Generation Development Group Limited · ASX:GDG
Generation Development — FY2018 Earnings Presentation
18 slides from Generation Development's earnings presentation, Sep 3, 2018
Slide 1: Presenters
For personal use only Presenters Rob Coombe Grant Hackett Terence Wong Executive Chairman General Manager of Distribution Chief Financial Officer
Slide 2: A compelling shareholder value building model
Generation Development Group For personal use only A compelling shareholder value building model Generation Development Group (ASX:GDG) is a licenced Pooled Development Fund (PDF) owning a recurring revenue producing life/investment income Generation Development Group | gendevelopmentgroup.com.au Sh
Slide 3: FY18 Financial Result Summary
FY18 Financial Result Summary For personal use only FY18 FY17 Change Change % Revenue* (A$'000) 13,054 10,726 2,328 22 Expenses (A$'000) -11,536 -9,894 -1,642 -17 Generation Development Group | gendevelopmentgroup.com.au Underlying EBITDA (A$'000) 1,479 824 655 79 Underlying NPAT (A$'000) 1,518 832
Slide 4: In 2018, we invested into our future growth
In 2018, we invested into our future growth For personal use only Brand Products Generation Development Group | gendevelopmentgroup.com.au + Renamed and launched the new brand from Austock + Introduced a new tiered fee structure with no investment Group and Austock Life to Generation Development swi
Slide 5: New management team
New management team For personal use only Generation Development Group | gendevelopmentgroup.com.au Robert Coombe Chris Freeman Catherine van der Veen Lucy Foster Executive Chairman of Independent Non Executive Joint Chief Executive Officer of Generation Joint Chief Executive Officer of Generation G
Slide 6: New management team
New management team For personal use only Generation Development Group | gendevelopmentgroup.com.au Terence Wong Grant Hackett OAM Felipe Araujo Chief Financial Officer of General Manager of Distribution of Head of Key Accounts of Generation Generation Development Group Generation Life Life Joined 1
Slide 7: Market share
Market share Generation Life – Leading inflows For personal use only $ 2.5 b 30.0% Generation Development Group | gendevelopmentgroup.com.au 25.0% $ 2.0 b 20.0% $ 1.5 b Funds under management 15.0% Mkt Share Inflows $ 1.0 b 10.0% $ 0.5 b 5.0% $ 0.0 b 0.0% Others Australian IOOF Centuria CommInsure G
Slide 8: Highlights & key performance measures
Highlights & key performance measures For personal use only Generation Development Group | gendevelopmentgroup.com.au Life Business FUM Life Product Sales Market share* Product rating $887 m $228 m 27.1% Highly Recommended Up 23% Up 71% March quarter 2018 Zenith Active Financial Advisers New Bond Nu
Slide 9: Market expected to continue growing
Market expected to continue growing For personal use only Changes to superannuation Many ‘High Net Worth’ clients simply Generation Development Group | gendevelopmentgroup.com.au can’t get money into Super. DEXX&R have estimated this market to be in excess of $18 billion p.a. Investment bonds will b
Slide 10: Why bonds?
Why bonds? For personal use only The most tax effective structure after super Generation Development Group | gendevelopmentgroup.com.au Tax paid after Tax capped at 30% 10 years No Tax File Tax free transfers Number required No distributions 125% advantage No CGT on switching Creditor protection
Slide 11: Why bonds?
Why bonds? For personal use only The most tax effective structure after super Generation Development Group | gendevelopmentgroup.com.au 5 core uses of bonds: + Complementary or an alternative to super + Trusts / reducing distributable income + Meeting the rising costs of future generations + Be in c
Slide 12: Areas of focus for 2019 and beyond
Areas of focus for 2019 and beyond For personal use only Generation Development Group | gendevelopmentgroup.com.au Continue building brand Deliver new products to Develop products in the Potential M&A awareness and grow provide more tailored and Retirement Income space opportunities in market share
Slide 13: Generation Life
Generation Life For personal use only Highly recommended for over a decade Generation Development Group | gendevelopmentgroup.com.au 37 Investment options 4 new categories + Cash and term deposits + Multi strategy income + Fixed interest + Long/short Australian equity + Properties + Dynamic allocati
Slide 14: Appendices
For personal use only Appendices Generation Development Group | gendevelopmentgroup.com.au
Slide 15: Detailed FY18 Result
Detailed FY18 Result For personal use only FY18 FY17 Change Change % Revenue* (A$'000) 13,054 10,726 2,328 22 Expenses (A$'000) -11,536 -9,894 -1,642 -17 Underlying EBITDA (pre-share based payments - A$’000) 1,684 824 860 104 Generation Development Group | gendevelopmentgroup.com.au Underlying EBITD
Slide 16: Reconciliation of statutory profit to underlying earnings
Reconciliation of statutory profit to underlying earnings For personal use only FY18 FY17 Change Change % Underlying net profit after tax (A$’000) 1,518 832 686 82 Generation Development Group | gendevelopmentgroup.com.au Deferred tax on carry-forward losses (A$’000) 1,517 (632) 2,149 340 Non-recurr
Slide 17: FUM Growth
FUM Growth For personal use only Generation Development Group | gendevelopmentgroup.com.au FY-18 FY-17 Change Change $'m $'m % Opening FUM 720 638 82 13 Sales inflow 228 133 95 72 Investment performance 35 28 7 25 Exits -96 -79 -17 -22 Closing FUM 887 720 167 23
Slide 18: Thank you!
For personal use only Generation Development Group | gendevelopmentgroup.com.au Thank you! This presentation may contain general advice in relation to Generation Life Investment Bonds (Investment The Zenith Investment Partners (“Zenith”) Australian Financial Services License No. 226872 rating Bonds)
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