Invicta Holdings Limited · JSE:IVT
Invicta — FY2024 Earnings Presentation
61 slides from Invicta's earnings presentation, Jun 24, 2024
Slide 1: Final Results Presentation 2024
FINAL RESULTS PRESENTATION 2024 FOR THE YEAR ENDED 31 MARCH rf Invicta HOLDINGS LIMITED Innovative solutions that empower industries, for a sustainable future
Slide 2: Disclaimer
O rvicta HOLDINGS LIMITED Welcome Disclaimer UL The information contained in this presentation may differ from the financial information pertaining to the audited financial results of Invicta Holdings Limited (“Invicta”), as published on SENS in terms of the JSE Listings Requirements. Certain perfor
Slide 3: Table of Contents
HOLDINGS LIMITED Welcome Table of Contents Welcome & Introduction Page 04 Who We Are Page 05 The Year at a Glance Page 07 Notable Achievements Page 08 Group Financial Overview Page 25 Operational Segment Review Page 54 Key Developments & Transactions Page 58 Prospects & Strategy wwwinvictaholdings.c
Slide 4: Who We Are
t Invicta HOLDINGS LIMITED Introduction Who We Are Invicta distributes world leading capital and earthmoving equipment, industrial, automotive and agricultural parts, often exclusively, which we try to ensure are always available and _ that are overlaid with a technical and service solution. WN We t
Slide 5: The Year at a Glance: Global impacts
O rvicta HOLDINGS LIMITED Introduction The Year at a Glance LILIA A Global impacts: + Wars in Ukraine and Middle East * Global inflation remains high + Sustained period of high interest rates INVICTA HOLDINGS LIMITED | Final Results P: ation for the year ended 31 March 202 A
Slide 6: The Year at a Glance: South African impacts
t Invicta HOLDINGS LIMITED Introduction The Year at a Glance South African impacts: + Loadshedding continued + Water distruptions continue Floods in the Western Cape Increases in supplier pricing Volatility in currencies Supply chain challenges - including delays at the ports INVICTA HOLDINGS LIMITE
Slide 7: Notable Achievements
O Tevicta Introduction Sustainable Notable Operating Profit: Achievements Sustainable operating profit before net finance income on financing transactions and foreign exchange movements: Increased by 8% to R702m Increased sustainable Headline Earnings per share attributable to eselinoGaalligss ordin
Slide 8: Group Financial Overview
i Invicta HOLDINGS LIMITED Group Financial Overview For The Year Ended 31 March 2024 CEEEELEEELEELELLELEELEE © (ACTAHOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 9: Group Financial Overview: Operating Segments
t Compai cations 7 Replacement parts, Invicta fentee and celtane Distril it i South Alicg TRRDINGS LIMTTES istributor of parts for earthmoving equipment and Eure - it i engines. ; ; ; Earthmoving equipment Ie} ‘America Group Financial Overview ("RPE") nt ° lle Kian Ann Group Distributor and manufact
Slide 10: Group Sustainable Operating Profit
O rvicta HOLDINGS LIMITED Group Financial Overview Group Sustainable R'000 Mar 2023 Operating Profit Operating profit before net finance income on financing transactions 680 507 649 299 and foreign exchange as reported Add back: Impairment of other intangible assets 20476 7 Add back: Loss on termina
Slide 11: Kian Ann Group Contribution to Sustainable Headline Earnings
O Tevicta HOLDINGS LIMITED Group Financial Overview Kian Ann Group RF cr200s Contribution to R'o00 Mar 2023 Sustainable Headline Equity accounted earnings 166 707 152 851 Earnings ; ; : ; . Deduct: Profit on disposal of investment (Shanghai property) (31458) i Add back: Amortisation of Purchase Pric
Slide 12: Group Sustainable Headline Earnings
O Teicta HOLDINGS LIMITED Group Financial Overview Group Sustainable ieeagne Eamings R000 OA a... Headline earnings 459 021 497 082 Adjusted for the following net of tax: Add back: Amortisation of Purchase Price Allocation intangible assets 16912 14979 ("PPA assets") KKB, MIH Croup and KMP Add back:
Slide 13: Group Sustainable Results at a Glance
O Tevicta HOLDINGS LIMITED Group Financial Overview Group Sustainable Results at a Glance Operating profit * HEPS:*4 NAV per ordinary share Before net finance income and forex T 8% TS % T 13 -% to R702 million to R4.88 to R52.50 * Adjusted sustainable * Headline earnings per share is calculated base
Slide 14: Statement of Comprehensive Income (Extract)
1 ° Invicta HOLDINGS LIMITED R'000 Mar 2023 % Group Financial Overview Revenue 8 278 977 7769 948 7% Statement of Cost of sales (5543440) (5 246 005) 6% Comprehensive Income (Extract) Gross profit 2735 537 2523 943 8% 33% 32% Selling, administration (2 055 030) (1874 644) 10% and distribution costs
Slide 15: Statement of Comprehensive Income (Extract) continued
1 ° Invicta HOLDINGS LIMITED R'000 Ree Mar 2023 % Group Financial Overview Interest received 48 007 43 017 12% Finance cost (177 112) (131 222) 35% Statement of Share of profits from associates 5702 12 817 -56% Comprehensive Share of profits from joint ventures 172. 094 152 851 13% Income (Extract)
Slide 16: Statement of Financial Position: Assets
O ticta HOLDINGS LIMITED Group Financial Overview Statement of Financial Position: Assets EEE R'000 Mar 2023 Assets Property, plant and equipment (incl invest prop) 1261095 1139 610 IFRS 16 - Right of use assets 225 288 248 989 Derivatives - 11.262 Investments in associates 22051 67747 Investments i
Slide 17: Reconciliation of Carrying Value of Investments in Joint Ventures
O Tevicta HOLDINGS LIMITED Group Financial Overview Reconciliation of Carrying Value of Investments in Joint Ventures R'000 Investment in Kian Ann balance at 31 March 2023 1687 437 Add: Share of profit, net of taxation 166 707 Add: Foreign currency translation 91596 Less: Dividends declared (101 877
Slide 18: Statement of Financial Position: Assets (cont.)
O ticta HOLDINGS LIMITED Group Financial Overview Statement of Financial Position: Assets (cont.) Ms dddddddddddddddda Mar 2024 R'o00 Mar 2023 Assets Property, plant and equipment (incl invest prop) 1261095 1139 610 IFRS16 - Right of use assets 225 288 248 989 Derivatives - 1262 Investments in assoc
Slide 19: Inventory
O Tevicta HOLDINGS LIMITED RPE Group Financial Overview Inventory Md RPI RPA CE MacNeil Plastics Invicta Group R'000 Gross value Provision Net value Mar 24 470 392 31 332 439 060 Mar 23 506 284 38 014 468 270 Mar 24 1998 704 329 116 1 669 588 Mar 23 2 127 686 353;555: 1774 131 Mar 24 338 733 32505 3
Slide 20: Statement of Financial Position: Assets (cont.)
O rvicta HOLDINGS LIMITED Group Financial Overview Statement of Financial Position: Assets (cont.) WM UMM Ea R'000 Mar 2023 Assets Property, plant and equipment (incl invest prop) 1261095 1139 610 IFRS16 - Right of use assets 225 288 248 989 Derivatives - 11.262 Investments in associates 22051 67747
Slide 21: Statement of Financial Position: Equity & Liabilities
O ticta HOLDINGS LIMITED Group Financial Overview Statement of Financial Position: Equity & Liabilities Medd R'000 Mar 2024 Mar 2023 Shareholders’ equity 5770 060 5 339135 Borrowings 1105 486 1196 819 Finance lease liabilities 93 952 24990 IFRS 16 - Right of use lease liabilities 190 427 222 605 Emp
Slide 22: Total Net Interest-Bearing Debt
O Tevicta HOLDINGS LIMITED Group Financial Overview Total Net-Interest Bearing Debt MM R'ooo Mar 2023, Borrowings and finance lease liabilities non-current 1199 438 1221809 Borrowings and finance lease liabilities current 188 559 142 376 Cash (998 684) (799 957) Overdraft 94032 69 676 Net debt exclu
Slide 23: Bank Covenants
O Tevicta HOLDINGS LIMITED Group Financial Overview Bank Covenants 31 March 2024 VM ddd Invicta has complied with all covenants Covenants Requirement Achieved Net Debt to EBITDA Ratio 3.0 < 1.94 Interest Cover Ratio 3.5> 5.93 INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 3
Slide 24: Cash Flow Statement
I Invicta HOLDINGS LIMITED Group Financial Overview Cash Flow Statement R’ooo Mar 2024 Mar 2023 Cash flows from operating activities Cash generated from operations 817 862 639 099 Net finance costs (116 356) (79 133) Dividends paid to Group shareholders (182 150) (163 831) Dividends paid to non-cont
Slide 25: Operational Segment Review
i Invicta HOLDINGS LIMITED Operational Segment Review For The Year Ended 31 March 2024 INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 26: Replacement Parts Earthmoving
i Invicta HOLDINGS LIMITED Replacement Parts Earthmoving Replacement parts, services & solutions WUE INVICTA HOLDINGS LIMITED | Final Results Presentation forthe yeer ended 31 March 2024
Slide 27: Results Summary: Replacement Parts Earthmoving
O t Revenue Sustainable Operating Profit before forex I « (Rm) (Rm) HOLDINGS LIMITED 1200 1090 160 444 986 Operational Segment Review 900 120 ‘08 Results Summary 600847 a so 67 + oe 31 March 2024 300 40 Mar 2022 Mar 2023, Mar 2024 Mar 2022 Mar 2023 Mar 2024 Net Operating Assets Return on Net Operati
Slide 28: Sustainable Operating Profit before forex
I Sustainable Operating Profit before forex Invicta em HOLDINGS LIMITED 144 160 145 3 Operational Segment Review 4 a Results Summary oe 31 March 2024 100 5 50 25 Segmental operating IFRS 16 Interest Paid Amortisation of PPA Assets profit at March 312024 ELLE, INVICTAHOLDINGS LIMITED | Final Results
Slide 29: Revenue Contribution by Market Segment and Stream
O Tevicta HOLDINGS LIMITED By Market Segment Operational Segment Review Revenue Contribution 31 March 2024 17% 83% @ Earthmoving @ Agriculture WM dd dda By Revenue Stream @ Spare Parts INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 3: 100% 29
Slide 30: Outlook March 2024
O ticta HOLDINGS LIMITED Outlook 31 March 2024 General: + South African and UK operations continue to grow both revenue and profitability annually + Bonds store in KMP USA operations on track to open in first half of 2025 for supply into central America + USAand China operational performance were bo
Slide 31: Kian Ann: Heavy Machinery & Diesel Engine Parts
i Invicta HOLDINGS LIMITED Kian Ann Heavy Machinery & Diesel Engine Parts Kian ANN ENGINEERING PTE L1D 1 The Trusted Name In Heavy Machinery And Diesel Engine Parts INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31h
Slide 32: Results Summary: Kian Ann
Revenue Sustainable Operating Profit before forex t (S$m) (sSm) ° 201 Invicta 0 on m i x HOLDINGS LIMITED 225 30 26 24 Operational Segment Review + 15% 27% 150 20 Results Summary 31 March 2024 5 0 Mar 2022 Mar 2023 Mar 2024 Mar 2022 Mar 2023 Mar 2024 Net Operating Assets Return on Net Operating Asse
Slide 33: Kian Ann Sustainable Operating Profit before forex
I Invicta HOLDINGS LIMITED Operational Segment Review Results Summary 31 March 2024 KIAN ANN ENGINEERING Pte LTD Bd he ewe Nome i Hes Vacinery Nd Dis gine Pars Sustainable Operating Profit before forex (s$m) 30 25 Segmental operating Profit on disposal of investment Amortisation of PPA Assets Sustai
Slide 34: Kian Ann Revenue by Market Segment and Stream
i . Invicta By Market Segment By Revenue Stream HOLDINGS LIMITED Operational Segment Review 4% 19% Revenue Contribution “eet! 31 March 2024 ANN ENGINEERING PTE LTD 85% 81% ™@ GeneralTrading m Manufacturing & Industry m Heavy Machinery m® Automotive @ Mining m Agriculture & Forestry ® Construction WM
Slide 35: Kian Ann Revenue Contribution by Country
i By Country Invicta HOLDINGS LIMITED Operational Segment Review Revenue Contribution 31 March 2024 ANN ENGINEERING Pte LTD ® Non-Asian Countries ®™ United States WM dh dd da 24% @ Other Asian Countries @ Malaysia @ Indonesia ® Singapore INVICTA HOLDINGS LIMITED | Final Results Present 30% lm Other
Slide 36: Kian Ann Outlook
i CT Invicta General: + The overall business outlook for FY2025 is expected to remain subdued. HOLDINGS LIMITED Management is exploring ways to expand the revenue streams Operational Segment Review Outlook 31 March 2024 + Business activities are expected to be slow in most markets serviced by these
Slide 37: Replacement Parts Industrial
i Invicta HOLDINGS LIMITED Replacement Parts Industrial Replacement parts, services & solutions INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 38: Results Summary: Industrial
I Invicta HOLDINGS LIMITED Operational Segment Review Results Summary 31 March 2024 INDUSTRI Toss FouRtenT> Revenue Sustainable Operating Profit before forex (Rm (R'm) 6000 360 37 324 4716 4.865 4500 4437 2700-247 3000 2% 180 0% 1500 90 Mar 2022 Mar 2023 Mar 2024 Mar 2022 Mar 2023 Mar 2024 Net Opera
Slide 39: Industrial Sustainable Operating Profit before forex
t ° Sustainable Operating Profit before forex Invicta em) HOLDINGS LIMITED 360 Operational Segment Review 20 324 Results Summary soo [Se 31 March 2024 “8 240 180 120 60 Segmental operating IFRS 16 Interest Paid Impairment of other Sustainable operating profit at March 312024 intangible assets profit
Slide 40: Industrial Revenue by Market Segment
2% 2% 2% ss es "ll 18% 4% 8% | 17% ™ ¥ O 1 ° By Market Segment Invicta HOLDINGS LIMITED Operational Segment Review Revenue Contribution 31 March 2024 12% 15% B& Mining @ Industry ®@ Cash Sales @ Agriculture Construction @ Parastatals ®@ Retail/Trade ™ Other m Food & Beverage m Automotive & Transport
Slide 41: Industrial Revenue by Stream and Region
O Tevicta HOLDINGS LIMITED By Revenue Stream By Region Operational Segment Review Revenue Contribution 21% 31 March 2024 43% , 57% 1 79% m Consumables m Engineering B® South Africa m@ Africa INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024 41
Slide 42: Industrial Outlook
O ticta HOLDINGS LIMITED Operational Segment Review 31 March 2024 General: + Project business and order book remains strong and positive, especially in engineered items + Continued focus on industry segments such as food and beverage as well as warehousing and transportation to diversify exposure to
Slide 43: Replacement Parts Auto-Agri
i Invicta HOLDINGS LIMITED Replacement Parts Auto-Agri Replacement parts, services & solutions INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 44: Results Summary: Auto-Agri
Revenue t (Rim) Sustainable Operating Profit before forex (R'm) I ° nvicta ao 738 120 n HOLDINGS LIMITED n ” 600 51g 554 90 Operational Segment Review ‘Sang . 400 60 Results Summary 31 March 2024 200 30 Mar 2022 Mar 2023 Mar 2024 Mar 2022 Mar 2023 Mar 2024 Net Operating Assets Return on Net Operatin
Slide 45: Auto-Agri Sustainable Operating Profit before forex
I Invicta HOLDINGS LIMITED Operational Segment Review Results Summary 31 March 2024 120 100 80 20 Medd Sustainable Operating Profit before forex ®m) 94 Segmental operating profit at March 312024 IFRS 16 Interest Paid INVICTA HOLDINGS LIMITED | Final R Sustainable operating profit at 31 March 2024 45
Slide 46: Auto-Agri Revenue by Market Segment
2% 2% @\! O 1 Py By Market Segment Invicta HOLDINGS LIMITED Operational Segment Review 1% Revenue Contribution 31 March 2024 80% B® Automotive & Transport @ Construction ® Industry ® Agriculture @ Mining Ve INVICTA HOLDINGS LIMITED | Final Results Pre: 2024 46
Slide 47: Auto-Agri Revenue by Stream and Region
O Tevicta HOLDINGS LIMITED Operational Segment Review Revenue Contribution 31 March 2024 UMMM By Revenue Stream 2% Consumables ™ Engineering 98% By Region 40% @ Europe i South Africa INVICTA HOLDINGS LIMITED | Final Results Presentation for the ar ended 31 March 2024 60% 47
Slide 48: Auto-Agri Outlook
O ticta HOLDINGS LIMITED Operational Segment Review Outlook 31 March 2024 WMMUMUM hd General: Continued exploration into the expansion of the offshore portion of the business and to broaden the customer and product base Bedding down of the Imex acquisition and broadening the customer base by selling
Slide 49: Capital Equipment
i Invicta HOLDINGS LIMITED Capital Equipment Capital Equipment & Related Parts & Services CEs qq INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 50: Results Summary: Capital Equipment
Revenue Sustainable Operating Profit before forex t (Rim) (R'm) I ° 1192 nvicta 1200 1082 sone wm 1 © HOLDINGS LIMITED 900 90 81 Operational Segment Review v 13% 600 60 Results Summary ) 32% 31 March 2024 00 " Mar 2022 Mar 2023 Mar 2024 Mar 2022 Mar 2023 Mar 2024 Net Operating Assets Return on Net O
Slide 51: Capital Equipment Sustainable Operating Profit before forex
I Invicta ou Sustainable Operating Profit before forex HOLDINGS LIMITED Operational Segment Review Results Summary 31 March 2024 120 0 100 80 60 40 20 107 Segmental operating profit at March 312024 Md IFRS 16 Interest Paid INVICTA HOLDINGS LIMITED | Final R Sustainable operating profit at 31 March 2
Slide 52: Capital Equipment Revenue Contribution
O rvicta HOLDINGS LIMITED Operational Segment Review Revenue Contribution 31 March 2024 By Market Segment By Revenue Stream 20% @ Earth Moving 5% “ot 18% 72% 80% @ Materials Handling m Equipment m Rental lm Spare Parts m Service INVICTA HOLDINGS LIMITED | Final Results Pre: n for the year ended 31 M
Slide 53: Capital Equipment Outlook
O ticta HOLDINGS LIMITED Outlook 31 March 2024 Spare Parts: Demand for spare parts is increasing due to users extending the machine useful life - margins maintained Forklifts: (Logistics) Market demand subdued with demand for electric units picking up Market remains very competitive due to new Chine
Slide 54: Key Developments & Transactions
i Invicta HOLDINGS LIMITED Key Developments & Transactions For The Year Ended 31 March 2024 INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 55: Key Developments and Transactions in the Year
O Tevicta HOLDINGS LIMITED and Transactions in the year under review Share repurchases : and cancellations: The Group repurchased 2,239,672 of its ordinary and 267,243 of its preference shares in issue to the value of R88 million 3,002,164 ordinary and 267,243 preference shares held as treasury shar
Slide 56: Key Developments and Transactions Post Year End
I Invicta HOLDINGS LIMITED Key Developments and Transactions post year end Redemption of + The Group has elected to exercise the Group's right to redeem the 6,857,757 outstanding outstanding preference shares preference shares: Dividends on the preference shares will continue to accrue to preference
Slide 57: Key Developments Post Year End: Disposal and Acquisition
O ticta HOLDINGS LIMITED Key Developments ceed OO —CSsSCis post year end Disposal of KMP Holdings Limited to Kian Ann Engineering PTE LTD: On 26 April 2024, the Group concluded a share sale and purchase agreement to dispose of its 100% shareholding interest in KMP Holdings Limited including it's sub
Slide 58: Prospects & Strategy
i Invicta HOLDINGS LIMITED Prospects & Strategy For The Year Ended 31 March 2024 \ Wisse: INVICTA HOLDINGS LIMITED | Final Results Presentation for the year ended 31 March 2024
Slide 59: Prospects & Strategy Objectives
O ticta HOLDINGS LIMITED Prospects & Strategy Objectives: + Managing working capital and the balance sheet closely Objectives + Continued focus on optimising operations and cash generation + Managing the supply chain challenges + Looking for appropriate acquisitions and new products INVICTA HOLDINGS
Slide 60: Looking Forward
I Invicta HOLDINGS LIMITED LOOKING FORWARD
Slide 61: Thank you for your attendance & participation
Invicta HOLDINGS LIMITED Thank you for your attendance & participation www.invictaholdings.co.za For any further Investor Relations questions please contact: Vanessa Rech | Keyter Rech Investors Solutions | vrech@kris.co.za | 083 307 5600 or Sade Lekena | Invicta Holdings | legal@invictaholdings.co.