Slide 1: 1Q2024 Results Presentation
iFAST CORPORATION LTD. 1Q2024 Results Presentation 25 Apr 2024
Slide 2: Disclaimer
Disclaimer This presentation should be read as an overview of iFAST Corporation Ltd.’s (“iFAST Corp” or the “Company”, and together with its subsidiaries, the “Group”) current business activities and operating environment. This presentation should not be solely relied upon by current and potential i
Slide 3: Contents
Contents ▪ Key Summary Pg. 4 ▪ 1Q2024 (Jan-Mar 2024) Results Pg. 7 Section I Financial Results ▪ First Interim Dividend Pg. 12 ▪ iFAST’s 3-Year Plan and Fintech Ecosystem Section II Business Update ▪ iFAST Global Bank: Conservative Balance Sheet Strategy ▪ Financial Indicators Pg. 17 ▪ AUA Breakdown
Slide 4: Key Summary
Key Summary • In 1Q2024, the Group’s net profit increased by 387.4% YoY to $14.51 million, on the back of a 59.4% increase in Group gross revenue to $85.96 million, and an 87.4% increase in net revenue to $58.11 million. • The increase in profitability was driven by contributions from the ePension d
Slide 5: Group AUA at record high of S$21.05 billion
$10,000 $14,000 $16,000 $18,000 $22,000 $12,000 $20,000 $- $2,000 $6,000 $8,000 $4,000 Mar-01 S$ million Sep-01 Mar-02 Sep-02 Mar-03 Sep-03 Mar-04 Sep-04 Mar-05 Sep-05 Mar-06 Sep-06 Mar-07 Sep-07 Mar-08 Sep-08 Mar-09 Sep-09 Mar-10 B2B Sep-10 Mar-11 Sep-11 Mar-12 Sep-12 Mar-13 Sep-13 B2C Group AUA in
Slide 6: Net Inflows & Gross Unit Trusts (UT) subscription
Net Inflows & Gross Unit Trusts (UT) subscription S$ million S$ million Net Inflows Gross UT Subscriptions $4,000 $8,000 $3,745 $7,052 $3,500 $7,000 $3,160 $3,000 $6,000 $5,647 $5,223 $2,500 $5,000 $4,490 $2,104 $1,957 $4,000 $2,000 $1,500 $3,000 $1,000 $2,000 $1,591 $688 $1,130 $500 $329 $1,000 $-
Slide 7: Financial Results
Section I Financial Results 7
Slide 8: Financial Results for Group
Financial Results for Group (1Q2024 vs 1Q2023) S$ (Million) 1Q2023 1Q2024 YoY change (%) Total revenue 53.93 85.96 +59.4 Total net revenue 31.01 58.11 +87.4 Other income 0.40 0.52 +29.0 Operating expenses 27.37 40.17 +46.8 Interest expenses on lease liabilities 0.10 0.31 +221.1 Share of results of a
Slide 9: Results Overview for Group
Results Overview for Group S$ (Million) FY2020 FY2021 FY20221 FY20231 1Q20241 Total revenue2 170.76 216.90 208.87 256.54 85.96 Total net revenue2 86.64 113.91 118.24 161.66 58.11 Other income 5.21 0.49 1.72 1.71 0.52 Operating expenses 65.29 77.68 103.84 126.23 40.17 Interest expenses on lease liabi
Slide 10: Financial Indicators for Non-banking Operations
Financial Indicators for Non-banking Operations (1Q2024 vs 1Q2023) S$ (Million) 1Q2023 1Q2024 YoY change (%) Total revenue 49.89 76.42 +53.2 Total net revenue 28.07 53.88 +91.9 Operating expenses 22.53 33.41 +48.3 Profit before tax 6.07 20.65 +240.2 Profit after tax 4.62 16.72 +261.9 Net profit attr
Slide 11: First Interim Dividend for FY2024
First Interim Dividend for FY2024 First Interim Dividend for FY2024 - Schedule Dividend per share 1.30 cents per ordinary share Ex-dividend date 24 May 2024 Record date and time 27 May 2024 (5.00 pm) Payment date 7 June 2024 • For the first interim dividend for 1Q2024, the Directors declared a divid
Slide 12: Business Update
Section II Business Update 12
Slide 13: iFAST's Three-Year Plan
iFAST’s Three-Year Plan 1. Make Solid Progress as a Global Digital Banking and Wealth Management Fintech Platform with a Truly Global Business Model. With a global digital bank as part of the Group’s ecosystem, continue to work on increasing the scale and quality of our wealth management platforms,
Slide 14: iFAST Fintech Ecosystem (as at 31 March 2024)
iFAST Fintech Ecosystem (as at 31 March 2024) Connecting All to Help Investors Invest Globally and Profitably 860,000 5 680 12,800 5 14
Slide 15: iFAST Global Bank Updates: Conservative Balance Sheet Strategy
iFAST Global Bank Updates Conservative Balance Sheet Strategy • The customer deposit amounts for iFAST Global Bank (iGB) grew 41.9% QoQ and 475.7% YoY to GBP 302.9 million (S$515.4 million equivalent) as at 31 March 2024. The increase in deposits continues to be driven by the deposit offering busine
Slide 16: iFAST Global Bank Updates: Regulatory Ratios
iFAST Global Bank Updates Regulatory Ratios Minimum Average Ratio of As at Regulatory Ratios Regulatory 3 Singapore local 31 March 2024 Requirement banks1 Liquidity Coverage Ratio (“LCR”) 801% 100% 149% Net Stable Funding Ratio (“NSFR”) 305% 100% 118% Total Capital Ratio 27% 12.91% 16.9% The Group h
Slide 17: Performance Trends
SECTION III Section III \ Performance Trends 17
Slide 18: Financial Indicators
Financial Indicators S$ (Million) FY2020 FY2021 FY2022 FY2023 1Q2024 EBITDA4 42.04 54.79 37.643 70.50 27.84 Operating Cashflows 41.56 46.53 47.40 273.45 149.18 Net Cash Position1 53.28 59.29 84.09 49.52 14.69 Capital Expenditure2 12.63 21.62 17.87 21.63 2.94 Net Current Assets 58.35 68.03 108.45 110
Slide 19: PBT Margin for Group
PBT Margin for Group (Based on Total Net Revenue) 35.0% 31.6% 31.2% 29.6% 30.0% 25.0% 22.6% 20.0% 15.0% 13.5% 10.0% 5.0% 0.0% 2020 2021 2022 2023 1Q2024 Notes: 1. Includes the new banking operation for FY2022 and excludes impairment loss of S$5.2 million related to India Business recognised in 2Q202
Slide 20: Return on Equity
Return on Equity 30.0% 25.8% 25.0% 21.8% 21.9% 20.0% 15.0% 12.2% 10.0% 5.0%1 5.0% 0.0% 2020 2021 2022 2 2023 1Q2024 Notes: 1. Excluding impairment loss of S$5.2 million related to India Business recognised in 2Q2022. 2. The Group conducted a S$103 million share placement exercise in January 2022. 20
Slide 21: Net Cash Position
Net Cash Position As at 31 Dec 2023 As at 31 Mar 2024 (S$ million) (S$ million) Cash and Cash Equivalents 359.81 452.46 Other Investments¹ 82.80 122.36 Less: Customers’ Deposits (358.62) (515.43) Total Cash 83.99 59.39 Less: Bank Loans (34.47) (44.71) Net Cash Position 49.52 14.69 Gross Debt-to-Equi
Slide 22: Group Operating Cashflows
Group Operating Cashflows S$ million 300.00 273.45 250.00 200.00 149.18 150.00 100.00 41.56 46.53 47.40 50.00 0.00 2020 2021 2022 2023 1Q2024 22
Slide 23: Capital Expenditure
Capital Expenditure S$ million 25.00 21.62 21.63 20.54 20.00 17.87 15.00 12.63 10.00 5.00 0.00 2020 2021 2022 2023 2024F 23
Slide 24: Number of Issued Shares
Number of Issued Shares As at 31 Dec 2023 As at 31 Mar 2024 Total number of issued shares (excluding treasury shares and subsidiary 295,702,851 297,977,729 holdings) 24
Slide 25: Our Consolidated Financial Position
Our Consolidated Financial Position As at 31 Dec 23 As at 31 Mar 24 S$’000 S$’000 ASSETS Plant and Equipment 8,534 9,645 Right-of-use Assets 23,881 21,266 Intangible Assets and Goodwill 80,136 78,648 Associates 413 380 Other Investments 32,965 56,982 Deferred Tax Assets 2,759 2,956 Contract Costs 15
Slide 26: Our Consolidated Financial Position
Our Consolidated Financial Position As at 31 Dec 23 As at 31 Mar 24 S$’000 S$’000 EQUITY Share Capital 171,165 171,435 Reserves 79,031 98,423 EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY 250,196 269,858 Non-Controlling Interests 7,180 6,993 TOTAL EQUITY 257,376 276,851 LIABILITIES Deferred Tax Liabi
Slide 27: Held under Trust
Held under Trust As at 31 Dec 23 As at 31 Mar 24 S$’000 S$’000 HELD UNDER TRUST Client monies maintained in bank deposit accounts 905,844 922,816 Client monies maintained in government debt securities 1,828 4,066 treasury accounts Client ledger balances (907,672) (926,882) - - • Certain non-banking
Slide 28: AUA Breakdown: Markets & Products
AUA Breakdown: Markets & Products (as at 31 Mar 2024) AUA Breakdown By Markets AUA Breakdown By Products 4.2% 6.3% 11.6% 19.8% 11.7% 62.3% 11.6% 72.5% Singapore Hong Kong Unit Trusts Bonds Malaysia Others (China & UK) Stocks & ETFs Cash Account & Deposits 28
Slide 29: Total Net Revenue Breakdown between Recurring and Non-recurring Sources
Total Net Revenue1 Breakdown between Recurring and Non-recurring Sources Average contribution from recurring net revenue as opposed to S$ million non-recurring net revenue in the period from 2023 to 1Q2024 was 84.2% 180 160 29.7 140 120 100 34.5 34.4 80 25.5 131.9 60 12.3 11.3 7.7 8.5 83.9 40 6.9 6.
Slide 30: Bonds Turnover Remained Strong in 1Q2024
Bonds Turnover Remained Strong in 1Q2024 S$ million Fixed Income Turnover 800 700 600 500 400 300 200 100 0 30
Slide 31: Profit/Loss - Geographical Segment
Profit/Loss - Geographical Segment Profit/Loss (S$ Million) 1Q2023 1Q2024 YoY Change (%) Singapore 4.54 8.27 +82.4 Hong Kong 2.29 13.23 +478.4 Malaysia 0.84 0.96 +14.1 China (1.75) (1.71) -2.6 Other1 0.23 (0.03) N.M Non-banking operations 6.14 20.72 +237.6 UK banking operation (1.71) (2.28) +33.7 Pr
Slide 32: Profit/Loss - Geographical Segment
Profit/Loss - Geographical Segment Profit/Loss (S$ Million) FY2020 FY2021 FY2022 FY2023 1Q2024 Singapore 21.32 28.43 16.57 25.20 8.27 Hong Kong 5.79 8.39 8.07 23.82 13.23 Malaysia 3.75 5.39 4.25 4.39 0.96 China (4.88) (5.82) (7.12) (7.19) (1.71) Other1 (0.41) (0.35) 0.30 0.22 (0.03) Non-banking oper
Slide 33: Total Net Revenue - Geographical Segment
Total Net Revenue - Geographical Segment S$ (Million) FY2020 FY2021 FY2022 FY2023 1Q2024 Singapore 56.79 73.50 70.49 81.24 22.34 Hong Kong 19.26 24.43 24.15 52.58 27.69 Malaysia 8.77 13.43 13.64 13.98 3.58 China 1.82 2.55 1.77 1.51 0.27 UK - - 8.19 12.35 4.23 Group 86.64 113.91 118.24 161.66 58.11 Y
Slide 34: Recurring and Non-recurring Total Net Revenue
Recurring and Non-recurring Total Net Revenue (Include Banking Operation) S$ (Million) FY2020 FY2021 FY20221 FY20231 1Q20241 Recurring net revenue2 61.17 79.38 83.86 131.94 50.43 Non-recurring net revenue 25.47 34.53 34.38 29.72 7.68 Total net revenue2 86.64 113.91 118.24 161.66 58.11 YoY Change (%)
Slide 35: Recurring and Non-recurring Total Net Revenue
Recurring and Non-recurring Total Net Revenue (Exclude Banking Operation) S$ (Million) FY2020 FY2021 FY20221 FY20231 1Q20241 Recurring net revenue2 61.17 79.38 83.61 129.19 49.31 Non-recurring net revenue 25.47 34.53 26.44 20.12 4.57 Total net revenue2 86.64 113.91 110.05 149.31 53.88 YoY Change (%)
Slide 36: Net Revenue - B2B Business Segment
Net Revenue1 - B2B Business Segment B2B Net Revenue FY2020 FY2021 FY2022 FY2023 1Q2024 (S$ Million) Recurring net revenue 42.34 55.73 58.05 99.10 42.15 Non-recurring net revenue 10.88 16.42 16.66 12.89 2.38 Total B2B net revenue 53.22 72.15 74.72 111.99 44.54 YoY Change (%) FY2020 FY2021 FY2022 FY20
Slide 37: Net Revenue - B2C Business Segment
Net Revenue1 - B2C Business Segment B2C Net Revenue FY2020 FY2021 FY2022 FY2023 1Q2024 (S$ Million) Recurring net revenue 18.04 22.96 22.99 25.64 6.23 Non-recurring net revenue 14.60 18.11 9.78 7.23 2.19 Total B2C net revenue 32.64 41.07 32.77 32.87 8.42 YoY Change (%) FY2020 FY2021 FY2022 FY2023 1Q
Slide 38: Progress of Individual Markets: Singapore
Progress of Individual Markets Singapore • Net revenue for the Singapore operation in 1Q2024 increased by 22.4% YoY to S$22.34 million. • AUA of the Singapore operation rose 5.7% QoQ and 15.6% YoY to reach an end-of-quarter record high of S$15.27 billion as at 31 March 2024. • The AUA of the B2B bus
Slide 39: Progress of Individual Markets: Singapore
Progress of Individual Markets Singapore • In 1Q2024, more than 350 customers participated in client events, where speakers spoke on a variety of topics, ranging from financial planning to investment outlook. iGM Singapore advisers also attended the iFAST Global Wealth Advisers Symposium 2024, where
Slide 40: Progress of Individual Markets: Hong Kong
Progress of Individual Markets Hong Kong • Net revenue for the Hong Kong operation increased by 351.9% YoY to S$27.69 million in 1Q2024. The Hong Kong operation AUA increased 4.6% QoQ and 1.1% YoY to S$2.46 billion as at 31 March 2024. • The ePension division was the primary revenue driver for Hong
Slide 41: Progress of Individual Markets: Malaysia
Progress of Individual Markets Malaysia • Net revenue for the Malaysia operation in 1Q2024 increased 10.3% YoY to S$3.58 million. • The Malaysia operation AUA increased 5.0% QoQ and 19.3% YoY to S$2.44 billion as at 31 March 2024, achieving another end-quarter record high. • The Malaysia B2B divisio
Slide 42: Progress of Individual Markets: China
Progress of Individual Markets China • The AUA of China operations increased 5.9% QoQ, and fell marginally -0.4% YoY to 1.98 billion RMB (approximately S$369 million) as of 31 March 2024. • While there has been some positive headline data in China, the Group remains cautious on the momentum of the m
Slide 43: Progress of Individual Markets: UK (iFAST Global Bank)
Progress of Individual Markets UK (iFAST Global Bank) • Total net revenue for iFAST Global Bank (iGB) in 1Q2024 grew 43.8% YoY to S$4.23 million. • The Bank’s deposit book continued to grow quickly over 1Q2024, significantly driven by the Digital Personal Banking division. New deposits were deployed
Slide 44: Appendices
[SectionIV_ | Appendices iFAST
Slide 45: Business Overview
Business Overview • iFAST Corporation Ltd. is a global digital banking and wealth management fintech platform with assets under administration (AUA) of S$21.05 billion as at 31 March 2024 (stock code: AIY). • Main business divisions: o Wealth Management: ▪ Business-to-Consumer (B2C): FSMOne.com (for
Slide 46: Milestones
Milestones Launch of “FSM Mobile” 2000 Launch of Fundsupermart.com (B2C) in 2007 Launch of Fundsupermart.com (B2C) in 2011 iPhone application. The Android version of the “FSM Singapore (SG) Hong Kong (HK) Mobile” was launched in the following year ▪ Launch of iFAST Platform ▪ Incorporation of iFAST
Slide 47: Milestones
Milestones ▪ Acquired a stake in the holding ▪ Launch of US stockbroking company of iFAST India Business in HK 2016 ▪ Launch of HKEX stockbroking on HK B2B platform 2018 ▪ Launch of FSMOne in MY ▪ Launch of Insurance on FSM MY ▪ Launch of FSMOne in SG ▪ Launch of HKEX stockbroking on FSM HK ▪ iFAST
Slide 48: Milestones
Milestones • Launch of iFAST Global Bank’s Digital Personal ▪ Launch of Bursa stockbroking in MY and SG Banking Platform in UK ▪ iFAST HK approved as China Connect • Launch of ORSO ePension Services in HK Exchange and Clearing Participant by HKEX; • Launch of USD Auto-Sweep Account in SG launch of C
Slide 49: Truly Global Business Model
Truly Global Business Model • The Future Of Wealth Management. The Group believes that the future of wealth management is one where many investors from various emerging markets will be looking for the best wealth management platforms across the world that can provide them seamless access and connect
Slide 50: iFAST Global Bank: Strategy
iFAST Global Bank: Strategy STRATEGIC GROWTH SUSTAINABLE MODEL TARGET Distinct geographic presence, market sectors leading to financial resilience Short Term Long Term Digital Transaction New IT Platform & • Broader client base DIVERSIFIED Banking Bank Of England • Enhanced product offerings INCOME
Slide 51: Updated Guidance on Hong Kong Targets
Updated Guidance on Hong Kong Targets (Updated on Feb 2024) o Gross Revenue Targets Targets April 2022 Updated Targets Gross Revenue >HKD400 million 2023 Actual Gross Revenue HKD406 million 2023 Gross Revenue >HKD1.1 billion 2024 Gross Revenue >HKD800 million 2024 Gross Revenue >HKD1.6 billion 2025
Slide 52: The Revenue Drivers
The Revenue Drivers • The iFAST business model predominantly involves growing the size of our assets under administration (AUA). Higher AUA will generally lead to higher revenues. • Recurring income accounts for more than two thirds of our net revenue • Sources of Recurring Net Revenue o Trailer fee
Slide 53: FY2023 Breakdown of Net Revenue
FY2023 Breakdown of Net Revenue (For Wealth Management Platform Services) FX Margin, 4.0% Fintech Solutions IT fees, 2.8% Others, 0.9% Transaction Fees/Commission Income (Other Products), 8.2% Transaction Fees/Commission Income (UT and Portfolio Management Services), 1.4% Trailer Fee, 41.1% Net Inte
Slide 54: Fees Illustration
Fees Illustration FUND HOUSES TRAILER FEE PLATFORM FEE PLATFORM FEE B2B CUSTOMERS UPFRONT FEE B2C CUSTOMERS UPFRONT FEE WRAP FEE FX CONVERSION FEES B2B FINANCIAL OTHER ADVISORY COMPANIES FINTECH SOLUTIONS SERVICE FEES FACILITIES 54
Slide 55: Licences Held and Products and Services Available
Licences Held and Products and Services Available (as at 31 March 2024) SINGAPORE HONG KONG MALAYSIA LICENCES & REGISTRATION HELD: LICENCES & REGISTRATION HELD: LICENCES & REGISTRATION HELD : • Capital Markets Services Licence [MAS] • Type 1: Dealing in Securities [SFC] • Capital Market Services Lic
Slide 56: Our Value Proposition
Our Value Proposition PRODUCT B2B CUSTOMERS B2C DIY INVESTORS GLOBAL BANK ePENSION PROVIDERS CUSTOMERS CUSTOMERS • One platform, • One platform, multiple • One platform, multiple • Online account opening • Empower partners multiple B2C and B2B investment products investment products without geograph
Slide 57: iFAST Corp's Risk Journey
iFAST Corp’s Risk Journey 2000-2024 and Beyond iFAST Corp has built upon the following three key elements while braving through multiple economic events over the last 23 years, tiding through the 2001 Dotcom bubble burst, the 2008 Global Financial Crisis and the recent Covid pandemic. This has paved
Slide 58: iFAST Corp's Risk Journey
iFAST Corp’s Risk Journey 2000-2024 and Beyond • Using the analogy of Kart Racing, braking (risk At iFAST, we aim to go far and wide: management) is essential to help the kart accelerate • Thus, we see good risk management as an essential (business strategies) safely through a turn at top partner as
Slide 59: 1Q2024: Activities & Achievements
1Q2024: Activities & Achievements New launches (L-R): Bondsupermart MY obtains approval-in-principle as Regulated Market Operator; iFAST Global Bank launches Faster Payment Services (FPS) B2B Division Client Events: (L-R) iFAST Global Wealth Advisers Symposium 2024; iFAST Singapore: iFAST 30 Million
Slide 60: THANK YOU!
THANK YOU! For more information, please visit: www.ifastcorp.com