Count Limited · ASX:CUP
Count — Countplus — Shareholder Meeting (November 2013)
36 slides from Count's shareholder meeting presentation, Nov 12, 2013
Slide 1: Countplus Limited Annual General Meeting
For personal use only Countplus Limited Annual General Meeting 12 November 2013 Contact: Barry Lambert, Executive Chairman barry.lambert@countplus.com.au or (02) 8272 0212 Michael Spurr, Managing Director michael.spurr@countplus.com.au or (02) 8272 0293
Slide 2: Chairman's Address
For personal use only Chairman’s Address Barry Lambert
Slide 3: AGM Agenda
AGM Agenda For personal use only Introductions Financial Summary Profit Guidance Dividend Policy Liquidity AGM Resolutions CEO Address Q&A 3
Slide 4: Executive Directors
Executive Directors For personal use only Philip Rix Michael Spurr Executive Director & Managing Director & CEO Bentleys WA Principal 4
Slide 5: Non-Executive Directors
Non-Executive Directors For personal use only David Smith Don Sharp Graeme Fowler Independent Non-Executive Director Non-Executive Director Independent Non-Executive Director Acquisitions Committee Chair Risk & Compliance Committee Chair Board Audit Committee Chair Subject to re-election 5
Slide 6: Company Secretarial, Auditors & Lawyers
Company Secretarial For personal use only Auditors & Lawyers Ernst & Young Mark Raumer Stephane Sega Addisons Lawyers Jeff Mansfield Li Jean Chew Arlette Jubian Company Secretary Belle Jing 6
Slide 7: Financial Results 2013 v 2012
Financial Results 2013 v 2012 2013 2012 % Change For personal use only $ ‘000 $ ‘000 Total Net Member Revenue 93,666 90,378 3.6% Net Income Member Firms 20,153 19,514 2.6% Operating Profit (EBITA) 19,737 19,217 2.0% Profit before Tax 14,971 14,983 0% Consolidated Net Profit after Tax 11,083 11,310 (
Slide 8: Profit Guidance
Profit Guidance 1st profit guidance For personal use only Actual result may vary to guidance Expect to achieve a normalised EPS growth of slightly under 10% in 2013/14 Due to a one off (non-recurring) CBA loyalty payment due to be made in FY2014, expect to achieve EPS growth of around 20% in
Slide 9: Dividend History & Guidance
Dividend History & Guidance For personal use only Financial Franking Status Cents Per Share Payment Date Year Ended 2011 Fully Franked Paid 2.0 (per fully paid share) 15 August 2011 2012 Fully Franked Paid 3.0 (per fully paid share) 15 November 2011 2012 Fully Franked Paid 3.0 (per fully paid share)
Slide 10: Dividend Policy
Dividend Policy For personal use only Countplus Prospectus indicated an intention for dividend pay-out ratio to be within 50-70% Due to strong cash position, 2013 annual dividend guidance is for 12c which will exceed this range for the Y/E 2014 High non-cash amortisation expense means the pay-
Slide 11: Liquidity
Liquidity For personal use only The remaining shares in escrow since listing will be released on 22 December 2013 Turnover likely to further increase in 2014. 11
Slide 12: AGM Resolutions
For personal use only AGM Resolutions Barry Lambert
Slide 13: Resolution 1: Financial Statements & Reports
Resolution 1: Financial Statements & Reports These Statements & Reports are incorporated in the For personal use only Directors Report. The vote on this resolution is advisory only and does not need to be formally adopted by the meeting. Any questions can be addressed to the CEO at the end of
Slide 14: Resolution 2: Adopt Remuneration Report
Resolution 2: Adopt Remuneration Report This Report is incorporated in the Directors Report of For personal use only the Annual Report The vote on this resolution is advisory only and does not bind the Directors of the Company. % of all Vote Type Voted % securities For 15,684,610 93.55 14.24 Aga
Slide 15: Resolution 3: Re-election of Barry Lambert
Resolution 3: Re-election of Barry Lambert For personal use only This will be addressed by CEO Michael Spurr. Barry Lambert Executive Chairman 15
Slide 16: Resolution 4: Re-election of David Smith
Resolution 4: Re-election of David Smith For personal use only % of all Vote Type Voted % securities For 11,461,529 64.06 10.41 Against 5,681,350 31.75 5.16 Open-Usable 748,777 4.19 0.68 Open Cond 0 0.00 0.00 Open 0 N/A 0.00 Unusable Abstain 4,079,729 N/A 3.70 Excluded 0 N/A 0.00 David Smith Non-Exe
Slide 17: Resolution 5: Renewal of Proportional Takeover Provisions
Resolution 5: Renewal of Proportional Takeover Provisions in Constitution To consider and, if thought fit, to pass the following resolution as a special For personal use only resolution: “That, pursuant to section 648G of the Corporations Act 2001 (Cth), the proportional takeover approval provisions
Slide 18: Chairman's Address
For personal use only Chairman’s Address Barry Lambert
Slide 19: Chief Executive Officer Address
For personal use only Chief Executive Officer Address Michael Spurr
Slide 20: Resolution 3: Re-election of Barry Lambert
Resolution 3: Re-election of Barry Lambert For personal use only % of all Vote Type Voted % securities For 16,252,654 90.79 14.76 Against 1,008,425 5.63 0.92 Open-Usable 640,577 3.58 0.58 Open Cond 0 0.00 0.00 Open 0 N/A 0.00 Unusable Abstain 4,069,729 N/A 3.70 Excluded 0 N/A 0.00 Barry Lambert Exec
Slide 21: Countplus Member Firms
Countplus Member Firms For personal use only 20
Slide 22: Full Year Result Highlights
Full Year Result Highlights For personal use only Financials Operating Result (EBITA): $19.74 million (up 2%) 2 3 Net Income for Member Firms: $20.15 million (up 3%) Net Profit after Tax: $11.08 million (down 2%) Net Profit after Tax attributable to shareholders: $10.92 million 21
Slide 23: Group Performance – Member Firms
Group Performance – Member Firms 2013 2012 2013 2012 % Change Accounting For personal use only $ ‘000 % of revenues up 2% Total Revenue Total Net Member Revenue 93,666 90,242 100% 3.6% 11.28% Financial planning up 5% Expenses: Salaries and Employment (51,698) (56,741) (57.29%) (60.6%) Property & rel
Slide 24: Group Performance
Group Performance 2013 2013 % Change Head Office is For personal use only $ ‘000 % of Total expected to only Revenue have a mildly Net Income Member Firms 20,153 21.5% 2.6% negative financial impact on CUP’s Head Office Contribution (net cost) (902) 1.0% 214% performance moving forward Share of Prof
Slide 25: Balance Sheet
Balance Sheet For personal use only 2013 % Net debt has $ ‘000 Change increased from $2.4m last year Current Assets 35,172 16.3% due to acquisitions Non-Current Assets 66,454 2.6% payments but remains low Total Assets 101,626 7.0% Current Liabilities 22,126 (1.4%) Non-Current Liabilities 27,515 44.9
Slide 26: Countplus Member Firms
Countplus Member Firms For personal use only 20
Slide 27: Group Goals
Group Goals Deliver consistent profit growth For personal use only Acquirer of choice for quality accounting and wealth advice businesses Over time, build recognition as an employer of choice for aspiring young professionals/managers in the industry. Cooper Reeves (Brisbane, QLD) Evolution (Hu
Slide 28: Advantages of Joining Countplus
Advantages of Joining Countplus Enabling businesses to be part of an established ASX listed For personal use only company (ASX: CUP) or potentially a new ASX listed company (“C+2”); A regular income stream (quarterly franked dividends); Access to the expertise of the wider Countplus Network;
Slide 29: Becoming involved in Countplus
Becoming involved in Countplus 1. Building a high performance firm – subscribing to For personal use only ChangeGPS (www.changegps.com.au); 2. For smaller businesses - “Tuck-in” sale by Countplus Member Firms; 3. For larger businesses - Progressive acquisition & potential ASX listing. My Accounts (B
Slide 30: "C+2"
“C+2” Enhancement of existing progressive acquisition strategy; For personal use only Proposed listing of a new accounting only vehicle; Targeting firms with $2m Net Profit before Tax at listing; CUP will take initial interest of 30% of accounting firm; Principals can then sell down up to
Slide 31: Recent Acquisitions / Investments
Recent Acquisitions / Investments Date Acquirer Acquisition / “Tuck-In” For personal use only Jul 2012 Kidmans Partners Assets of Victorian regional based accounting firm Dyason & (Melbourne, VIC) Associates Oct 2012 Countplus Limited 25% of Adelaide based professional services firm Hood Sweeney Jan
Slide 32: Equity Rewards
Equity Rewards Countplus intends to continue to reward employee loyalty For personal use only and performance through equity. The third grant of Employee Loyalty Shares were issued in March 2013. A loan funded share equity plan has also commenced to reward key employees of Member Firms who rea
Slide 33: Super-IP / Class Super
Super-IP / Class Super In July 2013 Countplus announced a strategic investment of For personal use only $2.15 million (an approximate 4% interest) in Super-IP. Super-IP is the owner of Australia’s fastest growing Self- Managed Superannuation Fund (SMSF) software administration system - Class Sup
Slide 34: Future Growth
Future Growth For personal use only Group Efficiency - Member Firms learn from each other and develop best practice - Cost synergies (limited) - Group specialisation Acquisition - Accounting franchise - Carefully targeted - Must be EPS accretive - May take form of “tuck-ins” by existing Member Firms
Slide 35: Question Time
For personal use only Question Time
Slide 36: Countplus Limited Annual General Meeting
For personal use only Countplus Limited Annual General Meeting 12 November 2013 Contact: Barry Lambert, Executive Chairman barry.lambert@countplus.com.au or (02) 8272 0212 Michael Spurr, Managing Director michael.spurr@countplus.com.au or (02) 8272 0293