Saunders International Limited · ASX:SND
Saunders International — Investor Presentation (August 2024)
36 slides from Saunders International's investor presentation, Aug 29, 2024
Slide 1: Investor Presentation for the year ended 30 June 2024
INVESTOR PRESENTATION For'the year ended 30 June 2024 29 August 2024 SAUNDER INTERNATIONAL ~~ a = An musta » multidisciplinary compan providing Engineering, Construction and z Industrial Asset Services Ss rt iN
Slide 2: Introductions
Introductions Acknowledgement of Country Mark Benson We acknowledge the Managing Director & Traditional Owners and Chief Executive Officer Custodians of Country throughout Australia. We pay our respects to all First Nations peoples Angelo De Angelis and acknowledge Chief Operating Officer Elders pas
Slide 3: About Us
About Us Saunders is a KEY MARKETS CORE CAPABILITIES multidisciplinary Engineering, Construction and Industrial Asset DEFENCE & GOVERNMENT 01 Bulk Fluid Storage Services company. Proudly Australian-owned 02 Structural, Mechanical and Piping ENERGY and operated since 1951. 03 Industrial Automation an
Slide 4: About Us
About Us 41 major projects in delivery (as at July 2024) 500+ Team of employees 8metropolitan and regional offices KEY strategically located across Australia, Office locations New Zealand, and Papua New Guinea Major projects in delivery 4 FY24 Investor Presentation
Slide 5: Performance Highlights
In FY24, we focused on the strategic evolution Performance Highlights and targeted growth of our multidisciplinary Revenue Adjusted EBITDA2 Adjusted EBITDA Margin2 offering, including leveraging our Piping $216.1m $21.3m 9.9% and Automation 7.6% (FY23 $200.9m) 17.7% (FY23 $18.1m adjusted) 9.6% (FY23
Slide 6: Major Projects Secured
Major Projects Secured $9.3 million $44.2 million Lytton Refinery Future Fuels Pelican Point Terminal diesel storage Desulphurisation project, QLD expansion, SA Client: Ampol Client: Quantem Announced: 6 July 2023 Announced: 31 July 2023 $17.7 million $31.5 million Water sector contracts Kalgoorlie
Slide 7: Additional Highlights
Additional Highlights ACQUISITION OF DIVESTMENT OF SAFETY FUTURE PIPING SOLUTIONS PRECAST OPERATIONS PERFORMANCE FOUNDATIONS This acquisition, effective Effective 30 April 2024, In FY24, we achieved a Our First Reconciliation from 31 October 2023, boosts SND’s Precast Operations in TRIFR12 metric of
Slide 8: Corporate Snapshot
Corporate Snapshot CAPITAL STRUCTURE SUBSTANTIAL SHAREHOLDERS AT 30 JUNE 2024 ASX Code SND NAOS Asset Management 24.02% Ordinary shares on issue 30 June 2024 116,821,531 Mr. Desmond Bryant 22.09% Share price as of 30 June 2024 81.0 cents Anacacia Pty Ltd 11.24% Market capitalisation 30 June 2024 $94
Slide 9: Financial Highlights
KEY Financial Highlights Statutory financial results Statutory financial results adjusted for the impact of business acquisition-related expenses REVENUE (A$M) EBITDA Adjusted (A$M) 250 25 216.1 21.3 7.6% 200.9 17.7% 200 Revenue Change 20 EBITDA Change 18.1 150 130.0 15 101.2 100 10 66.5 5.4 6.2 50
Slide 10: Orderbook Analysis
Orderbook Analysis ORDERBOOK (A$ million) SUSTAINABILITY RELATED ORDERBOOK Saunders remains well-positioned for 16% 250 long-term opportunities in our key markets: 201 Defence & Government, 200 193 189 Energy, Water and Resources & Industrials. 150 This is underpinned by 84% solid fundamentals, 110
Slide 11: Pipeline Analysis
Pipeline Analysis LIVE TENDER PIPELINE ($ billion) PIPELINE BY MARKET PIPELINE BY REGION 2% 2.5 2.0 13% 21% 5% 24% 24% 2.0 1.6 6% 1.5 1.3 14% 12% 26% 0.8 41% 12% 1.0 0.7 0.5 Defence & Resources & VIC NT SA Energy Water NSW WA QLD Government Industrials SOUTH 0.0 NATIONAL FY20 FY21 FY22 Jul-23 Jul-24
Slide 12: Delivering on Saunders' Strategy
Delivering on Saunders’ Strategy Client Focus Expanding our core Integrate and Simplify GEOGRAPHIC REACH CORE TOTAL PROJECT ADDRESSABLE VALUE CAPTURE MARKET Align service offerings with the unique Expand core capabilities through Integrate capabilities into a seamless requirements of key markets to
Slide 13: Market Outlook
Market Outlook DEFENCE & WATER ENERGY RESOURCES & GOVERNMENT INDUSTRIALS OUTLOOK Following delays from the Ongoing investment in water Continued expansion of bulk fluid Resources & Industrials are National Defence Review, infrastructure across metro and storage and transfer central to Saunders’ offe
Slide 14: Defence Opportunity Landscape
Defence Opportunity Landscape Defence funding will continue to grow over the next decade, with forecast spending Major Army & Airforce of $100b per annum by 2033-34 and base upgrades Major Airforce $765b between now and 2033-34. base upgrade Major Airforce base redevelopment $3.7b - $4.8b (circa $2.
Slide 15: Strategy In Action
Strategy In Action Larrakeyah Defence Precinct % OF PROJECT Fuel Infrastructure VALUE SMP (Marine) CAPTURED 01 Bulk Fluid Storage 24% Structural, Mechanical 02 & Piping 34% Industrial Automation 03 & Electrical 19% Value: $33.7 million Location: Darwin, NT Refer detailed project profile on page 24 o
Slide 16: Strategy In Action
Strategy In Action Western Sydney % OF PROJECT VALUE Airport CAPTURED 01 Bulk Fluid Storage 14% Structural, Mechanical 02 & Piping 45% Industrial Automation 03 & Electrical 18% 04 Civil Infrastructure 6% Value: $70.0 million. Location: Luddenham, NSW Refer detailed project profile on page 28 of this
Slide 17: Outlook
Outlook Positioned for further growth Bulk fluid storage and transfer specialist with limited direct opposition Increasing project size and addressable market from expanded multidisciplined capabilities Strong defence fuel credentials and track record positions us well for increased defence infrastr
Slide 18: Financials
APPENDIX 1 Financials 18 FY24 Investor Presentation
Slide 19: Statutory Income Statement
Statutory Income Statement A$000 FY24 FY23 % Revenue 216,079 200,886 7.6% KEY INSIGHTS Other Income 439 304 44.4% • Revenue growth of 7.5% driven by acquisitions of Piping Solutions (8 months revenue in FY24 Materials & third-party costs charged to projects (108,675) (115,078) (5.6%) from 31 October
Slide 20: Non-Statutory Adjusted Income Statement
Non-Statutory Adjusted Income Statement A$000 FY24 FY23 % Revenue 216,079 200,886 7.6% KEY INSIGHTS Other Income 439 304 44.4% In order to demonstrate the better underlying Materials and third-party costs charged to projects (108,675) (115,078) (5.6%) financial performance of the Group for FY24 and
Slide 21: Balance Sheet
Balance Sheet A$000 FY24 FY23 A$000 FY24 FY23 Current assets Current liabilities KEY INSIGHTS Cash and cash equivalents 19,807 12,833 Trade and other payables 28,194 25,727 • Improved cash and reduced contract Trade and other receivables 25,623 23,099 Contract liabilities 5,600 11,174 assets primari
Slide 22: Cash flow
Cash flow A$’000 FY24 FY23 KEY INSIGHTS Cash flows from Operating activities 19,321 (14,096) • Improved Operating Cash Flows were primarily driven by adjusted EBITDA of $21.3m Cash flows from Investing activities (5,491) (3,558) compared to gross operating cash flows of $26.6m representing 124% cash
Slide 23: Key Projects
APPENDIX 2 Key Projects 23 FY24 Investor Presentation
Slide 24: Larrakeyah Defence Precinct Fuel Infrastructure SMP (Marine)
PROJECT PROFILE DEFENCE & GOVERNMENT Larrakeyah Defence Precinct Fuel Infrastructure SMP (Marine) Capability Bulk Fluid Storage, Industrial Automation and Electrical, Structural, Mechanical and Piping Value $33.7 million Location Darwin, NT This year, Saunders successfully completed a contract for t
Slide 25: RAAF Base Tindal
PROJECT PROFILE RAAF Base Tindal DEFENCE & GOVERNMENT Capability Bulk Fluid Storage, Industrial Automation and Electrical, Structural, Mechanical and Piping Value $31.0 million Location Katherine, NT Saunders has been appointed to two projects at RAAF Base Tindal, located south of Darwin. Our initia
Slide 26: Port Macquarie Bridges
DEFENCE & GOVERNMENT PROJECT PROFILE Port Macquarie Bridges Capability Civil Infrastructure Value $11.2 million Location Various locations, Port Macquarie NSW Saunders was awarded a new contract for $11.2 million to replace five existing timber bridges across the Port Macquarie Hastings Council area
Slide 27: Four new bridge projects
PROJECT PROFILE Four new bridge projects DEFENCE & GOVERNMENT We have recently announced that we have been awarded four contracts in the civil infrastructure sector, totalling $20.59 million. Each of the four projects includes the demolition of an existing bridge, as well as the design and construct
Slide 28: Western Sydney Airport
PROJECT PROFILE Western Sydney Airport Capability Bulk Fluid Storage, Industrial Automation and Electrical, Structural, ENERGY Mechanical and Piping Value $70.0 million Location Luddenham, NSW In late 2022, we were awarded a significant contract by Multiplex to build the aviation fuel terminal at th
Slide 29: bp Kwinana Renewable Fuels
ENERGY PROJECT PROFILE bp Kwinana Renewable Fuels Capability Industrial Asset Services Value $42.4 million Location Kwinana, WA We are particularly proud of our Kwinana Renewable Fuels Project because of its bold sustainability ambitions. We are refurbishing and modifying 25 tanks so they can be use
Slide 30: Pelican Point
ENERGY PROJECT PROFILE Pelican Point Capability Bulk Fluid Storage and Industrial Automation and Electrical Value $44.2 million Location Pelican Point, SA Our multi-disciplinary in-house engineering and operational teams worked closely with long-term and repeat client Quantem to value engineer, opti
Slide 31: Barron Gorge Hydroelectric Power Station
ENERGY PROJECT PROFILE Barron Gorge Hydroelectric Power Station Capability Industrial Automation and Electrical Value $3.9 million Location Barron Gorge, QLD Commissioned in 1963, the Barron Gorge Hydro sources water from the Barron River to produce electricity before releasing the water back into t
Slide 32: Bald Hill
PROJECT PROFILE WATER Bald Hill Capability Bulk Fluid Storage Value $8.4 million Location Sunbury, VIC A design and construction contract for two 10 mega-litre water tanks dedicated to storing potable water. The project is being delivered for Aqua Metro on behalf of Greater Western Water, who are a
Slide 33: Marsfield Reservoir
PROJECT PROFILE WATER Marsfield Reservoir Capability Bulk Fluid Storage Value $8.4 million Location Marsfield, NSW A design and construction project for a single 10 mega-litre water tank. Saunders has been contracted by Confluence Water to deliver the project for Sydney Water, marking Saunders’ four
Slide 34: Kalgoorlie Consolidated Gold Mines (KCGM) CIL3 Tanks Replacement
PROJECT PROFILE Kalgoorlie Consolidated Gold Mines (KCGM) CIL3 Tanks Replacement RESOURCES & INDUSTRIALS Capability Structural, Mechanical and Piping Value $31.5 million Location Kalgoorlie, WA Saunders has been awarded a $31.5 million contract by Northern Star Resources to undertake the CIL3 Tanks
Slide 35: The Boyne River HDD Gas Pipeline
PROJECT PROFILE RESOURCES & INDUSTRIALS The Boyne River HDD* Gas Pipeline Capability Structural, Mechanical and Piping Value $3.0 million Location Gladstone, QLD In FY24, we replaced 470 metres of gas pipeline beneath the Boyne River, servicing Australia's east coast energy needs. The team faced cha
Slide 36: Important Information for Investors
IMPORTANT INFORMATION FOR INVESTORS This presentation has been prepared by You should not act or refrain from acting in Saunders International Limited (“Saunders”, reliance on this presentation material. This “the Company”, “The Group”) as a summary overview of Saunders does not purport to be of the
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