Hightech Payment Systems Sa · CSEMA:HPS
Hightech Payment Systems Sa — FY2024 Earnings Presentation
32 slides from Hightech Payment Systems Sa's earnings presentation, Apr 2, 2025
Slide 1: Full Year 2024 Earnings Presentation
Full Year 2024 Earnings Presentation April 2, 2025 Feel Good about Payments
Slide 2: 2024 Highlights
2024 Highlights Abdeslam ALAOUI CEO
Slide 3: AccelR8 in numbers
AccelR8 in numbers CAGR : 17% ∼ 25% HPS in 2022 Non-recurring HPS in 2027 Non-recurring 15% 29% Between Organic growth $220m Recurring $100m 12% < CAGR < 17% and Recurring 48% Regular 60% $300m Regular 25% External growth 23% from $40m to $80m EBITDA margin from 25% to 30% Resilience 60% recurring i
Slide 4: AccelR8 – HPS's Strategic Plan to 2027
AccelR8 – HPS’s Strategic Plan to 2027 Strategy supported by clearly defined organic and inorganic growth levers Market Geographic Customer Product M&A Growth Expansion Expansion • Non-cash transaction • R&D and Innovation • Accelerate Asia and • On-prem to SaaS • Expand existing volume should grow
Slide 5: Successful completion of CR2 acquisition
Successful completion of CR2 acquisition CR2 Integration Overview - Acquisition completed in August 2024, consolidated into HPS accounts from September 2024 - Revenue impact: €7M integrated in 2024, €25M full-year revenue contribution for 2024 - 2025 outlook: €30M expected revenue, with an EBITDA ma
Slide 6: 2024: A Record Year in Sales
2024: A Record Year in Sales Explosive Growth in TCV(*) & Acceleration of SaaS Adoption • TCV multiplied by 5 in 2024: - From 235 MMAD in 2023 to 1,100 MMAD in 2024, reflecting a surge in commercial momentum. • SaaS acceleration: - In 2020-2022, contracts were almost exclusively On-Prem. - In 2023,
Slide 7: Massive investments in SaaS Capabilities
Massive investments in SaaS Capabilities A global and redundant Data Centres network Europe Already exist • Fully redundant Classic Data Centre infrastructure - Regional data centres strategically deployed to Saudi Arabia ensure proximity and Already exist resilience Hybrid Data Centre - Each data c
Slide 8: 2024 Summary and Beyond
2024 Summary and Beyond 2024 demonstrates strong commercial momentum and M&A execution in the backdrop of a SaaS transition year - Explosive Total Contract Value growth acquired (4.5x 2023 levels and 3x 2022), illustrating acceleration of demand for PowerCARD V4 and penetration into largest banks in
Slide 9: 2024 Business & Financial review
2024 Business & Financial review Brahim BERRADA Corporate Services Managing Director
Slide 10: 2024 Key figures
2024 Key figures REVENUE EBITDA / MARGIN BACKLOG (*) 1,267 MMAD 220 MMAD 17.3% 885 MMAD +6.4% Growth -10.9% Growth +7.8% Growth +0.2% Proforma -4.5% Proforma SEGMENT PERFOMANCE PAYMENT ACTIVITY SWITCHING ACTIVITY TESTING ACTIVITY 86% 7% 7% 1.050 MMAD 89 MMAD 82 MMAD +7.5% Growth +14.7% Growth -2.3%
Slide 11: HPS Standalone performance
HPS Standalone performance REVENUE EBITDA / MARGIN BACKLOG 1,191 MMAD 229 MMAD 19.2% 885 MMAD +0.0% Growth -7.3% Growth +7.8% Growth SEGMENT PERFOMANCE PAYMENT ACTIVITY SWITCHING ACTIVITY TESTING ACTIVITY 85% 8% 7% 973 MMAD 89 MMAD 82 MMAD -0.4% Growth +14.7% Growth -2.3% Growth © 2025 HPS. All righ
Slide 12: HPS Revenue Analysis
HPS Revenue Analysis HPS /
Slide 13: Payment Activity - Business review
Payment Activity - Business review 2024: A Year of Acceleration & Global Expansion in SaaS ⏵North America ⏵Asia-Pacific Expansion Share in Consolidated Revenues • Full deployment of our Canadian • Major Energy Company: team to operate the SaaS platform Successful onboarding of Hong and drive busines
Slide 14: Payment Activity - Financial review (in MAD)
Payment Activity - Financial review (in MAD) ⏵Projects Revenue impacted by SaaS transition. The same on-premises projects would have generated an additional 75 million dirhams in 2024, which would have generated growth of 9%. ⏵SaaS Strong growth due to the entry into production of several customers,
Slide 15: Switching Activity - Business review
Switching Activity - Business review Growth of 14.7%, driven by the growth of digital payments and the arrival of new players Share in Consolidated Revenues Cards Switching Wallet Switching ⏵Exceeding for the 1st time 1 million payment transactions per day (with ⏵Migration of the Mobile Switch to th
Slide 16: Switching Activity - Evolution of interoperability
Switching Activity - Evolution of interoperability Withdrawals Payment transactions e-Commerce transactions Annual growth over 4 (Millions) (Millions) (Millions) years 19% 18% 16% 15% 13% 15% 30% 19% 20% 82.6 166.1 41% +88.5% 69.2 32% 140.4 44.2 61.0 121.4 41% 39.4 52.8 93.0 33.2 43.8 70.2 23.5 16.7
Slide 17: CR2 Activity - Business review
CR2 Activity - Business review Strong fundamentals, short-term impact from acquisition timing • Full year 2024 view - Revenue of €24.8M and EBITDA of €1.4M - Key Drivers & Variances - Temporary slowdown in project decisions: - Several customers delayed new contracts, waiting for the acquisition to b
Slide 18: CR2 Activity - Business review
CR2 Activity - Business review Strong fundamentals, short-term impact from acquisition timing • 4-Month View (Sep–Dec 2024) - Revenue of €7M and EBITDA loss of €728K – fully anticipated in budget - Key Drivers & Variances - Revenue phasing effect: - CR2 recognizes license revenue upfront (not smooth
Slide 19: Costs analysis
Costs analysis ⏵ HR Costs reduced: 651 MMAD vs. 682 MMAD (-4.5%) • Headcount increased (+13.5%) to support the company's growth and the reduction of external resources (-17%) ⏵ Sales & Marketing costs: 21 MMAD vs. 15 MMAD (+39%) • Sales & Marketing costs increased by 39%, supporting strong TCV growt
Slide 20: Cash Flow analysis
Cash Flow analysis Investments Financing +49 -430 211 +382 -7.9 204 LT Debt compared to equity 544 MMAD 70.3% +369% growth End 2023 Operations Currency End 2024 cash position impact cash position Cash position in MMAD 305 224 238 211 204 ⏵ Operational cash flow +49 M MAD Optimal management of operat
Slide 21: Backlog
Backlog (*) NON-RECURRING 15% Compared to annual Revenues Switch 10% Projects 15% Upselling 11% 885 MMAD 74% SaaS +7.8% growth 36% Maintenance 27% STABLE 11% Click fee 1% Backlog in MMAD - CAGR 11.5% 934 885 821 RECURRING 74% 733 573 ⏵ Very strong growth in TCV which feeds the SaaS revenue backlog ⏵
Slide 22: SaaS transition: Impact and Dynamics
SaaS transition: Impact and Dynamics
Slide 23: Open projects projected revenues – On Prem vs SaaS
Open projects projected revenues – On Prem vs SaaS Projected revenues if all On-Prem Projected revenues for the current Mix 300 MMAD 250 MMAD 200 MMAD 150 MMAD 100 MMAD 50 MMAD Revenue & (MMAD) -75 -83 +89 +130 +173 +175 +180 Build revenue EBITDA gap (%) -32% -31% +88% +168% +223% +227% +232% Mainte
Slide 24: SaaS Transition: Short-Term Impact, Long-Term Growth
SaaS Transition: Short-Term Impact, Long-Term Growth Short-Term Revenue Impact, Long-Term Growth • 2024-2025 revenue impact reflects faster-than-expected SaaS adoption and larger size of new clients won. • Offset by strong and stable recurring revenue, ensuring financial resilience. • Revenue inflec
Slide 25: SaaS Transition: Investment in Infrastructure & Services
SaaS Transition: Investment in Infrastructure & Services Short-Term Cost Impact • Cloud Infrastructure Build-Out: Significant initial costs in cloud infrastructure (e.g., AWS, Schemes, etc.) to support scalable SaaS offerings, while revenue from customers is not yet recognized during the build phase
Slide 26: North America Platform Business Case
North America Platform Business Case High ROI after 2 Years Each new platform is a strategic investment • High Initial Investment, Gradual ROI Upfront costs are significant, with revenue ramping up as clients migrate. • Long-Term Profitability Recurring revenue drives strong margins over time. • Str
Slide 27: Australian Platform Business Case
Australian Platform Business Case High ROI after 1 Year Each new platform is a strategic investment • Faster ROI vs. North America Part of the platform build was invoiced, reducing upfront investment. • Revenue Growth Accelerates Migration + early billing shorten the payback period. • Scaling for AP
Slide 28: Reported and adjusted EBITDA (in MMAD)
Reported and adjusted EBITDA (in MMAD) +28.5% Adjusted growth ⏵Impact of SaaS model on revenue: -75 MMAD (-32%) • Reported EBITDA reflects our 20.7% 19.2% 26.6% strategic transition to SaaS, with temporary revenue shifts and investment in future growth +13.5 317.5 • SaaS projects would have generate
Slide 29: Key takeaways
Key takeaways Transformational Year Solid Financial Performance Positive outlook 2024 marked a strategic shift, with: Despite short-term impact: Strong revenue & EBITDA growth, • Accelerated SaaS adoption • Record growth in TCV, suggesting strong driven by scaling SaaS clients, recurring revenue gro
Slide 30: Disclaimer
Disclaimer HPS /
Slide 31: Disclaimer about forward looking statements
Disclaimer about forward looking statements This presentation (“Presentation”) has been prepared by Hightech Payment Systems S.A. (”HPS” or the “Company”). This Presentation may contain forward-looking statements within the meaning of applicable Moroccan securities laws, including, but not limited t
Slide 32: www.hps-worldwide.com
www.hps-worldwide.com HPS /
Hightech Payment Systems S.A. (HPS) — FY2024 Earnings Presentation on 6ix