Autosports Group Ltd · ASX:ASG
Autosports — FY2024 Earnings Presentation
31 slides from Autosports's earnings presentation, Aug 22, 2024
Slide 1: Autosports Group Limited 2024FY Presentation
AUTOSPORTS GROUP LIMITED 2024FY PRESENTATION August 2024
Slide 2: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 3: Financial Highlights
ASG FY2024 PRESENTATION AUGUST 24 3 FINANCIAL HIGHLIGHTS REVENUE up 11.6% GROSS PROFIT up 8.3% $2,647 million on PCP $515 million on PCP EBITDA up 6.5% INTEREST COSTS up 68.7% $204.5 million on PCP $56.8 million on PCP 1 NORMALISED NPBT down 19.6% STATUTORY NPAT down 7.8% $93.1 million on PCP $61.5m
Slide 4: Operational Highlights
ASG FY2024 PRESENTATION AUGUST 24 4 OPERATIONAL HIGHLIGHTS OPERATIONAL UPDATE ▪ Revenue grew 11.6% in a more competitive new vehicle market ▪ New vehicle inventory elevated across industry ▪ Marketing and price promotions being used to stimulate consumer ▪ Gross margins solid at 19.5% ACQUISITION LE
Slide 5: Outlook 2025FY
ASG FY2024 PRESENTATION AUGUST 24 5 OUTLOOK 2025FY THE NEW VEHICLE MARKET is expected to remain competitive with consumer incentives and marketing initiatives in place to maintain like for like new vehicle revenue LIKE FOR LIKE VEHICLE USED VEHICLES, SERVICING, INVENTORY LEVELS PARTS AND COLLISION R
Slide 6: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 7: Statutory Result
ASG FY2024 PRESENTATION AUGUST 24 7 STATUTORY RESULT Growth on $m 2024FY 2023FY PCP HIGHLIGHTS Total Revenue 2,646.9 2,371.4 11.6% Cost Of Goods Sold -2131.86 -1895.79 0.12451887 ▪ Strong top line result. Revenue, Gross Profit, EBITDA Gross Profit 515.0 475.6 8.3% and EBIT all record results Operati
Slide 8: Trading Highlights
ASG FY2024 PRESENTATION AUGUST 24 8 TRADING HIGHLIGHTS Growth on $m 2024FY 2023FY PCP HIGHLIGHTS New Vehicles 1,568.1 1,435.4 9.2% ▪ New vehicle revenue (+9.2%) driven by enhanced consumer Used Vehicles 635.2 543.3 16.9% offerings, supply and full year cycling of FY23 acquisitions Service 174.6 157.
Slide 9: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 10: 2024FY Revenue Drivers
ASG FY2024 PRESENTATION AUGUST 24 10 2024FY REVENUE DRIVERS REVENUE BREAKDOWN REVENUE BREAKDOWN 2023FY 2,900 ▪ New vehicle like for like revenue grew 1% 2,700 15 2,647 171 Like for like growth ▪ Used vehicle revenue growth supported by increased 2,500 18 2 trade-in opportunities like for like growth
Slide 11: Operating Leverage
ASG FY2024 PRESENTATION AUGUST 24 11 OPERATING LEVERAGE Despite inflationary pressures and a competitive market operating leverage remains solid 25.0% 19.9% 20.1% DISCIPLINED EXPENSE 19.5% 20.0% MANAGEMENT NORMALISED* 17.1% 16.3% 15.6% 15.0% ▪ Like for like Op Ex increased $14m (5%) on PCP 11.2% 11.
Slide 12: Normalised Margin Overview
ASG FY2024 PRESENTATION AUGUST 24 12 NORMALISED MARGIN OVERVIEW EBITDA (normalised) 1 PROFIT MARGIN DRIVERS 250.0 CAGR 2019 – 2024 — Increased scale and maturity supporting underlying 200.0 19% profit A$m 150.0 — Strong Op Ex management 100.0 205.2 198.0 — Continued realignment of high Op Ex in acqu
Slide 13: Capital Management and Inventory Targets FY25
ASG FY2024 PRESENTATION AUGUST 24 13 CAPITAL MANAGEMENT AND INVENTORY TARGETS FY25 FOCUS AREAS CORPORATE BORROWING FY25 • Approximately $22.5m Acquisition of Stillwell Motor Group Corporate debt for FY25 expected to be broadly in-line with • $9.5m construction and improvements on owned property and
Slide 14: 2024FY Cash Flow
ASG FY2024 PRESENTATION AUGUST 24 14 2024FY CASH FLOW ASG’s strong cash flow positions the Group well to unlock future growth potential 200,000 180,000 11,399 STRONG OPERATING CASH: 119,533 160,000 ▪ Strong cash from operations in 2024FY of $119.5m has enabled ASG to: 140,000 -27,485 – Payout a divi
Slide 15: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 16: Luxury Market – EV Market
ASG FY2024 PRESENTATION AUGUST 24 16 LUXURY MARKET – EV MARKET ASG’s strategy of partnering with the best luxury brands in the market has the Group well placed for EV market growth BEV SALES 6 MONTHS TO JUNE 2024 LUXURY BRANDS BRAND 2024 UNIT JAN - JUN MOVEMENT ▪ Luxury EV market has shifted towards
Slide 17: Acquisition Strategy
ASG FY2024 PRESENTATION AUGUST 24 17 ACQUISITION STRATEGY 11 8 6 3 ASG is focused on growth in prestige and luxury brands via acquisition opportunities 3 3 6 2 ACQUISITION CRITERIA ▪ Dealership anchored with luxury brand/s ▪ Important Metropolitan locations 2 3 2 2 ▪ NVES ready brand portfolio ▪ Mea
Slide 18: Stillwell Motor Group (SMG) Acquisition
ASG FY2024 PRESENTATION AUGUST 24 18 STILLWELL MOTOR GROUP (SMG) ACQUISITION Incorporating Brighton BMW, Mornington BMW, Brighton MINI, Mornington Ducati, Volvo Cars South Yarra, Volvo Cars Doncaster, Volvo Cars Brighton and MG Doncaster KEY LUXURY BRANDED DEALERSHIPS TRANSACTION DETAILS ▪ 2 X BMW/M
Slide 19: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 20: Results Recap
ASG FY2024 PRESENTATION AUGUST 24 20 RESULTS RECAP REVENUE UP GROSS PROFIT UP OP EX 11.6% to $2.6bn 8.3% to $515m well controlled up 9.5% EBITDA UP NPAT DOWN CORPORATE DEBT 6.5% and EBIT up 8.3% 7.6% to $61.5m down $16m
Slide 21: Results Recap
ASG FY2024 PRESENTATION AUGUST 24 21 RESULTS RECAP NPBT IMPACTED BY FINAL FULLY OPERATING • 68.7% increase in interest FRANKED DIVIDEND CASH GENERATED costs, and 8c per share $119.5m • $6.5m negative variance (18c per share full year) with PCP on AASB16 calculation STILLWELL MOTOR GROUP ACQUISITION
Slide 22: Strategic Outlook
ASG FY2024 PRESENTATION AUGUST 24 22 STRATEGIC OUTLOOK ASG strategy is to drive growth and shareholder returns Consolidate the fragmented automotive retail market Continue to invest in organic growth streams Develop scale-based synergies to improve operating leverage Deliver consistent shareholder r
Slide 23: Outlook 2025FY
ASG FY2024 PRESENTATION AUGUST 24 23 OUTLOOK 2025FY The new vehicle market is expected to remain competitive with consumer incentives and marketing initiatives in place to maintain like for like new vehicle revenue Used vehicles, Servicing, Parts and Collision Repair revenue streams are expected to
Slide 24: Agenda
AGENDA HIGHLIGHTS 2024FY RESULTS SUMMARY 2024FY FINANCIAL METRICS STRATEGIC UPDATE RECAP & OUTLOOK APPENDIX
Slide 25: About ASG
ASG FY2024 PRESENTATION AUGUST 24 25 ABOUT ASG ASG was established in 2006 and operates one of Australia's largest networks of luxury and prestige car dealerships. KEY FACTS ASG'S BRANDS POST SMG ACQUISITION ▪ Established 19 years ago by founders and major shareholders, HISTORY Ian Pagent and Nick P
Slide 26: Property Strategy
ASG FY2024 PRESENTATION AUGUST 24 26 PROPERTY STRATEGY ASG’s property strategy is set to support our dealership growth strategy LOCATION DATE ACQUIRED 2024FY CARRYING VALUE ▪ Historical acquisition cost $203.1m Macgregor, QLD May 2018 ▪ Current book value* $191.2m Macgregor, QLD – vacant land Dec 20
Slide 27: Track Record of Delivering Growth and Shareholder Returns
ASG FY2024 PRESENTATION AUGUST 24 26 TRACK RECORD OF DELIVERING GROWTH AND SHAREHOLDER RETURNS Since listing ASG has maintained a track record of delivering both growth and shareholder returns 2017FY ** 2024FY Movement Growth Revenue $'millions 1,446.0 2,646.9 83% NPBT normalised* $'millions 38.7 96
Slide 28: AASB16 Leases Impact
ASG FY2024 PRESENTATION AUGUST 24 28 AASB16 LEASES IMPACT 2024FY Statutory 2023FY Statutory After After A$m Pre AASB16 AASB16 AASB16 A$m Pre AASB16 AASB16 AASB16 Total Revenue 2,646.9 2,646.9 Total Revenue 2,371.4 2,371.4 Gross Profit 515.0 515.0 Gross Profit 475.6 475.6 Opex (356.8) 47.0 (310.5) Op
Slide 29: Questions
QUESTIONS
Slide 30: Important Notice and Disclaimer
ASG 2024FY PRESENTATION AUGUST 24 30 IMPORTANT NOTICE AND DISCLAIMER This presentation contains summary information about Autosports Group Limited (ACN 614 505 261) (ASG) and its activities current as at the date of this presentation. The information in this presentation is of general background and
Slide 31: Drive Endless Possibilities
autosports grou on DRIVE ENDLESS POSSIBILITIES