Ama Group Limited · ASX:AMA
Ama — Investor Presentation (February 2019)
25 slides from Ama's investor presentation, Feb 28, 2019
Slide 1: For personal use only
Page 1 For personal use only amagroupltd.com
Slide 2: World Class Automotive Solutions
Page 2 For personal use only WORLD CLASS AUTOMOTIVE SOLUTIONS
Slide 3: Contents
Page 3 Contents. For personal use only Highlights AMA Group Overview Financial Performance Vehicle Panel Repairs ACAD and Procurement Strategy and Outlook
Slide 4: Highlights
For personal use only HIGHLIGHTS Page 4
Slide 5: Highlights
Page 5 Highlights. For personal use only Revenue and profit trending in-line with market expectations despite a delay in the acquisition pipeline related to Blackstone process disruption iBodyshop and Oracle NetSuite systems rollout completed in Panel operations with significant operational benefits
Slide 6: Our Results
Page 6 Our Results. For personal use only 64% TOTAL REVENUE Underlying NPAT EBITDA* $302.5m $28.1m $9.9m 32.4% 7.3% 29.8% EPS NEW PANEL 90% FACILITIES 1.88 cps 27.0% 6 ( 4 Existing / 2 Greenfield) *Underlying results after normalization – refer slide 11.
Slide 7: AMA Group Overview
Page 7 AMA GROUP OVERVIEW For personal use only
Slide 8: AMA Group Overview
Page 8 AMA Group Overview For personal use only Industry leader in 2 key automotive industry sectors ➢ Vehicle Panel Repairs ➢ Automotive products and accessories National footprint of 118 panel sites offering a unique service proposition to key insurance customers and their policy holders Automotiv
Slide 9: Financial Performance
Page 9 For personal use only FINANCIAL PERFORMANCE
Slide 10: Half Year Results to Dec 2018
Page 10 Half Year Results to Dec 2018 For personal use only Dec 18 Dec 17 3 CHANGE Revenue: Reported ($’000) 302,453 228,356 32.4% EBITDA: Reported ($’000) 24,288 20,623 17.8% EBITDA: Normalised 1 ($’000) 28,121 26,201 7.3% EBIT: Reported ($’000) 17,239 14,481 19.0% NPAT: Reported ($’000) 9,945 7,66
Slide 11: Normalisation of EBITDA
Page 11 Normalisation of EBITDA For personal use only ($’000) Dec 18 Dec 17 EBITDA – Reported 24,288 20,623 Employee equity plan expense 523 368 Business acquisition expenses 191 899 Site Integrations 200 500 Site closures and make good 150 100 Reorganisation costs1 630 0 Litigation & Resolution cos
Slide 12: EBITDA to Operating Cash Flow
Page 12 EBITDA to Operating Cash Flow For personal use only ($’000) Dec 18 Dec 17 EBITDA – Reported 24,288 20,623 Interest Paid (1,472) (188) Equity Issued As Employment Condition 523 368 Other Non Cash Items (451) (913) Cash Earnings (Pre Tax and Deferred Income Amortisation) 22,888 19,890 Cash Ear
Slide 13: Investment and Finance Cash Flows
Page 13 Investment and Finance Cash Flows For personal use only ($’000) Dec 18 Dec 17 Net Cash Flow from Operations 13,769 11,192 Cashflow from Investing Activities Capital Expenditure – Greenfields 1 (2,516) (2,646) Capital Expenditure - Other (Maintenance) 2 (205) (3,461) (2,721) (6,107) Acquisiti
Slide 14: Balance Sheet
Page 14 Balance Sheet. For personal use only Change Change ($’000) Dec 18 Dec 17 ($’000) (%) Comments Current Assets 82,367 93,999 (11,632) (12.4%) Non-Current Assets 291,273 268,855 22,418 8.3% Total Assets 373,640 362,854 10,786 3.0% Balance sheet in a solid position Current Liabilities 103,698 98
Slide 15: Vehicle Panel Repairs
Page 15 For personal use only VEHICLE PANEL REPAIRS
Slide 16: Vehicle Panel Repairs
Page 16 Vehicle Panel Repairs. For personal use only Undisputed Industry Leader ➢ Largest operator - 118 site across all States and NZ ➢ Leading consolidator in a highly fragmented market ➢ Long term relationships with key insurers and prestige OEMs / Dealers Clear growth path ➢ Estimated 10% market
Slide 17: Vehicle Panel Repair
Page 17 Vehicle Panel Repair. For personal use only Change Dec 18 Dec 17 Change (%) ($’000) Sales ($'000) 1 257,743 201,543 56,200 27.9% EBITDA – Reported ($’000) 20,705 19,283 1,422 7.4% EBITDA Margin – Reported (%) 8.0% 9.6% (1.6%) (17.1%) EBITDA – normalised ($’000) 2 22,669 23,226 (557) (2.4%) E
Slide 18: Vehicle Panel Repairs
Page 18 Vehicle Panel Repairs. For personal use only Strong year on year growth in Sales Normalised EBITDA margin tracking to expectations and historical ranges. Some short term regionals impacts on EBITDA margin during FY H1 Rollout of new IBodyshop roll system out completed – significant operation
Slide 19: ACAD and Procurement
Page 19 For personal use only ACAD AND PROCUREMENT
Slide 20: ACAD
Page 20 ACAD. For personal use only The leading vertically integrated player in automotive products and accessories Key product and service focus on the growing 4wd, SUV and commercial vehicle segments – now 6 in 10 vehicles sold in Australia High technical value add and barriers to entry in Manufac
Slide 21: ACAD
Page 21 ACAD. For personal use only Dec-18 Dec-17 Change ($’000) Change (%) Sales ($'000) 44,762 26,950 17,812 66.1% EBITDA1 ($’000) 6,189 3,734 2,455 65.7% EBITDA Margin (%) 13.8% 13.9% (0.1%) (0.9%) EBITDA1 – normalised ($’000) 6,534 4,259 2,275 53.4% EBITDA Margin – normalised (%) 14.6% 15.8% (1.
Slide 22: ACAD
Page 22 ACAD. For personal use only Completed all major restructuring and integration relating to acquisitions. ASG acquisition now integrated into existing divisions. Achieved significant year-on-year growth in Revenue and EBITDA in line with our accretive acquisitions and achieved underlying organ
Slide 23: Procurement
Page 23 Procurement. For personal use only Exciting new growth avenue for AMA Management has established, over a number of years a globally competitive proprietary supply chain for consumables and parts for the panel repair industry AMA has the opportunity to leverage this input advantage by sourcin
Slide 24: Strategy and Outlook
Page 24 For personal use only STRATEGY AND OUTLOOK
Slide 25: Strategy/Outlook
Page 25 Strategy/Outlook. For personal use only AMA HAS MULTIPLE OPPORTUNITIES TO CONTINUE ITS GROWTH BY BOTH ORGANIC AND ACQUISITION MEANS Continue to lead Progressively Expansion of our Potential Identify and On-track to reach $1 the Panel execute further strategic significant execute strategic bi