Dominion Lending Centres, Inc. (canada) Class A · TSX:DLCG
Dominion Lending Centres, Inc. (canada) Class A — Dominion Lending Centres — Investor Presentation (May 2025)
19 slides from Dominion Lending Centres, Inc. (canada) Class A's investor presentation, May 2025
Slide 1: Investor Presentation
May 2025 Investor Presentation TSX: DLCG
Slide 2: Disclaimer
Disclaimer THIS PRESENTATION IS BEING SUPPLIED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED, FURTHER DISTRIBUTED OR PUBLISHED IN WHOLE OR IN PART BY ANY OTHER PERSON. THIS PRESENTATION DOES NOT CONSTITUTE OR FORM PART OF ANY OFFER FOR SALE OR SOLICITATION OF ANY OFFER TO BUY ANY SECU
Slide 3: One of Canada's Leading Mortgage Broker Networks
DLCG’s Track Record of Success 10% 12% One of Canada’s 7-Year CAGR 7-Year CAGR Revenue Adjusted EBITDA1 Leading Mortgage Broker Networks $72.6B 48% Trailing 12-Month (TTM)2 7-year Average Adj EBITDA Margin1 and Owner of Newton Funded Mortgages Connectivity Systems: a proprietary fintech mortgage pro
Slide 4: Canada's Premier Mortgage Broker Franchise Platform
Canada’s Premier DLCG Broker Networks Mortgage Broker Franchise Platform Leveraging two decades of growth and a multi- brand strategy to become the partner of choice for mortgage brokers and lenders and a trusted Industry-Leading Lending Partners mortgage partner for Canadian consumers. 500+ 8,500+
Slide 5: Newton Connectivity Systems fintech platform
Newton Connectivity Systems is a leading fintech platform connecting brokers directly and securely to lenders and third-party suppliers. Credit Velocity, Newton’s operating system, Unions seamlessly automates the entire mortgage Mortgage submission and approval process for brokers, Broker lenders, a
Slide 6: Scalable, Asset-Light Model Drives Strong Growth & Profitability
Scalable, Asset-Light Total Revenue CAD millions Adjusted EBITDA1 Adjusted EBITDA Margin1 Model Drives Strong $80M CAD millions Growth & Profitability § Revenue generated by franchise royalties, $60M 59% 49% 47% 52% 47% lender fees, commissions and connectivity fees. 42% 45% 39% § Long-term franchis
Slide 7: Positioned for Market Share Growth in a Large and Growing Market
Total Canadian Mortgages Outstanding at Chartered Banks1 CAD trillions Positioned for $1.8 trillion Market Share Canadian Mortgages Outstanding, Growing at a 6% CAGR Over the $1.7T $1.7T $1.8T Growth in a Large Last 10 years. $1.6T and Growing Market $1.4T $1.3T $1.2T $1.2T $1.1T $1.0T $1.1T $655 Bi
Slide 8: Brokers on the Rise with Further Room to Run
Brokers on the Rise with Further Room to Run Canadian Mortgage Broker Market Share3 Solid market share gains, however, the adoption of mortgage brokers in Canada still trails far behind the UK United (87%) and Australia (75%) despite similar market dynamics. 1,2 Kingdom1 (87%) Canadian demographics
Slide 9: Mortgage Renewals Driving Growth Through 2027
YOY Growth Rate of Canadian Mortgages Outstanding1 Mortgage 14% Renewals Driving Growth Growth Rate BoC Policy Rate3 12% Through 2027 10% 8% Over 5 million mortgages are expected to renew through the 6% end of 2027 driven by the The Pandemic and record pandemic-era borrowing boom low interest rates
Slide 10: Capitalizing on a Growing Market to Drive Funded Mortgage Volume Growth
DLCG’s Winning DLCG Funded Mortgage Volume (FMV) CAD billions Strategy: Capitalizing on a Growing Market $79.6B $72.6B To Drive Funded $71.3B $67.4B Mortgage Volume $56.5B Growth $51.5B $41.7B $37.0B $35.4B $36.4B $32.9B $25.9B 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 20251 TTM 1. For
Slide 11: Augmenting Growth Through an Accretive Acquisition Strategy
The 2013 Mortgage Centre Augmenting Growth Through an Accretive 2015 Mortgage Acquisition Strategy Architects Newton 2016 Connectivity Systems (70%)1 Strategic Rational Acquisitions Real Grow Funded The Mortgage Centre (2013) Mortgage Mortgage Volume Mortgage Architects (2015) Associates3 Real Mortg
Slide 12: Core Focus: Grow Funded Mortgage Volume
Growth Strategy Core Focus: Grow Funded Mortgage Volume Total Mortgage Brokers CAD billions Funded Mortgage $100B 8,663 Volume 7,749 8,221 8,192 $80B 6,592 Initiatives § Active recruitment of new brokers and 5,627 $60B 5,401 5,407 5,237 franchises to the DLCG network § Increase broker productivity t
Slide 13: Expand Velocity Adoption Across DLCG Network and Drive Future Growth
Growth Strategy Expand Velocity Newton Revenue Velocity Adoption CAD millions within DLCG Broker Network Adoption Across $20M 73% DLCG Network and 63% Drive Future Growth 55% $15M 44% Initiatives $10M § Increase Velocity adoption across the DLCG broker network with a goal to reach 85%+. This adoptio
Slide 14: Accretive Acquisitions to Expand Funded Mortgage Volumes & Enter New Verticals
Growth Strategy Accretive Acquisition Priorities Acquisitions to Grow Broker and Franchise Network Expand Funded Strong pipeline of acquisition opportunities to Mortgage Volumes & “reflag” competitor brokers to DLCG brands Enter New Verticals Enter New Complimentary Verticals Initiatives Home Insura
Slide 15: Near-Term Outlook: Strong Renewal Market Offsetting Slower Housing Activity
Canadian Home Sale Activity1 BoC Policy Rate2 Near-Term Outlook: 900k 6% Strong Renewal Market 800k 5% Offsetting Slower 700k Housing Activity 600k 4% § Slow start to housing activity in 2025 amid 500k economic uncertainty with housing transactions 3% decreasing 5.5% in Q1 20251 400k § However, this
Slide 16: Q1 2025 Highlights: A Strong Start to 2025
Q1 2025 Highlights: A Strong Start to 2025 Quarter Ended March 31, 2025 March 31, 2024 % Change § Broker recruitment, increased broker productivity Funded Mortgage $16.4 B $11.2 B 46% Volume through the Gold Rush initiative and a strong mortgage renewal market drove FMV growth. Revenue $18.7 M $13.6
Slide 17: Capital Allocation Supported by Strong Cash Flow & Balance Sheet
Capital Allocation Supported by Strong Cash Flow & Balance Quarter Ended March 31, 2025 March 31, 2024 Sheet Free Cash Flow2 $6.8 M $0.7 M DLCG’s strong balance sheet is well positioned to Cash $4.2 M $2.1 M support the Company’s capital allocation priorities: § Growth: Grow both organically through
Slide 18: Experienced Management with Strong Shareholder Alignment
Experienced Gary Mauris Chris Kayat Co-Founder, Executive Co-Founder, EVP & Chairman & CEO Director Management Prior to co-founding DCLG in 2006, Gary successfully built and exited two Prior to co-founding DLCG in 2006, Chris was active in the real estate with Strong companies. He was industry and w
Slide 19: TSX: DLCG dlcg.ca
dics MORTGAGE GROUP TSX: DLCG dicg.ca
Dominion Lending Centres — Investor Presentation (May 2025) on 6ix