PensionBee Group (PBEE) Q2 2024 TU earnings summary

Executive summary

• Achieved strong growth in assets under administration (AUA) to £5.2bn (+40% YoY), revenue, and invested customers (252,000, +19% YoY) in Q2 2024, with positive adjusted EBITDA and reaffirmed full-year UK profitability guidance.

• Launched US business in partnership with State Street, targeting rapid growth in the $22.5tr US defined contribution market with a scalable, tech-driven retirement platform.

• Customer and AUA retention rates remain high at 96%, with high satisfaction scores and improved marketing efficiency.

• Continued investment in brand, technology, and automation, resulting in improved productivity and marketing efficiency.

• Data-led marketing and scalable technology platform drive efficient growth and high customer satisfaction (Trustpilot 4.7/5).

Financial highlights

• AUA reached £5.2bn as of June 2024 (+40% YoY), with net flows of £482m and market growth impact of £364m.

• Annual run rate revenue at £32m (+39% YoY); Q2 2024 revenue was £8m (+40% YoY); LTM revenue at £28m (+40% YoY).

• Adjusted EBITDA for Q2 2024 was £0.1m, turning positive from a loss in Q2 2023; margin improved to 1% from -50%.

• Cost per invested customer declined to £242 (from £247 YoY); Q2 cost base reduced by 8% YoY.

• Cash balance stood at approximately £10.9m as of June 2024.

Outlook and guidance

• On track to achieve adjusted EBITDA profitability for the full year 2024 in the UK.

• Long-term ambition to reach £150m revenue and over 50% EBITDA margin in the UK, targeting 2% share of the £1.2tr UK market and 1m invested customers.

• US business aims to manage $20–25bn in assets over the next decade and reach medium-term profitability.

• Group-level guidance to be updated at Capital Markets Day in October.