Fsa Group Limited · ASX:FSA
Fsa — 1H FY2011 Earnings Presentation
20 slides from Fsa's earnings presentation, Feb 25, 2011
Slide 1: FSA Group Interim Results
For personal use only FSA Group Interim Results Six month period ending 31 December 2010 February 2011
Slide 2: Client acquisition
Client acquisition For personal use only Direct client acquisition model Clients are ‘micro-managed’ efficiently • Via advertising and marketing • Assess client needs – TV, web etc. • Tailor solutions - affordable, • Controlled, selective, low cost sustainable and viable • No third party referral ch
Slide 3: Overview of products and services
Overview of products and services For personal use only Individuals Small Businesses • Debt Agreements • Personal Insolvency Agreements • Bankruptcy • Other solutions FSA Group 3
Slide 4: Services
Services For personal use only Debt Agreements • Largest provider – FY2010 market share 51% • ‘Micro manages’ over $260m of unsecured debt on behalf of creditors under debt agreements • Fee for service income Personal Insolvency Agreements and Bankruptcy • One of the largest registered trustees in A
Slide 5: Home loan broking, lending & management
Home loan broking, lending & management For personal use only 2003 Home Loan Broking • Largest non‐conforming broker in Australia • Up‐front and trail commission • No balance sheet or funding risk 2007 Home Loan Lending • Current $235m non‐recourse facility from Westpac for non‐conforming lending •
Slide 6: Consulting and factoring finance
Consulting and factoring finance For personal use only Consulting Small Businesses • Provides a range of debt solutions to small businesses Factoring Finance • Current $25m limited recourse facility from Westpac for the provision of factoring finance • Assigned receivables are credit insured • Lende
Slide 7: Interim Results and Operating Performance
For personal use only Interim Results and Operating Performance FSA Group 7
Slide 8: Services
Services For personal use only Services – client numbers 1HFY2010 vs. 1HFY2011 Debt Agreements Up 10% Personal Insolvency Agreements and Up 16% Bankruptcy • Continued high levels of consumer debt coupled with a higher interest rate environment are likely to drive demand for debt agreements, personal
Slide 9: Home loan lending
Home loan lending For personal use only FSA is one of the few remaining non‐conforming lenders operating in the market Home Loan Lending • Funding $235m from Westpac Loan Pool Size $220m • Renewed to October 2012 Security Type 1st Mortgage • Balance sheet risk limited to equity invested Average Loan
Slide 10: Factoring finance
Factoring finance For personal use only FSA also provides a range of debt solutions to small businesses including factoring finance Factoring Finance • Funding $25m from Westpac Loan Pool Size $16m • Renewed to June 2012 Security Type Assigned Receivables • High quality demand due to difficulties Av
Slide 11: Interim Results: Revenue and Profit
Interim Results Revenue and Profit For personal use only 1H FY2010 1H FY2011 % Revenue and Income $24.70m $27.28m 10.5% Profit Before Tax Services $4.32m $4.36m 0.9% Home Loan Lending $1.60m $1.72m 7.5% Business Services & Lending $0.21m $1.12m 433% Other ($0.07m) ($0.10m) ‐ Profit Before Tax $6.06m
Slide 12: Interim Results: Operating Cash flow
Interim Results Operating Cash flow For personal use only Cash Flows from FY2009 FY2010 1HFY2011 Operating Activities 12 months 12 months 6 months Cash flow Cash Flow from Operations $1.06m $5.26m $3.47m continues Number of debt agreements to build under management 7,180 11,050 12,800 1HFY2011 inclu
Slide 13: Interim Results: Net Operating Cash Flow
Interim Results Net Operating Cash Flow For personal use only Cash Flows from FY2009 FY2010 1HFY2011 Operating Activities 12 months 12 months 6 months Cash flow Cash Flow from Operations $1.06m $5.26m $3.47m continues Net cash receipts/(payments) for to build institutional creditor distributions* $1
Slide 14: Outlook and FY2011 Profit Guidance
For personal use only Outlook and FY2011 Profit Guidance FSA Group 14
Slide 15: Outlook: growth across all divisions
Outlook: growth across all divisions For personal use only Growth in: Driven by: Services Continuing high levels of consumer debt Home Loan Lending Fewer competitors, stricter bank lending criteria Factoring Finance Difficulties for small businesses obtaining credit Home Loan Expansion into the prim
Slide 16: FY2011 Profit guidance – unchanged
FY2011 Profit guidance – unchanged For personal use only FY2010 FY2011 % Loan Pool Average Actual Guidance Change (Closing) Services $8.6m $8.5 ‐ $10.5m Home Loan Lending $3.4m $4.0m $225m ($240m) Business Services & Lending $0.9m $2.5m $16.5m ($20m) Profit Before Tax $12.9m $15 ‐ $17m Profit After
Slide 17: Annuity contribution growing
PBT before minorities : Annuity contribution growing For personal use only Fee for service PBT CAGR 2005 - 2010 = 50% Lending Guidance PBT before minorities FSA Group 17
Slide 18: Investor relations contacts
Investor relations contacts For personal use only Mr. Tim Odillo Maher Ms. Jeannene O’Day Executive Director Consultant FSA Group Limited Lyon Group Pty Limited Level 3, 70 Phillip Street Level 1, 175 Macquarie Street Sydney NSW 2000 Sydney NSW 2000 T: 02 9293 6054 T: 0439 865 256 F: 02 9293 6032 F:
Slide 19: Disclaimer
Disclaimer For personal use only • This presentation is designed to provide a general overview of the activities and financial position of FSA Group Limited. The material set out in the presentation is current as at the date of this presentation. It is information in summary form and does not purpor
Slide 20: FSA Group Interim Results
For personal use only FSA Group Interim Results Six month period ending 31 December 2010 February 2011 FSA Group