Pensionbee Regulatory News (PBEE)

·

Invested Customers increased 68% to 174,000 (September 2021: 104,000) with a Registered Customer base of 956,000 (September 2021: 602,000).

·

Assets under Administration ("AUA") increased by 24% year on year to £2,788m (September 2021: £2,247).

·

Customer Retention Rate remained high at 97% (September 2021: 97%).

·

Annual Run Rate Revenue increased by 27% to £18m (September 2021: £14m).

·

On track to achieve profitability objectives, including Adjusted EBITDA profitability, by the end of 2023.

As at Period End

Sept-2021

Dec-

2021

Sept-2022

YoY change

AUA (£m)1

2,247

2,587

2,788

24%

AUA Retention Rate (% of AUA)2

>95%

>95%

>95%

Stable

Registered Customers (thousands)3

602

658

956

59%

Active Customers (thousands)4

155

172

265

70%

Invested Customers (thousands)5

104

117

174

68%

Customer Retention Rate (% of IC)6

>95%

>95%

>95%

Stable

Cost per Invested Customer (£)7

250

246

253

As guided

Same Year RC: IC Conversion (% of RC)8

17%

18%

18%

1 ppt

Contractual Revenue Margin (% of AUA)9

0.70%

0.69%

0.69%

Stable

For the Trailing 12-month Period Ending

Sept-

2021

Dec-

2021

Sept-2022

YoY change

LTM Revenue (£m)10

11

13

17

52%

Annual Run Rate Revenue (£m)11

14

16

18

27%

LTM Adjusted EBITDA (£m)12

(15)

(16)

(23)

-48%

LTM Adjusted EBITDA Margin (% of Revenue)13

(141)%

(129)%

(137)%

4ppt

For the 9 (or 12, as relevant) month Period Ending

Sept-2021

Dec-

2021

Sept-2022

YoY change

Revenue (£m)10

9

13

13

44%

Adjusted EBITDA (£m)12

(12)

(16)

(18)

-54%

Adjusted EBITDA Margin (% of Revenue)13

(133)%

(129)%

(143)%

-9ppt

For the Period Ending

Sept-2021

Dec-

2021

Sept-2022

YoY change

Opening AUA (£m)1

1,358

1,358

2,587

91%

Gross Inflows (£m)

824

1,099

838

2%

Gross Outflows (£m)

(104)

(145)

(150)

-45%

Net Inflows (£m)

720

955

688

-4%

Market Growth and Other (£m)

169

275

(487)

n/m

Closing AUA (£m)1

2,247

2,587

2,788

24%

1

Assets under Administration ("AUA") is the total invested value of pension assets within PensionBee Invested Customers' pensions. It measures the new inflows less the outflows and records a change in the market value of the assets. AUA is a measurement of the growth of the business and is the primary driver of Revenue.

2

AUA Retention measures the percentage of retained PensionBee AUA from Transfer Outs over the average of the trailing twelve months. High AUA retention provides more certainty of future Revenue. This measure can also be used to monitor customer satisfaction.

3

Registered Customers ("RC") measures customers who have started the sign-up process and have submitted at least a name and an email address and includes those customers who are classified as Active Customers.

4

Active Customers ("AC") means all customers who have requested to become an Invested Customer by accepting PensionBee's terms of business but for whom the transfer or contribution process is not yet completed and all customers who are classified as Invested Customers.

5

Invested Customers ("IC") means those customers who have transferred pension assets or made contributions into one of PensionBee's investment plans.

6

Customer Retention Rate measures the percentage of retained PensionBee Invested Customers over the average of the trailing twelve months. High customer retention provides more certainty of future Revenue. This measure can also be used to monitor customer satisfaction.

7

Cost per Invested Customer ("CPIC") means the cumulative advertising and marketing costs incurred since PensionBee commenced trading up until the relevant point in time divided by the cumulative number of Invested Customers at that point in time. This measure monitors cost discipline of customer acquisition. PensionBee's desired CPIC threshold is £200-£250.

8

Same Year RC:IC Conversion percentage is calculated by dividing the number of Invested Customers as at the end of the period by the number of Registered Customers at the end of the period. This measure monitors PensionBee's ability to convert customers through the acquisition funnel.

9

Contractual Revenue Margin means the weighted average contractual fee rate across PensionBee's investment plans (before applying any size discount) calculated by reference to the amount of AUA held in each plan across the period.

10

Revenue means the income generated from the asset base of PensionBee's customers, essentially annual management fees charged on the AUA, together with a minor revenue contribution from other services.

11

Annual Run Rate ("ARR") Revenue is calculated using the Recurring Revenue for the relevant month multiplied by 12.

12

Adjusted EBITDA is the profit or loss for the period before taxation, finance costs, depreciation, share based compensation and transaction costs.

13

Adjusted EBITDA Margin means Adjusted EBITDA as a percentage of Revenue for the relevant period.