Nayax Ltd. · TASE:NYAX
Nayax — Q1 2023 Earnings Presentation
27 slides from Nayax's earnings presentation, May 10, 2023
Slide 1: Nayax Q1 Earnings Presentation
Nayax Q1 Earnings Presentation May 10, 2023
Slide 2: Important Disclosure
Important Disclosure This presentation is intended to provide general information only and is not, and should not be considered, as an offer to purchase or sell the Company’s securities, or a proposal to receive such offers. In addition, this presentation is not an offer to the public of the Company
Slide 3: Today's Speakers
Yair Nechmad CEO and Co-Founder Sagit Manor CFO Today’s Speakers 3
Slide 4: Company Overview
Company Overview
Slide 5: Our Vision and Mission
Our Vision and Mission OUR VISION OUR MISSION Redefining commerce to benefit communities around the world To simplify commerce and payments for retailers while driving growth, optimizing operations, and enhancing consumer engagement 5
Slide 6: Nayax (Nasdaq & TASE: NYAX) at a Glance
Nayax (Nasdaq & TASE: NYAX) at a Glance Growth 44% Q1.2023 recurring revenue(1) YoY growth 54% Q1.2023 customer YoY growth Global Offices in 9 countries and distributors in 46 markets Devices in 70+ countries Scale Q1 2023 410M transactions processed Mar. 2023: 769K/ Mar. 2022: 553K managed and co
Slide 7: Bringing a Global Solution to the Local Market
Bringing a Global Solution to the Local Market Low Customer Concentration Strong Track Record of Winning Clients Retaining & Growing Customers Global Reach YoY Revenue Churn Rate YoY Dollar-Based Net Retention Rate1 1 Based on SaaS revenue and payment processing fees Q1 2023 Q1 2023 7
Slide 8: Recent Key Business Highlights
Recent Key Business Highlights Received a DISCOVER card issuing license for the US market Completed CoinBridge Apple Pay integration Signed US infrastructure partners’ agreements to provide the CoinBridge service in the US: US issuer processor, and US Issuing bank IWG Regus Global, signed a global a
Slide 9: Omni-Channel Acceptance, Consumer Engagement & Loyalty
Omni-Channel Acceptance, Consumer Engagement & Loyalty Loyalty and Marketing Programs Instant Refunds Cashless Acceptance Integrated POS In-Store Discount Increase Sales Nayax’s platform increases sales and decreases costs for retailers Consumers Telemetry and Software Pricing Remote Monitoring Repo
Slide 10: Proven Growth Land and Expand
Proven Growth Land and Expand Solving pain points with a scalable, solution-driven sales approach Increase revenue organically through additional penetration and offerings Land Close Expand Existing Customer Expansion ($m) (1) (1) See Appendix for definition of existing customer expansion. For exam
Slide 11: Strategy for Sustained Long-term Growth
Strategy for Sustained Long-term Growth Retain and grow with existing customers Continue to innovate and develop new solutions Win new large enterprise and SME customers globally Pursue targeted and strategic M&A Continue to expand internationally Enter emerging, high-growth verticals Nayax continue
Slide 12: "One Nayax" Strategy: End-to-End Platform
"One Nayax" Strategy: End-to-End PlatformExpanding TAM and Driving SaaS "One Nayax" NEW Embedded financing solution Converting loyalty assets to currency Embedded payment solution Omni channel marketing platform Innovative platform for Family Entertainment Centers and amusement Self-checkout platfor
Slide 13: Financial Overview
Financial Overview
Slide 14: Powerful business model built on solid recurring revenue
Powerful business model built on solid recurring revenue Purchase fee per sold connected POS Processing fee as % of transaction volume Monthly Subscription Fee (SaaS) per connected POS Consistently growing recurring revenue base Superior payment processing economics Embedded Payment Multi Layers of
Slide 15: Gross Profit grew 26% YoY
Gross Profit grew 26% YoY Q1 2023 gross margin reflects an increased shift to higher processing fees than SaaS revenue. Highlights Our Business Model is Working Recurring Revenue: SaaS Revenue and Payment processing fees. Strong Revenue Growth ($m) High Recurring Revenue ($m) (1) Q1 2023 margins sti
Slide 16: Managed and Connected Devices and Customers
Highlights Reaching another record number of almost 770,000 managed and connected devices across all geographies. Grew by 39% YoY . Consistent Track Record Of Expanding Footprint Number of Managed and Connected Devices (thousands) Highlights Q1 2023 reflects momentum in customer base, with YoY growt
Slide 17: Global Cashless Payment Trends Driving Transactions
Global Cashless Payment Trends Driving Transactions Number of Transactions (millions) 63% Growth in 2023 YoY Growth across all geographies driven by consumer behavior trends, and increased transactions processed for our expanding customer base Highlights Highlights 52% Growth in 2023 YoY Growth acro
Slide 18: Higher Operating Expenses to Support Strategic Growth Plan
Higher Operating Expenses to Support Strategic Growth Plan Increase in Q1 2023 YoY primarily due to investment in automation. Highlights Consistently profitable over past years. Q1 2023 Adjusted EBITDA improved by $2.7 million. Adj. EBITDA was (0.6) million compared to negative $3.3 in Q1 2022 prim
Slide 19: 2023 Outlook
2023 Outlook 2023 outlook update Revenue Reaffirm revenue guidance - on a constant currency basis, to be in the range of $235 million to $240 million, representing year-over-year growth of at least 35%. Operating Expenses Positively revising guidance - operating expenses to stay flat from Q4 2022 an
Slide 20: Mid-Term and Long-Term Outlook
Mid-Term and Long-Term Outlook Mid-Term Outlook Revenue Growth Reaffirming mid-term outlook of 35% annual growth, driven by organic growth initiatives and strategic M&A. Growth Drivers Customer growth, market penetration, continued expansion of our integrated payments platform as well as our growth
Slide 21: Summary
Summary Leading, best-in-class global payments platform for unattended commerce with a complete end-to-end solution. Highly talented team with focused execution on achieving strategic priorities. Large total addressable market driven by the strong secular tailwinds with multiple growth levers. Stron
Slide 22: Appendix
Appendix 22
Slide 23: CAPEX growth due to additional capitalization
CAPEX growth due to additional capitalization Highlights 16% Growth YOY in Q1 2023 Increase primarily due to additional capitalized development expenditure 23 Capex ($m) 16%
Slide 24: IFRS to Non-IFRS
IFRS to Non-IFRS (1) Equity method investee grew due to our 2021 investment in Tigapo. (2 For historical years comparison (2018-2020), when excluding (i) product costs increase due to global components shortage (ii) bonus plan for non-sales employees that was introduced in Q3 2021, Adjusted EBITDA f
Slide 25: Historical 2018-2022 IFRS to Non-IFRS
Historical 2018-2022 IFRS to Non-IFRS Consists primarily of (i) fees and expenses, other than underwriter discount and commissions, incurred in connection with our May 2021 initial public offering on the TASE and (ii) expenses incurred in connection with our listing on Nasdaq in September 2022 Equit
Slide 26: Definitions
Managed and Connected – Devices that are operated by our customers. End Customers – Customers that contributed to Nayax revenue in the last 12 months. Recurring Revenue – SAAS revenue and payment processing fees. Dollar-based net retention rate - Measured as a percentage of revenue from returning cu
Slide 27: Thank you!
Thank you! IR Contact: ir@nayax.com Website: ir.nayax.com