Novatti Group Ltd. · ASX:NOV
Novatti — H1 FY2022 Earnings Presentation
15 slides from Novatti's earnings presentation, Feb 28, 2022
Slide 1: H1-FY22 Results Presentation
For personal use only H1-FY22 Results Presentation Peter Cook Managing Director www.novatti.com 28 February 2022
Slide 2: Disclaimer
Disclaimer For personal use only The material contained in this document is a presentation of general information about Novatti Group Limited’s activities, current as at the date of this presentation on 28 February 2022. It is provided in summary and does not purport to be complete. You should not r
Slide 3: H1-FY22 performance highlights
H1-FY22 performance highlights For personal use only $11.1m H1 Sales $9.1m H1 Payment $12.3m H1 Total Revenue Processing Revenue Revenue +51% Growth in H1 +113% Growth in H1 $12.9m Cash balance sales revenue payment at end of YoY processing half revenue YoY 3
Slide 4: Novatti enables businesses to pay and be paid
For personal use only Novatti enables businesses to pay and be paid, from any device, anywhere. From corner stores and startups to global organisations, our solutions will unlock your ambitions. 4
Slide 5: Strong forecast industry growth
Strong forecast industry growth For personal use only Strong growth (actual and forecast) across key markets in which Novatti operates: 12.4m US$699b US$9.2b US$5.3b $2.85b US$583b 9m US$6.5b $1.8b US$2.4b Prepaid cards issued in Australia Point-of-sale and e-com Personal remittances Global accounts
Slide 6: Global ecosystem established
Global ecosystem established For personal use only Technology • We have established a global B2B payments ecosystem: o Technology – digital and mobile platforms Fintech o Licences – opening jurisdictions and highlighting trust Digital Billing Wallets o Partnerships – providing scale without substant
Slide 7: H1 revenue growth
H1 revenue growth For personal use only Half Yearly Sales Revenue 12 10 +51% • $11.1m – sales revenue Year-on-year 8 o Highest-ever 6 o 51% increase year-on-year 4 • $12.3m – total revenue 2 o 48% increase year-on-year Millions Dec-19 Jun-20 Dec-20 Jun-21 Dec-21 Half Yearly Processing Revenue • $9.1
Slide 8: Income statement
Income statement* For personal use only 31 Dec 31 Dec 2021 2020 $’000 $’000 • Significant investment made in operations Revenue 11,121 7,350 during the first half, including in acquiring and Other income 1,216 991 Expenses new banking business** Administrative and corporate costs Client hosting fees
Slide 9: Balance sheet
Balance sheet* For personal use only 31 Dec 30 June 2021 2021 $’000 $’000 Assets Current assets • Net assets up nearly 370% across the half Cash and cash equivalents Trade and other receivables 12,994 4,987 8,798 4,138 Financial assets - funds in trust 41,722 39,019 Other current assets 632 324 • $1
Slide 10: Delivering on growth strategy
Delivering on growth strategy For personal use only New and expanded markets • $40m+ capital raising completed at start of H1 • Enabled launch of expanded growth strategy • Already resulted in launch of new services and ability to deliver increasingly global revenue Pursue acquisitions • Focus conti
Slide 11: New and expanded markets
New and expanded markets For personal use only Strengthened Novatti’s businesses in a number of existing markets, while also entering new markets Issuing Acquiring Processing Billing Banking* Partnered with Visa and Mastercard Ripple partnership Launched in US Increasingly positive CryptoSpend to Pr
Slide 12: Acquisitions - ATX
Acquisitions - ATX For personal use only • Novatti partner since 2015 • Recognised as Top 50 rising startup in South East Asia by Tech in Asia • Provides e-wallet partners, traditional retail stores and kiosks with digital payment services • 30k+ touch points in Malaysia • Novatti gains on-the-groun
Slide 13: Strategic Reckon investment
Strategic Reckon investment For personal use only • Novatti acquired a 19.9% strategic stake in Reckon • Reckon is a leading accounting software provider, founded in 1987 and listed on ASX (ASX: RKN) • Novatti already received $676k dividend in first six months • Now exploring broader business relat
Slide 14: Recognition
Recognition For personal use only Focus on innovation and development is paying off as industry recognition grows: 6th Annual FinTECH Alipay Top Innovation Partner Blockchain Australia Awards 2021 Australia 2021 The ‘Blockies’ 2021 Winner Best Fintech Payments Provider Awarded for the second year in
Slide 15: Outlook
Outlook For personal use only • Many years of investment and development seeing results • Global operations can now be leveraged for scale • Grow topline revenue by delivering on growth strategy: 1. New and expanded markets Continue to promote and leverage ecosystem globally Accelerate customer