AMCIL Limited · ASX:AMH
AMCIL — Investor Presentation (March 2018)
28 slides from AMCIL's investor presentation, Mar 14, 2018
Slide 1: AMCIL Limited Information Meetings Presentation
14 March 2018 For personal use only The Manager ASX Market Announcements Australian Securities Exchange Exchange Centre Level 4 20 Bridge Street Sydney NSW 2000 Electronic Lodgement AMCIL Limited Information Meetings Presentation Dear Sir / Madam Please find attached the presentation to be given at
Slide 2: Shareholder Meetings March 2018
For personal use only Shareholder Meetings March 2018
Slide 3: Disclaimer
Disclaimer AMCIL Limited and Australian Investment Company Services Limited (AFSL: 303209) and each of their respective For personal use only directors, officers and agents (together the Disclosers) have prepared the information contained in these materials in good faith. However, no warranty (expre
Slide 4: Introduction
For personal use only Introduction Shareholder Meeting March 2018
Slide 5: Labor Party Have Announced the Ending of Refundability of Franking Credits
Labor Party have Announced the Ending of Refundability of Franking Credits For personal use only • The Labor Party has announced that if elected it will stop excess franking credits being refunded to shareholders. • This particularly impacts individuals and self-managed super funds – charities, not-
Slide 6: Labor Party Have Announced the Ending of Refundability of Franking Credits
Labor Party have Announced the Ending of Refundability of Franking Credits For personal use only • We feel that this is an unfair attack on a specific section of the investing public and on low-income earners who hold investments outside super-funds that can offset extra franking-credits against con
Slide 7: Company Objectives and Recent Financial Performance
For personal use only Company Objectives and Recent Financial Performance Shareholder Meetings March 2018
Slide 8: AMCIL's Approach
AMCIL’s Approach Focused portfolio covering large and small companies. For personal use only Aim is to provide: • attractive returns through strong capital growth over the medium to long term; and • the generation of fully franked income – dividend paid annually. Our size means small companies can h
Slide 9: Current Profile of the Portfolio by Value
Current Profile of the Portfolio by Value - as at February 2018 For personal use only Shareholder Meetings March 2018
Slide 10: Half Year Summary – to December 2017
Half Year Summary – to 31 December 2017 For personal use only Shareholder Meetings March 2018
Slide 11: Share Price is Trading at a 6% Discount to Net Asset Backing
Share Price is Trading at a 6% Discount to Net Asset Backing For personal use only Shareholder Meetings March 2018
Slide 12: Share Price Return Including Dividends and Benefit of Franking Credits
Share Price Return Including Dividends and Benefit of Franking Credits – 10 Years to 28 February 2018 For personal use only AMCIL S&P/ASX 200 Accumulation Index Shareholder Meetings March 2018
Slide 13: Changes to Tax Legislation – Franking Credits
Changes to Tax Legislation – Franking Credits • The Federal Government has proposed retrospective legislation to prevent Investment For personal use only Companies claiming the lower company tax rate until 2023–24. • We are still waiting for it to be enacted. If passed AMCIL will continue to pay tax
Slide 14: The Market and Portfolio
For personal use only The Market and Portfolio Shareholder Meetings March 2018
Slide 15: The Market Has Been Strong with Small and Mid Cap Companies Delivering Outperformance
The Market has Been Strong with Small and Mid Cap Companies Delivering Outperformance For personal use only ASX Mid Cap ASX Small Cap ASX 200 Shareholder Meetings March 2018
Slide 16: With Resources Very Strong in the Small and Mid Cap Sectors
With Resources Very Strong in the Small and Mid Cap Sectors For personal use only Small resources Mid cap resources Small industrials Mid cap industrials Shareholder Meetings March 2018
Slide 17: Portfolio Performance Including Benefit of Franking Credits
Portfolio Performance Including Benefit of Franking Credits* – to 28 February 2018 For personal use only Shareholder Meetings March 2018
Slide 18: Strongest Contributors for the Financial Year to Date
Strongest Contributors for the Financial Year to Date For personal use only Shareholder Meetings March 2018
Slide 19: Positioning of the Portfolio – Larger Companies
Positioning of the Portfolio – Larger Companies Offering Growth For Buy and Write Option Strategies For personal use only Shareholder Meetings March 2018
Slide 20: Positioning of the Portfolio – Growth Companies
Positioning of the Portfolio – Growth Companies Very Good Management, Credible Growth, Unique Product Positions. For personal use only Shareholder Meetings March 2018
Slide 21: Positioning of the Portfolio – Value Opportunities
Positioning of the Portfolio – Value Opportunities For personal use only Shareholder Meetings March 2018
Slide 22: Top Investments as at February 2018
Top 20 Investments as at 28 February 2018 Rank Company % of Portfolio For personal use only 1 BHP* 7.5% 2 Westpac Banking Corporation* 4.7% 3 National Australia Bank* 4.6% *Based on net operating result 4 CSL* 4.4% 5 Lifestyle Communities 4.2% 6 Commonwealth Bank of Australia* 4.0% 7 Qube Holdings 3
Slide 23: Top Investments as at February 2018 continued
Top 20 Investments as at 28 February 2018 continued Rank Company % of Portfolio For personal use only 11 Transurban Group 2.5% 12 Seek* 2.4% 13 Computershare* 2.3% *Based on net operating result 14 Amcor* 2.2% 15 CYBG* 2.2% 16 Rio Tinto* 2.1% 17 Freedom Foods Group 2.1% 18 Wellcom Group 2.1% 19 Wool
Slide 24: Major Sales This Financial Year
Major Sales This Financial Year For personal use only Complete disposal Under a takeover offer complete disposal Shareholder Meetings March 2018
Slide 25: Moving Forward
For personal use only Moving Forward Shareholder Meetings March 2018
Slide 26: Moving Forward
Moving Forward • AMCIL close to fully invested. For personal use only • Company reporting season was satisfactory without being outstanding • Great value remains difficult to find. • Increased volatility from US interest rate rises (and policy positions) may provide investment opportunities. Shareho
Slide 27: Moving Forward continued
Moving Forward continued Whilst the 1 year forward p/e for the S&P/ASX 200 index Stocks in the Goldman Sachs ‘High Multiples’ screen has moved down… trade at an average forward P/E of 29x, 43% above the For personal use only 15-year average. Shareholder Meetings March 2018
Slide 28: For personal use only
For personal use only