Van Elle Holdings Plc · LSE:VANL
Van Elle — FY2021 Earnings Presentation
21 slides from Van Elle's earnings presentation, August 2021
Slide 1: Total Foundation Solutions – Full Year Results 30 April 2021
TOTAL FOUNDATION SOLUTIONS. VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 2: Agenda
Agenda THE RESULTS Overview UK’S LARGEST GEOTECHNICAL Financial review Strategy and outlook ENGINEERING CONTRACTOR 2 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 3: Results Overview
RESULTS Overview • Resilient trading performance with revenues flat compared to FY20 (£84.4m) • COVID impact, market volatility and seasonal factors impacted Q1-Q3 • Market recovery towards the end of Q4 saw trading returning to pre-pandemic levels • All divisions, except Rail, operating at near cap
Slide 4: Group income statement
Group income statement 2021 2020 • Revenue flat compared to FY20, despite significant impact of £m £m Revenue 84.4 84.4 COVID-19 Gross profit 22.0 22.6 • Strong market recovery in Q4 with all divisions, except Rail, 26.1% 26.7% operating a near-capacity by the year-end Underlying operating loss (0.6
Slide 5: Non-underlying items
NON-UNDERLYING ITEMS 2021 2020 £m £m Underlying operating loss (0.6) (0.3) Non-underlying items: Share-based payments (0.2) (0.1) Acquisition costs for ScrewFast (0.1) - Other prior year items - (1.2) Reported operating loss (0.8) (1.6) Note: Prior year non-underlying items included restructuring co
Slide 6: General Piling
General Piling 2021 2020 £m £m Revenue 27.3 29.3 Underlying operating profit/(loss) 0.3 (0.9) • Revenue contracted by 7%, suffering from market uncertainty and the significant impact of COVID-19 • Lower utilisation of large diameter rotary and CFA piling rigs which are higher margin techniques • Mor
Slide 7: Specialist Piling & Rail
Specialist Piling & Rail 2021 2020 £m £m Revenue 29.3 25.4 Underlying operating profit/(loss) 1.0 0.3 • 15% revenue growth, despite subdued on-track Rail activity • Strong performance in the infrastructure sector including a presence on five Smart Motorway projects and several rail station enhanceme
Slide 8: Ground Engineering Services
Ground Engineering Services 2021 2020 £m £m Revenue 27.6 29.6 Underlying operating profit/(loss) 0.2 0.2 • Revenue decreased by 7% due to the significant impact of the first COVID-19 lockdown on housebuilding activity with all sites closed in Q1 • Strong recovery of Housing revenues as construction
Slide 9: Balance Sheet
Balance SHEET 2021 2020 £m £m • Fixed assets increase includes £2.4m goodwill on Fixed assets (including intangible assets) 42.8 40.9 acquisition of ScrewFast Net working capital 6.9 3.7 • Working capital increase primarily due to the Assets held for sale - 0.7 unwind of working capital decrease in
Slide 10: Net Funds
NET FUNDS 2021 2020 £m £m Bank loans (0.8) - Lease liabilities: £m Lease liabilities (9.4) (11.3) Lease liabilities at 30 April 2020 11.3 Total borrowings (10.2) (11.3) Hire purchase debt repaid (3.9) Cash and cash equivalents 8.5 12.2 Hire purchase debt (ScrewFast acquisition) 0.5 Net (debt)/funds
Slide 11: Cash flow
Cash flow Primarily reversal of working capital decrease prior to 30 April 2020 Capital expenditure offset by disposal of Dereham property and other asset disposals Reduction in HP liabilities Purchase of ScrewFast, net of cash acquired 11 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 12: Strategic Progress
STRATEGIC PROGRESS • Appointment of Group Commercial Director has strengthened governance and risk management • Rail divisional director appointed in anticipation of increased customer activity and future workload • Reviewed investment in the rig fleet to ensure that capability is strengthened in hi
Slide 13: Current Trading and Outlook
Current Trading and Outlook • Positive start to FY22 with strong first quarter trading • Increased tendering opportunities and greater pipeline visibility for the Rail division, which supports an encouraging mid-term outlook • Some supply chain challenges with cement, concrete, and steel pricing and
Slide 14: FY21 Review
FY21 REVIEW 14 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 15: FY21 Review
FY21 REVIEW 15 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 16: FY21 Review
FY21 REVIEW 16 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 17: Statistics
Statistics 2021 2020 2019 Financial measures Revenue (£m) 84.4 84.4 88.5 Gross profit % 26.1% 26.8% 31.8% Overheads % (underlying) 27.4% 28.5% 25.9% Capital expenditure (£’m) 2.1 2.4 2.4 Operational measures Number of rigs 115 118 115 Average rig utilisation %* 51% 43% 43% Average rig utilisation %
Slide 18: Q&A
Q&A 18 VAN ELLE HOLDINGS PLC FULL YEAR RESULTS 30 APRIL 2021
Slide 19: Well positioned in strong end markets
Well positioned in strong end markets Revenue by sector Diverse customer base Positive long term dynamics Medium term financial targets • Structural housing shortage Residential • Social and affordable housing • Residential for rent 5-10% 44% • Off-site/modular solutions • Standardised construction
Slide 20: Strategic actions are strengthening the business
Strategic actions Are strengthening the business Simplified structure, strengthened leadership, employee engagement and development 1 Improving Enhanced operational performance, safety & quality and asset utilisation performance Stronger commercial controls, clarity of compliance and governance/risk
Slide 21: Disclaimer
Disclaimer This presentation has been prepared by or on behalf of Van Elle Holdings plc (“Van Elle”). The information set out in this presentation is By attending the presentation to which this document relates and/or by accepting this document you will be taken to have represented, not intended to