Smartpay (SMP) FY 2025 Annual General Meeting August 27, 2025 08:30 PM ET Company ParticipantsGregor Barclay - Chairman & Independent DirectorMarty Pomeroy - CEO & MDShelley Ruha - Independent DirectorGregor BarclayOkay. Good morning, and welcome, everyone, to SmartPay's Annual Meeting for 2025. I'm Greg Barclay, Independent Director and Chair of the Board. Today's meeting is being held both in person and online through Computershare's online meeting platform. Before we start, I just want to introduce the m ...

Financial Data and Key Metrics Changes - Throughout financial year 2025, total transaction values (TTVs) remained soft, continuing the trend from financial year 2024, but top line revenue grew due to a focus on customer verticals with strong payment economics [13][17] - Average ticket size per merchant increased by 15% compared to the same time last year, and average TTV per newly onboarded merchants rose approximately 20% compared to the existing fleet average [17][18] - Customer attrition ratios for 2026 are consistent with the last two years, indicating stability in customer retention [18] Business Line Data and Key Metrics Changes - The company maintained transacting terminal margins across its fleet, with better revenue profiles from newly onboarded Australian customers [13][14] - New Zealand acquiring revenues are starting to come online, with average revenue per terminal exceeding expectations due to a focus on higher value merchants [18][28] - The company has targeted over 5,000 merchants for its New Zealand acquiring solution by the end of financial year 2026 [28] Market Data and Key Metrics Changes - In Australia, the company continues to grow market share despite a competitive environment, focusing on verticals with strong unit economics [14][15] - The Reserve Bank of Australia's preliminary decision to remove the prohibition on surcharging could impact Australian transactional revenues by up to 10% [24] - The New Zealand Commerce Commission's decision to reduce interchange caps may improve gross margins for the company [25][26] Company Strategy and Development Direction - The company is executing a three-stage strategic plan, with good progress made in all stages throughout financial year 2025 [14][29] - The focus is on embedding solutions and brand within customers' businesses to realize value for shareholders [14] - The company is developing a comprehensive in-store business and payment solution, including point of sale and cash flow management tools [29][30] Management's Comments on Operating Environment and Future Outlook - Management highlighted resilience in business unit economics despite challenging economic conditions faced by customers [13] - The company is well-prepared and structured to leverage growth opportunities in both Australia and New Zealand [32] - Future growth is expected to be driven by the conversion of a captured base of over 24,000 merchants to acquiring solutions [32] Other Important Information - The company is progressing well with the completion of a scheme of arrangement following an acquisition offer by Shift4 Holdings Limited [7][8] - A major marketing campaign was launched in Australia coinciding with the introduction of a next-generation Android payment terminal [15][16] Q&A Session Summary Question: Are there any questions from online attendees? - No questions were raised from online attendees [34] Question: Are there any questions regarding the resolutions? - No questions were raised regarding the resolutions [36][39][40]

Financial Data and Key Metrics Changes - Throughout financial year 2025, total transaction values (TTVs) remained soft, continuing the trend from financial year 2024, but top line revenue grew due to a focus on customer verticals with strong payment economics [13][17] - Average ticket size per merchant increased by 15% compared to the same time last year, and average TTV per newly onboarded merchants rose approximately 20% compared to the existing fleet average [17][18] - Customer attrition ratios for 2026 are consistent with the last two years, indicating stability in customer retention [18] Business Line Data and Key Metrics Changes - The company maintained transacting terminal margins across its fleet, with better revenue profiles from newly onboarded Australian customers [13][14] - New Zealand acquiring revenues are starting to come online, with average revenue per terminal above expected fleet averages due to a focus on higher value merchants [18][28] - The company is targeting over 5,000 merchants on its New Zealand acquiring solution by the end of financial year 2026 [28] Market Data and Key Metrics Changes - In Australia, the company continues to grow market share despite a competitive environment, focusing on verticals with strong unit economics [14][15] - The Reserve Bank of Australia's preliminary decision to remove the prohibition on surcharging could impact Australian transactional revenues by up to 10% [24] - The New Zealand Commerce Commission's decision to reduce interchange caps may improve gross margins for the company [25][26] Company Strategy and Development Direction - The company is executing a three-stage strategic plan, with good progress made in all stages throughout financial year 2025 [14][29] - The focus is on embedding solutions and brand within customers' businesses to realize value for shareholders [14] - The company is developing a comprehensive in-store business and payment solution, including point of sale and cash flow management tools [29][30] Management's Comments on Operating Environment and Future Outlook - Management highlighted resilience in business unit economics despite challenging economic conditions faced by customers [13] - The company is well-prepared and structured to maximize efficiency and deliver strong operating leverage over the coming years [18][32] - Future growth is expected to be accelerated with the growth in New Zealand revenues from the conversion of a captured base of over 24,000 merchants [32] Other Important Information - The company is progressing well with the completion of a scheme of arrangement following an acquisition offer by Shift4 Holdings Limited [7][8] - A major marketing campaign was launched in Australia coinciding with the introduction of a next-generation Android payment terminal [15][16] Q&A Session Summary Question: Are there any questions from the online attendees? - No questions were raised from online attendees [34] Question: Are there any questions regarding the resolutions? - No questions were raised regarding the resolutions [36][39][40]