Repay Holdings Corporation · NASDAQ:RPAY
Repay — Investor Presentation (August 2022)
28 slides from Repay's investor presentation, August 2022
Slide 1: Investor Presentation
Exhibit 99.3 Investor Presentation August 2022
Slide 2: Disclaimer
1 Disclaimer On July 11, 2019 (the “Closing Date”), Thunder Bridge Acquisition Ltd. (“Thunder Bridge”) and Hawk Parent Holdings LLC (“Hawk Parent”) completed their previously announced business combination (the “Business Combination”) under which Thunder Bridge acquired Hawk Parent, upon which Thund
Slide 3: Agenda
2 Agenda 1 Introduction to REPAY 2 REPAY Investment Highlights 3 REPAY Financial Overview
Slide 4: Introduction to REPAY
3 Introduction 1 to REPAY
Slide 5: REPAY provides integrated payment processing solutions to verticals
4 REPAY provides integrated payment processing solutions to verticals that have specific transaction processing needs REPAY’s proprietary, integrated payment technology platform reduces the complexity of electronic payments for clients, while enhancing the overall experience for consumers and busine
Slide 6: Your Industry. Our Expertise.
5 Your Industry. Our Expertise. B2B AP B2B MERCHANT ARM AUTOMOTIVE LOANS AUTOMATION ACQUIRING CREDIT UNIONS ENERGY HEALTHCARE MORTGAGE PERSONAL LOANS
Slide 7: Who We Are
6 Who We Are A leading, highly-integrated omni-channel payment technology platform modernizing B2B payments, loan repayment verticals, and healthcare payments $20.5Bn 44% 2021 ANNUAL CARD HISTORICAL GROSS PAYMENT VOLUME PROFIT CAGR(1) 230 76% SOFTWARE CASH FLOW INTEGRATIONS(2) CONVERSION(3) 1) CAGR
Slide 8: Driving Shareholder Value
7 Driving Shareholder Value ORGANIC GROWTH + M&A CATALYSTS = LONG-TERM GROWTH Secular trends away from cash Deepen presence in and check toward digital payments existing verticals ~$5.3Tn TAM(1) (e.g. Automotive, B2B, Credit Unions, Creates long runway for growth Revenue Cycle Management, Healthcare
Slide 9: Our Strong Execution and Momentum
8 Our Strong Execution and Momentum AT INITIAL BUSINESS COMBINATION (IBC) Second Quarter 2022(1) TOTAL ADDRESSABLE ~$535Bn ~$5.3Tn(2) MARKET CLIENT COUNT ~4,000 ~21,000+(3) # OF ISV INTEGRATIONS 53 230(4) Delivering Superior Results (FY 2021) +35% +44% +57% CARD PAYMENT VOLUME GROSS PROFIT ADJ. EBIT
Slide 10: REPAY Investment Highlights
9 REPAY Investment 2 Highlights
Slide 11: Business Strengths and Strategies
10 Business Strengths and Strategies 1 Fast growing and underpenetrated market opportunity Vertically integrated payment technology platform driving 2 frictionless payments experience A leading, omni-channel 3 Key software integrations enabling unique distribution model payment technology 4 Highly s
Slide 12: We are Capitalizing on Large, Underserved Market Opportunities
11 1 We are Capitalizing on Large, Underserved Market Opportunities REPAY’s existing verticals represent ~$5.3Tn(1) of projected annual total payment volume Growth Opportunities END MARKET OPPORTUNITIES B2B AP Automation $2.2Tn Future New Verticals B2B Merchant Acquiring $1.2Tn Automotive Loans $600
Slide 13: Key end markets have been underserved by payment technology and service providers
1 Key end markets have been underserved by payment 12 technology and service providers CLIENTS SERVING REPAY’S MARKETS LOAN REPAYMENT, B2B, AND ARE FACING INCREASING DEMAND HEALTHCARE MARKETS FROM CUSTOMERS Lagged behind other industry verticals in moving to electronic payments They want electronic
Slide 14: Card and Debit Payments Underpenetrated in Our Verticals
13 1 Card and Debit Payments Underpenetrated in Our Verticals Card Payment Penetration Across REPAY’s Verticals(2) Across Industries(1) 67% 59% Healthcare 53% 50% 29% Auto 47% 26% 23% Receivables Management 41% Personal Loans 15% 38% 33% B2B AP Automation 13% 27% Mortgage 10% 2012A 2017A 2022E B2B A
Slide 15: REPAY Has Built a Leading Next-Gen Software Platform
14 2 REPAY Has Built a Leading Next-Gen Software Platform Proprietary, integrated payment technology platform reduces complexity for a unified commerce experience Pay Businesses Clients Anywhere, and Any Way, Consumers Any Time
Slide 16: Value Proposition to REPAY's Clients
15 2 REPAY Has Built a Leading Next-Gen Software Platform Value Proposition to REPAY’s Clients • Accelerated payment cycle (ability to lend more / faster) through card processing • Faster access to funds to help businesses with working capital Pay • 24 / 7 payment acceptance through Clients Anywhere
Slide 17: Value Proposition to Clients' End Customers
16 2 REPAY Has Built a Leading Next-Gen Software Platform Value Proposition to REPAY’s Clients’ End Customers • Self-service capabilities through ability to pay anywhere, any way and any time, 24 / 7 • Option to make real-time payments through use of card transactions Pay Businesses • Immediate feed
Slide 18: Key Software Integrations Accelerate Distribution
17 3 Key Software Integrations Accelerate Distribution REPAY leverages a vertically tiered sales strategy supplemented by software integrations to drive new client acquisitions Sales Strategy / Distribution Model Software Integrations 300 250 230 55% 222 CAGR Tier 3 (Direct 200 Sales) $5MM+ 124 m 15
Slide 19: Attractive and Diverse Client Base Across Key Verticals
18 4 Attractive and Diverse Client Base Across Key Verticals REPAY’s platform provides significant value to >21,000(1) clients offering solutions across a variety of industry verticals Percentage of Card Payment Volume(2) B2B LOAN REPAYMENT • One-stop shop B2B payments solutions provider, • Market l
Slide 20: Demonstrated Ability to Acquire and Successfully Integrate Businesses
19 5 Demonstrated Ability to Acquire and Successfully Integrate Businesses Represents a significant opportunity to enhance organic growth in existing verticals and accelerate entry into new markets and services THEME ACQUISITIONS RATIONALE * * * • Expansion into the Healthcare, 2016 2017 2019 2020 A
Slide 21: Multiple Levers to Continue to Drive Growth
20 5 Multiple Levers to Continue to Drive Growth EXECUTE ON EXISTING BUSINESS REPAY’s leading platform & attractive market opportunity position it to build EXPAND USAGE AND ACQUIRE NEW CLIENTS OPERATIONAL INCREASE ADOPTION* IN EXISTING VERTICALS EFFICIENCIES on its record of robust growth & BROADEN
Slide 22: Experienced Board with Deep Payments Expertise
21 6 Experienced Board with Deep Payments Expertise 9-member board of directors comprised of John Morris Shaler Alias Paul Garcia Maryann Goebel industry veterans CEO & Co-Founder President & Co-Founder Former Chairman Former CIO, Fiserv and CEO, and influential Global Payments leaders in the financ
Slide 23: REPAY Financial Overview
22 REPAY Financial 3 Overview
Slide 24: Financial Highlights
23 Financial Highlights REPAY’s Unique Model Translates Into A Highly Attractive Financial Profile $20.5B 230 76% 38% 44% 41% 2021 ANNUAL SOFTWARE CASH FLOW HISTORICAL CARD HISTORICAL HISTORICAL CARD INTEGRATIONS(1) CONVERSION(2) PAYMENT GROSS ADJUSTED PAYMENT VOLUME VOLUME CAGR(3) PROFIT CAGR(3) EB
Slide 25: Significant Volume and Revenue Growth
24 Significant Volume and Revenue Growth TOTAL CARD PAYMENT VOLUME ($BN) TOTAL REVENUE ($MM) REPAY has generated strong, consistent volume growth, resulting REPAY’s revenue growth has been strong, resulting in 45% in ~$20.5Bn in annual card processing volume in 2021 CAGR from 2019 to 2021 38% CAGR $
Slide 26: Translating into Accelerating Profitability
25 ...Translating into Accelerating Profitability GROSS PROFIT ($MM)(1) ADJUSTED EBITDA ($MM)(2) Gross margins are improving due to a decrease in processing costs Highly scalable platform with attractive margins 44% CAGR $163.8 41% CAGR $93.2 $113.6 $59.6 $78.7 $45.9 2019A 2020A 2021A 2019A 2020A 20
Slide 27: Adjusted EBITDA Reconciliation – Historical
26 Adjusted EBITDA Reconciliation – Historical Note: Financials have been updated to match the Company’s restated financials in its Form 10-K for the year ended December 31, ($MM) 2019A 2020A(15) 2021A 2020. 1) For the year ended December 31, 2021, reflects amortization of customer relationships, no
Slide 28: Thank you
Thank you