Gale Pacific Limited · ASX:GAP
Gale Pacific — H1 FY2020 Earnings Presentation
21 slides from Gale Pacific's earnings presentation, Feb 24, 2020
Slide 1: H1 FY20 Results
For personal use only H1 FY20 RESULTS 24 FEBRUARY 2020
Slide 2: Agenda
For personal use only 1 H1 FY20 Overview AGENDA 2 H1 FY20 Results 3 Strategy & Outlook GALE Pacific | 2
Slide 3: H1 FY20 Overview
For personal use only H1 FY20 OVERVIEW John Paul Marcantonio, CEO | 3
Slide 4: H1 FY20 Results Overview
H1 FY20 Results Overview Challenging trading conditions in MENA and an unforeseen provision impacting H1 FY20 result For personal use only • Group net revenue of $62.3 million (down 8.1% on H1 FY19) • Net Loss after Tax at $2.6 million (vs NPAT of $1.5 million in H1 FY19) • Australia/New Zealand net
Slide 5: H1 FY20 Results Overview
H1 FY20 Results Overview For personal use only ANZ Returns to Growth Challenges in MENA Americas Timing Underlying Business New ranging & increased sell- Deferrals & reallocation of Non-repeat of stock build Strong sell-through rates in our through in retail; select coated spending on government ass
Slide 6: H1 FY20 Results
For personal use only H1 FY20 RESULTS Domenic Romanelli, CFO John Paul Marcantonio, CEO | 6
Slide 7: H1 FY20 Results Summary
H1 FY20 RESULTS SUMMARY For personal use only 1H20 1H19 Change • Net Revenue down $5.5 million, (8.1)% vs pcp A$ million A$ million % • Earnings impacted by a combination of: Net revenue 62.3 67.8 (8.1) • Challenging environment in MENA; EBITDA 3.4 5.2 (33.3) • Unforeseen requirements to make a sign
Slide 8: Cash Flow and Net Debt
Cash Flow and Net Debt Net debt reduced by $1.1 million vs Dec 2018 For personal use only Operating cashflow $A million • As per prior years, positive cash flows from operating activities expected in H2 FY20, due to the seasonal nature of its business and the Northern Hemisphere summer. Net Debt $A
Slide 9: Americas
Americas Underlying business growth offset by stock build in pcp and continued import tariff impact For personal use only 1H20 1H19 Change A$ million A$ million % Revenue 17.5 24.0 (27.4) EBITDA (1.1) 1.8 na PBT (4.8) (0.6) (>100) • Net revenue down 27.4%; EBITDA down $ 2.9 million on pcp • Non-repe
Slide 10: Australia & New Zealand
Australia & New Zealand Growth in the consumer business offset by weather, environmental challenges & incentive arrangement For personal use only 1H20 1H19 Change • New product placements and A$ million A$ million % incremental ranging in core consumer Revenue 36.8 34.7 5.9 categories driving growth
Slide 11: Middle East/North Africa
Middle East/North Africa Trading result impacted by ongoing challenging macro conditions and tighter credit policies For personal use only 1H20 1H19 Change • Middle East impacted by adverse macro A$ million A$ million % conditions coupled with overall tensions Revenue 5.8 7.0 (17.0) and instability
Slide 12: Eurasia
Eurasia Incremental project wins and focus on expanding distribution for commercial fabrics ranges For personal use only 1H20 1H19 Change A$ million A$ million % Revenue 2.3 2.1 10.6 EBITDA 0.6 0.4 73.1 PBT 0.4 0.2 110 • Successful conversion of new shade and asset protection projects in H1 FY20 • E
Slide 13: Strategy & Outlook
For personal use only Strategy & Outlook John Paul Marcantonio, CEO | 13
Slide 14: Our Core Strategy
For personal use only Our Core Strategy Build Gale Pacific into a more quickly growing, world-class, global fabrics technology business | 14
Slide 15: Product Innovation
For personal use only Product Innovation Launch new products with meaningful new benefits that are unique to Gale Pacific | 15
Slide 16: Grow Our Categories
For personal use only Grow Our Categories More users, usage & benefits Accelerate sell-through New ranging & availability | 16
Slide 17: Improved Operations
For personal use only Improved Operations Match operations to market demands while driving efficiency, productivity and quality improvements | 17
Slide 18: New Geographies
For personal use only New Geographies Leverage product innovation and category development capability to expand into new markets for Gale Pacific | 18
Slide 19: H2 & Full Year FY20 Outlook
H2 & Full Year FY20 Outlook For personal use only • As with previous years, profit delivery for the Company will be skewed to the second half of FY20 • Major macro-market factors are expected to significantly influence results for 2H FY20 & full year FY20 • Developments in the trade climate between
Slide 20: Disclaimer
For personal use only DISCLAIMER Statements contained in this presentation, particularly those THANK regarding possible or assumed future performance, estimated company earnings, potential growth of the company, industry YOU growth or other trend projections are or may be forward looking statements.
Slide 21: For personal use only
For personal use only