Slide 1: Full Year Results
ASX announcement CountPlus Limited 2021 Contact Details Matthew Rowe Chief Executive Officer and Managing Director 02 8218 8778 Full Year Results matthew.rowe@countplus.com.au Laurent Toussaint Presentation and Investor Discussion Pack Chief Financial Officer 02 8218 8778 laurent.toussaint@countplus
Slide 2: Contents
Contents Important information 3 CountPlus FY21 summary 4 CountPlus Financial Track Record 5 CountPlus Headline Results 6 CountPlus Profit Reconciliation 7 CountPlus Segment Report 8 CountPlus Revenue Bridge 9 CountPlus Cash Flow Bridge 10 Partner firms – 100% aggregation – Core Accounting Firms 11
Slide 3: Important information
Important information This presentation is provided for information purposes only. The information in this Certain statements in this presentation may constitute forward-looking statements or presentation is in a summary form, does not purport to be complete and is not statements about future matter
Slide 4: CountPlus FY21 Summary
CountPlus FY21 Summary Adjusted EBITA $11.95M (FY20 $12.39M) Adjusted NPAT $7.44M (FY20 $7.68M) Adjusted net profit attributable to CountPlus shareholders $5.30M (FY20 $5.95M) Firm average profit margin increased to 21.50% (FY20 19.80%) excluding Government assistance Financial Services Segment Adju
Slide 5: CountPlus Financial Track Record
CountPlus Financial Track Record Adjusted EBITA – $’M Firm EBITA Margin – % Firm Aggregate Revenue – $’M Net (debt) / Net cash – $’M Lock-Up – Days Number of OD-P transactions (Acquisitions & tuck-ins) Source: CountPlus Annual Reports : FY17 – FY21 CountPlus analysis Results Presentation FY21 5
Slide 6: CountPlus Headline Results
CountPlus Headline Results Financial Results summary FY21 FY20 Movement – FY21 vs FY20 $’000 $’000 $’000 % Revenue from operating activities 80,521 82,607 (2,086) (3) Adjusted Earnings before interest, tax and amortisation (“EBITA”) 11,946 12,392 (446) (4) Adjusted Net profit after tax (“NPAT”) 7,44
Slide 7: CountPlus Profit Reconciliation
CountPlus Profit Reconciliation Statutory profit reconciliation NPAT analysis – Adjusted FY21 FY20 Movement $’000 $’000 % change Net profit after tax – Reported 7,084 17,448 (59) Deduct: Gain on bargain purchase – (10,952) Add: One-off M&A transaction costs – 215 Add: Transition Costs – Count Financ
Slide 8: CountPlus Segment Report
CountPlus Segment Report Subsidiary Share of Other, Accounting Associates corporate, FY21 Firms earnings AFSL consol adj. Total $’000 $’000 $’000 $’000 $’000 Revenue 64,974 – 15,338 209 80,521 Contribution 30,808 – 5,197 – 36,005 Adjusted EBITA 12,264 2,498 2,080 (4,896) 11,946 Subsidiary Share of O
Slide 9: CountPlus Revenue Bridge
CountPlus Revenue Bridge • CountPlus ‘Most Favoured Nation’ platform rebate expired October 2019. In FY19 this was $1.2M. • FoFA ‘grandfathered’ revenue & commissions banned and ceased by December of FY21. • “Clean” licensee model (no product subsidisation) required pivot to user pay model. Revenue
Slide 10: CountPlus Cash Flow Bridge
CountPlus Cash Flow Bridge • Cash conversion in FY21 has returned to Statement of cash flows FY21 FY20 Movement normal levels following the impact of the $’000 $’000 % acquisition of Count Financial on the cash Cash flow from operating activities 9,596 12,437 conversion ratio in FY20 Less: Vendor fi
Slide 11: Partner Firms – 100% aggregation – Core Accounting Firms
Partner Firms – 100% aggregation – Core Accounting Firms Underlying firm EBITA has grown 14% in FY21 Pro forma P&L analysis FY21 FY20 Movement Key points to note: • CountPlus consists of 17 partner firms (excluding $’000 $’000 % Count Financial and Total Financial Solutions). Total Revenue from oper
Slide 12: Dividends
Dividends 20% increase in dividend compared to FY20 • FY21 dividend of 1.50 cents per share, fully franked (FY20 1.25 cents, 20% increase). • Target dividend pay-out ratio of 60% to 90% of maintainable net profit after tax, attributable to CountPlus shareholders for FY22. • Pay dividends out of oper
Slide 13: Count Financial
Count Financial Count Professional Partnerships, Trusted Advice 13
Slide 14: Financial services – segment analysis
Financial services – segment analysis Count Financial trades profitably under CountPlus ownership Financial Services Segment FY21 FY20 Movement $’000 $’000 $’000 % Statutory EBITA 2,080 2,872 (792) (28) Add: Transition Costs – Count Financial* – 2,092 (2,092) n/a Less: One-off accounting adjustments
Slide 15: Count Financial Trading Update
Count Financial Trading Update Count Financial Limited FY21 FY20 Movement – FY21 vs FY20 $’000 $’000 $’000 % Adjusted total revenue 15,484 15,384 100 1% Adjusted gross profit 10,213 12,412 (2,199) (18%) Adjusted EBITA 1,670 3,865 (2,195) (57%) Adjusted NPAT 1,091 2,646 (1,555) (59%) 15
Slide 16: Count Financial Operational Update
Count Financial Operational Update Count has a strong pipeline of recruitment opportunities Remediation provision and indemnity deed • Selection and recruitment standards for new firm entrants remain high. • Count Financial has raised a provision for remediation related to historical conduct of $259
Slide 17: Count Financial Operational Update (continued)
Count Financial Operational Update (continued) Count Financial is building a solid foundation of high-quality, sustainable financial advice firms • Count Financial is seeking to enhance its business by servicing high- quality, sustainable advice firms. Firms that fit this profile demonstrate a clien
Slide 18: Vision, Purpose, Values, Strategic Drivers and Priority Outcomes
Vision, Purpose, Values, Strategic Drivers and Priority Outcomes Strong vision, backed by values-led execution Our Vision Our Values Strategic Drivers We will partner with leading firms and Bold and Courageous Clients Focus provide valued services to a professional We challenge the status quo. We de
Slide 19: Appendix 1
Appendix 1 CountPlus wholly-owned subsidiaries, partially owned subsidiaries and associates No. Partner Firm Shareholding No. Partner Firm Shareholding Wholly-owned subsidiaries % Partly-owned subsidiaries % 1. Addvantage Financial Freedom Pty Ltd 100.00 8. Bentleys (WA) Pty Ltd 95.00 2. Cooper Reev
Slide 20: Appendix 2
Appendix 2 Segmental profit reconciliation – FY21 Significant Underlying Significant Underlying FY21 Reported Amortisation items earnings FY21 Reported Amortisation items earnings $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Subsidiary accounting Share of Associates 2,498 – – 2,498 firms earnings
Slide 21: Appendix 2 (continued)
Appendix 2 (continued) Segmental profit reconciliation – FY20 Significant Underlying Significant Underlying FY20 Reported Amortisation items earnings FY20 Reported Amortisation items earnings $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 Subsidiary accounting Share of Associates 2,179 – – 2,179 fi
Slide 22: Thank You
Thank You Results Presentation FY21 22