Shine Justice Ltd. · ASX:SHJ
Shine Justice — H1 FY24 Earnings Presentation
20 slides from Shine Justice's earnings presentation, Feb 23, 2024
Slide 1: HY24 Results Presentation
Simon Morrison Ravin Raj MANAGING DIRECTOR & CEO CHIEF FINANCIAL OFFICER 23 February 2024 1 1
Slide 2: Acknowledgement of Country
, a Shine Justice acknowledges yo the Traditional Custodians of the é Country throughout Australia Z£ @ and their connections to land, y waterways and community. We pay our respects to Aboriginal Py ect ee cr Pe Po 1 j and Torres Strait Islander cultures » and to Elders past, present and emerging.
Slide 3: Agenda
Agenda 1 Overview 2 Financial Results 3 Operating Update 4 Strategic Priorities and Outlook 5 Questions? 3
Slide 4: Simon Morrison, Managing Director & CEO
Simon Morrison Managing Director & CEO 4 4
Slide 5: Key Financial Metrics
Key Financial Metrics GOCF1 Revenue Adjusted EBITDA 1 EBITDA 2 $29.11m $100.68m $22.20m $13.32m +426.87% v pcp -9.47% v pcp -17.48% v pcp -50.51% v pcp Interim Dividend EPS Adjusted NPAT 3 NPAT (unfranked) (basic) $6.4m $0.18m 1.5c 0.10c -39.91% v pcp -98.33% v pcp 0% v pcp -98.38% v pcp 1 Adjusted
Slide 6: Progress on Group Strategy
Progress on Group Strategy Operational Update Growth Initiatives Update Financial Drivers - Reshaping legal and shared services - Focus on Core PI and Class Action market - Strong underlying net debt position share - Reduction in non-fee earning - Improved cash conversion staff - Qld remains backbon
Slide 7: Ravin Raj, Chief Financial Officer
Ravin Raj Chief Financial Officer 7 7
Slide 8: Financial Results
Financial Results FY24 H1 ($m) FY23 H1 ($m) Variance (%) • Revenue impacted by one- Revenue 100.68 111.21 ↓ 9.47 off, non-recurring WIP write- offs and rightsizing fee Adjusted EBITDA 1 22.20 26.91 ↓ 17.48 earner numbers 2 • EBITDA impacted by lower EBITDA 13.32 26.91 ↓ 50.51 revenue and impact of o
Slide 9: Earnings
Earnings FY24 H1 FY23 H1 Variance (%) Earnings per share 0.10 6.18 ↓ 98.38% • H1 EPS impacted by non-recurring items (cents) • Adjusted EPS 3.6 cents Adjusted Earnings 3.60 6.18 ↓ 39.97% per share • 1.5 cent interim dividend in line with pcp Interim dividend • Dividends unfranked 1.50 1.50 per share
Slide 10: Adjusted EBITDA Bridge
FY24 Hi Adjusted EBITDA $m 25,000 20,000 15,000 10,000 5,000 Adjusted EBITDA Bridge EBITDA 7,332 Ethicon and Boston Sientific 610 Fair Value Asset Adjustment 943 22,201 Restructuring Costs Reported Adjusted EBITDA 10
Slide 11: Financial Results – Balance Sheet
Financial Results – Balance Sheet AS AT ($’000) 31 Dec 23 30 Jun 23 Cash 20,899 21,088 • Net debt improvement driven by improved Receivables 13,673 13,332 cash flow in H1 Work in progress 363,248 380,581 • Reduction of work in progress aligned with Unbilled disbursements 94,790 89,404 strategy to in
Slide 12: Financial Results – Gross Operating Cash Flow
Financial Results – Gross Operating Cash Flow 60.0 54.6 50.0 40.0 34.6 31.3 42.5 30.7 29.1 30.0 18.7 19.2 21.9 21.5 GOCF $m 20.0 24.7 24.0 13.0 15.4 29.1 10.0 15.2 14.0 9.7 13.1 12.1 3.3 3.5 5.2 6.5 6.6 6.7 5.0* 0.0 FY15 FY16 FY17 FY18 FY19 FY20 FY21 FY22 -8.9 FY24 -10.0 -3.9 FY23 -20.0 1H 2H 12
Slide 13: Class Actions Update
Class Actions Update Simon Morrison Managing Director & CEO 1313
Slide 14: Class Actions
Class Actions Class action settlement fees Current Class Actions Filed FY24 H1 Class Actions Under received in H1 Class Actions Investigation • Ethicon • Boston 10% 5% 14% 18% • Super PFAS • Wreck Bay 7% 14% Class action settlements H1 36% 14% • Stolen Wages WA 10% • Evans Dixon 21% Class Actions fi
Slide 15: Strategic Priorities & Outlook
X< SHINE JUSTICE Strateet ic Priorites & Outlook
Slide 16: Underpin Growth and Accelerate Efficiency
Underpin Growth and Accelerate Efficiency Champion the Client Prioritise People Grow Shine Strengthen Shine Innovate InnovateShine Shine Initiatives underpin EBITDA/Cash Footprint • Increase PI and CA market share • Focus on organic growth • Finalise restructure of legal business and costs H2 • Leve
Slide 17: Appendices
X< SHINE JUSTICE BestWilsonBuckley
Slide 18: Important Notice
Important Notice This presentation contains certain forward-looking statements with respect to the financial condition, results of operations and business of Shine Justice Ltd and certain plans and objectives of the management of Shine Justice Ltd. Such forward-looking statements involve both known
Slide 19: NPA1 Personal Injury
PURPOSE DRIVEN, RESILIENT AND DETERMINED TO SEEK JUSTICE FOR OUR CLIENTS NPA1 Personal Injury Shine Lawyers Motor vehicle, workplace, Class actions public liability, abuse, head trauma Superannuation and disability • Shine Lawyers Catastrophic injuries • Sciaccas (QLD) Dust disease • Stephen Browne
Slide 20: Shine Justice
X< SHINE JUSTICE CARR & CO Stephen Browne CS) N@sHINE BestWilsonBuckley LAWYERS, N LAWYERS.