Southern Cross Electrical Engineering Limited · ASX:SXE
Southern Cross Electrical Engineering — Euroz Rottnest Island Conference 2020
21 slides from Southern Cross Electrical Engineering's conference presentation, Mar 11, 2020
Slide 1: Euroz Rottnest Island Conference 2020
For personal use only Euroz Rottnest Island Conference 2020 11 March 2020 1
Slide 2: About SCEE
About SCEE E&I Contractor Southern Cross Electrical Engineering (SCEE) is an ASX listed electrical, instrumentation, communication For personal use only and maintenance services company recognised for our industry leading capabilities Combination Established in 1978 in WA, the combination in 2016 wi
Slide 3: Highlights
Highlights Financial Operational Outlook For personal use only Record half year revenue of $230.3m Commercial and infrastructure remain On track to exceed FY20 revenue up 27% on PCP as largest revenue contributors forecast of over $420m EBITDA of $10.9m up 21%, EBIT of Resources activity at low leve
Slide 4: Record half year revenues
Record half year revenues Revenue of $230.3m a record for half year and up 26.7% on PCP Summary financials: For personal use only Significant contributors included Westconnex M5 tunnels, HY20 HY19 Chg. % various Parramatta Square buildings and fit outs, RAAF Tindal, Westmead Hospital and NBN roll-ou
Slide 5: Revenue by sector
Revenue by sector Infrastructure still largest sector followed by commercial For personal use only Resources declined as forecast but starting to grow again with recent significant project wins HY19 HY20 $182m $230m $12m $7m $9m $53m $20m $88m $20m Commercial Public infrastructure & defence Resource
Slide 6: Revenue by geography
Revenue by geography New South Wales remains very strong For personal use only Western Australia and Queensland fallen back with resources decline but now growing again HY19 HY20 $182m $230m $2m $4m $9m $10m $9m $31m $80m $40m New South Wales & ACT Western Australia Queensland Northern Territory Vic
Slide 7: Strong balance sheet
Strong balance sheet Balance sheet summary: For personal use only Cash remained at same level in period with $53.3m at 31 December 2019 (30 June 2019: $53.3m) No debt Dec 19 Jun 19 New leasing standard AASB 16 adopted on 1 July 2019 $m $m Resulted in recognition of $5.6m of right of use assets and $
Slide 8: Operating cash inflows
Operating cash inflows Cash remained at same level in period with small working capital outflow and $6.5m paid to Heyday vendors for final earn out payment For personal use only FY19 final dividend paid with underwritten Dividend Reinvestment Plan No interim dividend declared while conserving cash t
Slide 9: Order book by sector
Order book by sector Order book of $440m remains at similar level to start of period despite record amount of activity For personal use only Includes over $250m of work already secured for FY21 Resources component of order book starting to grow again following recent project announcements Order book
Slide 10: Strategy and sector outlooks
For personal use only Strategy and sector outlooks 10
Slide 11: Leading national diversified electrical contractor
Leading national diversified electrical contractor QLD For personal use only WA NT Commercial RAAF Tindal Rio Tinto Amrun Resources Rio Tinto - Cape Lambert, Dampier Rio Tinto Gove Arrow MSA EIR, Tom Price, Paraburdoo, Ergon Energy Agreement Public Infrastructure & defence ERA Ranger Mine MSA Brockm
Slide 12: Strategy
Strategy SCEE primarily sees itself as an electrical contractor For personal use only Historically focussed in resources, over the last four years we implemented a strategy to diversify into commercial, infrastructure, defence, telecommunications, industrial, energy and utilities work Our growth str
Slide 13: Public infrastructure and defence
Public infrastructure and defence Infrastructure SCEE’s largest sector for revenue in FY19 and remains so in Infrastructure revenue: For personal use only this period HY20 HY19 Sector primarily driven by government expenditure. Significant investment sanctioned, with peak activity to come and electr
Slide 14: Pitt Street Station
Pitt Street Station Sydney Metro is Australia's biggest public transport project For personal use only SCEE’s first award is for $40m of electrical services from CPB Contractors at Pitt Street Station Completion due second quarter 2023 Scope is for design and construction of electrical services for
Slide 15: Commercial
Commercial Commercial largest component of SCEE order book Commercial revenue: For personal use only Multiple base-builds and fit-outs in Sydney and Canberra HY20 HY19 with eleven projects contributing at least $4m of revenue each in period. $m $m Revenue 88.0 52.6 Most significant contributors were
Slide 16: Resources
Resources As forecast resources activity at low level in period as Wheatstone LNG Resources revenue: completed in H2 FY19 and no other significant construction For personal use only opportunities replaced it HY20 HY19 Significant resources wins announced at end of period particularly at $m $m Kemert
Slide 17: Telecommunications and data centres
Telecommunications and data centres Sector revenue increased as data centre projects awarded in May Telco revenue: For personal use only 2019 ramped up HY20 HY19 NBN construction roll-out passing peak nationally but works $m $m continued in WA, QLD and VIC Revenue 20.3 12.1 Commenced first NBN maint
Slide 18: Industrials, energy & utilities
Industrials, energy & utilities Sector stable and tendering variety of industrial projects Industrials revenue: For personal use only Agnew wind farm electrical works performing successfully in WA HY20 HY19 Still pipeline of opportunities for SCEE for electrical construction $m $m portion of renewab
Slide 19: Conclusion and outlook
Conclusion and outlook • Record half year revenue of $230.3m up 27% on PCP For personal use only • EBITDA of $10.9m up 21%, EBIT of $8.4m up 22% and NPAT of $5.5m up 24% on PCP due to continuing growth in infrastructure and commercial activity • Balance sheet remains strong with total cash of $53.3m
Slide 20: Corporate summary
Corporate summary For personal use only Capital Structure Shareholders at 31 January 2020 ASX Code SXE Thorney Investments 18.5% Share Price (20 February 2020) 62.0c First Sentier Investors 8.4% No. of ordinary shares 247.6m Other Institutions 29.7% Market Capitalisation (20 February 2020) $153.5m F
Slide 21: Disclaimer
Disclaimer Some of the information contained in this presentation given in this presentation is given for illustrative purposes only For personal use only contains “forward-looking statements” which may not directly and should not be relied upon as (and is not) an indication of or exclusively relate
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