Wagners Holding Co. Ltd. · ASX:WGN

Wagners — H1 FY2023 Earnings Presentation

17 slides from Wagners's earnings presentation, Feb 23, 2023

  1. Slide 1: Investor Presentation for Half Year ending 31 December 2022

    ►CONSTRUCTION MATERIALS HEAD OFFICE: ►TRANSPORT SERVICES 11 BALLERA COURT ►CEMENT, FLYASH & LIME WELLCAMP QLD 4350 ►PRECAST CONCRETE ►REINFORCING STEEL POSTAL ADDRESS: ►COMPOSITE FIBRE TECHNOLOGIES PO BOX 151 DRAYTON NORTH QLD 4350 ►EARTH FRIENDLY CONCRETE INT. PREFIX STD PREFIX NUMBER TELEPHONE: (6

  2. Slide 2: Wagners 1H FY23 Results Presentation

    WAGNERS 1H FY23 RESULTS PRESENTATION

  3. Slide 3: [Se] — — a | — — — on Wl = Li. — TT"

    [Se] — — 4 a | — — — on Wl = Li. — TT"

  4. Slide 4: Highlights

    • Highlights • Strong revenue increases across both CMS and CFT Revenue $220m 28% 1H FY22 • Challenges $4.2m • Margin pressures in concrete • Slower ramp up of precast project • Delayed commissioning of CFT automated EBIT 60% 1H FY22 processing line • Lower than expected sales and margins in USA CFT

  5. Slide 5: Construction Materials and Services: revenue of $191 million

    • Revenue of $191 million – 25% increase on 1H FY22 • EBIT $14.2 million (1H FY22: $18.6m) • Positives • 20% increase in cement sales • Increased sales across business • Commencement of new bulk haulage projects • Challenges • Major precast tunnel segment project impacted by slow ramp up • Flat conc

  6. Slide 6: Composite Fibre Technologies Financial Performance

    • Financial Performance • Revenue $28.4 million - 54% increase in sales • EBIT loss of -$1.8million (1H FY22 profit: $0.4m) • Australia / New Zealand • Strong sales across business • Crossarm margins impacted by increased input costs and inefficient manufacturing • Custom build impacted by legacy lo

  7. Slide 7: Earth Friendly Concrete Highlights

    • Highlights • Working on additional use cases and improved applications • Continuation of approval processes with a focus on UK and Europe • Commitments from customers to adopt EFC technology • Challenges • Watch points • Increased expenses with UK/Europe expansion • Sales take up • Delayed commiss

  8. Slide 8: Performance

    PERFORMANCE

  9. Slide 9: Revenue increases in both volumes and sell prices across most business units

    ($m) 1H FY23 1H FY22 Change 2H FY22 Change • Revenue increases in both volumes and sell prices across most business units Operating Revenue 219.8 172.2 47.6 166.3 53.5 Gross Profit 112.1 94.9 17.2 90.0 22.1 • Direct cost increases across most 51% 55% -4% 54% -3% imported manufacturing costs, includi

  10. Slide 10: Cash flow is impacted by the lower EBITDA

    ($m) 1H FY23 1H FY22 Change 2H FY22 Change • Cash flow is impacted by the lower EBITDA 17.8 22.4 -4.5 19.8 -1.9 EBITDA, offset by no real movement in Changes in working capital 0.4 -11.7 12.1 -13.8 15.1 Finance costs -4.6 -5.8 1.2 -4.6 0.0 working capital Income tax paid -0.9 -0.7 -0.2 -0.7 -0.3 • C

  11. Slide 11: Castlereagh Quarry, QLD

    CASTLEREAGH QUARRY, QLD

  12. Slide 12: Construction materials and services demand to remain high

    • Construction materials and services demand to remain high with 2032 Olympics $7billion funding agreement to provide long term opportunities • Strong cement volumes expected to continue • Concrete volumes and margins to increase with improved market conditions • Major precast tunnel segment project

  13. Slide 13: Sales growth through new product lines and markets

    • Sales growth through new product lines and markets • Continued investment in new product development, innovation, and manufacturing capacity • Australia / New Zealand • Capacity and efficiency gains at Wellcamp facility will improve margins • Encouraging market for utility poles following first de

  14. Slide 14: USA

    • USA • Stage 1 of facility established • Business fully resourced to service market opportunities • Improved contribution expected for 2H FY23 • Encouraging signs with improved pipeline and secured forward orders 12

  15. Slide 15: 1H FY23 results below expectations

    • 1H FY23 results below expectations • Board and management’s focus on implementing immediate changes • Forecast FY23 EBIT - $14million to $16million • 1H FY2023 $4.2million • 2H FY2023 $9.8 to $11.8million • FY2023 $14 to $16million 13

  16. Slide 16: Disclaimer

    The material contained in this presentation is a summary of Wagners Holding Company Limited’s (Wagners) activities and results, current at the date of preparation, 22 February 2023. The information in this presentation is in summary form only, general in nature and does not purport to be complete. T

  17. Slide 17: Slide 17

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