Prime Financial Group Limited · ASX:PFG
Prime Financial — Shareholder Meeting (October 2007)
19 slides from Prime Financial's shareholder meeting presentation, Oct 26, 2007
Slide 1: Chairman’s Address – 2007 AGM
ACN 009 487 674 Level 16, 90 Collins Street Melbourne VIC 3000 Tel 03 9827 6999 26 October 2007 Fax 03 9827 9100 www.primefinancial.com.au Chairman’s Address – 2007 AGM The Directors are pleased to report that Prime Financial Group Ltd (“Prime”) has had an excellent year exceeding forecast earnings
Slide 2: Company Overview – Annual General Meeting 26 October 2007
Company Overview Annual General Meeting – 26 October 2007 financial advice funds management corporate advisory finance
Slide 3: Today’s presentation
today’s presentation Prime overview Financial highlights for 2007 Investments & operations Co- Co-investment acquisition model (50/50 equity ownership) ‘Integrated financial advice’ offering for clients Organic growth & distribution Funds management manufacturing capabilities Prime opportunities Loo
Slide 4: Prime overview
prime overview Merger of AVFM Ltd and Prime Development Fund Ltd (1 January 2007) created Prime Financial Group Ltd (PFG) A national diversified financial services & advisory group operating across Financial Advice, Funds Management, Corporate Advisory and Finance
Slide 5: Prime overview
prime overview Prime’s operations extend to five states and capital cities throughout Australia including Melbourne, Melbourne, Sydney, Brisbane, Brisbane, Perth and Hobart
Slide 6: Record profit & sustained strong growth
record profit & sustained strong growth Prime’s performance exceeded expectations with a 169% increase in net profit after tax from the previous year up to $5,118,484 from $1,904,265 Net Profit After Tax Basic Earnings Per Share Dividend Per Share $5.12M 4.7 cents per share 2.3 cents per share
Slide 7: Financial information
financial information Financials (historical = 2005, 2006 & 2007) 2005 2006 2007 % Increase Earnings before interest & tax (EBIT) ($M) 0.60 2.51 7.49 199% Net profit after tax ($M) 0.57 1.90 5.12 169% Dividend paid ($M) 0.39 1.27 3.11 145% Basic earnings (cents per share) 1.5 2.4 4.7 96% Diluted ear
Slide 8: Profit summary
profit summary Profit contribution by Service Line % of Prime's Profit Share 70% 60% 50% 40% 30% 64% 20% 10% 23% 12% 0% 1% Financial Planning Funds Management Accounting Services Corporate Advisory
Slide 9: Investments & operations
investments & operations Prime currently has investments in 44 financial services & advisory businesses nationally, nationally combining over 200 staff and 31 financial advisers Funds under advice exceed $3b Diversified revenue streams across financial advice, funds management, corporate advisory an
Slide 10: Successful co-investment model
successful co- co-investment model Financial services distribution model (co- (co-investment) Invest in existing financial planning businesses (up to 50% equity) assisting these businesses to grow by acquisition or service expansion Provide financial planning services to accounting firm clients (50/
Slide 11: Integrated financial advice
integrated financial advice Financial Planning Investment Advice inc. Direct Equities Prime can provide integrated financial Wealth Protection & Life Insurance advice, products and services for our SMSF & Superannuation Advice clients’ individual, business and investment needs Estate Planning & Asse
Slide 12: Financial advice
financial advice Prime’s financial planning service is the main contributor to the group’s earnings (64%) Strong growth is expected to continue due to: Scalable referral systems in place to drive organic growth across the Group Historic organic growth from existing investees Continued superannuation
Slide 13: Strong organic growth
strong organic growth Ownership in distribution Cross- Cross-referral opportunities via complimentary products & services Access to an additional client base through Prime’s Provision of additional products & distribution network Existing services to existing clients, inc. 3,500 (revenue growth driv
Slide 14: Effective distribution model
effective distribution model One of Prime’s key competitive advantages is ownership in both distribution and product providers The ability to cross sell products & services to clients allows Prime to keep a larger percentage of the margin in-in-house, house, providing protection against margin compr
Slide 15: Funds management
funds management Armytage Private Ltd (APL) focuses on 3 main asset classes: • Over 90% of the operations focus Australian Equities • Highly successful 2007 financial year for the new pooled fund with an annual return to unit holders of 34.89%, inclusive of 8.91 cent distribution per unit • CERES Co
Slide 16: Corporate advisory
corporate advisory Future growth area for Prime New and increased opportunities to flow from the merged Group’s network Access to a number of clients requiring succession, acquisition/growth and divestment opportunities and advice Will also build on our already successful ‘integrated financial advic
Slide 17: Prime opportunities
prime opportunities Increased funds under advice from distribution - Growing asset based income streams Providing complimentary products & services to clients (no additional overhead) - Financial planning advice - Funds management products - Direct equities service - Corporate advisory services Sign
Slide 18: Looking forward
looking forward A focused strategy... Continue to establish, establish grow and invest in businesses within the financial services and advisory sector, sector firmly aligning the interests of Prime and investee company shareholders 2008 guidance First quarter earnings are in- in-line with budgets An
Slide 19: Contact
contact Simon Madder Managing Director / CEO Prime Financial Group Ltd Level 16, 90 Collins Street Melbourne VIC 3000 Level 17, Como Office Tower 644 Chapel Street South Yarra VIC 3141 Tel 03 9827 6999 Fax 03 9827 9100 simonm@primefinancial.com.au
Prime Financial Group — Shareholder Meeting (October 2007) on 6ix