Slide 1: FY24 Results Presentation
FY24 Results Presentation 21 August 2024
Slide 2: Acknowledgement of country
Acknowledgement of country Bapcor would like to acknowledge the Traditional Custodians of country throughout Australia. We pay our respect to elders past and present. We recognise the continued connection of all First Nations people with country across Australia, in particular, and on all the land w
Slide 3: Agenda
Agenda Content 1. FY24 Group Highlights 2. Segment Summaries 3. FY24 Financial Summary 4. Summary and Outlook Appendices 1. Key Financial Reconciliations 3
Slide 4: Asia Pacific's leading provider of vehicle parts, accessories, equipment, service and solutions
Asia Pacific’s leading provider of vehicle parts, accessories, equipment, $2.0B Top 3 955 FY24 REVENUE BRAND ACROSS NATIONAL BRANCH service and solutions ALL SEGMENTS FOOTPRINT Australia's leading Industry leaders in Premium parts and Services New Zealand trade focused electrical and truck accessori
Slide 5: FY24 Group Highlights
FY24 Group Highlights Mark Bernhard Interim Managing Director and CEO 5
Slide 6: Executive Summary
Executive Summary Revenue Gross Margin % › Pro-forma NPAT of $94.8M, in line with guidance › Growth in group revenue up 0.8% to $2.0B $2.0B 46.2% 0.8% on FY23 45bps on FY23 › Share maintained in Trade segment › Group results negatively impacted by Retail and Wholesale and higher corporate costs EBIT
Slide 7: Better Than Before Program - Update
Better Than Before Program - Update › BTB program was primarily focused on margin improvement across key areas of procurement, pricing, supply chain and property › $25M of BTB cost have been pro formed out in FY23 & 1H24 › FY24 NPAT benefit achieved was minimal (gross benefits offset by higher CODB)
Slide 8: Management Actions
Management Actions Key focus areas to simplify the business: 1) Supply Chain Network Rationalisation › Simplifying the supply chain network by consolidating circa 20% smaller warehouses, optimising costs and releasing inventory 2) Support function (Head office rationalisation) › In 2H24 more than 10
Slide 9: Segment Summaries
Segment Summaries Mark Bernhard Interim Managing Director and CEO 9
Slide 10: FY24 Segment Overview
FY24 Segment Overview 1. Revenue by type Revenue EBITDA 8% 11% 81% Non discretionary – 36% Trade & Wholesale 20% 18% 43% Trade Specialist Wholesale Retail 10% Non-discretionary - Retail NZ 36% 9% Discretionary - 28% Retail Revenue EBITDA Segment ($M) FY24 FY23 % FY24 FY23 % Trade 767.3 763.2 0.5% 12
Slide 11: Trade
Trade Australia’s leading distributor of vehicle parts and equipment Key highlights solutions for the Trade › Market share maintained in the general parts category and gains in equipment category FY24 FY23 PCP $M $M › Network expansion with three new stores in Portland (Vic) and Cardiff and Silverwa
Slide 12: Specialist Wholesale
Specialist Wholesale Truck, electrical and specialist wholesale market leader, Key highlights aggregator and importer for One Bapcor › Both Specialist Networks and Wholesale continued to deliver FY24 FY23 sales growth. 1H24 declines in Wholesale were offset by PCP growth in 2H24 $M $M Revenue › Lowe
Slide 13: Retail
Retail Full-offer retailer and service centre providing best-in-class Key highlights consumer shopping and fitment services › Revenue declined 1.2% impacted by challenging economic conditions with lower sales in discretionary categories (sound FY24 FY23 PCP & vision, roof racks and bull bars) partly
Slide 14: New Zealand
New Zealand Integrated trade and wholesale group providing leading Key highlights parts and equipment solutions across New Zealand FY24 FY23 › Revenue decline in 2H24 due to challenging macro PCP environment impacting consumer spending and business $M $M confidence Revenue 176.1 176.1 Flat › EBITDA
Slide 15: FY24 Financial Summary
FY24 Financial Summary George Saoud Chief Financial Officer 15
Slide 16: Income Statement
Income Statement Key points $M FY24 FY23 % change Revenue 2,036.9 2,021.1 0.8% › NPAT of $94.8m, with 2H24 NPAT of $40.6M in-line Cost of Goods Sold (COGS) 1. (1,094.9) (1,077.3) 1.6% with guidance Gross Margin 942.0 943.8 (0.2%) Cost of Doing Business (CODB) (673.6) (645.2) 4.4% › Revenue growth of
Slide 17: FY24 Significant items breakdown
FY24 Significant items breakdown $M 1H 2H FY24 Commentary DCQ consolidation 3.6 3.5 7.1 Pre-commissioning & transition ramp up costs for DCQ to steady state which is achieved DC Network rationalisation relates to closure of circa 20% of smaller warehouses with operations DC Network rationalisation -
Slide 18: Cash Flow
Cash Flow $M 1 FY24 FY23 Key points EBITDA – Pro Forma 268.4 298.6 Operating Cash Flow Cash conversion % 206.7 77.0% 320.7 107.4% › Significant improvement in 2H24 cash conversion of 90.8% (1H24 65.1%) driven by improved working capital Interest (23.1) (14.4) management in Q4 Finance lease costs (78
Slide 19: Balance Sheet
Balance Sheet $M 30 Jun 24 30 Jun 23 Key points Cash 71.6 78.6 Trade and other receivables 198.6 239.6 Inventories Income tax receivable 541.2 10.9 519.7 20.5 › Improved working capital management in Q4 Assets held for sale 28.3 - including receivables collection, negotiating Total current assets 85
Slide 20: Net Debt - including debt facilities and maturity profile
Net Debt- including debt facilities and maturity profile $337.1M >$280M ~3.7 years 1.70x NET BANK DEBT UNDRAWN COMMITTED AVERAGE REMAINING NET LEVERAGE RATIO FACILITIES TENOR › In June refinanced $200m of debt facilities and upsized by DEBT MATURITY PROFILE ($’M) $100m to $300m maturing in 2028 and
Slide 21: Summary and Outlook
Summary and Outlook Mark Bernhard Interim Managing Director and CEO 21
Slide 22: Summary & Outlook
Summary & Outlook Focus on the basics: key actions to simplify the business, reset the cost base, drive efficiency and deliver future growth › Disappointing result for FY24 but groundwork in place to set the business up for the future › Operational improvements in progress › Supply chain network rat
Slide 23: Appendices
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Slide 24: Statutory to Pro Forma reconciliation
Statutory to Pro Forma reconciliation FY24 Consolidated › The table reconciles the statutory results to the pro- forma results Impairment, Restructuring › These tables are subject to rounding $M Statutory DC Rationalisation BTB and other Pro-Forma Revenue 2,036.9 2,036.9 › NPAT attributable to membe
Slide 25: Disclaimer
Disclaimer The material in this presentation has been prepared by Bapcor Limited (“Bapcor”) ABN 80 153 199 912 and is general background information about Bapcor’s activities current at the date of this presentation. The information is given in summary form and does not purport to be complete. Infor
Slide 26: Asia Pacific's leading provider of vehicle parts, accessories, equipment, service and solutions
Asia Pacific’s leading provider of vehicle parts, accessories, equipment, service and solutions 26