Change Financial Ltd · ASX:CCA
Change Financial — Investor Presentation (June 2022)
25 slides from Change Financial's investor presentation, Jun 14, 2022
Slide 1: Investor Presentation June 2022
For personal use only Investor Presentation June 2022
Slide 2: Executive summary
Executive summary For personal use only Simplifying payment Critical Payments Global B2B fintech providing solutions for banks & fintechs in 40+ countries experiences globally to Infrastructure Two core products in the banking & payments ecosystem: be a leading PaaS Vertexon (Payments as a Service (
Slide 3: Background: key acquisition has focused strategy as PaaS provider
Background: key acquisition has focused strategy as PaaS provider For personal use only Focussed strategy to Launched payments & card issuing platform targeting US based clients provide financial 2019 Received formal certification as a Mastercard processor in US; only 2nd company in last 20 years in
Slide 4: Change today: delivering scalable payments solutions
Change today: delivering scalable payments solutions For personal use only Payments solutions provider, driving innovation in the Banking as a Service banking ecosystem Payments as a Service Payment testing Physical & Transaction Digital payments Full payment Visa, Mastercard, ATM & POS virtual card
Slide 5: Global fintech with local expertise
Global fintech with local expertise Our offices / staff Our clients For personal use only Diverse team of over 85 people with local Critical payments knowledge to support infrastructure Deep client integration our loyal & growing Athens Los Angeles client base Santo Domingo Global footprint 154 Clie
Slide 6: Comparable payment infrastructure providers
Comparable payment infrastructure providers For personal use only Strong growth ANZ Landscape Global (outside ANZ) opportunity through 3rd party card issuing & processing capability no longer a core Digital payments driven by post-pandemic ecommerce & addressing gap in focus for Big 4 banks contactl
Slide 7: Key 'building blocks' delivered in FY22
Key ‘building blocks’ delivered in FY22 For personal use only Milestones achieved in Milestone Why it’s important FY22 provide foundations for Launched Vertexon PaaS platform in Oceania in late 2021 accelerated future Launch of Major client wins – 4 NZ financial institutions & 3 US fintechs – onboar
Slide 8: Vertexon: Payments as a Service (PaaS)
Vertexon: Payments as a Service (PaaS) For personal use only u Lowers the barrier of entry for banks & fintechs to deliver innovative digital card solutions to their customers Vertexon powers card programs around the globe Processing Processing & Issuing (P&I) Key Product Cloud hosted; platform used
Slide 9: Vertexon: early in transition but momentum accelerating
Vertexon: early in transition but momentum accelerating For personal use only u Transition from licence model to SaaS is driving an increase in average client value & aligns Change’s & client’s growth Strategic partnerships & issuing capability Estimated Annualised No. of Clients Upside Potential dr
Slide 10: Vertexon: large global opportunity
Vertexon: large global opportunity For personal use only Large market potential Potential Customer Type Example Customer ANZ US South East Asia LATAM Deal Value (5 yrs) with targeted areas of near-term opportunity BDO Unibank Banks US$1m - $5m 120+ 2,100+ 180+ 400+ (Philippines) Financial institutio
Slide 11: PaySim: critical payments infrastructure testing tool
PaySim: critical payments infrastructure testing tool For personal use only Software facilitates u Simulates the full transaction lifecycle, enabling banks & fintechs to complete end-to-end testing of their payment remote testing platforms & processes without the need for u Enables financial institu
Slide 12: PaySim: diverse blue chip & emerging global client base
PaySim: diverse blue chip & emerging global client base For personal use only Globally recognised u Licence sales are key to future growth & complemented by new SaaS products & features solution simulating over Estimated Annualised No. of Clients Upside Potential 60k transaction Revenue Run Rate var
Slide 13: Financial Snapshot
For personal use only Financial Snapshot
Slide 14: Revenue model transition
Revenue model transition For personal use only Vertexon – Old Revenue Model Vertexon – New Revenue Model Transitioning from Licence Processing Processing & Issuing (P&I) licence & project fee On premise solution – client Cloud hosted – client responsible for Cloud hosted – Change responsible for rev
Slide 15: Vertexon: contract revenue breakdown (indicative only)
Vertexon: contract revenue breakdown (indicative only) For personal use only Example client (prepaid card program) New Model (SaaS) Material revenue uplift Example illustrates an indicative Old Model from transition to SaaS program of 25k prepaid cards. Processing & Revenue Stream Type Licence Proce
Slide 16: Financial overview
Financial overview For personal use only Profit & Loss Summary Full Year H1 Significant investment (US$000's) FY211 FY22 Key Comments in the business which 1 Revenue forecast to accelerate driven by: will enable scale Revenue 6,313 1 3,769 • Recent PaaS client wins – expected to go-live in H1 FY23 b
Slide 17: Key recent client wins
Key recent client wins For personal use only Recent wins anticipated 4 NZ Financial Institutions 3 US Fintechs to generate in excess of US$12.9m revenue over Milestone PaaS (P&I) contracts with 3 NZ credit unions Gaining traction in US with 3 fintechs secured as new initial terms & 1 NZ building soc
Slide 18: Investment highlights
Investment highlights For personal use only Simplifying payment Critical Payments Global B2B fintech providing solutions for banks & fintechs in 40+ countries experiences globally to Infrastructure Two core products: Vertexon (PaaS) & PaySim (payment testing) be a leading PaaS Deep client integratio
Slide 19: Appendix
For personal use only Appendix
Slide 20: Tailored PaaS solutions to suit our clients' needs
Tailored PaaS solutions to suit our clients’ needs For personal use only Vertexon enables Vertexon ‘On Premise’ Solution Vertexon ‘Cloud’ Solution clients to deliver innovative & market leading card solutions to their customers ME Bank’s Digital Experience BDO Cards & BNPL NZ Financial Institutions
Slide 21: A large addressable market for growth opportunities
A large addressable market for growth opportunities For personal use only Focussed on 4 key US TAM markets; US, LATAM, SE Asia & Oceania with a $8.3T 6% 153B combined TAM of Transaction value Transaction volume growth Transaction volume # >US$10 trillion LATAM TAM $1.1T 11% 46B 49% Transaction value
Slide 22: Management team
Management team For personal use only Management team has extensive payments & financial services experience Alastair Wilkie Tony Sheehan Clayton Fossett Vinnie D’Alessandro Arnold Lee CEO & Managing Director Chief Financial Officer Chief Operating Officer Chief Product Officer Chief Technology Offi
Slide 23: Board
Board For personal use only Recently strengthened board with experienced payments & business executives Alastair Wilkie Ben Harrison Eddie Grobler Ian Leijer Tom Russell CEO & Managing Director Chairman Non-Executive Director Non-Executive Director Alternate Director to Chairman Alastair is an exper
Slide 24: Disclaimer
Disclaimer For personal use only Important Notice Change Financial This presentation has been prepared by Change Financial Limited (Change Financial) in good faith. No express or implied warranty is given as to the accuracy or completeness Limited of the information in this document or the accompany
Slide 25: Thank you.
For personal use only Thank you. Get in touch investors@changefinancial.com