Eqt Holdings Ltd. · ASX:EQT
Eqt — Equity Trustees — H1 FY2015 Earnings Presentation
19 slides from Eqt's earnings presentation, Feb 26, 2015
Slide 1: Equity Trustees – Strong Half Year Result
26 February 2015 For personal use only Equity Trustees – Strong Half Year Result Equity Trustees Limited (ASX: EQT) today releases its audited results for the six months to 31 December 2014, and confirms a strong lift in half year profit compared with the prior corresponding period. 6 months to 6 mo
Slide 2: Managing Director comments and contacts
26 February 2015 For personal use only -2- Managing Director, Mr Robin Burns said: “The acquisition of ANZ Trustees is an exciting event for EQT. The integration is well under way and proceeding to plan. We are confident that the objectives we set out as our goals at the start of the acquisition pro
Slide 3: Equity Trustees Limited (EQT) Half Year Results to 31 December 2014
For personal use only Equity Trustees Limited (EQT) Half Year Results to 31 December 2014
Slide 4: Overview – HY to December 2014
Overview – HY to 31 December 2014 For personal use only • Group Operating Profit $13.5m (H1 FY2014, $6.9m) • Underlying Earnings per share at 50.65cps (H1 FY2014, 49.58cps) • Net Profit after Tax $7.6m (H1 FY2014, $5.4m) • Group Operating Margin 32.8% (H1 FY2014 26.4%) • EQT BAU Revenue +12.4% on H1
Slide 5: Integration Project
Integration Project For personal use only • Integration Project commenced immediately following transition of ownership. • Duration up to 18 months, to release $4m in annual cost synergies at end, and cost to implement of 1 to 1.25 x synergies. • The project is on track and proceeding according to p
Slide 6: Overview – HY group results
Overview – HY group results Half Year For personal use only Half Year 31 Dec 2013 Change 31 Dec 2014 $m $m Fav/(Unfav) Operating revenue – EQT BAU 29.4 26.1 12.4 % – ETWSL BAU 11.7 - . 100.0 % Total operating revenue 41.1 26.1 57.4 % Operating expenses (27.6) (19.2) (43.6 %) Operating profit before
Slide 7: HY Revenue
HY Revenue For personal use only Operating Revenue increased 57.4% Business Unit Revenue ($m) $ 41.1m 57.4% increase $ 26.1m $22.5m $ 20.7m $18.7m 2011 2012 2013 2014 2015 5
Slide 8: HY Operating revenue – composition
HY Operating revenue – composition For personal use only Equity Trustees Wealth Services Ltd (formerly ANZ Trustees) Corporate Trustee Services Trustee & Wealth Services $ 41.1m 29% $ $22.5m 27% $ 20.7m 36% $ 18.7m 34% 32% 33% 64% 44% 68% 66% 67% 2011 2012 2013 2014 2015 6
Slide 9: HY Expenses
HY Expenses For personal use only Operating Expenses $27.6m $19.2m $16.4m $15.6m $13.5m 2011 2012 2013 2014 2015 7
Slide 10: HY Operating margin
HY Operating margin For personal use only Operating Profit (Pre tax) ($m) Operating Margin (%) 32.8% 15.0 26.3% 26.4% 13.0 27.5% 13.5 25.0% 24.9% 11.0 9.0 15.0% 7.0 6.9 5.0 5.1 5.2 5.9 3.0 5.0% 2011 2012 2013 2014 2015 8
Slide 11: HY Reported earnings per share
HY Reported earnings per share For personal use only Reported earnings per share at 39.8cps Earnings Per Share * Weighted average shares on issue ('000) 52.82 20,000 19,185 44.69 18,000 39.73 40.85 39.77 16,000 14,000 12,000 9,864 10,192 10,000 9,315 9,479 8,000 2011 2012 2013 2014 2015 2011 2012 20
Slide 12: Returns to shareholders
Returns to shareholders For personal use only Maintained fully-franked interim dividend Final (cps) Interim (cps) 100 92 94 85 50 48 50 45 46 50 46 46 40 42 2011 2012 2013 2014 2015 10
Slide 13: Sustained shareholder return
Sustained shareholder return For personal use only 1 Jul 2005 to 31 Dec 2014 450 EQT total shareholder return + 223.2% EQT total shareholder return. S&P/ASX 200 Accum. Index + 92.1% 400 Assumes all dividends are reinvested. 350 300 250 200 150 100 50 Base (100) taken at 1 July 2005 0 06/05 12/05 06/
Slide 14: Business units - HY operations & performance
Business units - HY operations & performance For personal use only HY Revenue HY FUM/A Target market / Business unit Key services 31 Dec 14 vs 31 Dec 14 vs channel 31 Dec 13 31 Dec 13 Trustee & • Trusts & Estates • Private clients $29.6m $7,456m • Philanthropy • Aged Care clients and Wealth + 77.8%
Slide 15: Business unit HY overview – TWS
Business unit HY overview – TWS For personal use only Operating revenue up 77.8% to $29.6m FUM at 31 December 2014 up 60.5% to $7,456m $7,456m $ 29.6m 2,724 11.7 17.9 4,645 4,732 16.7 14.8 3,583 3,506 3,626 12.5 14.2 H1FY11 H1FY12 H1FY13 H1FY14 H1FY15 H1FY11 H1FY12 H1FY13 H1FY14 H1FY15 13
Slide 16: Business unit HY overview – CTS
Business unit HY overview – CTS For personal use only Operating revenue up 21.4% to $11.5m FUM at 31 December 2014 up 24% to $40,270m 40,270 32,487 11.5 24,652 9.5 7.6 6.5 17,589 18,114 6.2 H1FY11 H1FY12 H1FY13 H1FY14 H1FY15 H1FY11 H1FY12 H1FY13 H1FY14 H1FY15 14
Slide 17: Business HY update and summary
Business HY update and summary For personal use only • Business performing well – focus in current period is on successful integration of acquisition. • Organic revenue growth in main business lines continues. • B2B distribution strategy for core personal fiduciary services (estate planning, trusts)
Slide 18: Business HY update and summary – looking ahead
Business HY update and summary For personal use only • Looking ahead - Complete the integration project – then swing focus to revenue opportunities Position superannuation master trusts for new competitive environment Re-focus in TWS advice business for changed conditions in specialised sector
Slide 19: Disclaimer
Disclaimer For personal use only Disclaimer Equity Trustees Limited ABN 46 004 031 298, Australian Financial Services Licence No 240975. This document was prepared by Equity Trustees Limited (“EQT”) and is only provided for information purposes. It is not intended to take the place of professional a