Repay Holdings Corporation · NASDAQ:RPAY
Repay — Investor Presentation (August 2022)
28 slides from Repay's investor presentation, Aug 9, 2022
Slide 1: August 2022 Investor Presentation
August 2022 Investor Presentation Exhibit 99.3
Slide 2: Disclaimer
Disclaimer On July 11, 2019 (the “Closing Date”), Thunder Bridge Acquisition Ltd. (“Thunder Bridge”) and Hawk Parent Holdings LLC (“Hawk Parent”) completed their previously announced business combination (the “Business Combination”) under which Thunder Bridge acquired Hawk Parent, upon which Thunder
Slide 3: Agenda
Agenda Introduction to REPAY REPAY Investment Highlights REPAY Financial Overview 1 2 3 2
Slide 4: Introduction to REPAY
1 Introduction to REPAY
Slide 5: REPAY's proprietary, integrated payment technology platform reduces complexity of electronic payments
REPAY’s proprietary, integrated payment technology platform reduces the complexity of electronic payments for clients, while enhancing the overall experience for consumers and businesses REPAY provides integrated payment processing solutions to verticals that have specific transaction processing nee
Slide 6: Your Industry. Our Expertise.
ENERGY AUTOMOTIVE LOANS B2B MERCHANT ACQUIRING PERSONAL LOANS CREDIT UNIONS HEALTHCARE MORTGAGE ARM B2B AP AUTOMATION Your Industry. Our Expertise.
Slide 7: Who We Are
Who We Are A leading, highly-integrated omni-channel payment technology platform modernizing B2B payments, loan repayment verticals, and healthcare payments CAGR is from 2019A–2021A As of 6/30/2022 2021A Cash Flow Conversion calculated as Adjusted EBITDA – Capex / Adjusted EBITDA 2021 ANNUAL CARD PA
Slide 8: Driving Shareholder Value
LONG-TERM GROWTH ORGANIC GROWTH M&A CATALYSTS Deepen presence in existing verticals (e.g. Automotive, B2B, Credit Unions, Revenue Cycle Management, Healthcare) Expand into new verticals/geographies Transformational acquisitions extending broader solution suite Driving Shareholder Value 1) Third-part
Slide 9: Our Strong Execution and Momentum
Our Strong Execution and Momentum TOTAL ADDRESSABLE MARKET ~$535Bn ~$5.3Tn(2) # OF ISV INTEGRATIONS 53 230(4) CLIENT COUNT ~4,000 ~21,000+(3) Delivering Superior Results (FY 2021) Second Quarter 2022(1) AT INITIAL BUSINESS COMBINATION (IBC) CARD PAYMENT VOLUME GROSS PROFIT ADJ. EBITDA +35% +44% +57%
Slide 10: REPAY Investment Highlights
2 REPAY Investment Highlights
Slide 11: Business Strengths and Strategies
1 Business Strengths and Strategies A leading, omni-channel payment technology provider Fast growing and underpenetrated market opportunity Vertically integrated payment technology platform driving frictionless payments experience Experienced board with deep payments expertise Multiple avenues for l
Slide 12: We are Capitalizing on Large, Underserved Market Opportunities
1 We are Capitalizing on Large, Underserved Market Opportunities REPAY’s existing verticals represent ~$5.3Tn(1) of projected annual total payment volume END MARKET OPPORTUNITIES Healthcare $30Bn $185Bn $70Bn $420Bn $500Bn $70Bn $600Bn $1.2Tn $2.2Tn Energy Credit Unions ARM Mortgage Personal Loans A
Slide 13: Key end markets have been underserved by payment technology and service providers
1 Key end markets have been underserved by payment technology and service providers Credit cards are not permitted in loan repayment which has resulted in overall low card penetration CLIENTS SERVING REPAY’S MARKETS ARE FACING INCREASING DEMAND FROM CUSTOMERS They want electronic and omnichannel pay
Slide 14: Card and Debit Payments Underpenetrated in Our Verticals
Card and Debit Payments Underpenetrated in Our Verticals The Nilson Report – December 2018. Represents debit and credit as a percentage of all U.S. consumer payment systems, including various forms of paper, card, and electronic payment methods Third-party research and management estimates Across RE
Slide 15: REPAY Has Built a Leading Next-Gen Software Platform
REPAY Has Built a Leading Next-Gen Software Platform Proprietary, integrated payment technology platform reduces complexity for a unified commerce experience Pay Anywhere, Any Way, Any Time Businesses and Consumers Clients 2
Slide 16: Value Proposition to REPAY's Clients
REPAY Has Built a Leading Next-Gen Software Platform Clients Value Proposition to REPAY’s Clients Accelerated payment cycle (ability to lend more / faster) through card processing Faster access to funds to help businesses with working capital 24 / 7 payment acceptance through “always open” omni-chan
Slide 17: Value Proposition to REPAY's Clients' End Customers
REPAY Has Built a Leading Next-Gen Software Platform Businesses and Consumers Value Proposition to REPAY’s Clients’ End Customers Self-service capabilities through ability to pay anywhere, any way and any time, 24 / 7 Option to make real-time payments through use of card transactions Immediate feedb
Slide 18: Key Software Integrations Accelerate Distribution
Key Software Integrations Accelerate Distribution REPAY leverages a vertically tiered sales strategy supplemented by software integrations to drive new client acquisitions Tier 3 (Direct Sales) $5MM+ Monthly Volume Tier 2 (Direct Sales) $1MM – $5MM Monthly Volume Tier 1 (Call Center) <$1MM Monthly V
Slide 19: Attractive and Diverse Client Base Across Key Verticals
Attractive and Diverse Client Base Across Key Verticals REPAY’s platform provides significant value to >21,000(1) clients offering solutions across a variety of industry verticals offering solutions across a variety of industry verticals Healthcare Other ARM B2B Loan Repayment ~20% of card payment v
Slide 20: Demonstrated Ability to Acquire and Successfully Integrate Businesses
Demonstrated Ability to Acquire and Successfully Integrate Businesses Represents a significant opportunity to enhance organic growth in existing verticals and accelerate entry into new markets and services Extend Solution Set via New Capabilities New Vertical Expansion Deepen Presence in Existing Ve
Slide 21: Multiple Levers to Continue to Drive Growth
*Majority of growth derived from further penetration of existing client base Multiple Levers to Continue to Drive Growth EXPAND USAGE AND INCREASE ADOPTION* ACQUIRE NEW CLIENTS IN EXISTING VERTICALS OPERATIONAL EFFICIENCIES FUTURE MARKET EXPANSION OPPORTUNITIES STRATEGIC M&A REPAY’s leading platform
Slide 22: Experienced Board with Deep Payments Expertise
Richard Thornburgh Senior Advisor, Corsair Bob Hartheimer Former Managing Director, Promontory Experienced Board with Deep Payments Expertise John Morris CEO & Co-Founder Shaler Alias President & Co-Founder William Jacobs Former SVP, Mastercard / Board Member, Global Payments and Green Dot Peter Kig
Slide 23: REPAY Financial Overview
2 ) REPAY Financial d Overview
Slide 24: Financial Highlights
Financial Highlights Low volume attrition and low risk portfolio Differentiated technology platform & ecosystem Deeply integrated with customer base Recurring transaction / volume-based revenue 2021 ANNUAL CARD PAYMENT VOLUME $20.5B SOFTWARE INTEGRATIONS(1) 230 CASH FLOW CONVERSION(2) 76% HISTORICAL
Slide 25: Significant Volume and Revenue Growth
Total Card Payment Volume ($Bn) Total Revenue ($MM) Significant Volume and Revenue Growth REPAY has generated strong, consistent volume growth, resulting in ~$20.5Bn in annual card processing volume in 2021 REPAY’s revenue growth has been strong, resulting in 45% CAGR from 2019 to 2021 42% 42% 44% 2
Slide 26: Translating into Accelerating Profitability
Gross Profit ($MM)(1) Adjusted EBITDA ($MM)(2) ...Translating into Accelerating Profitability Gross margins are improving due to a decrease in processing costs Highly scalable platform with attractive margins 75% 75% 73% 44% % Margin 41% CAGR 38% 43% % Margin 44% CAGR Gross profit represents total r
Slide 27: Adjusted EBITDA Reconciliation – Historical
Adjusted EBITDA Reconciliation – Historical Note: Financials have been updated to match the Company’s restated financials in its Form 10-K for the year ended December 31, 2020. For the year ended December 31, 2021, reflects amortization of customer relationships, non-compete agreement, software, and
Slide 28: Thank you
ale Thank you