Thorn Group Ltd - Results Presentation - Half Year Ended 30 September 2018

Overview Consumer Leasing  Consumers under pressure on disposable income = price sensitive market and slower collections  Improved customer offers, range, stores gradually lifting installation volumes  Reinvigoration program to lift sales and improve efficiency underway  ASIC enforceable undertaking in progress  Revenue down 17% and EBIT down 67% on prior comparable period 3 Business Finance  Origination growth constrained by credit availability  New expanded securitized warehouse debt facility now in place  Revenue up 27% and EBIT up 38% Corporate  Costs up 10% and remain elevated due to the class action defense  Corporate loan facility paid down to $15m  New corporate loan facility signed with 2 year tenor, $30m limit, new covenants and T&C’s  Statutory profit $3.8m  No interim dividend