Pioneer Credit Ltd · ASX:PNC
Pioneer Credit — FY2024 Earnings Presentation
18 slides from Pioneer Credit's earnings presentation, Jul 16, 2024
Slide 1: FY24 Pre-Results Roadshow Unaudited Cash Numbers
FY24 Pre-Results Roadshow Unaudited Cash Numbers July 2024
Slide 2: Important Notice: Disclaimer
Important Notice: Disclaimer This presentation has been prepared by Pioneer Credit Limited (“Pioneer” or the “Company”). Disclaimer: This presentation contains information about Pioneer’s activities current as at the date of the presentation and should not be considered to be comprehensive or to com
Slide 3: FY24 Highlights
FY24 Highlights
Slide 4: FY24 Highlights
FY24 Highlights • Cash Collections growth continues • EBITDA shows strong free cash generation to fund PDP investment and balance sheet deleveraging • PDP Investment in line with increased guidance and reflecting an improving supply for Pioneer • Senior refinance closed - to deliver immediate saving
Slide 5: About Pioneer
About Pioneer
Slide 6: About Pioneer
About Pioneer We buy impaired credit We partner with a range of leading financial • Pioneer is a debt recovery specialist that acquires and services retail institutions to purchase outstanding debt finance Purchased Debt Portfolios (“PDPs”) • PDPs are acquired from major banks, financial institution
Slide 7: Our Purpose, Principles and Vision
Our Purpose, Principles and Vision Our Purpose Our Principles Our Vision Act with purpose We want to be the first choice; We see people, and seek to understand ✓ If a customer has multiple debts, they choose to work with Pioneer ✓ When presented a choice, vendors Be human We do what’s right, not cho
Slide 8: Executive Management
Executive Management Keith John Sue Symmons Barry Hartnett Andrea Hoskins Managing Director Company Secretary Chief Financial Officer Chief Operating Officer • Founder of Pioneer • Over 30 years’ experience inc • 10 years at Pioneer across • Strategic and commercial • Over 30 years’ experience in at
Slide 9: Portfolio Opportunity
Portfolio Opportunity $2.0b of receivables; $441m performing portfolio, with an inventory opportunity of $1.6b TOTAL PORTFOLIO OPPORTUNITY Work in Progress (WIP) portfolio ($1.6b in receivables due) • Consists of customers we are working with to cure • Includes new to business customers just purchas
Slide 10: Customer Outcomes
Customer Outcomes Strong Net Promoter Score evidences our genuine care for our customers NPS MEASURING CUSTOMER EXPERIENCE DIFFERENTIATED APPROACH +19 (46) First Contact +13 New Payers +60 Ongoing Payers +35 Settled Payers Performance: Servicing model that drives engagement, payments and shareholder
Slide 11: PDP Investment
PDP Investment Best FY starting PDP investment under contract in 6 years; with opportunity to grow market share PDP INVESTMENT OVERVIEW PDP INVESTMENT & PRICE1 • Pioneer has invested $735m in PDPs across 738k accounts providing $150m extensive performance data for underwriting 20% o No payday loans
Slide 12: Pioneer's Growth Opportunities
Pioneer’s Growth Opportunities High barriers to entry and a changing landscape presenting opportunities to increase market share PIONEER MARKET POSITION PIONEER GROWTH OPPORTUNITIES Pioneer remains well-positioned in a highly concentrated Australian market Opportunistic performing portfolios: Acquir
Slide 13: Senior Refinance Closed
Senior Refinance Closed $8m annual finance savings with significant growth capital and 4-year tenor DEBT FUNDING FACILITY HIGHLIGHTS Senior Facility Terms Senior Facility Drawn Growth (Undrawn) Total • Facility size of $272.5m; drawn to $222.5m Syndicated Senior Facility $222.5m $50.0m $272.5m • Und
Slide 14: Alignment to Shareholders
Alignment to Shareholders Management is aligned to shareholders and long-term sustainable growth; no short-term incentives COMPANY OWNERSHIP Shareholdings # Shares % Holding Keith John 17.3m 13% Board and Management (exc. Keith John) 2.4m 2% Samuel Terry Asset Management Pty Ltd 20.9m 16% Mr James S
Slide 15: Strategy & Outlook
Strategy & Outlook
Slide 16: Strategy Blueprint
Strategy Blueprint FY25 Initiatives Theme Theme Overview Key Initiatives A. Optimise and grow Deliver a more compelling • Uplift customer portal customer outcomes customer proposition, • Further build out brand embedded in our operating awareness and trust model to drive greater engagement and conve
Slide 17: Positive FY25 Focus
Positive FY25 Focus Strong tailwinds for Cheaper funding Continued industry Realise operating Tested and experienced PDP opportunities with flexibility regulatory focus leverage Management • Near-term opportunities • $272.5m four-year syndicated • Continue to uplift risk • CRM replacement • Extensiv
Slide 18: Oionee
Oionee cer