Praemium Ltd · ASX:PPS
Praemium — Shareholder Meeting (October 2015)
19 slides from Praemium's shareholder meeting presentation, Oct 20, 2015
Slide 1: 2015 Annual General Meeting Presentation
2015 Annual General Meeting Presentation 20 October 2015, Melbourne: Praemium (ASX:PPS) is pleased to provide a copy of the address to be given by Praemium’s Chairman, Mr Bruce Loveday, and the presentation by Praemium’s CEO, Mr Michael Ohanessian at the Company’s Annual General Meeting (which will
Slide 2: Chairman's Address – 2015 AGM
PRAEMIUM LIMITED - CHAIRMAN’S ADDRESS – 2015 AGM Ladies and Gentlemen At last year’s AGM, I noted that, while your Board was pleased with the operational improvements Praemium had achieved in the previous 12 months, the Company had not achieved operating profitability and, until it did, we still had
Slide 3: Chairman's Address – UK business
PRAEMIUM LIMITED - CHAIRMAN’S ADDRESS – 2015 AGM Firstly, some observations on our UK business. Approximately 4 years ago, we began to introduce major necessary changes in our UK operations. A number of unnecessary costs were stripped out of the business while major improvements to both customer rel
Slide 4: Chairman's Address – robo-advice positioning
PRAEMIUM LIMITED - CHAIRMAN’S ADDRESS – 2015 AGM Praemium is particularly well-placed to thrive in a robo-advice world: Our Smart Investment Management business has proven expertise in building risk- based strategic asset allocation models, which are at the core or the robo-advice concept; We ha
Slide 5: CEO's Report
Agenda CEO’s Report Michael Ohanessian - CEO 1
Slide 6: Disclaimer
Disclaimer The material contained in this document is a presentation of general information about the Praemium Group’s activities current as at the date of this presentation (20 October 2015). It is provided in summary and does not purport to be complete. You should not rely upon it as advice for in
Slide 7: A global fintech company
A global fintech company Financial Portfolio Separately Planning Admin Managed (WealthCraft) (V-Wrap) Account (SMA) Servicing Financial Advice intermediaries Head office in Melbourne Over 800 7 locations across Europe, Asia & Middle East global clients Company stats: ASX: PPS Listed May 2006
Slide 8: Compelling business model
Compelling business model Proprietary technology Unique technology in account reconstruction Award winning and dynamic SMA rebalancing Excellence in corporate actions processing Web based from the outset Scalable business SMA Platform Winner at the Recurring revenue inaugural 2014 Lonsec Awa
Slide 9: Revenue growth of 28%
Revenue growth of 28% Product Revenue 25.0 ($ million) Compared with FY2014 Revenue up 28% to $24.4 million 20.0 SMA revenue up 35% to $8.5 million 15.0 Planning software $1.6 million, including 4-month contribution from Plum Software 10.0 Portfolio Services of $12.1 million, up 12% Other income inc
Slide 10: Strong growth in SMA
Strong growth in SMA Fund Inflows - Gross Platform FUA ($000's) Growing fund inflows ($m) 1,800 leading to accelerating 4,000 Funds on Platform Aust 1,600 Aust Int Int 1,400 3,000 1,200 1,000 2,000 800 600 Several new significant clients still in early 1,000 400 adoption phase further upside 200 m
Slide 11: Why SMA?
Why SMA? Platform progression SMA’s expansion Considerable increase in demand for managed account solutions Large institutional wrap platforms announcing plans to enter the SMA space Emergence of robo-advice well suited to SMA Managed Individual Accounts Praemium well placed in SMA: investment Platf
Slide 12: Maiden profit in FY15
Maiden profit in FY15 Praemium ($m) FY12 FY13 FY14 FY15 Revenue 13.0 14.9 19.0 24.4 Highlights Operations (3.7) (3.8) (4.8) (6.1) Gross margin 9.3 11.1 14.2 18.3 Revenue +28% GM % 72% 74% 75% 75% Expenses +15% Information Technology (3.2) (3.6) (4.4) (5.1) Increased R&D Sales & Marketing (2.3)
Slide 13: Segment results
Segment results FY2015 ($m) Group AUS UK ASIA Corp Total Year on year Revenue 18.3 5.3 0.8 - 24.4 Aus EBITDA ↑ 52% Expenses (9.4) (10.0) (2.1) (0.7) (22.2) UK EBITDA ↑ 3% (GBP ↑ 8%) EBITDA 8.9 (4.7) (1.3) (0.7) 2.2 EBITDA % 49% 9% 10.0 Segment EBITDA FY13 FY14 FY15 7.5 ($m) 5.0 2.5 - -2.5 -5.0 A
Slide 14: A global growth story
A global growth story Aus EBITDA margin of 49% Breakout year for UK business Aus EBITDA Underlying UK Revenue 10.0 50% ($m) ($000's) % 6,000 Plum 8.0 40% Software 5,000 6.0 30% 4,000 3,000 4.0 20% 2,000 2.0 10% 1,000 - 0% 0 FY11 FY12 FY13 FY14 FY15 F12 F13 F14 F15 Australia UK Revenue ↑ 22% Reve
Slide 15: Looking forward
Looking forward An excellent start to the new financial year – our second best quarter in terms of inflows. Release of new functionality to automate the monitoring and accounting of SMSFs will help drive sales of V-Wrap. Distribution of an innovative new fund for the offshore retirement market that
Slide 16: FUA now over $4 billion
FUA now over $4 billion 4,500 Gross Platform Inflows Aust Platform FUA 500 Aust ($m) Int ($m) Int 400 3,000 300 200 1,500 100 - - 12, 12, 12, 12, 13, 13, 13, 13, 14, 14, 14, 14, 15, 15, 15, 12, 12, 12, 12, 13, 13, 13, 13, 14, 14, 14, 14, 15, 15, 15, Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q1 Q2
Slide 17: New fund with Morgan Stanley
New fund with Morgan Stanley Smartfund 80% Protected Growth Bull Bear Recovery Market Market Equities 92% Performance cap 6%/mo Protection level 80% 80% Protected Fund Balanced Equities 55% Performance cap 4%/mo Protection level 80% Day 1 Protection level Unprotected Fund Multi Asset Strategies
Slide 18: In summary
In summary Strong SMA inflows expected to accelerate given the company’s solid pipeline of new business, from recent client wins and new sales opportunities. Model portfolios and managed funds offered by Smartim will continue to build off an excellent first full year of operation. Growth for V-Wrap
Slide 19: Questions?
Questions? 15