Praemium Ltd · ASX:PPS
Praemium — H1 FY2022 Earnings Presentation
20 slides from Praemium's earnings presentation, Feb 14, 2022
Slide 1: 2022 Half-year results
Praemium Limited 2022 Half-year results For personal use only Investor presentation 14 February 2022 ACN 098 405 826 The platform of everything
Slide 2: Disclaimer
Disclaimer The material contained in this document is a presentation of general information about the Praemium Group’s activities current For personal use only as at the date of this presentation (14 February 2022) and is supplementary to the Group’s financial results released to the ASX on 14 Febru
Slide 3: Who we are
Who we are Praemium is a leading provider of wealth management For personal use only technology, platform and portfolio administration services Our story Software company ASX listed in 2006 to Offices in Over 1,000 Covering over founded in 2001 launch the UK Australia, the UK, clients, across $200 b
Slide 4: Business highlights
For personal use only Business highlights Financial results Looking forward Q&A
Slide 5: Executive summary H1 FY2022
Executive summary H1 FY2022 For personal use only ▪ Continuing tailwinds for independent wealth management platforms Strong top-line ▪ Record half for FUA and platform inflows momentum ▪ Strong pipeline of opportunities to support future growth ▪ Extending our competitive edge with ongoing R&D inves
Slide 6: Record inflows and FUA
Record inflows and FUA Record net inflows of $2.9 billion* Record global FUA of $49.0 billion For personal use only Australian platform inflows of $2.2 billion Platform FUA of $27.3 billion, up 33% International platform inflows of $0.7 billion VMAAS FUA of $21.7 billion, up 55% Platform Net Inflows
Slide 7: A productive half
A productive half Continued product development For personal use only Focus on delivering solutions to support advisers meet new regulatory requirements and enhance their business efficiency: ▪ Development of solutions to support the new Design and Distribution Obligations (DDO) ▪ Enhancements to Pr
Slide 8: Financial results
For personal use only Business highlights Financial results Looking forward Q&A
Slide 9: H1 FY2022 financial results
H1 FY2022 financial results Group Financial Results H1, H1, Strong top-line momentum ($m) FY21(1) FY22(2) For personal use only Revenue (net) 31.5 39.2 ▪ Net revenue growth of 25% to $39.2 million, Cost of operations (9.6) (12.3) driven by platform revenue growth of 33% ▪ Gross margin up 23% to $26.
Slide 10: Australian segment result (continuing operations)
Australian segment result (continuing operations) Australia results $m H1 H1 Change Revenue growth of 21% FY21 FY22 H1% For personal use only Platform 16.7 21.7 31% Platform revenue $21.7 million, up 31% Portfolio services 8.0 8.5 7% ▪ Driven by FUA growth of 28% ▪ PPS revenue growth 18% Portfolio s
Slide 11: International segment result (discontinuing operations)
International segment result (discontinuing operations) For personal use only International results $m H1 H1 Change Revenue growth of 41% (net) FY21 FY22 H1% Platform 3.5 5.4 53% ▪ Platform revenue up 53%, FUA up 58% Platform (funds) 0.8 0.6 (24%) ▪ Fund revenue down 24% with Smartfund Protected Pla
Slide 12: Cashflow
Cashflow Cashflow ($m) H1 FY21 H1 FY22 Maintaining cash generation For personal use only Operating cashflow 5.2 2.5 ▪ Operating cashflow of $2.5 million R&D incentive 0.8 - ▪ UK R&D incentives to be received in H2 Tax paid (2.2) (1.9) One-off costs (1.6) (0.7) ▪ Net operating outflow of $0.1 million
Slide 13: Balance sheet
Balance sheet Balance Sheet ($m) Jun’21 Dec’21 Stable balance sheet For personal use only Cash 26.7 19.4 ▪ Strong cash reserves Receivables 9.0 7.1 Financial assets 2.1 14.3 ▪ Group regulatory cash requirement of $12 million Intangibles 64.3 58.8 ▪ Financial assets include international business hel
Slide 14: Looking forward
For personal use only Business highlights Financial results Looking forward Q&A
Slide 15: The platform of everything
The platform of everything For personal use only Leader in Managed Leader in non-custodial Accounts High Net expert Worth (HNW) VMA, our unique Next-generation Managed proprietary technology Accounts platform Broad product suite for the complex needs of The most accurate portfolio Leading edge Advis
Slide 16: Gaining share of Australian platform market
Gaining share of Australian platform market Tailwinds for independent wealth management platforms For personal use only $990 ▪ Industry forces of new regulations, generational change of advisers and billion1 increased independent advice ▪ Expanding HNWI market with Australian millionaires' controlli
Slide 17: Strong momentum through FY2022
Strong momentum through FY2022 VMA Portfolios 60,000 For personal use only VMA VMAAS $3.4 billion $42 billion 92% increase in 30,000 41% increase annual net inflows in total FUA - H2 F20 H1 F21 H2 F21 H1 F22 AUS platform Net Inflows* FUA ($m) 50,000 ($m) 2.5 Aust 54,000+ 25,000 VMAAS 1.3 VMA portfol
Slide 18: Completion of International divestment
Completion of International divestment For personal use only Trans- action Completion Sale overview proceeds Sale of International business to Completion of the transaction Board intends to return Morningstar for $AUD 65 million subject to regulatory approval surplus net proceeds to (£35 million) an
Slide 19: The road ahead - growth investments generating results
The road ahead - growth investments generating results Continuing revenue momentum For personal use only ▪ Record platform inflows ▪ Strong revenue growth in core products ▪ ANZ impact completed Investments in supporting revenue growth ▪ Maintaining R&D leadership Investing ▪ Investment in operation
Slide 20: Contact us
For personal use only contact us Level 19 367 Collins Street Melbourne, VIC 3000 T: 1800 571 881 E: [email protected] W: praemium.com.au