Bread Financial Holdings, Inc. · NYSE:BFH
Bread Financial — Alliance Data Systems — Q3 2015 Earnings Presentation
15 slides from Bread Financial's earnings presentation, Oct 22, 2015
Slide 1: Alliance Data Q3 2015 Results
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Alliance Data NYSE: ADS Q3 2015 ResultsOctober 22, 2015
Slide 2: Agenda
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Agenda Speakers: Ed Heffernan President and CEO Charles Horn EVP and CFO Bryan Kennedy CEO – Epsilon/Conversant Third Quarter 2015 Consolidated ResultsSegment Results2015 Guidance and Critical Goal
Slide 3: Third Quarter 2015 Consolidated Results
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Third Quarter 2015 Consolidated Results(MM, except per share) Quarter Ended September 30, Quarter Ended September 30, Quarter Ended September 30, 2015 2014 % Change Revenue $ 1,589 $ 1,319 +20% EPS
Slide 4: LoyaltyOne
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 LoyaltyOne® (MM) Revenue and adjusted EBITDA increased 10 percent and 11 percent, respectively, on a constant currency basis. Issuance growth of 5 percent in Canada. Expect negative growth in the f
Slide 5: Epsilon
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Epsilon ® (MM) Organic revenue and adjusted EBITDA growth of 5 percent and 6 percent, respectively. Conversant revenue was flat while adjusted EBITDA increased 9 percent on a proforma basis.Executi
Slide 6: Conversant Year-Over-Year Growth
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Conversant Year-Over-Year Growth Revenue Adj. EBITDA ADS Purchase 5
Slide 7: Card Services
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Card Services (MM) Strong revenue growth driven by 30 percent growth in average card receivables during Q3.Substantial growth in card receivables drove solid expense leveraging. The provision for l
Slide 8: Card Services key metrics
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Card Services (MM) Majority of gross yield compression is due to mix (co-brand vs. PLCC). Loss rates were up 40 basis points due to seasoning of new vintages. Core1 spending remains strong, up 9 pe
Slide 9: 2015 Guidance and Critical Goals
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 2015 Guidance and Critical Goals Double-digit growth in revenue and adjusted EBITDANorth American expansionAIR MILES reward miles issuance growth returns to mid-single digits Revenue growth flows t
Slide 10: 2015 Guidance
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 2015 Guidance($MM, except per share) 9 2014 2015 ’15 / ’14 Increase Actual Guidance Revenue $ 5,303 $6,500 +23% Core EPS $ 12.56 $15.00 +19% Diluted shares outstanding 62.4 62.8 Organic revenue gro
Slide 11: Initial 2016 Guidance
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Initial 2016 Guidance Overall High single-digit to low double-digit growth in revenue and adjusted EBITDA on a constant currency basisNorth American expansion provides upside for BrandLoyaltyMid-si
Slide 12: Initial 2016 Guidance
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Initial 2016 Guidance($MM, except per share) 2015 2016 ’16 / ’15 Increase Constant Currency Revenue $ 6,500 $7,200 +11% Core EPS $ 15.00 $17.00 +13% Diluted shares outstanding 62.8 62.1 CDN$ 0.79 E
Slide 13: Q & A
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Q & A
Slide 14: Safe Harbor Statement and Forward Looking Statements
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Safe Harbor Statement and Forward Looking Statements This presentation may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Sectio
Slide 15: Financial Measures
©2015 ADS Alliance Data Systems, Inc. Confidential and Proprietary Earnings Release | October 22, 2015 Financial Measures In addition to the results presented in accordance with generally accepted accounting principles, or GAAP, the Company may present financial measures that are non-GAAP measures,
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