K & S Corporation Limited · ASX:KSC
K & S — FY2013 Earnings Presentation
20 slides from K & S's earnings presentation, Sep 10, 2013
Slide 1: FY 2013 Results Presentation
For personal use only FY 2013 Results Presentation September 2013 1
Slide 2: Disclaimer
For personal use only Disclaimer Despite anything stated in this notice or elsewhere in the document, none of the information (whether considered separately or together) constitutes an offer, invitation, solicitation, advice or recommendation with respect to the issue, purchase or sale of any shar
Slide 3: FY 2013 Results Presentation
For personal use only FY 2013 Results P Presentation t ti 3
Slide 4: For personal use only
For personal use only 4
Slide 5: FY2013 Highlights
For personal use only FY2013 Highlights • Revenue growth of 1.8% to $564.6 million • Profit after tax of $15.9 million • Strong performance by Western Australian business • Acquires Collare Transport in Western Australia • Generates record operating p g cashflow of $46.4 million • Balance Sheet furt
Slide 6: FY2013 Results
For personal use only FY2013 Results We have seen two distinctly different half years:- • The first half we had extremely strong demand for logistics and transport services particularly p y in the resources sector. • Demand from manufacturing was at a consistent level. • In the second half we have s
Slide 7: FY2013 Results
For personal use only FY2013 Results During the difficult second half we continued to review our cost base and reduced our variable costs. Subcontractor costs, casual labour and overtime have been reduced. We implemented a freeze on new employment as a measure to reduce costs. Capital expend
Slide 8: Full Year Result
For personal use only Full Year Result Full Year ended 30 June 2013 H1 H2 Total Revenue ($m) 293.5 271.1 564.6 EBITDA ($m) 29.3 22.2 51.8 EBITDA margin i 10 0% 10.0% 8 3% 8.3% EBIT ($m) 16.7 10.9 27.6 EBIT margin 5.7% 4.0% Less Net Interest ($ ($m)) ((2.8)) ((2.5)) Net Profit Before Tax ($m) 13.9 8.
Slide 9: Full Year Result
For personal use only Full Year Result Full Year ended 30 June 2013 2012 Variance Revenue ($m) 564.6 554.8 1.8% EBITDA ($m) 51.8 54.7 (5.3%) EBITDA margin i 9 2% 9.2% 9 9% 9.9% EBIT ($m) 27.6 30.3 (8.9%) EBIT margin 4.9% 5.5% Less Net Interest ($ ($m)) ((5.3)) ((6.9)) Net Profit Before Tax ($m) 22.3
Slide 10: 2013 Segment Performance
For personal use only 2013 Segment Performance Australian New Zealand Full Year ended 30 June 2013 Transport Fuels Transport Revenue ($m) 481.6 63.4 19.4 EBITDA ($m) 47.7 1.1 3.0 EBITDA margin 9.9% 1.7% 15.5% EBIT ($m) 26.0 1.1 0.6 EBIT margin 5.4% 1.7% 3.1% Less Net Interest ($m) (4.8) ‐ (0.5) Net
Slide 11: Balance Sheet Summary
For personal use only Balance Sheet Summary As at ($m) 30 June 2013 30 June 2012 Cash and equivalents 15.9 21.0 Receivables 64.1 73.2 Inventories 3.0 2.9 Other 5.3 5.2 • Gearing within target Total Current Assets 88.3 102.3 range at 17.6%. p y, Plant & Equipment Property, q p 234.8 219.4 Intangibles
Slide 12: Dividend Summary
For personal use only Dividend Summary • Final dividend of 4.5 cents per share: – Record date for interim dividend is 17 October 2013. – Final dividend payable on 31 October 2013. • DRP remains active with a 2.5% price discount. 12
Slide 13: 10-Year Dividend Payment History
For personal use only 10 Year Dividend Payment History 10-Year Cents per share 16 14 12 8 7 7 7 10 7 5 Final 4.5 Interim 8 6 6 5 6 4 8 7 7 7 7 7 6.5 5 5 5 2 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 13
Slide 14: Key Customers
For personal use only Key Customers • K&S has a large and diversified customer base. 14
Slide 15: K&S Nationwide
For personal use only K&S Nationwide • K&S operates extensively throughout g Australia and New Zealand. 15
Slide 16: Safety
For personal use only Safety • Safety remains a key part of everything we do at K&S and will be achieved by continuously improving compliance levels by updating, enhancing refreshing the current safety cultural behaviour enhancing, programme. • Our self insurance licence is in place until 30th June
Slide 17: Our Safety Target Remains Zero Harm
For personal use only Our Safety Target Remains Zero Harm Lost Time Injuries (LTI) per Financial Year 80 70 60 50 of LTIFR's 40 Number o 30 20 10 0 1997/19981998/19991999/20002000/20012001/20022002/20032003/20042004/20052005/20062006/2007 2007/20082008/20092009/20102010/2011 2011/20122012/2013 LTIFR
Slide 18: Looking Forward
For personal use only Looking Forward • We will continue to grow the business through: – Organic growth – Tenders – Acquisitions • The outlook for the domestic economy continues to look challenging challenging. • Providing earnings guidance at this time remains a difficult task. • The lower A$ and m
Slide 19: Looking Forward
For personal use only Looking Forward • We are well placed with a strong Balance Sheet, low gearing and secure customer contracts. • O Opportunities t iti forf potential t ti l acquisitions i iti will ill also l b be closely l l evaluated l t d where it makes strategic sense. • We have recently won
Slide 20: K&S Contacts
For personal use only K&S Contacts Mr Greg Stevenson Managing Director Ph: 03 8744 3501 greg.stevenson@ksgroup.com.au Mr Bryan Walsh Chief Financial Officer Ph: 0402 899 889 bryan walsh@ksgroup com au bryan.walsh@ksgroup.com.au 20