Southern Cross Electrical Engineering Limited · ASX:SXE
Southern Cross Electrical Engineering — Shareholder Meeting (October 2021)
17 slides from Southern Cross Electrical Engineering's shareholder meeting presentation, Oct 26, 2021
Slide 1: Annual General Meeting 2021 Managing Director's Presentation
For personal use only Annual General Meeting 2021 Managing Director’s Presentation AGM 26 October 2021 11 26 October 2021
Slide 2: Highlights
Highlights Financial FY21 Operational Outlook For personal use only Full year revenue of $370.2m down 10.8% Work mix changed as resources activity Targeting FY22 revenues of circa $500m on prior year increased and transport infrastructure and EBITDA in range of $29m-$33m - Second half a record half
Slide 3: H2 FY21 record half of revenue
H2 FY21 record half of revenue Second half revenue of $234.8m, up 73.4% on first half Summary financials For personal use only Workforce doubled in FY21 including recruiting net 400 further employees in second half to meet client requirements to ramp up on FY21 FY20 Chg. % large-scale mining project
Slide 4: Coronavirus
Coronavirus FY21 Post-FY21 For personal use only Construction continued to be designated an essential Post 30 June lockdowns on East Coast resulted in total service in all states throughout FY21 Sydney construction shutdown for part of July and later shutdowns in Victoria Operations generally contin
Slide 5: Strong balance sheet and debt free
Strong balance sheet and debt free Cash decreased slightly in year by $4.3m to $51.0m at 30 June Balance sheet summary 2021 (30 June 2020: $55.3m) despite funding Trivantage For personal use only acquisition with net cash outflow of $22.2m and $7.2m FY20 Jun 21 Jun 20 final dividend $m $m Cash resul
Slide 6: Strategy and sector outlooks
For personal use only Strategy and sector outlooks 6
Slide 7: Strategy
Strategy SCEE primarily sees itself as an electrical contractor diversified across For personal use only the resources, commercial and infrastructure sectors Our growth strategy continues to be to deepen our presence in those sectors and broaden our geographic diversity This includes particularly ta
Slide 8: Integration
Integration Trivantage acquisition offers considerable cross-selling For personal use only opportunities and there is now a focus on realising integration synergies across the group Integration initiatives already commenced include combined insurance programs, IT functions and admin processes Market
Slide 9: Resources sector
Resources sector Resources activity more than doubled on prior year as major mining For personal use only projects ramped up – added net 400 workers in period to service projects Significant revenue contributors included Albemarle Kemerton Lithium Plant, Rio Tinto Gudai-Darri and Rio Tinto Gove – so
Slide 10: Resources decarbonisation
Resources decarbonisation AFR, 1 September 2021: “…investment required to decarbonise the planet is estimated to be more than…$41 trillion” For personal use only Decarbonisation impacts resources sector two-fold: • Decarbonisation of operations – initiatives under way by multiple mining companies in
Slide 11: Infrastructure sector
Infrastructure sector Wide sector for SCEE, primarily driven by governmental expenditure although some areas have varying levels of private investment For personal use only Includes transport, road, rail, utilities, defence, and telco, but also “softer” sectors such as health and aged care, educatio
Slide 12: Infrastructure sector (continued)
Infrastructure sector (continued) Other East Coast infrastructure opportunities are strong – NSW For personal use only hospitals programme, government buildings and datacentres all being actively bid Western Sydney International Airport terminal being tendered now Further packages at airport which i
Slide 13: Commercial sector
Commercial sector Commercial remained largest sector by revenue in FY21 For personal use only The Sydney CBD office construction market quieter than in recent times but there are still significant targets being tendered there Recently announced Pitt Street South Tower, Bankstown City Campus, and in
Slide 14: Conclusion and outlook
Conclusion and outlook • FY21 profits ahead of target with EBITDA* of $29.6m up 37.0% and NPAT of $13.8m up 26.6% on prior year For personal use only • Balance sheet remains strong with cash of $51.0m and no debt at 30 June 2021 • Increased fully franked 4.0 cents per share dividend declared • Triva
Slide 15: Corporate summary
Corporate summary For personal use only Capital Structure Shareholders at 30 September 2021 ASX Code SXE Thorney Investments 17.1% Share Price (21 October 2021) 70.0c First Sentier Investors 8.9% No. of ordinary shares 256.7m Perennial Value Management 5.7% Market Capitalisation (21 October 2021) $1
Slide 16: Appendix – IFRS reconciliation
Appendix – IFRS reconciliation SCEE’s results are reported under International FY21 FY20 For personal use only Financial Reporting Standards (IFRS). SCEE discloses certain non-IFRS measures that are not $m $m prepared in accordance with IFRS. The non-IFRS Contract revenue 370.2 415.1 measures should
Slide 17: Disclaimer
Disclaimer Some of the information contained in this presentation given in this presentation is given for illustrative purposes only For personal use only contains “forward-looking statements” which may not directly and should not be relied upon as (and is not) an indication of or exclusively relate
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