Cleanspace Holdings Ltd. · ASX:CSX
Cleanspace — H1 FY24 Earnings Presentation
14 slides from Cleanspace's earnings presentation, February 2024
Slide 1: Half Year FY24 Results Presentation
HALF YEAR FY24 RESULTS PRESENTATION CLEANSPACE HOLDINGS LIMITED (ASX:CSX) CleanSpace designs and manufactures innovative respiratory protection solutions for industrial & healthcare workers globally We understand the importance of best-in-class personal protective equipment that not only performs, b
Slide 2: Important Notice & Disclaimer
IMPORTANT NOTICE & DISCLAIMER ACCEPTANCE differ from the figures set out in this presentation. This presentation has been prepared by CleanSpace Holdings Limited (ACN 150 214 636) (CleanSpace). PAST PERFORMANCE By accepting, accessing or reviewing this presentation, you acknowledge and agree to the
Slide 3: H1 FY24 – Strong Momentum Continues to Build
H1 FY24 – STRONG MOMENTUM CONTINUES TO BUILD DELIVERING AGAINST OUR OBJECTIVES ▪ Substantial progress with Industrial sales growth strategy ▪ H1 Revenue $7.3M (growth +27% v PCP) (+42% underlying) ▪ Right sizing cost base delivered $8M annual savings (v FY22) ▪ EBITDA improvement of $3.8M to -$2.5M
Slide 4: H1 FY24 – On Track to Achieve FY24 Objectives
H1 FY24 – ON TRACK TO ACHIEVE FY24 OBJECTIVES FY24 OBJECTIVES * H1 FY24 PROGRESS • Potential for 30%+ revenue growth ✓ 27% revenue growth (42% underlying*) • Gross Margin favourable v FY23 ✓ GM 71% (v 70%) • Build consumable revenue streams ✓ Consumable growth of 31% • Ongoing cost base optimisation
Slide 5: Trends Are Positive for Outlook
TRENDS ARE POSITIVE FOR OUTLOOK KEY TRENDS BY HALF YEAR (FY22-FY24)($m) POSITIVE KEY METRICS 14 12 ▪ Revenue 14% higher than H2 FY23 10 8 ▪ Revenue 27% higher than H1 FY23 6 4 ▪ 4 periods of lower expenses trend 2 ▪ ($8M annual savings) 0 -2 H2 FY22 H1 FY23 H2 FY23 H1 FY24 ▪ EBITDA loss shrinking fa
Slide 6: H1 FY24 Results
H1 FY24 RESULTS Regional Revenue: ▪ Europe up 67% UNDERLYING REVENUE GROWTH ▪ North America down 42% ▪ Asia Pacific up 24% 42 % UP ON PCP 71% GROSS MARGIN ▪ 4 countries 82% of revenue (France, UK, US, Australia) Sector Revenue: ▪ Industrial 31% growth globally 28 47% ▪ Industrial revenue 96% of tota
Slide 7: Operational Update – Commercial Progress
OPERATIONAL UPDATE – COMMERCIAL PROGRESS ▪ New models CST Ultra and CST Pro led growth in focus markets. ▪ New industrial product launch ‘Halo Work’ in H2 expands portfolio to broaden market appeal. ▪ Healthcare remained challenged with continuing high levels of inventory in distributors and end use
Slide 8: Operational Update – Costs, Cash & People
OPERATIONAL UPDATE – COSTS, CASH & PEOPLE KEY INITIATIVES ▪ Focus on core markets to maximise resource & investment productivity ▪ Back office costs continue to be reduced, manufacturing footprint simplified ▪ Continued actions on working capital in H2: ▪ Trade debtors under control, minimal bad deb
Slide 9: Strategy Focus – Accelerate Sales Growth Whilst Containing Cost
STRATEGY FOCUS – ACCELERATE SALES GROWTH WHILST CONTAINING COST STRATEGY RECAP As the post pandemic environment becomes clearer, we have reset our strategy. We will drive sustainable growth with strong foundations and a fitter, leaner organisation by: 1. Core focus in industrial and mining sectors,
Slide 10: Outlook
OUTLOOK STRATEGY TO DELIVER @ 30% SALES GROWTH SUSTAINABLE MODEL with P&L LEVERAGE Our Growth Drivers: ✓ Innovative new premium products ✓ Focus on Industrial sectors ✓ 7 Priority countries ✓ New industrial product ‘Halo Work’ launch in H2 Costs and Cash management: ✓ Cost base right-sized for FY24
Slide 11: H1 FY24 Income Statement Summary
H1 FY24 INCOME STATEMENT SUMMARY Change (A$m) vs PCP F / U H1 FY24 H2 FY23 H1 FY23 % Revenue 7.3 6.4 5.7 27 F ▪ Revenue increase 27% v PCP and 14% v prior half Gross Profit 5.2 4.4 4.0 30 F ▪ Retained high gross margin (71%) Employment costs (4.7) (5.5) (6.8) 31 F ▪ Operating expenses down 25% on PC
Slide 12: Summary Balance Sheet & Cash Flows
H1 FY24 SUMMARY BALANCE SHEET & CASH FLOWS as at as at Summary Balance Sheet (A$m) Summary Cash Flows (A$m) H1 FY24 H2 FY23 H1 FY23 31 Dec-23 30 Jun-23 Cash, cash equivalents and term deposits 10.1 12.2 Operating cash flows pre-financing and tax (2.1) (4.3) (7.6) Trade and other receivables 2.4 3.4
Slide 13: CleanSpace Holdings Limited | H1 FY24 Results Presentation | February 2024
CleanSpace Holdings Limited | H1 FY24 Results Presentation | February 2024
Slide 14: www.cleanspacetechnology.com
WWW.CLEANSPACETECHNOLOGY.COM 14 CleanSpace Holdings Limited | H1 FY24 Results Presentation | February 2024