About Wiz
Operations and business model 2Q20 performance
1973 | 2012 | 2014 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 |
IPO | ||||||||||||
The | ||||||||||||
New Management | B2B Channel's | Wiz' IPO | Remote Channel | |||||||||
founding¹ of | ||||||||||||
New Shareholders | Consolidation | (jun/15) | Platform Creation | |||||||||
Wiz | Acquisition of | Insourcing of sales, | ||||||||||
renovation, | ||||||||||||
GP Investimentos | two independent | |||||||||||
upselling | ||||||||||||
and CAIXA | brokers, focused | |||||||||||
and multichannel | ||||||||||||
Seguradora | on Special Risks | |||||||||||
cross-selling | ||||||||||||
became new | ||||||||||||
operations. | ||||||||||||
shareholders, | ||||||||||||
committing to | ||||||||||||
making the IPO | ||||||||||||
Wiz | Wiz B2U's | |||||||||||
Corporate's | ||||||||||||
Inception | ||||||||||||
Inception | ||||||||||||
(1) Note: Wiz was founded under the name of "FENAE Corretora" , which also became "Par Corretora" before being called Wiz
Timeline
New Operational | BU of | Partnership | ||||||||||
Company's first | Digital | |||||||||||
Contracts | Bancassurance | between Wiz and | ||||||||||
M&A operation: | ||||||||||||
Partnership | BMG | |||||||||||
Finanseg's | With Caixa | Operation seeks to | ||||||||||
Wiz + Banco Inter | ||||||||||||
Acquisition, focus | sell insurance in | |||||||||||
Seguridade, | ||||||||||||
on financial | indirect B2B2C | |||||||||||
Caixa Seguros | ||||||||||||
services sales | channels. | |||||||||||
Holding and CNP | ||||||||||||
(Consortia). | ||||||||||||
Assurances | Credit Operation: | |||||||||||
Home-Equity- | ||||||||||||
type loan | ||||||||||||
Wiz | Wiz BPO's | |||||||||||
Parceiros's | Inception | |||||||||||
Inception |
Wiz Conseg's
Inception
Wiz has a successful track record of strong finance and operations, supported by strategic partnerships
3
Our
Shareholder
Structure
INSS
48.2% | 51.7% | 0.1% | |
Caixa | ||
Seguros | Free-float | |
Holding - CSH | ||
26.0% | 25.0% | 49.0% |
40.0% | 40.0% | 75.0% | 76.0% | 85.0% | 30.0% | 40.0% | 40.0% | |
GR1D 70.0%
Finance
4
Our core business is managing distribution channels for financial products and insurance
WIZ'S STRATEGIC AND OPERATING MODEL
Finance, | Market | Marketing | Institutional | People and | ||||||||
and | Products | |||||||||||
Legal and | Relations and | |||||||||||
Corp. | and Tech | Commercial | Management | |||||||||
Compliance | M&A | |||||||||||
Relations | ||||||||||||
DISTRIBUTION | NEW | ||||||||||||||
Units | BUSINESSES | ||||||||||||||
ENABLER
Units
CORPORATE
- Safeguarding of corporate structure
- Scalability for new businesess
- Structure focused in M&A
BUSINESS UNITS
- Autonomous Units
- Direct accountability for results
- Focused in operational efficiency and financial results
5
REDE
Products | Customers | % Revenue 1,2,3 | ||||||||||||||
Bancassurance | ||||||||||||||||
Life Mortgage Credit Life | Property & | |||||||||||||||
Casualty | ||||||||||||||||
Traditional | Auto | 93% 92% 82% 80% 70% 69% | ||||||||||||||
Substitutes | Pension | 2015 2016 2017 2018 2019 2020 | ||||||||||||||
Capitalization Consortium | ||||||||||||||||
Plans | ||||||||||||||||
% Stock5
49%
Wiz | B2U |
Wiz | Parceiros |
Wiz | Corporate |
Wiz BPO |
Life | Property & | Auto |
Casualty | ||
Breach of | Credit Life | |||||
Consortium | ||||||
Warranty |
(...) | ||||
Warranty | Civil | Agro | Life | Engineering |
Liability |
sales-After | Life | Pension | Capitalization | Other | Personnel | ||
Allocation | |||||||
Plans | |||||||
Document | |||||||
Mortgage | Credit Life | Management | |||||
Consortium |
0% 0% 0% 2% 2% 2%
4
2015 2016 2017 2018 2019 2020
0% 0% 9% 9% 8% 8%4
2015 2016 2017 2018 2019 2020
7% 8% 8% 8% 6% 6% 4
2015 2016 2017 2018 2019 2020
0% 0% 2% | 2% | 12% 14% |
4 |
2015 2016 2017 2018 2019 2020
82%
76%
28%
0%
(1) Proforma Adjusted Gross Revenue; (2) Does not consider the Healthcare business unit, due to its operation being paused in 2017; (3) BPO Revenue considers only the Consortium product. The other products will start as | 6 |
revenue vertical in 1Q19; (4) 1H20 based numbers; (5) Percentile of gross revenues over the inventory from revenue stock (deals that were already closed and are being paid for) - 1H20 based numbers. |
Financial and
Operating
Highlights
Consolidated Gross Revenue Evolution | Net Income Evolution | ||||||||||
R$ MM | R$ MM | ||||||||||
CAGR | CAGR | ∆ | |||||||||
24% | -23% | ||||||||||
∆ | 38% | ||||||||||
1% | |||||||||||
392 | 451 | 592 | 656 | 764 | 130 | 148 | 163 | 184 | 224 | 111 | ||||||||||
297 | 358 | 360 | 62 | 88 | 85 | |||||||||||||||
230 | 24 | |||||||||||||||||||
169 | ||||||||||||||||||||
2012 2013 2014 2015 2016 2017 2018 2019 | 1H19 1H20 | 2012 2013 20141201512016 2017 2018 2019 | 1H19 1H20 |
EBITDA Evolution | Total Headcount Evolution | ||||||||
R$ MM | Qty | ||||||||
CAGR | ∆ | ||||||||
44% | ∆ | CAGR | |||||||
3% | |||||||||
-10% | 14% | ||||||||
395 | 1,951 | 2,368 | 2,3252,394 | |||||||||||||
268 | 316 | 1,485 1,619 1,676 | 1,815 | |||||||||||||
189 | 210 | 189 | 169 | 1,197 | ||||||||||||
125 | 931 | |||||||||||||||
88 | ||||||||||||||||
31 | ||||||||||||||||
1 | 1 | 1H191H20 | ||||||||||||||
2012 2013 20141 | 201512016 2017 2018 2019 | 2012 2013 2014 2015 2016 2017 2018 2019 | 1H19 1H20 | |||||||||||||
¹ Net of pre operating expenses with the IPO. | 7 |
Wiz' management model: good operational performance and continuous delivery of good results
Consolidated Proforma Gross Revenue
In BRL MM | Inventory Revenue | New Sales and other Revenues¹ | 184.6 | 200.5 | 205.3 | 190.7 | |||||||||||
150.5 | 157.1 | 157.7 | 149.6 | 148.9 | 163.9 | 170.0 | 173.0 | 173.3 | 169.4 | ||||||||
115.8 | 123.8 | ||||||||||||||||
71.6 | 86.9 | 91.8 | 92.5 | 96.8 | 105.5 | 120.6 | 123.1 | 112.2 | 89.9 | ||||||||
56.6 | 66.1 | 88.3 | 97.0 | 97.5 | 87.7 | ||||||||||||
59.2 | 57.7 | 62.2 | 60.1 | 60.2 | 61.9 | 77.3 | 77.0 | 78.1 | 80.5 | 76.5 | 79.1 | 79.9 | 82.2 | 78.5 | 79.5 | ||
3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20
Consolidated Adjusted EBITDA Margin
54.0% | 46.9% | 57.0% 62.5% 55.6% | 45.9% | 54.5% 56.1% | 55.8% 54.9% 54.9% 54.7% 57.2% 56.8% | 51.8% 54.3% |
3Q16 4Q16 1Q17 2Q17 3Q17 4Q17 1Q18 2Q18 3Q18 4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20
Dividend Payment²
in BRL MM
140.0 | 183.1 | ||||
113.3 | |||||
66.6 | 81.4 | 81.8 | |||
56.5 | |||||
2014 | 3 | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | |
Note: (1) Consider revenues from new sales and "Other Products" revenues, that, due to its lower relevance, are not broken down within "stock revenues" and "new sales". (2) On 2H17 there were changes on | ||||||||
Dividend payment policies of the Company, which now is set as an annual payment. Dividend paid in 2018 are due from the second half 2017 income. (3) Dividend approved in the board meeting for distribution | 8 | |||||||
throughout 2019, was paid in two installments:the first amounting R$53.3 million in May/19 and the second amounting R$124.4 million Nov/19. (3) Of the total dividends paid in 2015, 54.6% were paid before the |
IPO and 45.4% were paid after the IPO.
About Wiz
Operations and business model 2Q20 performance
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Our specialized commercial network provides support to direct sales of financial products and insurance, thus boosting results
SALES ASSITANTS (ASVEN) OPERATIONS
- Sales of non-bancassurance products
- Sales enhancement in customers portfolio
- Aid and development of bancassurance products
- Main focus: assisting with insurance products
- Structured Relationship with branch manager
- Manager Relationship interface
ASVEN
OPERATIONS ENVIRONMENT | |
AVERAGE | 1,400 payroll credit trans./year |
PROFILE OF | 1,500 new accounts/year |
A BRANCH | |
WITH SALES | 45k costumers/branch |
ASSISTANT | |
WizOn | |
TECH | Intranet Wiz |
FRAMEWORKS | CRM Wiz - ASVEN web portal |
Wizity - Corporate Education |
Wiz Sales Network
NATIONWIDE PRESENCE | PEOPLE | $ EXPENDITURE | ||||||||||||||
+1.000 SALES | ||||||||||||||||
Compensations Strategy: | Opex (In R$MM) | |||||||||||||||
ASSISTANTS located | ||||||||||||||||
Meritocratic driven, according | 112.0 | |||||||||||||||
in CAIXA's branches all | 94.2 | 104.0 | 91.6 | 92.1 | ||||||||||||
over the country | to performance ranking | |||||||||||||||
Turnover of 31.2% yearly | ||||||||||||||||
400 Brazilian | ||||||||||||||||
municipalities | within commercial Branch | |||||||||||||||
2015 | 2016 | 2017 | 2018 | 2019 | ||||||||||||
covered | ||||||||||||||||
11 | ||||||||||||||||
People, Technology and Management: the foundation of our results
Wiz'
In Loco
Network
Operates within CAIXA's branches, being solid and responsive to new strategies business model.
ALLOCATION
INTELLIGENGE
Non-assisted Branches
Assisted Branches
Allocation Model
Allocation by business
potential
Ideal exploit of people resource regarding technology use
RECRUITING
Performance and
cost reducing
operation, using digital recruitment processes
Broadcasting in
Social Media
Online interviewing
Whole process managed by mobile apps.
DEVELOPMENT
Remote and online
training, to
guarantee greater agility and range of workforce capacitation
better awareness of our company and products
Specific assignments to encourage learning
Update about products, sales techniques and skills
Leadership development
SALES MANAGEMENT
MODEL
The combination of people, processes and technology ensure the local actions are in line with our strategic challenges.
Action planning
Performance
Management
Quality relationship with CAIXA
12
IN LOCO OPERATION WITHIN
1.000+ Sales Assistants (ASVEN)
Strategically allocated in CAIXA's branches throughout Brazil's territory
Engagement framework for the Bancassurance Business model
1 | ASVEN | Financial transaction | ||||||||
Support, product | ||||||||||
suitability and promotion | ||||||||||
of Bancassurance | CAIXA's | insurance | ||||||||
products | Customer | |||||||||
Employee | ||||||||||
Margin-increase process on direct | ||||||||||
2 | sales | |||||||||
ASVEN | ||||||||||
Sales to selected | Insurance | |||||||||
Segmenting client | customers judged inclined | |||||||||
to acquiring products and | ||||||||||
portfolio | insurance | Customer | ||||||||
1 Bancassurance Model
Insurance proposal suggested whilst realizing bank
transaction
Insurance
Transaction | 1st proposal | 2nd proposal |
Account opening | Life monthly payment | Pension Monthly |
Payment | ||
Payroll Loan | Life credit insurance | P. Bond |
Mortgage loan | Residential "LAR+" | Life Bullet Payment |
Cash flow | Life credit insurance | Corporate MR |
Focus point on Insurance acquiring orientation
Support, product suitability and product promotion
ASVEN | Structured relationship with General Manager |
Managers relationship interface |
Total sales- Life Credit insurance / Payroll Loan
60%
40%
20%
0%
2015 | 2016 | 2017 |
Total sales - Life monthly Payment/ Account opening
20%
10%
0%
2015 | 2016 | 2017 |
Total sales - Residential / Mortgage Loan
75%
50%
25%
0%
2015 | 2016 | 2017 |
2 Margin Increase process on direct sales
Portfolio | Margin Increase | |
process | ||
Analysis and | Renewal | |
correlation of | ||
products in | ||
client's POV | Recovery | |
Creation of a | ||
"inclination to | ||
purchase" score for | Cross sell | |
the client portfolio | ||
Digital quest for | ||
data enriching to | Upsell | |
create | ||
opportunities | ||
• | Sources: (1) Referring to 1Q20 data, given the suspension of Asvens' employment contract during 2Q20. |
Sales
assitants
enterprise
Digital LEAD displaying framework for the sales assistant
Customer driven approach
Managing and keeping track of results
Results
3.0 MM
Leads worked on in the LTM
R$ 172MM
Total premium generated in
LTM
22%
LTM Average
Conversion rate
CAIXA, one of Brazil's largest banks, has been gradually increasing its focus in insurance
Ranking of Banking activities (Dec-2019)¹
Customer | Deposits | Credit | Assets |
base | Portfolio | ||
1st | 2nd | 1st | 3rd |
3rd | 3rd | 3rd | 2nd |
2nd | 4th | 4th | 4th |
4th | 1st | 2nd | 1st |
5th | 5th | 5th | 5th |
About CAIXA (4Q19)³
+3,300 branches
+ 103MM customers
+ 106MM accounts
+ 8,100 Caixa Aqui Correspondents
+12,900 lotteries vendors
Insurance Premiums considering bancassurance² (FY19)
BRL bln
2nd | Bancassurance premiums ex-Mortgage Credit Insu. | ||||||
11.0 | Premium from Mortgage Credit Insu. product | ||||||
0.3 | 6.6 | ||||||
5.5 | 5.4 | ||||||
3.9 | |||||||
10.7 | 2.4 | 0.4 | 0.3 | 2.2 | 2.1 | ||
1.6 | |||||||
5.1 | 0.4 | ||||||
4.1 | 5.1 | ||||||
3.5 | 2.2 | 2.1 | 1.6 | ||||
Fastest growing insurance counter network in Brazil
Premium | CAGR 2010-2012 | CAGR 2012-2018 |
18.6%17.1%
22.4%12.3%
21.5%0.2%
22.1%10.2%
11.9%3.1%
• | Bibliography: (1) BACEN; (2) SUSEP data - Considering Bancassurance products: Life, Personal Incidents, Credit Insurance, Residential, Corporate RM, Mortgage e Rural; and (3) Source: CAIXA´s | 16 |
4Q19 performance report. |
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
The bedrock of our day-to-day operations
DIGITAL | COMMERCIALIZATION |
Fostering and | Enhancing |
capturing LEADs | conversion and |
for further sales | Wiz's commercial |
and renovation | magnitude |
TECHNOLOGY | |
Providing low | Intelligence |
Managing results | |
cost multi- | |
channel options | and boosting the |
internally | channel |
QUESTS
Securing sales
channel and
renovation
Digital solutions that boost results due to opportunities naturally generated by our business. Thus becoming the Margin Increase Process.
Activation quests complement the sales channels which leads to the client making the purchase via the remote and digital channels
DIGITAL QUESTS | Margin Increase |
strategies | |
REMOTE
- ─ Call- center focused on sales and customer service
- Trained professionals directed to the customer loyalty
- Complimentary sales-driven mindset in any sales mechanism where the agent is undergoing an active listening phenomena
DIGITAL
2 | ─ | Different sales mechanisms | |
─ Whatsapp, e-mail, SMS, website, among others | |||
─ | Digital approach to CRM | ||
- All sales channels are driven to incentivize digital relations
OMNICHANNEL OPERATIONS STRATEGY
RELATIONSHIP AND SALES DRIVEN MENTALITY IN ALL BUSINESS
FRONTS
NEW SALE
Product offering to new customers
RENEWAL
Selling after the contract expires
CROSS SELL
Selling to clients that have already purchased one or more products
UPSELL
Further expansion of coverage into already sold product
RECOVERY
Re selling either cancelled or not finalized past contracts
19
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Consortium Market
Information about local consortium market
Consortium: Purchase approach based on the association of a group of individuals or corporations with the goal of pooling resources to acquire property, services or other assets.
Market has been | + 7.3 MM of active | Variety of assets |
present for more | ||
than 50 years | costumers | attached |
Wiz Parceiros operation shows great
growth potential
Sales evolution of consortium contracts¹ (Bn BRL)
0.1% 0.2% 0.3% 0.5% 1.1% 0.8% 1.7% 2.2%
151.9 | 174.0 | 171.1 | 171.1 | 160.7 | 176.0 | 164.3 | 178.6 | 186.4 | 207.1 | ||||||
71.4 | |||||||||||||||
2010 | 2012 | 2014 | 2016 | 2018 | Jan-May 20 | ||||||||||
Volume of Quotas Sold | Market Share of Parceiros' Operation | ||||||||||||||
Main types of Consortium
Real Estate Consortium
Sales of Real Estate consortium contracts¹ (Bn BRL)
0.2% 0.6% 0.7% 1.2% 2.9% 1.8% 4.1% 5.4%
51.4 | 51.5 | 44.4 | 44.2 | 40.8 | 57.8 | 51.8 | 65.5 | 62.4 | 62.4 | |||||
26.3 | ||||||||||||||
² | ||||||||||||||
2010 | 2012 | 2014 | 2016 | 2018 | ||||||||||
Jan-May 20 | ||||||||||||||
Volume of Quotas Sold | Market Share of Parceiros' Operation | |||||||||||||
Light Vehicles & Motorcycles Consortium
Sales of Vehicle consortium contracts¹ (Bn BRL)
0.0% 0.0% 0.1% 0.1% 0.2% 0.2% 0.3% 0.4%
100.9 122.0 127.1 127.1 119.7 118.0 112.3 113.1 124.0 132.8
45.1 | ² | ||||||
2010 | 2012 | 2014 | 2016 | 2018 | Jan-May 20 | ||
Volume of Quotas Sold | Market Share of Parceiros' Operation | ||||||
Note: (1) Estimates based on the number of contracts sold according to ABAC and industry average ticket. | 21 |
Considering only Light weight vehicles, Motorcycles and Real Estate.. |
Parceiros operations is dedicated to real estate and auto consortium contract sales outside CAIXA's branches
Operating Model
B2B2C design - Prospects and
stimulates customer sales
Wiz' sales division
Accordance and
encouragement of sales consortium of Caixa Consórcios
- Specialized partners prospections
- Stimulus to sales of products from Caixa Consórcios (Auto and Real Estate)
- Training and development of partners
Partners
PRODUCTS OFFERED
REAL ESTATE
88% Channel sales In Average volume
INSURANCE
Insurance products developed to guarantee customer safeguard from risks attached to the consortium contract transactions
(...)
(...)
Customers
212k | 89 |
Reais | months |
Letters Average | Average duration |
ticket |
AUTO
56k 30
Reaismonths
Average ticket Average duration
BREACH OF
WARRANTY
CREDIT LIFE
Insures the pool of investors against individual defaults
Insures the payment of the debt in case of death or permanent disability
22
Parceiros Platform
#1 | #2 | #3 | #4 | #5 | #6 |
Support
This channel's main function is for the partners to resolve any inquiries they might have over the product, processes, systems and payments
Support | Comission | Profitability | Remote | Quotas |
material | planning | planning | courses | Simulation |
The materials | Backing up the | Show the | Courses | Monthly |
are | partners sales | business | focused on | generating a |
personalized | team and helping | owner a sales | product | simulation to |
and digitalized | them | and costs | enhancement | purchase |
materials that | estabilishing | forecast | and sales | multiple |
help the | goals. Help | contributing to | techniques | consortium |
partners | managing their | the better | quotas. | |
backup their | LEADs portfolio | management of | ||
arguments | to maximize | the business. | ||
whilst | results. | |||
generating | ||||
value to the | ||||
business. |
The partner network represents a material part of all the consortium revenue for CAIXA Consórcio
325mm¹
Of all sales
In total letter value per month
237
made by
45% Caixa Seguradora
in 2019
Total partners
19
Brazilian
States
Strong and steady results due to Wiz's coverage over the majority of the country's territory
¹ Jul19-Jun20 Average.
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Corporate
Insurance broker focused on business contracts
Civil Liability | Denominated | Agribusiness | Financial | Property | Life | |||||
Risks | ||||||||||
► | CL | ► | General | ► | Crop | ► | General | ► | Engineering | ► Group Life |
► | CL D&0 | ► | Aviation | protection | warranty | ► | Multi-risk | Insurance | ||
- Target audience are | ► | Marine | ► | Livestock | ► | Legal warranty | ► | Freight | ||
high ranking | protection | |||||||||
executives |
- CL E&0
- Target audience are service providers
Operates as a specialized unit focused on corporate customers, supplying customized insurance products
STRUCTURING | SALES FORCE | |||
Sales Channels | Proprietary | |||
Teams | ||||
Products | Marketing | Sales | Exclusive | |
Treinamentos | ||||
Consultores | Correspondents | |||
de Canal | ||||
Partner | DBM | Backoffice | ||
Insurance
Firms | TECHNICAL SALES SUPPORT |
IT, Human Capital Management and Finance |
Corporate Customers
STRUCTURING
- Product Design & Analysis
- Structuring & monitoring the sales channels
- Sales support intelligence
TECHNICAL SALES SUPPORT
- Assistance to the product design
- Technical division and risk advisory
- Technical advisory towards the bank and major customers
SALES FORCE
- Sales force formed by specialized consultants
- Nationwide coverage
- Prior and post sales Backoffice support
27
Risks and commercial intelligence consulting
Wiz Corporate relies on a team with 90 specialists
Support in
RR
AM
AP
PA
MA CE
Placement with operation with more
product design
AC
RO
Technical Consulting provided to the bank and major investors
MT
MS
PI PE
TO
BA
DF
GO
MG
SP
than 50 insurance companies
Over 114k RCPM contracts signed in 2019
Pre and after sales infrastructure backed by Wiz's BPO & B2U
PR | R$ 328 million of contracted |
SC | |
RS | premiums in 2019 |
Proprietary Brokerage | |
Exclusive Brokerage Partner |
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
+
Wiz's services and operations branch
Providing precise solutions to enhance the performance of our clients' businesses
Division specialized on insurance and financial products
PARE | ||||
AFTER-SALES | CLAIMS ( i.e. | RETENTION | CONTEMPLATION | REGULATION / |
charging | / CASHING-IN | INSURANCE | ||
unpaid dues) | CLAIMS |
Customer
Service
Specialized customer service with thorough | Digital Recruiting |
knowledge of the marketplace. | Career incentives |
Learning and development |
Multi-channel
Quest
Multi-channel quests are used to communicate to the client the overall development of the ongoing process. The customer is free to choose his communication channel of preference.
- Phone
- Chat
- App
Integrated service
platform
All the client's experience concentrated in one place. Integrated communications, no matter which sales channel. All of this adds up to transparence and responsiveness for the customer.
CRM | Cloud | In-house |
Platform | storage | |
team | ||
Integrated workflow
systems for BackOffice
Custom workflow with automated solutions | |||
Custom | Integration | Integrated | |
integrated with our service platform. | Workflow | solutions | |
Bots
AI
Our
Services
CUSTOMER EXPERIENCE
Tailor-made customer service to enhance customer satisfaction
BACKOFFICE / AFTER-SALES | DOCUMMENT MANAGEMENT |
SERVICES | |
Operational management focused in | Thorough management of client's |
implementing business advancements by | |
physical filing system. Pre-analysis of | |
generating efficiency gains with better | |
documentation for BackOffice processes. | |
routine management, team allocation | |
and automations. |
HR / EXPERT ALLOCATION | CLAIMS | OMBUDSMAN |
Expert allocation with the selection of | Integrated handling of the billing and | Solving received complaints that weren't |
due payments from the client, optimizing | solved through regular means. | |
those who are best fit to an specific | the recuperation ratio of unpaid bills. | Gathering of data to back up eventual |
client's need, whichever original | ||
legal and extrajudicial lawsuits | ||
company segment that expert might | ||
come from. |
Our main clients
+ | 742 experts |
+ |
+6.2k contracts managed/month
380k appointments completed | |
(apr. 2020-Mar 2019) | |
Our | 36% digital appointments |
numbers | 94%NPS rate of approval |
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
WIZ CONSEG WILL BE FOCUSED ON THE AUTO INSURANCE VERTICAL OUTSIDE THE BANCASSURANCE ENVIRONMENT
In the past 6 years
Total insurance premium in Brazil had an average incresase of 4% YoY, with a drop of 2% YoY in bancassurance and increase of 6% YoY outside branches.
WIZ' youngest business unit is born with the goal of enhance insurance and financial services distribution in the Auto Vertical outside the bancassurance environment.
AUTO VERTICAL
MOTOR COMPANIES
INTEGRATORS
DEALERSHIPS AND RETAIL
Manufacturers motor companies, local and foreign.
Platforms and operations that support the interface between motor companies and dealerships.
Dealership and wholesale network that perform the distribution of new and used vehicles.
36
WE WILL USE ENABLERS WIZ AND TWO MARKET
ENHNCING MODELS FOR THE BUSINESS UNIT
EVOLUTION
2 STRATEGIC MODELS FOR THE | |||||||||
GROWTH OF THE B.U. | |||||||||
ENABLERS WIZ ALLOWS TO | |||||||||
ESCALATE AND REDUCE THE | |||||||||
TIME TO MARKET | STRATEGIC | Widening of dealership | |||||||
1 | |||||||||
networks with | |||||||||
CONSOLIDATION | |||||||||
ENABLERS WIZ | |||||||||
exclusivity. | |||||||||
Full structure enabling remote | |||||||||
1º MOVEMENT | |||||||||
and digital sales. | |||||||||
TOWARDS STRATEGIC | |||||||||
CONSOLIDATION | |||||||||
Complete structure enabling post- | |||||||||
sales and concierge | |||||||||
STRATEGIC | Operating agreements | ||||||||
2 | |||||||||
using success fee in | |||||||||
PARTNERSHIP | |||||||||
Full structure for engagement and | dealearship networks. | ||||||||
promotion of sales. | |||||||||
37
FIRST STRATEGIC CONSOLIDATION OCCURS BETWEEN WIZ AND GRUPO BARIGÜI
1ST STRATEGIC CONSOLIDATION
- Grupo Barigüi is one of the largest dealerships in the country, leader in the South region of Brazil.
- Holds over 25 years of experience in the Brazilian market, with 60 dealerships in 16 cities in the south region and over 2,500 employees.
- The Barigüi network accounts for over 10 different car brands and already sells over 50.000 vehicles per year new and used vehicles.
Source: Grupo Barigüi
This movement enables a new distribution counter for Wiz' insurance
and distribution channels.
BARIGÜI NETWORK DISPERSION
%AUTO INSURANCE PENETRATION IN THE SALE OF VEHICLES | | Immediate | ||
opportunity to | ||||
reduce the | ||||
dispersion and | ||||
Average of 6% | increase general | |||
penetration. | ||||
penetration in | ||||
the entire | | Opportunity for | ||
network | ||||
automatization | ||||
and broaden its product portfolio in other segments as Home Insurance and Life Insurance.
38
WIZ CONSEG STARTS ITS OPERATION THROUGH MATERIA STRUCTURE OF DEALERSHIP NETWORKS
Key Products
Financial Results1 | (R$ MM) |
Auto | Life Credit | Residential |
Insurance | Insurance | Insurance |
GROSS REVENUE
(R$ MM)
7.5 7.8
3.8 3.2
2018 | 2019 | 1H19 | 1H20 |
COSTS (R$ MM)
5.1 4.3
2.2 1.4
2018 | 2019 | 1H19 | 1H20 |
Footprint
PR/SC
STATES
+20.000
ACTIVE CUSTOMERS
Operating Results1
NEW SALES AUTO | ||||||||||||||||||||||||||||||||||||
AUTO PORTFOLIO | (000) | |||||||||||||||||||||||||||||||||||
AUTO NET PREMIUM | ||||||||||||||||||||||||||||||||||||
13.6 | (R$ MM) | INSURANCE (000) | ||||||||||||||||||||||||||||||||||
10.5 | 2.0 | 1.1 | 14.2 | 14.6 | ||||||||||||||||||||||||||||||||
1Q19 | 1Q20 | |||||||||||||||||||||||||||||||||||
1H19 | 1H20 | |||||||||||||||||||||||||||||||||||
1H19 | 1H20 | |||||||||||||||||||||||||||||||||||
*Financial and operating Results regarding Barigui Corretora. (1) Managerial figures
39
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Complete Solutions for Individuals and Corporate entities with a diverse list of products
Custom SME* | SME |
Individual Contracts | Middle |
Individual | Corporate |
* Product developed by Wiz
Wiz' Channels
REDE
Generating Leads
Our Big Ecossystem allows us to sell insurance with scalability in other channels
Distribution Strategies
E-Commerce
Call-Center OPPORTINITIES SEIZED AND SHARED | ||||
... | BY THE WIZ CONGLOMERATE | |||
We have our own | Online Channel | |||
Broker | ||||
comercial team | Channel | |||
A dedicated and | Network of | 100% Online |
specialized team | autonomous | Adhesion (collective |
qualified to offer | insurance brokers | by attachment) and |
heatlh insurance | registered to sell | multicalculator for |
SMEs |
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Banco BMG, one of the main consumer finance platforms in the country, has as mission massify financial solutions in Brazil
LARGE TRACK-RECORD IN THE PAYROLL | ONE-STOP-SHOP PLATFORM AND RETAIL CUSTOMER LIFE CYCLE | ||||
LOAN SEGMENT AND LEADER IN THE | |||||
Clients with different needs impact the channel's strategy and define products | |||||
PAYROLL LOAN CREDIT CARD SEGMENT | |||||
Retail bank with over 89 years in the capital markets, focused mainly in | Payroll Loan | ||||
payroll loans in addition to offering mass insurance products. It also operates | |||||
in the corporate segment offering warranty insurance for medium and large | Credit and | ||||
companies. | |||||
Debit Card | Payroll Loan | ||||
Clients | Credit Card | ||||
Average | |||||
No Option | |||||
Checking | Taker | Taker | |||
4.5 mm | 1,76x | Account | |||
Higher propensity | Personal | ||||
Active Clients | credit | ||||
to digital | Cross-selling Index | ||||
Saver | |||||
Investor | |||||
Figital | Insurance | ||||
Investments
"Volta pra | "Poupa pra | ||
2.1k | 822 | mim" | mim" |
Full Digital Partnerships | |||
Co-Operative | |||
Stores | Banking | ||
Banks | |||
44
Bank has a wide capillarity distribution network and operates integrating physical and digital channels (FIGITAL)
BANK CORRESPONDENTS
Extensive network of bank correspondents, who usually have a specialized team, expanding the access network. Selling Payroll Credit Card, Payroll Loan and mass insurance.
2.1 k | ~ 14 k | BMG |
CORBANs | Sales | non exclusive |
Force |
DIGITAL BANK
Clients have access to the entire service portfolio through a full digital bank (meu_BMG)
+1,356 k | Artificial | Technological Enablers |
phygital accounts | intelligence | |
HELP! STORES
Franchise network of credit stores specialized in financial services, with one-stop-shopconcept and tech-touchmodel. Among the products offered as the main focus of the channel is the granting of personal credit
822 | 89% | Presence | |||||||
help! stores | Municipalities with | in all | |||||||
states | |||||||||
+100k inhabitants | |||||||||
Number of Stores | |||||||||
620 | 732 | 802 | 822 | 822 | |||||
442 | 494 | 494 | |||||||
389 | 413 | Cb Fácil | |||||||
319 | 360 | 328 | 328 | Total | |||||
231 | |||||||||
2Q19 | 3Q19 | 4Q19 | 1Q20 | 2Q20 | |||||
BANK BRANCHES
helping | Data | ||
operations for | Biometric | ||
~1,020 k | Analytics | ||
beginning to | Profile | ||
Monthly Active | the end | Artificial | |
Users | intelligence |
21
bank
branches
21 bank branches, located in 21 Brazilian states, and with the full support of call center channels.
45
CMG CORRETORA
CMG operates in the sale of insurance products in partnership with Generali.
99.99%
60%40%
Sale of insurance
issued by
Generali
Evolution of Issued Premiums | Evolution of Clients | ||||||
R$ Million | Number of lender insurance adhesions - in thousands | ||||||
170 | 217 | +37% | +58% | ||||
142 | 2,096 | ||||||
1,458 | |||||||
104 | 1,080 | ||||||
923 | |||||||
50 | |||||||
431 | |||||||
2017 | 2018 | 2019 | 1H19 1H20 | 2017 2018 2019 | 1H19 1H20 |
Net Revenue Evolution¹ | Evolution of Lender Insurance | ||||||||
R$ Million | Penetration | ||||||||
(in BMG Payroll Credit Card portfolio) | |||||||||
% | |||||||||
37 | +21% | +14p.p. | |||||||
45% | |||||||||
24 | 40% | ||||||||
31% | |||||||||
19 | |||||||||
16 | 21% | ||||||||
8 | |||||||||
10% | |||||||||
2017 | 2018 | 2019 | 1H19 1H20 | 2017 | 2018 | 2019 | 1H19 1H20 |
1) Service revenue from insurance sales, net of commission | 46 |
expenses |
DEAL CONSISTS OF THE ACQUISITION OF 40% OF CMG, WITH UPFRONT OF
R$44.8 MM AND CALL OPTION FOR THE ACQUISITION OF ADDITIONAL 9% IN 2024
60.0%¹40.0%*
AMORTIZATION RATIONALE
Amortization
15.0 | 15.0 | 89,8 | |||||||||
15.0 | |||||||||||
22.4 | 22.4 | 45.0 | |||||||||
44.8 | |||||||||||
1st Upfront | 2nd Upfront | 1st Earn-Out (2022) 2nd Earn-Out (2023) 3rd Earn-Out (2024) Total Amortization | |||||||||
Installment (Closing) | Installment | ||||||||||
(Closing+ 6m) | Target 2021 Net | Target 2022 Net | Target 2023 Net | ||||||||
Income: R$9.4 | Income: R$19.7 million | Income: R$23.5 million | |||||||||
million | Estimated Earn-outs | ||||||||||
(Earnout with range 70%/150% of target Net Income) | |||||||||||
MAIN TERMS:
| The total estimated price for |
the acquisition of 40.0% of the | |
shares is R $ 89.9 million. | |
| Security product exclusivity |
grant for 20 years at the BMG |
FIXED INSTALLMENT
- R$44.8 million, in two equal installments of R$ 22.4 million (one in the closing and other 6 months after).
EARN-OUT INSTALLMENTS
- Earn-Out:3 annual installments, estimated in R$15 million (each), calculated by the following formula: Annual Multiple* (Net Income of the Period - Minimum amount). Net Income of the period will be limited by the Maximum amount (metrics presented on the table to the right).
2021 | 2022 | 2023 | |
Annual Multiple | 5.30 | 2.53 | 2.12 |
Maximum | 14.1 | 29.6 | 35.3 |
Amount (R$mm) | |||
Minimum | 6.6 | 13.8 | 16.5 |
Amount (R$mm) | |||
counter |
* Wiz's stake may reach 49% of |
CMG. |
CALL OPTION
Wiz will have a call option | i. accumulated net profit from |
for an additional acquisition of | 2021 to 2023 is equal to or |
up to 9.0% of CMG Corretora | greater than 80% of the |
de Seguros, according to the | projected in the combined |
following rules: | business plan at the closing |
of the deal. |
- Payment for the call option will be R$ 20.2 million in 2024.
- The call may be exercised in 2024.
¹ 60.0% interest in CMG Corretora via CB Fácil, fully owned by Banco BMG (99.9% interest). | 47 |
Channels
and Operations
MARKETING AND TECH | PEOPLE AND MANAGEMENT | LEGAL AND COMPLIANCE |
REDE | saúde |
69%* | 2%* | 8%* | 6%* | 14%* | 1%* | 0%* | 0%* |
*Share of each segment on the 1H20 total consolidated revenue.
Consistent growth in funding and increase in credit portfolio backs up Inter's position as a strong player in the banking sector.
Banco Inter is Brazil's leading digital bank
Wiz appointed the Marketing Director to run the operation outside Wiz' network
Credit card
Transactional volume
Deposits
In MBRL
2,3 x
' 3,620
1,1121,4582,0882,573
2Q19 3Q19 4Q19 1Q20 2Q20
Total digital accounts
In thousands
2,3x
2,5413,2644,0594,9375,904
2Q19 3Q19 4Q19 1Q20 2Q20
+16 thousand
New accounts per
working day
(2Q20)
+437 thousand
New accounts per
month (2Q20)
In MBRL
9951,003
863
4Q19 | 1Q20 | 2Q20 | |||||||||
Other Credit | |||||||||||
operations | |||||||||||
Mortgage Loan | Payroll Loan | ||||||||||
In MBRL | 2,906 | In MBRL | 1,193 | ||||||||
2,517 | 2,685 | 1,008 | 1,071 | ||||||||
4Q19 | 1Q20 | 2Q20 | 4Q19 | 1Q20 | 2Q20 |
Inter Seguros' operation
Inter Seguros has exclusive access to the insurance counter of Banco Inter and uses its relationship with the bank's team to obtain operating synergies and explore the inclination of the bank's retail customers.
Relationship with Insurance Companies
In 2017, Inter Seguros signed a partnership with Liberty Seguros to offer insurance through their digital channel
Wiz established an Executive committee between Inter Seguros and Liberty Seguros, to ensure further convexity and agility in the development of new products
For other products, we mantain our relationship with several first class insurance companies
Digital
Insurance Squad
Inter
Seguros
Team
Data | IT |
Analytics | |
Marketing | Digital |
Sales | |
Multifunctional team that
assists the client throughout
the purchasing process
50
Inter Seguros' product portfolio and operating and financial highlights
Digital insurances for retail | Results |
and corporate solutions |
Net Premium | Net Revenue |
MBRL | MBRL |
Mortgage | Auto | Residential | Financial |
(MIP/DFI) | Insurance | Insurance | Insurance |
Card | Gadget | Corporate |
Insurance | Insurance | Insurance |
Insurance Pipeline...
18.1 18.8 22.6 24.0 22.4
2Q19 3Q19 4Q19 1Q20 2Q20
Number of clients
MBRL
113.0 | ||||
53.1 | 75.7 | |||
34.6 | 37.8 | |||
2Q19 | 3Q19 | 4Q19 | 1Q20 | 2Q20 |
17.0 19.7
4.9 | 7.1 | ||
2018 | 2019 | 2Q19 | 2Q20 |
Net Income
MBRL
11.1 11.5
2.7 4.4
2018 | 2019 | 2Q19 | 2Q20 |
51
Profitability of the customer base through tested and endorsed business model strategy
Corporate Governance
CEO
Headhunting with unanimous approval of Wiz and Banco Inter
(pending board approval)
MarketingComercial/
ControllerDirectorInstitucional
Director
First Steps
| Operational Strategy Development |
| Roadmaps and business plan development |
Business Strategy
Commercial business model
Business model focused on two fronts
Bancassurance model structuring
Margin increase strategy
Understanding the transaction as the foundation for insurance selling
Understanding the average customer profile
Definining the | Insurance | |||
ideal product | Customer inclination study | |||
Transaction | 1ª offer | 2ª offer | ||
to each | ||||
transaction | Transaction A | Product A1 | Product A2 | |
Studying correlations | Transaction B | Product B1 | Product B2 | |
between bank transactions |
and products
Explore opportunities to monetize the portfolio
| Strategy development for penetration in customer |
base | |
| Client approach strategy |
| Inclusion of new products in the portfolio such as |
Credit Life and Consortium |
Portfolio analysis
Analysis and cross-selling using a customer driven approach
Digital journey for data enriching to generate opportunities
Outcome management and follow-up
Margin | Sales |
increase | Strategy |
strategies | |
Renewal optimization | Client oriented approach |
Client Recovery | Call-to-action through ideal |
Portfolio Cross selling | offers to customers |
Upsell on the already | Outcome management and |
insured customers | follow-up |
52
Deal suggests the acquisition of 40% of Inter Seguros, with down payment of R$ 45 MM and four installments earnout
Rationale of 40% stake in Inter Seguros | |||||||||||||||||||||||||||||||||||
In R$ MM | |||||||||||||||||||||||||||||||||||
Acquisition Schedule | |||||||||||||||||||||||||||||||||||
Earnout based on EBITDA | 25,9 | 25,9 | 25,9 | ||||||||||||||||||||||||||||||||
25,9 | 17.25 | ||||||||||||||||||||||||||||||||||
34. | 17.25 | ||||||||||||||||||||||||||||||||||
40% | 285 | 5 | 45 | 17.25 | 12,1 | ||||||||||||||||||||||||||||||
17.25 | 12,1 | ||||||||||||||||||||||||||||||||||
114 | 12,1 | ||||||||||||||||||||||||||||||||||
12,1 | |||||||||||||||||||||||||||||||||||
Valuation Stake = | Fixed | Waiver | 2020/2021 | 2021/2022 | 2022/2023 | 2023/2024 | |||||||||||||||||||||||||||||
40% | Installment | 2019/2020 | EBITDA GOAL: EBITDA GOAL: EBITDA GOAL: EBITDA GOAL: | ||||||||||||||||||||||||||||||||
2019 | |||||||||||||||||||||||||||||||||||
R$ 23.2 MM | R$ 31.5 MM | R$ 42.4 MM | R$ 55.4 MM | ||||||||||||||||||||||||||||||||
Earnout w/trigger @70% - @150%
Rules of dividend distribution by Inter Seguros
- Minimum mandatory distribution of 50% of earnings;
- The remaining amount should be retained in cash to cover 3 months of operating expenses and CAPEX, the rest should be distributed, except when unanimously decided by the partners;
- The Share of Wiz' dividends should be retained to ensure the payment of variable installments, until the acquisition is complete
Deals's details:
- The total amount for the acquisiton of 40% stake is R$114 MM;
- The Transaction should be paid through a down payment in the amount of R$45 MM - to be disbursed at the deal's closing - and variable installments, under the following rules:
- The amount of R$69 MM should be paid in 4 installments of R$17,25 MM each, which will be adjusted upwards or downwards, triggered by the company's EBITDA, as the graphic shown in this slide;
- The amount of the installmants may vary between R$0 to R$25.9 MM, based on yearly set goals. In case the goal is met below 70%, the amount of the following installment should be zero. In case the EBITDA is a percentage between 70% and 150% of the EBITDA goal, the amount should be the product of the variable installment times the percentage earned.
- The installments will be adjusted by SELIC rate, limited to 15%
53
About Wiz
Our Operations and business model 2Q20 Performance
Key Financial Indicators, consolidated
Indicator (R$ MM) | 2Q20 | 2Q19 | ∆% | 1H20 | 1H19 | ∆% |
Gross Revenue | 169.4 | 184.6 | -8.3% | 360.0 | 357.9 | 0.6% |
Net Revenue | 149.5 | 164.9 | -9.3% | 319.2 | 319.3 | 0.0% |
Cost and | (63.8) | (74.2) | -14.1% | (142.3) | (142.9) | -0.4% |
Expenses | ||||||
Other Rev./Exp. | (4.5) | (0.5) | n.a. | (7.8) | (12.2) | n.a. |
EBITDA | 81.2 | 90.2 | -9.9% | 169.1 | 188.6 | -10.3% |
EBITDA Margin | 54.3% | 54.7% | -0.4 p.p. | 53.0% | 59.1% | -6.1 p.p. |
Net Income | 34.0 | 54.0 | -37.0% | 85.0 | 110.7 | -23.2% |
Net Margin | 22.7% | 32.8% | -10 p.p. | 26.6% | 34.7% | -8.0 p.p. |
Control. stake | 34.8 | 52.5 | -33.7% | 84.4 | 105.5 | -20.1% |
Net Income | ||||||
Gross Revenue, consolidated | R$ million
∆ YoY
-8.3%
184.6 | 200.5 | 205.3 | 190.7 | 169.4 |
2Q19 | 3Q19 | 4Q19 | 1Q20 | 2Q20 |
0.6%
357.9 360.0
1H19 1H20
EBITDA and EBITDA Margin, consolidated | R$ million; %
54.7% | 57.2% | 56.8% | 54.3% | 59.1% | 53.0% | |
51.8% | ||||||
188.6 | 169.1 | |||||
90.2 | 102.6 | 104.0 | 87.8 | 81.2 | ||
2Q19 | 3Q19 | 4Q19 | 1Q20 | 2Q20 | 1H19 | 1H20 |
EBITDA | EBITDA margin | |||||
Source:Company |
Cash and Dividends | R$ million
56.0 | 0.0 | 127.1 | 1.5 | 55.0 | 56.0 | 55.0 |
106.2 | 105.3 | 100.6 | 100.6 | |||
53.9 | 45.8 | 53.9 | ||||
2Q19 | 3Q19 | 4Q19 | 1Q20 | 2Q20 | 1H19 | 1H20 |
Cash | Dividends |
Earnings Presentation - 2nd quarter 2020 55
Performance per Business Unit
Gross Revenue
Per BU
Gross Revenue
Share per unit
Business Unit (R$ MM) | 2Q20 | 2Q19 | ∆% | 1H20 | 1H19 | ∆% | |||
Bancassurance Operation² | 116.6 | 129.6 | -10.0% | 249.8 | 252.9 | -1.2% | |||
Wiz BPO | 22.9 | 21.2 | 7.7% | 48.6 | 41.4 | 17.5% | |||
Wiz Parceiros | 15.0 | 14.9 | 0.9% | 29.3 | 29.4 | -0.5% | |||
Wiz Corporate | 10.1 | 11.9 | -14.5% | 22.6 | 21.8 | 3.8% | |||
Wiz B2U² | 3.0 | 4.6 | -35.2% | 6.4 | 9.8 | -34.6% | |||
Wiz Conseg | 1.4 | - | n.a. | 1.9 | - | n.a. | |||
Other Operations | 0.4 | 2.4 | -84.9% | 1.4 | 2.6 | -46.0% | |||
Gross Revenue | 169.4 | 184.6 | -8.3% | 360.0 | 357.9 | 0.6% | |||
Bancassurance | Wiz BPO | Wiz Parceiros | Wiz Corporate | Other |
69.4% | 13.5% | 8.1% | 6.3% | 2.7% |
1H19: 70.7% | 1H19: 11.6% | 1H19: 8.2% | 1H19: 6.1% | 1H19: 3.5% | |||||
Gross Revenue | R$ 62.6MM | R$ 0.0MM | R$ 11.3MM | R$ 2.8MM | R$ 2.6MM | ||||
stock¹ | |||||||||
2Q20: 56.3% | 2Q20: 0.0% | 2Q20: 75.0% | 2Q20: 27.5% | 2Q20: 83,5%² | |||||
2Q19: 47.5%² | 2Q19: 0.0% | 2Q19: 78.0% | 2Q19: 34.3% | 2Q19: 93,3%² |
Source: Company
Note: : (1) Stock revenue is not an audited financial information and it was structured using Wiz´managerial reports, considering the comissions flow. The accounting method ofEarnings Presentation - 2nd quarter 2020 56 stock revenue is described in the glossary of the Earnings Release.(2) The auto segment is fully reclassified to B2U retroactively.
Costs per Business Unit
Cost Breakdown per B.U.
Business Unit (R$ MM) | 2Q20 | 2Q19 | ∆% | 1H20 | 1H19 | ∆% | ||||
Bancassurance Operation | (11.8) | (24.8) | -52.6% | (31.8) | (46.0) | -30.8% | ||||
Wiz BPO | (13.2) | (14.2) | -7.0% | (27.5) | (26.8) | 2.4% | ||||
Wiz Parceiros | (2.9) | (2.4) | 19.8% | (5.8) | (5.3) | 9.7% | ||||
Wiz Corporate | (5.4) | (4.5) | 20.1% | (10.0) | (9.6) | 5.0% | ||||
Wiz B2U | (2.9) | (2.9) | 0.5% | (5.2) | (5.1) | 2.3% | ||||
Wiz Saúde | (0.7) | (0.5) | 34.2% | (1.0) | (0.8) | 27.3% | ||||
Wiz Conseg | (0.5) | - | n.a. | (0.7) | - | n.a. | ||||
GR1D Finance and GR1D Insurance | (1.7) | - | n.a. | (3.5) | - | n.a. |
Costs | (39.2) | (49.5) | -20.7% | (85.7) | (93.5) | -8.4% | |||||
Cost Breakdown 2Q20 | Headcount Breakdown | ||||||||||
Bancassurance | Wiz Parceiros | Wiz B2U | 2Q19 | 2Q20 | |||||||
Wiz BPO | Wiz Corporate | Wiz Saúde | 10.5% | 7.3% | 44.7% | ||||||
Wiz Conseg | GR1D | ||||||||||
1.8% | 1.3% | 4.4% | 1,110 | 993 | 696 | 747 | |||||
55 | |||||||||||
38 | |||||||||||
7.5% | |||||||||||
30.0% | Bancassurance | BPO | Parceiros | ||||||||
13.8% | |||||||||||
R$39.2MM | 23.1% | 19.2% | 181.3% | ||||||||
7.4% | 117 | 90 | 104 | 124 | 16 | 45 | |||||
33.7% | Corporate | B2U | Other | ||||||||
Earnings Presentation - | 2nd quarter 2020 | 57 |
Expenses / Other rev. and expenses
Expenses Breakdown
Indicator (R$ MM) | 2Q20 | 2Q19 | ∆% | 1H20 | 1H19 | ∆% | ||
Personnel | (14.4) | (14.8) | -2.4% | (34.3) | (29.9) | 14.8% | ||
Third Party | (2.9) | (1.7) | 71.0% | (6.6) | (3.3) | 102.5% | ||
Tecnology and Telecom | (3.1) | (3.5) | -11.0% | (6.3) | (7.1) | -11.8% | ||
Occupation | (0.7) | (0.7) | 1.4% | (1.7) | (1.7) | -0.9% | ||
Other | (3.3) | (4.0) | -18.3% | (7.8) | (7.4) | 4.7% | ||
General and Administrative | (24.5) | (24.8) | -1.0% | (56.6) | (49.4) | 14.7% | ||
Other rev./expenses | (4.5) | (0.5) | n.a. | (7.8) | 12.2 | n.a. | ||
G&A expenses breakdown 2Q20 | Headcount Breakdown | |||
Personnel | Tec. Telecom | Other | 2Q19 | 2Q20 |
Third-Party. | Occupancy | 39.3% | ||
13.5% | ||||
3.0% | ||||
340 | ||||
244 | ||||
12.8% | R$24.5 MM | |||
12.0% | 58.7% | Corporativo | ||
Source: Company | Earnings Presentation - 2nd quarter 2020 | 58 |
Thank you!
Investor Relations
Website: www.ri.wizsolucoes.com.br
E-mail: ri@wizsolucoes.com.br
Phone: +55 (11) 3080-0100
ATTACHMENTS
WIZ CLOSES THE DEALS FOR NEW OPERACIONAL TERMS, TAKING PART IN RESTRUTURING CAIXA'S INSURANCE ENVIRONMENT
OPERATION PARTIES
CAIXA's | Wiz | Caixa |
Branches | Seguridade | |
Parceiros | Wiz | Caixa |
Seguros | ||
Operation | Holding | |
Previsul |
Wiz | Caixa | |
BPO | Seguros | |
Holding | ||
CNP Assurance |
NEW AGREEMENTS
Wiz will continue to be the exclusive brokerage firm at CAIXA until, at least, February 2021
After Feb/21, co-broker will be chosen through public bidding procedure (BID)
Guaranteed commission over the inventory of contracts issued up to Feb 2021
10-year contract for all existing partners operation agreements
Maximization of fees originating from the indication of Consortium and Credit Life insurance contracts
Establishes the scope of action and compensation fees to BackOffice services
10-year contract (with possibility of renewal) for the life, credit life insurance and pension products. Scope extension of contract in case CNP is selected as the partner for the JV2 (Mortgage and Consortium)
Wiz is free to operate outside CAIXA with other insurers and other channels
61
COMISSION RATIOS
BROKERAGE/CO-BROKERAGE Wiz
1. Conditions
- Commission rates are fixed until February 2021, except when indicated
- (*) Commission rates on main product lines in accordance with current Operational Agreement. These rates may vary over time due to change in product mix of each line.
- Reduction of Mortgage commission rate as of January 2019 due to breach of commission payment related to the project for Mortgage into the Bank Correspondents
2. Commission | |||||||
Lines | Commission Rates(*) (¹) | Tax Basis | % Revenue² | ||||
Life | 12% | % of installment received | 32% | ||||
Credit Insurance | 9.64% | % of total billed premium | 25% | ||||
Mortgage - | 2018: | 6% | % of installment received | 20% | |||
Recurring Comission | 2019-21: | 4% | |||||
Mortgage - | 2018: | 200% | % of first installment | 7% | |||
Upfront Comission | 2019-21:0% | received | |||||
Residential | 15% | % of installment received | 6% | ||||
Corporate MR | 10.5% | % of installment received | 3% | ||||
Auto³ | 4.2%-7% | % of installment received | 4% | ||||
Nota: : (1) The average commission rates are: Life- 10.8%; Mortgage - 5.6%; Credit Insurance - 9.1%; Residential - 10.7%; Corporate MR - 10.3%; Auto - 4.1%. Commission ratio estimated based on the commission of past 12 | ||
months over the premium SUSEP in the period | 62 | |
(2) | Percentage of each line over the gross revenue of Parent Company (Wiz without its affiliates and subsidiaries). Average of last twelve months. | |
(3) | Variation over the time depends on the mix of products sold, pursuant the interaction between the client and CAIXA. |
COMISSION RATIOS
PARTNERS OPERATION (FINANSEG)
1. Conditions
- (1) Commission policy start with contract signing, applied only on insurances policies sold from that date on. Installments due to insurance contracts signed before this date, pay 30% a commission rate to Wiz.
- (2) Commissioning derived from Consortium Indication will go from 1% to 1.45% by the signing date to the end of 2018, reducing to 1.25% as of jan/2019.
- (3) Success fee percentage is subject to:
- % achievement of agreed sales targets between the parts
- % of minimum duration until the 13th month of the portfolio sold
2. Commission | |||||
Product | Commission | Tax basis | |||
Breach of Warranty | 25% | % on installments | |||
Insurance (SQG) | |||||
Credit | 35% | % on installments | |||
Insurance (1) | |||||
Backoffice | 35% | Fee defined by | |||
activity provided | |||||
Contracts with same maturity | |||||
date until 2018: | |||||
Consortium | 1.45% | Consortium letter | |||
(Indication)(2) | Contracts with same | value, paid in 4 times | |||
maturity date as of 2019: | |||||
1.25% | |||||
Contracts with same | |||||
Success Fee - | maturity date as of 2019: | Consortium letter | |||
Platform (3) | 0% - 1.5% | value, paid in 4 times | |||
(4) The previous sucess fee (Platform), corresponding to 0,65%, shall be suspended for the consortium contracts with | 63 | ||||
same maturity date sold between the date of execution of the agreement until december 31st 2018 |
COMISSION RATIOS
BACKOFFICE
1. Conditions |
The commission payment will be owed from the |
starting transaction date by segment, after the |
contract signing. |
2. Commission
Product | Commission | Reference Values |
| After 12 months of service rendering, the respective |
values will be inflation-adjusted by the IPCA-IBGE | |
consumer price index. | |
After 24 months of rendering of services, there will | |
be an annual decrease of 4% on the per-unit values | |
paid as commission | |
| (1) The commission rates after Feb. 2021 will change |
only for the contracts sold from that date on | |
| (2) Following the JV2's definition, the maintenance of |
Life
Pension Plans
Credit Insurance(1)
qty contracts X R$0.458/month
qty contracts X R$0.458/month
Until feb/21:
qty contracts X R$0.125/month
contracts with same
maturity date as of mar/21: qty contracts X R$0.458/month
Qty of contracts effective in Dec 18: 3.57 MM
Qty of contracts effective in Dec 18: 1.57 MM
Qty of contracts effective in Dec 18: 4.07 MM
the services' provisions for the new mortgage |
contracts with the same maturity dates, is |
conditioned to CNP winning the bidding procedure |
(3) In the event CNP does not win JV2's bidding |
procedure, the contracts with same maturity date' |
commission after feb/21 will go from R$0.458 to |
Until feb/21: | |
Mortgage(1,2,3) | qty contracts X R$0.125/month |
contracts with same | |
maturity date as of mar/21: | |
qty contracts X R$0.458/month |
Qty of contracts effective in Dec 18: 3.50 MM
R$0.509, to all active reminiscent Mortgage contracts |
in the portfolio |
64
Governance & Compliance initiatives advances: one of our supportive pillars
Our Governance
Structure2015
Shareholders
Executive | |||
Board | |||
9 Members | |||
2 Independents | |||
Related Parties | Auditing | Compensation | |
And HR | |||
Committee | Committee | CEO | Committee |
3 Members | |||
3 Members | 3 Members | CFO | |
2 Independents | |||
1 Independent | 2 Independents | ||
IPO
B3's
"Novo
Mercado"
2016
Governance and
Compliance evolution
Complianc | Auditing |
e Directory | Committee |
Creation | Creation |
Related | Outsourcing | |
Parties | Code of | |
transactions | & Donation | |
committee | Conduct | Policies |
Creation | Creation | Creation |
Compensation | ||
Complianc | and Human | |
Resources | ||
e Booklet | ||
Committee | ||
Creation | ||
2017 | Functioning | |
Complaint | ||
Channel starts | ||
Functioning |
Every company employee has been trained
65
Caixa Seguridade new multiple-JV shareholder structure (1)
Sizable Risks | Premium | Consortium | Auto | Life |
and Mass | ||||
Bonds | Pension Plans | |||
Corporate | ||||
Insurance types: | Credit Life | |||
Icatu will hold | Partner will hold | |||
Property & | Up to 3 total | |||
Casualty, | 25% of the | 25% of the | CNP will hold | |
partners | ||||
Transportation, | economic rights | economic rights | aprox. 40% and | |
Agro, etc | Caixa Seguridade | |||
Partner: | Icatu: | Partner: | Partnership via | 60% of the |
economic rights | ||||
75% ON | 50%+1 ON | 50% ON +1 | commercial | |
75% PN | 0% PN | 0% PN | agreement |
CNP Assurance:
50% ON +1
30% PN
Mortgage and home
Tokio Marine will hold 25% of the economic rights
Tokio Marine:
50% ON +1
0% PN
Healthcare | Dental | Assistance |
Services | ||
Up to 6 different | Partner will hold | |
partners in 6 | One exclusive | |
25% of the | ||
different areas | partner | |
economic rights | ||
Partnership via | Partnership via | Partner: |
commercial | commercial | 50% ON +1 |
agreement | agreement | 0% PN |
(1) Slide based on Material Facts released by Caixa Seguridade on the 10th and 24th of May. | 66 |
Attachments
- Original document
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Disclaimer
Wiz Soluções e Corretagem de Seguros SA published this content on 14 August 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 14 August 2020 22:27:06 UTC