Vulcan Steel Ltd. · ASX:VSL
Vulcan Steel — Forsyth Barr Investor Day 2023
21 slides from Vulcan Steel's conference presentation, Apr 5, 2023
Slide 1: Vulcan to present at the Forsyth Barr Investor Conference
Vulcan Steel Limited (Vulcan), ASX: VSL, NZX: VSL ASX/NZX Release For personal use only 5 April 2023 Vulcan to present at the Forsyth Barr Investor Conference Please find attached a copy of Vulcan’s presentation for the Forsyth Barr Investor Conference at Eden Park (The Grand Hall, North Stand) in A
Slide 2: Forsyth Barr Investor Day 2023
For personal use only FORSYTH BARR INVESTOR DAY 2023
Slide 3: Disclaimer
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO For personal use only Disclaimer The material contained in this document is a presentation They may also be based on factors which are subject of information about Vulcan Steel Limited’s (“Vulcan”) to significant uncertainties and contingencies which activiti
Slide 4: Agenda
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO For personal use only Agenda 01 Introduction 02 Overview 03 Financials 04 Outlook & Guidance 05 Q&A 3
Slide 5: Introduction
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO 01 For personal use only Introduction 4
Slide 6: Introduction
FORSYTH BARR INVESTOR DAY 2023 INTRODUCTION VULCAN.CO Introduction For personal use only Vulcan is an industrial distributor and processor of steel and metal products across Australia and New Zealand Listed on the NZX and ASX seventeen Vulcan’s Total Shareholder Return We achieved NPAT of NZ$142m in
Slide 7: Overview
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO 02 For personal use only Overview 6
Slide 8: Vulcan's History
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO Vulcan’s History For personal use only The journey so far... Acquired Ullrich Successfully Aluminium’s Vulcan operates listed on the ASX extrusion, 29 logistics and on 4 November distribution Consolidated processing 2021. and fabrication Acquired int
Slide 9: Vulcan's Business
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO Vulcan’s Business For personal use only Vulcan recently added aluminium to the company’s steel & metals distribution and processing services offering STEEL METALS Steel Distribution Plate Processing Coil Processing Stainless Steel Engineering Steels
Slide 10: Vulcan's Business continued
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO Vulcan’s Business continued For personal use only Trans-Tasman positions with a national footprint and significant scale drive operating leverage and supply chain capability CAIRNS DARWI N TOWNSVILLE MACKAY W HA NGA REI x3 x3 ROCKHAMPTON A UCK LA ND
Slide 11: Vulcan's Business: business model at a glance
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO Vulcan’s Business For personal use only Our business model at a glance... OUTCOM E Accountable profit centres 97% Delivery in full, on time1 EN A BL ER S Internally developed Flat Structure fit-for-purpose IT OPER A TI ON A L EX CEL L EN CE Inventory
Slide 12: A Strong Track Record Over Time
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO A Strong Track Record Over Time For personal use only EBITDA BEFORE SIGNIFICANT ITEMS* (NZ$ millions) NPAT BEFORE SIGNIFICANT ITEMS * (NZ$ millions) 300 160 140 250 120 200 100 150 80 60 100 40 50 20 0 0 FY19* FY20* FY21* FY22 FY23 FY19* FY20* FY21*
Slide 13: Growth Strategy & Update
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO Growth Strategy & Update For personal use only Expansion of Business Brownfield Entry into new product and/or Mergers and improvement expansion geographies service offering Acquisitions initiatives • Strong track record in • Expanded into 10 regional
Slide 14: COVID-19 disruptions highlighted the strength of our Business Model
FORSYTH BARR INVESTOR DAY 2023 OVERVIEW VULCAN.CO COVID-19-related disruptions highlighted the For personal use only strength of our Business Model • Continue to favour local supply chain, where possible • Maintained a disciplined approach to management of inventory and product availability • A “tea
Slide 15: Financials
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO 03 For personal use only Financials 14
Slide 16: 1H FY23 Performance Highlights
FORSYTH BARR INVESTOR DAY 2023 FINANCIALS VULCAN.CO 1H FY23 Performance Highlights For personal use only REVENUE 1 GROSS PROFIT $/TONNE 1 GROSS MARGIN NZ$638m +30% 35.9% 2 +38% on NZ$463m in 1H FY22 1H FY23 on 1H FY22 -5.4% on 41.3% in 1H FY22 ADJUSTED EBITDA 1,3 ADJUSTED NPAT 5 (EXCLUDING SIGNIFICA
Slide 17: Balance Sheet Metrics & Dividend
FORSYTH BARR INVESTOR DAY 2023 FINANCIALS VULCAN.CO Balance Sheet Metrics & Dividend For personal use only • Remain financially well-positioned to execute on growth opportunities NET DEBT COVER (Net debt/EBITDA, pre IFRS 16) 3.5 • 60%-80% annual dividend payout policy retained 3.0 3.0 - Declared 1H
Slide 18: Outlook & Guidance
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO 04 For personal use only Outlook & Guidance 17 17
Slide 19: Outlook & Guidance
FORSYTH BARR INVESTOR DAY 2023 OUTLOOK & GUIDANCE VULCAN.CO Outlook & Guidance For personal use only Outlook Earnings Guidance • As outlined in August last year with our full year FY22 results, we • Based on current view of market conditions and recent trading, we expected the present financial year
Slide 20: Q&A
FORSYTH BARR INVESTOR DAY 2023 VULCAN.CO 04 For personal use only Q&A 19
Slide 21: For personal use only
For personal use only VULCAN.CO