Slide 1: Freelancer Limited FY23 Financial Results Presentation
27 February 2024 Freelancer Limited FY23 Financial Results Presentation Matt Barrie ASX: FLN investor@freelancer.com Chief Executive Officer OTCQX: FLNCF
Slide 2: Powering the world's entrepreneurs & commerce
Powering the world’s entrepreneurs & commerce #1 for Secure Online Payments #1 Online Services Marketplace #1 Online Freight Marketplace over US$7 billion in transactions over US$5 billion in jobs awarded in Australia, over 750 million km secured in freight posted Freelancer Limited 2 ASX: FLN, OTCQ
Slide 3: FY23 Results
Freelancer Limited FY23 Results 3 3
Slide 4: Freelancer Group Results for FY23
Freelancer Group Results for FY23 ● Freelancer Limited delivers Gross Marketplace Volume (GMV) in FY23 of $1,020.7 million (down 4.8% on pcp): ○ Freelancer GMV $132.1m up 2.9% on pcp ○ Escrow GMV of $888.6m, down 5.8% on pcp ● Revenue $53.3m (down 4.1% on pcp): ○ Freelancer revenue $44.2m down 2.8%
Slide 5: Group Gross Payment Volume (GPV) FY23
Group Gross Payment Volume (GPV) FY23 Group GPV of $1,074.0m (down 4.7% on pcp) Freelancer GPV $176.3m down 1% on pcp Escrow GPV $897.7m, down 5.9% on pcp ~74% of group revenue is USD, 7% AUD Gross Payment Volume (GPV) is calculated as the total payments to Freelancer or Escrow users for products an
Slide 6: Net revenue FY23
Net revenue FY23 Group Revenue $53.3m (down 4.1% on pcp) Group ● Group revenue ~74% USD, 7% AUD ● Gross margin remains high at 83% Freelancer ● Freelancer revenue $44.2m, down 2.8% ● Commissions 13% since FY10 Escrow ● Revenue $9.1m, down 9.9% on pcp ● Escrow blended take rate ~1.00% 6
Slide 7: Cash flow profile FY23
Cash flow profile FY23 Cash & cash equivalents at $21.2 million at 31 December 2023 7
Slide 8: Summary profit & loss statement FY23
Summary profit & loss statement FY23 Significant operating EBITDA turnaround - effectively breakeven for FY23 (A$m) FY23 FY22 Change ● Group FY23 NPAT $0.2m vs $(5.3m) in pcp. 1 Jan - 31 Dec Actual Actual NPAT turnaround primarily due to significant cost Net Revenue 53.3 55.7 -4.1% efficiencies extracted
Slide 9: Summary balance sheet FY23
Summary balance sheet FY23 (A$m) FY23 FY22 Change 30 June 2022 Actual Actual Cash and cash equivalents 21.2 23.4 -9% ● Cash & equivalents at end of FY23 $21.2m (-9% on pcp), no net debt. Trade and other receivables 4.7 5.6 -17% Other assets 3.5 3.1 +14% ● Trade and other receivables includes receiva
Slide 10: Your partner in the new world of work
Your partner in the new world of work. 10
Slide 11: Solving a trillion dollar problem
Solving a trillion dollar problem. 11
Slide 12: Make it real
Make it real. We help entrepreneurs, small businesses, startups, and large enterprises turn that spark of an idea into reality. This concept design cost $290 USD 12 and took 6 days to make
Slide 13: Change lives
Change lives. “Coming from a third-world country and the smallest in West Africa where opportunities are very limited, Freelancer.com has helped me expand globally by helping me make a living from something that I really have a passion for, design.” Sulayman Sanyang Video & Motion Graphics Banjul, G
Slide 14: Create the Future
Create the Future We help entrepreneurs & organizations create products & services of the future. This Apple VR headset concept cost $500 AUD and had 56 entries in 14 days 14
Slide 15: Unlock AI Potential
Unlock AI Potential Every business in the world will want to transform themselves by taking advantage of AI technology. Where will these businesses go to find experts that can assist in that transformation? Freelancer. 15 15
Slide 16: Freelancer's Online Economy
Freelancer’s Online Economy USERS JOBS POSTED JOBS DONE Note: Sample of projects awarded in 2020. The pink lines indicate where projects are being posted by employers, and the blue lines indicate where the projects are being performed by 16 freelancers. Thicker lines indicate a higher volume of work
Slide 17: Freelancer's Online Economy – United States
Freelancer’s Online Economy – United States 17 17
Slide 18: Freelancer's Online Economy – Europe
Freelancer’s Online Economy – Europe 18
Slide 19: Freelancer's Online Economy – Australia
Freelancer’s Online Economy – Australia 19
Slide 20: Freelancer's Online Economy – India
Freelancer’s Online Economy– India 20
Slide 21: Regional Websites, Languages, Currencies
52 33 38 Regional Websites Languages Currencies North America Europe Asia Pacific Languages Currencies US (International) United Kingdom Australia Afrikaans 日本語 USD BRL Canada European Union New Zealand Bahasa Indonesia 한국어 NZD CNY AUD DKK Jamaica France Hong Kong Bahasa Malaysia Norsk-Bokmål GBP VND
Slide 22: Freelancer is changing lives around the world
Freelancer is changing lives around the world, whether it be for entrepreneurs, small businesses or large organizations. We provide easy access to talented freelancers from all around the world, who offer a wide range of services at competitive prices. 66m+ 23m+ TOTAL REGISTERED TOTAL JOBS USERS POS
Slide 23: Marketplace dynamics FY23
Marketplace dynamics FY23 “Every job, every country, every language, every currency, at any time” ● Over 2,700 job categories as diverse as Aerospace Engineering, Biotechnology, Sales, Manufacturing, Mechanical Engineering ● Complexity & sophistication growing over time ● Average completed project s
Slide 24: Largest & lowest cost elastic cloud workforce
Freelancer is the largest & lowest cost elastic cloud workforce ● The world’s largest on-demand cloud workforce of over 71m users – 247 countries, regions & territories with over 2700+ skills, speaking 34 languages and transacting in 39 currencies. ● No crowdsourcing platform globally has the liquid
Slide 25: Projects
Projects Post a project and receive competitive bids from freelancers within minutes. Choose from expert freelancers in over 2,700 skill sets from all around the globe. Pay your freelancers a fixed price or by the hour, all secured by the Milestone Payments system. 67% of projects receive bids within
Slide 26: Contests
Contests Get the perfect design by crowdsourcing your ideas to millions of freelancers The larger the prize, the better the entries, and freelancers dynamically adapt their style to suit your feedback. Unmatched liquidity: 1,100,000+ entries per month ~13,000,000 entries per year 91% of contests rec
Slide 27: Contests
Contests Revenue per contest Average prize money per contest (USD) Average number of entries per contest % of contests with first entry in time segment 27
Slide 28: $1500 USD website illustrations
These website illustrations cost $1500 USD 28 and took 10 days to make 28
Slide 29: $119 USD boat trailer design
This boat trailer design cost $119 USD 29 and took 3 days to make
Slide 30: $552 USD package design
This package design cost $552 USD 30 and took 5 days to make
Slide 31: $620 USD website
This website cost $620 USD 31 and took 6 days to make
Slide 32: $950 USD white paper
This white paper cost $950 USD 32 and took 5 days to write
Slide 33: Built-in Collaboration Tools
Built-in Collaboration Tools A suite of tools purposely designed to manage an on-demand cloud workforce An integrated set of collaborative tools to build and manage a distributed team: ● Messaging ● File sharing ● Audio and video calling ● Screen sharing ● Task management ● Workspaces ● AI Assistant
Slide 34: Freelancer Enterprise
il iy a W ~_ W freelancer En terprise
Slide 35: 48,864 consultants onboarded
48,864 CONSULTANTS ONBOARDED 35
Slide 36: Nishita Henry, Chief Innovation Officer @ Deloitte
"We accelerated the launch of the MyGigs Platform, a self-service short-term staffing app connecting our internal talent pool to open project opportunities, in an effort to create the #1 remote talent experience. Since March 2020, the number of gig workers has more than doubled to a total of 16,800 an
Slide 37: Deloitte relies more heavily on IT freelancers
“Deloitte relies more heavily on IT freelancers than it did before or during the pandemic. Like most companies, it enlists freelancers with specific skills across a range of capabilities, including AI and analytics” Balaji Bondili Managing Director, Deloitte 37
Slide 38: Success with NASA led to NASA Open Innovation Services 2
Success with NASA led to NASA Open Innovation Services 2. Funding has increased 600% to US$175 million Freelancer is working with U.S. Government in the fields of: ● Computational fluid dynamics ● Physics ● Network science ● Electrical engineering ● Mechanical engineering ● Advanced manufacturing ● Ph
Slide 39: Commanding Tech Challenge
COMMANDING TECH CHALLENGE Next-Gen Incident Command Dashboard using Augmented Reality/Virtual Reality with enhanced UI/UX and data integration. Competing for a chance to win a share of US$1 million in prizes. 39 39
Slide 40: Targeted Genome Editor Delivery Challenge
TARGETED GENOME EDITOR DELIVERY CHALLENGE National Institutes of Health The new US$6M competition aims to encourage genome editing technology development and improved editing efficiency. Target Area 1: Programmable Delivery System Target Area 2: Crossing the Blood Brain Barrier You can get anything do
Slide 41: Targeted Genome Editor Delivery Challenge winners
Target Area 1: Programmable Delivery System Winning Solutions (first prizes) TARGETED GENOME ● Perelman School of Medicine at the University of Pennsylvania: Targeted Delivery of Genome Editing Machinery to Blood Marrow Stem Cells, Pulmonary Endothelium, and Cardiomyocytes EDITOR DELIVERY ● Nizar Y.
Slide 42: Field Services
Field Services ● ~45,000 jobs completed to date ● Servicing 46 cities in Asia Pacific ● Global Operation Centre in India ● Scales globally Custom designed fully integrated field service management tool 42 https://www.youtube.com/watch?v=1FXkcHoWphE
Slide 43: Global Field Services Footprint
Global Field Services Footprint 43
Slide 44: Your perfect project, every time
Your perfect project, every time Get a Recruiter on your side. Sit back and relax while we find you the best talent quickly. No matter what your requirements, our expert Recruiters will find the perfect freelancer for any budget. 44 44
Slide 45: Senior Management Team | Freelancer
Senior Management Team | Freelancer Specialists in growth, finance, operations, infrastructure, international execution, compliance and engineering Neil Katz Adam Byrnes Shaun McMeeken Laurent Goudet Mark Basmayor Andrew Bateman Sebastián Siseles Ayen Torcuator Chief Financial Vice President, Global
Slide 46: Board of Directors
Board of Directors Technology focused entrepreneurial board with successful exits to major global corporations. Matt Barrie Darren Williams Simon Clausen Chief Executive Officer & Chairman Non-Executive Director Non-Executive Director BE (Hons I) BSc (Hons I) Syd. BSc (Hons I) PhD (Computer Science) M
Slide 47: Recent Awards | Freelancer.com
Recent Awards | Freelancer.com Gold Stevie Gold Stevie Official Webby HR Tech Award APAC Insider Gold Stevie Business or Professional Company of the Year - Honoree Talent Acquisition: Best Cloud-Based Innovation in Technology Services - Freelancer.com Best Virtual / Hybrid Solution Freelancing & Crowd
Slide 48: 160 million jobs could be carried out remotely
“160 million jobs, or about 11% of the projected 1.46 billion services jobs worldwide, could in theory be carried out remotely, barring any constraints in supply”* * McKinsey Global Institute, The Emerging Global Labor Market, Part I: The Demand for Offshore Talent in Services. 48
Slide 49: Securing the world's trade
Securing the world’s trade Inspect goods & services before releasing funds OVER US$7,000,000,000 IN TRANSACTIONS SECURED investor@escrow.com 49
Slide 50: Digital payments can only buy a coffee, not a car
The world’s trade is going online, but digital payments can only buy a coffee, not a car. 50
Slide 51: Most payment innovation is in low-value
Most of the innovation in payments is in low-value $108 $60 $64 NEW TECH $154.18 $108.23 $23 $77.09 $63.55 $60 $44.80 $23 Zelle: https://www.businessinsider.com/zelle-and-venmo-end-2021-with-strong-volume-2022-2, https://www.businessofapps.com/data/mobile-payments-app-market/ Paypal: https://www.nas
Slide 52: The red ocean in small value payments
The red ocean in small value payments <3% of card volume $272 Digital wallet payments as a share of card payments, 2017-2020 $103 OLD TECH $154.18 $108.23 NEW TECH $77.09 $63.55 $60 $57 $44.80 $23 Includes all card transactions made via a digital wallet, including tokenized digital wallet. Include:
Slide 53: Card volume <8% of US domestic payments
Card volume <8% of US domestic payments Annual US e-commerce retail sales as percentage of total sales, seasonally adjusted Ecommerce cannot Count Value ATS dominate retail sales by Cards 74.3% 7.8% $57 value without handling Checks 6.5% 22.9% $364 larger value transactions Bank 19.2% 69.3% $2,495 T
Slide 54: Blue ocean in large value payments
$716,200 Blue ocean in large value payments Red ocean in small value payments $119,618 Zelle: https://www.businessinsider.com/zelle-and-venmo-end-2021-with-strong-volume-2022-2, https://www.businessofapps.com/data/mobile-payments-app-market/ Paypal: https://www.nasdaq.com/articles/paypal-stock-has-g
Slide 55: Online payments fail above a few thousand dollars
“According to the ICC, the world-wide documentary discrepancy rates against the DLC Online payments fail above a [letters of credit] are few thousand dollars between 60% to 70%” Secure business payments are bespoke, https://www.researchgate.net/publication/328420369_Mit igating_the_Risk_of_Documenta
Slide 56: Online payments fail with untrustworthy counterparties
Online payments fail with untrustworthy counterparties Buyer protection is a terrible experience for consumers. Card fraud over the next decade will cost $409 billion in losses globally * * https://www.paymentsdive.com/news/card-industry-faces-400b-in-fraud-losses-over-next-decade-nilson-says/611521
Slide 57: API
API Spend more time running your business and less time worrying about payments code and compliance overhead. Built for developers, by developers. The simplest way to add escrow payments to your website, mobile app, online store, classified site or marketplace. Escrow.com payments with one line of co
Slide 58: Escrow.com solves large value payments in an untrustworthy world
Escrow.com solves large value payments in an untrustworthy world 1 2 3 4 5 Buyer and seller Buyer pays Seller delivers the Buyer conducts an Escrow.com agree to the Escrow.com goods or service inspection of the pays the seller transaction and its received goods or declared terms service Escrow.com h
Slide 59: Only online payment method for eBay Motors listings
+ Escrow.com is the only online payment method for eBay Motors listings in the United States 59 59
Slide 60: Only secure online payment method for high value items
CARS BOATS AIRPLANES MOTORCYCLES Escrow.com is the only secure online payment DOMAINS COLLECTIBLES COMPUTERS, TV & HIFI MACHINERY & ROBOTICS method for high value items. Supporting payments in GEMSTONES & JEWELRY GENERAL MERCHANDISE USD, EUR, CAD, AUD & GBP ANTIQUES NETWORK EQUIPMENT from 100 to 100
Slide 61: Gross Payment Volume (US$)
Gross Payment Volume (US$) 1Q24 GPV US$142,102,568 All-time volume $7b Gross Payment Volume (USD) 61
Slide 62: Over 2 million customers
Over 2 million customers NOTE: SAMPLE OF TRANSACTIONS. THE PINK LINES INDICATE WHERE ESCROW TRANSACTIONS ARE BEING ORIGINATED BY BUYERS, AND THE BLUE LINES INDICATE WHERE TRANSACTIONS ARE BEING FULFILLED BY SELLERS. THICKER LINES INDICATE HIGHER VOLUME. WHITE DOTS INDICATE THE LOCATION OF ESCROW.COM
Slide 63: Market size (Billions) and industry take rates
Key verticals 0.9% 10,000 0.9% Industry take rates. 0.9% Escrow FY23 1.02% 2.3% 1.7% 1,000 Market size (Billions) 1.6% 1.3% 100 1.0% 1.5% 10 2.1% 1.1% 1 IPv4 Internet Domain Watches Fine Art Construction Business & Jewelry Used Vehicles M&A US Goods Real Estate Addresses Names Equipment Industrial I
Slide 64: Beach head customers in key verticals
Domain Names IP Addresses Cars Boats, Aircraft, Vehicles Beach head Fine Art customers in Luxury, Watches & Jewellery, Auctions key verticals Intellectual Property Business Sales, Mergers & Acquisitions Import / Export Agriculture Oil & Gas Services 64 64
Slide 65: The world's largest online escrow company
The world’s largest online escrow company. Escrow.com has 55 financial services licenses granted or in-application. Five U.S. states do not require Escrow.com to hold licenses (Hawaii, Indiana, Massachusetts, Tennessee, Wisconsin). Additionally Escrow.com holds an Australian Financial Services Licens
Slide 66: Only multi-jurisdiction licensed online escrow company
Escrow.com is the only multi-jurisdiction licensed online escrow company with 55 licenses granted or in-application Stopped escrow Not external Surrogacy escrow California escrow licenses 66
Slide 67: Benefits of using Escrow.com
Benefits of using Escrow.com Increase Trust Increase Liquidity Marketplaces are all about trust. Escrow Buyers can inspect the goods or services before dramatically lifts trust for platforms. releasing the funds, driving cross-border transactions. Increase Network Effects Increase Compliance Greater
Slide 68: Cars, boats & airplanes are the perfect match for Escrow.com
Cars, boats & airplanes are the perfect match for Escrow.com Escrow.com solves trust problem ● Buyer & seller have to physically meet to transact ● Seller accepting cards risks chargebacks ● Buyer using cash or wire has to risk delivering cash safely and trusting the seller to deliver a vehicle in g
Slide 69: First transaction
& first transaction enabled the secure sale of a 1930 Ford Model A from Poway, California to Farmington, New York - 69 a distance that would normally be complicated to transact over. 69
Slide 70: Escrow.com ensures the safety of startup acquisitions
Escrow.com ensures the safety of startup acquisitions. As soon as a letter of intent or an asset purchase agreement is signed, Escrow.com ensures the acquisition deal proceeds safely and smoothly for both parties. 70 70
Slide 71: Escrow.com enables trading of oil, gas and mineral rights online
Escrow.com enables trading of oil, gas and mineral rights online In a world first, Escrow.com enabled Energy Domain to complete sales of non-operated mineral rights online, transforming a centuries old business into an online marketplace. 52.5 mineral acres of oil rights securely sold through Escrow.
Slide 72: Where the metaverse is bought and sold
is where the metaverse is bought and sold META.COM DOMAIN & UBER.COM SNAPCHAT.COM TWITTER.COM INSTAGRAM.COM FREELANCER.COM TRADEMARK GMAIL.COM CRYPTO.COM WECHAT.COM SLACK.COM CHROME.COM SPACEX.COM JD.COM WORDPRESS.COM LIVE.COM NFT.COM SNOWFLAKE.COM AWS.COM, PRIME.COM #10 WEBSITE GLOBALLY TMALL.COM T
Slide 73: Management Team
Management Team Matt Barrie Neil Katz Michael Best Behrokh Abbasnejad Kristian Sisayan Sofia Canala Reagan Paul Aldover Chief Executive Chief Financial Officer Senior Manager of BSA Product Manager Associate Product Head of Account Global Support and BE (Hons I) BSc (Hons I) BCom (Hons) ACA / AML and R
Slide 74: Recent Awards | Escrow.com
Recent Awards | Escrow.com Gold Stevie Silver Stevie Bronze Stevie Bronze Stevie Gold Stevie Gold Stevie Bronze Stevie Silver Stevie Bronze Stevie Financial Services Achievement Achievement in in Sales Growthor Achievement in Growth Company of the Year - Company Most of the Innovative Year - Company
Slide 75: Australia's largest freight marketplace
Australia’s largest freight marketplace OVER 750,000,000 KILOMETERS OF FREIGHT POSTED
Slide 76: Freight Customers
Freight Customers CENTURION PANORAMIC Ae @ [SNerear JAWS €€ Hapag-Lloyd Fr?) FREIGHTPLUS TUTT BRYANT uckworld.com.au arch, buy & sell track @&pTractorHouse amachines4u PIMINSPARES S|sarens SMITH BROUGHTON OUIDINA\.” Fee CAT IDATED TN) MINES CID. Y INDUSTRIAL mi Monadelphous REDPATH ® NEWCREST SS ey
Slide 77: Find loads fast on Loadshift
Find loads fast on Loadshift Discover the most efficient way to manage your freight across Australia. Loadshift connects you with a vast network of transport jobs. 77
Slide 78: 232,777 quotes submitted in FY23
232,777 quotes submitted in FY23 78
Slide 79: Freight Categories FY23
79 Freight Categories FY23 Boat with Trailer Pallets (Full Load) Furniture Removal Portable Building Trailers to be towed ae orCamper Trailer / / Bulk Products Trailers to be carried 4 General Full Load Shipping Containers Machinery (Stationary) 6.4 Trucks or Prime Movers Machinery (Mobile) Pallets
Slide 80: Loadshift Results for FY23
Loadshift Results for FY23 ● Full year comparisons with FY22 difficult due to a transition to marketplace from bulletin board. ● However, for the full year GMV was up 238.4% on pcp. ● 4Q23 saw significant uplifts in liquidity on 4Q22 including: ○ Quotes: up 220% on pcp (from 22,815 to 73,017) ○ Quotes
Slide 81: Industrial and Retail freight
Industrial Retail – Mining – Food delivery – Infrastructure – Furniture delivery – Construction – Courier – Rail – General freight – Oil & Gas – Motorcycle courier – Manufacturing – Bike courier – Heavy haulage – Pickup & delivery – Bulk tipper transport – Removal services – Car, boat transport – Pa
Slide 82: 147 loads, 303,583 kms
147 loads 303,583 kms Perth WA to Cadia NSW One of 147 loads carried out for Newcrest in 2022 82
Slide 83: 165 loads, 328,912 kms
165 loads 328,912 kms East Arm NT to Perth One of 165 loads carried out in 2022 for Boart Longyear. 83
Slide 84: Loadshift can manage it all for you
Loadshift can manage it all for you Permits Pilots Road closures Import / export taxes & duties Marine Insurance Customs clearance Quarantine Shipping documents Packing Washing / cleaning Cranage Container rental Vessel booking Multi-currency Escrow payments 84
Slide 85: Advantages
Advantages Real-time bidding, competitive quotes fast Upload a photo, dimensions, weight and delivery address & get quotes fast. Live tracking of cargo on the move Notification on collection and drop off, minimum, maximum and average speeds traveled. Vetted operators Choose from a range of vetted dri
Slide 86: Mining
Mining Ship anything, anywhere. Urgent or unique, Loadshift can handle it. Whether sending CAT loaders to Tanzania, a drill to South Korea or hotshotting a transmission to Papua New Guinea, we’ve done it. An ASX 50 listed mining company reported saving over 30% on heavy haulage and urgent freight mo
Slide 87: Infrastructure / Construction
Infrastructure / Construction Strict deadlines and challenging locations are a speciality. Project requirements can change quickly, Loadshift ensures that you are not held up by transport. Actual tunnelling drill transported from Tasmania to Sydney CBD for the Sydney Metro in a time critical, and hi
Slide 88: International Shipping
International Shipping Use Loadshift to handle all of your import / export or shipping needs. Direct rates with some of the biggest shipping lines. Extensive network of freight forwarders and customs brokers all over the world. Payment secured by Escrow.com. 54 tonne CAT Underground Loader delivered
Slide 89: Giant paddlewheeler in biggest marine move in the Southern Hemisphere
28 MAY 2022 GIANT PADDLEWHEELER IN BIGGEST MARINE MOVE IN THE SOUTHERN HEMISPHERE Loadshift successfully transported the Pride of the Murray in 2Q22 to its new home in the Thompson River, a 1,750km voyage at a maximum of 80 km/hour with a 192 tonne payload. This was the largest overland marine trans
Slide 90: Leadership Team
Leadership Team Matt Barrie Neil Katz Drew Davis Cohen Wisniewski Stanislav Markevic Simon Manton Executive Chairman Chief Financial Officer General Manager Global Manager of Engineering Lead Operations Manager Managed Services Matt Barrie is an award Neil Katz is the Chief Drew is one of a new Cohe
Slide 91: Important Notice and Disclaimer
Important Notice and Disclaimer This presentation has been prepared by Freelancer Limited (ACN 141 959 042) (Freelancer or the Company). The information contained in this presentation is current at the date of this presentation. The information is a summary overview of the current activities of the