Freightways Group Limited · NZX:FRW
Freightways — Shareholder Meeting (October 2013)
31 slides from Freightways's shareholder meeting presentation, Oct 31, 2013
Slide 1: Freightways Annual Shareholders Meeting
Freightways Annual Shareholders Meeting 31 October 2013
Slide 2: Sue Sheldon, Chairman
Sue Sheldon, Chairman Annual Shareholders Meeting | 31 October 2013 2
Slide 3: Agenda
Agenda Chairman’s Introduction Managing Director’s Review and Trading Update Resolutions Annual Shareholders Meeting | 31 October 2013 3
Slide 4: Financial Highlights - 2013
Financial Highlights - 2013 Jun-13 Jun-12 Increase $M $M % Operating Revenue 406 382 6% EBITDA* 77 72 7% EBITA* 65 62 5% NPAT* 38 36 6% EPS* 24.9 23.4 6% * Jun-13 excludes a non-recurring amount of $2.1m relating to acquisition earnout payments that are now not expected to be paid ($2.1m after tax)
Slide 5: Express Package & Business Mail - 2013
Express Package & Business Mail - 2013 Jun-13 Jun-12 Increase $M $M % Operating Revenue 308 292 6% EBITDA* 55 53 3% EBITA* 49 48 1% EBITA Margin* 16% 17% * Jun-13 excludes a non-recurring amount of $1m relating to an acquisition earnout payment that is now not expected to be paid 1 Annual Shareholde
Slide 6: Information Management - 2013
Information Management - 2013 Jun-13 Jun-12 Increase $M $M % Operating Revenue 100 92 8% EBITDA* 23 21 13% EBITA* 19 16 13% EBITA Margin* 19% 18% * Jun-13 excludes a non-recurring amount of $1.1m relating to an acquisition earnout payment that is now not expected to be paid 1 Annual Shareholders Mee
Slide 7: Final Dividend - 2013
Final Dividend - 2013 Final dividend: 9.75 cps Imputation credits: 3.79 cps (at 28% tax rate) Supplementary dividend: 1.7206 cps Record date: 13 September 2013 Payment date: 1 October 2013 No DRP was offered in respect of the 2013 Final Dividend 1 Annual Shareholders Meeting | 31 October
Slide 8: A decade of achievement
A decade of achievement “A strong successful business….positioned to deliver continuing earnings growth….offering an attractive dividend yield.” (FRE Investment Statement & Prospectus - September 2003) Annual Shareholders Meeting | 31 October 2013 8
Slide 9: A Decade of Achievement
A Decade of Achievement A strong successful business… - development and retention of people (3,000 across NZ & Aust) - successful acquisition and start-up of new businesses - progressive introduction of new services alongside market demand - continued investment in technology, capability and capac
Slide 10: A Decade of Achievement (cont.)
A Decade of Achievement (cont.) …positioned to deliver continuing earnings growth … - revenue growth since 2003 of 107% - operating earnings growth since 2003 of 102% - NPAT growth since first published result in 2004 of 137% * FRE is better positioned today than it was in 2003 to deliver continui
Slide 11: A Decade of Achievement (cont.)
A Decade of Achievement (cont.) …offering an attractive dividend yield - Gross dividends since listing in 2003: 241 cents per share - Total Shareholder Return: 380% (dividends plus share price appreciation Sept 2003 to Sept 2013) * Positive cash generating ability of the Company is such that Direc
Slide 12: Dean Bracewell, Managing Director
Dean Bracewell, Managing Director Review and Trading Update Annual Shareholders Meeting | 31 October 2013 12
Slide 13: Managing Director's Presentation
Managing Director’s Presentation Industry Overview and Business Description Business Strategy Trading Update Outlook Annual Shareholders Meeting | 31 October 2013 13
Slide 14: Express Package & Business Mail
Express Package & Business Mail Annual Shareholders Meeting | 31 October 2013 14
Slide 15: Express Package & Business Mail
Express Package & Business Mail Network Courier Point-to-Point Business Mail Support Annual Shareholders Meeting | 31 October 2013 15
Slide 16: Information Management
Information Management Annual Shareholders Meeting | 31 October 2013 16
Slide 17: Information Management
Information Management New Zealand Australia Document Storage Data Storage Document Destruction Annual Shareholders Meeting | 31 October 2013 17
Slide 18: Business Strategy
Business Strategy Annual Shareholders Meeting | 31 October 2013 18
Slide 19: Business Strategy
Business Strategy Develop organic growth opportunities Diversification: Industry and Geography Explore complementary acquisition and alliance opportunities Positioning, People, Performance, Profit Annual Shareholders Meeting | 31 October 2013 19
Slide 20: Trading Update
Trading Update Annual Shareholders Meeting | 31 October 2013 20
Slide 21: Operating Revenue
Operating Revenue 450 400 350 300 250 $M 200 150 100 50 - 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Year Ended 30 June 2nd Half 1st Half • 6% higher revenue compared to PCP • 10-year compound average annual revenue growth of 7.6% Annual Shareholders Meeting | 31 Octo
Slide 22: EBITA
EBITA* 70 60 50 40 $M 30 20 10 - 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2nd Half Year Ended 30 June 1st Half • 5% higher EBITA compared to PCP • 10-year compound average annual EBITA growth of 7.3% * This graph represents the operating profit before interest, tax
Slide 23: Consolidated Financial Performance
Consolidated Financial Performance (Quarter ended 30 September 2013) Quarter ended: Sep-13 Sep-12 Increase $000 $000 % Operating Revenue 104,691 100,908 4% EBITDA 19,231 18,653 3% EBITA 16,327 15,680 4% NPAT 9,790 9,185 7% 1 Annual Shareholders Meeting | 31 October 2013 23
Slide 24: Express Package & Business Mail
Express Package & Business Mail (Quarter ended 30 September 2013) Quarter ended: Sep-13 Sep-12 Increase $000 $000 % Operating Revenue 80,050 76,226 5% EBITDA 13,466 13,225 2% EBITA 12,057 11,813 2% 1 Annual Shareholders Meeting | 31 October 2013 24
Slide 25: Information Management
Information Management (Quarter ended 30 September 2013) Quarter ended: Sep-13 Sep-12 Increase $000 $000 % Operating Revenue 25,219 25,236 - EBITDA 5,920 5,851 1% EBITA 4,823 4,634 4% 1 Annual Shareholders Meeting | 31 October 2013 25
Slide 26: Recent Acquisition Activity
Recent Acquisition Activity Two information management businesses acquired with effect from 1 October 2013 for approximately $4.5m: - Document Destruction Service Otago - Document & Data Storage Management Queensland Anticipated 12-month EBITDA contribution of $800k upon completion of integratio
Slide 27: Outlook
Outlook Annual Shareholders Meeting | 31 October 2013 27
Slide 28: Outlook
Outlook Express package & business mail division is expected to perform soundly overall and continue the positive trend seen in the 1st quarter Information Management expected to continue its strong growth and further improve its margins through increased utilisation of capacity and the benefit
Slide 29: Questions?
Questions? Annual Shareholders Meeting | 31 October 2013 29
Slide 30: Resolutions
Resolutions Re-election of Directors Approval of Directors’ Fees Authority to fix Auditors’ Remuneration Annual Shareholders Meeting | 31 October 2013 30
Slide 31: Freightways Annual Shareholders Meeting
Freightways Annual Shareholders Meeting 31 October 2013
Freightways Group — Shareholder Meeting (October 2013) on 6ix