Smart Parking Limited · ASX:SPZ
Smart Parking — Investor Presentation (August 2023)
27 slides from Smart Parking's investor presentation, Aug 21, 2023
Slide 1: FY23 Results
Smart Parking Limited (ASX:SPZ) FY23 Results 21 August 2023 CEO Paul Gillespie smartparking.com
Slide 2: Record FY23 results
Record FY23 results Delivering record results in a challenging macro environment: FY23: 1,112 Revenue up 21%1 to AGR 31 % 839 $45.1m C 619 Adjusted EBITDA up 35%1 to $11.5m 496 389 286 Total sites up 33% to Sites at 30 June 2018 Sites at 30 June 2019 Sites at 30 June 2020 Sites at 30 June 2021 Sites
Slide 3: FY23 key metrics: revenue, Adjusted EBITDA, margin, sites
FY23 Revenue of $45.1m Adjusted EBITDA Adjusted EBITDA margin ($46.1m1) up $11.5m ($11.8m1) up of 25.5% up 21% 35% 266bps 1 1 1 *Compared to PCP (in constant currency) *Compared to PCP (in constant currency) *Compared to PCP (in constant currency) 1,112 Total Cash of 1,500 10.7m sites $ up 33% Globa
Slide 4: Growth strategy - progress report
Growth strategy - progress report | Building a stronger SPZ across multiple territories in FY23 UK NZ Australia (QLD) Germany GROWTH IN 930 total sites 84 total sites 71 total sites 27 total sites ANPR SITES 18% up on PCP 320% up on PCP 163% up on PCP 1,250% up on PCP GROWTH 15% up on PCP 258% up on
Slide 5: FY23 business update
FY23 business update | Record results, expanding market opportunities to accelerate growth. FINANCIAL EXPANSION OUTLOOK • Record results – • 1,112 total group sites under management • Positive outlook for further profitable Revenue $45.1m and Adjusted as at 30 June 2023, up 33% on PCP. growth in FY2
Slide 6: Financial Update
Pp SMART Financial Update
Slide 7: FY23 performance
FY23 performance Group Profit & Loss ($m) • Revenue increased 21%2 due to the FY23 FY23 FY22 FY23 vs FY22 expansion of sites under management (Constant (Constant currency)2 currency)2 by 33%, demonsatrating strong revenue Revenue 45.1 46.1 38.1 21% growth in all territories Cost of Sales (13.9) (14.
Slide 8: Revenue growth
Revenue growth | Revenue up 21%1 from increased sites under management and expansion into new territories ($000s) APAC Managed Services • UK parking management UK growth rate 16%1 revenue growth 268%1 revenue growth of 16%1 1,004 424 317 46,146 compared to FY22. 2,149 (859) 45,051 (1,095) • APAC par
Slide 9: FY23 – Margin expansion
FY23 – Margin expansion Revenue ($000s) Adjusted EBITDA ($000s) 22,957 22,094 • Revenue up 21%1 on PCP. 18,707 19,440 • Investment in Germany of $1.5m. • Adjusted EBITDA up 35%1 6,8502 6,1292 including $1.5m investment in 5,138 6,208 Germany, EBITDA margin of 26%1. 5,258 4,2642 • Growth CAPEX of $4.
Slide 10: Positive free cash flow
Positive free cash flow | $10.7m cash to fund growth strategy and shareholder returns • Cash on hand of $10.7m as at 30 June 2023. Cash Flow Waterfall ($m) • Positive free cash flow of $8.7m Free cash flow of $8.7m1 • Minimal maintenance CAPEX required - capital light business model. 11.4 (0.4) • Gr
Slide 11: Strong balance sheet to fund growth strategy
Strong balance sheet to fund growth strategy Group Financial Position ($m) • $10.7m of cash – capital to fund growth strategies. $m Jun-23 Jun-22 • In October 2021 the Company Current assets 25.8 23.1 commenced repayments of a UK Coronavirus Business Interruption Non-current assets 30.2 26.1 Loan ($
Slide 12: Parking Management revenue up
Parking Management | 26%1 revenue growth in FY23 vs PCP Parking Management ($000s) 21,151 20,018 Revenue up 26% 34.3% 31.8% 31.7% 16,919 16,487 27.6% 1 28.1% 27.3% 23.8% *Compared to PCP (In constant currency). 6,5822 Adjusted EBITDA 6,3402 5,799 5,941 4,5492 5,469 3,918 margin of 31.7% 2 H1 H2 H1 H
Slide 13: Business Update
SMART = PARKING Business Update
Slide 14: Growth strategy – multiple drivers
Growth strategy – multiple drivers | Three key pillars for growth Organic existing markets Growth in new territories M&A Good pipeline Growth in sites = of opportunities growth in PBNs = revenue & profitability High incremental margin Investigating and evaluating Disciplined selection criteria: leve
Slide 15: On track for 1,500 ANPR sites by June 2025
On track for 1,500 ANPR sites by June 2025 | Site growth in FY23 at 33%, now over 1,100 • Discplined exection of sales global ANPR sites under management strategy delivers exellent results. 1,112 • UK ANPR roll out continues, 197 new sites in FY23. 182 % 930 • Growing APAC and Germany 31 managed ser
Slide 16: Strong growth underway
Strong growth underway | FY23 record PBNs issued, up 29% vs PCP Parking Breach Notices Issued FY22 Average Quarterly PBNs 135,625 (up 81% on FY21) FY23 Average Quarterly PBNs 175,254 (up 29% on FY22) FY23 growth delivered 196,806 • PBN growth up 29% 178,869 on PCP. 167,299 22,415 32,612 156,454 158,
Slide 17: New territory growth underway
NZ: New territory growth underway • NZ continues to show strong growth with 320% increase in sites under management. | Successfully scaling new territories • Focused sales effort in site growth has delivered 258% increase in PBN’s issued and 278% growth in revenue. Sites Parking Breach Notices Issue
Slide 18: Growth profile
Growth profile | German site growth in line with strong NZ performance Month First 0 6 12 18 Sites at site live 20 August 10 SITES 10 15 SITES 30 10 SITES SITES NZ 03/21 91 10 7 SITES 20 10 SITES 27 10 SITES GE 03/22 32 • German growth continues to track in line with SPZ’s most profitable start-up.
Slide 19: New markets and M&A
New markets and M&A | Disciplined acquisition track record - April complements strong organic growth Completed the acquisition of NE Parking 2022 and are working with customers to January upgrade suitable sites from manual August Successfully operations to a technology led July launched 2021 July Co
Slide 20: FY24 focus and delivery
FY24 focus and delivery: • Continue to deliver strong progress to the growth target of 1,500 global ANPR sites under management by June 2025. • Execution of organic growth strategy - we are very early in the long term growth runway in large addressable markets - TAM 140,000 sites. • Continued focus
Slide 21: Supplementary Information
“PARKING Supplementary Information
Slide 22: Smart Parking Ltd (ASX:SPZ)
Smart Parking Ltd (ASX:SPZ) A global company focused on delivering industry leading technology innovations and solutions within the parking industry Parking management services Revenue ($000s) Provision of parking management solutions, predominantly servicing the 45,051 46,147 retail sector, managin
Slide 23: Segment reporting
Segment reporting Adjusted Revenue Adjusted EBITDA EBITDA Margin ($000’s) FY22 vs FY22 vs FY22 FY23 FY22 FY23 FY22 FY23 FY23 FY23 Parking Management 33,405 41,170 23.2% 9,717 11,410 17.4% 29.1% 27.7% Technology Division 9,469 7,563 (20.1%) 1,087 2,031 86.8% 11.5% 26.9% Research & Development - - - (
Slide 24: Management services – ANPR estate growth
Management services – ANPR estate growth | Over 1,100 global sites under management ANPR Site Reconciliation FY23 157 1,112 APAC/Germany (62) (29) UK (95) 173 984 APAC/Germany (71) (28) UK (102) 839 619 Growth target affirmed: 496 1,500 global sites under 389 management expected by June 2025 286 8 9
Slide 25: Management services: How it works
Management services: How it works | Parking management improving customer satisfaction and revenue generation. • ANPR | Automatic Number Plate Recognition • Pay & Display | ANPR Linked Automated Payment System • Site Surveys | Real-time information, analysis and trend data • Parking Attendants | Tra
Slide 26: ANPR: How it works
ANPR: How it works | Automatic number / license plate recognition (ANPR) is a reliable, cost effective off-street parking management solution. It is proven to serve a wide range of industries including supermarkets, retail, hotels, hospitals and leisure centres. Smart Parking’s ANPR solution ensures
Slide 27: Glossary and legal disclaimer
Glossary ANPR – Automatic Number Plate Recognition cameras Adjusted EBITDA – The Board assesses the underlying performance of the Group based on a measure of Adjusted EBITDA which takes into account costs incurred in the current period but which are non-operating and/or are not expected to occur in