Wagners Holding Co. Ltd. · ASX:WGN
Wagners — FY2019 Earnings Presentation
22 slides from Wagners's earnings presentation, Aug 19, 2019
Slide 1: FY19 Investor Presentation
For personal use only FY19 INVESTOR PRESENTATION AUGUST 2019
Slide 2: Disclaimer
DISCLAIMER For personal use only The material contained in this presentation is a summary of Wagners Holding Company Limited’s (Wagners) activities and results, current at the date of preparation, 19 August 2019. The information in this presentation is in summary form only, general in nature and doe
Slide 3: Agenda
AGENDA For personal use only 1 FY19 Summary 2 Financial Performance 3 Strategy 4 Outlook
Slide 4: FY19 Summary
FY19 SUMMARY For personal use only Taking our vision and expertise to the world
Slide 5: Financial Overview
FINANCIAL OVERVIEW For personal use only SALES $236.9m EBIT $25.6m EBIT down on prior year in line Sales growth of 2.3 percent with guidance FY18: $231.5m FY18: $39.5m CASHFLOW $36.8m Cashflow from operations decrease of 4.2% FY18: $38.5m
Slide 6: FY Summary
FY 19 SUMMARY For personal use only FY 19 Sales increased compared to FY 18 - Concrete, Quarries and Transport revenue increased in FY19 - Transport bulk haulage achieved over 200% growth - Cement was negatively impacted by the lower volumes due to the Boral dipute - Project revenue impacted by de
Slide 7: FY Summary (cont.) - Construction Materials and Services
FY 19 SUMMARY(CONT.) For personal use only Construction Materials and Services CEMENT Revenue decrease due to reduced volumes as a result of the Boral dispute Volume to all other customers, excluding Boral, was slightly higher Competitive pressure in the SE Queensland cement market CONCRETE
Slide 8: FY Summary (cont.) - Transport, Projects, Precast
FY 19 SUMMARY(CONT.) For personal use only Construction Materials and Services TRANSPORT Strong performance from mining contracts in N/W Queensland Well placed to service the resurging resource sector PROJECTS Delayed timing of infrastructure projects has negatively impacted project revenues
Slide 9: FY Summary (cont.) - New Generation Building Materials
FY 19 SUMMARY(CONT.) For personal use only New Generation Building Materials WAGNERS COMPOSITE FIBRE TECHNOLOGIES (CFT) CFT revenue and EBIT consistent with FY18 Volume growth in CFT Crossarms sold (3.5%) Customer spread in CFT pedestrian infrastructure and bridge business - Diversified and ex
Slide 10: Financial Performance
For personal use only FINANCIAL PERFORMANCE
Slide 11: FY19 Consolidated Proforma Results
FY19 CONSOLIDATED PROFORMA RESULTS For personal use only COMMENTARY ($m) FY19 FY18 Change Sales Increase Total Revenue 239.8 233.3 6.5 ₋ Higher revenue from Concrete, Quarries and Gross Profit 150.6 146.4 4.2 Transport Operating Costs Gross Profit stable at 62.8% - Employee expenses (50.0) (45.4
Slide 12: Segment Results: Construction Materials and Services
SEGMENT RESULTS For personal use only Construction Materials and Services ($m) FY19 FY18 Change Total Revenue 210.7 204.8 5.9 EBIT 30.1 44.8 (14.7) FINANCIAL COMMENTARY OPERATIONAL CHANGES Lower cement volumes due to Boral dispute has Acquisition of Castlereagh quarry in N/W Qld in Aug-18 negati
Slide 13: Segment Results: New Generation Building Materials
SEGMENT RESULTS For personal use only New Generation Building Materials ($m) FY19 FY18 Change Total Revenue 29.3 29.1 0.2 EBIT 1.8 2.0 (0.2) FINANCIAL COMMENTARY OPERATIONAL CHANGES Sales CFT ₋ Crossarm revenue growth 5% New pultrusion machine built and installed at Toowoomba ₋ Diversified and e
Slide 14: Cashflow
CASHFLOW For personal use only ($m) FY19 FY18 Change EBITDA 38.7 50.3 (11.6) Non-cash items (1.2) (2.0) 0.8 Changes in working capital (2.1) (8.9) 6.8 Changes in provisions 1.4 (1.0) 2.4 Cash flow from operations 36.8 38.4 (1.6) Capital Expenditure (32.1) (15.3) (16.8) Proceeds from sale of assets 6
Slide 15: Working Capital and Net Debt
WORKING CAPITAL For personal use only ($m) FY19 FY18 Change COMMENTARY Trade and other receivables 42.7 43.3 (0.6) Increase in working capital due to higher Inventories 19.5 16.3 3.2 levels of raw materials and finished Trade and other payables (28.2) (27.8) (0.4) goods at CFT following higher Net
Slide 16: Strategy
For personal use only STRATEGY
Slide 17: Strategy
STRATEGY For personal use only Overall strategy is to drive increased returns by: Growing and consolidating core construction materials business in Australia Continuing to look for and secure global projects in the construction materials business utilising our expertise and experience Growing
Slide 18: Strategy (cont.) - Concrete Plant Network
STRATEGY (CONT.) For personal use only Concrete Plant Network The Concrete plant roll-out has initially focussed on high growth areas of SE Qld. Sites shown on the map opposite show secured and potential sites – 4 sites currently operational and 5 sites to become operational in FY20 The fundin
Slide 19: Outlook
For personal use only OUTLOOK
Slide 20: Outlook - Construction Materials and Services
OUTLOOK For personal use only Construction Materials and Services Continued competitive pressure in the SEQ construction materials market Boral have an obligation to recommence cement off take and meet their contractual obligations until 2031 Secure major projects in the domestic resource and
Slide 21: Outlook - New Generation Building Materials
OUTLOOK For personal use only New Generation Building Materials Composite Fibre Technologies (CFT) Increase sales of crossarms into Victoria, Tasmania & New Zealand Continue to grow Pedestrian Infrastructure and Bridge sales domestically and internationally. Build international crossarm busine
Slide 22: wagner.com.au
For personal use only wagner.com.au
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