Slide 1: FY2021 Full Year Results
FY2021 Full Year Results For personal use only 24 August 2021 Paddy Gregg, Chief Executive Officer Greg Jason, Chief Financial Officer 1. Welcome to the FY 2021 full year results call. I am Paddy Gregg the CEO at Austal and I’m joined by our CFO Greg Jason. 2. We will be presenting in the same forma
Slide 2: Financial Headlines FY2021
Financial Headlines FY2021 For personal use only $m FY2021 Change from PCP Revenue $ 1,572 m (25%) EBIT $ 114.6 m (12%) N PAT $ 81.1 m (9%) TotalDividends Declared 8 ¢ per share - ➔ Operating Cash Flow $ 107.3 m (35%) 1 $ 231.9 m (15%) N et Cash FY2022 Revenue guidance @ 0.75 USD / AUD ~ $
Slide 3: FY2021 Key Facts
FY2021 Key Facts For personal use only $1.572 B $2.5 B 29 19 5,500 REVENUE ORDER BOOK SHIPS UNDER SHIPS EMPLOYEES CONSTRUCTION DELIVERED OR SCHEDULED 8 6 SHIPYARDS 35 SERVICE CENTRES IN 5 COUNTRIES VESSELS UNDER SUSTAINMENT CONTRACTS 3 1. Greg will give more detail on the factors impacting our reven
Slide 4: FY2021 Financials
For personal use only FY2021 Financials 4 4
Slide 5: Earnings
Earnings For personal use only $m FY2021 FY2020 Change % Revenue $ 1,572.2 $ 2,086.0 $ (513.8) (25%) ▪ Lower revenue driven by FX and lower throughput (More detail: Slide 6) EBITDA 160.3 176.1 (15.8) (9%) EBIT 114.6 130.4 (15.8) (12%) ▪ Lower EBIT driven by: ▪ Negative FX impact and reduced throughp
Slide 6: Group revenue movement
Group revenue movement For personal use only Average FX movement Lower LCS material Reduced LCS dockings Reduced commercial Primarily growth of FY2021: US$0.75 throughput & activity following low margin FY2020: US$0.67 COVID-19 completion of four emergent work from More detail More detail large ferr
Slide 7: Group EBIT movement
Group EBIT movement For personal use only Average FX movement LCS 26 & 28 delivery Primarily driven by Reduced commercial FY2020 was enhanced $6 m lower R&D tax FY2021 US$0.73 incentives and incentive award fees, activity following by credits and increased FY2020: US$0.67 realisation of cost funding
Slide 8: Segment breakdown
Segment breakdown For personal use only FY2021 $m Concept Ships Support Total USA: Revenue $ 1,013.0 $ 163.6 $ 1,176.6 ▪ FX impact on revenue $(161) m USA EBIT 105.4 26.3 131.7 ▪ FX impact on EBIT $(11) m EBIT M argin % 10.4% 16.0% 11.2% ▪ Shipbuilding margin reflects strong performance as milestone
Slide 9: USA Shipbuilding Revenue
USA Shipbuilding Revenue For personal use only Average FX movement Primarily lower material and FY2021: US$0.75 labour volume, plus some FY2020: US$0.67 impact of lost productivity due to hurricanes and COVID-19 $M $1,400 $1,311 $(130) $(165) $1,200 $(3) $1,013 $1,000 $800 $600 $400 $200 $0 FY2020 F
Slide 10: USA Support Revenue
USA Support Revenue For personal use only Foreign exchange translation and elimination of specific post delivery LCS dockings undertaken by Austal were the biggest drivers of reduced Revenue. Average FX movement USN ceased performing Demand for class Reduced Engineering FFG design concept Revenue fr
Slide 11: Support Margin USA
Support Margin USA For personal use only Reported IFRS margin is volatile due to the timing and recognition of incentive award fees, government funding approvals and estimated profitability. EBIT Margin Reported IFRS Normalised 20% 17.5% 15% 14.8% 13.2% 8.9% 12.3% 10% 7.7% 9.4% 7.5% 7.7% 7.0% 6.8% 5
Slide 12: Cash flow
Cash flow For personal use only $m FY2021 FY2020 Change Operating $ 107.3 $ 164.5 $ (57.1) Operating: ▪ Strong operating cash flow Investing Sustaining $ (8.6) $ (15.7) $ 7.2 Enhancing (76.5) (2.4) (74.1) Investing: ▪ Sustaining below the normal band Financing ▪ Enhancing capital expenditure include
Slide 13: Business Overview
Business Overview For personal use only 13 13
Slide 14: Expanding Globally
Expanding Globally For personal use only Floating Dry Dock, Philippines Austal USA West Campus Austal Cairns Expansion for vessel sustainment 1,120t Mobile Boat Hoist Austal USA New Steel Shipbuilding Facilities 14 1. Pictures of some of the major investments in this year 2. All drive growth opportu
Slide 15: FY2021 H2 Review
FY2021 H2 Review For personal use only • Construction of steel facility and procurement of new equipment on schedule USCG OPC enabling steel ship construction in May 2022 • US Coast Guard Offshore Patrol Cutter (OPC) Detailed Design and Construction RFP released • Funding for converting EPF 13 into
Slide 16: Operational Highlights USA
Operational Highlights USA For personal use only • EPF and LCS programs continue to perform well. • Delivered EPF 12 (September) and LCS 26 (December). • Commissioned USS Mobile and christened USS Canberra. • Facility expansion adding steel manufacturing capability is underway and is expected to be
Slide 17: Operational Highlights Australasia
Operational Highlights Australasia For personal use only • Despite COVID-19 we have had a record year of ship deliveries • 5x Guardian class and 8x ferries (Fred Olsen 1, JRK, T&T Ferry, SGTM, 4 in China), 2x Patrol Boats to Trinidad • Commercial ferry market continues to be subdued but we have sign
Slide 18: FY2022 Operational Outlook
FY2022 Operational Outlook For personal use only • Deliver Guardian • Deliver FOSA 2 • Deliver the design • A letter of intent has • Deliver LCS & EPF program September and build contract been executed by • USCG OPC tender for 66 m cat Austal and its JV submitted • Deliver CCPB • Deliver Mols announ
Slide 19: For personal use only
For personal use only 1. 2050 because the life of our vessels is 25-30 years 2. Our 10 year growth rate exceeds peers but still lacks scale 3. The makeup of our business has changed significantly but needs to keep changing to meet market demands and opportunities 4. 4 meta-trends drive this: regiona
Slide 20: Expanding our range of zero emission fast ferries
Expanding our range of zero emission fast ferries For personal use only 20 1. Launched in December and lots of interest. But Covid impacting commercial orders 2. Could be electric or hybrid with hydrogen or LNG 3. Could be other applications- ferry/ workboat or crew transfer/ fishing 20
Slide 21: Enhancing Systems
Enhancing Systems With a growing range of digital products For personal use only + + LUSI • Vessel control & monitoring of all • Machine learning to optimise vessel • Fleet wide asset management & onboard equipment performance availability planning • Intuitive 3D interface • Recommendations in real-
Slide 22: Strategic Outlook
Strategic Outlook For personal use only 1. Our LCS tra nsition continues and we are delivering every s tep of our plan. 2. COVID-19 remains a challenge but we have had a record year of ship deliveries 3. Long term growth strategy with s trong balance sheet to support investment 4. Future work opport
Slide 23: Disclaimer
Disclaimer For personal use only Paddy Gregg, Chief Executiv e Officer Telephone: +61 8 9410 1111 For further information v isit www.austal.com Disclaimer This presentation and any oral presentation accompanying it has been prepared by Austal Limited (“Austal”). It should not be considered as an off
Slide 24: End
End For personal use only ASX:ASB austal.com 24