Slide 1: FY19 Full-year results
FY19 Full-year results 28 August 2019 Ausdrill Limited ABN 95 009 211 474 trading as Perenti Global
Slide 2: Transformational 12 months
Transformational 12 months • Market guidance exceeded by 5%, with an underlying net profit after tax (before amortisation) of $103 million. Statutory net profit after tax of $181.3 million • Strong full-year cash conversion of 89% and operating cash flow of $206.9 million • Secured more than $3.4 bi
Slide 3: We are a global mining services provider
We are a global mining services provider Our Our Our Aspiration Purpose Principles To become the indispensable To create enduring value No shortcuts mining services company and certainty Never wasteful Smarter together Walk in their shoes Enable tomorrow 3
Slide 4: Principles to practice: A story of firsts
Principles to practice A story of firsts… • First female mining engineers working underground in India • First tele-remote loaders operated in India • Robotic solution to support Chrysos • First automated grade-control sample collection system • Underground project secured in Botswana 4
Slide 5: Where we operate
Where we operate • Working in 13 countries across 4 continents • Over 30 years experience, over 25 years in Africa • Significant investment in the communities in which we operate • More than 50 projects 5
Slide 6: Safety and people
Safety and people Lost Time Injury Frequency Rate (LTIFR) Workforce 1.2 8,270 1.0 6,103 5,206 4,441 4,521 0.6 0.4 0.2 Jun-15 Jun-16 Jun-17 Jun-18 Jun-19 Jun-15 Jun-16 Jun-17 Jun-18 Jun-19 FY19 workforce International Total Recordable Injury Frequency Rate (TRIFR) by geography workforce 10.7 4% 2% 10
Slide 7: Our mining services
Our mining services Surface Underground Investments Mining Mining FY19 proforma revenue FY19 proforma EBIT(A) FY19 proforma revenue FY19 proforma EBIT(A) FY19 proforma revenue FY19 proforma EBIT(A) 38% 23% 55% 67% 7% 10% FY19 proforma includes 100% of Barminco and AUMS and excludes any non-recurring
Slide 8: Financials
Financials
Slide 9: Financial highlights - proforma
Financial highlights - proforma Revenue EBIT(A) NPAT(A) ($bn) ($m) ($m) 217.0 128.3 2.0 188.1 104.3 1.7 • Strong financial performance for the group with proforma revenue of $2 billion, up 14.2% on FY18 • Proforma net profit after tax of $128.3 million, representing growth of 23.0% FY18 FY19 FY18 FY
Slide 10: FY19 Reconciliation of proforma to statutory results
FY19 Reconciliation of proforma to statutory results $million Revenue EBITDA EBIT NPAT Statutory Results 1,638.4 401.0 207.2 181.3 Less non-recurring items below 50% AUMS step acquisition gains - (198.4) (198.4) (198.4) A Transaction and one-off costs - 30.2 30.2 39.1 B Non-cash asset impairment - 1
Slide 11: Proforma profit and loss
Proforma profit and loss $million FY18 FY19 Change Revenue 1,724.6 1,969.8 14.2% • Strong financial performance delivering revenue growth on the back of new work and scope increases EBITDA 356.9 415.7 16.5% at existing operations EBITDA margin 20.7% 21.1% 40bps • EBITDA growth of 16.5% deliver
Slide 12: Group performance - proforma
Group performance - proforma Revenue EBIT(A) EBIT(A) Margin ROACE ($m) ($m) (%) (%) 217.0 10.9 11.0 15.9 16.9 1,969.8 188.1 1,724.6 FY18 FY19 FY18 FY19 FY18 FY19 FY18 FY19 FY19 revenue FY19 revenue FY19 revenue (by country) (by commodity) (by project) 2% 3% 4% 3% 3% 7% Australia 7% Gold 29% Top proj
Slide 13: Surface performance - proforma
Surface performance - proforma Revenue EBIT(A) EBIT(A) Margin ($m) ($m) (%) 65.5 9.0 Proforma revenue growth driven by Tabakaroni, Yanfolila, 725.4 746.1 56.4 7.6 Boungou and Nsuta, partially offset by the cessation of Edikan and Syama EBIT(A) performance impacted by challenges at Boungou, sub-optim
Slide 14: Underground performance - proforma
Underground performance - proforma Revenue EBIT(A) EBIT(A) Margin ($m) ($m) (%) 15.3 FY19 proforma revenue and EBIT(A) of $1,081 million and 1,081.2 165.4 14.2 $165 million, up 24% and 34% respectively on prior period 869.9 123.6 Outstanding performance driven by project wins and increased scope fro
Slide 15: Investments performance - proforma
Investments performance - proforma Revenue EBIT(A) EBIT(A) Margin ($m) ($m) (%) 142.6 17.1 FY19 proforma revenue and EBIT(A) of $143 million and 129.3 24.4 14.1 $24 million, up 10% and 34% respectively on prior period 18.3 Revenue driven by strong business performance by BTP, increased demand in the
Slide 16: Statutory cash conversion
Statutory cash conversion $million FY18 FY19 Underlying EBITDA 161.7 345.5 Renewed focus on cash backed earnings led to significant improvement in cash conversion, further Share of profits from AUMS (22.3) (10.7) improvements targeted Adjusted EBITDA 139.4 334.8 Movement in receivables (66.0) (26.6)
Slide 17: Statutory cash flow
Statutory cash flow $million FY18 FY19 Debt repayment relates to the repayment of Operating cash flows before interest and tax 90.9 298.2 Ausdrill’s US$300 million unsecured notes, that was Net interest expense (26.0) (57.9) offset by a drawdown under revolving credit facilities Taxation (12.3) (33.
Slide 18: Statutory balance sheet
Statutory balance sheet $million FY18 FY19 Significant movement in statutory balance sheet Cash and cash equivalents 137.3 223.5 reflects Barminco acquisition and capital raising that Receivables 230.5 399.4 was partially offset by non-cash asset impairment in Inventories 212.6 251.1 the Surface Min
Slide 19: Group debt and funding
Group debt and funding Group Debt ($million) FY18 FY19 Maturity profile US$350 million secured notes - 497.4 600.0 US$300 million unsecured notes 405.0 - 500.0 Revolving Credit Facilities - 225.1 400.0 Asset finance and other funding (0.4) 34.9 300.0 Total borrowings 404.6 757.4 200.0 Cash and cash
Slide 20: Strategy and outlook
Strategy and outlook
Slide 21: Strategic pillars to deliver certainty
Strategic pillars to deliver certainty – underpinned by our people and principles Strategic Operational Strategic Organisational Technology Financial Pillars Excellence Growth Health Driven Future Capacity Horizon 1: • Transform AMS • Brand and • Strengthen • Building the • Portfolio review Setting
Slide 22: FY20 priorities
FY20 priorities • Deliver on current operational commitments and continue to improve AMS performance • Successful delivery of new projects • Focus on maintaining cash conversion and reducing net leverage • Review capital structure and focus on working capital management • Continued investment in tec
Slide 23: Work in hand - $7.0bn
Work in hand - $7.0bn Work in hand Work in hand Work in hand (by ISG) (by country) (by commodity) 3% 3% 3% 2% 1% 3% 5% Australia 4% Underground Gold 19% 8% Ghana Burkina Faso 7% Copper 37% Surface 11% $7.0bn Botswana Nickel $7.0bn 13% $7.0bn Egypt Manganese 16% Mali 68% 78% Investments Coal 19% Sene
Slide 24: Pipeline - $8.5bn
Pipeline - $8.5bn Pipeline Pipeline Pipeline (by ISG) (by country) (by commodity) 7% 3% Australia 4% Gold 22% Surface 29% Botswana Diamond 8% 48% $8.5bn 52% Guinea Bauxite 8% $8.5bn $8.5bn Cote d'Ivoire 19% 59% Iron Ore Underground 10% Burkina Faso Coal 19% 12% Other Other 4.0 Pipeline Currently ide
Slide 25: Outlook – one year ahead
Outlook – one year ahead • We see significant organic growth opportunities across Australia and Africa • Underground mining: We believe that the strong orderbook coupled with the organic growth opportunities makes a strong case for continued growth • Surface mining: We have a more conservative view
Slide 26: Appendices
Appendices
Slide 27: Share information
Share information Share Price Performance (rebased) ASL.ASX XJO.ASX 110% 100% 90% 80% 70% 60% Jun 18 Jul 18 Aug 18 Sep 18 Oct 18 Nov 18 Dec 18 Jan 19 Feb 19 Mar 19 Apr 19 May 19 Jun 19 Jul 19 Capital Structure Substantial Shareholders Share price $1.75 Gresham Investments 9.1% Fully paid ordinary sh
Slide 28: Equipment
Equipment Surface Underground Investments Mining Mining Ancillary 102 Ancillary 26 Ancillary 59 Dozers 48 Drills 132 Dozers 34 Drills 196 Loaders 88 Excavators 7 Excavators 51 Trucks 87 Loaders 10 Loaders 22 Trucks 33 Trucks 197 616 333 143 28
Slide 29: One-off adjustments explained
One-off adjustments explained The AUMS step acquisition gains relate to the fair value adjustment on Perenti’s existing 50% share in AUMS held prior to the acquisition of A Barminco and foreign currency translation reserve derecognition. Under accounting standards, Perenti is required to recognise i
Slide 30: Important notice and disclaimer
Important notice and disclaimer This presentation and these materials (together the “Presentation”) have been prepared by Ausdrill Limited ABN been prepared without taking into account the investment objectives, financial situation or particular needs of 95 009 211 474 trading as Perenti Global (ASX
Slide 31: Expect More
Expect More
Slide 32: Thank you
Thank you perentigroup.com