Mastercard Incorporated · NYSE:MA
Mastercard — CLSA Investors' Forum 2013
13 slides from Mastercard's conference presentation, September 2013
Slide 1: MasterCard Incorporated
Ann Cairns President, International Markets September 2013 MasterCard Incorporated CLSA Investors’ Forum 2013 Hong Kong ©2013 MasterCard. Proprietary
Slide 2: Safe Harbor Language Regarding Forward-Looking Statements
Safe Harbor Language Regarding Forward-Looking Statements 2 Statements in this presentation that are not reported financial results or other historical information are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statem
Slide 3: Executing on Our Strategy
Executing on Our Strategy Page 3 Personal Consumption Expenditure Cash & Check vs. Electronic Payments “Grow the Pie” MA Share of Electronic Payments “Grow Share” Grow the Pie Grow Share • New consumers, new merchants • Differentiated products • New payment flows • Processing • Cash conversion Conve
Slide 4: Capitalizing on Two Megatrends
Capitalizing on Two Megatrends All Markets, All Segments Page 4 Conversion of Cash to 85% of the world’s transactions Electronic Payments are cash & check • Aligned with government goals • Consumer and merchant extension huge Convergence of 66% of the world’s adults Physical and Digital connected by
Slide 5: Growing Share and Growing the Pie
Growing Share and Growing the Pie Page 5 GROW DIVERSIFY BUILD Core Businesses Customers and New, High-Growth Faster than Market Geographies Scalable Businesses • Consumer Credit • Governments • Convergence of physical and digital • Debit • Merchants • Advisors and • Commercial • Unbanked and Informa
Slide 6: Grow Share
Grow Share Differentiated Value to Broader Set of Stakeholders Driving Results Page 6 Consumers Merchants Governments & NGOs • Tailoring value • New merchant value • Expanding reach propositions propositions • Driving financial inclusion • Increasing consumer • Targeting • Driving efficiency engagem
Slide 7: Grow Share: Expanding Processing Capabilities
Grow Share Expanding Processing Capabilities Page 7 Acquirer MasterCard Issuer Network POI Acquiring Switch Issuing (Merchant / ATM) Processor Processor Expand Acquirer Processing Expand Issuer Processing MiGS IPS SPS Access DataCash ECS ECS Trevica Trevica Touch more transactions; beyond traditiona
Slide 8: Grow the Pie: New Consumers & New Merchants
Grow the Pie New Consumers & New Merchants Page 8 The Next 500 Million 100 Million Consumers Merchants • Unbanked and underbanked • New small merchants • Market organizing • Underpenetrated categories – Source of funds • Acquirers & non-traditional – Storage of funds partners – Use of funds • Scale
Slide 9: Regional Markets Overview
Regional Markets Overview Page 9 GDV Growth 1H 2013 (Local Currency) Europe North America GDV 13% GDV 5% APMEA Latin America GDV 21% GDV 16% ©2013 MasterCard. September 2013 Proprietary
Slide 10: Long-Term Revenue Growth
Long-Term Revenue Growth Page 10 2011-2016E CAGR (in %) Strategic Low-Mid Secular (1%) Investments Teens 9-11% Growth Adj. for 8-10% 4-6% Available Market 5% Global Industry MA Market MasterCard PCE Purchase Volume Opportunity Long-Term Revenue Source: EIU, Euromonitor and internal estimates ©2013 M
Slide 11: Longer-Term 2013 – 2015 Performance Objectives
Longer-Term 2013 – 2015 Performance Objectives* Page 11 Net Revenue 11-14% CAGR Growth Operating Minimum 50% annually Margin Earnings Per Share At least 20% CAGR Growth Rate * On a constant currency basis and excluding future acquisitions ©2013 MasterCard. September 2013 Proprietary
Slide 12: Some Concluding Thoughts
Some Concluding Thoughts Page 12 Strategy efforts paying off; focus on scaling Cash converting to electronic is an enormous opportunity; get at it faster Opportunity in convergence of physical and digital is big; we are aligned, investing and determined Don’t take eye off the basics; deliver the cor
Slide 13: ©2013 MasterCard. Proprietary
©2013 MasterCard. Proprietary