Avarga Limited · SGX:X5N
Avarga — Shareholder Meeting (April 2024)
19 slides from Avarga's shareholder meeting presentation, Apr 18, 2024
Slide 1: Bracing for headwinds
1 Bracing for headwinds Corporate Presentation 18 April 2024 The material presented is for your general information only. No representation, warranty or recommendation whatsoever as to the merits of investing in any company is to be read or inferred from any material presented herein. Prospective in
Slide 2: Presentation outline
Presentation outline 2 Who we are How have we invested? Financial highlights for 2023 Taiga Building Products
Slide 3: Who we are
3 Who we are
Slide 4: Our core businesses
Our core businesses 4 72% 100% 100% Wholesale distribution of building materials in Canada & USA Paper manufacturing in 50 MW power plant Ijok, Selangor, Malaysia in Yangon, Myanmar Listed on Toronto Stock Exchange
Slide 5: Our core businesses
Our core businesses 5 Building Materials Distribution Taiga Building Products is Canada’s largest wholesale distributor of building material products, with sales of C$1.7 billion in 2023 Our wood preservation plants, distribution centres and reload stations are strategically located across Canad
Slide 6: Where we are
Where we are 6 S$1.7 billion revenue in 2023 S$708 million assets in 2023 3 Core Businesses 5 Countries (Singapore, Canada, USA, Malaysia, Myanmar) 722 employees 1 Vision - Creating sustainable value
Slide 7: Our financial performance
Our financial performance 7 Revenue EBITDA Pre-tax profit Net profit 3,000 180.0 160.0 80.0 160.0 140.0 70.0 2,500 140.0 120.0 60.0 2,000 120.0 100.0 50.0 100.0 1,500 80.0 40.0 80.0 60.0 30.0 1,000 60.0 40.0 20.0 40.0 500 20.0 10.0 20.0 0 - - - 2011 2014 2017 2020 2023 2011 2014 2017 2020 2023 2011
Slide 8: Our financial performance
Our financial performance 8 FY Dec (S$ million) 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 Revenue 1,700.0 2,368.3 2,435.4 1,693.3 1,403.9 1,572.7 1,455.2 63.3 61.1 116.9 48.1 50.0 51.1 EBITDA 93.3 147.8 162.0 129.9 68.4 58.2 61.3 14.1 12.1 10.7 4.4 5.4 2.4 Pre-tax Profit 39.1
Slide 9: Segmental performance
Segmental performance 9 Segmental Revenue FY Dec (S$ million) 2023 2022 2021 2020 2019 2018 2017 2016 2015 2014 2013 2012 2011 Paper Manufacturing (Malaysia) 22.1 35.8 46.8 44.8 48.1 55.9 54.3 50.0 49.2 47.9 46.8 48.7 49.8 Power plant (Myanmar) 8.4 9.9 10.8 16.4 18.7 10.5 11.7 13.3 11.9 68.3 - - - T
Slide 10: How have we invested?
10 How have we invested?
Slide 11: How did we use our cash from 2012-2023?
2012-2023 From 2012-2023, we have generated cumulative: S$m S$m Revenue 12,968.2 Gross profit 1,588.5 EBITDA (before exceptional items) 767.6 Pre-tax profit 537.1 11 Net cash from operating activities 584.1 Net excess cash from operating activities 531.2 What did we use it for? How did we Capex - PP
Slide 12: Our group balance sheet has strengthened even further, despite our diversification and expansion
Our group balance sheet has strengthened even further, despite our diversification and expansion 12 Net cash / (debt) 190.0 140.0 90.0 40.0 (10.0) 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 (60.0) • From paper manufacturing, we have added businesses in power generation and buil
Slide 13: Financial highlights for 2023
13 Financial highlights for 2023
Slide 14: Financial highlights for 2023
Financial highlights for 2023 14 S$ 2023 2022 change Revenue: $1,700m $2,368m (28%) EBITDA: $93.3m $147.8m (37%) Pre-tax profit: $39.1m $109.9m (64%) Net profit : $10.9m $50.9m (79%) EPS (cents): 1.2 5.60 (78%) NAV per share (cents): 37.0 36.2 2% DPS (cents): nil nil N/A Decline in r
Slide 15: Key highlights for 2023
Key highlights for 2023 15 Building Materials (Canada and USA): Taiga’s revenue declined 23% to C$1.7b, while EBITDA fell 34% to C$91.3m, due mainly to lower commodity prices. Pre-tax profit declined from C$120.5m to C$76.7m Net cash improved from C$94.5m to C$152.8m due to reduction in invent
Slide 16: Taiga Building Products
16 Taiga Building Products
Slide 17: Taiga Building Products
Taiga Building Products 17 Canada’s largest wholesale distributor of building material products with annual sales of C$1.7 billion in 2023 Established since 1973 and listed on Toronto Stock Exchange Avarga acquired majority stake in 2017 Taiga acquired Exterior Wood in 2018, to expand its US
Slide 18: Taiga's financial performance
Taiga’s financial performance 18 Taiga Building Products FY Dec FY Dec FY Dec FY Dec FY Dec FY Dec Jan- Dec FY March FY March FY March FY March FY March FY March (C$'000) 2023 2022 2021 2020 2019 2018 2017 2017 2016 2015 2014 2013 2012 Sales 1,679,667 2,192,705 2,219,674 1,589,123 1,299,122 1,450,98
Slide 19: Thank you
19 Thank you AVA R G A L I M I T E D 1 KIM SENG PROMENADE #13-10 GREAT WORLD CITY WEST TOWER, SINGAPORE 237994 TEL : (65) 6836 5522, FAX: (65) 6836 5500 WWW.AVARGA.COM.SG