Raiz Invest Ltd. · ASX:RZI
Raiz Invest — FY2020 Earnings Presentation
27 slides from Raiz Invest's earnings presentation, Aug 26, 2020
Slide 1: FY'20 Investor Presentation
For personal use only A mobile-led financial services platform FY’20 Investor Presentation 26 August 2020 Raiz Invest Limited Level 11, 2 Bulletin Place, Sydney NSW 2000
Slide 2: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 2
Slide 3: The Raiz Platform
The Raiz Platform Raiz Invest – a diversified financial services solution For personal use only Raiz Invest Micro investment platform licensed and operating Raiz Invest Raiz Super Raiz Rewards in three countries: ▪ Australia ▪ Indonesia ▪ Malaysia Raiz Super Invest superannuation on the Raiz Platfor
Slide 4: FY'20 Highlights
FY’20 Highlights For personal use only Highlights Continued customer and revenue growth despite challenging conditions due to COVID pandemic 223,730 $453.6m $8.2m $38.2 Completed $7.5m capital raising to +15.1%¹ +30.6%¹ +100.1%¹ +71.4%¹ accelerate growth, including strategic Indonesian investor Acti
Slide 5: Raiz business model is a function of active customers on the platform
Raiz business model is a function of active customers on the platform Active Customers in Australia grew by 15.1% on PCP, average revenue per customer grew by 71.4% on PCP For personal use only Active Users 300,000 $45 Average Revenue Per User Average Active Accounts Ave. Revenue Per User (Full-year
Slide 6: Solid revenue growth from increasingly diverse base
Solid revenue growth from increasingly diverse base Raiz delivered 100.1% growth in micro investment platform revenue, driven by increases in active customers and fees per customer For personal use only $10.0 Revenue ($m) $8.0 7% 13% $6.0 15% $4.0 65% $2.0 $0.0 FY'16 FY'17 FY'18 FY'19 FY'20 Maintena
Slide 7: Portfolio returns
Portfolio returns Raiz Australia achieved solid returns across all portfolios, outperforming the Chant West Benchmark For personal use only 1 Year Performance 2 Year Performance FY’20 Chant West Raiz Portfolio Chant West Raiz Portfolio Benchmark Benchmark (p.a.) (p.a.) (p.a.) (p.a.) Conservative 1.4
Slide 8: Profit & Loss
Profit & Loss To be read in conjunction with the Raiz Invest Limited (and controlled entities) Financial Report for the year end 30 June 2020 For personal use only The consolidated loss attributable to owners of the parent entity after adding back items such as the cost of the employee share options
Slide 9: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 9
Slide 10: Execution of consistent and clearly defined strategy
Execution of consistent and clearly defined strategy For personal use only Australian Growth Strategy 1 Grow active customers Launched Well Progressed 2 Grow revenue per customer through products and services Pipeline 3 New product & services to improve customer engagement Malaysia (23 August 2020)
Slide 11: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 11
Slide 12: Australian Micro investing platform growth
Australian Micro investing platform growth Invest spare change, with $5 minimums, no trade commissions For personal use only Average Account Balance $2,000 Continued growth in average account balances to $1,725 $1,725 (2019: $1,544) despite market uncertainty created by COVID $1,000 FUM increased by
Slide 13: Raiz Super has grown rapidly in months
Raiz Super has grown rapidly in 24 months For personal use only Since launching in July 2018, Raiz Invest Super FUM has grown to $70 million The COVID19 Early Release of super saw Total Superannuation FUM ($m) $7.2m withdrawn $100 Customers can contribute to Raiz Super via the Raiz App $70.0m ▪ SG c
Slide 14: Raiz Rewards
Raiz Rewards For personal use only Fashion & Skincare & Food & Accessories Cosmetics Beverage Currently, the Raiz Rewards program has 228 partners Furniture, Homewares Travel & Appliances Technology & Personal & Other Electronics Recreation 14
Slide 15: Raiz Rewards: Momentum accelerating on continued platform enhancement
Raiz Rewards Momentum accelerating on continued platform enhancement For personal use only Raiz now has 228 established partnerships that fund either a Raiz Rewards is a loyalty program allowing users to generate percentage or fixed dollar cashback on purchases cash invested into their Raiz Accounts
Slide 16: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 16
Slide 17: Raiz Invest Indonesia
Raiz Invest Indonesia Focus on user sign ups to accelerate growth For personal use only Over 30,000 active customers as at 23 August 2020 Due to different culture and level of wealth Raiz has successfully introduced a Rp. 3,000 (AU$0.30) deposit transaction fee in Indonesia 112k+ 30k+ 25k+ Raiz make
Slide 18: Raiz Invest Malaysia
Raiz Invest Malaysia Focus on Maybank customers before opening to wider population to accelerate growth For personal use only The Joint Venture Agreement (JVA) with Malaysia partner Jewel Digital Ventures Sdn Bhd (PNB), completed with $2.4 million invested into Malaysian JVA by PNB PNB is one of Mal
Slide 19: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 19
Slide 20: FY'21 Focus Areas
FY’21 Focus Areas For personal use only Raiz will focus on growing the domestic business and executing the Asian growth strategy Continue to grow the business in all geographies and maintain a disciplined focus on costs Focused on driving customer growth in core Australian market and additional Sout
Slide 21: Raiz Invest – Key investment highlights
Raiz Invest – Key investment highlights Focusing on delivering financial services and products via mobiles For personal use only Executed the strategy to provide a highly engaged and rapidly growing customer base with opportunity to cross ✔ promote new products, as well as grow revenue in Australia
Slide 22: Agenda
Agenda For personal use only 1 Raiz Overview & FY’20 Highlights 3 2 Strategy 10 3 Raiz Invest Australia 12 4 Asia Expansion 17 5 FY’21 Outlook 20 6 Appendix 23 22
Slide 23: Raiz – Market Stats
Raiz – Market Stats For personal use only $1.20 Volume Share Price 1.0 Top Shareholders¹ Shares (%) Share Price ($) Volume (m) 1 George Lucas & Related Entities 6.8m 9.0% 2 Acorns Grow Incorporated 5.2m 6.9% 3 HSBC Custody Nominees 4.9m 6.5% $0.60 0.5 4 Salter Brothers 3.5m 4.7% 5 Peter Anthony Fay
Slide 24: Statement of Cashflows
Statement of Cashflows To be read in conjunction with the Raiz Invest Limited (and controlled entities) Financial Report for the year end 30 June 2020 For personal use only $m (extract) FY'19 FY'20 Receipts from customers 7,307 10,626 Australian business continues to be cash flow positive Payments t
Slide 25: Statement of Financial Position
Statement of Financial Position To be read in conjunction with the Raiz Invest Limited (and controlled entities) Financial Report for the year end 30 June 2020 For personal use only $m (extract) FY'19 FY'20 Comments Assets 50bps of FUM required to be held for regulatory capital as well as regulatory
Slide 26: Important Information
Important Information Important notice and disclaimer (Important Notice) This presentation has been prepared by Raiz Invest Limited (ACN 615 510 177) (RAIZ). References in this presentation to RAIZ include its group of companies and trusts. For personal use only In consideration for being given acce
Slide 27: For personal use only
Australia Indonesia Malaysia For personal use only www.raizinvest.com.au Investor and Media Enquiries: Brendan Malone ir@raizinvest.com.au Market announcement authorised for release by George Lucas, MD/CEO