Enx Group Limited · JSE:ENX
Enx — H1 2015 Earnings Presentation
19 slides from Enx's earnings presentation, May 2015
Slide 1: enX Group Limited Interim Results Presentation: February 2015
enX Group Limited Interim Results Presentation: February 2015 May 2015
Slide 2: Disclaimer
Disclaimer Certain statements in this presentation regarding enX’s business operations may constitute “forward looking statements.” All statements other than statements of historical fact included in this presentation, including, without limitation, those regarding the financial position, business s
Slide 3: Overview and Prospects
Overview and Prospects
Slide 4: Delivering on key strategic goals….Soft first quarter generator sales
Delivering on key strategic goals….Soft first quarter generator sales Highlights and Developments: o Private Power order book at highest level on record • Increased utilisation of generator manufacturing facilities (February) o Centlube acquisition completed o Distribution of Mobil lubricants has co
Slide 5: Positive outlook for H2 2015
Positive outlook for H2 2015 Power: o Generator manufacturing facility at double shift for last 4 months of H2 • Increase in generator order activity commenced mid-January and has thus far been sustained • Investment required in working capital to support higher production volumes o Strong performan
Slide 6: Good progress so far in transforming the company….Still a W-I-P
Good progress so far in transforming the company….Still a W-I-P Apr 2013– Aug 2013 Sep 2013 – Aug 2014 Sep 2014 – Feb 2015 • Full executive team hired: CEO, • Ricophase acquires 27% • 25% B-BBEE transaction and CFO, Wood CEO. Governance shareholding: Aligns executive associated R211m capital raise i
Slide 7: Building an empowered energy group
Building an empowered energy group 25% Fuel and Enterprise Power Wood Chemicals Development Matase: Professional Oil Lubricants Temporary Empowered Wood Private Power Power Distributor of Equipment Group Products Distribution Knowledge Power Based Opportunity Set: Product Gas Solutions & Distributio
Slide 8: Empowerment transaction and capital raise: birds with one stone
Empowerment transaction and capital raise: 2 birds with one stone Transaction Steps Empowerment Consortium • CapLev raises funding by issuing Shareholders 1 ordinary shares to Consortium members and preference shares to third party financier 1 100% • Consortium led by Paul Baloyi, Nombulelo Moholi a
Slide 9: H1 2015 Financial Performance
H1 2015 Financial Performance
Slide 10: Key Financial Performance Indicators
Key Financial Performance Indicators R ‘000 HY2015 HY2014 % Change Revenue (1) 326 469 264 110 23,6 Gross Profit (1) 98 599 84 424 16,8 Adjusted EBITDA (2) 26 081 27 329 (4,6) Adjusted Headline Earnings (2) 15 288 17 301 (11,6) Adjusted HEPS (cps) 3,8 4,4 (13,9) Shares in issue (number ‘000)
Slide 11: Significant adjustments to earnings explained
Significant adjustments to earnings explained Cash R ‘000 HY2015 Explanation Impact Increase in enX share price of 60c between date of Non Impairment of Goodwill 15 712 signing Centlube agreement and issue of shares. Cash Company resolved to impair immediately Non Increase in provision required for
Slide 12: Management contract explained
Management contract explained Transactions described • Mansour and Friedman guaranteed 1 compensation CEO and CFO have to be employed by company per JSE rules 2• Neuberger (Wood CEO) guaranteed compensation 3• Mansour, Friedman and Neuberger annual short term incentive 1 2 3 4 Maximum payment eq
Slide 13: Key Financial Position Indicators
Key Financial Position Indicators R ‘000 Feb 2015 Aug 2014 Plant and Equipment (1) 62 472 42 853 Goodwill and Intangibles(1) 141 934 95 544 Inventories(1) 247 089 145 467 Trade Receivables(1) 190 363 128 943 Trade and other Payables(2) 242 593 119 368 Current Portion of Interest Bearing Liabilities(
Slide 14: Key Cash Flow Indicators
Key Cash Flow Indicators R ‘000 Feb 2015 Feb 2014 Operating Cash Flow (pre-working capital) 19 817 17 796 Investment in working capital(1) (22 145) (16 751) Net interest and tax outflows (1 635) (1 060) Capital Expenditure(2) (13 057) (7 131) Acquisitions(3) (38 035) - Interest Bearing Liabilities R
Slide 15: Power Segment
Power Segment R ‘000 HY2015 HY2014 % Change Revenue 175 291 174 237 Unchanged Gross Profit 54 509 54 258 Unchanged Gross Profit % 31,1% 31,1% Adjusted EBITDA 18 894 25 840 26,9 Adjusted EBITDA Margin % 10,8% 14,8% Reporting Period Dynamics: Prospects: 1. Soft first quarter generator sales 1. Reven
Slide 16: Fuel Segment
Fuel Segment R ‘000 HY2015 Revenue 48 951 Gross Profit 10 730 Gross Profit % 22,0% Adjusted EBITDA 4 461 Adjusted EBITDA Margin % 9,1% Reporting Period Dynamics: Prospects: 1. Consolidated from December 2014. 1. H2 will reflect a full six months of trading Results included for 3 months 2. Revenues h
Slide 17: Wood Segment
Wood Segment R ‘000 HY2015 HY2014 % Change Revenue 102 227 89 873 13,8 Gross Profit 33 359 30 364 9,9 Gross Profit % 32,6% 33,8% Adjusted EBITDA 9 741 9 738 26,9 Adjusted EBITDA Margin % 9,5% 10,8% Reporting Period Dynamics: Prospects: 1. Good growth in capital equipment sales 1. Strong capital
Slide 18: Capitalisation, Funding and Liquidity
Capitalisation, Funding and Liquidity R ‘000 R‘ 000 Capital and Reserves: As at 28 February 2015 439 349 Expected equity injection from B-BBEE transaction 211 000 No. of shares in issue post-transaction 562 327 Interest Bearing Borrowings: Centlube credit facilities 48 500 Existing Term 3 500 New Te
Slide 19: Thank you and questions
Thank you and questions