Smart Parking Limited · ASX:SPZ
Smart Parking — Investor Presentation (August 2022)
27 slides from Smart Parking's investor presentation, Aug 22, 2022
Slide 1: FY22 Results
Smart Parking Limited (ASX:SPZ) FY22 Results 22 August 2022 CEO Paul Gillespie smartparking.com
Slide 2: Smart Parking Ltd (ASX:SPZ)
Smart Parking Ltd (ASX:SPZ) A global company focused on delivering industry leading technology innovations and solutions within the parking industry Revenue ($000s) 11,314 Parking management services 9,767 8,940 Provision of parking management solutions, predominantly servicing the 8,127 retail sect
Slide 3: FY22 headline results
FY22 839 Revenue of Adjusted EBITDA Total $38.1m up $8.8m up 68% 296% sites up 36% *As at 30 June 2022 compared to 30 June 2021 *Compared to PCP *Compared to PCP Cash of 1,500 Free cash flow of $8.1m up $ 10.8m 624% *At 30 June 2022 (excludes customers’ cash) *Compared to PCP Global sites target by
Slide 4: FY22 business update
FY22 business update | Record results, expanding market opportunities to accelerate growth. FINANCIAL EXPANSION OUTLOOK • Record results – • Built foundations for growth in Germany, • Good start to FY23 with 878 Revenue $38.1m and Adjusted Australia and NZ while continuing to scale the sites as at 2
Slide 5: FY22 Financial Update
Pp SMART Financial Update
Slide 6: Record FY22 performance
Record FY22 performance • The business experienced a strong recovery from the pandemic which, combined with the contribution from new Group Profit & Loss ($m) sites and recent acquisitions, resulted in UK Parking Breach Notices increasing 72% FY22 FY21 compared to FY21. Revenue (excl interest) 38.1
Slide 7: Revenue growth
Revenue growth • During FY22 SPZ changed its interpretation for the additional charges related to debt collection | Revenue up 68% from increased sites under management, expansions costs for the collection of into new territories and UK acquisitions outstanding Parking Breach Notices, and its arrang
Slide 8: FY22 Margin expansion
FY22 – Margin expansion Revenue ($000s) Adjusted EBITDA ($000s) Revenue up 11,314 68% 9,767 8,940 8,127 7,592 5,508 5,780 2,449 2,689 2,643 on PCP 3,828 1,574 849 991 562 (768) Adjusted EBITDA up 296% Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2022 FY2021 FY2022 Adjusted EBITDA % Margi
Slide 9: Operating expense analysis
Operating expense analysis | Increased costs reflect significant growth in activity • FY22 operating expenses of $15.9m up 21% on pre-pandemic levels (revenue up 62% on pre-pandemic ($000s) levels). 176 15,916 299 201 99 • H2 FY22 costs include $0.65m 365 517 growth investments in German 598 expansi
Slide 10: Positive free cash flow
Positive free cash flow • Cash on hand of $10.8m as at 30 June 2022. | $10.8m cash to fund growth strategy and shareholder returns • Positive free cash flow of $8.1m up 624% compared to PCP. Cash Flow Waterfall ($m) • 100% cash conversion. Working capital cycle funds growth. Free cash flow of $8.1m
Slide 11: Parking Management
Parking Management | 83% revenue growth in FY22 vs PCP with adjusted EBITDA up 130% on PCP Parking Management ($000s) 16,921 34% 16,485 130% 28% 28% 24% Adjusted 12,574 17% EBITDA up Pandemic impacted *Compared to PCP 9,778 8,515 (6%) 6,590 Adjusted EBITDA 5,799 29.1% Pandemic impacted 3,522 2,771 3
Slide 12: Strong balance sheet to fund growth strategy
Strong balance sheet to fund • $10.8m of cash – capital to fund growth strategies. growth strategy • In October 2021 the Company commenced repayments of a UK Coronavirus Business Interruption Group Financial Position ($m) Loan ($2.7m) in 36 equal monthly instalments. $m Jun-22 Jun-21 • The Group con
Slide 13: FY22 Business Update
SMART = PARKING Business Update
Slide 14: Management services – estate growth
Management services – estate growth | Site growth in FY22 at 36% UK ANPR roll out continues • 303 new sites in FY22 with 83 removed. • Completed acquisition of ANPR Site Reconciliation NE Parking (UK) with 517 FY21 FY22 127 878 manually operated sites. Opportunity to convert suitable Germany (2) APA
Slide 15: UK – Strong growth underway
UK – Strong growth underway FY22 growth delivered | FY22 record PBNs issued, up 72% vs PCP • PBN growth up 72% Parking Breach Notices Issued on PCP. FY21 Average Quarterly PBNs 73,615 FY22 Average Quarterly PBNs 126,718 • Continuing to expand and FY20 Average Quarterly PBNs 76,384 enhance sales and
Slide 16: APAC growth strategy
APAC growth strategy | Significant growth in PBNs, foundations in place for scale Sites Parking Breach Notices Issued Revenue (000s) 62 13,148 811 38 5,447 240 47 9,934 27 4,260 July 2022 APAC PBNs (up 180% on PCP) 571 7,090 7,701 30 3,432 5,702 365 14 5,457 1,738 1,738 5,674 2,598 162 21 4,628 24 8
Slide 17: European growth strategy
European growth strategy | German revenues commenced in May 2022 • With the largest population (82m) in Europe Germany presents a significant opportunity for SPZ’s technology driven management business – Total Addressable Market estimated to be twice that of the UK. • Five customer contracts signed
Slide 18: New markets and M&A
New markets and M&A | Disciplined acquisition track record - complements strong organic growth Ongoing The Company is pursuing earnings accretive M&A opportunities and July January utilising operating 2021 leverage to accelerate Successfully launched Successfully launched a technology driven Parking
Slide 19: FY23 execution priorities
FY23 execution priorities • Deliver growth target of 1,500 global sites under management by June 2025. • Execution of organic UK growth strategy - we are very early in the long term growth runway. • APAC Parking Services (NZ & Australia) business underway with 62 sites under management. Scope for si
Slide 20: Supplementary Information
“PARKING Supplementary Information
Slide 21: Segment reporting
Segment reporting Adjusted Revenue Adjusted EBITDA EBITDA Margin ($000’s) FY21 vs FY21 vs FY21 FY22 FY21 FY22 FY21 FY22 FY22 FY22 Parking Management 18,292 33,405 82.6% 4,232 9,717 129.6% 23.1% 29.1% Technology Division 6,947 9,469 36.3% 279 1,087 289.6% 4.0% 11.5% Research & Development 0 0 (983) (
Slide 22: Technology
Technology | Advantages that enable growth in Parking Management Technology ($000s) 2,902 2,954 Adjusted EBITDA 290% 2,471 up 1,784 1,787 *Compared to PCP 1,509 684 521 403 (618) (1,156) (242) External Revenue Adjusted EBITDA H1 & H2 FY20 H1 & H2 FY21 H1 & H2 FY22 Adjusted EBITDA excludes items incu
Slide 23: Management services: How it works
Management services: How it works | Parking management improving customer satisfaction and revenue generation. • ANPR | Automatic Number Plate Recognition • Pay & Display | ANPR Linked Automated Payment System • Site Surveys | Real-time information, analysis and trend data • Parking Attendants | Tra
Slide 24: ANPR: How it works
ANPR: How it works | Automatic number / license plate recognition (ANPR) is a reliable, cost effective off-street parking management solution. It is proven to serve a wide range of industries including supermarkets, retail, hotels, hospitals and leisure centres. Smart Parking’s ANPR solution ensures
Slide 25: Smart City Product Launch
Smart City Product Launch 6 PARKING MAP CASE – NEW Valve Position Enforcement App & Compliance Proximity Infringement FRONT L R Dashboard PWX836 IN-PROGRESS 6m Infringement policy* Cases McNab St, Penrose, Auckland... CASE – NEW Payment Expired Overstay 04:45 pm – Thu 23 Jan 2020 Management System M
Slide 26: Technology: How it works
Technology: How it works | Smart Parking’s technology provides effective parking management solutions around the world. Technology: How it works Digital Displays Air Quality | Smart Parking’s technology provides effective parking management Lighting Surveillance solutions SmartCloud around the world
Slide 27: Glossary and legal disclaimer
Glossary Adjusted EBITDA – The Board assesses the underlying performance of the Group based on a measure of Adjusted EBITDA which takes into account costs incurred in the current period but which are non-operating and/or are not expected to occur in the future. EBITDA – represents Earnings before in