Change Financial Ltd · ASX:CCA
Change Financial — Shareholder Meeting (November 2023)
19 slides from Change Financial's shareholder meeting presentation, Nov 22, 2023
Slide 1: Chairman's Address
Chairman’s Address Change Financial Good afternoon my name is Eddie Grobler and on behalf of the Board of Change Financial Limited (Change), I am pleased to welcome you to the Limited 2023 Annual General Meeting (AGM). The last 12 months has been a formative period for our Company as we continued to
Slide 2: Investor Presentation Annual General Meeting
For personal use only Investor Presentation Annual General Meeting (AGM) 22 November 2023
Slide 3: Delivering innovative and scalable payments solutions
Delivering innovative and scalable payments solutions u Change leverages innovative and scalable technology to provide tailored payment solutions, card issuing and testing to 150+ Payments solutions banks & fintechs across 40+ countries provider driving u Two core products in the banking & payments
Slide 4: Vertexon in the payments process
Vertexon in the payments process Change’s role in the u Processing: An Issuer (Change’s client) using the Vertexon Processing: Customer pays with card (all card networks payments process Platform (technology only) to manage their cards – client is supported) & purchases goods/services from merchant
Slide 5: Vertexon product offering
Vertexon product offering Vertexon offering can Processing Processing & Issuing be tailored by client to • Provide core technology to enable card issuing and • Provide Processing capability + the following key card offer services that best management including: Issuing capabilities: suit client and
Slide 6: Vertexon issuing capabilities
Vertexon issuing capabilities All regulatory and Change has completed all necessary regulatory and licensing requirements to enable card issuing in Australia, NZ and the US licensing requirements Change can now issue debit and prepaid cards in Australia, NZ and the US for card issuing in Australian
Slide 7: PaySim: critical payments infrastructure testing tool
PaySim: critical payments infrastructure testing tool Software facilitates u Simulates the full transaction lifecycle, enabling banks & fintechs to complete end-to-end testing of their payment remote testing platforms, processes & scheme rule compliance without the need for u Enables financial insti
Slide 8: FY23 Financial Results
For personal use only FY23 Financial Results
Slide 9: Financial Dashboard
Financial Dashboard Geographically diverse Revenue (US$m) – H1 vs H2 EBITDA (US$m) – H1 vs H2 client base providing a $8.7m FY21 FY22 FY23 $8.3m +4.7% platform for future growth and expansion $6.3m (1.2) (1.1) 4.4 4.5 (1.7) (0.2) For personal use only 4.2 $(1.3)m 4.3 (1.4) 3.8 H1 (0.8) 49% H1 2.1 H2
Slide 10: Profit & Loss
Profit & Loss Profit & Loss Summary Revenue growth and Key Comments (US $000's) FY23 FY22 Var % realigned cost base Revenue 8,709 8,316 4.7% FY23 revenue of US$8.7m (A$13.6m), up 4.7% on pcp driving improved COGS - - n/a Modest growth driven by new licences and uplift in EBITDA Gross Profit 8,709 8,
Slide 11: Revenue model transition
Revenue model transition Vertexon – Old Revenue Model Vertexon – New Revenue Model Transitioning from Licence Processing Processing & Issuing (P&I) licence & project fee On premise solution – client Cloud hosted – client responsible for Cloud hosted – Change responsible for revenue model to a respon
Slide 12: Balance Sheet
Balance Sheet Balance Sheet Recent capital raisings Key Comments (US $000's) FY23 FY22 have strengthened the Cash & equivalents 5,351 1,501 Cash balance of US$5.4m (A$8.4m) boosted during the year by: Company’s financial Receivables 2,121 1,791 US$3.9m capital raising in August / September 2022 (exc
Slide 13: Cashflow
Cashflow Cashflow Continued investment (US $000's) FY23 FY22 Key Comments in core products to Receipts from customers 9,548 9,047 Cash receipts expected to smooth over time as PaaS clients go-live deliver future revenue Payments to suppliers / employees (10,194) (10,782) (expect to invoice monthly i
Slide 14: Update & Outlook
For personal use only Update & Outlook
Slide 15: Delivering on Key Milestones
Delivering on Key Milestones Clear and focussed 1 Shared Success & Growth operational roadmap to Transition NZ card programs to Change which will drive transactional revenue growth – IN PROGRESS deliver shareholder value All NZ financial institution clients issued ‘live’ cards and migration of cardh
Slide 16: Delivering on Key Milestones (cont.)
Delivering on Key Milestones (cont.) Clear and focussed 2 Operational Excellence operational roadmap to deliver shareholder Achieve go-live for NZ EFTPOS acceptance – COMPLETE value Full market acceptance in NZ for Mastercard and EFTPOS transactions For personal use only Strengthen core operations a
Slide 17: Outlook
Outlook u Profitable revenue growth & cashflow breakeven Focused execution and delivery to achieve u Realigned cost base has positioned Change to deliver profitable revenue growth in FY24+ success u Migration of foundation NZ client cardholders underway – first 3,500+ cards issued via Vertexon PaaS
Slide 18: Disclaimer
Disclaimer Change Financial Important Notice This presentation has been prepared by Change Financial Limited (Change Financial) in good faith. No express or implied warranty is given as to the accuracy or completeness Limited of the information in this document or the accompanying presentation. All
Slide 19: Thank you
Thank you. For personal use only Get in touch investors@changefinancial.com
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