Frontier Digital Ventures Limited (FDV) Earnings Call Transcript & Summary

[Audio Gap] [ Shaun Antony ] to join the conversation, Pat so ever directed. So again apologize but we'll now kick off proceedings. I am Anthony Klok and I am the Company's Chairman. It's my pleasure to welcome you all to the 2022 Annual General Meeting of Frontier Digital Ventures Limited. It is now 11:10 AM in Malaysia and 1:10 PM Australian Eastern Time. That's the time we'll open the meeting. Will be slightly late. As we have a quorum, I declare the meeting open. Due to the ongoing COVID health concerns with public meetings, we have chosen to hold this fully virtual meeting. And despite the problems will go ahead with it as Virtual Meeting, I believe next time around its probably back to a hybrid type of meeting as ordering by the ASX. This meeting is being hosted by FDV's Office in Malaysia. If I could introduce my fellow directors, I have got Mr. Shaun Di Gregorio; Ms. Frances Po, and Mr. Mark Licciardo. Mark is also the Company Secretary of the Company. The Company's Auditor Deloitte Touche Tohmatsu is represented here by [ Annika Osterberg ] and had the pleasure in welcome you to the meeting Annika today. The Auditor will be available to answer questions on the conduct of the audit, and the Audit report for the year ended 31 December 2021. Represented the [ investor ], Computershare, our share registry provider, are also in attendance. Before we commence with the business of the meeting, if I could address a few procedural matters. I let address shareholders regarding arrangements of the meeting in lieu of the notice of meeting was sent to all shareholders on 14 April 2022 and lodged with ASX on the same date. That letter also provide a details on how to vote at this meeting. Instructions that just come on to the screen on how to vote on the Computershare meeting platform and you can read those on the screen. I propose that the notice of meeting, an explanatory memorandum be taken as rate. Proxies received prior to meeting will be shown on the screen for 8 Resolution as we deal with them. For those shareholders who had not submitted a proxy for today's resolutions, once I have declared the poll open, you will be given the opportunity to vote. As stated in the notice of meeting, as Chairman, I intend to vote proxies left to my discretion in favor of all the resolutions. Please note the resolutions 1, 4 and 5 are subject to voting exclusions, and those exclusions are detailed in the notice of the meeting. Should anyone wish to review that, these exclusions will be taken into account when the poll is conducted. If you have any questions or any comments on anything that's been dealt with today, please raise your digital hand using the function available within the Zoom platform, and we will unmute your microphone to allow you to speak. Be good, if you could please state your name and the organization you represent before proceeding with the question. Finally I note that shareholders have been afforded the opportunity to submit written questions to the auditor. And it is my understanding that the auditor has not received any questions in writing. If you are eligible to vote at this meeting, you will need to log in as a shareholder. You can follow the instructions on screen to log in to enable you to vote at the meeting. As mentioned earlier, voting today will be conducted by way of a poll, which is simply adding up the numbers of votes on all items of business. In order to provide everyone with enough time to vote, I now declare voting open on all items of business, and you can submit your votes at any time. I'll also tell you before I move to close the voting. Frontier Digital Ventures had a really good year in 2021. We continued executing on our mission and just to remind you of becoming a leading global operator of online marketplace businesses in emerging markets. Shaun and his team were pretty busy during the year, mainly concentrating on improving the operating performance of all of the portfolio companies, with a particular focus on the new acquisitions we made in 2020, and also the beginning of 2021. Our full year revenue of around AUD 60 million on an FDV share basis grew strongly at around 150% on the previous financial year. And our full year EBITDA of close to $2 million on a share basis, evidence that the operating companies can grow on a sustainable basis and also move into that cash flow profitable part of the curve. So we believe that the work that we put in, in 2021 provides our company FDV with a strong long-term platform for growth. It's not to say there wasn't some corporate activity during the year, not as much as 2020, but we did finalize the purchase of Yapo at the beginning of the year, and we increased our ownership interest in Moteur, InfoCasas, Hoppler and E24. I mean InfoCasas is interesting, and I'm sure Shaun will touch on this, but we've been particularly pleased with the revenue growth over the last 12 months, and it's beginning to illustrate our belief that both transaction growth and in-house technology development will help drive future growth. But again, I'll leave that to Shaun to cover in his presentation. Last year, we undertook a legal restructure along geography -- geographical lines. So the reason we did this is -- our view is that this restructure will unlock many benefits. In particular, operational efficiencies. There's no doubt that it will enhance our ability to improve management culture and accountability. It should enhance growth opportunities. There will definitely be greater knowledge sharing and innovation sharing amongst our portfolio companies, and we believe it will increase our monetization options over time. So we now internally think and talk about FDV LatAm, FDV Asia and FDV MENA, and it does bring a clear understanding on which management strategies we need to instill in each of those geographic groups. For example, we now have 100% full ownership of all of the 4 companies in the Latin America group. And we think this group has significant potential to continue to grow strongly. And indeed, it's probably Shaun's first visit to that part of the world for a while given the pandemic, but it's late at night in Chile. And I know he's been there working on exactly the sort of strategies that we've talked about in separating our companies into these geographic groups. During the year, Jason Lau joined FDV as Chief Financial Officer; and Frances Po joined our Board of Directors. Welcome, Jason, and welcome Frances. So our focus during the first half of this calendar year is broadly the same as last year. That is on improving the operational and revenue performance of all of our portfolio companies, particularly given the current unstable macroeconomic conditions. Although our share price has been negatively impacted over recent months by these global headwinds, our attention remains firmly fixed on continuing to increase shareholder value by focusing on revenue growth and profitability, with all of those portfolio companies. We believe if we continue to execute against the same, the share price will recover and reflect this enhanced shareholder value when macroeconomic conditions stabilized. I'm not sure anyone is able to tell you when that will be, but the world does move in cycles. So we continue to push ahead and make our companies as efficient as possible. We've grown strongly over the last few years, but in many ways, we and our portfolio companies, I think, are really at the beginning of this journey. Lastly, and as always, on behalf of the shareholders and the Board of Directors, Shaun, I'd like to thank you and the management team for all your hard work during the previous financial year. 2021 was a good year for Frontier Digital Ventures, and we look forward to further progress during the current financial year. Having said that, probably more interesting to hear from Shaun about the actual operations, Shaun in Chile, can you take us through your presentation and give us some comments.

Thanks, Anthony. And welcome everyone as well. We've probably got a record number of attendees. It's amazing what. Doing these things online and via Zoom have enabled in terms of attendees at our AGM. So thanks, everyone, for dialing in. Pat, if you can go to the next slide, please. Just some highlights. Many of you who follow the company will be familiar with some of these performance highlights from 2021. Our revenue is known from last year. As we sort of dial the clock forward a bit into 2022, a bit of an update from our quarterly, so we had a really strong Q1. Our revenue is annualizing again at a really good weight. And we've run our portfolio on a sum of the parts basis profitably, which I think is a really important hallmark given what's going on around us. Just to highlight some performance achievements over the last year and certainly the first quarter. Our business is really predicated on having leadership positions in our markets. So we have a portfolio of 16 companies, and they all enjoy market leadership. And as we've spoken about to those who follow our business, that's a really strong predicator of future value creation. So we've got 16 businesses. We serve about 20 countries. They're all emerging markets at all leaders. We have a remarkably large and probably would surprise some people to know how big our audience is that we now have across our network. So you can see the numbers there. There were over 0.25 million sessions in Q1. Any way you put it, it's a big number, and that's growing every quarter. So that will be over $1 billion again this year. And that obviously is really critical market leadership, large audience, generating lots of leads to our companies, which drives revenue growth, of course. And just to sort of look back on our period being listed, our CAGR, it's been pretty consistent, and we've grown all, but every quarter, the exception has been a couple of COVID quarters there. So we've had a really strong lineal sort of steady revenue growth trajectory, and that's something that's been really important to us as we've built the companies to ensure that we continue to deliver every quarter, every half. The nature of emerging markets means that sometimes things get a bit funky and a bit wobbly, but the way we build our portfolio is designed to mitigate a lot of that risk. And hence, while we're in 3 regions, and we focus on the 2 high-value verticals of houses and cars. We've demonstrated again certainly in recent times, our ability to run these businesses increasingly on improved operating metrics and performance. So our ability to have really strong sustainable growth, while making sure that we get all of our businesses to sort of breakeven and ultimately profitability. And that's a really big focus for our group it always has been. And we've always had a really strong commitment to -- even when we invest in businesses that we recognize are early stage and might be burning cash or losing money. We're very good at moving those businesses through to breakeven and profitability. And I think that's demonstrated across our portfolio. A really important data point for people to understand is that our business is largely our core business of online classifieds businesses or marketplaces as they're termed, and we see an opportunity to leverage a lot of what we've built to get closer to transactions and benefit from the transactions that are being generated through our platform and -- if you take out just the core businesses, you add all of the cost in all our corporate costs were cash flow positive, which is really important. But we do see the opportunity to invest in the capability to facilitate transactions, means investing in a bit of product, means investing in a bit of tech and investing in a bit of marketing. And as you do that, you take these market-leading online marketplace businesses, and you get to tap into the fees that exist around the transactions that are being generated through the platform. So if you step back and think about what we're doing, it's essentially taking the economics of really well-performing online classifieds businesses. And then matching those to the opportunities we see in the fees that are around transactions that are flowing through our platforms. Go to the next slide, please. Just a reminder of whom where we are and what we're doing. FDV LATAM, Asia and MENA, main restructure, as Anthony mentioned, over the course of the end of last year and this year. And this is to give a real definition to our portfolio. And that means we've got a really strong group of companies in LATAM now, a really strong group of companies that we're building in Asia, and we have a strong group of companies that we own 100% of in MENA. I'm actually coming to this evening as it is. It's actually Monday evening where I am. I mean Santiago in Chile, which is where our Yapo business is and in far been visiting Fincaraiz in Colombia, these last few days, and I'll be off to see that the folks at InfoCasas and Encuentra24 over the next week. So really good opportunity. Now the world is opening up again for us to travel and connect with the businesses that we've been running, and we'll be doing more of that. As the travel restrictions allow for, but it's certainly been really refreshing getting back into the swing of things a bit more as we once knew. Go to the next slide, please. Anthony also touched on this, but if you look at the time line of essentially what we achieved over the course of the year, we remained pretty busy. A lot of it was focused on continuing to build out. But for us, there are 4 companies there that we increased our stake in what here earlier in the year InfoCasas through the middle of the year. We topped up with Hoppler a bit through Q3. And then we acquired the remaining stake in Encuentra24 toward the end of the year. In addition to that, we added Yapo, which is, as I mentioned, which is where I am now. And as you can see that activity was something that kept us pretty busy through the course of 2021 and really enabled us as we got toward the end of the year to then launch our restructure, which was the FDV LATAM, Asia and MENA legal entities, which will guide us as we progress over the coming years. Go to the next slide, please. Really important metric for us and for everyone on this call, of course, is our ability to grow, and that's what we're very focused on. As I said, we have really strong core online marketplace platforms, which are all market leaders. Into that, we see opportunities around the ability to tap into the fees around transactions, which I'll talk to a bit more in a moment. But essentially, this chart is 1 we're very focused on, and you can see that our March run rate puts us at a pretty healthy annual revenue number, and we think we'll exceed that, hopefully, of course, is we're only still in the early part of the year, but really strong growth, particularly in the last couple of years. We've made the most of the situation that's been presented to us and we're able to acquire some assets that we think were at probably [ unders ] and we're able to now build those assets. And continue their revenue growth story and add the sort of expertise that we do at an FDV level, and obviously, continue to focus on doing that on a sustainable basis, which means profitability and ultimately, cash flow breakeven. Go to the next slide, please. I do want to just stop 1 and remind our shareholders that we are very focused on growth, but we are very focused on doing it on a sustainable basis. And as I said earlier, it means getting all of the businesses growing at a rate that we like and there's lots of activity that's going on to do that and some of those activities are listed down on the right-hand side there. But fundamentally, it's about improving not only their growth profile, but their sustainability, and that means getting them through to profitability. It means getting them through to cash flow breakeven, and you can see in Q1, we had, I think, 12 of the portfolio companies all profitable, and we improved on the ones that weren't. So all of those pointers added up to the portfolio performing really strongly. As I said, it's a delicate balance between absolutely striving for growth but doing it on a sustainable basis, which means that these businesses ultimately have to be profitable and they are becoming so and obviously be cash flow breakeven as well. So really good strong performance in that LatAm group of companies. We now own 100% of, and there's lots of activities going on to tap into the potential that this group of companies has here in LATAM. In Asia, we continue to build our stakes in these companies. We're up over 50% of all of them say for the -- the 2 in Pakistan, which we equity account for, they're all performing really strongly. And of course, we own 100% of the key businesses in FDV MENA, and we've been doing a lot of work on those over the last couple of quarters. But really key message, I guess, is that we're very focused on growth #1, but we are absolutely crystal clear on the need for these businesses to be sustainable, and that means profitability and cash flow performance. Go to the next slide, please. The couple of critical things happening that we want to sort of surface a bit more as we continue to communicate our progress over the course of the year. You all recognize that we've spent a lot of time and energy in building our portfolio, getting our hands on what we think are really good assets, market leaders in high-value verticals that have really strong classified DNA, really strong marketplace DNA, and they've built really strong ecosystems in each of their markets. And once we've got to that point, we've then been able to take a really geographic view. So we're not trying to spread ourselves them. We've got 3 very specific regions we operate in. What we're now working on is to say that we've brought these groups of companies together, we've done a lot of renovations, I guess, on improving their performance and growing the companies and getting them on a sustainable path. The opportunity now to start to leverage our group expertise across the portfolio is super important. There's a couple of things that are happening in pretty exciting from an internal perspective. So we're now starting to trial the use of AI across the portfolio. What that means is you've got a tremendous opportunity to take what you've built in a classified sense and you're pointing all of that classified strength towards tapping into transactions. We've actually got a really large audience coming to a brand they trust and wanting to transact. They're doing a lot of search and discovery classifieds, but they're now moving through the transactions. So what AI allows us to do is start to make that whole process work faster, work more efficiently. And that essentially means, for example, the ability to better analyze listings and then tag likely search terms. So that really helps the core classifieds business. AI is starting to enable us to look at the buyer behavior and consumer behavior and put far more intelligence in terms of marketing products to them. And that's just in the core classifieds business. Obviously, when we look at transactions, there are things like documentation and completion process that we think can be vastly improved by the applicability of some of the AI technology we're trialing. And of course, when we're looking at transactions, the ability to provide predictive pricing is extremely important to helping consumers gain confidence in making transactions. So a really important point is that as we have built our portfolio, we've now got it in some key geographic regions. We've got everyone now as a market leader. They've got really strong classified DNA, and they're all launching into transactions where we know there's a whole lot of value. That in itself is exciting. But our ability as a group to start to leverage technology to not only make all of the processes more efficient, but to help us scale and grow. This is a really critical part of the next phase of FDV, having put the business together, having got 3 key geographic regions. You've done a lot of the heavy lifting over the past few years. We're now able -- we've now got scale, and we're now able to apply more and more technology to the process of helping consumers through the core classifieds part of the search and discover. But more interestingly, as they start to get more involved in transactions, applying more technology to creating scale and sustainability over time. And you'll hear us talk more about this over the course of not only this year and beyond, but really critical sort of evolutionary step in our journey is to start to apply group level expertise to making not only the core classifieds work more efficiently, but critically starting to use that in terms of how we think about transactions and the opportunities around transactions. Go to the next slide, please. And when we talk about transactions, again, we'll be surfacing more sort of data around transactions to help our investors understand this journey. We're on it. It's all about high-value property and automotive transactions in emerging markets. And you can see over the past a couple of years where we've had a good number of transactions going through our network. We're now starting to get a really material number of transactions being driven through the network. So if you just take what we did in March and take a pro forma view or an annualized view, we're sort of tracking at about 25,000 transactions that are now being generated through the platform. So that's not -- so you've got to just say this, there's the core classifieds business and are obviously using that to drive transactions. This is the volume of houses and cars that are being transacted through our network of portals as of March and giving you a pro forma view. So key message here is that there's a lot of momentum building around transactions. And of course, there's a lot of value around those transactions. We're really well positioned to capture that value, and start to apply not only just the day-to-day operational requirements, which we've invested in, and that's product and technology, but to really imply some intelligence and expertise around making sure the process is optimized. And of course, we can make the most of it as a company. Go to the next slide, please. If you go -- sorry, click on again there, Pat. Just to give you a sense of why we like this strategy, and it's a really compelling 1 that we're seeing take hold right around the world. Now we've been at it for a few years. So we think we've got a really good leadership position in how people are thinking about transactions and how they consider top really strong classifieds businesses. But there's been a definable change in consumer behavior. That's a bit of just evolution, but it was also driven by COVID we were in a position where we probably benefited from that. And we know that the logic in this is that these online marketplaces have really strong brands. They're operating in emerging markets where there's a lack of trust. So these marketplaces, in effect, become a trusted intermediatory between buyers and sellers. So initially, when demand started for not just search and discover on classifieds, but the ability to the transactions to occur. It was really driven by consumers who are searching on these sites they could find a house, they could find a car and they wanted to stay in that environment and transact to the house or a car. And that was really the origin of how this took hold a number of years ago. So a really critical piece to understand that these sites act as more than just search and discover platforms. They are intermediates for commerce in emerging markets, and we just happen to be in the too high-value -- high-value verticals. And of course, from a business perspective, it's essentially taking what are really strong classifieds businesses and augmenting them with the opportunity to build transaction revenue, which is really the long-term growth opportunity here and not only growth, but obviously, earnings potential. We're starting to see that come out of the businesses that have cracked the code on transactions and doing more of them and our ability then to move that intelligence around the group as well. We know that the opportunity in transactions rather is hugely significant. There's a really material amount of revenue and growth and margin we can get from just the core classifieds businesses. But we know that when we look at the market opportunity around transactions, it's hugely significant. It's all predicated around the commissions and the fees, but also the marketing of these transactions, whether it's houses or cars and of course, all of the ancillary products that consumers and sellers will use and consume and purchase as they do more and more transactions online. So that strategy has been really clear in our mind for a long time, and it represents a really compelling earnings profile in the future. And we're pretty excited about the progress that's been made across the group and obviously point to things like the volume and the opportunities that the volume of transactions represent. Go to the next slide, please. A couple of quick case studies for those who follow our group, you'll know that it's the main spinner, a stellar performer. They've essentially cracked the code on transactions. They facilitated over 7,000 transactions last year. They are a very effective business now at identifying in the market, the high-value parts of the transaction market. So -- their core business continues to perform really strongly, which is agents paying for advertising every month, and they continue to run that business really well. They've now sort of cracked the code on the next evolution of this, and that's transactions. And you can see the sort of equity value that can be built in these businesses when you do. And it's a really good pointer for other businesses in our portfolio as to how we can -- how we can learn from these businesses that have got it right and how we can, I guess, populate that intellect and that knowledge and that experience around the rest of the group. I guess another good example on the next slide, Pat, is InfoCasas, this is a really intriguing business. I'm checking it on these guys later this week. Again, really strong classifieds businesses, really strong marketplace businesses, started to offer transactions sort of got slowed by COVID a little bit, but really learned a lot through that period. And what's interesting is that, they provide us with a really good example of how technology is starting to impact this process as well. So online classifieds businesses or marketplace businesses were largely built by sales teams and pretty simple technology, and they've built these wonderful ecosystems and really good sort of economics in classifieds businesses and large loyal consumer audience and of course, dependent sellers, and that bodes well for the economics and the growth profile and the margin. And then you take that and you sort of apply that to transactions. And the really good thing about what we're learning and what InfoCasas has demonstrated is the ability of technology to improve their business. And this is a whole stream of processes that have been developed in a proprietary sense, and that's use of big data when looking at the consumer audience. And when you've got millions of people coming to your site, your ability to analyze that data and identify those consumers, which are more likely to purchase, there's proprietary technology around how we think about the leads that are being generated, there's increased use of AI-powered digital sales teams or digital sales engine. So that allows us to take a large consumer audience to identify consumers that are more probable to click on ads and generate an inquiry and potentially be a buyer. And that allows us to work really effectively with our sellers in matching. So if you think about this, this has almost become a matching service where much more technology around understanding consumers, much more ability to then take our sellers product and match it to those consumers coming through the site. And then, of course, using technology to continue to communicate and ultimately transact on, in this case, the property. So really good examples, again, coming out of the portfolio where they've built really strong classifieds businesses. But then use technology primarily to start to tap the transaction opportunity, and that builds obviously a really compelling long-term revenue growth story, but also a margin story as well. So both InfoCasas and Zameen obviously now profitable, and that's a really good pointer for the possibility around this whole model. Go to the next slide, please. When we think about just the journey that we're on, really well, a simple way to look at or think about it as the value that you see in this sort of strategy from sort of bottom left to top right is building your classifieds businesses, they become marketplaces, it gives you an opportunity to start to tap into the transaction market where there are substantial fees. And if you can do that, you really do become this intermediatory where you still absolutely control the market with really strong classifieds business, and you then start to look at the high-value parts of the transaction opportunity, which in most of our businesses cases in real estate, it tends to be urban areas, new builds and working with property developers, not so much in the secondary market. But it's certainly, if you get this right and we are getting it right more often in many more of our businesses, you can see considerable value. And of course, when we think about our responsibility to generate return to shareholders, there is a number of options that sort of surface when you get this strategy right. So -- that's a slide we've put in most of our decks over time because it's an important one. We do understand that responsibility. We're very aware of growing these businesses, doing it sustainably and of course, getting the profitability. And if you do that, most of these monetization or liquidity opportunities tend to take care of themselves. Go to the next slide, please. There's a bit of additional information in the back of the deck, which we won't go to. But I really guess the message out of today is we've had a really strong '21. We've had a really strong start to '22. And we've got businesses that are now really well established in their leadership positions in the key classifieds marketplace businesses. And we're now -- every single business in our portfolio is now doing transactions in 1 form or another. And that really enables us to start to leverage the expertise across the group. And that's increased use of technology, it's increased use of AI, and it's an increasing ability to scale and grow these businesses and obviously have them profitable and cash flow breakeven. So we've had a busy '21. We've had a busy start to '22. And obviously, with things like travel being more available now, we're going to have a really busy 2022 for the rest of the year. But very focused on the organic opportunity that's in front of us and to thank all of our investors for continuing their support. And at that point, Anthony, I'll hand back to you.

Thank you, Shaun. There may well be questions from people for you, Shaun, if you're happy enough to take some questions.

Ask Pat to stop screen sharing. We can go back to the Board.

Shaun, the question comes in from Julie. How do you think the deterioration in the global economic conditions in terms of how it affects your business? Will the structure tends in consumer behavior to online be sufficient to offset its potential decline in the volume of overall transactions as the broader economic conditions deteriorate?

The first part of that question was just how the macro factors affect here?

Yes.

Yes. It's really interesting. Emerging markets are obviously really fascinating environments. They're all a little bit different, and they all lives through many, many shocks that ordinarily would make you worry. I mean I can give you a great example. In Pakistan, we recently had the Prime Minister was displaced and people thought that, that might be problematic. And I guess it was interesting to look at the fact that since independence in 1947, no government in Pakistan has gone full term. So while we worry about a lot of macro factors, and I totally acknowledge them, I would encourage people to remember that emerging markets tend to be fairly robust when it comes to these sort of political instability or economic instability. One of the great things about the verticals we exist in is that they're high-value consumer items that are pretty essential. The macro situation is complicated. If we just 0 in on interest rates, for example, a lot of emerging markets live with slightly higher interest rates anyway. And typically, we find where interest rates have gone up cyclically in the past. And I think back to my years REA [ owned ] property, they tend to hurt sellers first because buyers soften in the market and when sellers have to work a bit harder to sell, it's actually benefited portals. I can think back to experiences in the middle part of the 2000s where interest rates went up and is at REA, we actually did better when interest rates went up because sellers had to work harder, which is a really counterintuitive probably outcome, and we were probably a bit surprised ourselves. I think you then see prices come off and you see buyers reenter the market. So we still take a fairly long-term view on those macro issues. There are obvious other macro issues out in the economy, our energy costs, et cetera. But at the moment, our businesses continue to perform. They're in key parts of the economy, which generally are fairly robust and have proven over the journey that they tend to withstand a lot of shocks, not only domestic, but international as well. And the second part of the question?

Will the structure trends, sorry -- little bit the consumer behavior online be sufficient to offset the potential decline in the volume of overall transactions as the broader economic conditions deteriorate?

Yes. Look, we believe so. I think COVID was really interesting for us, where everything stopped, but people kept buying houses and cars. So -- that was, again, probably counterintuitive. And that was the biggest sort of shock we've experienced in the time that I've been running these businesses was the last 2 years. Will volume probably pair off a little bit, maybe. But I would just remind people that we're doing such small volumes in these markets anyway in terms of transactions. The core business is chug along pretty well. If you're talking about just house and car volumes decline, maybe they will. But when you look across our portfolio, we're so early into this. Even at our peak in businesses like Zameen, they're still doing only around 7% or 8% of their market. So the transaction volumes. We're pretty bullish about what we can do in our businesses irrespective of whether the total numbers slow because we're so early in the process. But -- like I said, our emerging markets have withstand shocks as part of their DNA. So what these businesses have done and the parts of the economies that we're in have demonstrated over an extended period that they're really robust. And they tend to be core parts of the economies as well. But no one has a crystal ball, we're just really focused on what we can control, and that means running the businesses really well and providing solutions for consumers and making it more efficient for sellers.

Thank you, Shaun. No further questions.

Thank you, Shaun. I might add, I think even you and I were surprised sitting on the board of Zameen probably how well whether that COVID-19 pandemic given what might have happened and that probably illustrates the point you made, I think. Thank you. If there's no further questions for Shaun, I'll turn to the rest of today's -- the business of today's meeting. We have 5 items of business at today's AGM as set out in the notice of meeting and 4 of these are to be voted on. Okay. Thank you. The first item of business is to receive and consider the annual financial report, together with the directors and auditors reports for the year ended 31 December 2021. Are there any questions or comments in relation to the directors and auditor's report? If you do have a question or comment, just raise your hand digitally or raise your digital hand using the function available within Zoom and we will unmute your microphone and allow you to speak.

There are no questions.

Thank you, Beck. There being no further questions, we now move to the items of business for which a vote is required. As I said earlier, voting today will be conducted by a poll, and you can submit your vote at any time during the meeting. We will display the details of the proxy votes on the screen as each resolution is considered. Thank you, Patrick. Resolution 1 relates to the adoption of the remuneration report. The voting in respect of the proxies received prior to this meeting is displayed on the screen. Are there any questions or comments on Resolution 1 from anybody?

There are no questions.

Thank you. As there are no further questions or comments, I put the resolution to the vote. Thank you. The Resolution 2 actually relates to my reelection. So I'll pass over. Mark, would you mind moving this resolution?

Happy to, Anthony. Voting in respect of the proxies received prior to the meeting is displayed on the screen for this resolution to reelect Anthony Klok. Are there any questions or comments on Resolution 2?

No, there are no questions.

As there are no questions, thanks, Beck. I'll now put the resolution to a vote and hand back to you, Anthony.

Thank you, Mark. Resolution 3 relates to election of Ms. Frances Po as a Director. Frances joined us in November last year as a Nonexecutive Director. Look, I'd like to just read out Frances' background to everybody as she's new to the Board. Frances spent more than 36 years specializing in taxation. She's been a tax partner at PwC Malaysia until a couple of years ago. During her career at PwC, she held many leadership roles, including business unit leader for international tax services and mergers and acquisitions. Tax business leader for energy, utilities, multimedia and info communications. Frances was also a member of the tax leadership team and tax people partner for several years. She has worked with some of the largest global private equity funds and corporations in restructuring, mergers and acquisitions and corporate advisory. Frances is also an independent nonexecutive Director at Sentral REIT Management. Frances graduated the Bachelor of accounting with honors from the University of Malaya and is a Chartered Accountant with the Malaysian Institute of Accountants, a fellow of the Chartered Tax Institute in Malaysia and a member of the Institute of Corporate Directors Malaysia. So Frances brings considerable skills and experience in her area to the Board. We warmly welcome her. She's already made many valuable contributions in the discussions we've had to date. Welcome Frances. Voting in respect of the proxies received to the meeting is now displayed overwhelmingly 4. Are there any questions or comments on Resolution 3?

There are no comments.

I'll now put that resolution to the vote, and you can see the results on the screen. Thank you. Resolution 4 relates to the approval to issue shares to Non-Executive Director, Mr. Mark Licciardo, as consideration for payment of his directors' fees. You can see the resolution there. The voting in respect of the proxies received prior to this meeting -- meeting are displayed. Does anyone have any questions on this resolution?

There are no questions.

As there are no further questions or comments, I put the resolution to a vote, and the results are on the screen. Thank you. That's in relation to the voting. We have 1 last resolution which relates to the ratification of the issue of 23,333,334 ordinary shares in the company, pursuant to ASX Listing Rule 7.4. And again, Patrick, the voting is on the screen in relation to proxies received. Any questions or comments, Beck?

There are no comments.

There are no further questions or comments, I put that resolution to a vote on those results are displayed. That's -- fellow directors and shareholders concludes the business to be considered at this meeting. I will shortly ask for the voting system to be closed. So if you did want to vote on any of the resolutions, all of the resolutions, please do so now. I'm going to actually pause just for 30 seconds or so against the possibility that someone is still voting. In the interim while we're pausing, Shaun, again, if I could thank you and the team for the work to date. It's been pretty busy, particularly at your end, and I know you've worked extremely hard to position the company for growth. And again, thank you, shareholders, maintain the faith even the share price has been affected by, as we've said, global conditions rather than any news we've had to relate and the world does work in cycle. So we'll continue to work hard to create that shareholder value, and thank you for your confidence. I will now close the poll for today's meeting. It will take some time for the poll results to be known, given any -- given that there may be some shares that have been cast to date. Once we compiled and checked those voting results, we'll announce those to the ASX probably later today. Thank you, everyone. I now declare the meeting closed. Thank you.

Thanks, Anthony. Thanks, Frances. Thanks, Mark.

Yes. Thanks, everyone.

Thanks everybody.