Slide 1: Synertec Corporation Limited FY18 Results Presentation
For personal use only SYNERTEC CORPORATION LIMITED FY18 RESULTS PRESENTATION SEPTEMBER 2018
Slide 2: Disclaimer and Important Notice
DISCLAIMER AND IMPORTANT NOTICE For personal use only The information in this presentation about Synertec Corporation Limited (the Group) and its activities is current as at 29 August 2018, and should be read in conjunction with the Company’s Appendix 4E and attached financial report for the year en
Slide 3: Business Overview
BUSINESS OVERVIEW For personal use only Long-standing business - Established 22 years - Sophisticated engineering “DNA” was applied across other sectors - Asian operations experience – successfully established & sold Asian offices - Successfully navigated industry cycles - Reverse acquisition and AS
Slide 4: Business Overview
BUSINESS OVERVIEW For personal use only 60+ Workforce Experienced engineers (5+ years) Melbourne HQ Perth & Sydney offices Asia presence 10%+ revenue from overseas Key Sectors for Growth Oil & Gas, Pharma, Rail, Defence, Dairy, Mining
Slide 5: Business Overview
BUSINESS OVERVIEW For personal use only Highly Integrated Business Model - Controls & Automation - Electrical & Instrumentation - Process & Mechanical - Construction & Supervision - Project Management Experienced Leadership - MD – Michael Carroll (Founder, Major Shareholder, Engineering and Science
Slide 6: Leadership Team
LEADERSHIP TEAM For personal use only Michael Carroll David Harris Joern Buelter Managing Director Chief Financial Officer & Chief Operating Officer Company Secretary Michael is a founder of the Synertec business and a David is an experienced finance executive within the Joern is an experienced seni
Slide 7: FY18 Results Summary
FY18 RESULTS SUMMARY Revenue For personal use only • Impacted by delays in award • Strong momentum 1H to 2H FY18, and into FY19 “Our strategy is Work In Hand & Pipeline – delivering. strongest ever & growing • Across all target sectors • Geography expanding Target markets are Overheads strengthening
Slide 8: FY18 Results - Earnings
FY18 RESULTS - EARNINGS For personal use only FY18 ($m) FY17 ($m) FY18 result includes costs of forming new Board & Operating result (0.3) 0.9 typical annual listing costs ($0.6m) As reported at half-year, reverse acquisition Listing Expense (4.7) - accounting impact (FY18 only) Continuing Operation
Slide 9: FY18 Results – Balance Sheet
FY18 RESULTS – BALANCE SHEET For personal use only FY18 ($m) FY17 ($m) Cash 3.5 3.0 Well-managed working capital position Receivables 3.5 4.0 Debtor days tightly controlled Work in Progress 1.9 1.0 Commencement of large key project awards in 2H Includes further $1.5m of cash on deposit as Total Asse
Slide 10: Sector Performance
SECTOR PERFORMANCE For personal use only • Key projects announced progressing well Revenue Outlook providing a strong work-in-hand position and are themselves generating enquiry from other clients due to the prominence of the projects. 5% • In traditional sectors (pharmaceutical & biotechnology) 5%
Slide 11: Key Clients
KEY CLIENTS For personal use only Pharmaceutical Oil and Gas Infrastructure • CSIRO • Chevron Australia • Metro Trains Melbourne • CSL • Santos • Stolthaven Terminals • Merck • Conoco Phillips • Koppers Carbon Materials & Metals • Ego Pharmaceuticals • Bechtel • Terminals Pty Ltd • Mayne Pharma • No
Slide 12: Business Strategy
BUSINESS STRATEGY For personal use only Synertec’s growth strategy involves targeting industry segments in Australia and internationally that have: A requirement for complex engineering solutions • Life-impacting • Mission-critical • Financial benefits Large companies with complex manufacturing or p
Slide 13: Business Strategy
BUSINESS STRATEGY For personal use only Synertec’s growth strategy also includes: • Boost vertical capability • Geographic “beach-head” • Scale & profitability Developing vertical capability within a sector Strategic M&A, partnerships and collaboration; and Continuing to invest in innovative enginee
Slide 14: Case Study: LNG Custody Transfer System Technology
CASE STUDY 1 For personal use only LNG Custody Transfer System Technology • System implemented at Wheatstone & Gorgon LNG Plants 2014-2017 • Resulted from White Paper prepared by Synertec at request of Kellogg JV • Total project value $20m, strong gross margin • Achieved all key customer desired out
Slide 15: Case Study: LNG Custody Transfer System Technology - Partnership Agreement
CASE STUDY 1 For personal use only LNG Custody Transfer System Technology - Partnership Agreement • Partnership Agreement with Trelleborg AB Group • Synertec’s industry leading LNG custody transfer system will be marketed across Trelleborg’s global sales network to meet the growing needs of the rapi
Slide 16: Case Study: Melbourne Underground Rail Loop Fire & Life Safety Upgrade
CASE STUDY 2 For personal use only Melbourne Underground Rail Loop (MURL) – Fire & Life Safety System Upgrade • New Technology (system not previously used in Australia) • Synertec chosen based on engineering and project delivery systems and capability, highly experienced team, service and support ca
Slide 17: Outlook
OUTLOOK For personal use only Over the next 12-18 months Synertec will be highly focused on; • Executing existing projects in a timely, safe and efficient manner, in line with expectations or better; • Continuing to invest in its people, systems and technologies to strengthen competitive advantage;
Slide 18: For personal use only
SYNERTEC IS DEDICATED TO PROVIDING HIGHLY INNOVATIVE For personal use only AND COMMERCIAL SOLUTIONS TO COMPLEX ISSUES FOR ITS CUSTOMERS, WITH EXTENSIVE GLOBAL EXPERTISE, EXPERIENCE AND UNIQUE MANAGEMENT SYSTEMS LEARN MORE ABOUT THE PROJECTS WE’VE BEEN INVOLVED IN ONLINE