Moneyme Ltd. · ASX:MME
Moneyme — H1 FY2021 Earnings Presentation
33 slides from Moneyme's earnings presentation, Feb 24, 2021
Slide 1: 1H FY21 Results Presentation
1H FY21 Results Presentation 24 FEBRUARY 2021 moneyme.com.au This presentation is authorised for release on ASX by the Board of MoneyMe Limited
Slide 2: 1H FY21 performance highlights
1H FY21 performance highlights 1 High profitable robust growth ↑32% ↑12% $5.3m Receivables growth Revenue growth Underlying PBT Record gross customer receivables of $167.5m Revenue of $23.9m in 1H FY21 from $21.3m Track record of profitable growth while from record originations growth to $114.3m. in
Slide 3: The MoneyMe difference
The MoneyMe difference Page 3 1H FY21 highlights Page 7 Strategy & outlook Page 21 Appendix Page 24 Page 2
Slide 4: To be the choice for Generation Now
OUR MISSION To be the choice for Generation Now Page 3
Slide 5: The MoneyMe difference
The MoneyMe difference MoneyMe is a leading player in the digital credit business delivering highly automated innovative products and customer experiences Large addressable Strong track record of Attractive unit Robust credit book market through product high receivables growth economics benefitting
Slide 6: Artificial intelligence driving automated decisioning
Artificial intelligence driving automated decisioning 1,000,000+ Website users 92% Payment automation 1,500,000+ 35% Customers with 2+ products mobile app user sessions >80% Mobile app available Calls answered for iOS and Android in 8 seconds $600m+ $8,200 Funding origination since inception Average
Slide 7: 1H FY21 highlights
The MoneyMe difference Page 3 1H FY21 highlights Page 7 Strategy & outlook Page 21 Appendix Page 24 Page 6
Slide 8: Financial highlights
Financial highlights 1 Record receivables, profitable returns, sound credit & book quality Originations ($m) Gross customer receivables ($m) Revenue ($m) 167.5 23.9 114.3 94.7 21.3 126.8 20.8% 32.1% 12.3% 1H FY20 1H FY21 1H FY20 1H FY21 1H FY20 1H FY21 Core operating costs to Provisioning (%) 1H FY2
Slide 9: Receivables growth
Receivables growth Gross receivables by product ($m) Originations ($m) 114.3 1H FY21 $167.5m 94.7 Originations of $114m up 21% on 1H FY20. FY20 $133.6m MME+ 6% Customer receivables of $168m up 32% on 1H FY20 ListReady & $126.8m RentReady 1H FY20. 3% 1H FY20 1H FY21 ListReady 2% 9% of customer receiv
Slide 10: Stronger unit economics
Stronger unit economics 1,800 1H FY21 loan unit economics 5 Lifetime value drivers 1,600 Other income Higher operating 1,400 4 leverage Net Interest income 736 contribution Average net contribution is $736. 1,200 3 Lower 1,000 future losses Key changes: 800 Loan impairment 2 • Better prices for cust
Slide 11: Robust credit book quality
Robust credit book quality Net charge off (%) Provisioning (%) 8.1% 10.4% 6.6% 9.6% 4.7% 7.9% Charge off ratios continue to reduce in line with book transition to greater proportion of higher quality assets. FY19 FY20 1H FY21 FY19 FY20 1H FY21 Average asset book Equifax score has also increased, ref
Slide 12: Profitable returns
Profitable returns 1H FY21 profit ($m) 5.3 Total revenue ($m) 23.9 21.3 Profitable growth delivered while 1.3 maintaining significant investment to support product innovation, exceptional technology platform-driven customer Underlying PBT NPAT 1H FY20 1H FY21 experiences and operational efficiencies
Slide 13: Product & innovation highlights
Product & innovation highlights MoneyMe’s product innovation and diversification are unlocking the path to accelerated growth JUL 2020 16.99% interest rate $500M AUG 2020 On Ticker TV’s Property news show origination milestone Product launch #4 Lower annual SEP and monthly fees OCT NPP instant payme
Slide 14: Personal loans: up to $50,000
5-minute application with high powered tech to decision customers quickly Customer receivables Represents $91m 54% of customer receivables Average loan value 1 Low interest rate from $7,400 6.25% Product offer Up to $50,000 1. Based on 1H FY21 originations Page 13
Slide 15: Freestyle: $62m customer receivables
$62m $4,300 75% Customer receivables Average outstanding Utilisation rate account balance Increasing product range – now up to $20,000 First in market innovation Allows MoneyMe customers to pay any bank account in Australia Up to 55 days interest free directly using their Freestyle virtual credit ac
Slide 16: MoneyMe+ product features and key statistics
Product features Key statistics 6-60 month Launched Aug 2020 interest-free period 200+ retail partners signed up to-date $1,000 to $50,000 available finance range $15m+ principal originated Merchant fee $4,800 average credit limit driven by interest-free period Progress & outlook • Further growth in
Slide 17: ListReady and RentReady agencies and agents
$35,000 $11m+ Direct payments from agents to suppliers and Max service amount Originations to-date agency bank accounts Partnered with: 500+ 2,500+ agencies agents Page 16
Slide 18: Customer highlights
Customer highlights High customer satisfaction, operational service levels, and diversification >99% >80% Customers transacted on NPP Calls answered within 8 seconds >35% 92% Customers use MoneyMe for 2 or Customer payment automation more products 95% 10% Customers had a Good or Great Maximum sector
Slide 19: High customer satisfaction
High customer “The best thing about MoneyMe:” 2 satisfaction 74 NPS 1 Consistently high market leading customer satisfaction with 74 NPS and strong ratings, reflecting high automation and target focus on customer outcomes. Everything is online and easily accessible. You have a real time of your acco
Slide 20: Customer diversification with low risk
Customer diversification Other Construction, Building & Architecture 10% with low risk Other 57% Logistics, Transport & NSW 10% 35% Supply 9% concentration WA Manufacturin 10% Geographical g, Trades & Spread Employment Service QLD VIC Spread 8% 22% 23% The business continues to attract a Medical & H
Slide 21: Strategy & outlook
The MoneyMe difference Page 3 1H FY21 highlights Page 7 Strategy & outlook Page 21 Appendix Page 24 Page 20
Slide 22: Strategic outlook
Strategic outlook Accelerating returns through innovation, scale and technology for Generation Now Accelerating Returns MoneyMe’s advantages ListReady RentReady Product diversification Credit Card • Cross-category suite of products that open up the addressable market MoneyMe+ BNPL Product innovation
Slide 23: Questions
Questions Page 22
Slide 24: Appendix
The MoneyMe difference Page 3 1H FY21 highlights Page 7 Strategy & outlook Page 21 Appendix Page 24 Page 23
Slide 25: Key operating metrics
Key operating metrics FULL YEAR ACTUALS HALF YEAR ACTUALS FY19 FY20 $ millions / % Note A 1H FY20 1H FY21 Income 31.9 47.7 Total revenue ($m) 21.3 23.9 32.6% 49.5% Total revenue growth (%) 43.9% 12.3% 47.1% 43.1% Revenue yield (%) 1 39.8% 31.8% 0.1 (0.1) Statutory profit / (loss) before tax ($m) (1.
Slide 26: Metric definitions
Metric definitions Note Metric Definition 1 Revenue yield (%) Total revenue as a % of average gross customer receivables (annualised) 2 Pro forma profit before tax ($m) Statutory profit before tax adjusted per 2019 IPO prospectus. Refer to page 27 for further details. 3 Underlying profit before tax
Slide 27: Income statement
Income statement FULL YEAR ACTUALS HALF YEAR ACTUALS FY19 FY20 $ millions 1H FY20 1H FY21 27.5 43.0 Interest income 19.1 21.8 4.3 4.7 Other income 2.2 2.1 31.9 47.7 Total revenue 21.3 23.9 (8.5) (12.8) Interest expense (6.1) (5.5) (3.4) (5.0) Sales & marketing expense (2.4) (3.7) (1.6) (2.7) Product
Slide 28: Statutory to pro forma/underlying PBT
Statutory to pro forma/underlying PBT FULL YEAR ACTUALS HALF YEAR ACTUALS FY19 FY20 $ millions 1H FY20 1H FY21 0.1 (0.1) Statutory Profit Before Tax (PBT) (1.6) 0.2 (1.7) 2.2 IPO pro forma adjustments 1.6 - - - Unsolicited proposal review 1 - 0.9 - - Originations Stage 1 provisioning 2 - 4.2 (1.7) 2
Slide 29: Balance sheet
Balance sheet FULL YEAR ACTUALS HALF YEAR ACTUALS FY19 FY20 $ millions 1H FY20 1H FY21 6.1 35.4 Cash and cash equivalents 41.1 28.6 78.3 120.8 Net customer receivables 116.6 154.3 0.0 - Current tax asset - - 0.8 4.3 Deferred tax asset 9.2 5.4 0.8 2.2 Intangible assets 1.1 2.6 - 1.9 Right of use asse
Slide 30: Cash flow statement
Cash flow statement FULL YEAR ACTUALS HALF YEAR ACTUALS FY19 FY20 $ millions 1H FY20 1H FY21 31.8 47.1 Receipts from customers 21.3 19.8 (10.8) (16.1) Payments to suppliers and employees (10.0) (8.4) (7.3) (11.3) Net interest paid (5.5) (4.6) (0.0) (0.0) Income tax (paid) / received - (1.6) (1.0) (1
Slide 31: About MoneyMe
About MoneyMe MoneyMe is a leading player in the digital credit business with technology (Horizon Technology Platform) and AI to deliver highly automated innovative products and customer experiences. We originate through a diversified mix of credit products and distribution channels to create signif
Slide 32: Important Notices and Disclaimers
Important Notices and Disclaimers The information contained in this presentation has been prepared by MoneyMe Limited ACN 636 747 414 As a result, actual results or developments may differ materially from those expressed in the statements (Company). The information in this presentation does not purp
Slide 33: www.moneyme.com.au
moneyme Meh lic! bs ==)