Pagegroup Plc · LSE:PAGE
Pagegroup — H1 2017 Earnings Presentation
19 slides from Pagegroup's earnings presentation, August 2017
Slide 1: Half Year Results 2017
Half Year Results 2017 PageGroup E Cc PAS S| ON A WINDY AC A ] WUR K Ao A | Vi MAKE IT FUN
Slide 2: Agenda
Agenda Financial Review Capital Strategy and Returns Summary
Slide 3: Financial Review
Financial Review
Slide 4: H1 2017 Group Financial Highlights
H1 2017 Group Financial Highlights Reported Constant H1 2017 H1 2016 % % Revenue £673.1m £575.9m +16.9% +7.7% Gross Profit £352.0m £299.2m +17.7% +8.3% Operating Profit £56.9m £47.1m +20.9% +9.2% Basic Earnings Per Share 13.1p 10.8p +21.3% Net Cash £88.9m £73.6m +20.8% Interim Dividend Per Share 3.9
Slide 5: Income Statement
Income Statement H1 2017 H1 2016 Reported Constant £m £m % % Gross Profit 352.0 299.2 +17.7% +8.3% Administrative Expenses 295.1 252.1 +17.1% +8.1% Operating Profit 56.9 47.1 +20.9% +9.2% Net Interest Expense - (0.2) Profit Before Tax 56.9 46.9 Taxation (16.0) (13.1) Profit After Tax 40.9 33.8 Effec
Slide 6: Impact of Foreign Exchange
Impact of Foreign Exchange H1 2017 H2* 2017 FY 2017 Reported Constant Foreign Foreign Foreign Rates Currency Exchange Exchange Exchange £m £m £m £m £m Gross Profit 352 324 28 2 30 Operating Profit 57 51 6 - 6 Conversion Rate** 16.2% 15.9% • Sterling weakened post EU Referendum at end of June 2016 •
Slide 7: Conversion by Region
Conversion* by Region H1 2017 H1 2016 Gross Operating Conversion Gross Operating Conversion Profit Profit Rate Profit Profit Rate £m £m % £m £m % GROUP 352.0 56.9 16.2 299.2 47.1 15.7 EMEA 162.1 31.4 19.4 129.1 23.8 18.5 UK 73.0 8.7 11.9 74.8 11.6 15.6 ASIA PACIFIC 66.7 11.3 17.0 56.5 9.4 16.6 AMERI
Slide 8: Depreciation, Amortisation and Capital Expenditure
Depreciation, Amortisation and Capital Expenditure H1 2017 H1 2016 £m £m Depreciation 4.2 4.4 Amortisation 4.9 3.8 Total 9.1 8.2 Capital expenditure Tangible assets 4.9 7.3 Intangible assets 4.4 4.6 Total 9.3 11.9 • Reduced Capex in 2017 due to 3 significant office moves in 2016 • Capital expenditur
Slide 9: Balance Sheet
Balance Sheet H1 H1 2017 2016 £m £m Intangible assets 37.1 36.5 Tangible assets 29.5 26.8 Trade and other receivables 287.3 262.7 Trade, other payables, current and deferred taxes (173.1) (164.0) Net cash 88.9 73.6 Net assets 269.7 235.6 • Trade and other receivables increased by c. £20m due to fore
Slide 10: H1 Cash Flow
H1 Cash Flow H1 2017 H1 2016 Movement in net cash (£m) (3.9) (21.4) £m 10
Slide 11: Capital Strategy and Returns
Capital Strategy and Returns
Slide 12: Capital Strategy
Capital Strategy • To finance the activities and development of the Group from retained earnings while maintaining a strong balance sheet position • First use of cash is to satisfy operational and investment requirements, as well as hedging the Group’s liabilities under its share plans • Second use
Slide 13: Track Record of Shareholder Returns
Track Record of Shareholder Returns £m 13
Slide 14: Assessment of Surplus Cash
Assessment of Surplus Cash H1 2017 H1 2016 Special Dividend (£m) 40.0 20.0 £m 14
Slide 15: Dividends
Dividends H1 2017 H1 2017 H1 2016 H1 2016 (pence per share) £m (pence per share) £m Interim 3.90 12.3 3.75 11.6 Special 12.73 40.0 6.46 20.0 Total 16.63 52.3 10.21 31.6 • Interim dividend increased by 4.0% • Special dividend of £40.0m • Both payable to shareholders on 11th October 2017 • Ordinary di
Slide 16: Summary
Summary
Slide 17: Summary
Summary • Ongoing focus on conversion rates and productivity - Gross Profit of £352.0m, up 8.3% in constant currency (+17.7% in reported rates) Summary Summary - Conversion rate up slightly to 16.2% (H1 2016: 15.7%) - Fee earner movements to react to market conditions both up and down - Continued fo
Slide 18: Page
Page Michael Page Page Personnel Part of PageGroup
Slide 19: Cautionary Statement
19 Cautionary Statement This presentation contains certain statements that are neither reported financial results nor other historical information. The information contained in this presentation is not audited, is for personal use and informational purposes only and is not intended for distribution