financial results 2
Slide 12: FY22 financial results - snapshot
FY22 financial results - snapshot For personal use only Revenue Cash Receipts $2.2m +156% $2.3m +128% FY21: $0.9m FY21: $1.0m Closing Gross Loans Market Cap $28.6m $12.1m FY21: $0 Cash on Hand $7.6m * * Includes Restricted Cash of $1.8m
Slide 13: FY22 financial results - snapshot
FY22 financial results - snapshot 01 Revenue increase of 156% to $2.2m for FY22, leveraging the Company's diversified and blended revenue model. For personal use only FY22 FY21 Variance Variance 02 Primarily relates to Research and Development tax incentive. $’000 $’000 $’000 % Consolidated statemen
Slide 14: Ten quarters of consecutive growth
Ten quarters of consecutive growth For personal use only Spenda Limited Cash Receipts from Customers 800 Consecutive growth 700 achieved in the last 10 693 quarters. 600 615 630 500 Annual recurring revenue AUD $’000 400 396 now makes up 95% of our 334 income stream. 300 294 200 236 100 118 154 128%
Slide 15: Case Study: Unpacking the Revenue Model
For personal use only Case Study 3 Unpacking the Revenue Model
Slide 16: Case Study: Overview
Case Study: Overview For personal use only Spenda’s software, payments and lending products positions it as a differentiated intermediary and service provider to businesses with significant SME customer bases and transaction volumes, such as Franchise Groups. Product Proposition Revenue model Spenda
Slide 17: Payment Flow
Payment Flow Spenda is pursuing a ‘node and spoke’ strategy, focusing on the acquisition of conduit partners (i.e. Franchisor) who sit in the For personal use only value chain aggregating procurement and demand. Spenda payments services collect fees in most circumstances regardless of the Franchisor
Slide 18: Development Update
For personal use only Development Update 4
Slide 19: Typical Accounts Payable workflow
Typical Accounts Payable workflow For personal use only Step 1 Step 2 Step 3 Review aged payables Identify creditors to pay Review invoices Step 5 Step 4 Submit batch for approval Create payment batch Step 6 Step 7 Step 8 Adding additional content requires Export ABA file for the bank Potential file
Slide 20: Accounts Payable workflow with Spenda
Accounts Payable workflow with Spenda For personal use only Step 1 Step 2 Review and create batch Collaborate on debtor simultaneously list within Spenda Step 4 Step 3 Pay suppliers via account to account, Securely approve a payment credit card or Spenda finance with two to sign Spenda consolidates
Slide 21: Product demo
Product demo For personal use only Accounts Payable + Spenda Wallet (authorisation) Payment S c h e d u le d
Slide 22: Integrating payments and lending
INTEGRATING PAYMENTS AND LENDING The release of Spenda’s payment services was a large focus for the development For personal use only team and delivers: Greater payment flexibility to customers. Creating additional revenue streams for the Company in the form of payment processing fees. FEATURE-RICH
Slide 23: Driving growth through product development
Driving growth through product development For personal use only RELEASED FY22 COMING SOON Enhanced functionality into Spenda Accounts Receivable The first release of Spenda Wallet – focused Release of Spenda Accounts Payable (a companion product to on payment authorisation. Spenda AR) Introduction
Slide 24: Future Focus
For personal use only Future Focus 5
Slide 25: Strategy on a page – key business objectives FY23
Strategy on a page – key business objectives FY23 For personal use only SCALING PAYMENT FLOWS – Achieved through delivering sticky software solutions that enhance the workflow for all parties in the transaction. Challenging the status quo of traditional labour-intensive performed in internet banking
Slide 26: Thank you
For personal use only Thank you. Approved by the Board of Directors spenda.co Spenda Limited 605, 275 Alfred Street, North Sydney, NSW 2060 1300 682 521 investors@spenda.co