Slide 1: Results presentation for the Full Year ended 30 June 2015
EBOS Group Ltd For personal use only Results presentation for the Full Year ended 30 June 2015 Patrick Davies Chief Executive Officer John Cullity Chief Financial Officer 26 August 2015
Slide 2: Disclaimer
Disclaimer For personal use only The information in this presentation was prepared by EBOS Group Ltd with due care and attention. However, the information is supplied in summary form and is therefore not necessarily complete, and no representation is made as to the accuracy, completeness or reliabil
Slide 3: Group Financial Results
For personal use only 1 Group Financial Results EBOS Healthcare facility 3 (Albany, New Zealand)
Slide 4: FY15 Summary Results
FY15 Summary Results For personal use only Total Revenue Operating Cash Flow Up 5.4% (+7.2% Constant FX) $ 6.1b Up 17.2% $ 133.8m Total EBITDA Earnings per share $ 196.7m Up 12.1% (+14.2% Constant FX) 70.8c Up 12.7% (+14.6% Constant FX) Total NPAT Total Dividends per share $ 105.9m Up 15.1
Slide 5: Key FY15 Highlights
Key FY15 Highlights For personal use only Record Financial Results • Revenue – $6.1 billion • EBITDA – $196.7 million • Operating cash flow – $133.8 million • EPS – 70.8c Continued Strategic Investment across the Business of $79.3m • Acquisition of BlackHawk premium pet food business. • Strategic 25
Slide 6: Strong Full Year financial performance
Strong Full Year financial performance For personal use only Constant FX • Full Year Group Revenue increase of $310.9m or NZ$m FY15 FY14 Var Var 7.2% (constant FX): Revenue1 6,068.1 5,757.2 5.4% 7.2% – Healthcare up 6.8%. Gross Operating Revenue1 600.2 565.9 6.0% 7.8% – Animal Care up 12.7%. EBITDA1
Slide 7: EBOS Group Business Overview
EBOS Group Business Overview Our trans Tasman market channels are delivering strong organic growth For personal use only HEALTHCARE ANIMAL CARE EBOS GROUP Community Pharmacy Institutional Contract Pet Care and Healthcare Logistics Veterinary Pharmacy Pharmacy Consumer Wholesale Retail Products Pharm
Slide 8: Segment earnings and GOR mix
Segment earnings and GOR mix For personal use only EBITDA by segment Gross Operating Revenue (GOR) FY15 Constant FX NZ$m FY15 FY14 Var Var Healthcare 170.2 153.1 11.2% 13.1% Animal Care 37.1 29.4 26.1% 27.9% Corporate (10.6) (7.1) (49.9%) (47.6%) Group 196.7 175.4 12.1% 14.2% • Gross Operating Reven
Slide 9: Healthcare Results
For personal use only 2 Healthcare Results Chemmart Pharmacy 9 (South Australia, Australia)
Slide 10: Healthcare segment
Healthcare segment Significant increases in Revenue, EBITDA and margins For personal use only Constant FX • Revenue increase of $274.5m or 6.8% (constant FX): NZ$m FY15 FY14 Var Var – Australia up 7.4%. Healthcare segment – New Zealand up 5.1%. Revenue 5,692.9 5,418.4 5.1% 6.8% • EBITDA increase of
Slide 11: Healthcare segment: Full Year Performance Overview
Healthcare segment Full Year Performance Overview For personal use only Community Pharmacy - Pharmacy Wholesale • Pharmacy sales in Australia grew 5.5% to LY (constant FX), attributable to customer growth and Pharmacy Services new wholesale business including GPPW. • Our investment in GPPW has deliv
Slide 12: Healthcare segment: Full Year Performance Overview (continued)
Healthcare segment Full Year Performance Overview (continued) For personal use only Community Pharmacy – Pharmacy Retail • Chemmart opened 37 new stores in FY15 with membership now at 337 stores. • Pharmacy Choice, our independent offer to Australian Pharmacies, increased membership to 778 stores. •
Slide 13: Healthcare segment: Full Year Performance Overview (continued)
Healthcare segment Full Year Performance Overview (continued) For personal use only Institutional Healthcare • EBOS continues to expand its position as a specialised, unique and essential partner across a number of areas of Institutional Healthcare in Australia and New Zealand, primarily in hospital
Slide 14: Healthcare segment: Full Year Performance Overview (continued)
Healthcare segment Full Year Performance Overview (continued) For personal use only Healthcare Contract Logistics • Strong performance across both New Zealand and Australia, with GOR increasing 7.1% from increased activity with pharmaceutical manufacturers. • Healthcare Logistics (NZ) maintained its
Slide 15: Animal Care Results
For personal use only 3 Animal Care Results Left: Monash Veterinary Clinic, a customer of Lyppard (Victoria, Australia) 15 Right: Selection of Animal Care products.
Slide 16: Animal Care segment
Animal Care segment BlackHawk drives the significant increase in Revenue and earnings For personal use only Constant FX • Revenue increase of $36.3m or 12.7% (constant FX) NZ$m FY15 FY14 Var Var primarily from growth of branded products Animal Care segment (including BlackHawk) and wholesale operati
Slide 17: Animal Care segment: Full Year Performance Overview
Animal Care segment Full Year Performance Overview For personal use only • The acquisition of BlackHawk has been a successful entry into the premium food market in Australia and compliments our strategy of developing and growing our own brands. There continues to be very strong support for the brand
Slide 18: Group Financial Information
For personal use only 4 Group Financial Information A-Frame automatic picking system Symbion Keysborough facility 18 (Victoria, Australia)
Slide 19: Cash Flow
Cash Flow EBOS has an excellent portfolio of strong cash generating businesses For personal use only • Focus on tight working capital management NZ$m FY15 FY14 Var$ Var% led to record Operating cash flow of EBITDA 196.7 175.4 21.3 12.1% $133.8m being generated in FY15. Interest paid (21.9) (27.1) 5.
Slide 20: Working Capital and Cash Conversion
Working Capital and Cash Conversion Industry leading cash conversion cycle of 24 days For personal use only • Strong working capital management Jun-15 Dec-14 Jun-14 disciplines are a key focus of the group. Net Working Capital (NZ$m) Trade receivables 787.9 773.4 687.3 Inventories 518.3 515.4 491.6
Slide 21: Net Debt and Gearing
Net Debt and Gearing For personal use only 400 40% • Net Debt of $316.9m at June 2015. 350 35% 368 350 300 316 317 30% • Net Debt : EBITDA reduced to 1.6x at June 2015 Net debt (NZ$m) Gearing ratio 250 25% 26.7% 26.9% (1.8x at June 2014). 200 24.4% 23.2% 20% 150 15% • Reduction in the Gearing ratio
Slide 22: Earnings and Dividends per Share, ROCE
Earnings and Dividends per Share, ROCE For personal use only Earnings and Dividends per share Return on Capital Employed 70.8 62.8 DPS EPS NZ$ cents per share 46.8 ROCE % 47.0 12.8% 13.7% 32.5 41.0 10.9% FY13 FY14 FY15 FY13 FY14 FY15 • EPS growth of 12.7% (14.6% constant FX) in FY15 • Return on Capi
Slide 23: Foreign exchange
Foreign exchange Appreciation of the NZD negatively impacted NZD EBITDA by $3.9m For personal use only Revenue and EBITDA by currency • 81% of the Group’s earnings (EBITDA) are AUD Average AUD NZ Group generated in AUD. Operations NZD: AUD Operations Operations Consolidated $m AUD translation NZD NZ
Slide 24: Summary and Outlook
For personal use only 5 Summary and Outlook DoseAid automated technology and medication management solutions 24 (Queensland, Australia)
Slide 25: Summary
Summary For personal use only • In FY15, EBOS has strengthened its position as the largest diversified Australasian marketer, wholesaler and distributor of healthcare, medical and pharmaceutical products. EBOS is also a leading Australasian animal care products distributor which was further strength
Slide 26: Looking Forward
Looking Forward For personal use only Investment for Growth • Many organic growth opportunities still exist to strengthen existing business units today. • We remain active in assessing a number of M&A opportunities that will add to the strength of our business and improve shareholder returns. • The
Slide 27: Supporting Information
For personal use only Supporting Information Healthcare Logistics 27 (Auckland, NZ)
Slide 28: Glossary of terms and measures
Glossary of terms and measures For personal use only Except where noted, common terms and measures used in this document are based upon the following definitions: Term Definition Actual results Results translated into NZ dollars at the applicable actual monthly exchange rates ruling in each period.
Slide 29: www.ebosgroup.com
For personal use only www.ebosgroup.com