Slide 1: AGM Chief Executive Presentation
For personal use only August 2014 AGM Chief Executive Presentation This presentation reflects the financial performance and position of OzForex Limited (formerly OzForex Pty Ltd) (A.C.N. 092 375 703), which was the head of the OzForex Group prior to the interposition of OzForex Group Limited, and th
Slide 2: Summary
Summary For personal use only • On track to meet our 12 month September 14 prospectus financial forecasts • FY14 result continued historical growth trend • Q1 FY15 demonstrated growth across all key performance indicators • US business is building scale with start-up investment period almost complet
Slide 3: Agenda
For personal use only Agenda • OzForex Background • FY14 Performance Highlights • FY15 1st Quarter Performance • Prospectus Period Performance • Looking Forward • US Update Prospectus Period (October 2013 to September 2014) 1st 2nd 3rd 4th 1st 2nd 3rd 4th Quarter Quarter Quarter Quarter Quarter Quar
Slide 4: OzForex Background
For personal use only OzForex Background
Slide 5: OzForex Group Overview
OzForex Group Overview For personal use only • OzForex was founded in 1998 and listed on the ASX on October 11, 2013 • Provides online international payment services for consumer and business clients – Provides clients with a way to transfer funds securely to a bank account in another country at com
Slide 6: Competitive Advantage
Competitive Advantage For personal use only • We continue to acquire and retain both consumer and business clients on the strength of our service offering – Competitive pricing - a discount to traditional incumbents – Speed of delivery – our operating model ensures funds arrive at the destination ac
Slide 7: FY14 Performance Highlights
For personal use only FY14 Performance Highlights Prospectus Period (October 2013 to September 2014) 1st 2nd 3rd 4th 1st 2ND 3rd 4th Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter FY14 (April 2013 to March 2014) FY15 (April 2014 to March 2015)
Slide 8: FY14 Performance – Key Financial Metrics
FY14 Performance – Key Financial Metrics For personal use only Net Operating Income $72.5m 39% up on FY13 Pro Forma EBTDA $28.3m 30% up on FY13 Pro Forma NPAT $20.1m 33% up on FY13 8
Slide 9: FY14 Performance – Key Indicators (New Dealing Clients)
FY14 Performance – Key Indicators For personal use only New Dealing Client performance was built on the growth in existing geographies, new geographies and the rollout of some key branded partnerships New Dealing Clients 60,000 54,814 50,000 38% up on FY13 40,000 30,000 20,000 10,000 - FY05 FY06 FY0
Slide 10: FY14 Performance – Key Indicators (Active Clients)
FY14 Performance – Key Indicators For personal use only Active client growth for FY14 was again strong on the strength of our customer acquisition capabilities and our focus on client on-boarding and client retention Active Clients 140,000 120,473 120,000 31% up on FY13 100,000 80,000 60,000 40,000
Slide 11: FY14 Performance – Key Indicators (Transactions)
FY14 Performance – Key Indicators For personal use only Transaction growth continued historical growth trend Transactions 700,000 600,000 581,097 26% up on FY13 500,000 400,000 300,000 200,000 100,000 - FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 11
Slide 12: FY14 Performance – Key Indicators (Turnover)
FY14 Performance – Key Indicators For personal use only Turnover is a function of transaction numbers and Average Transaction Value (ATV) with FY14 Turnover performance bolstered by an 18% increase in ATV on FY13 Turnover ($m) 16,000 14,000 13,623 12,000 49% up on FY13 10,000 8,000 6,000 4,000 2,000
Slide 13: FY15 1st Quarter Performance
For personal use only FY15 1st Quarter Performance Prospectus Period (October 2013 to September 2014) 1st 2nd 3rd 4th 1st 2nd 3rd 4th Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter FY14 (April 2013 to March 2014) FY15 (April 2014 to March 2015)
Slide 14: FY15 1st Quarter Performance – Key Financial Metrics
FY15 1st Quarter Performance – Key Financial Metrics For personal use only Net Operating Income $19.6m 15% on 1ST Quarter FY14 Pro Forma EBTDA $7.8m 15% up on 1st Quarter FY14 Pro Forma NPAT $5.4m 9% on 1ST Quarter FY14 14
Slide 15: FY15 1st Quarter Performance – New Dealing Clients
FY15 1st Quarter Performance – New Dealing Clients For personal use only New Dealing Client numbers have an underlying growth rate that sees accelerated growth during periods of FX volatility New Dealing Clients 13,764 16,000 14,000 3% up on 1ST Quarter FY14 12,000 10,000 Periods of FX Volatility 8,
Slide 16: FY15 1st Quarter Performance – Active Clients
FY15 1st Quarter Performance – Active Clients For personal use only Active client numbers for 1Q FY15 have grown on the back of improved New Dealing Client numbers and a 4 percentage point improvement to forecast in client retention Active Clients 140,000 32% up on 1ST Quarter FY14 124,752 120,000 1
Slide 17: FY15 1st Quarter Performance – Transactions
For personal use only - 100,000 120,000 160,000 20,000 40,000 60,000 80,000 140,000 180,000 Q1FY05 Q2FY05 Q3FY05 Q4FY05 Q1FY06 Q2FY06 Q3FY06 Q4FY06 Q1FY07 Q2FY07 Q3FY07 Q4FY07 Q1FY08 Q2FY08 Q3FY08 Q4FY08 Q1FY09 Q2FY09 Q3FY09 FY15 1st Quarter Performance - Transactions Q4FY09 Q1FY10 Q2FY10 Transactio
Slide 18: FY15 1st Quarter Performance – Turnover
For personal use only - 1,500 2,000 3,000 3,500 1,000 2,500 4,000 500 Q1FY05 Q2FY05 Q3FY05 Q4FY05 Q1FY06 Q2FY06 Q3FY06 Q4FY06 Q1FY07 Q2FY07 Q3FY07 Q4FY07 Q1FY08 Q2FY08 Q3FY08 Q4FY08 Q1FY09 FY15 1st Quarter Performance - Turnover Q2FY09 Q3FY09 Q4FY09 Q1FY10 Q2FY10 Q3FY10 Turnover ($m) Q4FY10 Q1FY11 Q
Slide 19: Prospectus Period Performance
For personal use only Prospectus Period Performance Prospectus Period (October 2013 to September 2014) 1st 2ND 3RD 4TH 1st 2ND 3rd 4th Quarter Quarter Quarter Quarter Quarter Quarter Quarter Quarter FY14 (April 2013 to March 2014) FY15 (April 2014 to March 2015)
Slide 20: Prospectus Period YTD Performance – Key Financial Metrics
Prospectus Period YTD Performance - Key Financial Metrics For personal use only Net Operating Income $57.1m 4% on Prospectus EBTDA $22.7m 2% up on Prospectus Pro Forma NPAT $15.8m 3% on Prospectus 20
Slide 21: Prospectus Period YTD Performance – Variance of Key Performance Indicators
Prospectus Period YTD Performance – Variance of Key Performance Indicators For personal use only We are ahead of our YTD prospectus financial numbers and on track to deliver our 12 month September 14 Prospectus financial forecast Financial Metric Number Variance to Prospectus YTD Turnover 10.6b 6% N
Slide 22: Looking Forward
For personal use only Looking Forward
Slide 23: Strategic Goals
Strategic Goals For personal use only We have three strategic goals that support our aspiration, to be the leading provider of international payments, and are true to our original ethos of being innovative and disruptive Expand Geographically Enhance Product Offering Further Scale Existing Operation
Slide 24: Growth Channels
Growth Channels For personal use only By following our strategy we expect to deliver growth across both revenue and profit, acquisitions will be assessed for their contribution across these growth areas • Expand geographically • Deepen and expand existing • Broaden product offering strategic partner
Slide 25: US Update
For personal use only US Update
Slide 26: US - License Footprint as at 3Q FY14
US - License Footprint as at 3Q FY14 For personal use only At the time of our ASX Listing we were able to service customers in 28 states under our USForex brand Vermont Michegan Maine Washington (upper penisula) Minnesota New Hampshire Alaska Montana North Dakota Massachutes New York Wisconsin Rhode
Slide 27: US - License Footprint at 1Q FY15
US - License Footprint at 1Q FY15 For personal use only As at the end of the 1st Quarter FY15 we can now service customer from all but 5 US states and we can also service customers under the Travelex brand in 12 US states Vermont Michegan Maine Washington (upper penisula) Minnesota New Hampshire Ala
Slide 28: US Relative Performance
US Relative Performance For personal use only Growth in the US has been strong on the back of ongoing improvements in digital marketing and the introduction of new channels such as direct sales and alliance partnerships Active clients from launch 6000 5000 4000 3000 Canada USA 2000 1000 0 Q1 Q2 Q3 Q
Slide 29: Group Executive Team
For personal use only Group Executive Team
Slide 30: Group Executive Team
Group Executive Team For personal use only Neil Helm Simon Griffin Chief Executive Officer Chief Commercial Officer 7 years 5 years Mark Ledsham Jacqueie Davidson Chief Financial Officer Head of Human Resources 6 years 9 months Jason Rohloff Jeff Parker Head of Compliance Chief Operating Officer 7 y
Slide 31: Summary
Summary For personal use only • On track to meet our 12 month September 14 prospectus financial forecasts • FY14 result continued historical growth trend • Q1 FY15 demonstrated growth across all key performance indicators • US business is building scale with start-up investment period almost complet
Slide 32: Thank you
For personal use only Thank you