Credit : CCP - Market Update Presentation

Credit Corp Group

FY17 Market upda

27 April 2017

Thomas Beregi, CEO Michael Eadie, CFO

Leadership in the credit impaired consumer segment... Credit Corp Group

• Long-term growth

  • ROE 16% - 18%

• Low gearing

Core Australian I NZ debt buying

• Largest database

• History of pricing accuracy

  Australian I NZ lending

• Highest asset turnover 1

• Lowest cost to collect 2

• No adverse orders or undertakings

• Low complaint rate

• $1.3bn in ongoing repayment arrangements

• Leverage knowledge of consumer

• Up-front loss provisioning

• Analytical monitoring

• Automated decisioning

• Collection strength

• APRs below cap applicable to mainstream credit

• Regulatory upside - no

  'payday loans'

  USA debt buying

• Adapted knowledge to US environment

• 35% productivity improvement • over pep in H1 FY17

  Low regulator complaint rate

• Large market opportunity

• Sizeable operation ready to

  take advantage of improved conditions

• Strong client audit

outcomes

1. YTD Mar-17 annualised ratio of cash collections from PDLs to average POL carrying value of 1.2x

2. YTD Mar-17 ratio of cash costs of the Debt Ledger Purchasing segment to collections of 36%

FY17 Market update I 2

(

...and return disciplines have generated sustained performance... credit corp Group

Cents

per share ROE %

23%

17.°./o.....••·•·•••

......•·• ··•·

·······································

EPS CAGR 21%

•·••·• • ··•···•·····

114

98

83

75

70

FY10 FY 11 FY12 FY13 FY14 FY 15 FY16

-DPS -EPS ····•··ROE

* FY17 midpoint of most recent market guidance

FY 17 *

FY17 Market update I 3

CCP response …while positioning CCP for the next wave of opportunity

AUS / NZ PDL purchasing	Pricing remains strong with signs of easing ahead New capital has stimulated pricing At the same time CCP has renewed some forward flows at reduced prices	Maintain discipline and preserve resources for easing ahead
AUS / NZ Lending	Regulatory and stakeholder focus reducing competitiveness of existing business models 'Payday loans' 'Consumer leases'	Unique sustainable alternative Driving strong operating cashflow and earnings growth
US PDL purchasing	Diminished competition for PDLs at a time when supply is also increasing	Grow operational capacity Accelerate purchasing at target return criteria

Market conditions

FY17 Market update | 4