Bisalloy Steel Group Ltd · ASX:BIS
Bisalloy Steel — Investor Presentation (August 2020)
31 slides from Bisalloy Steel's investor presentation, Aug 26, 2020
Slide 1: Investor Presentation August 2020
For personal use only Investor Presentation August 2020
Slide 2: Contents
Contents For personal use only • Vision • Safety • ASX Overview • FY20 Results • 5-year Strategy • Company Overview • People & Values • Brand and Product Portfolio • Customers • Production Facilities 2
Slide 3: Vision statement
For personal use only Everything we do, every day, everywhere is directed at enabling people to design, manufacture and deliver innovations and products for the future with steel, that may not have otherwise been possible. 3
Slide 4: Safety Matters
Safety Matters For personal use only OUR COMMITMENT • We are committed to the wellbeing of our workers, customers and the communities associated with our business. OUR GOAL • We aim for zero harm. No one should be hurt conducting work or interacting with Bisalloy. FY20 KEY OUTCOME • Reduction in Los
Slide 5: ASX Overview
Bisalloy ASX Overview For personal use only Capital Structure 3-year Share Price Performance Share price (BIS.ASX) – 21 August 2020 $1.035 Shares on issue 45.42m Securities not quoted 1.73m Market cap (fully diluted) $50.19m Net Cash (Debt) – 30 June 2020 ($15.6m) Board & Management Shareholders Phi
Slide 6: Group Profit & Loss Statement
Bisalloy Group Profit & Loss Statement For personal use only Consolidated statement of profit or loss FY20 FY19 Comments and other comprehensive income $'000 $'000 1. The Group’s margin of 21% is higher than the prior period (18%). The Revenue 110,719 98,124 increase in gross profit is attributable
Slide 7: Australia Sales Breakdown
Bisalloy Australia Sales Breakdown For personal use only FY20 invoiced volume breakdown by: Plate Type Industry Application Sales Region (Domestic market) Armour Transport 6% Defence Agriculture 5% Export 2% 2% Manufacturing 17% Structural WA Structural 1% 5% 35% 28% Other SA 1% 5% VIC/TAS Mineral M
Slide 8: Group Profitability – FY19 to FY20
Bisalloy Group Profitability – FY19 to FY20 For personal use only • Increased market share and margin per tonne in Australia. Operational efficiency and processing cost improvements were also achieved. • International trading has been affected by weaker demand in China and Indonesia. Demand in Thail
Slide 9: Group Balance Sheet
Bisalloy Group Balance Sheet For personal use only Consolidated statement of 30 June 2020 30 June 2019 1. Inventory build of $6.2m to support increase in domestic Australian Comments financial position $'000 $'000 sales. Current assets 57,817 53,769 1 2. Australian land and buildings were revalued u
Slide 10: Group Net Debt – FY19 to FY20
Bisalloy Group Net Debt – FY19 to FY20 For personal use only Increase in net debt driven by inventory build to support increase in domestic Australian sales. 10
Slide 11: Group Cashflow – FY19 to FY20
Bisalloy Group Cashflow – FY19 to FY20 For personal use only Net cash from operating activities of -$2.0m (FY19: -$1.1m). 11
Slide 12: Group Performance – 5 years
Bisalloy Group Performance – 5 years For personal use only Bisalloy Group Bisalloy Group Volume by Region Revenue and EBITDA 90,000 $14,000 $120,000 80,000 $12,000 $100,000 70,000 Revenue (AUD $'000) EBTIDA (AUD $'000) $10,000 Volume (tonnes) 60,000 $80,000 50,000 $8,000 $60,000 40,000 $6,000 30,000
Slide 13: Steel – 5 Year Strategy
Bisalloy Steel – 5 Year Strategy For personal use only OUR VISION Enabling Innovations with Steel OUR VALUES OUR TARGETS TARGET DOMESTIC QT 50,000T ARMOUR QT 10,000T CJV QT 150,000T MAINTAIN AND STRENGTHEN TARGETED GROWTH AREAS OUR STRATEGIES Home Market Superior Customer Operational Seek Diversify
Slide 14: Roadmap to our 5 Year Targets
Roadmap to our 5 Year Targets 2022-23 STRONG BISALLOY BUSINESS For personal use only • Brand recognition & value • Multiple QT Manufacturing sites • Aust. & International • Multiple Green Feed supply • Long Term Supply agreements • Strong revenue & EBIT results • OEM, Mining, Defence 2020-21 TARGETE
Slide 15: Company Overview
Company Overview For personal use only • Australia’s only manufacturer of quench and tempered steel plate products since 1980 in Unanderra, Wollongong Australia. • Market-leading high wear, high strength steel company in Australia. • Australia’s only manufacturer of defence grade armour steels. • In
Slide 16: Company Overview: Production Centres and Distribution
Company Overview For personal use only Production Centres Australia China J.V. International Distribution Network Australia / NZ China China Indonesia Thailand U.A.E. South Africa Raw Material / Product Supply Partners BlueScope (Australia) Shandong Steel (China) Swebor (Sweden) Salzgitter (Germany)
Slide 17: Our People & Values
Our People & Values For personal use only 17
Slide 18: Brand Portfolio
Brand Portfolio For personal use only BISALLOY® WEAR steel Mining, mineral processing, agriculture BISALLOY® STRUCTURAL steel Mining, agriculture, structures / buildings BISALLOY® ARMOUR steel Defence, Naval, Ballistics, Vehicles BISALLOY® PROTECTION steel Military, Government and Civilian 18
Slide 19: Bisalloy Wear Steel
BISALLOY® Market leader in Australian Mining, Minerals Processing and Quarrying for high-strength wear plates For personal use only WEAR Internationally recognised brand in the Resource sector and used by major OEM’s steel 19
Slide 20: Bisalloy Structural Steel
BISALLOY® Market leader in high-performance structural steel that helps make products stronger, lighter and more sustainable For personal use only STRUCTURAL steel 20
Slide 21: Bisalloy Armour Steel
BISALLOY® For personal use only ARMOUR steel Internationally recognised and certified by major Defence Departments and used by major international prime contractors for land and sea projects Bisalloy® Protection steel used for non- defence civilian applications 21
Slide 22: Australia Customers
Bisalloy Australia Customers For personal use only Coal Mines Iron Ore Mines Hard Rock/Quarry Underground Mines Manufacturers Enabling Innovation with Steel 22
Slide 23: Shangang (Shandong) Steel Plate Customers
Bisalloy Shangang (Shandong) Steel Plate Customers For personal use only Enabling Innovation with Steel 23 1
Slide 24: Enabling Sustainability
Enabling For personal use only Sustainability The increasing focus on sustainability generates new types of demands from our customers requesting lighter, stronger and more sustainable steel solutions. 24
Slide 25: Australian Production Facility
Australian Production For personal use only Facility Strategically positioned near our major steel supplier and port facilities Capacity: 60,000 tonnes per annum 25
Slide 26: Production Process Overview
Production Proven Australian Operation • Exceeding Global International Quality and Testing Process For personal use only standards • Trusted by Global Military brands and Armed Forces Overview • International certification for Safety and Environmental Management 26
Slide 27: Technical Accreditation
Technical Accreditation For personal use only ISO 45001 27
Slide 28: Chinese JV Partner Production Facilities
Two quenched and tempered manufacturing plants in Chinese JV Partner Shandong Province, China. Brand new state of the art plant in Rizhao For personal use only Production Facilities commissioned in 2019 with it’s own port facility. International certification for Safety and Environmental Management
Slide 29: Co-operative Joint Venture
Bisalloy Co-operative Joint Venture For personal use only Bisalloy Shangang (Shandong) Steel Plate Co. Ltd is a 50/50 Co-operative Joint Venture (CJV) established in July 2011 with Shandong Iron & Steel Co. Ltd to manufacture and distribute Bisplate wear and high-strength structural plates. Shandong
Slide 30: Expanding Global Market Presence
Expanding Global Market Presence For personal use only RIZHAO ISRAEL CHINA UAE THAILAND SINGAPORE INDONESIA DISTRIBUTION SUBSIDIARIES/JVS SOUTH AFRICA AUSTRALIA SALES OFFICES/DISTRIBUTION UNANDERRA WAREHOUSES INTERNATIONAL SALES AGENT NEW ZEALAND MANUFACTURING 30
Slide 31: For personal use only
For personal use only _. Bisalloy ENABLING INNOVATION MP rg
Bisalloy Steel Group — Investor Presentation (August 2020) on 6ix