Orbital Corporation Ltd · ASX:OEC
Orbital — Shareholder Meeting (November 2012)
31 slides from Orbital's shareholder meeting presentation, Nov 7, 2012
Slide 1: Orbital Corporation Ltd 24th Annual General Meeting
For personal use only Orbital Corporation Ltd 24th Annual General Meeting 7th November 2012 Confidential Orbital Corporation Ltd 1
Slide 2: Agenda
For personal use only Agenda • Chairman’s Address • Chief Executive Officer’s Address • Formal Business • Questions and Answers • Poll Confidential Orbital Corporation Ltd 2
Slide 3: Chairman's Address
For personal use only Chairman’s Address Confidential Orbital Corporation Ltd 3
Slide 4: Financial Summary
Financial Summary FY 12 Financial Summary For personal use only A$'000 FY12 FY11 System Sales Segment revenue 14,020 5,847 Segment result 380 (757) Consulting Services Segment revenue 7,131 9,492 Segment result (2,259) 161 Royalties and Licenses Segment revenue 967 1,081 Segment result 463 610 Total
Slide 5: CEO's Address
For personal use only CEO’s Address Confidential Orbital Corporation Ltd 5
Slide 6: Key Milestones 2012/13
Key Milestones 2012/13 Results For personal use only Strategy Implementation • “Systems Sales” up 140% • Transitioning from IP to sales • Reducing reliance on Consulting Engineering company revenue - Engineering resources redirected to manufacturing, product incubation and development Systems Busine
Slide 7: Strategy Overview and Implementation
For personal use only Strategy Overview and Implementation • Transitioning to a product/systems supply company • Reducing reliance on Consulting Services • Engineering focused on new products • Growing systems and components sales Confidential Orbital Corporation Ltd 7
Slide 8: Transition to a Systems Company
For personal use only Transition to a Systems Company Transition Model System Sales revenue • 2012 - Highest top line sales in 8 years Engineering, IP and other revenue • 2008 – 100% Consulting, IP & other • 2012 – 37% Consulting, IP & other Confidential Orbital Corporation Ltd 8
Slide 9: New Products since 2008
For personal use only New Products since 2008 • FlexDITM UAS engine • Liquid LPG systems • LNG Dual Fuel (fleet trial) Confidential Orbital Corporation Ltd 9
Slide 10: UAS – Orbital's New Business
UAS – Orbital’s New Business Orbital’s Production UAS Engine UAS – Growth Market For personal use only • Light weight, up to 40% fuel economy UAS Flight Hours (USA)* improvement * Q4 2011 estimate • FlexDITM spark ignition of JP8 kerosene 700 Flight Hours/Year ('000's) 600 fuels 500 • Supply Contrac
Slide 11: UAS Engine Development
For personal use only UAS Engine Development • Engine design for light weight and robustness; and for heavy fuel • Light weight and military specification components – ECU – Fuel Rail Assembly – Air Compressor – Fuel Pump – Exhaust System • Unique control algorithms • “Plug and Play” Line Replacemen
Slide 12: UAS Brochure – AUSVSI Exhibition
For personal use only UAS Brochure – AUSVSI Exhibition Confidential Orbital Corporation Ltd 12
Slide 13: LPG: Liquid LPG Systems
LPG Liquid LPG Systems For personal use only • Suppliers of Liquid LPG systems to Ford Australia and aftermarket kits for popular vehicle models • Successful Ford EcoLPi production release - Winner of “Best Large Car under $60,000” award • Performance greater than the regular Source: http://tonto.ei
Slide 14: LNG – Fleet Test Program
For personal use only LNG – Fleet Test Program • LNG – Diesel Substitution • Accumulated over 2 million km • Application on Double B and triple trailer 150 tonne road trains • Up to 80% substitution rate (by Injection, Control, Compensation energy) • Meeting performance Aust. HD Truck Fleet* require
Slide 15: Orbital Markets
For personal use only Orbital Markets UAS Flight Hours (USA)* Aust. HD Truck Fleet* * Q4 2011 estimate * Articulated, > 60 tonne GCM (Gross Combined Mass) 700 50 Flight Hours/Year ('000's) 600 40 Units ('000's) 500 30 400 300 20 200 10 100 0 0 2005 2006 2007 2008 2009 2010 2011 2012 2005 2006 2007 2
Slide 16: Orbital and Synerject – Customer Range
Orbital and Synerject – Customer Range For personal use only Confidential Orbital Corporation Ltd 16
Slide 17: Business Sector Summary – Synerject
Business Sector Summary - 1 • Synerject For personal use only – 5% sales growth in FY12 – Approximately 15% compound average growth over the last 4 years – Improved efficiencies – Improved EBIT margins – 10% increase in NPAT – Positive cashflow Confidential Orbital Corporation Ltd 17
Slide 18: Business Sector Summary – Consulting Services Revenue
Business Sector Summary - 2 Consulting Services Revenue • Consulting Services For personal use only 10 8 – High Australian Dollar, and global financial 6 $m situation 4 2 – Geographic 0 FY09 FY10 FY11 FY12 • Orbital Autogas and Sprint Gas Australia System Sales Revenue – Both contributing in a very
Slide 19: Future Products - Samples
For personal use only Future Products - Samples Confidential Orbital Corporation Ltd 19
Slide 20: 2012 - Positives and Negatives
2012 - Positives and Negatives • Positives For personal use only • Transition strategy from IP to system sales business • System sales revenue increased 140% to $14m • Synerject JV continues to grow and is profitable • New business streams - UAS engine/EMS products • Negatives – Consulting Engineeri
Slide 21: Outlook
Outlook • Revenue Growth For personal use only – Potential new revenue streams in FY13 and beyond • UAS Market – new markets / new customers • Asia Natural Gas Systems opportunities – Existing revenue streams • Liquid LPG systems • UAS AAI • Sprint Gas - LPG/CNG distribution businesses • Financial –
Slide 22: Formal Business
For personal use only Formal Business Confidential Orbital Corporation Ltd 22
Slide 23: Item – Financial Reports
For personal use only Item 2 – Financial Reports • To receive and consider the financial statements for the year ending 30 June 2012 together with the directors’ report and the auditor’s report. Confidential Orbital Corporation Ltd 23
Slide 24: Item – Remuneration Report
For personal use only Item 3 – Remuneration Report • That the Remuneration Report for the year ended 30 June 2012 be adopted by the Company. Confidential Orbital Corporation Ltd 24
Slide 25: Item – Re-election of Director
For personal use only Item 4 – Re-election of Director • That Mr W P Day who retires by rotation in accordance with article 9.3 of the Company’s constitution and, being eligible, offers himself for re- election, be elected as a Director of the Company. Confidential Orbital Corporation Ltd 25
Slide 26: Item – Executive Long Term Share Plan
For personal use only Item 5 – Executive Long Term Share Plan • That approval is given for all purposes under the ASX Listing Rules (including so as to qualify as an exception to ASX Listing Rule 7.1) for the issue of fully paid ordinary shares in the Company under the Company’s Executive Long Term
Slide 27: Item – Long Term Share Plan – T. Stinson
For personal use only Item 6 – Long Term Share Plan – T. Stinson • That approval is given for all purposes (including ASX Listing Rule 10.14 and exception 9 to ASX Listing Rule 7.2) for the issue of up to 1,100,000 fully paid ordinary shares in the Company, directly or indirectly, to Mr T D Stinson
Slide 28: Item – Approval of 10% Placement Facility
Item 7 – Approval of 10% Placement Facility For personal use only • That, pursuant to and in accordance with Listing Rule 7.1A and for all other purposes, shareholders approve the issue of equity securities up to 10% of the issued capital of the Company (at the time of the issue) calculated in accor
Slide 29: Questions
For personal use only Questions Confidential Orbital Corporation Ltd 29
Slide 30: Poll
For personal use only Poll Confidential Orbital Corporation Ltd 30
Slide 31: Thank you
For personal use only Thank you Confidential Orbital Corporation Ltd 31