Earnings Presentation Quarter ended March 2020 Replay Replay passcode 7 May 2020 0207 136 9233 70133577# 0800 032 9687 15:30 GMT Confidential
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References to Adjusted EBITDA throughout this Presentation are references to “Consolidated EBITDA” as defined in the legal documentation relating to the £425m Senior Secured Notes issued by NewDay This Presentation is not for publication, release or distribution in any jurisdiction where to do so would BondCo plc on 25 January 2017 (the Senior Secured Debt) and the Super Senior Revolving Credit Facility constitute a violation of the relevant laws of such jurisdiction nor should it be taken or transmitted into such entered into by the Company on 25 January 2017 (the Revolving Credit Facility) based on IFRS as in force jurisdiction. as at 31 March 2020 (or, in respect of periods ending prior to 31 March 2020, IFRS at the relevant time). However, all ratios, baskets and calculations required under the terms of the Senior Secured Debt and Revolving Credit Facility are based on IFRS as in force as at 25 January 2017. As a result, such ratios, 1 Confidential
Agenda 1 Business update John Hourican (CEO) 2 Portfolio performance Ian Corfield (CCO) 3 Credit performance Rob Holt (CCCO) 4 Financial results Paul Sheriff (CFO) 5 Q&A 2 Confidential
Business highlights £1.4 bn Implemented COVID-19 (Q119: £1.3bn) response plan total spend 2.6 m 280 k (Q119: 1.6m) (Q119: 275k) app downloads to date new accounts +69 Deko acquisition successfully (Q119: 67) Net Promoter Score completed 3 Confidential
Financial Overview Strong underlying business performance offset by COVID-19 impairment build 14% year on year increase in receivables RAM reduction primarily due to COVID-19 impairment build 3,026 113 2,975 120 81 2,611 12.7% 11.8% 89 UPL 1,160 1,101 Co-brand RAI 942 ↑16% ↓2% 41 Own-brand 6.3% RAM 83 1,753 1,754 1,588 48 48 COVID-19 impairment impact Q119 Q120 Q120 Q119 Q419 Q120 Closing receivables (£m) Risk adjusted income (£m) 21% increase in EBITDA (excl. COVID-19 impairment build) £56m increase in cash during Q120 £41m COVID-19 impairment impact 56 7 (33) RCF Drawdown (£m) 31 30 Cash (£m) (6) (2) (4) 26 (3) Q119 Underlying Macro Debt Sale Payment Q120 Q119 Q120 Performance holidays Net (decrease) / increase in cash and cash equivalents* (£m) Adjusted EBITDA (£m) *Includes excess cash drawn under VFNs which was repaid during April 2020 4 Confidential
Own-brand Stable new account generation and strong receivables growth Ongoing customer engagement in digital offering ↑10% 1.7m total app downloads (Q119: 1.2m) 1,754 122 118 1,588 86% customers registered for e-servicing (Q119: 79%) Q119 Q120 Q119 Q120 New accounts (k) Closing receivables (£m) COVID-19 impairment build has had a £35m impact on RAI £3m RAI growth offset by £35m COVID-19 impairment build £35m COVID-19 impairment build 3 (27) RAI:£17m Total Income (£m) (6) Impairment (£m) 124 RAI:£48m 48 (2) 110 108 17 62 Q119 Q120 Q119 Underlying Macro Debt Sales Payment Q120 holiday Q120 RAM was 3.8% (Q119: 12.3%) Risk adjusted income (£m) 5 Confidential
Co-brand Stable new account generation and strong receivables growth Ongoing customer engagement in digital offering ↑17% 0.9m total app downloads (Q119: 0.4m) 1,101 157 942 147 55% customers registered for e-servicing (Q119: 43%) Q119 Q120 Q119 Q120 New accounts (k) Closing receivables (£m) COVID-19 impairment build has had a £7m impact on RAI £2m RAI growth offset by £7m COVID-19 impairment build £7m COVID-19 impairment build 2 (6) (1) Total Income (£m) RAI:£31m RAI:£36m 55 Impairment (£m) 36 47 31 24 11 Q119 Underlying Macro Debt Sales Q120 Q119 Q120 Q120 RAM was 11.0% (Q119: 14.9%) Risk adjusted income (£m) 6 Confidential
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