Smart Parking Limited · ASX:SPZ

Smart Parking — Investor Presentation (February 2023)

25 slides from Smart Parking's investor presentation, Feb 20, 2023

  1. Slide 1: H1 FY23 Results

    Smart Parking Limited (ASX:SPZ) H1 FY23 Results 20 February 2023 CEO Paul Gillespie smartparking.com

  2. Slide 2: Smart Parking Ltd (ASX:SPZ)

    Smart Parking Ltd (ASX:SPZ) A global company focused on delivering industry leading Revenue ($000s) technology innovations and solutions within the parking industry 23,364 22,108 Parking management services 19,441 18,707 Provision of parking management solutions, predominantly servicing the retail s

  3. Slide 3: Growth strategy - leverage UK footprint into new territories

    Growth strategy - leverage UK footprint into new territories | Currently operating in four territories around the world Parking Regulations Apply PRIVATE LAND Licence Plate Recognition in Use PRIVATE LAND Licence Plate Recognition in Use PRIVAT PARKPLATZ Customer Parking Only Customer Parking Only X

  4. Slide 4: H1 FY23

    H1 FY23 984 Revenue of $22.1m Adjusted EBITDA Total ($23.4m1) up $6.1m ($6.5m1) up 25% 27% sites 1 1 up 17% Excludes $0.9m investment in Germany (nil H1 FY22) *As at 31 Dec 2022 compared to 30 June 2022 *Compared to PCP (in constant currency) *Compared to PCP (in constant currency) Cash of 1,500 Fre

  5. Slide 5: H1 FY23 business update

    H1 FY23 business update | Record results, expanding market opportunities to accelerate growth. FINANCIAL EXPANSION OUTLOOK • Record results – • Built foundations for growth in • Good start to FY23 with 1,005 sites Revenue $22.1m and Adjusted Germany, while continuing to scale the as at 20 February -

  6. Slide 6: H1 FY23 Financial Update

    Pp SMART H1 FY23 Financial Update

  7. Slide 7: H1 FY23 performance

    H1 FY23 performance Group Profit & Loss ($m) • Revenue increased 25%3 due to the H1 FY23 H1 FY23 H1 FY22 expansion of sites under management (Constant currency)3 by 17%. Revenue (excl interest)1 22.0 23.3 18.7 • Overheads were up 28%3 compared Cost of Sales1 (7.2) (7.7) (6.5) to H1 FY22 with a revie

  8. Slide 8: Revenue growth

    Revenue growth | Revenue up 25%1 from increased sites under management and expansion into new territories ($000s) • UK parking management UK growth rate 18% APAC Managed Services revenue growth 484% revenue growth of 18%1 compared to H1 FY22. 289 23,364 852 • APAC parking management 916 22,108 reven

  9. Slide 9: FY23 – Margin expansion

    FY23 – Margin expansion Revenue ($000s) Adjusted EBITDA ($000s) 23,364 22,108 • H1 revenue up 25%1 on PCP. 18,707 19,441 • Investment in Germany of $0.9m. German investment of $0.9m in H1 FY23 • Adjusted EBITDA up 27%1 6,129 6,527 excluding $0.9m investment in 5,138 5,258 5,656 Germany, EBITDA margi

  10. Slide 10: Operating expense analysis

    Operating expense analysis | Increased costs reflect expansion into new territories and significant growth in activity • H1 FY23 operating expenses of $1.5m includes costs ($000s) related to expansion into new territories (Germany 279 9,983 603 9,606 $0.9m, APAC $0.6m). 896 (377) 406 • UK operating

  11. Slide 11: Positive free cash flow

    Positive free cash flow | $10.7m cash to fund growth strategy and shareholder returns • Cash on hand of $10.7m as at 31 December 2022. Cash Flow Waterfall ($m) • Positive free cash flow of $4.7m Free cash flow of $4.7m1 up 9% compared to PCP (excluding (up 9% on PCP) Germany). 5.9 • Working capital

  12. Slide 12: Strong balance sheet to fund growth strategy

    Strong balance sheet to fund growth strategy • $10.7m1 of cash – capital to fund Group Financial Position ($m) growth strategies. $m Dec-22 Jun-22 • In October 2021 the Company commenced repayments of a UK Current assets 22.1 23.1 Coronavirus Business Interruption Loan ($2.7m) in 36 equal monthly No

  13. Slide 13: Parking Management

    Parking Management | 25% revenue growth in H1 FY23 vs PCP Parking Management ($000s) 21,1521 Revenue up 25% 20,018 1 16,919 34% 16,487 31.6%2 28% 28% 27.5%2 Pandemic 17% impacted *Compared to PCP (In constant currency). 9,778 8,515 (6%) 6,6911 Adjusted EBITDA 6,340 Pandemic 5,799 Germany investment

  14. Slide 14: H1 FY23 Business Update

    SMART = PARKING Hi FY23 Business Update

  15. Slide 15: On track for 1,500 ANPR sites by June 2025

    On track for 1,500 ANPR sites by June 2025 | Site growth in H1 FY23 at 17%, now over UK ANPR roll out continues 1,000 global sites under management • 102 new sites in H1 FY23. 1,005 984 XXX XXX Growing APAC and Germany 2 9% 120 130 managed services 839 GR 864 875 CA 49 • 110 sites in New Zealand/ 79

  16. Slide 16: Strong growth underway

    Strong growth underway | H1 FY23 record PBNs issued, up 25% vs PCP Parking Breach Notices Issued H1 FY23 growth delivered H1 FY21 Average Quarterly PBNs 76,076 H1 FY22 Average Quarterly PBNs 138,398 H1 FY23 Average Quarterly PBNs 172,984 (up 82% on H1 FY21) (up 25% on H1 FY22) • PBN growth up 25% 17

  17. Slide 17: APAC growth drivers

    APAC growth drivers NZ • First customers acquired in March | Successfully scaling new territories 2021, NZ business now profitable and operating cash flow positive. • Sales presence in major metropolitan areas including Auckland, Wellington Sites Parking Breach Notices Issued Revenue (000s) & Christ

  18. Slide 18: Growth profile

    Growth profile | German site growth in line with strong NZ performance Month First 0 6 12 18 Sites at site live Feb 2023 10 SITES 10 15 SITES 30 10 SITES SITES NZ 03/21 44 10 7 SITES 20 10 SITES GE 03/22 20 • German growth in line with NZ start-up and expected to continue strong growth in SPZ’s larg

  19. Slide 19: FY23 priorities – execution under way

    FY23 priorities – execution under way 4 Continue to make strong progress towards growth target of 1,500 global ANPR sites under management by June 2025. 4 Execution of organic growth strategy - we are very early in the long term growth runway in large addressable markets. 4 Continue successful inter

  20. Slide 20: Supplementary Information

    “PARKING Supplementary Information

  21. Slide 21: Segment reporting

    Segment reporting Adjusted Revenue Adjusted EBITDA EBITDA Margin ($000’s) H1 FY22 vs H1 FY22 vs H1 FY22 H1 FY23 H1 FY22 H1 FY23 H1 FY22 H1 FY23 H1 FY23 H1 FY23 Parking Management 16,919 20,018 18.3% 5,799 5,469 (10.8%) 34.3% 27.3% Technology Division 3,457 3,943 14.1% 403 811 173.7% 11.7% 20.6% Rese

  22. Slide 22: Management services – ANPR estate growth

    Management services – ANPR estate growth | Over 1,000 global sites under management ANPR Site Reconciliation FY22 H1 FY23 173 1,005 984 APAC/Germany (71) (28) UK (102) 127 APAC/Germany (28) 839 176 UK (99) (25) EPS (68) 737 APAC (15) (58) UK (93) 619 496 Growth target affirmed: 389 1,500 global site

  23. Slide 23: Management services: How it works

    Management services: How it works | Parking management improving customer satisfaction and revenue generation. • ANPR | Automatic Number Plate Recognition • Pay & Display | ANPR Linked Automated Payment System • Site Surveys | Real-time information, analysis and trend data • Parking Attendants | Tra

  24. Slide 24: ANPR: How it works

    ANPR: How it works | Automatic number / license plate recognition (ANPR) is a reliable, cost effective off-street parking management solution. It is proven to serve a wide range of industries including supermarkets, retail, hotels, hospitals and leisure centres. Smart Parking’s ANPR solution ensures

  25. Slide 25: Glossary and legal disclaimer

    Glossary Adjusted EBITDA – The Board assesses the underlying performance of the Group based on a measure of Adjusted EBITDA which takes into account costs incurred in the current period but which are non-operating and/or are not expected to occur in the future. EBITDA – represents Earnings before in

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