Ntaw Holdings Limited. · ASX:NTD
Ntaw — National Tyre & Wheel — H1 FY2021 Earnings Presentation
17 slides from Ntaw's earnings presentation, Feb 23, 2021
Slide 1: Financial Results: Six Months to 31 December 2020
For personal use only Financial Results Six Months to 31 December 2020 22 February 2021
Slide 2: Important Information and Disclaimer
Important Information and Disclaimer For personal use only ❑ This presentation may contain certain unaudited financial information in relation to National Tyre & Wheel Limited (“NTD” or the “Company” or “the “Group”). As such, it has not been subject to an audit or an audit process or otherwise inde
Slide 3: Building a new growth platform
Building a new growth platform For personal use only When NTAW listed on the ASX in December 2017, it announced its intention to seek diversity and scale. Having achieved that objective, the Group is now focussed on building a new platform for growth that will respond to important changes that are o
Slide 4: Financial Results
Financial Results For personal use only 1H21 includes 5 months ownership of Tyres4U (Australia and NZ). FY21 Revenue is on track to reach about $460m – 1H21 Revenue of $212m with Group revenue (ex Tyres4U) up by 19% on pcp. 1H21 Operating EBITDA1 of $15.4m compared to $5.0m in pcp. Over 50% of this
Slide 5: Trading Highlights
Trading Highlights For personal use only Demand for some key 4WD and passenger tyres increased with lower prices resulting from near source procurement. Record sales achieved in agricultural tyres due to robust rural economies in Australia. Strong wheel sales growth from new products, geographic exp
Slide 6: Trading Highlights
Trading Highlights For personal use only Gross margins improved with favourable FX movement and supply issues from shipping delays reducing the level of discounting in the industry. Growth in Tyres4U NZ market share for existing products and ETD NZ growth from new products as well as near source pro
Slide 7: Summary of Results
Summary of Results For personal use only Comments Statement of Profit or Loss $'000 1H21 1H20 ▪ 1H21 includes 5 months contribution from Tyres4U businesses in Australia Sales revenue 212,403 80,446 and New Zealand Cost of goods sold (152,154) (58,757) Gross profit 60,249 21,689 ▪ 1H21 gross margin h
Slide 8: Balance Sheet & Key Operating Metrics
Balance Sheet & Key Operating Metrics For personal use only Statement of Financial Position $'000 Dec-20 June-20 Current assets Comments Cash and cash equivalents 22,246 25,859 Receivables 61,622 23,215 ▪ Tyres4U assets & liabilities – the 31 December 2020 balances include assets and Inventory 96,67
Slide 9: 1H21 – Key strategic objectives achieved
1H21 – Key strategic objectives achieved For personal use only In FY20 the Group made some key strategic decisions in relation to product sourcing and mix, sales management, customer contact centre operations and geographic expansion. The Group also persevered with the pursuit of earnings accretive
Slide 10: 1H21 – Debt facilities & merger synergies in 1H21
1H21 – Debt facilities & merger synergies in 1H21 For personal use only Debt Facilities As part of the Tyres4U acquisition, the Group obtained a new debt facility from Commonwealth Bank of Australia. The facility includes fixed elements for equipment finance, contingent liabilities and credit cards
Slide 11: Outlook – Cooper Supply Agreement
Outlook – Cooper Supply Agreement For personal use only Exclusive Tyre Distributors Pty Limited (“ETD” - a wholly owned subsidiary of NTAW) and Cooper are parties to an Agreement that appoints ETD as the exclusive distributor of certain Cooper branded products in Australia, New Zealand and PNG (the
Slide 12: Outlook - Operations
Outlook - Operations For personal use only NTAW remains confident that improved trading performance in 1H21 can mostly be attributed to the successful execution of various strategies, including the initiatives taken over the past 18 months. Confidence that the earnings trajectory evident in 1H21 wil
Slide 13: Outlook – Shareholder value
Outlook – Shareholder value For personal use only NTD Share Price NTD Share Price: Last 12 months Market Cap ≈ $122.2m @ $1.06 per share 1.20 (based on closing price on 22 February 2021). 1.00 0.80 Basic EPS for 1H21: 8.67c 0.60 $ 0.40 0.20 Net tangible assets at 31 Dec-20: $64.3m, or $0.56 per shar
Slide 14: Thank You
For personal use only Thank You
Slide 15: National Tyre & Wheel
National Tyre & Wheel For personal use only Specialised brand building business focussed on tyre and wheel importing & Experienced Management Team & Board distribution Leading position in 4WD, SUV tyres, steel wheels & OEM wheels and tyres to caravan manufacturers, with the acquisition of Tyres4U gi
Slide 16: NTAW Distribution Platform
NTAW Distribution Platform For personal use only 30 Distribution Centres NTAW 3rd Party Logistics Over time, the Group will combine warehouses and offices in Sydney, Melbourne, Adelaide, Brisbane and Perth (22 facilities to 13). 16
Slide 17: A diversified brand building business
A diversified brand building business Business Units For personal use only Exclusive Brands 17
National Tyre & Wheel — H1 FY2021 Earnings Presentation on 6ix