Siv Capital Limited · ASX:SIV
Siv Capital — Silver Chef — Shareholder Meeting (November 2009)
22 slides from Siv Capital's shareholder meeting presentation, Nov 30, 2009
Slide 1: Managing Director's Address to the Annual General Meeting
Silver Chef Limited Managing Director’s Address For personal use only to the Annual General Meeting Allan English 30 November 2009
Slide 2: 2009 Highlights
2009 Highlights For personal use only 20% - increase on rental income to $34.9M 36% - growth of NPAT to $3.6M 16% - increase in operating cash flow to $20.5M 25% - increase in return on shareholders funds (from 22% in 2008) 10 cents - fully franked dividend – paid Jan 10 Record results achieved
Slide 3: Financial Highlights - Profit
Financial Highlights - Profit For personal use only NPAT - $m Revenue - $m 4.00 40.00 2.00 20.00 - - 2005 2006 2007 2008 2009 2005 2006 2007 2008 2009 Record profit reported
Slide 4: Financial Highlights – Cash Flow & Assets
Financial Highlights – Cash Flow For personal use only & Assets C/Flow From Operations - Rental Assets - $m $m 100 25 80 20 60 15 40 10 5 20 - - 2005 2006 2007 2008 2009 2005 2006 2007 2008 2009 Continued & sustainable growth
Slide 5: Delivering Share Holder Value
Delivering Share Holder Value For personal use only Earnings Per Share cents 25 12.5 0 2005 2006 2007 2008 2009 Delivering shareholder returns
Slide 6: Model Confidence
Model Confidence For personal use only • Commercial long term rental of profit generating assets • Predictable future revenue streams • Strong operating cash flows • Organic growth strategy deploying 1 solution through 2 core brands • Effective risk management and marketing strategies • Guidance rev
Slide 7: Key Business Strengths
Key Business Strengths For personal use only • Predictable, annuity style income - 74% of 2010 income known • Security bonds • Business critical assets • Resilient customers in challenging economic climate
Slide 8: Spread of Risk
Spread of Risk For personal use only 7,314 - rental contracts $10,161 - average contract <1% - largest client / rental income Low, well managed risk
Slide 9: Effective Risk Management
Effective Risk Management For personal use only • Security Bonds • Weekly DDRs • Smart Numbers – DDR Defaults and settlement ratio • Recycling of Assets • Credit Analyst / Credit Committee • Internal audit of systems Low, well managed risk
Slide 10: Effective Risk Management
Effective Risk Management For personal use only Diversified customer and distribution base Contracts, end users, dealers & vendors Low bad debts Weekly DDRs <2% over the past 5 years
Slide 11: Hospitality Customer Profile
Hospitality Customer Profile For personal use only 7314 customers Customer Segments Contracts Per State ACT NSW NT QLD SA TAS VIC WA Takeaways 1% 6% 18% 28% Cafe Restaurant 4% 6% 1% 36% Diverse customer base
Slide 12: Hospitality Remarketing Strength
Hospitality Remarketing Strength For personal use only Remarketing • Used assets = Cash • 93% assets are income earning at all times • Dedicated asset reconditioning & disposal facility >200% - increase in clearance figures, quality and control since launch Demonstrated Ability
Slide 13: Hospitality Used Equipment
Hospitality Used Equipment For personal use only Dealers Assessed Sold Asset Service Returned Facility Cleaned & Auction Serviced Rented Direct Silver Chef Process
Slide 14: GoGetta Remarketing Strength
GoGetta Remarketing Strength For personal use only Remarketing – GoGetta • Vendor remarketing agreement • GoGetta has first right of refusal to ensure maximum returns • Continual assessment of individual vendor exposure Low, well managed risk
Slide 15: GoGetta Remarketing
GoGetta Remarketing For personal use only • Vendor remarketing agreement At least Purchased or 50% Asset To Vendor Rented within Returned 90 days Capital recovered GoGetta Remarketing Process
Slide 16: Hospitality Division – Silver Chef
Hospitality Division – Silver Chef For personal use only $33.3M acquisitions, a 32% increase year on year $76.6M assets at cost on rental >400 dealers nationwide dealer incentive program supporting acquisition growth Strong core business
Slide 17: Commercial Equipment Division - GoGetta
Commercial Equipment For personal use only Division - GoGetta 19% over budget for acquisitions to $8.036M penetrated multiple industries including compressors, bakery, audio & lighting, and construction 85 vendors appointed 47 finance brokers appointed established a nationwide sales team Managed
Slide 18: Outlook
Outlook For personal use only • Strong cash position $6.53 million dollar capital raising in Oct/Nov 2009 • Key drivers for growth Dealer incentive program to maximise sales Wider distribution channels from our GoGetta Vendors Finance Broker accreditation Broader credit environment Familia
Slide 19: Outlook
Outlook For personal use only • Hospitality – Increase market share due to credit squeeze • GoGetta point of difference • We are a long term rental company • Strong forecast growth - RTB model through 2 core brands • Certainty of future rental streams • 2010 Guidance increased - EPS growth to 26 c
Slide 20: Questions
For personal use only Questions
Slide 21: Contacts
Contacts For personal use only Allan English Managing Director (07) 3335-3301 aenglish@silverchef.com.au Charles Gregory Chief Operating Officer (07) 3335-3347 cgregory@silverchef.com.au
Slide 22: Thank you.
For personal use only Thank you.