Tingo Group, Inc.

Greetings, and welcome to Tingo Group Full Year 2022 Financial Results Conference Call. All participants are in listen-only mode. The question and answer session will follow the formal presentation. As a reminder, this conference is being recorded. Before we begin the formal presentation, I would like to remind everyone that statements made on the call and webcast may include forecasts, estimates, or other information that might be considered forward-looking. While these forward-looking statements represent our current judgment on what the future holds, They are not guarantees and are subject to risks and uncertainties that could cause actual results to differ materially. You are cautioned not to place undue reliance on these forward-looking statements, which reflect our opinions only as of the date of this presentation. Please keep in mind that we are not obligating ourselves to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. Throughout today's discussion, we will attempt to present some important factors relating to our business that may affect our predictions. You should also review our most recent Form 10-K filed today and Form 10-Q for a more complete discussion of these factors and other risks, particularly under the heading Risk Factors. A press release detailing these results crossed the wires this morning at 7 a.m. Eastern Time and is available in the Investor Relations section of our company's website, tinggroup.com. Your hosts today, Darren Mercer, Tingo Group Chief Executive Officer, Dozie Mombosi, Tingo Mobile and Tingo Foods founder and CEO, and Kevin Chen, Tingo Group Chief Financial Officer, will present the results of operations for the year ended December 31st, 2022. At this time, I will turn the call over to Tingo Group Chief Executive Officer, Darren Mercer.

Thank you, Operator, and good morning, everybody. I am pleased to welcome you to today's full year 2022 financial results conference call. I could not be more excited about the future for Tingo Group. And for those of you joining us for the first time, who I've not previously had the opportunity to meet, I would like to take a moment to introduce Tingo Group and our remarkable story thus far. Tingo Group is a diverse fintech and agri-fintech group of companies with operations in Africa, Southeast Asia, and the Middle East. The company significantly expanded and was somewhat transformed when we acquired 100% of Tingo Mobile Limited on November the 30th of 2022, and then subsequently acquiring Tingo Foods PLC on February the 9th of 2023, and subsequently changing our name to Tingo Group Inc. Tingo Group is now comprised of the following businesses. Tingo Mobile, which is a leading fintech and agri-fintech business operating in Africa that operates through a device as a service and a smartphone platform model. Tingo Foods, which often takes crops from the wider group's large farming customer base and processes those crops into finished food and beverage products. Tingo DMCC, which operates a commodity trading platform and commodity export business from Dubai, and which in turn deals in both raw crops and finished products. TingoPay, which operates the TingoPay super app and has a Pan-Africa partnership with Visa. The full version of TingoPay, which will be rolled out later this year, provides payment services and e-wallets and a range of value-added services to customers. Tingo Pay, in partnership with Visa, also offers a range of merchant services to businesses. And finally, the company's fintech verticals, which operate platforms that offer a range of insurance and financial service products and are currently focused on the Southeast Asia market. The Tingo Group annual financial results reported in today's 10K filing and which are presented here today include the revenues and earnings of Tingo Mobile from its date of acquisition on November 30th of 2022. In other words, the income statement included within the 10K is comprised of the full year results of the company together with one month's results of Tingo Mobile. In addition, today's earnings presentation and press release also include summarise pro forma financial information for the year ended December 31st, 2022 and the year ended December 31st, 2021, which is presented as if the acquisition of Tingo Mobile had been completed on January the 1st of 2021. This is with the aim of assisting you in understanding the financial performance of the business we have acquired together with our historical business. The 10K, together with our earnings presentation and press release, also include the consolidated group balance sheet as of December 31st, 2022. At the close of the Tingo Mobile acquisition on November 30th, 2022, we immediately became highly profitable and have continued to grow strongly since, as evidenced by the recent announcements of a number of major trade deals and partnerships. which not only are expected to result in a more than tripling of current customer numbers, and which we will speak about later today, but also mark the commencement of our global expansion. The 2022 pro forma financial performance for the group as shown on this slide, and for which Tingo Group expects to file an updated 8K during April of 2023, highlights the strong financial performance that we had been messaging since our merger agreement was announced. We are now a company that on a pro forma basis generated for the year ended December 31st, 2022, nearly 1.2 billion US dollars in revenue, 675 million US dollars in gross profit, and nearly 555 million US dollars in income before tax. Furthermore, our cash balance as of December 31st of 2022, which is reflected on our balance sheet audited by Deloitte LLP, one of the preeminent audit firms in the world, stood at just over $500 million. Driving these contributions were 11.4 million NWASA AgriFinTech platform customers by December of 2022. generating more than 1 billion U.S. dollars per month of transaction value. Our overarching mission at Singo Group is to foster digital and financial inclusion through our FinTech platforms and to drive social and economic upliftment. In our agri-FinTech businesses, we also strive to make a significant difference in improving global food supply and tackling the world's food security crisis by delivering farmer empowerment, improved crop yields, reduced post-harvest spoilage, and better access to both foreign and domestic markets. At a regional level, we aim to support Africa and its farmers to achieve sustainable food self-sufficiency, bringing an end to Africa's food insecurity and poverty. 2022 has been a year of huge transformation. as we have pivoted the direction of the company in response to the changing market conditions and made a major acquisition, namely of Tingo Mobile. By way of a recap, we entered into a definitive merger agreement to acquire Tingo Mobile on May the 10th of 2022. Following this, we immediately appointed an elite team of world-class advisors to undertake extensive due diligence and financial analysis. The team included Big Four accountants Ernst & Young, the world's leading law firm Denton's, and the number one M&A investment bank, Houlihan Loki, and our longstanding New York legal counsel, Elanoff, Grossman & Scholl. We announced on June 15th of 2022 that the due diligence exercise had been completed and that the findings were positive with no material concerns. The original merger agreement was amended and restated in October of 2022 to facilitate the expedited acquisition of 100% to Tingo Mobile, as well as an improvement in terms for the company's shareholders. The acquisition was subsequently completed on November 30th, 2022. With the benefit of the company's and Tingo Mobile's collaboration, The fourth quarter of 2022 saw the beginning of the geographical expansion of Tingo Mobile, with the opening of new offices in Ghana, Malawi, and Dubai, which we will detail later in our presentation. The fourth quarter also saw us launch the Tingo DMCC commodities trading platform and export business, and the Tingo Pays super app in partnership with Visa. By January 2023 we had begun to pivot the company's insurance and fintech verticals to better complement the Tingo businesses, with the aim of leveraging its already established brands and large customer base. Then, on February 7th of 2023 we acquired the Tingo Foods food and beverage processing business, so as to complete the Tingo seed to sale ecosystem. Lastly, and most recently, we changed our corporate name and ticker symbol to better reflect the importance of the Tingo brand to the business and provide improved clarity to our external stakeholders, including current and prospective partners, customers, and investors. We also launched a new investor relations website at tingogroup.com. I would now like to turn the call over to Dozo Mabuzi, the Tingo Mobile, and Tingo Foods founder and CEO to further discuss Tingo's operations. Dosey.

Thank you, Darren, and to everyone joining us today. I am delighted to have this opportunity to walk you through the Tingo mobile business that I founded over 22 years ago and to present our ambitious yet carefully considered growth strategy. We begin with the Tingo mobile business as a service model and then what's our fintech platform. which we believe is the leading agri-fintech platform in Africa. Following the signing of our definitive merger agreement with MICT in October of 2022, we set about accelerating our growth strategy. In November and December, we signed trade agreements with two major partners with the aim of quickly expanding TIGO Mobile's customer base from 9.3 million to an expected 30 million by the end of 2023. We signed a trade partnership with the All Pharma Association of Nigeria, which included a commitment to enroll a minimum of 20 million new customer base to Tingo Mobile. We also launched in Ghana and signed a trade agreement with the Kingdom of Ashanti, which included a commitment to enroll a minimum of 2 million new customers to Tingo Mobile and a target to enroll more than 4 million new customers. Soon afterwards, we launched into Malawi and began to progress several trade partnerships there, with the aim of establishing a base rollout in the future across East Africa, including into Tanzania, Mozambique, and Zambia. Looking ahead further, we plan to expand in the future into other parts of Africa, as well as into China and the wider Asia, and into other relevant markets in the world. Through our other businesses within Tingo family, namely Tingo Foods and Tingo DMCC, we aim to increase uptake and demand for produce from Tingo Mobile's farmers, thereby creating a virtuous self-reinforcing cycle. In December 2022, we launched Tingo DMCC, which is an agricultural commodity platform and export business in partnership with the Dubai Multi-Commodity Center, DMCC. The platform and export business will facilitate the global export of agricultural commodities from Tingo Mobile's farmers and finished food and beverage products from Tingo Foods. BMCC is a leading center of international trade and the world's number one free trade zone and therefore an obvious choice for us to partner with. To our access to Nigeria's 60 million farmers, including Afan's 20 million plus farmers, and the farmers in Ghana, Malawi, and other territories. We have access to several billion dollars per annum of agricultural produce for export. Not only does Tingo DMCC constitute a substantial and highly profitable business in its own right, it hugely accelerates the dollarization and globalization of the whole group. while also giving us the Tingo Mobile farmers and Tingo Foods direct access to international markets. Through Tingo DMCC, we are creating a win-win situation, improving world food supply, delivering fair prices and empowerment to farmers, and generating substantial high margin revenues to Tingo DMCC and the wider Tingo group. Tingo Foods was brought into the group on February 7, 2023. This is a business that our team and I I've been developing for some time outside of Tingo Mobile. We launched the business as a standalone company in September 2022, focusing on supplying a small product range to several supermarket groups and wholesale businesses. Within the first four months of trading, Tingo Foods generated more than $400 million of turnover at healthy margins. Having completed the sale of Tingo Mobile on November 30, 2022, we turned our attention to bringing Tingo Foods into the group, bearing in mind its strategic importance within the Tingo ecosystem. Tingo Foods creates significant demand and uptake for Tingo Mobile farmers, while at the same time creating supply for Tingo DMCC's commodity trading and export business. Tingo Foods is set to multiply capacity, to multiply capacity and revenue with a new set of at $1.6 billion food processing facility in Delta state of Nigeria. Scheduled to open early in the second half of 2024. We recently partnered with EV Tech Energy PLC to build a $150 million, 110 megawatt solar plant to power the facility. This is aimed at achieving a net zero carbon emission and reduce the energy costs for the group. We believe Africa's farmers and agricultural sector will benefit from the significant expansion of the continent's own processing capabilities, increasing crop demand, giving farmers higher prices and delivering financial upliftment. Single Foods is also expected to be a major contributor to our ESG goal. For example, through the delivery of material reduction in farmers' post-harvest losses, significant improvement in world food security, and considerable environmental benefits, reducing freight miles, improving production efficiency, reducing food wastage, powered exclusively by renewable energy, and reducing carbon footprint. Tingo Pay is a super app that offers a full range of value-added services and partnership with Visa. Such services include a digital Visa card, e-wallet, payment services, marketplace, e-commerce, insurance, and finance. As a full market B2C and B2B offering, the Tingo Pay super app and Visa partnership is helping us to diversify and expand Tingo Group into new sectors with the aim of making Tingo Pay and Tingo household names, as widely recognized as visa itself. To assist us in achieving market penetration, our Pan-Africa partnership with Visa includes their provision of marketing and customer acquisition support. SMEs in all business sectors stand to benefit from our new range of Tingo Visa merchant services and the Tingo Pay business portal. Whereas our smallholder farmers whereas our smallholder farmer customers will see significant additional advantages through the integration of TingoPay with our Nuasa Agri-Marketplace platform. The TingoPay business portal and TingoVisa merchant services enable subscribing farmers and businesses in all sectors to easily and securely accept payments and use it to make online transactions in their domestic or foreign currencies. as well as to manage their cards, set up repeat payments, and access transaction statements. Together, Tingo Mobile and Tingo Pay, in partnership with Visa, are designed to deliver financial inclusion and social upliftment throughout Africa. We also plan to expand into Asia and other emerging markets. Through Tingo Mobile, NWASA, Tingo Pay, Tingo Food, and Tingo DMCC, we have created a full agri-fintech ecosystem. We communicate with and push services to our farmers through the smartphone handsets we supply to them. The farmers can use the embedded Nuasa and Tingo Pay apps to purchase inputs for their farming business, to purchase services and make payments, and to sell their produce. Tingo Foods is a valuable customer and source of uptake for the farmers, for which it processes such crops into finished food and beverage products. Then single DMCC can sell the finished food and beverages as well as raw crops from the farmers, the wholesalers, distributors, and other customers around the world. The single group creates a reinforcing loop of financial and digital inclusion, along with an increase in food supply and a reduction in post-harvest wastage, which improves food security. And ultimately, all these factors deliver financial and social upliftment. We are highly committed to environmental, social, and governance factors. We foster digital and financial inclusion through our technology platforms, driving the social and economic upliftment of our customers. We meaningfully improve the global food supply and tackle the world's food security crisis by empowering the farmer, helping them increase crop yields, reduce post-harvest losses, improve access to markets, and deliver fairer prices. Our technology and platforms also deliver significant environmental benefits, reducing crop wastage, improving farming and food production efficiency, promoting sustainable farming techniques, and reducing freight miles. As part of our commitment towards the environment and social upliftment, We are focused on adopting a mature ESG framework underpinned and guided by the United Nations Sustainable Development Goals. I will now turn the call over to TINGO Group CFO Kevin Chen to discuss our full year 2022 financial results as reported in this morning's 10-K filing.