Avada Group Limited · ASX:AVD
Avada — Investor Presentation (August 2022)
29 slides from Avada's investor presentation, Aug 31, 2022
Slide 1: AVADA Group Limited FY22 Results Presentation
AVADA Group Limited FY22 Results Presentation 31 August 2022
Slide 2: Important notice and disclaimer
Important notice and disclaimer This document dated 31 August 2022 has been prepared by AVADA Group Limited (ACN 648 988 783) (the Company) and is provided for information purposes only. It contains summary information about the Company and its activities and is current as at the date of this docume
Slide 3: Agenda
Agenda Overview Financials Business outlook Q&A Appendix AVADA Group Limited – FY22 Results Page 3
Slide 4: Overview
01 Overview
Slide 5: FY22 at a glance
FY22 at a glance Operational and financial highlights INCREASE IN REVENUE DESPITE UNAUDITED PRO CONTINUING TO ACQUISITION OF UNPRECEDENTED FORMA EBITDA SECURE KEY CONSTRUCT CHALLENGES. $12.6M VS FY21 OF CONTRACT WINS TRAFFIC UNAUDITED PRO $11.5M AND EXTENSIONS FORMA REVENUE OF $139M C U R R E N T R
Slide 6: Why AVADA?
Why AVADA? 9 group businesses – leading, independent, Australian traffic management operator. Essential provider to the government, civil Recurring and services and repeatable revenue infrastructure Only listed provider of traffic management services in Australia. industries Ability to share resourc
Slide 7: Traffic Management Services Industry Overview
Traffic Management Services Industry Overview • Essential to all civil infrastructure and maintenance service providers – consistent flow of work. • Regulated safety requirement. • Strong national infrastructure tailwinds. • Highly fragmented with limited national competitors. • Industry drivers sup
Slide 8: Industry Overview
Industry Overview Traffic Management Services Traffic plan designing Site inspections/surveys, safety/risk audits, traffic management plans developed using Addressable end-user segments and permit services industry software, etc. of Traffic Management Services Other Managing road diversions/detours,
Slide 9: AVADA overview
AVADA overview VEHICLES TRAFFIC CONTROLLERS* DEPOTS QLD 660 1,217 19 NSW 168 472 7 ` VIC 131 358 1 TOTAL 959 2,047 27 * - Active employees AVADA Group Limited – FY22 Results Page 9
Slide 10: Construct Traffic acquisition
Construct Traffic Delivering on goals of geographical expansion, consistent with the strategy of AVADA. acquisition Establishing a presence in Victoria of a size and capability on which to build scale in the region. ANNUAL EBITDA OF REVENUE FOR A P P R O X I M AT E LY FY22 OF OVER $5M $34M¹ Benefits
Slide 11: Synergies
Synergies Group wide procurement, including insurance, fuel and fleet. ISO accreditation and compliance being reviewed for supplier consolidation. Continual integration and improvement Continuous improvement in reporting and aligning processes. System integration. Rostering and vehicle tracking syst
Slide 12: Financials
02 Financials
Slide 13: Financial performance summary
Financial performance summary Pro forma summary income statement FY19A FY20A FY21A FY22A Underlying organic growth in a year of unprecedented disruption. $'000s Pro forma Pro forma Pro forma Pro forma Revenue - organic 93,703 107,230 116,959 123,755 Revenue from acquisitions - - - 15,399 Revenue (in
Slide 14: Financial performance
Financial performance REVENUE GROWTH - FY AVERAGE REVENUE PER VEHICLE $180 $170 $160 $150 $140 FY19A FY20A FY21A FY22A Average revenue per vehicle ($000s) GROSS PROFIT & GROSS MARGIN EBITDA & EBITDA % AVADA Group Limited – FY22 Results Page 14
Slide 15: Balance sheet
Balance sheet Unaudited Jun-22 reflects the unaudited financial statements for the year ended 30 June 2022. Dec-21 000s Dec-21 Jun-22 reflects the reported balance sheet, extracted from the AVADA Group Limited half-year financial Current Assets report. Cash and cash equivalents 2,156 2,751 Trade deb
Slide 16: Operational summary
Operational summary TRAFFIC CONTROLLERS CUSTOMER CATEGORIES (FY22A) 1600 1400 1200 1000 FY21A H122A FY22A TCs VEHICLES Civil Utilities Government Other c.50% of revenue from the Government sector, typically being Growing fleet and traffic controllers recurring maintenance contracts *All figures are
Slide 17: Impact of La Nina
Impact of La Nina 10-year average rainfall (12 months to 30 June) vs FY22 2500 2000 Unprecedented disruption in Queensland and NSW. Millimetres 1500 1000 Sydney and Brisbane rainfall above 10-year average by 63% and 500 114% respectively in the year to 30 June 2022. 0 Brisbane Townsville Batemans Bu
Slide 18: Impairment
Impairment COVID-19 disruption in H122 • Lockdowns and staffing shortages Double La Nina impact in H222 • Rainfall significantly higher than the long-term average $15m impairment following Forecast ongoing significant weather disruptions the most challenging year the • BOM forecasting 70% chance of
Slide 19: Business outlook
03 Business outlook
Slide 20: Our clients and pipeline opportunities (selection)
Our clients and pipeline opportunities (selection) $110bn of federally funded infrastructure projects to be delivered within the next decade, in addition to state and council funded projects Infrastructure pipeline (4-Year Horizon) QLD PROJECT VALUE ($) Cross River Rail $5.4bn Network maintenance (Q
Slide 21: Trading update & business outlook
Trading update & business outlook Significant pipeline into FY23 from deferred work (weather impacted) and additional infrastructure spending. Continued investment in fleet for a stronger asset base. Organic growth and further acquisitions targeted for earnings growth. Significant pipeline from work
Slide 22: FY23 – the opportunity
FY23 – the opportunity ROADS AND ALL WORK ADJACENT R E G U L AT E D GOVERNMENT AND TO A ROAD SAFETY SERVICE BLUE-CHIP CLIENT REQUIRES TRAFFIC MANAGEMENT BASE SERVICE FRAGMENTED LEADING PROVIDER INDUSTRY RIPE O F S A F E T Y, FLEXIBLE FOR BACKED BY THE WORKFORCE C O N S O L I D AT I O N RIGOROUS PROT
Slide 23: Q&A
04 Q&A
Slide 24: Appendix
A Appendix
Slide 25: Pro forma reconciliation
Pro forma reconciliation (2) Pro forma adjustments Public Costs FY22 Actual Pre acquisition company Management Related party associated Founder Normalisation FY22A $'000s Unaudited trading costs remuneration arrangements with the offer shares Amortisation adjustments Pro forma (a) (b) (c) (c) (c) (c
Slide 26: Pro forma reconciliation
Pro forma reconciliation (a) Unaudited financial information for AVADA Group Limited for the twelve months ended 31 December 2021. (b) Adjustment to reflect the financial results of the subsidiaries for the period 1 July 2021 to 15 December 2021. (c) Pro forma adjustments are consistent with adjustm
Slide 27: Balance sheet
Balance sheet Uanaudited 000s Dec-21 Jun-22 Current Assets Cash and cash equivalents 2,156 2,751 Trade and other receivables 13,794 18,264 Other current assets 1,808 1,848 Total current assets 17,758 22,863 Non-Current Assets Property, plant and equipment 12,469 18,229 Right-of-use assets 4,225 4,14
Slide 28: Contact Us
Contact Us AVADA Group Limited ABN 57 648 988 783 c/o Kern Group Level 22 / 300 Queen Street Brisbane QLD 4000 T 1300 321 995 E contact@avadagroup.com.au avadagroup.com.au
Slide 29: avadagroup.com.au
avadagroup.com.au ABN 57 648 988 783