Zip Co Ltd. · ASX:ZIP
Zip — Macquarie Group Conference 2025
22 slides from Zip's conference presentation, May 7, 2025
Slide 1: Macquarie Group Conference Presentation (ASX announcement)
7 May 2025 Macquarie Group Conference Presentation Zip Co Limited (ASX: ZIP) (“Zip”, or the “Company”) provides a copy of the presentation to be given by the Group CEO and Managing Director, Cynthia Scott, at the Macquarie Group Conference today, Wednesday 7 May 2025. The presentation includes an up
Slide 2: Macquarie Group Conference Presentation
Macquarie Group Conference Presentation Cynthia Scott, Group CEO and Managing Director Zip Co Limited 7 May 2025
Slide 3: Who we are
Who we are • Zip’s purpose is to unlock financial potential, together Key statistics (to 31 March 2025) through providing fair, flexible and transparent point-of-sale credit and digital payment services $12.1bn annual total transaction • Operate across the United States (US), in Australia and value
Slide 4: Our mission and purpose
Our mission and purpose Purpose Unlocking financial potential, together To bring exceptional experiences, innovation and partnership Mission to every financial journey Values Customer first Own It Change the Game Stronger Together Two-sided Product Unique credit Strong track record in Enabled by bus
Slide 5: Our differentiated business model delivers growth, profitability and capital efficiency
Our differentiated business model delivers growth, profitability and capital efficiency Acquisition Engagement Scale Profitability Grow active Drive repeat Drive cash Deliver operating customers, merchant network X usage, product engagement and X earnings supported by = leverage and efficiently allo
Slide 6: Zip customers can shop seamlessly, anywhere
Zip customers can shop seamlessly, anywhere Hi there, Hi there, Jessica James Online checkout In-store / physical Google Pay1 Chrome MS Edge iOS Android At merchant Embedded In App Note: (1) US integration in early stages. 5
Slide 7: Zip's merchant and partner network drives top line sales growth and customer conversion
Zip’s merchant and partner network drives top line sales growth and customer conversion Merchant value proposition Select merchants Offering Zip at checkout supports improved conversion rates, larger baskets, customer referrals and higher repurchase rates Access to value-add services, as well as Zip
Slide 8: Two regional growth engines with tailored strategies and products to win
Two regional growth engines with tailored strategies and products to win US ANZ Execute on significant growth opportunity Leverage leading market position Financial flexibility, to serve the everyday Leverage strategic assets to scale next Strategy needs of everyday Americans, everywhere generation
Slide 9: US: Significant growth opportunity in an early-stage BNPL market
US: Significant growth opportunity in an early-stage BNPL market Significant headroom for US BNPL market growth, adoption is still in the early stages compared to more established markets4 US$12.8t1 <2% of total payments US payments market1 84% in-store, 16% e-commerce 6% of e-commerce US US$130b BN
Slide 10: US: Well-positioned to perform in a range of economic scenarios
US: Well-positioned to perform in a range of economic scenarios Resilient customer base Active credit management supports profitable growth US monthly cohorts, 120-day bad debt performance (% of TTV) Majority of TTV derived from non-discretionary spend with Zip used as a cash flow management 2.0 too
Slide 11: AU: Our product set meets a range of customer needs
AU: Our product set meets a range of customer needs Balance your everyday Balance your everyday Pay for your next One-off funding for spending. spending. Plus more. step in life. life’s milestones. Everyday spend Family Pet care Home improvement Travel Health 10
Slide 12: ANZ: Strategic assets provide the foundations for the next horizon of profitable growth
ANZ: Strategic assets provide the foundations for the next horizon of profitable growth Strategic assets Growth levers c.10% of the Australian Distribute core products adult population are to targeted verticals active customers 58.7k merchants Scale Zip Plus and offering Zip products Zip Personal Lo
Slide 13: Company performance
Company performance
Slide 14: Significant turnaround in group profitability driven by US growth and operating leverage
Significant turnaround in group profitability driven by US growth and operating leverage Group cash EBTDA ($m) Key metrics2 +$201.2m 14.2% FY25 year to date operating margin1 (up from 7.9% in FY24) ≥153.0 Nil corporate debt 69.0 $2,746.5m customer receivables $204.5m available cash and liquidity $50
Slide 15: 3Q25 group highlights
3Q25 group TTV ($b) +35.7% YoY Total income ($m) +26.5% YoY Net bad debts (% of TTV) -8bps YoY highlights 3.3 278.9 1.7% 2.4 220.5 1.6% Delivered record cash 3Q24 3Q25 3Q24 3Q25 3Q24 3Q25 EBTDA of $46.0m underpinned by Active customers (m) Transactions (m) Merchants (#k) +4.2% YoY +27.3% YoY 7.2% Yo
Slide 16: April trading update
April trading update • The operating environment continues to evolve, particularly in the US • Momentum in TTV growth has continued across both markets • In the US, year on year TTV growth for the month of April was above 40% • The portfolios in both regions continue to perform well and there are no
Slide 17: Summary
Summary
Slide 18: Zip has a clear strategy to drive future growth
Zip has a clear strategy to drive future growth Growth and Product Operational engagement innovation excellence Secure new merchant and Accelerat e Improve and automate key strategic partnerships innovat io n customer journeys Scale embedded Scale Personal Loans Enhance core operating distribution c
Slide 19: Attractive investment proposition
Attractive investment proposition US TTV (US$b) and Cash EBTDA ($m) and YoY growth (%) operating margin (%) Two-sided revenue model with deep 13.0% customer, merchant and channel +38% partnerships +40% +43% 8.6% +42% 7.2% +32% Disciplined execution driving +44% 1.5 significant operating leverage +30
Slide 20: Appendix
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Slide 21: Zip product suite
Zip product suite Product Pay-in-Z Pay-in-4 Zip Pay Zip Plus Zip Money Personal Loan Market US NZ AU AU AU AU 53.7k merchants + Acceptance Everywhere1 3.8k merchants Everywhere1 Everywhere1 N/A anywhere online Pay by account or Account type Pay by instalments Pay by instalments Pay by account Pay by
Slide 22: Disclaimer and important notices
Disclaimer and important notices The information contained in this presentation has been prepared by Zip Co Limited ACN 139 546 428 This presentation may contain certain “forward looking statements”. Forward risks, uncertainties (Company). and other factors, many of which are outside the control of