Saunders International Limited · ASX:SND
Saunders International — H1 FY2024 Earnings Presentation
30 slides from Saunders International's earnings presentation, Feb 28, 2024
Slide 1: Investor Presentation
Investor Presentation Mark Benson Managing Director & Chief Executive Officer Brett Gregory Chief Financial Officer 28 February 2024 1
Slide 2: Acknowledgement of Traditional Owners
We acknowledge the Traditional Owners and Custodians of Country throughout Australia. We pay our respects to all First Nations peoples and acknowledge Elders past and present. As a business that works across many locations, we recognise and support their continuing connection to lands, waters, cultu
Slide 3: Integrated engineering construction and infrastructure company
We’re an integrated engineering construction and infrastructure company recognised for innovation and expertise in bulk storage terminal construction, piping, civil works, asset services and industrial automation. We’re proud to work with some of the world’s largest oil and gas companies, tier-one c
Slide 4: Workforce, regional offices and major projects in delivery
Defence Power & Water 544 in our workforce Mining & Minerals EIGHT regional offices metropolitan & Oil & Gas 44 major projects in delivery Infrastructure FIVE operational Engineering Asset Piping Civil Automation New Energy Construction Services areas 4
Slide 5: Metropolitan and regional office locations
We have metropolitan and regional offices located strategically across our key markets, with Saunders’ Head Office located in Sydney, NSW. Founded in 1951, we’ve been listed on the Australian Securities Exchange (ASX: SND) since 2007. KEY Office locations Major projects in delivery 5
Slide 6: HY2024 key metrics
Our focus is on continuing the Revenue Full time employees EBITDA strategic evolution of our business and operations, including leveraging $104.4m 544 $9.8m 12.3% up ($93.0 million) 28.9% up (422 at 30 June 16.7% up ($8.4 million) our new Piping and Automation 2023) offering, and ensuring the safe a
Slide 7: HY2024 highlights and major projects secured
We have started the new financial year with HY2024 MAJOR PROJECTS SECURED another strong half-year for Saunders, $9.3 million Lytton Refinery, Port of Brisbane, QLD delivering over $100 million in revenue during this period. $44.1 million Pelican Point Terminal, SA Defence Strategic acquisitions In
Slide 8: Safe delivery of record order book and pipeline focus
We are focused on the safe and successful delivery of our record order book and securing more key projects in the deep pipeline of opportunities available to the business. The team is positioning for key projects, repeat business and opportunities to leverage our expanded client offering, including
Slide 9: Group revenue, EBITDA, cash and EPS
GROUP REVENUE (A$M) Up 12.3% Revenue Change GROUP CASH (A$M) Up 136.7% Cash Change 120 104 40 37 100 93 30 80 30 24 60 53 46 20 13 40 30 11 10 20 0 0 HY20 HY21 HY22 HY23 HY24 FY20 FY21 FY22 FY23 HY24 GROUP EBITDA (A$M) Up 16.7% EBIT Change EARNINGS PER SHARE Up 1.1% EPS Change 12 9.8 6 4.5 10 8.4 5
Slide 10: Order book and live tender pipeline
Saunders remains well-positioned to take advantage of opportunities across our sectors and services; underpinned by solid fundamentals, expanded service offerings in automation and piping, strong orderbook, deep pipeline and our strong balance sheet. ORDER BOOK (A$M) LIVE TENDER PIPELINE ($M) 250 25
Slide 11: Order book breakout and pipeline
PREFERRED ORDER BOOK BREAKOUT PIPELINE CONTRACTOR STATUS $220.8m $1.9b $33.1m JAN 24 JAN 24 JAN 24 Construction Services Maintenance Services Total Tenders Civil Services Automation Preferred Projects Piping 11 11
Slide 12: Multi-disciplined projects, pipeline and acquisitions
Multi-disciplined Increased scale of multi-disciplined projects continue to be secured, demonstrating the $1.93 billion We are well-positioned to leverage the $1.93 billion pipeline of opportunities before Projects strength of our operating model. Pipeline us and continue our growth trajectory. The
Slide 13: Appendix: Financials
Appendix 1 Financials SAUNDERS rh T oRiNenen 2024 Half Year Results In)
Slide 14: Capital structure, shareholders, board and share performance
CAPITAL STRUCTURE SUBSTANTIAL SHAREHOLDERS ASX Code SND NAOS Asset Management 24.57% Ordinary shares on issue 116,513,894 Mr. Desmond Bryant 22.43% Share price as of 31 December 2023 91.5 cents Anacacia Pty Ltd 11.41% Market capitalisation 31 December 2023 $106.6m Mr. Timothy Burnett 10.64% BOARD AN
Slide 15: Income statement
A$000 FY24 H1 FY23 H1 % Revenue 104,427 92,967 12.3 Other Income 192 174 10.3 Materials and third-party costs charged to projects (59,472) (58,674) 1.4 Employee benefits expense (25,724) (23,012) 11.8 Depreciation expense (1,787) (1,395) 28.1 Finance costs (193) (223) (13.5) Motor vehicle expe
Slide 16: Balance sheet
A$000 FY24 H1 FY23 A$000 FY24 H1 FY23 Current assets Current liabilities Cash and cash equivalents 30,256 12,833 Trade and other payables 17,824 25,727 Trade and other receivables 12,846 23,099 Contract liabilities 12,831 11,174 Contract assets 19,754 33,145 Provisions 7,950 6,887 Assets held for sa
Slide 17: Cash flow statement
A$’000 FY24 H1 FY23 H1 Cash flows from Operating activities 25,418 2,817 Cashflows used in Investing activities (5,760) (392) Cashflows used in Financing activities (2,235) (636) Net Increase in cash and cash equivalents 17,423 1,789 Opening cash on hand 12,833 36,746 Effects of exchange rate fluctu
Slide 18: Appendix: Operations
Appendix 2 Oe ae Operatic: Ss : = \¢ \ A ——— : ap = “ES 1 2024 Half Year Results Investor Pres ye’ < 18 Va SAUNDERS
Slide 19: Construction services
Though Saunders boasts a rich OUR SERVICES history as one of Australia's premier Front End Engineering Design Engineering, Procurement bulk liquid storage and geodesic (FEED) and Construction (EPC) & Engineering, Procurement, dome construction contractors, our Structural Mechanical Construction an
Slide 20: Quantem diesel storage project, Adelaide
Client: Quantem Value: $44.2 million Location: Adelaide, SA Date secured: July 2023 Operational areas: Engineering Construction and Automation Our multi‐disciplinary in‐house engineering and operational teams worked closely with long-term and repeat client Quantem to value engineer, optimise constru
Slide 21: Asset services
Saunders are at the forefront of OUR SERVICES providing asset services, with a Repair and maintenance of bulk Structural Mechanical Piping specialised focus on inspection, liquid and chemical storage tanks installation repair, modification, and Asset management services Pump and valve overhauls or
Slide 22: bp Kwinana Renewable Fuels project
Client: bp Value: $42.4 million Location: Kwinana, WA Date secured: June 2023 Operational area: Asset Services We are particularly proud of our Kwinana Renewable Fuels Project win in late FY2023. Not only because it's the largest project ever awarded to our Asset Services business unit, but also bec
Slide 23: Civil services
Our civil capability and know-how have OUR SERVICES enabled us to develop a reputation for Road bridge construction Culvert installations delivering challenging projects using innovative design alternatives and Rail bridge construction Super-T and planks for infrastructure projects construction me
Slide 24: Port Macquarie Hastings Council bridges
Client: Port Macquarie Hastings Council Value: $11.2 million Location: Various locations, Port Macquarie, NSW Date secured: May 2023 Operational area: Saunders CivilBuild In May 2023, Saunders was awarded a new contract for $11.22 million to replace five existing timber bridges across the Port Macqu
Slide 25: Saunders Automation services
Saunders Automation specialises OUR SERVICES in turnkey industrial automation Operational Technology (OT) Instrumentation selection, installation and calibration and control systems to help Industrial automation solutions Functional safety for process streamline processes, increase Control system
Slide 26: CleanCo Queensland Barron Gorge Hydro
Client: CleanCo Queensland Value: $3.9 million Location: Barron Gorge, Qld Date secured: July 2023 Operational area: Saunders Automation Commissioned in 1963, the Barron Gorge Hydro sources water from the Barron River to produce electricity before releasing the water back into the river. Barron Gorg
Slide 27: Saunders Piping Solutions services
Saunders Piping Solutions OUR SERVICES specialises in the fabrication, Design Transportation installation and maintenance of Materials supply Site Installation steel pipelines, structures, Fabrication Commissioning pressure vessels, and refuelling Nondestructive testing Hydro Testing systems for t
Slide 28: HY24 highlights: Piping Solutions acquisition
HY24 HIGHLIGHTS We announced to the ASX we had agreed to acquire Piping Solutions, specialists in the 8 November 2023 fabrication, installation and maintenance of steel pipelines, structures, pressure vessels, and refuelling systems for the Defence, Aviation, Energy and Infrastructure sectors. We co
Slide 29: Duratec Western Sydney Airport hydrant line
Client: Duratec Value: $26.0 million Location: Luddenham, NSW Date secured: 2021 + 2023 Operational Area: Saunders Piping Solutions In 2021, the business was awarded a significant contract to deliver a new hydrant line at Western Sydney International Airport, now also known as Nancy Bird Walton Airp
Slide 30: Contact and disclaimer
This presentation has been prepared by Saunders International Limited (“Saunders”, “the Company”, “The Group”) as a summary of the Company and its operations and for general information purposes only. This presentation is not and should not be considered as an offer or invitation to subscribe for or
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