Maas Group Holdings Ltd. · ASX:MGH
Maas — Investor Day (June 2023)
35 slides from Maas's investor day presentation, Jun 8, 2023
Slide 1: Maas Group Holdings – Investor Presentation June 2023
ASX Announcement 8 June 2023 MAAS GROUP HOLDINGS – INVESTOR PRESENTATION JUNE 2023 For personal use only Maas Group Holdings Limited (“MGH” or the “Company”) attaches an investor presentation to be given by Mr Wes Maas, CEO and Managing Director, and management tomorrow at Maas’ Investor Day in Sydn
Slide 2: Maas at a glance
For personal use only ~1,800 41 17 ~550 ~8,000 ~872m 3 people quarries concrete assets residential commercial manufacturing plants for hire lots1 property GDV2 plants 1 Includes Land Lease Communities, total lot yield indicative only and subject to development approvals 2 As at May 2023 GDV is an es
Slide 3: Disclaimer
DISCLAIMER Important information The purpose of this presentation is to provide general information about MAAS Group Holdings Ltd (Maas or the Company) and its subsidiaries and business. The information in this presentation is current as at 9 June 2023. It is in summary form and is not necessarily c
Slide 4: Industrial and real estate operating segments
INDUSTRIAL OPERATING SEGMENTS REAL ESTATE OPERATING SEGMENTS For personal use only CONSTRUCTION CIVIL CONSTRUCTION MANUFACTURING RESIDENTIAL COMMERCIAL MATERIALS & HIRE & EQUIPMENT SALES REAL ESTATE REAL ESTATE • Quarries • Equipment Hire • Equipment Sales • Residential • Commercial • Concrete • Civ
Slide 5: Values: trust, teamwork, commitment, leadership
For personal use only TRUST TEAMWORK only earned through action focused on safety and solutions COMMITMENT LEADERSHIP deliver on commitments to customers the courage to strive for excellence CANDOUR OWNERSHIP transparent conversations to get it right empowered to get it right and be accountable for
Slide 6: Company history and growth since listing
Since listing Proforma EBITDA CAGR 34%1 Avg Return on Capital: 20%2 For personal use only 2023 2022 Ongoing growth and expansion across all 2020 Further operating expansion of segments construction Lists on the ASX materials and 2019 civil construction capability and 2014 Strategic geography into ac
Slide 7: Focused on regions with powerful structural growth drivers
Combined regional markets FOCUSED ON REGIONS WITH housing values >30.7% from the start POWERFUL STRUCTURAL of Covid, with the New England / North West and Central West GROWTH DRIVERS segments up an impressive 43.9% and 42.7% respectively >30% of GDP is generated in For personal use only Australia’s
Slide 8: Guidance and market conditions update
GUIDANCE & MARKET CONDITIONS UPDATE Tightened FY23 EBITDA Guidance Range: $150m - $165m • Strong project pipeline, energy projects to drive For personal use only incremental opportunity. Overall pipeline of major Includes fair value gains on property held for investment (expectation infrastructure a
Slide 9: Strategic priorities
For personal use only Return on capital discipline Managing costs and capex in continues to be at the centre of residential carefully to adjust to all decision making. near term realities. Focused on operational excellence, Execution of capital recycling extracting synergies across opportunities to
Slide 10: Presenters
For personal use only Damien Porter Director of Business Development Josh Large Director – Civil Construction and Hire Megan Byrne Manager Corporate Finance 9
Slide 11: Construction materials and civil construction & hire
CONSTRUCTION MATERIALS CIVIL CONSTRUCTION & HIRE For personal use only ASPHALT QUARRIES CIVIL SERVICES LOGISTICS ELECTRICAL GEOTECHNICAL TRANSMISSION & CONCRETE ENGINEERING EQUIPMENT HIRE DISTRIBUTION 10
Slide 12: Operations and asset portfolio on the east coast
MAAS CONTINUES TO GROW For personal use only ITS OPERATIONS AND ASSET PORTFOLIO FOCUSED ON THE EAST COAST OF AUSTRALIA. Key Maas Office / Hub Solar projects Quarry Battery storage projects Concrete Plant Wind projects Newell Highway Pumped hydro projects Inland Rail National Highway Major Railway Re
Slide 13: Positioned to support major energy and infrastructure investment
POSITIONED TO SUPPORT MAJOR For personal use only ENERGY AND INFRASTRUCTURE $66bn $254bn INVESTMENT to be invested in large scale committed to major infrastructure Renewable Energy Zones projects until 2025 29% 87% >250 growth p.a increase of major infrastructure spend major infrastructure projects
Slide 14: Wind and solar farm projects and construction forecasts
SOLAR WIND • Clarke Creek Wind Farm • Clarke Creek Solar Farm For personal use only • Rye Park Wind Farm • Stubbo Solar Farm • Hills of Gold Wind Farm • Tallawang Solar Farm • Forest Wind Farm • Wellington North Solar Farm • Barneys Reef Wind Farm WIND FARM CONSTRUCTION $bn SOLAR FARM CONSTRUCTION $
Slide 15: Snowy Hydro 2.0
SNOWY HYDRO 2.0 PROJECT FACTS For personal use only LOCATION CLIENT Cooma, NSW Future Generation JV PROJECT OVERVIEW • Largest committed renewable energy project in Australia. • Project involves linking two existing dams through 27km of tunnels and building a new underground power station. SERVICES
Slide 16: Kidston Pumped Hydro
KIDSTON PUMPED HYDRO PROJECT FACTS For personal use only LOCATION CLIENT Kidston, QLD John Holland / Macdow JV PROJECT OVERVIEW • Largest committed renewable energy project in QLD. • 250MW Rapid Response Renewable Energy. • Project involves linking two redundant open cut mine pits from the former Ki
Slide 17: 132kV Maas services
For personal use only 132kV MAAS SERVICES • Local Road Upgrades • O&M Building Construction • Substation construction • Hand Over Underground Civil • Temporary Site Facilities & Camps • Underground cabling Install & • Bulk & Detailed Earthworks Works to Transmission Tower • Utilities Relocation Comm
Slide 18: Expanding strategic capabilities
Ug AUSTEK ROADS EXPANDING STRATEGIC ‘CAPABILITIES MACQUARIE GEOTECH Ww
Slide 19: Presenters
For personal use only John Grey General Manager – Residential Real Estate Craig Bellamy Chief Financial Officer 18
Slide 20: Residential land pipeline
~8,000* +15 >$1.8bn <$15k For personal use only Lots* Year pipeline Gross land development pipeline Land acq cost p/lot Geographically aligned to sought after regional growth centres, underpinned by infrastructure & investment projects ROCKHAMPTON Focused regional portfolio aligned to markets where
Slide 21: Lots and projects by location
Lots* Projects Active# Future# Pipeline Term For personal use only NSW Dubbo >2,600 7 2 5 15-18 years Mudgee 50 2 2 Nil 2 years Orange >350 2 1 1 6-8 years Tamworth >1,800 2 1 1 15-18 years Griffith >330 1 Nil 1 3-4 years Bathurst 89 1 Nil 1 2-3 years Lithgow >230 1 Nil 1 6-8 years QLD Rockhampton >
Slide 22: Land development activity timeline by estate
ESTATE LOCATION FY23 FY24 FY25 FY26 FY27 FY28 FY29 FY30 Killarney Estate, Kelso Bathurst For personal use only Southlakes Estate Dubbo > Keswick Estate Dubbo Magnolia Estate Dubbo Bunglegumbie Road Dubbo RAAF Residential Dubbo > Miriam Estate Dubbo > Sheraton View Estate Dubbo > Collina North Griffi
Slide 23: Residential challenges and response
Short term challenges in residential property mask a very strong fundamental outlook For personal use only CHALLENGES RESPONSE • Subdued buyer sentiment & decreased • Sustained sales values sale volume • Controlled land delivery program • Consecutive interest rate rises • Disciplined delivery of bui
Slide 24: Dubbo master planned community
>55K >200K For personal use only DUBBO NSW LGA POPULATION CATCHMENT 2,600 ~1,600 LOTS ORIGINAL LOTS REMAINING FEATURES MGH INTEGRATED DELIVERY • Western NSW’s largest master • Town planning & development planned community approvals • Parklands and waterways • Civil construction planning & • Childcar
Slide 25: Southlakes Estate, Dubbo
SOUTHLAKES ESTATE, DUBBO LOTS SIZES FROM 400m2 – 2,000m2 For personal use only TORRENS TITLE SUBDIVISIONS & GATED ESTATES LAND SALES, HOUSE & LAND, SPEC HOMES AND BTR PRODUCTS DETACHED HOMES, TOWNHOUSES, DUAL OCCUPANCIES AND RETIREMENT LIVING FIRST HOME BUYERS: >30% NEXT HOME BUYERS: >50% RETIREES:
Slide 26: Southlakes Estate price and rental trends
SOUTHLAKES ESTATE, DUBBO SOUTHLAKES AVERAGE 600M2 LOT SALE PRICE#: 2020 = $170,000* vs 2023 = $235,000* (+35%) For personal use only SOUTHLAKES AVERAGE BUILD CONTRACT SALE PRICE#: 2020 = $300,000* vs 2023 = $450,000* (+50%) SOUTHLAKES MEDIAN HOUSE RENTAL^: 2020 = $450 p/wk vs 2023 = $580 p/wk (+25%)
Slide 27: Residential drivers and fundamentals
DRIVERS For personal use only • Housing supply shortage • Rental vacancy crisis • Population growth in regions • Regional government infrastructure • Major private commercial operations and investment • Jobs vacancies and low unemployment • Increasing net overseas migration FUNDAMENTALS • Long-term
Slide 28: Presenters
For personal use only Shawn Maas General Manager – Commercial Real Estate Tanya Gale Executive Director of Corporate Development 27
Slide 29: Commercial property developments
~$872m 37 For personal use only Commercial Property Developments GDV1 LEVERAGE the internal Maas Group capabilities and IP to capture value through the commercial development and construction value chain. FOCUS on delivery and expansion in the Industrial, Self-storage, Childcare segments. • TWEED HE
Slide 30: Industrial sites GDV
For personal use only 5 $241M Sites GDV Fitzroy Street, Dubbo OPERATIONAL • Fitzroy St, Dubbo DEVELOPMENT • Tomago Industrial Subdivision, Newcastle • FY2025 – FY2026 • RAAF Development, Dubbo • FY2025 – FY2028 • Sandgate Industrial Subdivision, Newcastle • FY2025 – FY2026 • Tweed Heads Industrial S
Slide 31: Case studies: Fitzroy Street, Tomago, Sandgate
CASE STUDIES FITZROY STREET TOMAGO SANDGATE For personal use only Dubbo, NSW Newcastle, NSW Newcastle, NSW MAAS SERVICES • Planning approval • Planning approval • Planning approval • Pre-lease • Subdivision • Subdivision • Construction • Pre-lease • Existing lease income • Property management • Civi
Slide 32: Self-storage facilities
2,200 For personal use only 8 1 $67M Facilities GDV Units Progress shot Spacey Self Storage, Canberra OPERATIONAL EXPANSION • Dubbo • Canberra – DEC 23 • Bathurst • Goulburn – DEC 23 • Canberra • Goulburn DEVELOPMENT PIPELINE • Albury – JUN 24 • Port Stephens • Dubbo – DEC 23 • Orange • Kempsey – DE
Slide 33: Childcare facilities
For personal use only 6 $40M Facilities GDV Southlakes Childcare OPERATIONAL DEVELOPMENT • Southlakes, Dubbo • Wagga – JUN 24 • Orange – TBC • Singleton – JUN 24 • Southlakes #2 – JUN 24 • RAAF #1 – Jun 25 PIPELINE • Wagga • Maitland • Rockhampton • Balina • Tamworth • Tweed Heads • Hunter Valley /
Slide 34: Integrating the construction operations
CURRENT STATE For personal use only DELIVERED COMMERCIAL • David Payne and Maas Construction operating CONSTRUCTION PROJECTS independently • Internal work approx. 15% • Duplication of project support and administration functions FUTURE STATE David Payne Constructions • Integrated construction operat
Slide 35: Summary and outlook
For personal use only Tightened FY23 EBITDA guidance range: $150m - $165m, growth of 20%-32% YoY after wet weather impacted 1H23 Near term headwinds in residential property mask strong medium-term fundamentals Large number of planned renewable energy projects provide substantial incremental opportun