Fawry For Banking Technology And Electronic Payment · EGX:FWRY

Fawry For Banking Technology And Electronic Payment — Q4 2024 Earnings Presentation

28 slides from Fawry For Banking Technology And Electronic Payment's earnings presentation, Mar 6, 2025

  1. Slide 1: 4Q 2024 Earnings Call

    4Q 2024 Earnings Call March 6, 2025 1

  2. Slide 2: Disclaimer

    Disclaimer The information contained in this document is proprietary and confidential to Fawry For Banking Technology And Electronic Payment S.A.E (“Fawry”). You must only use such information for the purposes of discussions with Fawry and you must hold such information in strict confidence and not

  3. Slide 3: Agenda

    AGENDA 4Q 2024 Operating & financial results 01 Dive into 4Q 2024 payments business figures 02 Dive into 4Q 2024 financial services figures 03 Digital growth 04 2025 Guidance 05 3

  4. Slide 4: 4Q 2024 Operating & Financial Results Highlights

    4Q 2024 Operating & Financial Results Highlights 4

  5. Slide 5: Financial KPIs

    Financial KPIs • Revenue growth came at 68% y-o-y, the highest the company has witnessed since 2015 68% • Acceptance business throughput more than doubled to reach EGP 167.6 billion in FY 24 Y-o-Y revenue growth • BNPL loan portfolio exceeded EGP 1.0 bn by end of 31 December 2024 after reaching EGP

  6. Slide 6: Operational KPIs achieved double digits growth

    Operational KPIs achieved double digits growth Active Network Total POS +12% Number of services Total transactions Avg transaction Customers +3% (mn) (000s) +17% +20% (mn) value +57% (EGP) 379 372 3,708 483 53.1 241 3,165 437 51.7 331 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q 2024 3

  7. Slide 7: Exponential growth over financial KPIs with EBITDA and Net income more than doubling

    Exponential growth over financial KPIs with EBITDA and Net income more than doubling Throughput +74% Revenue +74% Average revenue per EBITDA +113% Net profit +119% (EGP bn) (EGP mn) trx +47% (EGP mn) (EGP mn) 1,665 (EGP) 183 868 2.6 500 1.8 105 955 407 229 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q

  8. Slide 8: Quarterly throughput reached EGP 183 bn, up by 74% y-o-y

    Quarterly throughput reached EGP 183 bn, up by 74% y-o-y, and 2.9x that of 4Q 2022 Quarterly throughput (EGP bn) +74% + 183 +70% + +55% + 105 62 40 4Q21 4Q22 4Q23 4Q24 8

  9. Slide 9: Quarterly revenue went up by 74% y-o-y

    Quarterly revenue went up by 74% y-o-y, 1.6x that of 4Q 2023 growth Quarterly revenue (EGP mn) +74% 1,665 +47% +39% 955 651 467 4Q21 4Q22 4Q23 4Q24 9

  10. Slide 10: Revenue diversification with Banking and financial services growing in contribution

    This is achieved due to the successful revenue diversification, with Banking and financial services growing in contribution Revenue contribution by quarter Contribution to y-o-y revenue growth for 1% 1% 2% 4Q 2024 6% 6% 3% 7% 6% 9% 13% 15% 22% 18% 4% 1% 20% 18% 21% 11% 19% 16% 20% 30% 25% 56% 44% 35

  11. Slide 11: Despite year-over-year increases, expenses declined against revenue

    Despite year-over-year increases, expenses declined against revenue y-o-y expenses increase Expense item as % of revenue 61% 13% 61% 12% 11% 53% 10% 45% 9% 42% 8% 36% 30% 27% 24% 4% 4% 3% Marketing Selling HR Marketing Selling HR 4Q 2022 4Q 2023 4Q 2024 4Q 2022 4Q 2023 4Q 2024 11

  12. Slide 12: Overall margins improvement, highest EBITDA margin since inception

    …Leading to overall margins improvement, reaching the highest EBITDA margin since inception Gross profit margin (%) +0.7% 64.9% 64.2% 62.7% 4Q22 4Q23 4Q24 EBITDA margin (%) +9.5% 52.1% 42.6% 36.3% 4Q22 4Q23 4Q24 12

  13. Slide 13: Dive into 4Q 2024 payments business figures

    Dive into 4Q 2024 payments business figures 13

  14. Slide 14: ADP continued to beat guidance, grew at 37% y-o-y

    ADP continued to beat guidance, grew at 37% y-o-y ADP throughput value ADP revenue (EGP mn) Contribution to ADP revenue growth +34% +37% 2% 461 28% 51% 336 19% 4Q 2023 4Q 2024 4Q 2023 4Q 2024 Telecom ADSL Utilities Others 14

  15. Slide 15: Acceptance revenue more than doubled, Agent Banking growing

    Acceptance revenue more than doubled, with Agent Banking growing at decent rates Acceptance revenue (EGP mn) Agent Banking revenue (EGP mn) +58% +116% 310 408 196 189 4Q 2023 4Q 2024 4Q 2023 4Q 2024 15

  16. Slide 16: Both acceptance revenue segments achieved growth

    Both acceptance revenue segments achieved growth, with higher acceptance throughput per POS and online payments Revenue from instore Acceptance enabled POS Revenue from online acceptance (000s) acceptance +161% +65% +17% 335 287 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q 2024 16

  17. Slide 17: Supply Chain revenue grew on inflation and increased adoption

    Supply Chain revenue grew on the back of inflation and increase in adoption Supply chain throughput Supply chain revenue (EGPmn) +45% +27% 94 65 4Q 2023 4Q 2024 4Q 2023 4Q 2024 17

  18. Slide 18: Dive into 4Q 2024 financial services figures

    Dive into 4Q 2024 financial services figures 18

  19. Slide 19: MSME lending loan portfolio doubled

    MSME lending loan portfolio doubled, despite challenging macro economic developments • Number of MSME loans granted in 4Q24 reached 33.4k, Gross MSME loan MSME lending up by 212% y-o-y portfolio (EGP mn) revenue (EGP mn) • Disbursements for MSME loans for 4Q24 reached EGP 840mn up by 93% +102% +105%

  20. Slide 20: Other financial services revenue fueled by BNPL and Insurance Brokerage

    Other financial services revenue continued its growth trajectory, fueled by BNPL and Insurance Brokerage business Other financial services • Consumer finance (BNPL) gross loan portfolio exceeded EGP 1.0 bn by end of revenue (EGP mn) 4Q24 • Total spend for the full year exceeded EGP 1.6 bn and EGP 70

  21. Slide 21: Digital growth

    Digital growth 21

  22. Slide 22: myFawry transitions into a fully fledged Neo Banking app

    myFawry transitions into a fully fledged Neo Banking app The launch of, i) myFawry prepaid myFawry cumulative downloads 26.8 card (Yellow Card), ii) BNPL , iii) the money market fund in 2023, 20 EGP Bn Millions and iv) Medical insurance in 2024, 18 fueled the myFawry app growth Annualized Dec 24 16

  23. Slide 23: Digital transactions growth

    Digital transactions growth Mobile wallet1 Mobile wallet1 Total digital 2 Total transactions transactions (mn) processed value transactions (mn) (mn) (EGP bn) +23% +59% +171% +59% 483 74 162 174 47 110 437 60 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q 2024 4Q 2023 4Q 2024 1 These figures reflect tot

  24. Slide 24: FY 2025 Guidance

    FY 2025 Guidance 24

  25. Slide 25: Revenue growth guidance by offering

    Revenue growth guidance by offering… Revenue growth by offering (%) 138% 127% 96% 95% 90% 85% 76% 71% 60% 62% 53% 48% 45% 43% 35% 27% 27% 17% 2023 2024 2025P ADP Acceptance Agent Banking NBFI services Supply Chain Solutions Technology & others 25

  26. Slide 26: Driving diversification further and growing more into financial services

    Driving diversification further and growing more into financial services Revenue by offering 1% 2% 3% 2% 3% 6% 6% 7% 6% 6% 9% 12% 13% 18% 15% 24% 19% 20% 10% 20% 17% 14% 19% 22% 24% 59% 48% 39% 31% 26% 2021 2022 2023 2024 2025P ADP Acceptance Agent Banking NBFI services Supply Chain Solutions Techno

  27. Slide 27: Company to keep margins relatively stable with revenue growth close to 50%

    Company to keep margins relatively stable with revenue growth close to 50% Revenue y-o-y growth EBITDA margin 68% 50% 51% 40% 49% 44% 31% 37% 2022 2023 2024 2025P 2022 2023 2024 2025P ESOP expense in EGP mn Capex to sales 99 106 22% 81 20% 21% 30 16% 2022 2023 2024 2025P 2022 2023 2024 2025P 27

  28. Slide 28: Q&A

    Q&A 28

Fawry For Banking Technology And Electronic Payment — Q4 2024 Earnings Presentation on 6ix