Usio, Inc. · NASDAQ:USIO
Usio — Investor Presentation (February 2021)
18 slides from Usio's investor presentation, Feb 2, 2021
Slide 1: Investor Presentation
© USIO’ Investor ial JULY 1, 2019 usio.com USIO Nasdaq Listed
Slide 2: Forward Looking Statements
FORWARD LOOKING December 31,2019, One or more ofthese factors have affected, and inthe fture, could affect the ‘Companys businesses and financislrzultsinthe future and could cause actual resultst difer forward-looking statements made in bbasedon information recently any aumes noble
Slide 3: IMS Acquisition
IMS ACQUISITION » USI O° USIO OUTPUT SOLUTIONS output solutions * Usio acquired the assets of IMS on December 15, 2020 for cash consideration of $5.9mm and a total of 945,559 warrants, vesting in three annual installments of 315,200 each on the first and second anniversary and 315,199 on the third a
Slide 4: Company Overview
Company Overview USIO (NASDAQ: USIO) is an ‘emerging leader in the FinTech landscape, with solutions in Payment. Facilitation, ACH, Prepaid Cards Issuing, Print & Mail and Electronic Bill Presentment and Payment (EBPP) USIO's innovative and proprietary payment enablement technology serves Integrated
Slide 5: Transactions Processed Per Year
© usio’ TRANSACTIONS PROCESSED PER YEAR 182 142 4a 123 109 Millions 201420152016 = 20172018 2019 © 2020 =) Transactions
Slide 6: Dollars Processed Per Year
DOLLARS PROCESSED PER YEAR Millions $3500 $3000 $2500 $2000 $1500 $1000 $500 $0 $2,978 $3300 291 asp $3,400 $3540 2014 2015 2016 = 2017 J Dotiars 2018 2019 $3340 2020 © usio’ While total volume in 2020 decreased from 2019, both Card and Prepaid showed increases vs Q4 2019. Credit Card Volume Process
Slide 7: Our ACH Model
®usio OUR ACH 2019 MODEL ACH Revenue % TARGET CUSTOMER PROFILE ner Driven TARGET VERTICALS & CHARACTERISTICS HOW WE MAKE MONEY ..=2 ONA RETURN OR ORIGINATION
Slide 8: Our Prepaid Model
© usio’ 4 2019 OUR PREPAID we me MODEL ae . TARGET CUSTOMER PROFILE a ti king ae eb — Q3 20 Revenue Growth of 275" TARGET VERTICALS & CHARACTERISTICS HOW WE MAKE MONEY av B ll
Slide 9: Merchant Acquiring: Software Enabled Payments
MERCHANT ACQUIRING SOFTWARE ENABLED PAYMENTS "SMB is where the money is at” - Credit Suisse research report, "Payments, Processors & Fintech" - USIO targets ISV’s serving the SMB segment of the market. © usio’ 2019 Merchant Processing Revenue % Q3 20 Revenue Growth of 14° USIO's primary target is an
Slide 10: Payment Facilitation Revenue Illustration
PAYMENT FACILITATION REVENUE ILLUSTRATION (One Merchant processing $20k/mo at 275% Transaction Expenses 15% Card Brands 05% Processing Expense 2.75% = Gross Revenue to Usio $1,200 50% = Net Revenue Split w/ ISV $50 per merchant/month $600 per merchant/year © usio’ 1,000 Merchants processing FR, A A,
Slide 11: Output Solutions
© usio’ OUTPUT SOLUTIONS TARGET CUSTOMER PROFILE * Outsourced solution for document design, print and electronic delivery via US Post and Electronic + Entities looking to reduce postage cost and increase efficiencies TARGET VERTICALS & CHARACTERISTICS y S ne) oll it PROFIT MARGIN BREAKDOWN Healthcar
Slide 12: Financials
© USIO’ nm @ \ \ ‘ ‘ juLY 12019 Financials
Slide 13: Income Statement
| © usio’ INCOME STATEMENT Adjusted $0.7) $10.6) *See non-GAAP reconciliation of Adjusted EBITDA on slide 14
Slide 14: Revenues by Category
© usio’ REVENUES BY CATEGORY September September he hi 30,2020 30, 2019 $ Change % Change ACH and Complementary Service Revenue $ 6,080,449 $ 7,029,953 $ (949,504) -13.51% Credit Card Revenue $14,647,445 $12,795,058 $ 1,852,387 14.48% Prepaid Card Services Revenue $ 2,141,412 $ 1,008,132 $ 1,133,280
Slide 15: Non-GAAP Reconciliation
NON-GAAP RECONCILIATION Non-GAAP Reconciliation (Values in Millions) 31-Dec-19 Revenues $ 28.2 $ 25.0 $ 22.9 $ 20.8 Reconciliation from Operating Income (Loss) to Adjusted EBITDA: Operating Income (Loss) $ (5.1) $ (3.8) $ (3.1) $ (3.6) Depreciation and Amortization $ 2.0 $ 19 $ 12 $ 15 EBITDA $ (3.0
Slide 16: Balance Sheet Highlights
BALANCE SHEET HIGHLIGHTS fal 12) =) Account 9/30/2020 12/31/19 Cash $ na $ 22 Restricted Cash &SettlementFunds $ 40.2 $ 49.4 Total Assets $ 608 $ 616 Total Liabilities $ Total Equity $ Total Liabilities & Stockholder Equity $ Additional information Net Loss Carryforward $ 155 60.8 54.0 © usio’ 12/31
Slide 17: Investment Summary
X | ®usio" INVESTMENT SUWIMARY * Innovative Leader in the Fast-Growing FinTech space * Synergistic Multi-Channel Product Portfolio * ACH * Prepaid Card Issuing * Merchant Processing — = * Electronic Bill Presentment & Payment eae rs * Print and Mail ae zees * On Pace for Record Revenues =: yo] * Con
Slide 18: Investor Presentation
© USIO’ Investor ial JULY 1, 2019 usio.com USIO Nasdaq Listed