Praemium Ltd · ASX:PPS

Praemium — FY2009 Earnings Presentation

25 slides from Praemium's earnings presentation, Aug 28, 2009

  1. Slide 1: Preliminary Final Results Presentation

    For personal use only Preliminary Final Results Presentation. 28 August 2009 Praemium is pleased to provide the following presentation to investors, which accompanies the Appendix 4E provided to the market today. Contact: Arthur Naoumidis Group CEO 03 8622 1233 About Praemium: Præmium Ltd (ASX:PPS)

  2. Slide 2: 2008-2009 Annual Results

    For personal use only 2008-2009 ANNUAL RESULTS Arthur Naoumidis 28 August 2009

  3. Slide 3: Agenda

    Agenda For personal use only  08-09 Strategic Execution  Group Financial Summary  Australia  V-Wrap  p-Desktop  SMA  United Kingdom  Outlook for 09-10

  4. Slide 4: 08-09 Strategic Execution: Australia

    08-09 Strategic Execution For personal use only Australia  Achieved revenue growth  Increased the penetration of V-Wrap  Increased V-Wrap market share – portfolio numbers  11%  Increased our footprint in the SMSF market – over $14 billion for over 17,000 SMSFs  Cemented the delivery of advance

  5. Slide 5: 08-09 Strategic Execution: Australia (cont.)

    08-09 Strategic Execution For personal use only Australia (cont….)  Increased penetration of p-Desktop  p-Desktop is now deployed to 200 services –  26%  54 services now utilise the Portfolio Review Tools  Increased the number of SMA operators  Powerwrap Heads of Agreement signed in November 2

  6. Slide 6: 08-09 Strategic Execution: United Kingdom

    08-09 Strategic Execution For personal use only United Kingdom  Commenced live operation  SMARTfunds -  Informed Financial Planning & OBSR  Foster Denovo will go live shortly  Discretionary - proprietary-branded Price Bailey and Discretionary Platform Service (dps), a joint initiative with BNP

  7. Slide 7: Group Financial Summary

    Group Financial Summary For personal use only  EBITDA for Financial Year 30 June 2009 = ($10.7 million)  Præmium has no debt  Total revenue for:  Financial Year 30 June 2009 = $8.95 million  Financial Year 30 June 2008= $ 7.48 million  Cash at 30 June 2009 = $5.6 million 6

  8. Slide 8: Group Financial Summary: Operating Performance

    Group Financial Summary Operating Performance For personal use only Revenue Costs EBITDA Corporate EBITDA Net (‘000) ($’000) ($’000) Costs of Corporate ($’000) Costs ($’000) Australia V-Wrap 7,909 4087 3,822 2,392 1,430 SMA 281 1020 (739) 597 (1,336) p-Desktop 195 702 (507) 411 (918) Subtotal 8,385

  9. Slide 9: Key Financial Details: Operating Performance

    Key Financial Details Operating Performance (cont.) For personal use only Praemium Australia Praemium Australia Financial Year Financial Year Jun 2008 Jun 2009 Revenue EBITDA Revenue EBITDA ($ ‘000) ($ ‘000) ($ ‘000) ($ ‘000) V-Wrap 5,996 2,759 7,909 3,822 SMA 226 (702) 281 (739) p-Desktop 40 (479)

  10. Slide 10: Key Financial Details: Operating Performance (cont.)

    Key Financial Details Operating Performance (cont.) For personal use only June 2008 June 2009 % change AUSTRALIA V-Wrap Funds under Administration $29.2 billion $31.6 billion  8% Committed of Portfolios 37,040 41,296  11% Number of Wholesale Clients 462 494  7% Separately Managed Account Funds un

  11. Slide 11: Key Financial Details: Operating Performance (cont.)

    Key Financial Details Operating Performance (cont.) For personal use only 10

  12. Slide 12: Key Financial Details: V-Wrap

    Key Financial Details Operating Performance (cont.) For personal use only V-Wrap FY06 FY09 Committed Portfolios 15,831 41,296 (‘000) (‘000) Revenue $2,502 $7,909 216% increase in V-Wrap revenue since 30 June 2006 Operating Costs $2,513 $4,087 63% Gross Margin -$11 $3,822 increase in V-Wrap operating

  13. Slide 13: 2008/2009 Highlights

    2008/2009 Highlights For personal use only  Powerwrap Nov’08  Pricing changes Nov’08  E*Trade (agreements executed) Jun’09 12

  14. Slide 14: Committed Portfolios

    Committed Portfolios For personal use only Growth in V-Wrap Committed Services & Portfolios 550 45000 500 40000 Committed Portfolios 450 35000 Committed Services 400 30000 350 300 25000 250 20000 200 15000 150 10000 100 5000 50 0 0 Number of Services Number of Portfolios Consistent growth 13

  15. Slide 15: Outlook

    Outlook For personal use only  Accountants are still driver for growth in 2010  SMSFs continue to be a particular focus  V-Wrap has approx. 4% of the 407,000 SMSFs – there is a lot of up side  Financial planners will be targeted through Powerwrap  Powerwrap enables Praemium to target mainstream

  16. Slide 16: Highlights & Outlook: p-Desktop

    Highlights & Outlook For personal use only  A supporting product to V-Wrap and SMA  Cost effective solution for market data & trading services  200 services have deployed p-Desktop  35 services with ‘live streaming’ version  54 users with Portfolio Review Tools  Financial planning focus  Port

  17. Slide 17: SMA – Highlights

    SMA – Highlights For personal use only  As at 30 June 2009:  184 wholesale signups ( 29% since June 2008)  $329 million in funds under administration  Powerwrap’s agreement executed 24th August 2009 – will go live imminently SMA asset growth impacted by market volatility 16

  18. Slide 18: SMA – Outlook

    SMA – Outlook For personal use only  BlackRock growth expected to accelerate  Better market conditions expected to drive growth – both in inflows and improved valuations  Powerwrap will go live imminently  Extensive pre-launch interest received from potential clients  Strategy SMAs  Concept de

  19. Slide 19: UK – Highlights

    UK – Highlights For personal use only  Praemium UK is now live and operational  2 SMARTfunds are now live – a third is imminent  Informed Financial Planning & OBSR live and Foster Denovo will go live very soon  2 versions of Discretionary  Proprietary-branded & DPS – a joint initiative with BNP

  20. Slide 20: UK – Outlook

    UK – Outlook For personal use only  Extensive interest being generated  Over 400 qualified leads  Approx. 50 leads in advanced discussion stage  First one signed in August 2009 – Sterling McCall initial £30m rising to £250m  Our two offerings are well positioned with the UK regulatory environme

  21. Slide 21: Summary Outlook for 09-10

    Summary Outlook for 09-10 For personal use only  Regulatory pressure in both markets to shift away from commission to fee-based model stands to benefit Praemium’s product offerings Australia  Accountants & SMSFs are still drivers for growth  Strategy-based & Accountant SMAs are gaining extensive

  22. Slide 22: Summary Outlook for 09-10 (cont.)

    Summary Outlook for 09-10 (cont….) For personal use only United Kingdom  Our two offerings are well positioned for growth within the regulatory environment which requires enhanced transparency and requires consistent advice and services for all clients – features that our technology has been design

  23. Slide 23: Summary

    Summary For personal use only  Strong positioning in the Australian market  E.g. with over 4% market share, Praemium is one of the largest SMSF administration platforms in the country  Praemium UK is now live, signing up clients and on-boarding funds  Development costs in the UK have been spent

  24. Slide 24: Disclaimer/Copyright Notices/Trademarks

    Disclaimer/Copyright Notices/Trademarks For personal use only • The information in this presentation is an overview and does not contain all information necessary for investment decisions. In making investment decisions investors should rely on their own examination of Praemium Limited and consult w

  25. Slide 25: 2008-2009 Annual Results

    For personal use only 2008-2009 ANNUAL RESULTS Praemium Ltd Level 1 406 Collins Street Melbourne Victoria 3000 Arthur Naoumidis Australia 28 August 2009 www.praemium.com.au

Praemium — FY2009 Earnings Presentation on 6ix