Slide 1: Full Year Results
Full Year Results For the year ended 31 December 2022 www.pensionbee.com 1
Slide 2: Agenda
Agenda 1 Strategic Overview 2 Financial Update 3 Conclusion 4 Appendix www.pensionbee.com 2
Slide 3: 1 Strategic Overview
1 Strategic Overview www.pensionbee.com 3
Slide 4: Strategic Overview
Strategic Overview ● 1 PensionBee is a leading online pension provider: solving genuine problems for our customers, who are searching for an easy way to manage their pensions in one place ● 2 The £700bn Core Target Market of Transferable Pensions is vast and resilient, with demand for our services s
Slide 5: A Leading Online Pension Provider in the UK
1 A Leading Online Pension Provider in the UK: Solving Genuine Problems for Consumers Award-winning offering Trustpilot 4.6 out of 5 - Excellent £3bn +17% YoY 183k +56% YoY £18m +38% YoY >97% Stable YoY Assets under Invested LTM Customer Administration Customers Revenue Retention Rate Dec 2022 Dec 2
Slide 6: £700bn Core Target Market of Transferable Pensions
2 £700bn Core Target Market of Transferable Pensions is Underpinned by Structural Growth Drivers PensionBee’s Core Target Market Exceeds £700 billion(1) ● UK is the second largest Defined Contribution pensions market in the world, after the US(2) +62%(3) ● > £1 trillion Market Opportunity (UK Define
Slide 7: National Awareness and Market Prominence Grows
2 National Awareness and Market Prominence Grows The national awareness of pensions is growing, Transfers and contributions continue to Future trends are supportive of our market demonstrated by Google search volumes(1) grow whilst withdrawals decrease opportunity The proportion of working age peopl
Slide 8: Household Brand Status Drives Reduction in Cost per Invested Customer
3 Household Brand Status and Data-Led Approach Drives Reduction in Cost per Invested Customer over 2022 Cumulative £45 million investment has Cumulative CPIC has remained stable, (1) enabled growth in customer base PensionBee: now a household brand name while in-period CPIC is declining(2) A Consume
Slide 9: Scalable Technology Platform Underpins Sustainable Competitive Advantage
4 Scalable Technology Platform Underpins Sustainable Competitive Advantage Scalable Technology Platform Decade Long Investment in Customised Technology Generating Operational Leverage Invested Customers per Staff Member Multi-Device Consolidation Paper Processing Customer Experience Trading & Propri
Slide 10: Ongoing Delivery Against our Strategic Pillars (1/2)
5 Ongoing Delivery Against our Strategic Pillars (1/2) ●A Efficient investment in customer acquisition and Ongoing focus in reaching the mass market through efficient distribution brand awareness - Focus on cost-effective brand channels that reduce CPIC PensionBee Customers’ Age Distribution(1) over
Slide 11: Ongoing Delivery Against our Strategic Pillars (2/2)
5 Ongoing Delivery Against our Strategic Pillars (2/2) High Customer Retention Rate(1) ●C Continued investment in and development of an industry leading technology platform - Ongoing investment in automation and pension transfer efficiency improvements to support 1 million Invested Customers objecti
Slide 12: 2 Financial Update
2 Financial Update www.pensionbee.com 12
Slide 13: Finance Overview
Finance Overview ● 1 Scalable long-term business model addressing the vast, structurally growing and underserved transferable pensions market ● 2 High customer retention rate of 97%, coupled with mid-career customer base in pension accumulation phase, leads to compounding AUA which drives recurring
Slide 14: Scalable Long-Term Business Model
1 Scalable Long-Term Business Model Proven Customer Acquisition £700bn Core Target Market of Transferable 1. Large and Structurally Growing TAM 1 Pensions(1) 2. 2 Strong Brand Awareness Coupled with Data-Driven Acquisition Strategy Proven Customer Acquisition Simple, Focused Customer Solution 1. 1 L
Slide 15: Compounding AUA Drives Recurring Revenue
2 Compounding AUA Drives Recurring Revenue AUA Underpinned by New Customers and Existing Cohorts (£m) Strong 2022 Net Flows(1) (£m) Quality of AUA Across the portfolio as of Dec-22 Avg. Pension Pot Size: £17k 3,025 Cumulative Market Impact +£863 £3,450 Customer Retention Rate: 97.3% Cumulative Net F
Slide 16: Scalable Technology Platform generates Operating Leverage
3 Scalable Technology Platform generates Operating Leverage For the Financial Year YoY KPI & Financials Drivers (FY21 to FY22) FY20 FY21 FY22 Drivers of AUA and embedded growth include (i) efficient customer acquisition driven by strong brand awareness Assets under Administration £1,358m £2,587m £3,
Slide 17: Balance Sheet & Capital Position
4 Balance Sheet & Capital Position For the Financial Year Balance Sheet & Comment Capital Position FY21 FY22 Balance Sheet Net Cash Position £44m £21m PensionBee has a strong cash position of £21m as of Dec-2022 (£m) Capital Resources £32m £20m PensionBee is a capital light business. The operating s
Slide 18: Guidance Framework
5 Guidance Framework Objective Long Term (5 years+) Short to Medium Term (next 5 years) ● Having achieved household brand name status, continue ● Pursuing a c.2% market share of the substantial £700bn UK appealing to the mass market and competing to acquire more transferable pensions market(3) pensi
Slide 19: 3 Conclusion
3 Conclusion www.pensionbee.com 19
Slide 20: Key Investment Highlights
Key Investment Highlights ● 1 A Leading Online Pension Provider: Solving Genuine Problems for Consumers ● 2 £700bn Core Target Market of Transferable Pensions Presents Mass Market Opportunity ● 3 Household Brand Name Supports Effective, Data-led Marketing Strategy to Acquire Customers ● 4 Scalable T
Slide 21: Further Updates
Further Updates ● Thursday 13 April 2023: Publication of FY2022 Annual Report & Financial Statements ● Thursday 20 April 2023: Q1 2023 Trading Update ● Thursday 18 May 2023: Annual General Meeting www.pensionbee.com 21
Slide 22: FY 2022 Highlights
FY 2022 Highlights KPIs As at Period End Financials(1) Over the 12-month Period Ending Dec-2020 Dec-2021 Dec-2022 YoY Dec-2020 Dec-2021 Dec-2022 YoY AUA (£m) 1,358 2,587 3,025 17% Revenue (£m) 6 13 18 38% Annual Run Rate (ARR) (£m) 9 16 20 20% AUA Retention Rate (% of AUA) 96% 96% 97% Stable Revenue
Slide 23: 4 Appendix
4 Appendix www.pensionbee.com 23
Slide 24: Glossary (1/2)
Glossary (1/2) Active Customers (AC) Active Customers (AC) means all customers who have requested to become an Invested Customer by accepting PensionBee’s terms of business but for whom the transfer or contribution process is not yet completed and all customers who are classified as Invested Custome
Slide 25: Glossary (2/2)
Glossary (2/2) Net Flows Net Flows measures the cumulative inflow of PensionBee AUA from consolidation and contribution (‘Gross Inflows’), less the outflows from withdrawals and transfers out (‘Gross Outflows’) over the relevant period. Profit/(Loss) before Tax Profit/(Loss) before Tax is a measure
Slide 26: Attractive Unit Economics
Attractive Unit Economics Illustrative Unit Economics Demonstrates Strong Return Profile ✔ Methodological data driven approach to LTV/CAC customer acquisition ✔ Attractive LTV/CAC Asset Driven Lifetime Revenue ▪ Scalable technology platform ▪ Low cost to serve customers ✔ Attractive Payback Compelli
Slide 27: Disclaimer
Disclaimer The information contained in this presentation has not been independently verified and no representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in it.