Kelsian Group Limited · ASX:KLS
Kelsian — Investor Presentation (February 2020)
26 slides from Kelsian's investor presentation, Feb 26, 2020
Slide 1: SeaLink Travel Group Limited Investor Presentation – Half Year Results
SeaLink Travel Group Limited Investor Presentation – Half Year Results 31 December 2019 Presenting today Clint Feuerherdt Group Chief Executive Officer Andrew Muir Chief Financial Officer 26 February 2020 CRUISES | TOURS | TRANSPORT | ACCOMMODATION | PACKAGES | BUSES
Slide 2: Highlights – a platform for growth
01 Highlights – a platform for growth
Slide 3: Business highlights
Business highlights ‘Delivering outstanding growth opportunities’ ⚫ Underlying Net Profit After Tax of $13.6m, up 3.8% on total income of $132.9m for the half year ⚫ Turnaround of CCC NSW and WA businesses with strong contribution to earnings ⚫ Strong Gross Operating Cashflow ⚫ Acquisition of Transi
Slide 4: Summary profit statement
Summary profit statement Growth ⚫ Operating revenue rising by $5.8m, up 4.6%, 2019 $m 2018 $m $m Growth Half Year ending 31 (pre assisted by strong growth in CCC NSW & WA 2019 $m (pre (pre (pre December (Statutory) AASB16) AASB16) AASB16) AASB16) ⚫ Operating expenses increase due to higher Revenue 1
Slide 5: One-off costs impacting H1FY20 result
One-off costs impacting H1FY20 result $4.9m of one-off / abnormal costs normalised from underlying profit Transaction costs Period ending 31 December 2019 $m (EBIT) ⚫ During the period, $4.9 million of “one-off” transaction (4.9) related costs were expensed associated with the Transaction costs acqu
Slide 6: Recent events – Bushfires & Coronavirus
Recent events – Bushfires & Coronavirus ⚫ Bushfires — Kangaroo Island - Vivonne Bay Lodge mostly destroyed by fires – appropriate insurance held — Vehicle, passenger and touring numbers impacted — Increased freight volumes — Focus on re-building – infrastructure — SeaLink has provided in-kind and di
Slide 7: Statement of financial position
Statement of financial position Total assets – $m Dec June Change 2019 $m 2019 $m $m Total assets 375.7 301.5 74.2 Total liabilities 68.0 143.6 (75.6) Net assets 307.7 157.9 149.8 Net Interest Bearing Debt (IBD) - 83.9 (83.9) Debt / EBITDA (times) n/a 1.75 ⚫ Proceeds from capital raising in October
Slide 8: Cash flow
Cash flow Half Year ending 31 Dec 2019 $m 2018 $m Change $m ⚫ Good earnings quality with continuing strong Receipts from customers 129.5 128.4 1.1 correlation between EBITDA of $28.0m and gross operating cash flow of $28.2m Payments to suppliers (101.3) (99.0) (2.3) ⚫ Net operating cash flow (exclud
Slide 9: Update of Transit Systems Group acquisition
02 Update of Transit Systems Group acquisition
Slide 10: Diversified and resilient transport platform
Diversified and resilient transport platform The combination of the two businesses creates a rebalanced portfolio, by geography, end-markets and contracted vs. uncontracted revenues 1 2 Combined group 15% 33% Commuter Revenue by end-market Tourism 67% 100% 85% 5%2% 16% 16% 13% <1% <1% International
Slide 11: Transit Systems Group acquisition rationale and integration update
Transit Systems Group The acquisition of Transit Systems Group was completed on 16 January 2020. Transit Systems Group will be consolidated in SeaLink’s accounts during the FY20 full year results. Recap of acquisition strategic rationale ⚫ Enhanced scale and multi-modal capabilities ⚫ More diversifi
Slide 12: Update on trading since 30 June
Update on trading since 30 June 2019 Transit Systems Group continues to perform in line with expectations Update status of contracts Update on year to date trading Upcoming opportunities — New Joondalup contract commenced in January 2020, following final — Regions 7, 8 & 9 – Sydney agreement with WA
Slide 13: Transit Systems Group trading update
Transit Systems Group trading update ‘Earnings in line with acquisition metrics’ ⚫ SeaLink will benefit from 5.5 months of FY20 TSG earnings post settlement on 16 January 2020 ⚫ Acquired TSG for $635 million assuming FY20 Normalised EBITDA of $79 million (‘base case’) ⚫ A further $63 million is paya
Slide 14: Segment performance – Marine & Tourism
03 Segment performance – Marine & Tourism
Slide 15: Business unit results – SeaLink South Australia & Tasmania
Business unit results SeaLink South Australia & Tasmania Half Year ending 31 December 2019 2018 Variance News ⚫ Good season for farmers on KI – increased freight (pre AASB 16) $m $m $m ⚫ Cruise ship visits to Kangaroo Island disrupted due to Revenue (external) (Ferry, Murray 32.5 33.0 (0.5) weather
Slide 16: Business unit results – Fraser Island
Business unit results Fraser Island Half Year ending 31 December 2019 2018 Variance News ⚫ Staff turnover reduced by fifty percent following (pre AASB 16) $m $m $m investment in staff accommodation ⚫ Touring revenue impacted by softer demand and lower Revenue (external) 31.6 31.2 0.4 visitor numbers
Slide 17: Business unit results – SeaLink Queensland & Northern Territory
Business unit results SeaLink Queensland & Northern Territory 2019 2018 Variance News ⚫ SeaLink Far North Queensland continues to deliver Half Year ending 31 December $m $m $m strong revenue and profit growth ⚫ North Stradbroke Island continues to grow both Revenue (external) 40.0 39.9 0.1 passenger
Slide 18: Business unit results – Captain Cook Cruises NSW & WA
Business unit results Captain Cook Cruises, New South Wales & Western Australia Half Year ending 31 December 2019 2018 Variance News ⚫ Turnaround in results supports long term confidence in (Pre AASB 16) $m $m $m future for both CCC businesses ⚫ Closure of loss making routes – Manly/Barangaroo and R
Slide 19: Marine & Bus fleet and capital investment
Marine & Bus fleet and capital investment ⚫ 3,387 buses across the Transit Systems Group fleet ⚫ 83 vessels in the marine fleet - fleet size and mix provides flexibility and opportunities ⚫ Ongoing fleet renewal underway: — Construction and delivery of MV Nairana for Tasmania and MV Osprey for Frase
Slide 20: Chair
Chair Resignation and Replacement of Chair ⚫ Andrew McEvoy has tendered his resignation to accept an international executive role ⚫ Mr McEvoy will stay involved to 30 June 2020 to facilitate an orderly transition ⚫ Mr McEvoy served as a dedicated member and Chair since 2015 ⚫ Overseen significant ex
Slide 21: Performance outlook and focus
04 Performance outlook and focus
Slide 22: 2020 Outlook and focus
2020 Outlook and focus SeaLink positioned for organic expansion and profit growth ⚫ Capitalising on Transit Systems Group integration opportunities ⚫ Resourcing to deal with unprecedented pipeline of bus tender opportunities ⚫ Exposure to tourism significantly reduced following Transit Systems Group
Slide 23: Appendices
_—@ Bose) (SEER) Gull Come and meet the Adssie locals. | Kangaroo Island - we're open for business. - SEA LINK i =
Slide 24: Transport Operational Snapshot
Appendix 1 Transport Operational Snapshot International operations Australian operations Scaleable platform for significant Largest private operator of metropolitan international expansion public bus services on behalf of governments FY19A Revenue: A$308 million1 Vehicles: ~7632 FY19A Revenue: A$587
Slide 25: Marine & Tourism Operational Snapshot
Appendix 1 Marine & Tourism Operational Snapshot Location Services Fleet South ⚫ Passenger and freight ferry services between Cape Jervis and Kangaroo Island in South Australia 5 vessels Australia ⚫ Accommodation and restaurant facilities at Vivonne Bay Lodge on Kangaroo Island ⚫ Murray River cruisi
Slide 26: Important notice – disclaimer
Important notice – disclaimer This document has been prepared by SeaLink Travel Group Limited (ACN 109 078 257) (SeaLink or the Company). No party other than SeaLink has authorised or caused the issue of this document, or takes responsibility for, or makes any statements, representations or undertak
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