Slide 1: FY20 Result Investor Presentation
Wiseway Group Limited For personal use only ASX: WWG FY20 Result Investor Presentation 8 September 2020 1
Slide 2: Contents
Contents For personal use only FY20 results overview 3 Company overview 11 Questions 19 Appendix 20 Presenters Roger Tong Chief Executive Officer Company/investor enquiries: admin@wiseway.com.au Florence Tong Managing Director Jason Lynch Acting Chief Financial Officer Media/investor enquiries: +61
Slide 3: FY20 results overview
For personal use only FY20 results overview
Slide 4: Benefits of revenue diversification strategy flow through
Benefits of revenue diversification strategy flow through For personal use only ▪ Revenue of $102.6 million, up 9% from $94.5 million, driven by Wiseway’s new service offerings ▪ Gross profit of $27.9 million, up 34% from $20.8 million, reflecting an increase in gross margin ▪ EBITDA of $5.0 million
Slide 5: Overview of FY20 result
Overview of FY20 result For personal use only 1 Revenue FY19 $94.5m vs FY20 $102.6m, up 9% Trading environment: Gross profit FY19 $20.8m vs FY20 $27.9m, up 34% • Opportunities from disruption to supply chains from air freight Group restrictions. results Gross margin FY19 22.0% vs FY20 27.2%, up 520
Slide 6: Sales growth driven by diversification and new services
Sales growth driven by diversification and new services For personal use only Growth in revenue from diversification and new Freight volume (tonnes, FY20 vs pcp) services: Imports 3,660 tonnes +343% ▪ 75,342 tonnes of export-import cargo shipped in FY20. Sea freight 18,590 tonnes +241% ▪ Income dive
Slide 7: Step-change in net operating cash flow
Step-change in net operating cash flow For personal use only H1 vs H2 performance Cash flow: 1H20 2H20 FY20 ($m unless stated otherwise) Cash flow: • Strong improvement in free cash flow primarily attributable to Net operating cash flows (3.1) 6.9 3.8 improvement in operating performance in the seco
Slide 8: Capital management
Capital management For personal use only Balance sheet Financial position 30 Jun 2020 30 Jun 2019 Change % ($m unless stated otherwise) Net tangible assets 23.7 22.5 5% • 30 June 2020 cash balance of $8.6 million. Cash 8.6 4.6 86% • NTA per share of 16.9 cents. Total assets 63.2 46.7 35% Capital man
Slide 9: Trading
Trading For personal use only Macro-environment ▪ Falling cargo volumes due to airline closure and flight restrictions – the market has seen a decline in freight capacity. ▪ Restrictions on international and interstate travelling have supported demand for freight services. ▪ Strong demand in e-comme
Slide 10: Outlook
Outlook For personal use only Business: ► Wiseway has been an essential service provider during the COVID-19 pandemic, and will continue to be one during recovery. ► Demand for logistics services remains high – and first month of FY21 has seen trends from 2H FY20 continuing. ► Post 30 June 2020, Wis
Slide 11: Company overview
For personal use only Company overview 11
Slide 12: Business milestones represent a step-change in scale and reach
Business milestones represent a step-change in scale and reach For personal use only 2005 - FY19 FY20 2017 Founded the business IPO & expansion of capabilities Established platform for growth ✓ Wiseway founded ✓ IPO on 31 October 2018 raised $20 million ✓ Achieved national bonded warehouse footprint
Slide 13: Number one Australia-Asia air freight forwarder and provider of integrated logistics
Wiseway: Number 1 Australia-Asia air freight forwarder and provider of integrated logistics For personal use only ANZ footprint: 75,342 tonnes of • 9 accredited Regulated Air Cargo Agent locations in cargo in FY20 Darwin1 Australia and New Zealand • Customs-bonded warehouse capability • Accreditatio
Slide 14: Wiseway's strategic focus and values
Wiseway’s strategic focus and values For personal use only Focus: - Export -Import -Domestic transport Diversification: - Cargo sales Innovation: - Growth in operations - Products outside dry air - Services freight - Delivery - Shipping to 100 - Technology destinations Strategic focus and Sustainabl
Slide 15: Income diversification through eight business divisions
Income diversification through eight business divisions: added New Zealand operations For personal use only Wiseway Group Limited Domestic Export Import GSA/CSA Regional transport Dry cargo Perishables General cargo & Auckland, Shanghai, Sea freight Airtruck Airnex New Zealand China (air freight) (a
Slide 16: Established platform for growth
Established platform for growth For personal use only Strategic relationships with airlines Long-standing customer relationships Unique service provider ✓ Long-standing relationships with major ✓ Wiseway has supported the growth of many ✓ Wiseway has a unique understanding of Asia- international air
Slide 17: Wiseway is strategically positioned for long-term growth
Wiseway is strategically positioned for long-term growth For personal use only Wiseway’s growth strategy is focused on three key components 1 2 3 Maintain core growth Accelerate new growth Regional business development • Continue to offer customer-first • Leveraging partnerships in the Asia- • Inter
Slide 18: Investing in Wiseway: revenue diversification delivers outperformance
Investing in Wiseway: revenue diversification delivers outperformance For personal use only Business strength: ASX: WWG (listed 31 October 2018) Global Industry ► Strategically positioned for long-term growth in the new market Classification • Transportation conditions Standard ► Truly diversified i
Slide 19: Questions
For personal use only Questions 19
Slide 20: Appendix
For personal use only Appendix 20
Slide 21: Financial performance
Financial performance For personal use only ($m) FY20 FY19 Change % Commentary Revenue 102.6 94.5 9% Revenue Direct expenses (74.7) (73.7) 1% • Revenue for the year was $102.6 million, up $8.1 million (+9%), driven by growth of new business Gross profit 27.9 20.8 34% division sales. Gross profit mar
Slide 22: Balance sheet
Balance sheet For personal use only ($m) 30 Jun 2020 30 Jun 2019 Change % Current assets: Commentary Cash and cash equivalents 8.6 4.6 87% Trade, other receivables, other assets 8.3 11.4 (27%) Assets Inventories 0.1 0.1 - • Trade receivables down driven by increased collections from corporate and la
Slide 23: Cash flow
Cash flow For personal use only Re-investment to facilitate expected future growth ($m) FY20 FY19 Change % Commentary Operating activities 3.8 (3.1) 223% Investing activities (3.0) (18.7) (84%) Operating cash flow • Higher proportional levels of cash received from customers driven by growth of new b
Slide 24: Disclaimer
Disclaimer For personal use only This presentation contains summary information about Wiseway Group Limited (Wiseway) and its subsidiaries and their activities. The information in this presentation does not purport to be complete. It should be read in conjunction with Wiseway’s other periodic and co