Veris Limited · ASX:VRS
Veris — H1 FY2020 Earnings Presentation
24 slides from Veris's earnings presentation, Feb 28, 2020
Slide 1: Half Year Results FY2020
Sydney Metro – City & Southwest Revit model Half Year Results FY2020 Friday 28 February 2020 1
Slide 2: People, HSEQ and Services
PEOPLE HSEQ TRIFR LTIFR 5.76 0.0 Over 500 Safe delivery of personnel industry leading Australia wide. service. Optus Stadium, Perth SERVICES Engineering survey Industrial wireless Property survey Engineering Content access networks Digital and spatial Industrial loT Planning Autonomo
Slide 3: 1H Group overview
1H Group overview Group revenue $58.3 million1. Group EBITDA $2.5 million1,2. Actions taken to correct performance in NSW. Appointment of key senior roles. Identified strong pipeline of work. Aqura continue to grow footprint on East Coast. Growing engineering and property survey. Dig
Slide 4: 1H FY20 Group financial dashboard
1H FY20 Group financial dashboard Revenue 1 EBITDA 1,2,3 $58.3M $2.5M Cash Net Debt 4 $3.2M $9.2M Australia 108, Melbourne 1. Includes revenue and EBITDA from discontinued operations, Elton Consulting (sold 21 November 2019) of $7.85m and $0.99m respectively. 2. EBITDA is a non-IFRS measure. 3. Incl
Slide 5: Repositioning the business and focusing on Veris
Repositioning the business and focusing on Veris Repositioning Veris for continued future growth 1. Mr Adam Lamond, will be transitioning from the role of Managing Director to Executive Director – Corporate Strategy on a part time basis. 2. Board renewal process continues to progress. 3. Veris Austr
Slide 6: Regional update | VIC / SA / TAS
Regional update | VIC / SA / TAS Strong performance driven by engineering and property survey business lines. 1H Key management appointments made. Commentary Integration of all offices. Purposeful growth in local infrastructure projects. Strong capability in digital and spatial. 1H:2020 PC
Slide 7: Regional update | QLD
Regional update | QLD Continue to deliver strong EBITDA margin. Well structured management team supporting national strategy. 1H Revenue down due to a lack of market activity in the key areas of Commentary South East Queensland and Brisbane. Strength and growth in North Queensland across sur
Slide 8: Regional update | WA
Regional update | WA Results reflect ongoing challenges in local market. Growth in the resources sector is being offset by soft demand in the 1H infrastructure and property sectors in Perth. Commentary Strong local leadership in place focused on growing local resources to respond to opportunit
Slide 9: Regional update | NSW / ACT
Regional update | NSW / ACT Results have been negatively impacted by underperformance of the Olympic Park office. 1H In response, significant action has been taken including: Restructure of senior positions. Commentary Reduction in overall headcount and disposal of non-utilised assets. Key
Slide 10: NSW Q1 EBITDA to Q2 EBITDA waterfall
NSW Q1 EBITDA to Q2 EBITDA waterfall Regional update | NSW / ACT (excluding Olympic Park office) 1H:2020 PCP Revenue $5.7 $5.8 EBITDA1 $0.6 $0.5 EBITDA Margin 11.0% 8.0% 1. Excludes AASB 16: Leases, includes allocation of shared services overhead cost. 10
Slide 11: Veris Australia – strategy and alignment
Veris Australia – strategy and alignment 11
Slide 12: Market outlook
Market outlook WESTERN SEABOARD EASTERN SEABOARD Infrastructure Infrastructure Pipeline by value Value ($) Major Projects by value Value ($) Billions NSW, VIC, QLD Billions Metronet – Thornlie to Cockburn. Suburban Rail Loop - VIC 50 Morley, Ellenbrook Line and 2.25 North East Link - VIC 15.8 Yanche
Slide 13: Project pipeline
Project pipeline Pipeline of projects has 27% potential value of 5% Infrastructure > $410M Mining and resources 68% Property Prospects > $346M Proposals > $ 73M Based on pipeline of prospective projects where Veris Australia has identified the capability to support, as well as proposals currently ap
Slide 14: Leading industry Thought Leaders Advisory Group
Leading industry Thought Leaders Advisory Group Peter Sippel’s current industry roles include: Paul Rhodes’ current industry roles Chair of 3D QLD, Government sector include: taskforce guiding the transition to a digital Board Member Western Australian Veris Australia has preeminent cadastral fo
Slide 15: Aqura Technologies
AQURA Technologies veris
Slide 16: Aqura Technologies performance update
Aqura Technologies performance update 61% higher revenue in 1H FY20 1H FY20 Revenue by state 5% versus 1H FY19 driven by an increase 6% 1H in service offering and customer base. Lower EBITDA margin driven by the Commentary investment in headcount to execute 89% the 3-year strategy. WA QLD SA VIC
Slide 17: Aqura Technologies strategy
Aqura Technologies strategy FY20 FY21 • Establish office presence in QLD • IoT platform development. and VIC/SA. • Establish presence in NSW. • Expand marketing • Increase market diversification. and sales capabilities. • Scale of business to deliver step • Establish change in earnings through As-a-
Slide 18: Summary and outlook
Summary and outlook Key Outlook achievements Strengthened balance sheet. Continue to focus on our core business being Reduction of debt and bank covenant engineering and property survey. compliance. Increase focus on national client service Re-position the business to focus on core offerin
Slide 19: Disclaimer
Disclaimer This Document should not be considered as an offer or invitation to subscribe for or purchase any securities in Veris Limited (“Veris” or the “Company”) or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for securities in Veris s
Slide 20: Appendices
__ Appendices veris
Slide 21: Financial – 1H FY20 results
Financial – 1H FY20 results $m 1H FY20 1H FY19 (Restated) 3 Revenue 1 50.5 53.9 EBITDA1 1.5 1.8 Depreciation (4.9) (2.4) Amortisation (1.3) (1.6) Acquisition related cost/income 0.1 (0.1) Restructuring costs (0.5) (0.7) Share-based payments (0.0) (0.1) Impairment2 - (34.4) EBIT (5.1) (37.5) Net inte
Slide 22: Financial – Cash flow and balance sheet
Financial – Cash flow and balance sheet Cash Flow Balance Sheet $m 1H FY20 1H FY19 $m 31 Dec 2019 30 June 2019 Cash flow from operations 2.1 8.1 Cash 3.2 3.7 Net interest expense (1.0) (0.7) Hire Purchase Facilities (6.6) (8.2) Cash flow from operating activities 1.1 7.4 Commonwealth Bank Facility (
Slide 23: Sale of Elton Consulting
Sale of Elton Consulting Elton sale $,000 • Executable and efficient transaction Purchase Price (16,663) • Proceeds from sale resets Veris balance Elton FY18 EBITDA Contribution (1 April 18 – 30 June 18) 1,032 sheet for future growth Elton FY19 EBITDA Contribution (1 July 18 – 30 June 19) 2,303 • Re
Slide 24: Corporate directory
Corporate directory Capital Structure Share Price Share price (ASX: VRS) $0.0631 Ordinary shares 374m Market capitalisation $23.5m Cash (31 Dec 19) $3.2m Debt (31 Dec 19) $12.4m Enterprise value $32.7m Board and Management Karl Paganin Non-executive Chairman Adam Lamond Managing Director Tom Lawrenc