Pennant International Group Plc · LSE:PEN
Pennant International — H1 2024 Earnings Presentation
23 slides from Pennant International's earnings presentation, September 2024
Slide 1: Investor Briefing: Interim Results for Period Ended 30 June 2024
SEPTEMBER 2024 INVESTOR BRIEFING INTERIM RESULTS FOR PERIOD ENDED 30 JUNE 2024 Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 2: Disclaimer
DISCLAIMER This presentation is issued on behalf of Pennant Company or its advisers and is subject to material or into the USA, Canada, Australia, New Zealand, South This presentation may contain forward-looking statements International Group plc (the “Company”) solely for the amendment, updating an
Slide 3: Executive Summary
EXECUTIVE SUMMARY • Results inline; increase in software & services revenue - 68% of H1 revenue (H1 2023: 66%) • Continued investment in Auxilium software suite • Successful launch of configuration software (GenS) • Excellent progress on UK Apache contract • Impact of Strategic Defence Review • Proc
Slide 4: Who We Are
WHO WE ARE Pennant is a market leading, technology driven business with RAIL DEFENCE a global customer base. 10% 80% Our software and training solutions are designed to enable AEROSPACE users to maximize operational and maintenance efficiency. 10% Our mission is to ensure systems are where they are
Slide 5: What Pennant Does
WHAT PENNANT DOES Pennant provides systems support software and training solutions to defence departments and major OEMs worldwide to maximise operational and maintenance efficiency We address the market through three key business lines: SYSTEMS SUPPORT TRAINING SOLUTIONS TECHNICAL SERVICES Our soft
Slide 6: Our Solutions in Action
OUR SOLUTIONS IN ACTION 6 Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 7: Auxilium Growth Strategy
AUXILIUM GROWTH STRATGEY H1 2025 7 Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 8: Results
RESULTS Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 9: Financial Highlights – H1 2024
FINANCIAL HIGHLIGHTS – H1 2024 • Results inline; Trading ahead of prior year - Revenue +4% (£7.4m v £7.1m) • Software segments flat YoY • Training segments up 8% despite a difficult trading environment for the UK business • EBITA (adjusted for one-off items) of £0.6m (H1 23: £0.6m) • IFRS loss befor
Slide 10: Consolidated Income Statement - IFRS
CONSOLIDATED INCOME STATEMENT - IFRS £m Six months to Six months to Change 31 Dec 2023 30 June 2024 30 June 2023 (Audited) (Unaudited) (Unaudited) Revenue 7.4 7.1 4% 15.6 Gross profit 3.5 3.3 7.8 Administrative expenses (2.9) (3.5) (7.8) EBITA 0.6 0.5 17% 1.4 Amortisation (0.8) (0.7) (1.3) Operating
Slide 11: Consolidated Balance Sheet - IFRS
CONSOLIDATED BALANCE SHEET - IFRS Six months to Six months to 31 Dec 2023 £m 30 June 2024 30 June 2023 (Audited) (Unaudited) (Unaudited) Non-current assets 12.8 13.8 13.3 Current assets 5.2 6.7 5.4 Current liabilities (6.7) (9.7) (8.0) Non-current liabilities (0.7) (0.6) (0.9) Shareholders funds 10.
Slide 12: Consolidated Cash Flow - IFRS
CONSOLIDATED CASH FLOW - IFRS Six months to Six months to 31 Dec 2023 £m 30 June 2024 30 June 2023 (Audited) (Unaudited) (Unaudited) Net cash from operations 0.1 0.1 1.3 Investing activities (1.0) (1.8) (2.3) Financing activities 1.1 (0.1) (0.2) Net increase / (decrease) in cash and cash equivalents
Slide 13: Net Cash Generated from Operations - IFRS
NET CASH GENERATED FROM OPERATIONS - IFRS Six months to Six months to Cash Generated From Operations (£m) 31 Dec 2023 30 June 2024 30 June 2023 (Audited) (Unaudited) (Unaudited) (Loss) for the period (0.4) (0.4) (0.9) Depreciation 0.3 0.3 0.5 Amortisation 0.8 0.8 1.3 Share based payments - - 0.1 Oth
Slide 14: Outlook
OUTLOOK Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 15: Outlook
OUTLOOK • Delivery of FY24 result – 90%+ revenue coverage of consensus forecast • Strategic focus on systems support software – execute re-positioning • lower cost base • reduced working capital profile • cash generative • Launch of upgraded Analysis software (Analyzer) and introduction to Auxilium
Slide 16: Appendices
APPENDICES Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 17: Systems Support
SYSTEMS SUPPORT Pennant’s Auxilium IPS software suite offers a comprehensive package of tools that include: • Configuration - logistics support analysis (LSA) • Modelling & analysis - model-based product support • Documentation - technical authoring and publication Combined into a single Integrated
Slide 18: Training Solutions
TRAINING SOLUTIONS Pennant provides training solutions that develop and refine skills and confidence, aligned to global standards and regulation. They are used in a safe and controlled environment, without the risks associated with real- world scenarios. We address the market through the following s
Slide 19: Technical Services
TECHNICAL SERVICES Pennant’s dedicated service departments deliver highly professional, reliable and cost-effective services for our customers. We are able to support in everything from consultancy, technical publication, training services, bespoke solutions and maintenance of our training devices.
Slide 20: Case Study – Australian Defence
CASE STUDY – AUSTRALIAN DEFENCE CLIENT NEED PENNANT’S RESULT OPPORTUNITY LONGEVITY OF CLIENT SOLUTION Defence Australia (‘DA’) Pennant software is now We are in negotiations to needed to improve embedded with the client – enhance the training system DA has been a client since Pennant provided its ef
Slide 21: Market Opportunity
MARKET OPPORTUNITY The latest defence spending figures for our regional markets: • Defence market trends: increased NATO spend; move towards Performance Based Logistics; Ukraine showing importance of sustainment. • Total Defence Spending in our markets is circa $1004.6Bn p.a. 21 Copyright 2024 © Pen
Slide 22: Revenue Recognition
REVENUE RECOGNITION 22 Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
Slide 23: Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of
Copyright 2024 © Pennant International Group Plc. All other trademarks are the property of their respective owners.
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