Dgl Group Limited · ASX:DGL
Dgl — H1 FY2024 Earnings Presentation
18 slides from Dgl's earnings presentation, Feb 27, 2024
Slide 1: DGL Group Limited H1 FY2024 Results Presentation
DGL GROUP LIMITED H1 FY 2024 RESULTS PRESENTATION Tuesday, 27th February 2024
Slide 2: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER NO RELIANCE FORWARD LOOKING STATEMENTS The information contained in this document is not investment or financial product This document contains certain forward-looking statements and comments about future events. Forward advice and is not intended to be relied upon as
Slide 3: Providing Chemical & Industrial Services for Essential Industries
PROVIDING CHEMICAL & INDUSTRIAL SERVICES FOR ESSENTIAL INDUSTRIES DGL PROVIDES SPECIALISED CHEMICAL MANUFACTURING, TRANSPORTATION, LOGISTICS AND RECYCLING SERVICES TO A DIVERSE RANGE OF ESSENTIAL INDUSTRIES IN AUSTRALIA AND NEW ZEALAND INDUSTRIES PRODUCTS & SERVICES Automotive Manufacturing Agricult
Slide 4: H1 FY24 Financial Highlights
H1 FY24 FINANCIAL HIGHLIGHTS H1 FY24 Sales Revenue and Underlying EBITDA were steady on pcp despite some challenges in the first half SALES REVENUE ($m) UNDERLYING EBITDA1 ($m) • Crop Protection product sales impacted by forecast droughts that did not H2 H2 eventuate H1 248.8 H1 226.8 34.0 • Reduced
Slide 5: Financial Performance Highlights
FINANCIAL PERFORMANCE HIGHLIGHTS H1 FY24 (VS H1FY23) Underlying EBITDA1 $30.4m (+3%) • Underlying EBITDA of $30.4m increased 3% on the prior corresponding period • Solid Underlying Operating Cash Flow of $28.3m with Underlying Operating Cash Flow $28.3m (-6%) 93% cashflow conversion, back to more no
Slide 6: Ongoing Investment in Capacity and Capabilities
ONGOING INVESTMENT IN CAPACITY AND CAPABILITIES DGL has over 80 sites across Australia and New Zealand, providing Manufacturing, Warehousing, Transport, Environmental • DGL has built an extensive network of licensed and Global Logistics services premises across Australia and New Zealand • The networ
Slide 7: H1 FY24 Group Performance
H1 FY24 GROUP PERFORMANCE $Am H1 FY24 H1 FY23 % Variance • Overall group sales were stable, balancing isolated impacts from Sales revenue 217.0 217.2 (-%) drought forecasts and supply chain issues Cost of sales (119.7) (137.8) Gross Profit 97.3 79.4 23% • We are seeing positive indications that thes
Slide 8: H1 FY24 Segment Revenue
H1 FY24 SEGMENT REVENUE1 Chemical Manufacturing Logistics Environmental Services +26% +61% +4% CAGR CAGR CAGR 133.7 67.4 52.6 122.6 50.8 76.7 41.5 26.0 46.7 H1 FY22 H1 FY23 H1 FY24 H1 FY22 H1 FY23 H1 FY24 H1 FY22 H1 FY23 H1 FY24 • Crop protection products impacted by forecast • Warehousing demand is
Slide 9: Balance Sheet and Commentary
BALANCE SHEET AND COMMENTARY $Am H1 FY24 FY23 % Variance • Net working capital ($63.2 million) increased on 30 June 2023 balance ($56.4 Cash & cash equivalents 21.2 36.9 million) Trade and other receivables 55.4 52.4 Inventories 43.8 37.4 • Inventories increased $6.4million, reflective of late order
Slide 10: Cash Flows and Commentary
CASH FLOWS AND COMMENTARY $Am H1 FY24 H1 FY23 • Operating cash flow of $19.3 million (-21% vs. pcp), with the pcp reflecting CASH FLOWS FROM OPERATING ACTIVITIES cash inflows from the tail end of the non-recurring earnings in FY22 Receipts from customers 237.3 233.6 Payments to suppliers and employe
Slide 11: Health, Safety, Environment & Quality
HEALTH, SAFETY, ENVIRONMENT & QUALITY HSEQ REMAINS DGL’S NUMBER ONE PRIORITY Integrated Management System 1 H1 FY24 Group LTIFR of 6.2 2 Licence & Accreditation Portfolio More than 20 years of accumulated IP and licenses to ensure HSEQ Health and Safety Quality Management Environmental standards. Be
Slide 12: H1 FY24 Achievements
H1 FY24 ACHIEVEMENTS INCREASED CROSS SELLING INVESTMENT IN CAPITAL ACHIEVE FURTHER ECONOMIES TARGETED ACQUISTIONS BETWEEN SEGMENTS PROJECTS OF SCALE ● Further integration of ● Ongoing investment in ● Dedicated group-wide ● Three business and asset companies purchased since property, plant, fleet, an
Slide 13: DGL Group Growth Strategy
DGL GROUP GROWTH STRATEGY DGL has a clear focus on its core business of providing specialised chemical products and services to essential industries in Australia and New Zealand Established in 1999, and following its IPO in May 2021, DGL has combined strategic acquisitions with organic growth to bui
Slide 14: Trading Update and H2 Outlook
TRADING UPDATE AND H2 OUTLOOK TRADING UPDATE • We see the FY24 year as one of transition as we return to a more normal growth trajectory after the over-ordering demand peaks and supply chain disruptions driven by COVID and other recent factors • We are seeing stronger volumes early in the current ha
Slide 15: Investment Highlights
INVESTMENT HIGHLIGHTS DGL GROUP PROVIDES ESSENTIAL CHEMICAL AND INDUSTRIAL SERVICES TO A DIVERSE RANGE OF INDUSTRIES IN AUSTRALIA, NEW ZEALAND AND BEYOND Growing recognition by the chemical industry of DGL's capabilities and range of services Integrated service offering across increasingly diversifi
Slide 16: Appendix
APPENDIX dglgroup.com
Slide 17: Appendix: Summary Income Statement
APPENDIX Summary Underlying Statutory Underlying Income Statement (A$m) FY24 Adj FY24 Sales revenue 217.0 - 217.0 Cost of sales (119.7) - (119.7) Gross profit 97.3 - 97.3 Other Income 0.7 - 0.7 Overhead expenses (68.2) 0.6 (67.6) Acquisition costs (1.5) 1.5 -- EBITDA 28.3 2.1 30.4 Depreciation and a
Slide 18: Thank you
• Manufacturing • Warehousing • Transport • Environmental Services • Global Logistics Thank you. CONTACT: Barbara Furci (DGL Group Limited) info@dglgroup.com +61 487 962 595 dglgroup.com