Slide 1: HY'21 Results
For personal use only HY’21 Results CEO Daniel Riley | CFO Steve Shin 1
Slide 2: EPY Snapshot
EPY Snapshot Earlypay is reinventing <0.1% 3000+ 56% For personal use only the way invoice finance Default rate Servicing 3000+ SMEs (0.1%+ of total SMEs) New technology platform to drive growth — 56% of is delivered new business for Q2’21 $7bn Invoices Funded Since 2015 ($1.8bn+ forecast in FY21) E
Slide 3: EPY Positioning
EPY Positioning The ongoing digital Uniquely positioned Benefits of online platform For personal use only • Loans ranging from $20k to $15m+ • Streamlined applications and onboarding transformation is • Servicing small borrowers profitably with online platform • Market-leading borrower experience po
Slide 4: Highlights
Highlights Earlypay’s digital H1’21 EBITDA Underlying NPATA¹ For personal use only transformation • Tale of two quarters, Q1 depressed but strong rebound in Q2 • Acceleration of new business outcomes aided by online/ $9.8m $3.5m digital applications representing 56% of new business for Q1 – $4.2m Q1
Slide 5: Underlying Group Results
Underlying Group Results EPY produced For personal use only H1'21 vs H1'20 H1'21: Q2 ON Q1 strong results Revenue $21.7m ↓ 13% $11.1m ↑5% EBITDA $9.8m ↓ 4% $5.6m ↑33% and no material NPATA1 $3.5m ↓ 24% $2.3m Margins Improving ↑92% losses or defaults 2020 2021 H1’21 despite challenging Group Revenue
Slide 6: Invoice Finance
Invoice Finance Digital transformation For personal use only 2020 2021 H1’21 Invoice Finance H1 H2 H1 ∆pcp ∆H2/H1 Q1 Q2 ∆ driving strong Revenue EBITDA 17.1 8.6 13.6 5.3 14.2 6.5 -17% -24% 4% 23% 6.7 2.8 7.5 3.7 12% 32% momentum, Record Margin 50% 39% 46% -8% 17% 42% 49% 18% TV of $171m in Dec’20 •
Slide 7: Equipment Finance
Equipment Finance Volumes to increase For personal use only 2020 2021 H1’21 Equipment Finance H1 H2 H1 ∆pcp ∆H2/H1 Q1 Q2 ∆ as trading conditions Revenue EBITDA 3.9 2.0 7.6 5.0 7.2 4.1 85% 105% -5% -18% 3.7 1.9 3.5 2.2 -5% 16% continue to stabilise Margin 51% 66% 57% 12% -14% 51% 63% 22% • H1 revenue
Slide 8: Funding
Funding Group Balance Sheet Funding Costs For personal use only Lower cost of debt, 100m+ headroom Client • EPY retired and replaced $41m of expensive legacy funding arrangements (annualised interest saving of $1.5m) 2020 2021 Client Funding Amount Receivables • EPY maintains a strong cash balance o
Slide 9: Outlook
Outlook Record half year earnings For personal use only expected in H2’21 • EPY is expecting record half year earnings in H2’21 • Importantly H2’21 is seen by EPY as a base from which it can again start to build on its historical growth post the COVID restructure • Permanent cost savings of $1.5m¹ p
Slide 10: New technology platform to drive future volumes
New technology platform to drive future volumes Growth Drivers For personal use only post FY’21 Online Sales SME Distribution The relaunch of EPY and digital transformation SME lending expected to grow strongly as EPY has expanded its sales and product has improved accessibility for SME’s to EPY’s G
Slide 11: Testimonials
Testimonials For personal use only They are a trusted part of Outstanding Service! Excellent Back up Support! our team! "The service we have received from Earlypay "Joining the Earlypay family has given the "Since partnering with Earlypay 4 months ago has been second to none. Outstanding group the p
Slide 12: Disclaimer
Other Disclaimer For personal use only This presentation (“this Presentation”) has been prepared by Earlypay Limited [ACN 098 952 277] (“EPY” or the “Company”) and is dated 25th February 2021. Summary information This Presentation contains summary information about the current activities of EPY as a
Slide 13: For personal use only
For personal use only 13