Wisr Ltd. · ASX:WZR
Wisr — Macquarie Emerging Leaders Forum 2019
26 slides from Wisr's conference presentation, Nov 26, 2019
Slide 1: Macquarie Emerging Leaders Forum 2019
- + - + - + - + - + - + - + - + - - + - + - + - + - + - + - + - + - For personal use only + - + - + - + - + - + - + - + - + + - + - + - + - + - + - + - + - + - + - + - + - + - + - + -+ - + - WISR. + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + - + M
Slide 2: For personal use only
+ + + anthony@wisr.com.au For personal use only
Slide 3: Disclaimer
Disclaimer. For personal use only FINANCIAL INFORMATION IS DERIVED FROM THE PRELIMINARY FINAL REPORT RELEASED TO THE MARKET ON 30 AUGUST 2019. NO INVESTMENT ADVICE OR OFFER OF SHARES directors, officers, employees and agents give any warranty, representation This presentation does not constitute inv
Slide 4: One of Australia's most recognised Fintechs
One of Australia’s most recognised Fintechs. 24 NOMINATIONS AND 6 WINS IN THE PAST 12 MONTHS. For personal use only 54
Slide 5: Our vision is to bring financial wellness to all Australians
Our vision is to For personal use only bring financial wellness to all Australians. 3
Slide 6: Wisr is reinventing what a consumer lending company can be
Wisr is reinventing what a consumer lending company can be. For personal use only A Purpose-led company, which will be known for focusing on the financial wellness of Australians (we aim to own the financial 1 wellness space). A globally unique and innovative business model and ecosystem that redefi
Slide 7: Our core consumer lending product
Our core Consumer Lending market size: $110 billion product. For personal use only $31 BILLION Credit Card balances accruing interest $7 RISK BASED PRICING 0B PERSONAL LOANS $5,000 – $60,000 ILL 3, 5, 7 year loan terms IO N AVERAGE LOAN SIZE Circa $25,000 over 4 years $39 BILLION GROSS YIELD ON BOOK
Slide 8: There's never been a better time to build a purpose-led business
There’s never been a better time to build a purpose-led business in consumer finance. For personal use only Global trends. Local factors. USA UK Australia OPEN FINTECH ONLINE LENDING LAUNCHED 2006 2006 2014 BANKING MARKET SHARE AT YEAR 3 0.5% (2009) 0.5% 0.5% (2017) R O YA L COMMISSION Market Share
Slide 9: Expected applications for consumer credit
1.53M 1.36M Personal Loans Credit Cards For personal use only 4.4 million applications for consumer credit expected in the next six months. 374,000 1.15M Auto Loans Home Loans 10 Source: Equifax Credit Pulse 2019 (published August 2019)
Slide 10: A significant opportunity exists for Wisr
A Significant For personal use only opportunity exists for Wisr. 3M PERSONAL LOAN APPLICATIONS Approximately 3 million personal loan applications expected per annum. 0.22% (CURRENT WISR PENETRATION) Wisr personal loan applications in FY19 as a share of potential expected personal loan applications.
Slide 11: Using customer transaction data for better outcomes
Using customer transaction data for better outcomes. For personal use only • Keeps us ahead of regulatory changes • Reinforces our commitment to ethical, responsible lending • Automatically verify income and liabilities • Identify undisclosed liabilities • Faster verifications • Deeper understanding
Slide 12: Credit quality
Credit quality. 90+ day delinquencies (%). For personal use only SEP 18 DEC 18 MAR 19 JUN 19 SEP 19 1
Slide 13: Year on year loan origination growth
Year on year loan origination growth. For personal use only $80m $68.9m $60m $40m $18.1m $20m $3.6m 0 FY17 FY18 FY19 24
Slide 14: Building market leading unit economics
Building market leading unit economics. For personal use only FY17 Operating Revenue FY18 FY17 FY19 Loan Volume FY18 FY19 FY17 Marketing Expenses FY18 FY19 0 1,000 2,000 3,000 0 20,000 40,000 60,000 $’000 $’000 EFFICIENCY AND MARGIN IMPROVEMENT Wisr continued the efficient scaling of its core person
Slide 15: Business evolution
Business evolution. For personal use only PHASE 3: FY20+ “ S C A L I N G T H E C O M PA N Y ” • Diversify our funding structure to significantly P H A S E 2: FY19 increase margin.✔ “ C R EAT ING T HE NEO-LENDER • Launch the Wisr Secured Vehicle Finance product MO DEL” to increase total addressable m
Slide 16: Wisr Ecosystem highlights
Wisr Ecosystem highlights. For personal use only In Wisr delivered on the preliminary rollout of the Wisr Ecosystem, acquiring over 85,000 Australians into its channels in 2019. The Wisr Ecosystem includes the launch of a number of individually powerful, and collectively unique products aligned to f
Slide 17: The Wisr Ecosystem
For personal use only Ecosystem. The Wisr 19
Slide 18: Debt funding model
Debt funding model. For personal use only S I G N I F I C A N T LY I M P R O V I N G W I S R M A R G I N S , W I T H R O O M T O G R O W. FY16 TO FY17 - ORIGINS FY18 TO FY19 - WISR 1 .0 F Y 2 0 O N WA R D S - W I S R 2 . 0 • Peer to Peer model origins • Initial wholesale funding • Hybrid model inclu
Slide 19: For personal use only
For personal use only
Slide 20: FY20 update
FY20 update. For personal use only 1. Executed NAB partnership deal - will more than triple current margin for the Company 2. Surpassed $150 million in total loan originations 3. Successful launch of new lending product: secured vehicle finance generating first revenue in Q1FY20 4. Rollout of Smartg
Slide 21: Months for each $50m loans written
Months for each $50m $150m to date loans written. $132m $23.2m For personal use only $108.8m $21.9m Total loan originations (cumulative, to scale) Quarterly loan originations (number) $86.9m $18.8m $68.1m $16.9m $51.2m $11.9m $39.3m $7.9m $31.3m $26.5m $4.8m $21.2m $23.2m $3.3m $17.9m $18.6m $19.7m
Slide 22: Average daily settlements by quarter
Average daily settlements by quarter. For personal use only $500,000 $400,000 $300,000 $200,000 $100,000 $0 Q 1F Y 19 Q 2 F Y 19 Q 3 FY1 9 Q 4FY1 9 Q 1 FY20 Q 2FY20 TO DATE 1
Slide 23: Over 85,000 Australians entered the Wisr Ecosystem
Over 85,000 Australians entered the Wisr Ecosystem. WisrApp downloads WisrCredit Personal Loans For personal use only 60,000 40,000 20,000 0 30 Source: Wisr data August 2019
Slide 24: Our growth strategy
Our growth strategy. For personal use only SHORT TERM 1 • Continue to win in our competitive channels through superior tech, a strong brand, go-to-market strategy, customer experience, price point and capability of our highly-talented team – but continually monitor loan unit economics and not chase
Slide 25: Business momentum
Business momentum. For personal use only LOAN BOOK GROWTH DIVERSIFIED DEBT FUNDING • Proprietary end-to-end origination platform • NAB funding now live • Operational and marketing efficiency • Highly scalable • Ability to rollout new lending services • Hybrid model in FY20 to significantly improve •
Slide 26: Smarter, fairer, wisr
smarter, For personal use only fairer, wisr Australia’s first neo-lender 1