Automatic Bank Services Ltd. · TASE:SHVA
Automatic Bank Services — FY2022 Earnings Presentation
28 slides from Automatic Bank Services's earnings presentation, Apr 23, 2024
Slide 1: FY 2022 Financial Review
Co G shva 7 FY 2022 Financial Review >>
Slide 2: Legal Disclosure
Legal Disclosure This presentation has been prepared by AUTOMATIC BANK SERVICES LIMITED (the Company) to provide general information about the Company, its operations, and financial results following the 2022 annual reports. The information contained in the presentation is provided for convenience o
Slide 3: SHVA serves as a critical infrastructure at the core of the Israeli payment ecosystem
SHVA serves as a critical infrastructure at the core of the Israeli payment ecosystem An advanced payments The national operator of and aggregated data both Payment Card Services service provider and ATM systems in Israel SHVA operates and manages two controlled payment systems supervised by the Pay
Slide 4: 24/7 processing of every transaction, in every Point-of-Sale
24/7 processing of every transaction, in every Point-of-Sale 65 441 2 Million NIS Billion Billion Annual transactions, Annual payments Annual transactions account information requests proccessed and ATM withrawals 10.5M 187K 256K Active payment cards Average active Pinpads Average connected Terminal
Slide 5: Stability and Growth in All Aspects
Stability and Growth in All Aspects Financial Stability Resilient Technology Strong Market 212M NIS 100% Steady growth in payment in Equity Availability of the card transactions (in millions) payment system 2,066 39.1% 1,660 Operating Profit 99.999% Availability of the No Financial leverage ATM netw
Slide 6: The Israeli Payment Card system
Settlement Issuer Pay for Transaction Acquirer (Q2 2023) The Israeli r g Au es ss ire in re qu rm qu me th t/re age Payment or sp ac info iza o an ce tio ns vi n e Ad Card Cardholder fees Pay per transaction Pay per transaction Merchant fees Services Au nf system th irm co or at iza io tio n n Opera
Slide 7: The Israeli ATM system
Payment for cash withdrawal (Q2 2023) Settelment system (Q2 2023) Issuer Acquirer Au ons re on n The Israeli sp sp io th e m se re at or e y/ riz iza ss er ho tio ag qu ut n e ATM A Cash system withdrawal fees Operation Model Cash withdrawal Cardholder 7 External operation Operation within SHVA’s sy
Slide 8: Experienced Leadership dedicated to Excellence and Growth
Experienced Leadership dedicated to Excellence and Growth The strategic plan relies upon the development of current employees, the recruitment of new talent, and the strengthening of management with innovation-experienced leaders Eitan Lev-Tov CPA Ofer Eden Rin Krichel Metsuyanim Guy Ram CEO CFO VP
Slide 9: Solid business model allows SHVA to maintain stability and create diversified revenue sources
quirers / Is suers Solid business Ac an d model allows th or iz a t io n transa ctio ns Au SHVA to maintain ina ls & P in P a ds man age m m en stability and Te r Se tt le m e n t se rvic e t create diversified t ion al serv rk er a ice n p wo s Ag O atio revenue sources “ASH gre al net Merc stomiz
Slide 10: A Key Player in a Fast-Growing Market
A Key Player in a Fast-Growing Market Growth Technological Active in Private Development Regulator Consumption Increased consumption High demand for New regulation new and advanced promotes diversity Growth of e-commerce payment solutions and competition in shopping with the payment industry payment
Slide 11: SHVA provides solutions for the changing needs of the market
SHVA provides solutions for the changing needs of the market 11
Slide 12: SHVA vision and strategy
Smart payments and aggregated data management From To SHVA vision operational- business- Infrastructure solutions based oriented oriented and strategy on advanced technology company company which operates provides technological technological infrastructure, Diversified payment aggregated data, and p
Slide 13: Investing in the future
Cloud-based architecture New payment solutions and advanced services Investing Aggregated data in the A strategic Technological approach transformation future promotes Upgrading systems innovation while Modernization of Investment and development of maintaining core systems core infrastructure techn
Slide 14: Driving Toward Future Growth
Driving Toward Future Growth SHVA’s growth engines 14
Slide 15: One arena - multiple advanced solutions
One arena - multiple advanced solutions The imperative SHVA Arena Target audience High demand for SHVA is expanding its ASHRAIT* PSPs advanced and stable services, aligned with the evolving Fintechs PayTech solutions for demands of the market, which allows merchants PSPs to provide merchants with a
Slide 16: Broad and updated aggregated data on merchants' activity
Broad and updated aggregated data on merchants’ activity The imperative SHVA Insights Target audience Lack of broad Data-as-a-service - Aggregated, Credit providers for understanding of the broad and rich data aligned with merchants business activity of the needs of financial institutions, Reconcili
Slide 17: The infrastructure for new payment solutions
The infrastructure for new payment solutions The imperative CLP Powered by SHVA Target audience Driving and promoting Allowing all merchants which works Customer clubs competitiveness in trough SHVA’s payment system to management closed-loop payments* accept Closed Loop Payments companies (CLP) BNPL
Slide 18: Expanding operational services to members of the Payment System
Expending operational services to members of the Payment System The imperative Member’s Extra Services Target audience Credit Card companies Extending the operational and Acquirers require additional technological services to the Issuers services over the participants in the Payment System Payment S
Slide 19: Expanding the business model
irers cqu Ban Expanding the s /A ions t Cash ks r tran sac with business model ue n an d d ent Pin Co dra wa Iss io a n de ln at a ls gem cus et iz in ana tom rm s m w or based on current e v ice Settle or T ad r iz th s e me k t Au P e n nt customers and services, at m se al n tle ion n r Pi io t s
Slide 20: 2022 Summary
2022 Summary Looking Ahead 20
Slide 21: Main Financial Results (2022)
Main Financial Results (2022) 117.3M NIS 45.8M NIS 24.1M NIS Revenues Operating Profit Income Attributable to Shareholders 254M NIS Of them 175.6M NIS 22M NIS Assets Cash, cash equivalents, Short term Dividends deposits, and Held-for-trading securities 21
Slide 22: Financial Resilience and Steady Growth
Financial Resilience and Steady Growth (in NIS Million) Operating Profit Revenues 50.3 117.3 110.4 45.8 81.6 85.2 31.7 33.6 2019 2020 2021 2022 2019 2020 2021 2022 Net Cash Provided by Operating Activities Equity 47.1 206.8 212.4 43.1 186.8M 35.3 35.7 159.4M 2019 2020 2021 2022 2019 2020 2021 2022 2
Slide 23: Expenses for Separation from MASAV
Expenses for Separation from MASAV (in Million NIS) 0.7 2021 5.3 2022 10~12 2023 (Estimation) 15.3 Annual ongoing expenses after separation is complete (Based on internal estimation) Severing the joint affiliations will be done gradually and in a controlled manner. The separation from MASAV is set t
Slide 24: SHVA Distributes Dividends for its Shareholders Every Year
SHVA Distributes Dividends for its Shareholders Every Year For FY19 For FY20 For FY21 For FY22 Distributed in In thousands NIS In thousands NIS In thousands NIS In thousands NIS 2021 11,700 13,500 2022 22,000 2023 22,000 24
Slide 25: Accelerating the development of the Israeli payments market
Accelerating the development of the Israeli payments market
Slide 26: Appendix
Appendix Gstwa
Slide 27: FY22 Balance Sheet
FY22 Balance Sheet (in thousands NIS) Total lease liabilities Other assets 21,372 Trade payables, other Property, plant and 3,539 Cash, cash equipment, intangible equivalents and accounts payable and Short term deposits tax liabilities assets, and right-of-use 16,594 assets 48,028 49,399 Other liabi
Slide 28: FY22 Annual Income Statement
FY22 Annual Income Statement (in thousands NIS) 2022 2021 2020 Revenues 117,283 110,408 85,203 Payroll and associated expenses 46,776 39,150 31,931 Operational general and 24,676 20,928 19,720 administrative expenses Total operating general and 71,452 60,078 51,651 administrative expenses Operating
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