12 slides from Mitchell Services's shareholder meeting presentation, Oct 25, 2023
Slide 1: Annual General Meeting 2023
ANNUAL GENERAL MEETING 2023 For personal use only 25 October 2023 ASX:MSV
Slide 2: CEO Presentation
2 For personal use only CEO PRESENTATION Andrew Elf Chief Executive Officer Annual General Meeting 2023
Slide 3: Disclaimer
3 DISCLAIMER For personal use only This investor presentation has been prepared by Mitchell Services Limited (“the Company”). The information contained in this presentation does not take into account the investment Information in this presentation is of a general nature only and should be read in co
Slide 4: Agenda
4 AGENDA 1. MARKET PROFILE For personal use only 2. FY23 BUSINESS SUMMARY 3. OVERVIEW 4. OPERATIONAL UPDATE 5. CAPITAL MANAGEMENT UPDATE 6. FY23 CAPITAL MANAGEMENT PERFORMANCE 7. FY24 Q1 UPDATE Annual General Meeting 2023 8. SUMMARY
Slide 5: Market Profile
5 MARKET PROFILE For personal use only ASX INFORMATION BOARD OF DIRECTORS ASX Stock Symbol MSV Nathan Mitchell Executive Chairman Shares on Issue (at 23/10/2023) 215,748,123 Scott Tumbridge Non- Executive Director Share Price (at 23/10/2023) A$0.355 Peter Miller Non-Executive Director Market Capital
Slide 6: FY23 Business Summary
6 FY23 BUSINESS SUMMARY For personal use only RECORD REVENUE $243.1m RECORD EBITDA $41.2m PROFIT AFTER TAX $7.6m 14% FROM FY22 28%FROM FY22 100% FROM FY22 OPERATING CASHFLOW $35.6m SAFETY PERFORMANCE RETURN ON INVESTED CAPITAL 12.5% 60% 941% INDUSTRY LEADING DRIVEN BY CRITICAL RISK Annual General Me
Slide 7: Overview
7 OVERVIEW For personal use only High commodity prices driving continued strong demand for drilling services particularly for highly skilled specialist drilling services Inflationary pressures are beginning to ease Company’s capital investment program is complete. All 12 LF160 rigs are working
Slide 8: Operational Update
8 OPERATIONAL UPDATE For personal use only Capital investment program to deliver MSV’s organic growth strategy now complete All 12 new LF160 drill rigs now operating for global mining majors and have driven record annual revenue and EBITDA Multiple rainfall events and unplanned contract variat
Slide 9: Capital Management Update
9 CAPITAL MANAGEMENT UPDATE For personal use only The Company is committed to returning surplus cash to shareholders under a capital management policy with the following summarised key terms. The Company will prioritise a portion of free cash flow to reduce leverage and has set a net debt target o
Slide 10: FY23 Capital Management Performance
10 FY23 CAPITAL MANAGEMENT PERFORMANCE For personal use only Prioritise leverage reduction Sensible Capex allocation Dividends Share buy-backs* NET DEBT $17.6m CAPEX $12.6m FINAL DIVIDEND OF 2.08cps BUYBACK PAYMENTS $4.0m 55% 71% 100% Representing a capital reduction of approx. 4% based on the numbe
Slide 11: FY24 Q1 Update
11 FY24 Q1 UPDATE For personal use only REVENUE $64.8m EARNINGS BEFORE TAX $4.8m OPERATING CASH FLOW $10.3m 6% FROM FY23Q1 178% FROM FY23Q1 243% FROM FY23Q1 SAFETY PERFORMANCE NET DEBT $18.3m* ANUALISED ROIC 20.1% WINNER OF PRESTIGIOUS NATIONAL 4% 148% Annual General Meeting 2023 SAFETY AWARD WITH C
Slide 12: Summary
12 SUMMARY For personal use only MSV generated FY23 EBITDA and NPAT of $41.2m and $7.6m respectively High commodity prices driving continued strong demand for drilling services particularly for highly skilled specialist drilling services Quality brand with long history and high-quality revenue