Rent.com.au Ltd · ASX:RNT
Rent.com.au — FY2022 Earnings Presentation
25 slides from Rent.com.au's earnings presentation, Aug 29, 2022
Slide 1: FY22 Full Year Results
FY22 FULL YEAR RESULTS 29 AUGUST 2022 ASX: RNT
Slide 2: Summary
SUMMARY • Record full-year revenue, up 9% on prior comparative period • Second consecutive year of positive EBITDA for Search business • RentPay experience and customer proposition significantly enhanced • Ready to tackle 2.5m household addressable market • New strategic partnership with Origin to d
Slide 3: We exist to make renting rewarding
WE EXIST TO MAKE RENTING REWARDING Renting is at the centre of a huge cultural shift in how Australians live their lives, yet it is a segment without a champion. We believe Australia’s renters deserve better, so we’re determined to be the champion they need. 3
Slide 4: Improving the entire renting journey
IMPROVING THE ENTIRE RENTING JOURNEY 6 weeks 30 months SEARCH PHASE TENANCY PHASE Looking Applying Moving Living Ownership WIDE RANGE OF PROPERTY MORE THAN 1.4 MILLION CLEVER SOLUTIONS FOR MAKING RENT MONEY WORK LISTINGS NATIONWIDE – RENTER RESUMES CREATED – RENTER PAIN POINTS – FOR RENTERS – unique
Slide 5: Building our community
BUILDING OUR COMMUNITY We have built Australia’s largest dedicated renting # 1 app store Top rated real estate app (Apple & Google) community, providing properties, process and advice to thousands of people every day ~ 700 thousand Average monthly unique visitors 1.4 million Renter Resumes have been
Slide 6: Core business consistently profitable
CORE BUSINESS CONSISTENTLY PROFITABLE EBITDA FROM SEARCH† $220k $117k • Record ‘Search’ revenue, up 10% on prior year • Adoption rates of ‘Search’ products have improved year over year, helping renters stand out in a tight market -$772k • Advertising Revenue growth driven by home builder segment and
Slide 7: Now we tackle tenancy with RentPay
NOW WE TACKLE TENANCY WITH RENTPAY The tenancy period provides a x20 greater addressable market in terms of value, duration and people • Provides a recurring (annuity) style income stream • Longer period to engage with our customer • Opens up a new range of product and service opportunities RENTING
Slide 8: Payment flexibility and choice
PAYMENT FLEXIBILITY AND CHOICE PAYMENT METHODS PAYMENT TIMING Example: I am paid weekly, but rent is due fortnightly Standard Current Paid to agent using Example: I am paid weekly, but rent is due monthly Instant agent’s preferred payment method Example: I am paid monthly, but rent is due weekly Pla
Slide 9: Building status and recognition
BUILDING STATUS AND RECOGNITION Most popular feature 2% of people have used, Average wallet buffer ~70% adoption rate average balance $201 of $500 9
Slide 10: Bill smoothing with Origin
BILL SMOOTHING WITH ORIGIN The first of our “harness the power of renting” products 1. Renters are already great at making regular payments (their rent) 2. Bundling in extra $ towards your Origin account is as easy as a few clicks 3. Credits straight back to your wallet each payment cycle Delivers r
Slide 11: Making rent money work harder
MAKING RENT MONEY WORK HARDER Electricity & Gas Rewards Mortgages Savings We will continue to harness the collective power that renters have and deliver incremental value to them for doing what they must do anyway – pay rent. Strategic partnership with Origin Energy, expected to be ‘live’ from Q2
Slide 12: Progressing the roll out
PROGRESSING THE ROLL OUT ACTIVE RENTPAY CUSTOMERS 3,007 Significant efforts over the last 12 months to optimise RentPay, the new Bill Smoothing feature to be the catalyst to commence marketing • Currently more than $1.25 million of rent paid per week 1,526 • Intuitive new onboarding flow has deliver
Slide 13: Significant addressable market
SIGNIFICANT ADDRESSABLE MARKET POTENTIAL ANNUAL RENTPAY REVENUES (VARIOUS ARPU’S & MARKET SHARES†) The size of the opportunity with RentPay is immense, $36 million we have materially changed both the functionality and the customer value proposition of the product • Recurring / annuity streams – comp
Slide 14: Financial results
rent.com.au — oF — |] =e na GE
Slide 15: Financial results – Revenue
FINANCIAL RESULTS – REVENUE RNT GROUP REVENUE $3,370k $3,094k $2,453k • Strong record of continuous revenue growth $2,164k • Growth despite challenging economy in 2H FY22 • RentPay to contribute more meaningfully in FY23 • New Origin backed products expected to launch Q2 FY23 FY19 FY20 FY21 FY22 15
Slide 16: Financial results – Advertising Sales
FINANCIAL RESULTS – ADVERTISING SALES ADVERTISING SALES $1,625k $1,263k • 3rd successive year of >25% year over year growth $986k • Largely driven by property developers, softening in 2H FY22 $781k • Promising new partnerships in telco and ‘build to rent’ • Additional Sydney-based sales staff to dri
Slide 17: Financial results – Renter Products
FINANCIAL RESULTS – RENTER PRODUCTS RENTER PRODUCTS Applying Moving • Tight rental market, 29%† less property listings vs pre-COVID $839k $669k • Higher demand for RentCheck to help application stand out as rental property average ‘time on market’ falls $576k $532k • Less demand for moving products
Slide 18: Financial results – EBITDA
FINANCIAL RESULTS – EBITDA RNT GROUP EBITDA BY PLATFORM Rent.com.au RentPay $220k $117k • Continued improvement in “Search” EBITDA driven by revenue increases and disciplined cost management ($772k) ($807k) • The significant opportunity that RentPay presents warrants the investment ($1,821k) ($361k)
Slide 19: Outlook
on rent.com.au OUTLOOK .
Slide 20: Outlook
OUTLOOK • Record revenue for FY22 provides momentum moving forward • RentPay expected to provide a meaningful revenue contribution in FY23 • Market to remain challenging for renters over the next 12 months, we’re working with industry to ease pressure where we can e.g. “build to rent” • New branding
Slide 21: Corporate Information
CORPORATE INFORMATION
Slide 22: Corporate Information
CORPORATE INFORMATION Ordinary Shares Top shareholders % Share price (23 August 2022 close) $0.040 Bevan Slattery (HNW – holder since 2021) 9.8% Ordinary Shares on issue 440,691,998 Jason Carroll (HNW – holder since 2016) 5.4% MARKET CAPITALISATION $17.6m Greg Bader (CEO – holder since 2016) 4.6% Ca
Slide 23: Seasoned Board
SEASONED BOARD GARRY GARSIDE NON-EXECUTIVE CHAIRMAN Experienced property developer and investor Founded Prime Health Group before merging it with Westpoint Healthcare to form Endeavour Healthcare MBA (University of WA) SAM MCDONAGH NON-EXECUTIVE DIRECTOR 20+ years experience in senior manage
Slide 24: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM GREG BADER CHIEF EXECUTIVE OFFICER 20+ years proven success as a senior executive in rapidly growing technology businesses Former senior executive at iiNet, Chief Technology Officer and then Chief Business Officer MSc/MBA (Murdoch University) JAN FERREIRA CHIEF OPER
Slide 25: Thank You
THANK YOU Contact: investors@rent.com.au 08 6145 2609