Lindsay Australia Limited · ASX:LAU
Lindsay Australia — H1 2023 Earnings Presentation
23 slides from Lindsay Australia's earnings presentation, Mar 13, 2023
Slide 1: HY2023 Results Presentation - ASX Announcement
152 Postle Street Acacia Ridge QLD 4110 Locked Bag 2004 Archerfield Qld 4108 ABN 81 061 642 733 P: 07 3240 4900 F: 07 3054 0240 www.lindsayaustralia.com.au ASX: LAU 13 March 2023 ASX Announcement HY2023 Results Presentation - Lindsay Australia Limited Attached is Lindsay Australia Limited’s Results
Slide 2: Lindsay Australia Results Presentation HY2023
LINDSAY AUSTRALIA RESULTS PRESENTATION HY2023 (ASX: LAU)
Slide 3: Disclaimer
DISCLAIMER This presentation has been prepared by Lindsay Australia Limited (“LAU”). The In particular, no representation or warranty, express or implied, is given as to the information contained in this presentation is for information purposes only. The accuracy, completeness or correctness, likeli
Slide 4: Lindsay Australia's End-to-End Food Supply Chain Solutions
LINDSAY AUSTRALIA’S END-TO-END FOOD SUPPLY CHAIN SOLUTIONS Lindsay Australia Ltd (ASX: LAU) is an integrated transport, logistics and rural supply company with a specific focus on servicing customers in the food processing, food services, fresh produce, agriculture and horticulture industries. Core
Slide 5: The Lindsay End-to-End Solution
THE LINDSAY END-TO-END SOLUTION OUR VALUE CHAIN NATIONAL FREIGHT LINDSAY KEY LANE COVERAGE ASSETS 21 TRANSPORT DEPOTS/ COLD STORES NATIONALLY 21 RURAL STORES NATIONALLY 308 PRIME MOVERS, 600 REEFER TRAILERS, 403 REEFER CONTANIERS, 168 SKELS, 90 RIGIDS c. 1,500 EMPLOYEES – c. 800 DRIVERS PG 4
Slide 6: Our National Network
OUR NATIONAL NETWORK LINDSAY RURAL Mundubbera Innisfail Murwillumbah Mackay Adelaide Nambour Mareeba Atherton Stanthorpe Melbourne Ayr Tully Mildura Brisbane Retail Woolgoolga Mundubbera Brisbane Warehouse Nambour Bowen Perth LINDSAY Stanthorpe Brandon TRANSPORT Bundaberg Sydney Childers Adelaide Tu
Slide 7: Corporate Snapshot
CORPORATE SNAPSHOT ASX Stock Code [LAU] 12-month share price performance and volume Board of Directors and Key Management KMP Role HY23 revenue $337.4m Mr Ian Williams Non-Executive Director & Chair HY23 underlying1 EBITDA $42.8m Mr Michael Kim Lindsay Managing Director and CEO Cash balance as at 31
Slide 8: Overview
oe OVERVIEW
Slide 9: HY23 Key Highlights
HY23 KEY HIGHLIGHTS Disciplined execution continues to deliver year on year record growth OPERATING REVENUE UNDERLYING EBITDA1 UNDERLYING PBT1 NET DEBT2 LTIFR3 $337.4m $42.8m $24.6m $91.0m 3.8% up 23.2% up 36.2% up 64.5% down 12.0% reduction NET LEVERAGE RATIO4 ROIC5 UNDERLYING EPS1 INTERIM DIVIDEND
Slide 10: Key Highlights – Strategic Direction
KEY HIGHLIGHTS – STRATEGIC DIRECTION Our Ambition: Deliver annual revenues of $1bn on a minimum $100m EBITDA in the next 3 – 5 years as a leading provider of services and products to Australia's food and agriculture sectors. HOW WE GET THERE • Accelerate expansion of rail services as the rail • Expa
Slide 11: Sustainability
SUSTAINABILITY Lindsay recognises the importance of reducing its carbon footprint. As a heavy user of diesel, Lindsay is very conscious of the effort required to meet this challenge. ~93% Deliver ESG roadmap Scope 1 & scope 2 Reducing our diesel Green facilities In 2023 emissions arise from consumpt
Slide 12: Financial Highlights
FINANCIAL HIGHLIGHTS
Slide 13: Group Performance
GROUP PERFORMANCE HY23 underlying EBITDA Bridge ($’M) Group underlying EBITDA ($’M), 5 Year View 42.8 31.4 26.2 23.3 21.6 HY19 HY20 HY21 HY22 HY23 Group revenues reached all time Record revenues combined with Lindsay's diversified service The Group expects to face on- highs of $337.4m (23.2%) suppor
Slide 14: Disciplined Capital Allocation Delivers Sustainable Growth
DISCIPLINED CAPITAL ALLOCATION DELIVERS SUSTAINABLE GROWTH Net Leverage Ratio Group borrowings1 ($’M) 3.50 3.00 3.17 2.50 2.64 2.38 130 Millions 2.00 125 2.04 3 3 120 15 1.50 115 3 16 18 17 1.00 1.27 110 105 15 0.50 100 113 105 103 104 95 97 - 90 HY19 HY20 HY21 HY22 HY23 HY19 HY20 HY21 HY22 HY23 Equ
Slide 15: Cash Conversion Improves Significantly
CASH CONVERSION IMPROVES SIGNIFCANTLY Operating Cash Flow ($’M) Operating Cash Flow Waterfall ($’M) 42.8 31.4 26.2 23.3 21.6 37.3 19.9 17.6 15.3 11.4 HY19 HY20 HY21 HY22 HY23 Underyling EBITDA Operating Cash flow Net operating cash flows increased 228% to Historically cash conversion has been weaker
Slide 16: Committed to Shareholder Returns
COMMITTED TO SHAREHOLDER RETURNS Earnings per Share1 vs Half-year & Full-year Payout Ratios1 Dividend per Share (cents) 60% 60.0% 6.0 56% 5.7 50% 50.0% 5.0 50% 50% 40% 40.0% 4.0 40% 30% 33% 30.0% 3.0 3.5 20% 20.0% 2.0 2.4 2.0 1.8 1.0 10% 10.0% 1.9 1.2 1.4 1.0 1.0 - 0% 0.0% HY19 HY20 HY21 HY22 HY23 H
Slide 17: Segment Performance
SEGMENT PERFORMANCE
Slide 18: Lindsay Transport
LINDSAY TRANSPORT Transport underlying EBITDA ($’M) Rail revenue ($’M) vs container fleet size 50 50 450 Millions 48.3 45 400 45 44.0 40 350 39.6 35 40 300 30 250 35 25 34.8 200 20 24.4 30 150 15 29.7 13.3 100 27.6 10 25 26.7 5 50 3.1 20 - 0 HY19 HY20 HY21 HY22 HY23 HY19 HY20 HY21 HY22 HY23 Revenue
Slide 19: Lindsay Rural
LINDSAY RURAL Rural external sales ($’M) 6 Rural underlying EBITDA ($’M) 90 5 5.1 5.1 85 87.0 80 82.4 4 3.7 75 3.4 3 70 65 68.3 2 66.3 2.1 60 63.2 1 55 50 - HY19 HY20 HY21 HY22 HY23 HY19 HY20 HY21 HY22 HY23 Rural generated sales of $87.1m, The decline in demand was offset by Rural's underlying EBITD
Slide 20: Outlook
OUTLOOK Lindsay remains confident of The recent departure of a major The Rural division is likely to face The Group will continue to assess delivering Underlying EBITDA of player in the refrigerated transport persistently challenging operating M&A opportunities that have a between $68 million and $7
Slide 21: Contact Us
CONTACT US Kim Lindsay, CEO Ph: (07) 3240 4900 E: Kim.Lindsay@lindsayaustralia.com.au www.lindsayaustralia.com.au https://www.linkedin.com/company/lindsay-australia-ltd/
Slide 22: Appendix
APPENDIX
Slide 23: Reconciliations
RECONCILIATIONS Underlying results Key finance metrics 1H 2023 ($'000) EBITDA EBIT Profit Before Tax NPAT Net Borrowings ($'000) 1H 2023 1H 2022 Statutory Result 49,024 28,760 24,050 16,817 Reported borrowings 27,761 24,369 Depreciation right of use properties (5,239) - - Lease liabilities 174,031 1