Smartgroup Corporation Ltd · ASX:SIQ
Smartgroup — Shareholder Meeting (May 2019)
14 slides from Smartgroup's shareholder meeting presentation, May 9, 2019
Slide 1: Annual General Meeting
For personal use only Annual General Meeting Deven Billimoria Managing Director and CEO 9 May 2019 PAGE 0
Slide 2: Continued growth in 2018 and special dividend paid in 2019
Smartgroup has achieved continued growth in 2018 and paid a special dividend in 2019... For personal use only 1 Continued strong financial performance - Revenue of $241.8m up 18% vs CY 2017 - NPATA(1) of $78.0m up 22% vs CY 2017 Continued client growth 2 - Organic growth of c.18,000 packages and c.2
Slide 3: Growth across all financial and improved operational metrics
...with growth across all financial and improved operational metrics... For personal use only Change % $m CY 2017 CY 2018 (CY18 v CY17) Revenue 205.4 241.8 18% EBITDA(1) 93.6 111.8 19% NPATA 64.1 78.0 22% Shares on issue (millions) 123.2 130.9 6% NPATA per share (cps) 52.0 59.6 15% As at As at Decem
Slide 4: Increasing revenue, earnings and dividends
...and increasing revenue, earnings and dividends. For personal use only Revenue EBITDA 300.0 120.0 111.8 241.8 93.6 250.0 100.0 205.4 80.0 56.8 200.0 119.2 63.3 147.1 49.0 $m 107.9 60.0 $m 150.0 94.4 37.4 37.7 100.0 75.3 84.7 40.0 24.1 48.4 19.6 55.0 39.3 122.6 20.0 44.6 50.0 97.5 12.3 62.4 25.6 36
Slide 5: Continues to grow salary packages and novated leases
Smartgroup continues to grow salary packages and novated leases… For personal use only (1) 1. CY 2015 package figure includes the acquisition of Advantage with c.50,000 packages, and a major client win of c.7,400 packages. CY 2016 and CY 2017 organic growth figures include major client wins of c.6,5
Slide 6: Growing fleet management footprint organically and through acquisition
… and also continues to grow its fleet management footprint, both organically and through acquisition… For personal use only (1) No fleet acquisitions in period 2014 - 2017 • Fleet West staffing, operations, technology and branding now integrated into Smartfleet. 1. Fleet West acquisition was comple
Slide 7: Delivering further EBITDA growth in 2018
... delivering further EBITDA growth in 2018… For personal use only (1) (1) (2) (2) (2) 1. CY 2016 acquisitions – Smartequity, Autopia and Selectus. 2. CY 2017 acquisitions – AccessPay, Aspire, RACV Salary Solutions and Fleet West (completed 4 Jan 2018). PAGE 6
Slide 8: Growing and diversified client base
... from a growing and diversified client base. For personal use only December 2015(1) Acquisitions since IPO(2) December 2018 2% 4% 5% 5% 11% 19% 5% 6% 132,500 52% 11% 154,500 343,000 73% 13% 40% packages packages packages 22% 32% PBI non-hospitals(3) PBI Hospitals(4) Government Education (5) Corpo
Slide 9: Building on early successes in delivering multiple services
Smartgroup is building on early successes in delivering multiple services, principally to our PBI clients. For personal use only Common clients across the group 164 clients use two or more service offerings, growth of 10% from June 2018 Number of Smartgroup services used by individual clients Smartg
Slide 10: Customer service excellence and operational efficiency through digital adoption
TheIncrease focus on customer service excellence through increasing levels operational efficiency of customer adoption of digital channels and automation in core systems continues. For personal use only Online processing uptake of high-volume Smartsalary(1) transactions Progressive implementation of
Slide 11: Staffing level reflects focus on operational efficiencies and investments
The staffing level reflects the continued focus on operational efficiencies and investments in IT, sales and marketing For personal use only November 2015 Acquisitions(1) since IPO December 2018 10% 9% 6% 15% 8% 4% 365 FTE 413 FTE 695 FTE 21% 53% 31% 60% 50% 33% Corporate IT Sales and marketing Oper
Slide 12: Acquisitions update
Acquisitions update For personal use only Mylease • Acquired the novated leasing assets of Mylease from iNovation Pty Ltd for $6.9m in cash, including $1.0m retained in escrow • Administers c.1,000 novated leases across c.500 employer clients with FY 2018 revenue of c.$2.7m and EBITDA of c.$1.5m Acq
Slide 13: In summary
In summary… For personal use only • Improvement across all key financial and operational metrics • Continuing early success in delivering multiple service offerings to clients • Ongoing integration of acquired businesses including clients, systems and premises • YTD 2019 novated leasing o financing
Slide 14: Important notice and disclaimer
Important notice and disclaimer For personal use only Disclaimer This presentation has been prepared by Smartgroup Corporation Ltd (ACN 126 266 831) (“Smartgroup”) and is general background information about Smartgroup’s activities current as at the date of this presentation. The information is give