International Money Express, Inc. · NASDAQ:IMXI
International Money Express — Q3 2023 Earnings Presentation
21 slides from International Money Express's earnings presentation, Nov 7, 2023
Slide 1: 3rd Quarter 2023 Earnings Presentation
3rd Quarter 2023 Earnings Presentation November 7, 2023 EXPERIENCE ● TRUST ● INNOVATION ● GROWTH
Slide 2: Safe Harbor Statement / Non-GAAP Financial Measures
Safe Harbor Statement / Non-GAAP Financial Measures This presentation contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, which reflect our current views concerning certain events that are not historical facts but could affect
Slide 3: Third Quarter 2023 Highlights
Third Quarter 2023 Highlights $172.4M $14.8M $0.41 Revenue Net Income Diluted EPS 22.5% YoY Growth -10.8% YoY Decline -4.7% YoY Decline $31.7M $18.4M $0.51 Adjusted EBITDA(1) Adjusted Net Income(1) Adjusted Diluted EPS(1) 14.0% YoY Growth -11.1% YoY Decline -5.6% YoY Decline EXPERIENCE ● TRUST ● INN
Slide 4: Driving Market Share Growth
Driving Market Share Growth Five countries represent 82% of all money sent to LACA (3) 21.8% 20.6% 20.0% (Mexico, Guatemala, Honduras, El Salvador, Dominican Republic)(1)(2) 18.3% 17.2% 16.6% 14.2% 3Q17 3Q18 3Q19 3Q20 3Q21 3Q22 3Q23 1) Market size inbound remittances per Banco de Mexico, Banco de Gu
Slide 5: Customer & Transaction Growth Drives Revenue
Customer & Transaction Growth Drives Revenue Active, Unique Customers at the end of the Quarter Money Transfer Transactions (in millions) (in millions) 4.0 15.4 12.2 3.0 2.7 10.5 3Q21 3Q22 3Q23 3Q21 3Q22 3Q23 Note: Percentage calculations may contain differences due to rounding. 5 EXPERIENCE ● TRUST
Slide 6: Digital Transaction Growth
Digital Transaction Growth Digitally Originated Transactions Total Digital Send / Receive as a % of Total Transactions 33.2% 28.1% 3Q22 3Q23 3Q22 3Q23 6 EXPERIENCE ● TRUST ● INNOVATION ● GROWTH
Slide 7: Principal Sent Trends
Principal Sent Trends Principal Sent Average Principal Sent (in millions) $6,599.0 $447 $450 $429* $5,507.6 Driven by M&A: $4,709.0 La Nacional: $298 avg. iTransfer: $295 avg. 3Q21 3Q22 3Q23 3Q21 3Q22 3Q23 * Core business avg. principal up $4 YoY 7 EXPERIENCE ● TRUST ● INNOVATION ● GROWTH EXPERIENCE
Slide 8: Revenue and Net Income: 3Q 2023
Revenue and Net Income: 3Q 2023 Revenue Net Income ($ in millions) ($ in millions) $16.6 $172.4 $14.8 $140.8 Diluted EPS $0.41, -4.7% $9.0 $120.7 3Q21 3Q22 3Q23 3Q21 3Q22 3Q23 8 EXPERIENCE ● TRUST ● INNOVATION ● GROWTH
Slide 9: Adj. EBITDA, Adj. NI: 3Q 2023
Adj. EBITDA, Adj. NI: 3Q 2023 Adjusted EBITDA (1) Adjusted Net Income (1) ($ in millions) ($ in millions) $31.7 $20.7 $27.8 $18.4 $22.9 Diluted EPS(1) $15.3 $0.51, -5.6% 19.0% 19.7% 18.4% 3Q21 3Q22 3Q23 3Q21 3Q22 3Q23 Adj. EBITDA Margin (1) (1) Non-GAAP measure. See Appendix for reconciliations to t
Slide 10: Strong Cash Generation & Balance Sheet
Strong Cash Generation & Balance Sheet Net Free Cash Generated(1) Liquidity Summary Cash & Equivalents: $222.4M ($ in millions) $18.4 $17.6 Undrawn Revolver* at 9/30/23: $64M $11.9 Leverage Total Debt: $199.8M Debt to Adj. EBITDA (trailing twelve months): 1.7x Net Debt to Adj. EBITDA (trai
Slide 11: 2023 Guidance
2023 Guidance Fourth Revenue Adjusted Diluted Diluted EPS Adjusted EBITDA (1) Quarter $170.0M – $181.0M, Up 10% - 17% $0.43 – $0.46, EPS (1) $0.51 – $0.54, $31.4M – $33.4M, Up 22% - 30% Up 8% - 15% 2023 Up 6% - 12% (1) A quantitative reconciliation of projected Adjusted Net Income and Adjusted EBITD
Slide 12: Appendix
Appendix EXPERIENCE ● TRUST ● INNOVATION ● GROWTH
Slide 13: Condensed Consolidated Balance Sheets
Condensed Consolidated Balance Sheets September 30, December 31, (in thousands of dollars) 2023 2022 ASSETS (Unaudited) Current assets: Cash and cash equivalents $ 222,447 $ 149,493 Accounts receivable, net 163,007 129,808 Prepaid wires, net 84,147 90,386 Prepaid expenses and other current assets 12
Slide 14: Condensed Consolidated Statements of Income
Condensed Consolidated Statements of Income Three Months Ended September 30, Nine Months Ended September 30, (in thousands of dollars, except for share data) 2023 2022 2023 2022 (Unaudited) (Unaudited) Revenues: Wire transfer and money order fees, net $ 147,387 $ 120,718 $ 416,355 $ 336,340 Foreign
Slide 15: Reconciliation from NI to Adjusted NI
Reconciliation from NI to Adjusted NI Three Months Ended September 30, Nine Months Ended September 30, (in thousands of dollars, except for per share data) 2023 2022 2023 2022 (Unaudited) (Unaudited) Net income $ 14,832 $ 16,626 $ 42,016 $ 44,264 Adjusted for: Share-based compensation (a) 2,274 2,62
Slide 16: Recon. from GAAP Basic EPS to Adjusted Basic EPS
Recon. from GAAP Basic EPS to Adjusted Basic EPS Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Unaudited) (Unaudited) GAAP Basic Earnings per Share $ 0.42 $ 0.44 $ 1.17 $ 1.16 Adjusted for: Share-based compensation 0.06 0.07 0.17 0.15 Restructuring costs 0.03
Slide 17: Recon. from GAAP Diluted EPS to Adjusted Diluted EPS
Recon. from GAAP Diluted EPS to Adjusted Diluted EPS Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Unaudited) (Unaudited) GAAP Diluted Earnings per Share $ 0.41 $ 0.43 $ 1.14 $ 1.14 Adjusted for: Share-based compensation 0.06 0.07 0.17 0.14 Restructuring costs
Slide 18: Recon. from NI to Adjusted EBITDA
Recon. from NI to Adjusted EBITDA Three Months Ended September 30, Nine Months Ended September 30, (in thousands of dollars) 2023 2022 2023 2022 (Unaudited) (Unaudited) Net income $ 14,832 $ 16,626 $ 42,016 $ 44,264 Adjusted for: Interest expense 2,801 1,466 7,643 3,530 Income tax provision 6,619 2,
Slide 19: Recon. of NI Margin to Adj. EBITDA Margin
Recon. of NI Margin to Adj. EBITDA Margin Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 (Unaudited) (Unaudited) Net Income Margin 8.6% 11.8% 8.6% 11.3% Adjusted for: Interest expense 1.6% 1.0% 1.6% 0.9% Income tax provision 3.8% 1.9% 3.7% 3.4% Depreciation and
Slide 20: Recon. of NI to Net Free Cash Generated
Recon. of NI to Net Free Cash Generated Three months ended September 30, Nine months ended September 30, (in thousands of dollars) 2023 2022 2023 2022 (Unaudited) (Unaudited) Net income for the period $ 14,832 $ 16,626 $ 42,016 $ 44,264 Depreciation and amortization 3,472 2,278 9,511 6,712 Share-bas
Slide 21: Questions or request for conference call please contact
Questions or request for conference call please contact: Mike Gallentine, VP of IR [email protected] 305-671-8005 EXPERIENCE ● TRUST ● INNOVATION ● GROWTH
International Money Express — Q3 2023 Earnings Presentation on 6ix