Pennant International Group Plc · LSE:PEN

Pennant International — H1 2023 Earnings Presentation

21 slides from Pennant International's earnings presentation, September 2023

Slide 1: The Integrated Product Support (IPS) Software and Services Company
The Integrated Product Support (IPS) Software and Services Company September 2023 Copyright 2022 © Pennant International Group Plc. All other trademarks are the property of their respective owners. PENNANT INTERNATIONAL GROUP PLC COMPANY PRESENTATION
Slide 2: Important Notice
This presentation is issued on behalf of Pennant International Group plc (the “Company”) solely for the purposes of providing existing and prospective investors in the Company with information primarily concerning the Company’s Important Notice financial performance for the period ended 30 June 2023
Slide 3: Overview of the period: Summary
Overview of the period Summary • Results inline, improved performance, momentum building - fourth consecutive trading period reporting a positive EBITA • On track to meet full year expectations • Record gross margin – 47% (H1 2022: 41%) • Net debt at period end of £1.9 million (H1 2022: net debt of
Slide 4: About Pennant
Pennant International Group was established over 65 years ago. About Pennant The company has evolved over the past six decades to become a market-leading, technology-led business with a truly global customer base, working in the Defence, Rail, Aerospace, Shipping, Nuclear Power and Space sectors. As
Slide 5: Our Vision
Our Vision: Pennant provides a suite of market leading software solutions and technical services that support the design, development, operation, maintenance and training of assets (“Integrated Product Support”) in defence, rail, commercial aerospace, space and shipping. Copyright 2022 © Pennant Int
Slide 6: End-to-end solution
End-to-end solution Defence, Aerospace, Rail, Shipping, Space, Nuclear Power Training Software Hardware Trainers Copyright 2022 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 8: Macro Environment
Supportive strategic backdrop for our products and services Macro Environment • Few competitors that can provide our end-to-end solutions and services. • New and emerging areas, such as Space where IPS adoption has only just started. • Global uncertainty (Europe / Indo Pacific) is resulting in incre
Slide 11: Headlines
Financial highlights for the period Headlines Group revenues of £7.1 million Gross profit margin of 47% EBITDA profit of £0.8 million Three-year contracted (H1 2022: £6.9 million) (H1 2022: 41%) (H1 2022: EBITDA profit of orderbook of £25million £0.4 million) (H1 2022: £27 million) 55% of revenues a
Slide 12: Segmental
Analysis of revenues for the period Segmental H1 2023 H1 2022 Revenue by region £m £m • Revenues diversified across regions UK & Europe 3.7 2.7 North America 2.2 2.4 • 46% of revenues generated from software & services Australasia 1.2 1.8 Total 7.1 6.9 Revenue by workstream H1 2023 H1 2022 £m £m Sof
Slide 13: Consolidated Income Statement
Consolidated Income Statement £m 30 June 2023 30 June 2022 31 Dec 2022 (Unaudited) (Unaudited) (Audited) Revenue 7.09 6.95 13.69 Gross profit 3.34 2.84 5.79 Administrative expenses (2.91) (2.82) (6.90) Other income - 0.05 0.12 EBITA / PBITA 0.51 0.07 0.53 Amortisation (0.71) (0.74) (1.52) Operating
Slide 14: Consolidated Balance Sheet
Sheet Consolidated Balance £m 30 June 2023 30 June 2022 31 Dec 2022 (Unaudited) (Unaudited) (Audited) Non-current assets 13.8 14.4 13.2 Current assets 6.7 7.4 6.6 Current liabilities (9.7) (10.1) (8.1) Non-current liabilities (0.6) (1.0) (1.0) Shareholders funds 10.2 10.7 10.7 • Non-current assets i
Slide 15: Consolidated Cash Flow
Consolidated Cash Flow £m 30 June 2023 31 Dec 2022 (Unaudited) (Audited) Net cash from operations 0.16 2.57 Investing activities (1.83) 0.36 Financing activities (0.10) (0.24) Net increase / (decrease) in cash and cash equivalents (1.77) 2.69 Cash and cash equivalents brought forward (0.43) (3.54) I
Slide 16: Net cash generated from operations
Net cash generated from operations Cash generated from operations (£m) 30 June 2023 31 Dec 2022 (Unaudited) (Audited) (Loss) for the period (0.38) (0.90) Depreciation 0.24 0.56 Amortisation 0.71 1.52 Share based payments 0.04 0.03 Other – finance, tax, RDEC etc 0.10 (0.58) Operating cash flow before
Slide 18: Period end order book
Period end order book Three-year contracted order book - aggregate £25m Scheduled for delivery Contract (£m) H2 2023 2024 2025 H1 2026 Engineered - General Dynamics – armoured vehicle trainer - - - - Engineered - UK OEM – helicopter maintenance trainer 3.1 3.5 - - Software & services – NA commercial
Slide 19: Pipeline
Selected Group Opportunities – active pipeline > £70m: Pipeline Single Source / Formally notified • Services (Aus) – long term programme supporting ILS partner with Technical Publications • Software licences – circa £1m of R4i and GenS software licences, North America & Europe 2024/2025 • Australia
Slide 20: Outlook
Outlook What are we looking to achieve? • Sustainable (recurring revenue) growth and profitability • Focus on software and services – order lead time, revenue recognition and margin impact • End to end solution - ‘Full spectrum’ of Pennant products and services offered and delivered in all key regio

Pennant International Group — H1 2023 Earnings Presentation on 6ix

Pennant International — H1 2023 Earnings Presentation

Slide 1: The Integrated Product Support (IPS) Software and Services Company

Slide 2: Important Notice

Slide 3: Overview of the period: Summary

Slide 4: About Pennant

Slide 5: Our Vision

Slide 6: End-to-end solution

Slide 7: Strategy: The story so far

Slide 8: Macro Environment

Slide 9: Global customers

Slide 10: Financial Results

Slide 11: Headlines

Slide 12: Segmental

Slide 13: Consolidated Income Statement

Slide 14: Consolidated Balance Sheet

Slide 15: Consolidated Cash Flow

Slide 16: Net cash generated from operations

Slide 17: Outlook

Slide 18: Period end order book

Slide 19: Pipeline

Slide 20: Outlook

Slide 21: Philip Walker CEO