Wiseway Group Ltd. · ASX:WWG
Wiseway — FY2021 Earnings Presentation
33 slides from Wiseway's earnings presentation, Sep 15, 2021
Slide 1: FY21 Results Presentation
Wiseway Group Limited For personal use only ASX: WWG FY21 Results Presentation 15 September 2021 Florence Tong - Managing Director 1
Slide 2: Contents
Contents FY21 Results Overview1 3 For personal use only Acquisition of TAF e-Logistics (Asia) Pte Ltd (‘‘TAF’’) 13 Business Overview 16 Strategy and Outlook 21 Appendix 28 1) Based on the Company’s FY21 Preliminary Annual Report (Appendix 4E) released on 31 August 2021 2
Slide 3: FY21 Results Overview
For personal use only FY21 Results Overview 3
Slide 4: A significant FY21 net profit result – strong growth momentum in the business
A significant FY21 net profit result – strong growth momentum in the business Key financial highlights Business highlights For personal use only First full-year profit since listing in 2018, driven by significant $1.8m revenue growth and benefits of scale and operating leverage Net Profit After Tax
Slide 5: Global growth strategy – expansion into US and Singapore
Global growth strategy – expansion into US and Singapore For personal use only Wiseway US Shanghai Los Angeles Wiseway Branch Wiseway China Guangzhou Wiseway Branch Darwin1 Wiseway Wiseway Singapore Brisbane Headquarters 1 warehouse facility Perth 1 warehouse facility Sydney Auckland Adelaide Wisewa
Slide 6: Strong momentum in organic revenue growth
Strong momentum in organic revenue growth Revenue Growth (%) Strong organic revenue growth For personal use only 160 26.9% 23.5% • 23.5% increase in Group revenue driven predominantly by 120 7.9% 15.0% significant growth in non-traditional business segments 49.0% 80 • Freight volumes more than doubl
Slide 7: A step change in profitability
A step change in profitability ($m unless stated otherwise) FY21 FY20 Change % Strong financial and operating performance For personal use only Revenue 126.0 102.0 23.5% Direct expenses (95.2) (74.7) 27.4% • A notable turnaround in profitability as the business Gross profit 30.8 27.3 12.8% realises
Slide 8: A strong balance sheet supporting future growth
A strong balance sheet supporting future growth For personal use only Balance Sheet 30 Jun 2021 30 Jun 2020 Change % Diligent working capital practices Cash and cash equivalents 9.9 8.6 15.4% • Strong liquidity with a steady current ratio of 1.1 Trade and other receivables 6.7 8.3 -18.9% • Evident 1
Slide 9: A strong cash flow position
A strong cash flow position Operating cash flow For personal use only ($m unless stated otherwise) FY21 FY20 Change % • Operating cash flow up 83%, driven by strong operating Net cash from operating activities 7.0 3.8 +83% performance and prudent working capital management Net cash from investing ac
Slide 10: An integrated freight and logistics operator with diversified income streams
An integrated freight and logistics operator with diversified income streams Revenue growth driven by non-traditional business segments For personal use only Export Imports and Distribution Road Transportation GSA/CSA Dry cargo Perishables General cargo Sea freight Airtruck Airnex (air freight) (air
Slide 11: A diversified business across segments, customers and geographies
A diversified business across segments, customers and geographies For personal use only 37% 28% ~38% Revenue contribution from Revenue share from the Share of perishables and imports freight non-traditional business segments Company’s top five customers, volume with fast growing Asian and global ref
Slide 12: Disciplined progress on strategic business initiatives
Disciplined progress on strategic business initiatives FY21 achievements For personal use only • Planned and negotiated the acquisition of TAF e-Logistics and successfully completed the transaction in August 2021 Strategic milestones • Launched Wiseway’s first office in the United States and recruit
Slide 13: Acquisition of TAF e-Logistics (TAF)
For personal use only Acquisition of TAF e-Logistics (TAF) 13
Slide 14: Strategic acquisition of TAF e-Logistics
Strategic acquisition of TAF e-Logistics Financial metrics1 For personal use only $1.7m Annual revenue IATA-licensed Airfreight company for FY20 Years serving Southeast Asian and $1.1m 30 ASEAN logistics market Net assets As of 30 June 2020 Customs-bonded warehouse strategically located within Singa
Slide 15: Acquisition of TAF – strategic presence in the heart of Southeast Asia's logistics hub
Acquisition of TAF – strategic presence in the heart of Southeast Asia’s logistics hub Singapore – A strategic cargo hub For personal use only in Southeast Asia #1 Australia’s inbound and outbound air freight trade destination1 18% of Australia's total airfreight traffic activity1 3m tonnes annual a
Slide 16: Business Overview
For personal use only Business Overview 16
Slide 17: Robust growth journey with significant milestones
Robust growth journey with significant milestones IPO For personal use only 2005 2018 2020 2021 Foundation for a succesful business Business model diversification Global integrated operating platform ✓ Established warehouses in six major ✓ ASX-listing in October 2018, raising $20 million ✓ Investmen
Slide 18: Vision and values
Vision and values For personal use only Faster Safer Wiser Innovation Integrity Deploy the latest industry innovations and Offer the highest levels of transparency in internal proprietary technologies that delivering logistics services stemming from optimise operations and enhance customer a deep un
Slide 19: Agile and globally scalable business model
Agile and globally scalable business model Global network and footprint Leading market position For personal use only ✓ Established presence across six ✓ Established market position with high continents with in-country presence in New barriers to entry Zealand, China, Singapore and the US ✓ #1 Austr
Slide 20: Strategic partnerships in an industry built on relationships
Strategic partnerships in an industry built on relationships and connecting people For personal use only Long-standing Global team Strategic industry customer relationships capabilities partnerships ✓ A diverse portfolio of ✓ Experienced leadership team, ✓ Long-standing GSA and customers supported b
Slide 21: Strategy and Outlook
For personal use only Strategy and Outlook 21
Slide 22: A focused global growth strategy with disciplined execution
A focused global growth strategy with disciplined execution For personal use only Diversify Integrate Expand • Continue to expand product offerings • Provide logistics solutions through a lean, • Build on expansion momentum into Los beyond the traditional dry cargo integrated and tech-enabled platfo
Slide 23: Expanding global addressable market led by the US and Asia-Pacific regions
Expanding global addressable market led by the US and Asia-Pacific regions US$145b 11% 57% For personal use only Market size of US freight Annual growth in global Asia-Pacific’s share of forwarding market1 airfreight traffic activity global e-commerce logistics over 2020-2025 period2 growth over 202
Slide 24: Uniquely positioned to benefit from emerging industry trends
Uniquely positioned to benefit from emerging industry trends Expanding international trade industry with new free trade agreements, and For personal use only logistics companies becoming increasingly globalised Scale investment in global logistics infrastructure (e.g. the Belt and Road Initiative) t
Slide 25: Clear focus on future business priorities
For personal use only Clear focus on future business priorities FY22 priorities • Integration of the TAF e-Logistics business into Wiseway Group’s global operations Strategic • Explore additional cities in the US (Chicago and New York) and globally as future locations for new Wiseway hubs • Expand t
Slide 26: Summary and outlook
Summary and outlook Summary For personal use only ► A significant FY21 result with a positive full-year net profit, an evident outcome of Wiseway’s strategic investment in the business in the last two years ► Continued to seamlessly support customers in Australia and globally with essential import a
Slide 27: Questions
For personal use only Questions 27
Slide 28: Appendix
For personal use only Appendix 28
Slide 29: Profit and Loss Statement
Profit and Loss Statement Profit and loss • A steady revenue performance in the second half of FY21 vs. the second half of ($m unless stated H1 21 H2 21 FY21 FY20 Change % For personal use only FY20 otherwise) Revenue 69.7 56.3 126.0 102.0 23.5% • H2 21 result reflects lower economic activity during
Slide 30: Balance sheet
Balance sheet Financial position 30 Jun 2021 30 Jun 2020 Change % ($m unless stated otherwise) For personal use only Current assets: Cash and cash equivalents 9.9 8.6 15.4% Trade and other receivables 6.7 8.3 -18.9% Inventories 0.1 0.1 - Current tax assets - 0.9 -100% Other assets 4.2 1.7 154.7% Tot
Slide 31: Statement of Cash flow
Statement of Cash flow ($m unless stated otherwise) FY21 FY20 Change % For personal use only Cash Receipts from Customers 128.0 103.4 23.8% Cash paid to suppliers and employees (120.0) (97.4) 23.2% Net Interest Paid (1.4) (1.6) 33.3% Income Taxes received (paid) (0.5) (0.6) -10.0% Net cash from oper
Slide 32: Disclaimer
Disclaimer For personal use only This presentation contains summary information about Wiseway Group Limited (Wiseway) and its subsidiaries and their activities. The information in this presentation does not purport to be complete. It should be read in conjunction with Wiseway’s other periodic and co
Slide 33: Contact us
For personal use only Contact us Company/investor enquiries: admin@wiseway.com.au Media/investor enquiries: Noha Habib +61 449 571 078 33 Wiseway@symbolstrategic.com.au