Iress Limited · ASX:IRE
Iress — Investor Presentation (November 2020)
18 slides from Iress's investor presentation, Nov 4, 2020
Slide 1: FY20 results update
FY20 results update For the quarter ended 30 September 2020
Slide 2: Key messages
Key messages Third quarter 2020 (July- Sept): Executing to plan: ● Financial result is consistent with pcp, Revenue ● Deployment of Super Admin solutions to ESS Super and Guild Super progressing well +3%, Segment Profit +2% (constant currency). - on track for delivery in 1HFY21. FY20 YTD September: ●
Slide 3: Outlook
Outlook FY20 Segment Profit result: Q4 FY20 we expect: Key Sensitivities: On a constant 2019 currency An increase in revenue Additional COVID-19 restrictions, basis, Segment Profit excluding momentum in Q4 v Q3 as project impact of UK economy on the impact of the OneVue work completes before year end,
Slide 4: FY20 Q3 Revenue +3%, Segment Profit +2% v pcp
FY20 Q3 Revenue +3%, Segment Profit +2% v pcp $AUDm - Constant Currency(2) Q3 2019 Q3 2020 Q3 2020 vs Q3 2019 Revenue growth underpinned by strong performance in APAC +4% Operating revenue 130.0 133.8 +3% and Mortgages +19% (in constant currency) Segment Profit (1) 36.4 37.2 +2% Segment Profit +2% refle
Slide 5: FY20 YTD Revenue +8%, Proforma Segment Profit +6% v pcp
FY20 YTD Revenue +8%, Proforma(4) Segment Profit +6% v pcp $AUDm - Reported YTD Sept 2019 YTD Sept 2020 Sept 20 vs Sept 19 Strong operating revenue performance +8%. Operating revenue 371.8 401.4 +8% Segment Profit 110.5 108.0 (2%) Constant currency Segment Profit -1% versus pcp. NPAT 45.0 40.1 (11%) Re
Slide 6: Segment Information
4 i Segment Information
Slide 7: Strong growth in Australian Advice & Super, QuantHouse performing well
Strong growth in Australian Advice & Super, QuantHouse performing well YTD Sept 2019 YTD Sept 2020 Reported Currency change Constant Currency change Operating revenue Strong revenue performance in Australia driven by APAC 195.6 212.1 8% 8% Financial Advice and Super which is up +12%. Trading and Mar
Slide 8: APAC trading well reflecting ongoing demand for Xplan and Super Admin projects
APAC trading well reflecting ongoing demand for Xplan and Super Admin projects Trading & Market Data revenue AUD Non-recurring Recurring Consistent Trading and Market data revenue performance. $40m Key project to deliver Private Wealth software to JB Were progressing well and remains on track to go l
Slide 9: UK performance stable despite macro volatility, growth opportunity affirmed
UK performance stable despite macro volatility, growth opportunity affirmed UK & Europe revenue GBP Non-recurring Recurring YTD revenue + 11% v pcp reflects contribution from QuantHouse which continues to perform well, and the acquisition of O&M in March 2020. £25m Excluding the acquisitions of QuantHo
Slide 10: QuantHouse performing well, delivering revenue growth and cost synergies
QuantHouse performing well, delivering revenue growth and cost synergies QuantHouse revenue AUD Non-recurring Recurring Q3 revenue +8% v pcp reflecting ongoing sales and delivery success. $10m QuantHouse has transitioned from loss-making at the time of acquisition to a profit contributor in 2020 (incl
Slide 11: Mortgages recovering following Covid-19 interruption, focus on new sales opportunities
Mortgages recovering following Covid-19 interruption, focus on new sales opportunities Mortgages revenue GBP Non-recurring Recurring Q3 revenue +19% on Q2. Positive trend reflects resumption of all client projects as the year has progressed. £5m YTD revenue is marginally lower than pcp reflecting proj
Slide 12: Appendices
Appendices 12
Slide 13: Q3 results by segment
Q3 results by segment Reported Currency Constant Currency Q3 2019 Q3 2020 change change Operating revenue APAC 67.4 69.8 4% 4% Trading and Market Data 30.7 31.4 2% 2% Financial Advice and Super 36.7 38.4 5% 5% UK & Europe 36.7 36.8 - 2% Mortgages 6.4 7.5 16% 19% South Africa 12.1 9.8 (19%) (2%) Nort
Slide 14: Proforma financial performance - reconciliation
Proforma financial performance - reconciliation YTD Sept 2019 YTD Sept 2020 $AUDm Reported Acquisition Pro forma Reported Acquisition Acquisition Currency (3) Annual Leave (4) Pro forma of QH (1) of BCG (2) of O&M (2) Operating Revenue 371.8 15.2 387.0 401.4 - (1.9) 1.5 - 401.0 Operating Costs (261.3
Slide 15: NPAT waterfall
NPAT waterfall +12% 4.9 1.5 0.3 1.0 1.8 45.0 40.1 44.7 Reported YTD 2019 Quanthouse (1) Proforma YTD Sept BCG (2) O&M (3) Currency (4) Annual leave (5) Proforma YTD Sept NPAT 2019 2020 NPAT Pro forma adjustments 1. YTD 2019 results have been adjusted to include results for the 5 months to May 2019 p
Slide 16: Reported profit and loss statement
Reported profit and loss statement AUD (m) YTD SEPT 19 YTD SEPT 20 SEPT 20/ SEPT 19 Operating Revenue 371.8 401.4 +8% Operating Costs (261.3) (293.4) +12% Segment Profit 110.5 108.0 (2%) Share Based Payments (13.0) (15.9) +22% Segment Profit after SBP 97.5 92.1 (6%) Non Operating Items (2.8) (3.0) +5%
Slide 17: Disclaimer
Disclaimer The material in this presentation is intended to be general background information on Iress Limited and its activities, current at the date of the presentation. The information is provided in summary form and does not purport to be complete. It is not intended to be relied upon as advice
Slide 18: Contact
Contact Andrew Walsh, CEO John Harris, CFO +61 3 9018 5800 iress.com