Slide 1: H1 FY22 Financial Results Presentation
H1 FY22 FINANCIAL RESULTS PRESENTATION 9 FEBRUARY 2022
Slide 2: H1 FY22 - Key Highlights
H1 FY22 - KEY HIGHLIGHTS > Revenue growth despite significant impact of lockdowns in the half, demonstrating the resilience of Bapcor’s business > Delivered Pro forma NPAT of $61M inline with achieving our full year guidance provided at the AGM in October 2021 > Continued network growth – opened 8 R
Slide 3: Update from the Executive Chair
UPDATE FROM THE EXECUTIVE CHAIR > CEO appointment ‒ Noel Meehan appointed CEO on 8 February 2022 ‒ CFO recruitment underway > Board renewal ‒ Mark Bernhard has been appointed as a Non-Executive Director effective 1 March 2022 ‒ Mark has significant board and executive management experience in the au
Slide 4: Solid FY22 H1 Pro Forma Results Demonstrate Bapcor's Resilient Business Model
SOLID FY22 H1 PRO FORMA RESULTS DEMONSTRATE BAPCOR’S RESILIENT BUSINESS MODEL REVENUE EBITDA > Revenue growth in H1FY22 despite lockdowns, demonstrating the resilience of Bapcor’s business $900M $137M > While profitability is down compared to the exceptional H1 1.9% increase 5.8% decrease Vs H1 FY21
Slide 5: Significant Improvement in Performance in Q2 FY22
SIGNIFICANT IMPROVEMENT IN PERFORMANCE IN Q2 FY22 AS LOCKDOWNS AND RESTRICTIONS WERE LIFTED > Business performance improved as lockdowns and restrictions eased and we expect that this strong performance will continue in H2 FY22 without any further material impacts from Omicron Quarterly revenue grow
Slide 6: Both Revenue and LFL Sales Improved Materially in Q2 FY22
BOTH REVENUE AND LFL SALES IMPROVED MATERIALLY IN Q2 FY22 > Business is well positioned for continued performance as business conditions improve H1 FY22 segment revenue breakdown by quarter LFL sales Revenue Q1 vs Q2 (FY22) 37.1% Q1 FY22 Q2 FY22 H1 FY22 24.7% Trade 162 162 323 New Zealand 40 46 86 1
Slide 7: Segment Overview
SEGMENT OVERVIEW Revenue (#039;M) Revenue ($’M) Revenue 323 341 314 318 > Solid performance underpinned by: 209 197 ‒ Team members delivering for customers despite 86 86 difficulties during lockdowns followed by a customary uptick once restrictions eased ‒ Continued market demand reflecting the (42) (4
Slide 8: Bapcor Trade
BAPCOR TRADE > Bapcor Trade continues to grow with record sales in H1 FY22 despite significant impact of Revenue EBITDA lockdowns in NSW and Victoria $323M $52M ‒ COVID has highlighted the strength and resilience of our team members, and underlines +3.1% vs H1 FY21 (9.0)% vs H1 FY21 the culture that
Slide 9: Bapcor Retail
BAPCOR RETAIL Revenue EBITDA > Overall segment revenue 5.4 % below last year impacted by a challenging wholesale channel result and lockdowns but up 36.7% compared with H1 FY20 $197M $34M > Same store sales for Autobarn -8.6% and Autopro -3.3% reflect strong results against an (5.4)% vs H1 FY21 (15.
Slide 10: Bapcor Specialist Wholesale
BAPCOR SPECIALIST WHOLESALE > Strong performance by Specialist Wholesale with both revenue and EBITDA increasing on H1 EBITDA FY21 Revenue $47M > Sales improvement across all Specialist Wholesale businesses driven by: +4.3% vs H1 FY21 ‒ Network expansion $341M +59.3% vs H1 FY20 ‒ Market share growth
Slide 11: Bapcor New Zealand
BAPCOR NEW ZEALAND > Revenue and EBITDA increased compared to the prior period despite extended Revenue EBITDA Auckland/Northland lockdown $86M $16M > Good margin management across all business segments despite significant supplier cost escalation and logistical uncertainties +0.5% vs H1 FY21 +0.5%
Slide 12: Bapcor Asia
BAPCOR ASIA Thailand Tye Soon > Performance has improved as lockdown measures ease > Own 25% equity stake in Tye Soon ‒ Q2 sales were 85% higher than Q1 sales ‒ Listed Singapore entity > Continue to implement a range of cost control measures to manage ‒ c.60 locations in South East and North East As
Slide 13: Supply Chain
SUPPLY CHAIN > 3 largest warehouses have transitioned into new consolidated DC in Tullamarine – Nunawading (Retail), Preston (Trade) and Derrimut (Wholesale) represent 80% of volumes > Further Wholesale businesses to follow later in calendar year 2022 > Operations and transitions impacted by staff s
Slide 14: Team Members Are at the Heart and Soul of Our Business
TEAM MEMBERS ARE AT THE HEART AND SOUL OF OUR BUSINESS > Keeping our team members safe and well remains at the forefront of Bapcor’s priorities ‒ Implemented paid pandemic leave policy ‒ Implemented COVID vaccination incentive > Bapcor is undertaking a workplace culture review – entirely confidentia
Slide 15: H1 FY22 Financial Performance
H1 FY22 FINANCIAL PERFORMANCE 15
Slide 16: Summary Income Statement
SUMMARY INCOME STATEMENT $M H1 FY22 H1 FY21 % change Revenue Revenue 900.1 883.6 1.9% > Revenue growth of 1.9% EBITDA 137.2 145.6 (5.8%) ‒ A solid start to FY22, in light of the prolonged lockdowns experienced in the half, Depreciation and amortisation (42.0) (38.7) 8.3% demonstrating the resilience
Slide 17: Historical Half Year Performance
HISTORICAL HALF YEAR PERFORMANCE > Bapcor has consistently grown revenue over the last 3 years – H1 FY22 was a solid result given the prior period included benefits of stimulus > Higher planned costs but lower than expected revenues in H1 FY22 due to lockdowns resulted in a lower EBITDA margin but t
Slide 18: Summary Cash Flow
SUMMARY CASH FLOW $M H1 FY22 H1 FY21 Cash flow conversion / inventory EBITDA 137.2 145.6 Operating cash flow before finance, transaction and tax costs 95.2 122.3 > Cash outflow of $40.4M predominantly due to increase in inventory (excluding new stores and Cash conversion % 69.4% 84.0% acquisitions)
Slide 19: Summary Balance Sheet
SUMMARY BALANCE SHEET $M 31-Dec-21 30-Jun-21 Net Debt Cash 79.8 39.6 > Pro forma net debt1 at 31 December 2021 of $203M (June 2021: $164.1M) Trade and other receivables 209.9 193.1 > Annualised leverage ratio of 1.0x on a twelve-month pro forma EBITDA2 basis Inventories 485.9 447.1 PP&E 96.0 100.0 >
Slide 20: Liquidity
LIQUIDITY > Recent refinancing provides Bapcor with significant financial flexibility to be able to respond rapidly to acquisition opportunities and continue to invest in high returning projects $203.0M $232.3M 3.5 years 1.0x Pro forma net debt Undrawn committed facilities Average remaining tenor Ne
Slide 21: Dividends
DIVIDENDS > Fully franked final dividend of 10.0 cents per share Dividends (cps) ‒ 11.1% increase on the prior year 25 20.0 > Record date: 28 February 2022 20 17.5 17.0 15.5 > Payment date: 14 March 2022 15 13.0 11.0 > Dividend reinvestment plan remains suspended for FY22 interim dividend 10 8.7 > S
Slide 22: Bapcor Strategy and Targets
BAPCOR STRATEGY AND TARGETS 22
Slide 23: Delivering on Strategy
DELIVERING ON STRATEGY Drive expansion of Supplement market Realise benefits and Invest in our team network footprint – leading brands with Bapcor efficiencies of the members physical and online own brand products Bapcor Group > Grow existing store sales > Moving closer to the > ESG > develop and de
Slide 24: Our Strategic Priorities and Targets
OUR STRATEGIC OVER THE NEXT 5 YEARS, BAPCOR SEEKS TO PRIORITIES AND GROWTH OWN BRAND TARGETS GROW THE NETWORK GROW OUR OWN Increase our footprint from c.1,100 BRAND PROGRAMS Underpinned by our core strategic pillars are a locations to over 1,500 locations Increase market penetration Positively clear
Slide 25: We Are Responsible and Committed
WE ARE RESPONSIBLE AND COMMITTED Positively impact Environmental Ethical supply Good governance – supporting our community sustainability chain/procurement and developing our people > Engage stakeholders and support the > Aspire to be net carbon neutral > Ethical sourcing > Uphold our values and cod
Slide 26: Trading Update and Outlook
TRADING UPDATE AND OUTLOOK 26
Slide 27: FY22 Trading Update/Outlook
FY22 TRADING UPDATE/OUTLOOK > H1 FY22 result demonstrates Bapcor’s resilience, with revenue increasing despite significant lockdowns in NSW, Victoria and New Zealand > Pro forma NPAT of $61M inline with achieving our full year guidance provided at the AGM in October 2021 > January 2022 trading updat
Slide 28: Appendix
APPENDIX 28
Slide 29: Reconciliations
RECONCILIATIONS The tables below reconcile the pro forma results to the statutory results for H1 FY22 and H1 FY21: Statutory to Pro forma NPAT Consolidated Notes: $M Note H1 FY22 H1 FY21 1. These tables are subject to rounding. Statutory NPAT 2 57.7 67.7 2. NPAT attributable to members of Bapcor Lim
Slide 30: Reconciliations
RECONCILIATIONS The following table reconciles the statutory to pro forma net debt Consolidated $Ms 31-Dec-21 30-Jun-21 Cash and cash equivalents 79.8 39.6 Finance leases (251.8) (226.3) Borrowings excl. unamortised transaction costs capitalised (285.1) (205.5) Statutory net debt (457.1) (392.2) Add
Slide 31: Reconciliations
RECONCILIATIONS The following table reconciles the movements in provision for slow moving inventory Consolidated $Ms 31-Dec-21 30-Jun-21 Opening balance (53.8) (55.9) Additional provisions recognised against profit (2.6) (0.2) Additions through business combinations (0.7) (0.4) Inventory written off
Slide 32: Disclaimer
DISCLAIMER The material in this presentation has been prepared by Bapcor Limited (“Bapcor”) ABN 80 153 199 912 and is general background information about Bapcor’s activities current at the date of this presentation. The information is given in summary form and does not purport to be complete. Infor
Slide 33: Asia Pacific's Leading Provider of Vehicle Parts, Accessories, Equipment, Service and Solutions
Asia Pacific’s leading provider of vehicle parts, accessories, equipment, service and solutions