Slide 1: Built on Pride – Year Ended 30th June 2017
For personal use only BUILT ON PRIDE Year Ended 30th June 2017
Slide 2: Key Themes from FY17 Result
KEY THEMES FROM FY17 RESULT For personal use only • MaxiTRANS delivers strong FY17 result • Underlying NPAT of $10.7M –22% up on prior year* • Final year dividend of 1.5 cents per share fully- franked – total dividend 3.5 cents per share fully franked • Segment Profit • Trailers down 16% - Australia
Slide 3: FY17 – Highlights
For personal use only FY17 - HIGHLIGHTS
Slide 4: Financial Overview
FINANCIAL OVERVIEW For personal use only A$M FY16 FY17 % Change Revenue 340.2 340.1 (0.03) EBITDA 19.5 21.4 9.7 D&A (5.0) (4.6) 8.0 EBIT 14.5 16.8 15.9 Interest Expense (2.4) (2.3) 4.2 NPBT 12.1 14.5 19.8 Tax (3.1) (3.5) (12.9) Non-Controlling Interest (0.3) (0.3) - NPAT (Underlying) 8.7 10.7 22.9 S
Slide 5: Earnings Bridge – Underlying NPAT up 22%
EARNINGS BRIDGE – UNDERLYING NPAT UP 22% For personal use only Underlying NPAT - FY17 vs FY16 • Gross margin #039;000 improvement driven by 14,000 improved MaxiPARTS 12,000 $1,256 ($738) $10,695 margins 10,000 $1,389 • Overhead improvement $8,752 $36 largely due to one-off 8,000 costs in prior year and
Slide 6: Cashflow
CASHFLOW For personal use only A$M FY16 FY17 % Change EBITDA 19.5 21.4 9.7 Change in Working Capital 8.2 (10.3) (225.6) Other (6.5) (6.7) (3.1) Operating Cashflow 21.2 4.4 (79.2) Dividends Paid (3.8) (5.9) (55.3) Dividends Received 0.8 0.6 (25.0) CAPEX (8.7) (8.2) 5.7 Purchase of minority interest -
Slide 7: Cashflow (Continued)
CASHFLOW (CONTINUED) For personal use only Operating Cashflow - FY17 vs FY16 • 2016 working capital #039;000 movement driven by $1,870 significant end of year 25,000 ($8,198) $21,196 creditors and debtors 20,000 benefit ($10,337) • $8.2m reflects 15,000 reversion to normal debtor / creditor levels 10,0
Slide 8: Cashflow – Working Capital Movement
CASHFLOW – WORKING CAPITAL MOVEMENT For personal use only Working Capital movement - FY17 • Inventory increase as a #039;000 result of: • Raw materials / WIP due to increased build $4,663.00 CREDITORS rate ($4.8m) • Customer units built but not delivered at ($10,811.00) INVENTORY 30/6 ($1.9m) • Stock u
Slide 9: Segment Earnings – Trailers
SEGMENT EARNINGS – TRAILERS For personal use only A$M FY16 FY17 % Change • Australian trailer business revenue Revenue 235.2 233.4 (0.8) improved 2.6%, more than offset by NZ NPBT 10.9 9.1 (16.5) revenue decline of 27% NPBT Margin % 4.6 3.9 (15.2) • Gross margins slightly below prior year due to hig
Slide 10: Freighter
FREIGHTER For personal use only • Unit sales down 8% after beginning the year with a small order bank • Continued low consumer confidence drove a consistently low order intake in H1 FY17 • Order intake improved in H2, partly due to award-winning new product releases • Order banks finished 85% up on
Slide 11: Maxi-CUBE
MAXI-CUBE For personal use only • Unit sales down 34%, returning to normalised levels following above- average FY16 • Order banks up 284% following Coles Supermarkets order • Redeveloped Classic product announced at Brisbane Truck Show • Strong platform for further orders in FY18
Slide 12: Tippers
TIPPERS For personal use only • 74% increase in tipper sales driven by: • Good grain / agriculture season particularly in Victoria, Queensland and South Australia • Strong infrastructure construction activity in NSW and South Australia • Continued penetration into the waste sector in Victoria, Queen
Slide 13: New Zealand
NEW ZEALAND For personal use only • Significant profit decline due to: • Transport equipment regulation change affecting trailer dimensions not passed until February, 2017 – temporarily impacted Maxi-CUBE product • A number of grocery contract changes created uncertainty among operators thus delayin
Slide 14: Segment Earnings – Parts & Components
SEGMENT EARNINGS – PARTS & COMPONENTS For personal use only A$M FY16 FY17 % Change • Profit growth ahead of revenue driven Revenue 105.0 106.7 1.6 by MaxiPARTS trading margin NPBT 3.6 5.3 47.2 improvement NPBT Margin % 3.4 5.0 47.1
Slide 15: MaxiPARTS
MAXIPARTS For personal use only • Revenue growth from: • MaxiSTOCK customer inventory management system driving above 20% like-for-like customer increased sales and represents a growing proportion of total sales • Successful launch of AirMAX suspension system BUT • Offset by further softening in Que
Slide 16: Maxi-CUBE Tong Composites (China)
MAXI-CUBE TONG COMPOSITES (CHINA) For personal use only • Strong underlying result (on a constant currency basis): • 15% revenue increase • 12% profit improvement • Further expected top line growth in FY18 driven by: • New product launches • Improved product quality from upgraded skin line • However
Slide 17: Outlook
OUTLOOK For personal use only • Australian Trailer Business to benefit from Coles contract in first half • NZ Trailer Business expected to benefit from stable regulatory environment • Increase in build rate to record levels creates further opportunities to implement operational efficiency initiative
Slide 18: Corporate Strategy Review
CORPORATE STRATEGY REVIEW For personal use only Growth Pathways – aspiring to double earnings over five years • Short Term • Drive operational excellence and efficiency from the current business model through a group-wide ERP implementation, further supply chain cost reductions and a more systemic a
Slide 19: Strategic Summary
For personal use only STRATEGIC SUMMARY
Slide 20: Behind Every Industry
BEHIND EVERY INDUSTRY —#ReIGHTER §=[IEEST usrv tsa — HamelexWhite | \KIMER PH @MaxiPARTS