Sgh Limited · ASX:SGH
Sgh — Seven Group Holdings — H1 FY2012 Earnings Presentation
31 slides from Sgh's earnings presentation, Feb 29, 2012
Slide 1: ASX cover letter: Presentation of Results to Analysts
29 February 2012 Company Announcements Office Australian Securities Exchange Limited Level 6, 20 Bridge Street SYDNEY NSW 2000 By Electronic Lodgement Total pages: 31 (including cover letter) Presentation of Results to Analysts Following is a copy of the presentation of Results for the financial hal
Slide 2: Results for the Half Year Ended 31 December 2011
RESULTS FOR THE HALF YEAR ENDED 31 DECEMBER 2011 Presentation on 29 February 2012
Slide 3: Disclaimer
Disclaimer Basis of preparation of slides Included in this presentation is data prepared by the management of Seven Group Holdings Limited (SGH) and other associated entities and investments. This data is included for information purposes only and has not been subject to the same level of review b
Slide 4: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 3
Slide 5: Overview
Overview Overview Industrial Services Media Investments 100% 33% + $250m RCPS 25% 11% ~$258m Australia Seven West Media 25% ~$394m 100% 100% Listed Portfolio 100% 50% China 100% 100% 46% 100% 100% Notes: 1. Group structure as at 29 February 2012 2. Investment values as at 31 December 2011 3. Seven W
Slide 6: Key Financial Numbers
Key Financial Numbers Total Group – Half-Year Results 6 Months to 6 Months to Half-Year Results % Change 31 Dec 2011 31 Dec 2010 Total Revenue $ 1,955.6 m $ 1,512.4 m 29% EBITDA 1, 2 $ 288.6 m $ 220.0 m 31% Underlying net profit after tax (excluding significant items) 2 $ 169.3 m $ 127.6 m 33% Signi
Slide 7: Segment Analysis
Segment Analysis Total Group – Half-Year Results WesTrac WesTrac National Media Other Total HALF YEAR ENDED 31 DECEMBER 2011 Australia China Hire Investments Investments $m $m $m $m $m $m Segment revenue 1,507.3 317.8 101.7 - 28.9 1,955.6 Segment result Segment earnings before interest, tax, and amo
Slide 8: Half-Year Highlights
Half-Year Highlights Outstanding performance by WesTrac Australia with strong new equipment and service revenue growth driving a 73% increase in Segment EBIT Good growth in China (32% increase in USD revenue) although some variability in market conditions National Hire and Coates continue to t
Slide 9: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 8
Slide 10: WesTrac Group P&L – Dec 2011 v Dec 2010
WesTrac Group P&L – Dec 2011 v Dec 2010 Half-Year Result (Excluding National Hire) 6 Months to 6 Months to Change $m 31 Dec 2011 31 Dec 2010 % - Australia - revenue & other income 1,514.0 1,171.2 29% - China - revenue & other income 321.9 269.0 20% Total revenue & other income 1,835.9 1,440.2 27% -
Slide 11: WesTrac Group – Dec 2011 v Dec 2010
WesTrac Group – Dec 2011 v Dec 2010 Half-Year Result (Excluding National Hire) Group performed strongly in key measures Over 5,550 employees in group Australia and China growing profitably Notes: 1. China AUD results impacted by AUD v USD exchange rate 2. Total Revenue and Other Income numbers
Slide 12: WesTrac Australia – Dec 2011 v Dec 2010
WesTrac Australia – Dec 2011 v Dec 2010 Half-Year Result (Excluding National Hire) 3,452 employees $m 6 Months to 6 Months to Change 31 Dec 2011 31 Dec 2010 % 30% product sales growth WesTrac Australia Driven by coal and iron ore - Product sales 898.7 689.6 30% mining - Product support 608.6 4
Slide 13: WesTrac China – (AUD) Dec 2011 v Dec 2010
WesTrac China – (AUD) Dec 2011 v Dec 2010 Half-Year Result 6 Months to 6 Month to Change 2,135 employees AUD $m 31 Dec 2011 31 Dec 2010 % Strong AUD impacted WesTrac China translation of USD sales - Product sales 255.7 206.0 24% Both EBIT and EBITDA growth - Product support 62.1 62.0 0% target
Slide 14: WesTrac China – (USD) Dec 2011 v Dec 2010
WesTrac China – (USD) Dec 2011 v Dec 2010 Half-Year Result 37% USD product sales 6 Months to 6 Months to Change USD $m growth 31 Dec 2011 31 Dec 2010 % Increased demand for engines WesTrac China due to improvement in oil & gas sector - Product sales 263.4 192.8 37% Growth in large mining suppo
Slide 15: WesTrac Group – The Next 12 Months
WesTrac Group – The Next 12 Months Strong market fundamentals expected to drive further growth, particularly in Australia China outlook overall is positive, however growth is expected to be slower than previous years Major facility expansion plans well underway by landlord Newcastle construc
Slide 16: National Hire Group Limited
National Hire Group Limited Half-Year Result SGH ownership in National 6 Months to 6 Months to Change National Hire $m Hire was 99.7% at 31 31 Dec 2011 31 Dec 2010 % December 2011. Compulsory acquisition of Revenue 101.7 55.0 85% minorities was completed Other income 1.4 1.1 27% on 25 January 2012
Slide 17: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 1
Slide 18: Media Investments P&L (excluding significant items)
Media Investments P&L (excluding significant items) 6 Months to 6 Months to $m 31 Dec 2011 31 Dec 2010 Share of Associates Since last year, SGH’s media - Seven West Media 50.0 0.0 investments in Seven Media Group - Seven Media Group 1 0.0 71.0 and West Australian Newspaper Holdings have been combine
Slide 19: Seven West Media HY12 Overview
Seven West Media HY12 Overview Profit after tax of $163.0m up from $50.1m in pcp (before SMG merger). Basic EPS 26.1 cents v 23.2 cents in pcp (before SMG merger) SWM Debt refinanced in November 2011 with average 4 year tenor EBITDA of $340.8m v pro-forma pcp of $364.5m (including SMG operat
Slide 20: Other Investments P&L
Other Investments P&L 6 Months To 6 Months To $m On 20 February 2012, 31 Dec 2011 31 Dec 2010 SGH announced the conditional sale of its Revenue 28.9 26.0 vividwireless business Other Income 16.7 19.2 to Optus for a sale Share of results from equity accounted investees 0.6 (0.3) price of $230m Total
Slide 21: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 2
Slide 22: Consolidated Profit and Loss
Consolidated Profit and Loss Total Group 6 Months to 6 Months to $m Change % 31 Dec 2011 31 Dec 2010 Revenue 1,955.6 1,512.4 29% Other income 39.2 29.1 35% Share of results from equity accounted investees 88.7 103.8 -15% Total revenue and other income 2,083.5 1,645.3 27% Expenses (excluding deprecia
Slide 23: Summary of Significant Items
Summary of Significant Items 6 Months to 6 Months to $m 31 Dec 2011 31 Dec 2010 Impairment - SWM equity to market value (161.8) - Impairment - CMH equity to market value (3.4) - Impairment - Other (2.4) - Other - Gains / Fair value movements 5.8 - Unusual share of result from equity accounted invest
Slide 24: Consolidated Balance Sheet
Consolidated Balance Sheet Total Group As at As at Change $m 31 Dec 2011 30 June 2011 % Trade and other receivables + other current assets 650.7 578.7 12% Inventories 1,376.7 989.6 39% Intangible assets 542.9 526.2 3% Investments 2,361.1 2,366.4 0% Fixed assets 297.3 264.9 12% Trade and other payabl
Slide 25: Consolidated Investment Listing
Consolidated Investment Listing Total Group 28 Feb 2012 $m 31 Dec 2011 30 June 2011 Market Value (4) Seven West Media (Ordinary shares + RCPS) 3, 4, 5 1,057.6 921.3 962.3 Listed Portfolio 1, 4 394.8 394.3 354.5 Agricultural Bank of China 2, 4 273.1 257.6 297.8 Consolidated Media Holdings 3, 4 387.0
Slide 26: Consolidated Net Debt Movement
Consolidated Net Debt Movement Total Group 6 Months To $m 31 Dec 2011 Net debt (excluding derivatives) 30 June 2011 (837.1) Significant investment items: - National Hire (190.1) - Seven West Media (60.1) (250.2) (1,087.3) Operating cash flow pre-net finance costs and income tax (165.2) Capital expen
Slide 27: Consolidated Debt Maturity Profile at 31 December 2011
Consolidated Debt Maturity Profile At 31 December 2011 Total Group – refer disclaimer Debt maturity profile China Australia Cash - excluding derivatives 600 At 31 December 2011 there was $468.7m of available undrawn group borrowing 494 504 500 facilities. Current “<1 year” debt includes a number
Slide 28: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 2
Slide 29: Outlook & Subsequent Events
Outlook & Subsequent Events Subsequent events On 25 January 2012 SGH completed the compulsory acquisition of Minority Interests in National Hire, moving to 100% ownership. As shown on slide 24 (Consolidated listed investment slide) and in the subsequent event note in the Appendix 4D, there has b
Slide 30: Today's Agenda
Today’s Agenda Overview Peter Gammell Industrial Services Jim Walker Media & Other Investments Peter Gammell Financials Andrew Harrison Outlook and Subsequent Events Peter Gammell Closing and Questions Peter Gammell 31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 2
Slide 31: Slide 30.
31 DECEMBER 2011 HALF YEAR RESULTS Presentation 29 February 2012 Slide 30.
Seven Group Holdings — H1 FY2012 Earnings Presentation on 6ix