Slide 1: Countplus Limited Annual General Meeting
For personal use only Countplus Limited Annual General Meeting 30 November 2011 Contact: Barry Lambert, Executive Chairman barry.lambert@countplus.com.au or (02) 8272 0212 Michael Spurr, Managing Director michael.spurr@countplus.com.au or (02) 8272 0293
Slide 2: Chairman's Address
For personal use only Chairman’s Address Barry Lambert
Slide 3: AGM Agenda
AGM Agenda For personal use only Introductions CBA acquisition of Count Financial Limited Profit & Dividend Guidance AGM Resolutions CEO Address Q&A 3
Slide 4: CEO / Managing Director
CEO / Managing Director For personal use only Michael Spurr 4
Slide 5: Non-Executive Directors
Non-Executive Directors For personal use only Don Sharp David Smith Graeme Fowler Non-Executive Director Non-Executive Director Non-Executive Director Acquisitions Committee Chair Risk & Compliance Committee Chair Board Audit Committee Chair Subject to re-election 5
Slide 6: Company Secretarial
Company Secretarial For personal use only Auditors & Lawyers Ernst & Young Mark Raumer Addisons Lawyers Jeff Mansfield Caress Andrews Company Secretary 6
Slide 7: CBA Acquisition of Count Financial Ltd
CBA Acquisition of Count Financial Ltd Over 99% of COU voting shares were cast in favour of a For personal use only take-over by CBA 28th November the Supreme Count of NSW approved the transaction Around 9th December CBA will become the largest individual shareholder of Countplus Future form
Slide 8: Profit Guidance
Profit Guidance 1st projection is generally given at AGM For personal use only No EPS growth projection this year Projected EPS for FY2012 will be given after our Half Yearly results are released 8
Slide 9: Dividend History & Guidance
Dividend History & Guidance For personal use only Financial Franking Status Cents Per Payment Date Year Ended Share 2011 Fully Paid 4.0 (per fully 1 July 2011 Franked paid share) 2011 Fully Paid 2.0 (per fully 15 August 2011 Franked paid share) 2012 Fully Paid 3.0 (per fully 15 November Franked paid
Slide 10: Dividend Policy
Dividend Policy For personal use only Countplus Prospectus indicated an intention for dividend pay-out ratio to be within 50-70% Due to strong cash position and low debt, 2012 annual dividend guidance is for 12c which will exceed this range for the Y/E 2012 High non-cash amortisation expense m
Slide 11: Liquidity
Liquidity For personal use only Approximately 30% of shares will be released from escrow on 22 December 2011 Majority of remaining escrowed shares will be released over the next 2 years Gives time to establish a track record of profit & dividend growth 11
Slide 12: AGM Resolutions
For personal use only AGM Resolutions Barry Lambert
Slide 13: Resolution 1: Financial Statements & Reports
Resolution 1: Financial Statements & Reports For personal use only These Statements & Reports are incorporated in the Directors Report. The vote on this resolution is advisory only and does not need to be formally adopted by the meeting. Any questions can be addressed to the CEO at the end of
Slide 14: Resolution 2: Adopt Remuneration Report
Resolution 2: Adopt Remuneration Report This Report is incorporated in the Directors Report. For personal use only The vote on this resolution is advisory only and does not bind the Directors of the Company % of all Vote Type Voted % securities For 24,285,297 90.39 22.22 Against 2,516,746 9.41 2
Slide 15: Resolution 4: Re-election of David Smith
Resolution 4: Re-election of David Smith For personal use only % of all Vote Type Voted % securities For 23,579,640 83.77 21.66 Against 3,210,959 11.41 2.95 Open-Usable 1,357,597 4.82 1.25 Open Cond - 0.00 0.00 Open - N/A 0.00 Unusable Abstain 17,558 N/A 0.02 Excluded - N/A 0.00 David Smith Non- Exe
Slide 16: Chief Executive Officer's Address
For personal use only Chief Executive Officer’s Address Michael Spurr
Slide 17: Resolution 3: Re-election of Barry Lambert
Resolution 3: Re-election of Barry Lambert For personal use only % of all Vote Type Voted % securities For 22,370,033 79.48 20.55 Against 4,417,100 15.69 4.06 Open-Usable 1,357,597 4.82 1.25 Open Cond - 0.00 0.00 Open - N/A 0.00 Unusable Abstain 21,024 N/A 0.02 Excluded - N/A 0.00 Barry Lambert Exec
Slide 18: Countplus Member Firms
Countplus Member Firms For personal use only Countplus has a National presence that will continue to grow 18
Slide 19: Full Year Result Highlights
Full Year Result Highlights For personal use only Financials EBITA: $18.41 million 2 3 Consolidated Net Profit after Tax: $13.30 million Net Profit after Tax attributable to shareholders: $8.90 million Total Debt: $1.88 million CUP Dividends 6 cents paid for first 6 months post listing 1st 2012 quar
Slide 20: Group Performance – Member Firms
Group Performance – Member Firms $ % of For personal use only ‘000 Total Revenue made up Revenue of primarily of accounting, legal and financial Total Net Member Revenue 81,538 100% planning services. Expenses: 3 Firms were Salaries and Employment (46,175) (57%) acquired post July 2010. Premises (4,
Slide 21: Group Performance – Member Firms
Group Performance – Member Firms $ % of Total For personal use only Interest expense ‘000 Revenue primarily due to working capital loans Net Income Member Firms 18,707 23% now repaid. Head Office Contribution (300) (1%) Head office (net cost) contribution expected to have EBITA 18,407 22% neutral to
Slide 22: Balance Sheet
Balance Sheet $ For personal use only Strong balance sheet ‘000 with working capital debt repaid out of Current Assets 30,126 public raising. Non-Current Assets 56,931 All Member Firms Total Assets 87,057 generate strong cash Current Liabilities 29,512 flow. Non-Current Liabilities 8,498 Current lia
Slide 23: Group Goals
Group Goals Deliver consistent profit growth For personal use only Acquirer of choice for quality accounting and wealth advice businesses Over time, build recognition as an employer of choice for aspiring young professionals/managers in the industry 23
Slide 24: Group Strategy
Group Strategy Facilitation of Member Firm organic growth For personal use only Selective group and “tuck in” acquisitions Launch franchise that becomes the compelling choice for new accounting businesses and attractive to all small to medium accounting businesses. Evolution Advisers (NSW) 24
Slide 25: Member Firm Growth
Member Firm Growth Firms have been acquired on track record of delivering For personal use only profit growth and potential to continue Gatekeepers to SMEs and Self Managed Funds growth sectors Principals retain management control Head office not a cost centre to group Bentleys Perth (WA) 25
Slide 26: Incentives
Incentives Principals represent largest shareholder group (over For personal use only 50%) subject to escrow Opportunity to qualify for further equity on basis of firm EPS growth each year – minimum 10% hurdle Minimum of 50% of any equity entitlements must be distributed to managers/key staff
Slide 27: Acquisitions Policy
Acquisitions Policy For personal use only Acquisitions will continue: 1. Full (100%) acquisitions at group level 2. Acquisition of minority stakes (30%+) at group level: Retiring partner Fund acquisition of fees Countplus could increase its stake over time 3. Tuck-ins by existing firms – up to 1
Slide 28: Group Member Benefits
Group Member Benefits Being part of a listed entity; For personal use only Access to the expertise of the entire Countplus Network, enhancing internal efficiencies; Capital to fund growth (such as tuck-ins) and working capital; Over time, potentially lower cost &/or access to better quality
Slide 29: Group Member Benefits
Group Member Benefits For personal use only Principals maintain day-to-day management Principals will continue to have operational control and drive strategies within the business Maintenance of existing firm Cooper Reeves (QLD) culture 29
Slide 30: Recent Tuck-Ins
Recent Tuck-Ins For personal use only Date Acquirer Tuck-In 22/12/10 Crosby Dalwood Modbury (Adelaide, SA) based (Adelaide, SA) accounting & financial planning business of Colin Bishop. Total consideration for purchase was satisfied in a combination of Countplus shares and a deferred cash payment. 3
Slide 31: Recent Tuck-Ins
Recent Tuck-Ins Date Acquirer Tuck-In For personal use only 11/03/11 McDonald Pynt Perth (WA) based legal business Lawyers (Perth, WA) SuperGeneration [Legal subsidiary of SuperGeneration was founded and continues to be managed by Chris Hogan, a specialist in Lawrence Business Superannuation law. Su
Slide 32: Recent Tuck-Ins
Recent Tuck-Ins Date Acquirer Tuck-In For personal use only 13/07/11 Countplus MBT Parramatta (NSW) based chartered (Sydney, NSW) accounting & financial planning practice Loughhead Roberts Loughhead Roberts is a 35 year old practice that has been providing predominantly accounting and compliance ser
Slide 33: Collaboration
For personal use only Collaboration Significant benefits are expected as our Member Firms collaborate, develop a group identity and build best practice. 33
Slide 34: Future Opportunity
Future Opportunity For personal use only Within the next two years, Countplus expects to launch an Accounting Franchise Aim: to position franchise membership as representing quality and innovation. 34
Slide 35: Question Time
For personal use only Question Time
Slide 36: Countplus Limited Annual General Meeting
For personal use only Countplus Limited Annual General Meeting 30 November 2011 Contact: Barry Lambert, Executive Chairman barry.lambert@countplus.com.au or (02) 8272 0212 Michael Spurr, Managing Director michael.spurr@countplus.com.au or (02) 8272 0293