Embark Early Education Limited · ASX:EVO
Embark Early Education — Shareholder Meeting (June 2022)
19 slides from Embark Early Education's shareholder meeting presentation, Jun 27, 2022
Slide 1: Annual Shareholders' Meeting
For personal use only Annual Shareholders’ Meeting 27 June 2022
Slide 2: In attendance today
In attendance today For personal use only • Board of Directors • Hamish Stevens - Chair • Chris Scott – Managing Director • Chris Sacre – Non-Independent Director • Adrian Fonseca – Independent Director • Kim Campbell – Independent Director • Senior management • Edmund Mah – Group CFO • Andrew Warne
Slide 3: Group financial result - Underlying EBITDA
FY 31 December 2021 Group financial result - Underlying EBITDA For personal use only $NZm Centres Occ. 12 months to 12 months to change Dec-21 FY21 31 Dec 2020 31 Dec 2021 NZ 107 69% 14.0 2.9 -11.1 Australia 23 80% 5.4 10.9 +5.5 Corporate costs (1.3) (1.2) +0.1 Underlying EBITDA 18.1 12.6 -5.5
Slide 4: New Zealand
FY 31 December 2021 New Zealand For personal use only • All children and staff remained safe through Covid • All 107 NZ centres closed from mid-August 2021- not fully open until late December 2021 – impact on occupancy in key centres • MoE funding received in full during Covid restriction periods -
Slide 5: New Zealand – Underlying EBITDA
FY 31 December 2021 New Zealand – Underlying EBITDA For personal use only $NZm 12 months to 12 months to change 31 Dec 2020 31 Dec 2021 Average occupancy 68% 69% +1% points Total revenue 115.1 113.9 -1.2 Operating costs (113.0) (111.0) +2.0 EBITDA before wage 2.1 2.9 +0.8 subsidy Govt. wage subsidy
Slide 6: New Zealand parent revenue 2020 and 2021
FY 31 December 2021 New Zealand For personal use only Parent revenue 2020 and 2021 120 Non Covid restriction average 100 2021Delta restrictions $6m loss of parent fees 80 2020 restrictions $7m loss of index 60 parent fees 40 20 0 2020 Q1 Q2 Q3 Q4 2021 Q1 Q2 Q3 Q4
Slide 7: New Zealand – key focus and initiatives
FY 31 December 2021 New Zealand – key focus and initiatives For personal use only • Continued refresh and upgrade of centres • Rolling out enhanced offerings at centres (music and science programmes) • New positions filled to drive occupancy post Covid-19 • Closure or sale of less profitable centres
Slide 8: Australia growth strategy
FY 31 December 2021 Australia growth strategy For personal use only In 2019 Evolve embarked on the strategy of broadening and strengthening the company’s earnings through the expansion into the Australian ECE sector. 10 centres were acquired in 2019. Evolve acquired a further 13 Australian centres i
Slide 9: Australia
FY 31 December 2021 Australia For personal use only • Employees and children remained safe through Covid • Australian centre occupancy affected by Covid closures • Strong Australian government support allowed most staff to remain on full pay and covered most of lost parent fees • Full year of the10
Slide 10: Australia – Underlying EBITDA
FY 31 December 2021 Australia – Underlying EBITDA For personal use only $Am 12 months to 12 months to change 31 Dec 2020 31 Dec 2021 Centres at year end 10 23 +13 Average occupancy 75% 80% +5% Revenue 20.0 41.5 +21.5 Operating costs (15.3) (31.5) -16.2 Underlying EBITDA Aust. 4.7 10.0 +5.3
Slide 11: Annual Shareholders' Meeting
For personal use only Annual Shareholders’ Meeting 27 June 2022
Slide 12: Questions
Questions For personal use only • Management and Operations
Slide 13: Resolution: auditor fees
Resolution 1 For personal use only • That the Board be authorised to fix the fees and expenses of the auditor of Evolve for the coming year. Proxy and postal votes received (as of 25 June 2022): • For – 70,129,339 shares representing 99.34% of the votes cast • Against – 235,727 shares representing 0
Slide 14: Resolutions 2, 3 and 4
Resolutions 2, 3 and 4 For personal use only Chris Scott, Chris Sacre and Hamish Stevens were appointed by shareholders on 18 September 2019, and are now required to retire in accordance with NZX Listing Rule 2.7.1, which prohibits a director from holding office (without re-election) for longer than
Slide 15: Resolution: re-elect Chris Scott
Resolution 2 For personal use only • That Chris Scott be re-elected as a director of the Company Proxy and postal votes received (as of 25 June 2022): • For – 70,237,373 shares representing 99.49% of the votes cast • Against – 133,854 shares representing 0.19% of the votes cast • Open – 226,573 shar
Slide 16: Resolution: re-elect Chris Sacre
Resolution 3 For personal use only • That Chris Sacre be re-elected as a director of the Company Proxy and postal votes received (as of 25 June 2022): • For – 70,254,619 shares representing 99.52% of the votes cast • Against – 115,563 shares representing 0.16% of the votes cast • Open – 226,573 shar
Slide 17: Resolution: re-elect Hamish Stevens
Resolution 4 For personal use only • That Hamish Stevens be re-elected as a director of the Company Proxy and postal votes received (as of 25 June 2022): • For – 70,161,470 shares representing 99.38% of the votes cast • Against – 209,132 shares representing 0.30% of the votes cast • Open – 226,573 s
Slide 18: Conclusion of Resolutions
Conclusion of Resolutions For personal use only • Vote online – for the next 5 minutes • Results to the NZX later today
Slide 19: Thank you
Thank you For personal use only • Thank you for attending our Annual Shareholders Meeting
Embark Early Education — Shareholder Meeting (June 2022) on 6ix