Verbrec Ltd · ASX:VBC
Verbrec — Shareholder Meeting (November 2022)
22 slides from Verbrec's shareholder meeting presentation, Nov 22, 2022
Slide 1: ASX Announcement: 2022 AGM Managing Director Presentation
ASX Announcement 22 November 2022 2022 Annual General Meeting – Managing Director Presentation Verbrec Limited (ASX : VBC) (Verbrec or the Company) a leading mid-tier engineering, training and infrastructure services provider is pleased to issue the attached presentation delivered by Managing Direct
Slide 2: 2022 Annual General Meeting
2022 Annual General Meeting Tuesday, 22 November 2022
Slide 3: Managing Director's Address
Managing Director’s Address Linton Burns
Slide 4: Executive Summary
Executive Summary 1. Corporate Snapshot 2. Corporate Profile 3. A New Beginning 4. Key Messages 5. FY22 Results 6. Strategic Initiatives and Growth Strategy Demolition and rehabilitation of the Gobe Oil & Gas field, PNG Page 3
Slide 5: Corporate Snapshot
Corporate Snapshot Share Price Performance1 Capital Structure ASX code VBC Market Cap (as at 18 November 2022) $26.6m Share price (as at 18 November 2022) $0.12 Shares on issue 221.5m Cash (as at 30 June 2022) $6.4m Net Cash Position2 (as at 30 June 2022) $5.7m Top 5 Shareholders Brian O’Sullivan 31
Slide 6: Corporate Profile
Corporate Profile Pi verbrec
Slide 7: About Verbrec
About Verbrec 3 Large Industries 1 Meaningful Purpose Through strong relationships built on trust we transform assets and people Transforming assets for a sustainable and smarter future Resources Energy Infrastructure 16 Locations 863 Team Members 3 Services across Asset Lifecycle ▪ Asset ▪ High Ris
Slide 8: Core Markets
Core Markets Verbrec provides services across diversified markets each undergoing significant transformation and creating substantial opportunities. Labour shortages are also creating opportunities for labour forces to retrain via Verbrec’s training business. Mining & Minerals Infrastructure Energy
Slide 9: A new beginning
Pverb SSS ee iverbrec BE neces moe mone \ s i IS LA Sacra ‘aed = A new beginning ®iverbrec evolution engineered
Slide 10: Verbrec's History
Verbrec’s History 2021 StacksOn commercialised 2021 Verbrec acquires Site Skills 2020 Verbrec acquires Energy Infrastructure Management (EIM) Page 9
Slide 11: Merger Implementation Scorecard
Merger Implementation Scorecard $3M in annualised savings Removal of duplication in corporate and local management, consolidation of offices led to a further $1.2M per annum in overhead savings New Board and Management Diverse skill sets, bid review committee established New Strategy Three operating
Slide 12: Key Messages
Last remaining legacy project is upgrading the outdated monitoring and control system of the drinking water, recycled water, and sewerage network across S.E. Queensland to reduce costs and Key Messages improve network resiliency. Page 11
Slide 13: Key Messages – well positioned for Margin expansion
Key Messages – well positioned for Margin expansion ▪ LogiCamms transformed to create Verbrec via OSD reverse take-over • $3M+ in annualised overhead savings, OSD balance sheet strength used to pay down LogiCamms debt • New Board and Management with improved bidding processes and common ERP system i
Slide 14: FY22 Results
FY22 Results Pi verbrec
Slide 15: FY22 Operating Highlights
FY22 Operating Highlights Zero harm 0 nil lost time injury Revenue $121.4m for FY22 up 24.6% from PCP Work-in-hand $77.4m at historically high levels One Meaningful Purpose 1 investment in energy transformation evident, 55% of FY22 revenue from Energy Increase in contract value $6.7m including miles
Slide 16: FY22 Margin Analysis
FY22 Margin Analysis FY22 margin improvement plan executed (source FY21 results investor presentation) Review of our project delivery systems ✓ Revamped project delivery system conducted, recommendations being implemented implemented by taskforce Tighter controls over pricing and bid ✓ Risk pricing
Slide 17: Underlying Results Confirm Rebound
Underlying Results Confirm Rebound Margins improving after add back of three poor performing legacy projects Mitigating impacts of Legacy Projects $m’s H1FY21 H2FY21 H1FY22 H2FY22 ▪ 2 of 3 legacy poor performing projects completed during FY22 $70.00 ▪ Successfully pursued claims on 2 of 60.6 60.8 th
Slide 18: Strategic Initiatives & Growth Strategy
Strategic Initiatives & Growth Strategy
Slide 19: Delivering on our Growth Strategy
Delivering on our Growth Strategy Growth focussed on expanding existing capabilities in key markets whilst at same time adding scale and increasing exposure to recurring and non-project revenues 01 02 03 Maximise returns from core business Expand existing Capabilities in Key Markets Improve our sust
Slide 20: Key Growth Drivers
Key Growth Drivers Organic Growth Significant investment in our key markets particularly in relation to Energy and Digital transformations ▪ Three-pronged energy strategy supporting clients Revenue by Industry Sector • Provide Today’s Energy Needs • Transform Infrastructure To Process And Transport
Slide 21: Outlook
Outlook Our expertise in control systems, grid connections and pipelines, uniquely positions Verbrec to play an important role in transforming Correlation between Work-in-hand assets for a more sustainable and smarter future. and Revenue ($m's) ▪ Work in hand remains at historical highs, as of Augus
Slide 22: OQverbrec
OQverbrec