2. Forward-Looking Information: This document contains forward looking statements that relate to our current expectations and views of future events. In some cases,
these forward-looking statements can be identified by words or phrases such as “may”, “might”, “will”, expect”, “anticipate”, “estimate”, “intend”, “plan”, “indicate”, “seek”,
“believe”, “predict” or “likely”, or the negative of these terms, or other similar expressions intended to identify forward-looking statements. The Company has based these
forward-looking statements on its current expectations and projections about future events and financial trends that it believes might affect its financial condition, results
of operations, business strategy and financial needs. These forward-looking statements include, among other things, statements relating to: the Company’s expectations
regarding its revenue, expenses and operations; the Company’s plans for and timing of expansion of its solution and services; the Company’s expectations with respect to
advancement of its product offering; and estimated lifetime value per customer. Forward-looking statements are based on certain assumptions and analyses made by the
Company in light of the experience and perception of historical trends, current conditions and expected future developments and other factors it believes are appropriate,
and are subject to risks and uncertainties. Although we believe that the assumptions underlying these statements are reasonable, they may prove to be incorrect, and
we cannot assure that actual results will be consistent with these forward-looking statements. Given these risks, uncertainties and assumptions, prospective purchasers
of Common Shares should not place undue reliance on these forward-looking statements. Whether actual results, performance or achievements will conform to our
expectations and predictions is subject to a number of known and unknown risks, uncertainties, assumptions and other factors, including those listed in the Management’s
Discussion and Analysis for the quarter ended September 30, 2015 and under ‘‘Risk Factors’’ in the prospectus dated June 18, 2015 (the “prospectus”) available under our
profile on SEDAR (www.sedar.com). If any of these risks or uncertainties materialize, or if assumptions underlying the forward-looking statements prove incorrect, actual
results might vary materially from those anticipated in those forward-looking statements. Information contained in forward-looking statements in this document is provided
as of the date of the prospectus, and we disclaim any obligation to update any forward-looking statements, whether as a result of new information or future events or
results, except to the extent required by applicable securities laws. Accordingly, potential investors should not place undue reliance on forward-looking statements or the
information contained in those statements.
Non-IFRS Measures: This document makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a
standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are
provided as additional information to complement those IFRS measures by providing further understanding of the Company’s results of operations from management’s
perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of our financial information reported under IFRS. We use non-IFRS
measures, including loan originations, contribution, adjusted EBITDA and provision rate, to provide investors with supplemental measures of our operating performance
and thus highlight trends in our core business that may not otherwise be apparent when relying solely on IFRS financial measures. We also believe that securities analysts,
investors and other interested parties frequently use non-IFRS measures in the evaluation of issuers. Our management also uses non-IFRS measures in order to facilitate
operating performance comparisons from period to period, prepare annual operating budgets and assess our ability to meet our capital expenditure and working capital
requirements. Please refer to the ‘Management’s Discussion and Analysis for the quarter ended September 30, 2015 which is available on SEDAR (www.sedar.com) for
further information and a reconciliation of non-IFRS measures we use in this presentation to the comparable IFRS measures.
2 / 27A digital financial platform
3. Fintech is leading the digitization of banking
“Up to 60% of banks’
retail profits could be
lost by 2025 to nimble
fintech firms.”
—McKinsey 2015 Annual
Review of Global Banking
“We think [the banks] face
a material threat to their
most profitable business line,
Canadian P&C Banking, from
innovators who intend to
fleece their Golden Geese.”
—National Bank Financial
Equity Research
3 / 27A digital financial platform
4. Legacy technology
High and hidden fees
Legacy brand
High-cost branch model
Old school approach
Modern technology platform
Low fees & transparency
Millennial brand
Low-cost digital model
Agile culture
Fintech
vs
Banks
4 / 27A digital financial platform
5. “Millennials are becoming the primary buyer
of banking services and have grown up with
the Internet. Their behavior is fundamentally
different than older consumers.”
—McKinsey Report on Global Banking 2015
Millennials make up
37%of the Canadian
workforce
Almost
50%are counting on tech
startups to overhaul
the banks
33%of Millennials
believe they won’t
need a bank at all
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7. Our vision
Mogo is building the leading
digital financial brand in Canada
that empowers consumers with
simple financial solutions.
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8. Mogo Member account - killer value proposition
Access to credit Free Prepaid Visa Card Free credit score
More than 50% of Canadians do not
know their credit score
Chip, PIN and PayWave with no
monthly fee
With rates starting at 5.9%
3 mins + Free + No impact to credit score
Coming
soon
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9. This is the future of banking
Mogo’s upcoming mobile app
9 / 27A digital financial platform
10. Mogo’s digital financial platform
Better user
experience
Advanced
Decisioning
New products
• Design driven
• Enable frictionless customer
experience
• Customer self-service
• Machine learning algorithms
• Over 1000 data points
• Proprietary Mogo score
• Data driven personalization
• Platform built for launch
of other new products
• Future products include
mortgages
• 100+ team focused on
building digital experience
• $100MM+ invested in
platform to date
Deep Tech
Competency
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12. Building a millennial focused brand
“Is Mogo the Uber of finance?” “Financial literacy advocate,
Chantel Chapman joins Mogo”
“Web-literate millennials look
beyond traditional banks for online
investing and lending services.”
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13. Strong MogoMember growth
McKinsey 2015 Annual Review of Global Banking
Banks are losing customers to
non-banks...FinTechs may pose a
particularly strong threat; they are
highly focused companies that
continually improve their technology
to deliver a more appealing and
lower-cost experience to customers.
76K
124K
99K
158K
Q4A
Q1A
Q2A
Q3A
2015
2014
MogoMembers
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15. Third quarter 2015 financial highlights
1
Subject to certain conditions, see notes to financial stateemtns
Compelling Customer
Lifetime Value
4.8x ROI
after 6 quarters
Finalized new expandable
credit facility1
of up to
$200MM
Revenue of
$11.6MM
up 70% yr/yr
Strong capital position with
$39.9MM
in cash and cash equivalents
Gross Loan Receivables
increased to
$53.9MM
up 192% yr/yr
Gross Margin of
62.5%
up 50 bps qtr/qtr
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16. Long-term loans driving receivable growth
SHORT-TERM LONG-TERM
$22.3
$37.7
$29.2
Q2A Q3AQ4A Q1A
All dollar figures in millions
Q3A
$82.4
$71.3
$64.0
$55.6
$45.4
$53.9
20152014
$18.4
Q4A Q2AQ1A Q3A
2015
Q3A
2014
192%
GROW
TH
81%
GROWTH
($ in millions)
Gross Loans receivable
($ in millions)
Loan originations
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18. Diversified portfolio generating attractive returns
1
Average at end of Q3
ZIP
MINI
LIQUID
Avg. loan size1
Avg. APR1
Avg. term1
Avg. Bureau Score1
Short term loan
up to $1,500 2 Weeks
1 Year
3 Years
$659 NA
$748 39.9%
24%$7754
LOC up to $2,500
Installment Loan
up to $35,000 672
583
547
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19. Solid underwriting performance and mix shift
driving lower provision rates
Q1 Q2 Q3
2015
32%
24%
32%
31%
24%
23%
NET CHARGE OFFS
AS % OF REVENUE
PROVISION FOR LOAN
LOSSES AS % OF REVENUE
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20. ($MM)
$5.5MM
Return
after 6
quarters
4.8x
ROI
$1.1
$1.1 MM
investment
$1.3
$0.8
$0.8
Compelling customer lifetime value and ROI
CONTRIBUTION2
$0.8
$0.1
CUSTOMER ACQUISITION COST1
Q2A Q3AQ1A
2015
Q2A Q2A Q3A Q4A
$1.7
2014
1.Includes marketing expenses incurred to acquire new customers in Q2 2014. Customers are defined as individuals who have been funded for a loan. Not all Mogo Members are customers. 2.Contribution is defined to include interest income
and fees collected on all loans originated in the period with customers acquired in Q2 2014, less acquisition costs, less the following items for both initial and repeat loans: transaction costs, estimated processing and servicing expenses,
estimated funding costs (excluding any cost of equity capital) and charge offs. 3. Customer lifetime value is not an audited number and cannot be reconciled to an IFRS financial measure as it represents a portion of loans funded to new
customers acquired during a selected period. This information is provided as additional information to complement our IFRS reporting and should not be considered in isolation nor as a substitute for analysis of our financial information
reported under IFRS.
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21. Understanding core profitability
$11.6MM
– Loan loss provisions
– Transaction costs
– Funding interest costs
– Customer service and ops
$3.6MM
$0.8MM
$0.8MM
$2.4MM
Revenue
= Contribution
Q3 2015 Results
$4.0MM
Contribution Model
21 / 27A digital financial platform
22. Q3
($ in millions)
Q1 Q2
$4.0
$3.5
$3.2
Contribution Margin
Steadily increasing contribution
$10.7
YTD
35% 34% 35% 35%
2015
CONTRIBUTION MARGIN AS % OF REVENUE
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23. Investing in the Mogo platform
Q3 2015 YTD
($ in millions) ($ in millions)
TECH & DEVELOPMENT1G&A
2013 2014 Q1 Q2 Q3
$2.4 21%
$4.2
$7.0
$1.8
$1.6
$2.7
$3.0
$3.0$2.2
$3.5
$5.4
$7.3
$14.3
$9.6
$5.8
$3.4
$4.9
$6.0
Annual Quarterly
($ in millions)
Annual
1
Excludes D&A but includes cap tech
2015
23 / 27A digital financial platform
24. Attractive long-term operating model
2013 2014 Q2 2015 Q3 2015 2016 TARGET
Revenue ($MM) $17.4 $23.4 $10.3 $11.6
Gross Profit 64.5% 63.4% 62.0% 62.5%
Operating Expenses
Technology & Development 7.3% 16.7% 16.6% 18.5%
Marketing 6.1% 19.8% 22.6% 31.6%
Customer Service & Operations1
22.1% 22.8% 20.6% 20.7%
G&A1
22.6% 23.2% 25.7% 26.0%
Adjusted EBITDA 6.5% (14.7%) (18.9%) (27.3%)
Cost of funding interest N/A 15% 15% 9.5% - 15%
Operating cash flow before investment in
receivables
$(0.4) $(3.8) $1.8 $(0.8)
1
Certain items have been reclassified to best reflect the nature of the expenses
24 / 27A digital financial platform
25. Balance sheet highlights
($ in millions)
SEPT 2015 DEC 2014
Cash & Cash Equivalents $39.9 $23.6
Net Loans Receivable $48.3 $19.2
Total Assets $100.6 $49.4
Funding Debt $28.2 $12.8
Corporate Debt $40.1 $39.2
Shareholders Equity $25.0 ($6.2)
Total Liabilities & Shareholders Equity $100.6 $49.4
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26. Value-driving milestones
Mobile app
New Visa
card
Mortgages
Marketplace
lending
Continue to grow MogoMembers
2016
Partnerships
26 / 27A digital financial platform
