Veris Limited · ASX:VRS
Veris — Investor Presentation (February 2021)
43 slides from Veris's investor presentation, Feb 25, 2021
Slide 1: Capital Raising Presentation
Capital Raising Presentation February 2021 1
Slide 2: Executive Summary & Group Overview
Executive Summary & Group Overview 2
Slide 3: Veris Limited - Company profile
Veris Limited - Company profile 2 OPERATING DIVISIONS OUR INDUSTRIES Veris Australia is the largest Aqura Technologies is an industry leading national surveying, digital leader in the provision of innovative and spatial and planning technology solutions. business. Property Infrastructure Government
Slide 4: Investment Highlights
Investment Highlights Veris Limited ✓ Leverage to two operating divisions: ▪ Veris Australia – specialists in digital & spatial, surveying and urban design; and ▪ Aqura Technologies – expertise in telecommunications network technology for industrial clients ✓ Strengthened balance sheet provides a pl
Slide 5: Veris Limited – clients
Veris Limited – clients Across Veris Australia and Aqura Technologies Property Infrastructure Mining and Defence Utilities Government Resources 5
Slide 6: Half Year Results Update
6 Half Year Results Update
Slide 7: Veris Ltd – unaudited statutory H1 FY21 results
Veris Ltd – unaudited statutory H1 FY21 results $m H1 FY21* FY20 PCP H1 FY19 ▪ Significant business turnaround over 2H FY20 CY2020 Revenue 50.1 94.1 50.5 107.6 ▪ Strong revenue and margin growth achieved in both Veris Australia and Aqura despite COVID-19 significantly impacting EBITDA 6.0 1.9 1.5 4.
Slide 8: Veris Ltd – unaudited H1 FY21 balance sheet
Veris Ltd – unaudited H1 FY21 balance sheet $m H1 FY21* 30 Jun 20 Cash 2.4 1.9 Debtors, WIP & Other 20.9 23.1 Plant & Equipment 10.3 8.6 AASB 16 Lease Assets 21.9 17.0 DTA & Other 4.8 4.5 Total Assets 60.4 55.1 Trade & Payables 12.6 13.8 Borrowings 6.5 6.9 Leases (AASB16 + HP) 28.0 22.7 Employee Ben
Slide 9: Veris Ltd – unaudited H1 FY21 Cash Flows
Veris Ltd – unaudited H1 FY21 Cash Flows $m H1 FY21* H1 FY20 Receipts from customers 58.2 68.9 Payments to suppliers & employees (50.4) (66.8) Cash generated from operations 7.7 2.1 Net interest payments (0.9) (1.1) Net Cash from Operating activities 6.9 1.1 Net purchase of P,P&E (1.5) (1.1) Deferre
Slide 10: Corporate Snapshot & Equity Raising
Corporate Snapshot & Equity Raising 10
Slide 11: Corporate Snapshot
Corporate Snapshot Share Price History Capital Structure Existing Shares on issue 405,481,715 New Veris Aust management Issue price of team transition period Placement shares New Shares issued in capital raising 107,078,570 Pro forma shares on issue post raising 1,3 512,560,285 $0.10 30.0m $0.09 Mar
Slide 12: Veris Australia
Veris Australia 12
Slide 13: Who we are
Who we are Veris Australia is the largest leading national surveying, digital and spatial and planning business. Engineering Property survey survey Civil construction and Land surveying, engineering survey cadastral and solutions for major consulting solutions infrastructure. for developments. Digit
Slide 14: Positioning for sustained success
Positioning for sustained success Issues Central impacting Operational Project historical overheads controls overhead performance Our ▪ Organisational restructure – ▪ Analysis and review of ▪ Rationalisation of corporate approach to operating model efficiency improved project management structure. p
Slide 15: Our journey
Our journey Building Momentum Last 18 months Platform for growth Positioning to • Growth opportunities in win infrastructure, property and Stabilised • National key account approach Defence in post COVID-19 Restructured operations and focus on profitable growth. economy. • Business continuity and ag
Slide 16: Market outlook
Market outlook WESTERN EASTERN SURVEYING AND MAPPING SERVICES SEABOARD SEABOARD RESOURCES INFRASTRUCTURE $28.4bn Projects committed or $210bn In funding committed $3.1 billion under construction 1 over the next four years 3 Annual revenue Products and services segmentation INFRASTRUCTURE $27.1bn In
Slide 17: Pipeline
Pipeline ▪ Despite the current economic uncertainty due to COVID-19, our secured forward workload has grown $10M to in excess of $44 million. ▪ In addition to our forward workload, $20M we anticipate ongoing project variation and direct assignment works. ▪ Healthy, unsecured pipeline of tendered pro
Slide 18: Delivering value
Delivering value Leading Evolving Expanding + + The future is a spatial data business… ▪ We continue to connect high quality data A better experience as it connects us to the industry ▪ Be the trusted partner for our clients Traditional practice Created by; ▪ Delivering value from data – by hosting,
Slide 19: The new normal - digitalisation push by industry
The new normal - digitalisation push by industry As Australia’s largest and leading survey, digital & spatial and planning business we accumulate large volumes of data Digitalisation of the built environment has enormous ▪ Veris currently: potential to deliver enhanced value to stakeholders. ▪ colle
Slide 20: The Veris advantage …
The Veris advantage … Our differentiation is we collect, hold and understand the data – we are the subject matter experts 20
Slide 21: Aqura Technologies
Aqura Technologies 21
Slide 22: What we do
What we do Industrial Autonomous Content Unified Industrial Wireless Remote Access Network Communications IoT Communications Latest generation Solves the problem Optimises user Offers powerful Simplifies and wireless of accessing reliable experience for functionality that is solves the whole connect
Slide 23: Aqura Technologies Track Record & Outlook
Aqura Technologies Track Record & Outlook Revenue Growth Work in Hand & Pipeline $53.0M ▪ Current WIH $15.8m with a $19.4M forecasted revenue growth in FY21 from PCP $14.7M $12.4M ▪ Healthy, unsecured project $11.1M pipeline has a weighted $15.8M value of over $60m. $6.2M $6.7M $9.0M ▪ Recent contra
Slide 24: FY20 – Recent Contract Awards
FY20 – Recent Contract Awards North Queensland Private 5G Enabled LTE Network Pilbara Design, Supply & Install Private LTE Network Design, Supply & Install & Village CAN award. Perth NSW Cloud Unified Private LTE Design Communications & Contact Design + Roadmap Centre – 5 years Upgrade + Support Nat
Slide 25: Aqura - Strategy
Aqura - Strategy Position Aqura as the partner of choice to deliver high-performance communications solutions for clients as they navigate digital transformation. FY20 = Year 1 of 3 year strategy Impact? ✓ Decouple human capital from earnings potential. ✓ Build new $ $ recurring revenue streams. + ✓
Slide 26: Strategy achievements – FY20
Strategy achievements – FY20 Continued Expanded Increased sales Enhancement Commencement of engagement with geographical capacity and of financial and “as a service” Tier 1 customers presence and exposure governance products program market reach structures ▪ Investments in FY20 impacted EBITDA howev
Slide 27: Transaction Overview
Transaction Overview 27
Slide 28: Capital Raising Details
Capital Raising Details ▪ Veris Limited (“Veris” or the “Company”) is seeking to raise approximately $7.1 million via the placement of approximately 100.8 million new fully paid ordinary shares (“New Shares”) to sophisticated and professional investors (“the Placement”). Additionally, Directors have
Slide 29: Capital Raising Timetable
Capital Raising Timetable Key event* Indicative Date* Trading Halt Tuesday, 23 February 2021 Launch of Placement + SPP Announce completion of Placement and launch of SPP Thursday, 25 February 2021 Lift trading halt SPP Record Date 5pm AWST Wednesday, 24 February 2021 Settlement of the Placement Wedn
Slide 30: Summary
Summary 7 ef ] A /
Slide 31: FY21 Outlook
FY21 Outlook Strong work in Continued focus on Continued Leverage expanded hand and pipeline strong and resilient development geographical and team of product suites market reach ▪ Deliver Half-year profit across the group. ▪ Strong work in hand and committed pipeline in both businesses. ▪ Progress
Slide 32: Veris Limited: A simple two for one deal
Veris Limited: A simple two for one deal 32
Slide 33: Disclaimer
Disclaimer This presentation is issued by Veris Limited (“Veris” or the “Company”) and contains a summary of information about Veris. The purpose of this presentation is to provide general information about Veris and has been authorised for release to ASX by Veris’ Board of Directors pursuant to ASX
Slide 34: Disclaimer
Disclaimer Forward looking statements This presentation contains “forward-looking statements” and comments about future events, including statements about the plans, objectives and strategies of the Company's management, Veris’ expectations about the performance of its business and Veris’s ability t
Slide 35: Appendices
Appendices 35
Slide 36: Appendix - Veris Ltd – unaudited statutory balance sheet
Appendix 1 - Veris Ltd – unaudited statutory balance sheet $m H1 FY21* 30 Jun 20 Cash 2.4 1.9 Debtors & WIP 18.0 19.0 Other 2.9 4.1 Current Assets 23.4 25.1 Plant & Equipment 32.2 25.6 Deferred Tax & Other Non-current 4.7 4.5 Non Current Assets 37.0 30.1 Total Assets 60.4 55.1 Trade & Payables 12.6
Slide 37: Risks
Risks 37
Slide 38: Key Risks
Key Risks Impact of COVID-19 and associated market risk on the Company: The global Veris’ exposure to economic cycles: The Company is exposed to the impact of economic outlook is highly uncertain due to the current COVID-19 pandemic. The economic cycles and, in particular, how these cycles increase
Slide 39: Key Risks
Key Risks Extension of existing banking facilities: The Company’s banking facilities held with Safety: In order for the Company to continue working on its range of projects, a robust the Commonwealth Bank of Australia (CBA), mature on 30 September 2021. safety methodology needs to be in place. A ser
Slide 40: Key Risks
Key Risks Competition and business development: The sectors in which the Company’s Changes to law, government policy or accounting standards: Changes in the businesses are involved are highly competitive and are subject to increasing structure and regulation of the sectors and industries in which th
Slide 41: Key Risks
Key Risks Impact of climate change: The Company's project activities could be impacted by natural events such as significant rain events, flooding, fire or prolonged periods of adverse weather conditions including floods, drought, water scarcity or temperature extremes. Such natural events could res
Slide 42: General Risks
General Risks Economic conditions: General economic conditions in Australia and overseas, Liquidity and realisation risk: There can be no guarantee that an active market in the including the introduction of tax reform, new legislation, movements in interest and Shares will develop or continue, or th
Slide 43: Thank you
veris Thank you