Prime Financial Group Limited · ASX:PFG
Prime Financial — H1 FY21 Earnings Presentation
18 slides from Prime Financial's earnings presentation, Feb 19, 2021
Slide 1: Half Year 2021 (H1 FY21) Results Presentation
Prime Financial Group Ltd (ASX: PFG) Half Year 2021 (‘H1 FY21’) Results Presentation 19 February 2021
Slide 2: Important Notice & Disclaimer
Important Notice & Disclaimer This investor presentation (Presentation) has been prepared by Prime Financial Group Limited Disclaimer (‘Prime’). No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness or correctness of the information, opinions and concl
Slide 3: Key Message
Key Message Growth in earnings, margins, cashflow and dividends during difficult period 3
Slide 4: H1 FY21 Highlights
H1 FY21 Highlights Earnings Growth for Increase in operating cashflow members/shareholders Up $1.3m (+93%) Underlying EBITDA up 18% Margin Growth for Total operating expenses lower members/shareholders Down 10% Operating Margin of 27% up from 22% (+5%) Increased dividends declared: Interim dividend
Slide 5: Key Financial Metrics
Key Financial Metrics H1 FY21 vs H1 FY20 Prime – Prime’s key profitability measure is Underlying Prime – Group EBITDA for members/shareholders Members/Shareholders Financial Highlights* H1 H1 Underlying EBITDA for members/shareholders H1 FY21 H1 FY20 Change Change FY21 FY20 removes the impact of fin
Slide 6: Revenue & Margins
Revenue & Margins Analysis of Revenue – H1 FY21 vs H1 FY20 Revenue How are we growing? H1 FY21 H1 FY20 H1 FY21 vs H1 FY20 $m $m (%) Strong cost control Accounting, Business Advisory & Capital 6.4 6.2 3% Wealth Management & SMSF 4.3 4.8 (11%) Focus on core services Total Revenue from Contracts with C
Slide 7: EBITDA & NPAT
EBITDA & NPAT Attributable to Members/Shareholders Reconciliation $’000 AUD H1 FY21 H1 FY20 Reported net profit after tax from operations (Group) 1,312 943 Add: Tax expense 463 325 Add: Interest expense/(income) 222 280 EBIT (Group) * 1,998 1,548 Add: Depreciation 31 111 Add: Amortisation 880 926 Re
Slide 8: Balance Sheet, Cash Flows & Net Debt
Balance Sheet, Cash Flows & Net Debt Balance Sheet Key Takeaways At 31 Dec 2020 At 30 Jun 2020 Group $m $m • Net debt reduction to $8.5m from $9.8m Cash 0.1 0.1 at 30 June 2020 Total assets 57.7 58.9 • Operating cash inflow $2.7 million Borrowings (8.6) (9.9) • Investing cash outflow includes busine
Slide 9: Dividends
Dividends • Target dividend payout ratio of 40 – 60% of reported and maintainable earnings Key dates for dividend • H1 FY21 interim dividend declared of 0.30 cents per share (‘cps’) (fully franked) vs and DRP interim dividend of 0.20 cps in H1 FY20 (+50%) Record Date 6 April 2021 • H1 FY21 payout ra
Slide 10: Outlook for Members/Shareholders – FY21
Outlook for Members/Shareholders – FY21 On track Clients, Community & Ongoing Continued organic earnings growth Team • Continuously support clients, team and the community by being • Cautiously optimistic as the economic recovery proactive, professional, accountable and relationship focused begins a
Slide 11: Contact
Contact Simon Madder Managing Director, CEO & Chairman Prime Financial Group Ltd T (03) 9827 6999 E simonm@primefinancial.com.au W www.primefinancial.com.au Rory McLaughlin Group Financial Controller Prime Financial Group Ltd T (03) 9827 6999 E rorym@primefinancial.com.au W www.primefinancial.com.au
Slide 12: Appendices
Appendices
Slide 13: Who We Are
Who We Are Service Operations Integrated Accounting & Business Advisory, 80+ team members primarily across Wealth Management, SMSF and Capital Melbourne, Sydney and Brisbane Services with over $1 billion of client funds under management (FUM) Continued focus on growing three core hubs in Melbourne,
Slide 14: Capital Structure & Comparisons
Capital Structure & Comparisons Top 20 Shareholders Prime’s Capital Structure Shares on issue (includes treasury shares) at 31 December 2020 195.3m 68% Market Capitalisation at 9.3 cents at closing on 15 February 2021* $18m Net debt at 31 December 2020 $8.5m Investment Information Prime’s Comparable
Slide 15: Segment Services & Revenue
Wealth Management & Protection plus SMSF – 40% Segment Services & Revenue • • Financial Planning & Strategic Advice Retirement Planning • Superannuation Advice • Investment Advice • Life Insurance Prime operates a direct client advice model under • SMSF Establishment, Advice, the Prime brand and a J
Slide 16: Strategic Plan
Strategic Plan AREAS & OBJECTIVES FY21 KEY PRIORITIES Customer Organic Growth Provide clients with advice and services through • Integrate Prime’s client base - OneConnected firm and ‘ONECONNECTED’ PROFESSIONAL OneConnected firm service offering SERVICES FIRM • Deliver additional business and corpor
Slide 17: Core Hub Strategy
Core Hub Strategy Melbourne, Sydney & Brisbane Core Hub – Brisbane Prime is a OneConnected professional • Accounting & Business Advisory • Wealth Management & Protection services firm, operating across four key • SMSF areas in Accounting & Business • Capital & Corporate Advisory Advisory, Wealth Man
Slide 18: Experienced Board
Experienced Board Simon Madder Tim Bennett Chief Executive Officer, Managing Director & Executive Director (effective 3 July 2020) & Chairman Managing Director – Capital • Co-founder, Managing Director & CEO of Prime Financial • Established the Capital & Corporate Advisory division. Group Ltd (Prime
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