Slide 1: MOVE Logistics Group Limited FY22 Half Year Results
MOVE LOGISTICS GROUP LIMITED FY22 HALF YEAR RESULTS For the six months ended 31 December 2021 Chris Dunphy, Executive Director Lee Banks, Chief Financial Officer 22 February 2022
Slide 2: Agenda
Agenda • Operating environment and key events • Update on key strategic priorities • Financial results overview • Outlook • Discussion 1H22 Results Presentation 2
Slide 3: 1H22 Overview
1H22 Overview OPERATING ENVIRONMENT KEY EVENTS • Restricted operating environment due to • Raised $40m of new capital and COVID lockdowns welcomed several new institutional shareholders including from Australia • Increase in global and local supply chain congestion • James Watters (COO Contract Logi
Slide 4: Update on key strategic priorities
Update on key strategic priorities 1H22 - RESET THE BUSINESS TO DELIVER IN PROGRESS: GROWTH: • Fix Freight: • First quarter completed of two year plan to stabilise and grow the business • Concentrate on margin • Completed comprehensive business review • Freight system upgrade • Restructured the busi
Slide 5: Financial Results
FINANCIAL RESULTS 1H22 Results Presentation 5
Slide 6: 1H22 Group Summary
1H22 Group Summary • Significant impact from COVID during the six months $Millions Six months ended 31 December • Revenue up slightly from prior Change year; recovered well in 2Q22 1H20 1H21 1H22 22 vs 21 post-lockdown Total Income 175.3 181.0 183.3 2.3 • Q1 Gross Margin and EBITDA EBITDA 1 23.8 32.
Slide 7: EBITDA: COVID & prior year one-offs impact 1H21 vs 1H22
EBITDA: COVID & prior year one-offs impact 1H21 vs 1H22 comparison • Impacted by COVID lockdowns particularly in Specialist and Contract Logistics divisions, with impact on gross margin estimated at between $(1.7)m-$(2.1)m • Sales increase in Freight and International contributed positively to margi
Slide 8: Cashflow metrics negatively impacted by reduced earnings and COVID working capital
Cashflow metrics negatively impacted by reduced earnings and COVID build up of working capital • Decreased free cash flow driven by lower EBITDA and restructuring change costs 1H20 1H21 1H22 $000s 22 v 21 • Working capital increase due to a Normalised EBITDA excluding non cash items 23,613 32,856 28
Slide 9: Sustaining capital expenditure to be ramped up
Sustaining capital expenditure to be ramped up • Replacement of aging fleet L/H Total $000s Fleet Equipment Technology is planned over the next Improv. Capex MOVE Freight 804 107 26 9 946 two years MOVE Specialist 0 3 0 0 3 • Long lead times impacting MOVE Contract Logistics 280 572 0 26 878 on retu
Slide 10: Business divisions
Business divisions Freight and Contract Logistics primary contributors to Group future profitability 1H22 Revenue 1H22 EBITDA Specialist Specialist International International Contract Contract Freight Freight Logistics Logistics 1H22 Results Presentation 10
Slide 11: Freight
Freight Revenue: $90.5m, +8% Improvements starting to take shape EBITDA: $10.3m, +10% • Revenue up on last year despite impact of COVID lockdown • Increase in EBITDA driven by sales uplift • EBITDA margin at 11.3% remained flat - improvement plans are in progress • Continuing focus on improving marg
Slide 12: Contract Logistics
Contract Logistics Revenue: $79.5m, +3% Solid performance but still significant upside EBITDA: $17.9m, -12% • Revenue growth of 3% despite significant decrease in fuel deliveries due to COVID lockdowns (down 22.5%) • EBITDA margin has decreased 3.9% from prior year however remains strong at 22.5% •
Slide 13: Specialist
Specialist Revenue: $6.1m, -57% Impacted by deferred infrastructure projects EBITDA: $0.6m, -85% • YOY revenue decrease due to: - Negative impact of COVID lockdown estimated at $1.3m - 1H21 had revenue of $5.9m relating to windfarm project - Several infrastructure projects deferred due to COVID • Re
Slide 14: International
International Strong margin growth leveraging fixed Revenue: $5.2m, +29% cost base EBITDA: $1.5m, +56% • Revenue increased by 29.1% compared to prior year • Energy sectors clients have re-established programs delayed due to COVID; has contributed to the recovery of revenue back to pre-COVID levels •
Slide 15: Outlook
OUTLOOK 1H22 Results Presentation 15
Slide 16: Outlook
Outlook • Comprehensive business review completed and initiatives to improve and grow the business are in progress • COVID pressures will remain with disruptions expected, however strategies in place to minimise impact • Significant inflationary pressures, scope to raise freight rates • Priority foc
Slide 17: Discussion
DISCUSSION 1H22 Results Presentation 17
Slide 18: Appendices
APPENDICES Chris Dunphy Lee Banks Executive Director Chief Financial Officer Phone: +61 417 888 930 Phone: +64 27 525 2876 Email: Chris@movelogistics.com Email: Lee.Banks@movelogistics.com 1H22 Results Presentation 18
Slide 19: Non-GAAP Reconciliation
Non-GAAP Reconciliation $Millions 1H21 1H22 MOVE Logistics Group uses several non-GAAP measures when discussing financial performance and the Board and Net profit/(loss) before income tax (GAAP measure) 3.89 (1.21) Management believes this provides a better reflection of the Add back: company’s unde
Slide 20: Disclaimer
Disclaimer This presentation has been prepared by MOVE Logistics Group Limited (“MOV”). The information in this presentation is of a general nature only. It is not a complete description of MOV. This presentation is not a recommendation or offer of financial products for subscription, purchase or sa