Cash Converters International Limited · ASX:CCV
Cash Converters International — FY2014 Earnings Presentation
14 slides from Cash Converters International's earnings presentation, Aug 21, 2014
Slide 1: Investor Presentation August 2014
For personal use only Investor Presentation August 2014
Slide 2: Strong 2nd Half Performance
Strong 2nd Half Performance For personal use only 2nd Half 1st Half Move FY14 FY14 Revenue $m 175.9 155.8 +12.9% EBITDA $m 29.9 21.7 +37.5% EBIT $m 25.7 17.9 +43.6% NPAT $m 14.3 9.9 +44.9% EPS Cps 3.38 2.30 +47.0% DPS Cps 2.00 2.00 +0.0% Strong Second Half Improvement Driven by: Corporate store reve
Slide 3: FY2014 Results
FY2014 Results For personal use only FY 2014 FY 2013 Move Revenue $m 331.7 272.7 +21.6% EBITDA $m 51.6 57.0 -9.5% EBIT $m 43.7 50.6 -13.6% NPAT $m 24.2 32.9 -26.4% EPS Cps 5.67 8.09 -29.9% DPS Cps 4.00 4.00 +0% Final dividend of $0.02 per share (fully franked) payable on 30 September 2014 to share h
Slide 4: HY2014 Segment Results
HY2014 Segment Results For personal use only Divisional EBITDA FY14 FY13 Move Franchise Operations 6.63 6.39 +3.9% Store Operations 15.62 9.10 +71.6% Financial Services - Administration 10.41 14.20 -26.7% Financial Services – Personal Loans 39.84 42.46 -6.2% Green Light Auto (after minority) (0.98)
Slide 5: Business Model
Business Model For personal use only • Corporate and Franchised Store retail network driving sales of financial services products • The major revenue segments are: Franchise operations Retail store operations and pawn-broking (company owned stores) Personal Finance – cash advance and pay-day lending
Slide 6: FY2014 Overview
FY2014 Overview For personal use only Strong recovery experienced in the second half. This upward trend should continue into FY15 as lending in Australia for both the personal and cash advance loans products continues to grow The personal loan book in Australia grew by 19%, from $91.5m as at 31 Dec
Slide 7: Australian Personal Loan Book
Australian Personal Loan Book For personal use only 30 June 2014 Loan Book $109.2m, up 19.3% on FY13 124,853 active customers Produced EBITDA of $38.7m (2013: $40.7m) Bad debt percentage of principal written off to principal advanced increased to 6.6% from 5.6% (1H FY14). Impacted by new the micro-c
Slide 8: Australian Cash Advance
Australian Cash Advance For personal use only Improved Second Half EBITDA Contribution Second half EBITDA contribution of $5.1m, up 13.3% on 1H FY14 contribution of $4.5m Margin per loan decreased as a result of implementing the new rate cap required by the new regulatory regime Total principal loan
Slide 9: Online Loan Growth
Online Loan Growth For personal use only Very strong online loan growth following launch of mobile phone/ tablet application Online Personal Loan Volumes Online Cash Advance Volumes Average loan $402 Average loan $1,114 54% new customers 60% new customers Page 9
Slide 10: Regulatory Environments
Regulatory Environments For personal use only Cash Converters has significant experience operating in a number of regulatory regimes United Kingdom – Regulatory Environment The Financial Conduct Authority (FCA) released a discussion paper on 15 July 2014 in which they propose to introduce a rate cap
Slide 11: Carboodle
Carboodle For personal use only Carboodle was established as Green Light Auto Group Pty Ltd (“GLA”) in 2010. Cash Converters holds an 80% equity interest in GLA. GLA produced an EBITDA loss of $978,648 after minorities for the period Carboodle is a licensed motor vehicle dealer providing customers w
Slide 12: The Outlook
The Outlook For personal use only Strong second half performance following the first half impact of the new regulatory regime in Australia A significant part of loan volume growth has come from our online platforms as our technology enhancements allow loan applications to be made from mobile phones
Slide 13: Appendices
For personal use only Page 13 Appendices
Slide 14: Financial Performance
For personal use only Page 14 Financial Performance
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