Net 1 Ueps Technologies Inc. (NASDAQ:UEPS) Q4 2020 Earnings Conference Call - Final Transcript

Sep 11, 2020 • 08:00 am ET


Net 1 Ueps Technologies Inc. (NASDAQ:UEPS) Q4 2020 Earnings Conference Call - Final Transcript


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Good day ladies and gentlemen and welcome to Net 1 UEPS Technologies Incorporated, Quarter Four of 2020 Earnings Call. All participants will be in listen-only mode. [Operator Instructions]. Please note that this conference is being recorded.

I'd like to hand the conference over to Mr. Dhruv Chopra. Please proceed sir.

Dhruv Chopra

Thank you, Judith. Welcome to our fourth quarter 2020 earnings call. With me today is our Chairman, Jabu Mabuza; our CFO, Alex Smith; and our Non-Executive Director, Ali Mazanderani.

Our press release and supplementary investor presentation are available on our Investor Relations website, We will be referring to certain slides in the presentation during our prepared remarks. As a reminder, during this call we will be making forward-looking statements, and I ask you to look at the cautionary language contained in our Form 10-K regarding the risks and uncertainties associated with forward-looking statements.

In addition, during this call we will be using certain non-GAAP financial measures and we have provided a reconciliation of these non-GAAP measures to the most directly comparable GAAP measures. We will discuss our results in South African Rand, which is a non-GAAP measure.

We analyze our results of operations in our press release in Rand to assist investors understanding the underlying trends of our business. As you know, the company's results can be significantly affected by currency fluctuations between the U.S. dollar and the South African Rand. We will have a Q&A session following our prepared remarks.

And with that, let me turn the call over to Jabu.

Jabu Mabuza

Thank you, Dhruv. Welcome to the Net 1 results presentation for the quarter and financial year ended June 30, 2020. This being my first results as Chairman since taking on the role in July, the last quarter has been a time of change and renewal at Net 1. On the Board, Net 1 welcomes three new Directors in May being Antony Ball, Ali Mazanderani, and myself.

That was followed in June by the appointment of Mr. Kuben Pillay and the resignation of four long serving directors, being the Former Chairman, Chris Seabrooke, Paul Edwards, Alfred Mockett and Alasdair Pein. Let me take this opportunity to thank them for their service for Net 1 over many years. We have also established a capital allocation committee that will be Chaired by Antony Ball, who is a highly accomplished investor in the private and public market.

In addition to the Board changes, we have had a relative change. Herman Kotze announced that he will be stepping down from the CEO role in September. Herman has spent 22 years with the group. On behalf of the Net 1 Board, I would like to extend our senior well wishes to Herman for his future endeavors.

Our CFO, Alex Smith will take over as Interim-CEO until the Board finalizes the appointment of a permanent CEO.

To ensure quality during this transition period, I've also set up the weekly Chairman's meeting. Finally on this theme on change and renewal, we have initiated a strategic review