OFX : Investor Call

1 February 2017

OFX Group Limited (ASX:OFX)today announced that John Alexander Malcolm (SkanderMalcolm) has been appointed as Chief Executive Officer and Managing Director of OFX ,effective immediately .Mr Malcolm replacesRichard Kimber,who has stepped down from his role as Chief Executive Officer and Managing Director.

Mr Malcolm has more than 23 years'experience in the financialservices industry in the Australia &New Zealand ,US and UK markets. After 10 years in the UK with HSBC Skander returned to Australia in 2000 and joined Westpac 's card products group .From 2010-2013 hewas President and CEO,Australia &New Zealand for GE Capital, Australia 's leading consumer finance and mid-market commercial lender where he leda team of over 4,500 employees. He was subsequently President and CEO of GE Healthcare across itsEastern Europe,Middle East and African Markets.

OFX Chairman,Steven Sargent said the Board was pleased to have secured the appointment of Mr Malcolm given his strong track record in retail banking,payments and technology ,and in executing growth strategies in Australia and internationally .

"Skanderhas extensive financial services experience inconsumer finance and payments technology including leading technology-based innovation,branding and loyalty programs.He has an enviable track record of building high performance teams and growing market share,and returns,for small and large organisations in many of our key markets.The Board believes his global experience ,strong leadershipskills and track record of delivery makes him the rightCEO to successfully execute our growth ambitions ,"Mr Sargent said.

"The Board believes strongly in the growth prospects and futurefor OFX.Richard Kimber has achieved a great deal in setting inplace a growth strategy and investing in our technology and people.The Board thanks him for his contribution.However,delivery of the strategy has not been to the Board's or shareholders 'expectations .Having conducted a search process,we believe Skander isthe right person to lead OFX going forward."

Biographical details about Mr Malcolm and the key terms of his employment are included below.

In thequarter ended 31 December 2016,against expectations OFX saw a further decline in average transactionvalues (ATV's) from individualcustomer transactions originating in the UK. Post 'Brexit' the devaluation of the pound (GBP) by more than 20% has resulted in fewer large value discretionary transactions and a corresponding 35% decline in revenues per transaction .As a result,total fee and commission income for FY2017 will be $3 million lower than anticipated .

OFX has continued to experience positive momentum inthe Group's key operating metrics,with growth intransaction volumes and client additions, especially in its offshore markets.The lower revenue per transaction ,which isexpected to recoverin the medium term ,will therefore not be offset by any reduction inspending .

Due to the ongoing roll-out and refinement of its performance-based marketing program,client additions in Australia during 03 were below expectations. However,these are expected to improve throughthe remainder of the year as spend is allocated to mediums that generate the highest returns.

Given the factors outlined above,statutory EBTDA for FY2017 is now expected to be between

$27.5 million and $28.5 million with statutory NPAT of at least $19 .0 million.

"Today's update on trading isdisappointing .While softer market conditions in the UK as a result of Brexit have resulted inlower average transaction values ,the revenue uplift from our marketing program inAustralia during the third quarter and intoJanuary has not been as significant as we had hoped.

"The Board firmlybelieves that the growth opportunities for OFX,both domestically and abroad are substantial and that the longterm outlook for the business isvery strong.We look forward to keeping shareholders updated on our progress" Mr Sargent concluded .

An invitation-only conference call with OFX Chairman Steven Sargent and CFO Mark Ledsham will be held at 09.30 today. For further informationplease contact Matt Gregorowski at Citadel­MAGNUS on +612 8234 0100 or mgregorowski@citadelmagnus.com

Bachelor of Economics,The University of Sydney

Mr Malcolm has over 23 years'experience inthe financial services sector in Australia ,the United Kingdom and United States including10 years with GE Capital. Since 2013 ,Mr Malcolm has been President and CEO of GE Healthcare's Eastern European,Middle East and African markets.

In2003 Mr Malcolm joined GE Capital Australia &New Zealand ,the company's largest region outside the US with 4 ,500 staff and servicing 3 million consumers and more than 100,000 SMEs.In201 O he was appointed President and CEO and led thecompany through the funding constrained post global financialcrisis period.

Prior to joining GE Capital,Mr Malcolm held several senior leadership roles at Household International in theUK,now part of HSBC,and Westpac Bank.At Household International he helped to launch the UK's first and largest pure digital personal loan business,Hamilton Direct Bank,which grew to over £3 billion inits firstfive years. At Westpac ,Australia 's 2nd largest card issuer ,he helped to launch the Virgin Money Credit Card partnership.

Mr Malcolm holds a Bachelor of Economics degree from The University of Sydney.