Coast Entertainment Holdings Ltd · ASX:CEH
Coast Entertainment — FY2021 Earnings Presentation
34 slides from Coast Entertainment's earnings presentation, Aug 26, 2021
Slide 1: FY21 Results Presentation
Ardent Leisure Group Limited FY21 Results Presentation 26 August 2021
Slide 2: FY21 Group Overview
FY21 Group Overview GARDENT
Slide 3: FY21 – Key messages
FY21 – Key messages ▪ FY21 statutory results improved significantly despite the full year being impacted by the pandemic 1. The net loss after tax was $86.9 million compared to $136.1 million in the prior year2 ▪ Whilst revenue was down $7.6 million in the current year, EBITDA3 excluding Specific It
Slide 4: Current vs prior corresponding period
Current vs prior corresponding period Improved statutory results despite continuing impact of COVID-19 Reported Restated2 FY21 FY20 Variance Key factors driving half year results: A$m (52 weeks) (53 weeks) ▪ Revenue declined 1.9% driven by reduced visitation in the Revenue 390.7 398.3 (1.9%) Austral
Slide 5: Specific Items impacting results
Specific Items impacting results Consolidated Specific Items1 impacting results: Reported Restated2 A$m FY21 FY20 ▪ Specific Items, being significant non-cash and non- Specific Items impacting segment EBITDA: recurring items, which are useful in understanding the Lease payments no longer recognised
Slide 6: Main Event Entertainment
Main Event Entertainment GARDENT SS LEISURE
Slide 7: Main Event
Main Event Robust financial performance in 2H21, with revenue and EBITDA exceeding prior period Reported Reported Main Event performance: US$m FY21 FY20 Variance ▪ Revenue increased US$34.1 million (14.7%) reflecting Revenue 266.9 232.8 14.7% incremental revenue from new Main Event centres that were
Slide 8: Main Event revenue performance
Main Event revenue performance Consumer demand has been very strong since March 2021 and has accelerated over recent weeks FY21 constant centre revenue2 trend for reopened centres Constant centre performance: ▪ Constant centre revenue performance has been significantly ahead of FY19 pre-COVID 39.7%
Slide 9: Seizing the opportunity to advance our pre-COVID momentum
Seizing the opportunity to advance our pre-COVID momentum Benefitting from execution of key strategic initiatives ▪ Prior to the impact of COVID-19, constant centre revenue performance was up 4.3% in Q2 FY20 and up 4.3% through the first nine weeks of Q3 FY20. This performance was preceded by multi-
Slide 10: Revenue performance has led to historical profitability
Revenue performance has led to historical profitability Superior economics of our business and favourable sales mix enhancing performance ▪ Strong revenue performance since March 2021 has resulted in significant profit and cashflow benefits: ➢ The high operating leverage of the business, driven by a
Slide 11: New centre development
New centre development Four new centres to be opened in FY22; pipeline is robust for significant growth in FY23 & beyond ▪ 24 active states in the pipeline ▪ Focusing on 6-8 new centres for FY23 National Footprint ▪ We believe our existing liquidity and business performance provides for sufficient c
Slide 12: Theme Parks
Theme Parks LEISURE GARDENT XN
Slide 13: Theme Parks
Theme Parks Strong operational strategies to mitigate impact of COVID-19 and position the business for post pandemic recovery Theme Parks performance: Reported Restated2 ▪ Revenue for the year was impacted by ongoing A$m FY21 FY20 Variance international and domestic border restrictions and a series
Slide 14: Externalities
Externalities COVID continues to significantly impact business performance COVID safety ▪ COVID safety continues to be high priority, moreover with the emergence of the Delta variant coupled with low vaccination numbers in Australia ▪ Our properties operate under robust COVID-Safe plans and continu
Slide 15: Revenue
Revenue Baseline established for optimised performance, as revenue recovery occurs Revitalised selling culture which is as focused on retention as it is on acquisition ▪ Thinking differently about marketing and distribution channels ➢ The right product, to the right guest, at the right time via the
Slide 16: Costs and cash management
Costs and cash management Making high quality decisions now and for the future Proprietorial approach ▪ No changes that affect the safety of team members, guests or animals ▪ We still expect a high-quality experience ▪ An eye on today and an eye on the future. No decisions that will impede the rec
Slide 17: Reasons to buy, reasons to visit, reasons to stay
Reasons to buy, reasons to visit, reasons to stay Product is still key to Dreamworld’s success Accommodation precinct ▪ Dreamworld continues to work with a partner to fund and build an accommodation precinct on part of the surplus land adjacent to the theme park ▪ Ongoing efforts to achieve higher a
Slide 18: Events and activations
Events and activations Product is still key to Dreamworld’s success Winterfest Halloween Brickman Wonders of the World Bluey LIVE Interactive Experience Monster Trucks Sky Voyager Experience USA 17
Slide 19: Steel Taipan
Steel Taipan Dreamworld’s largest ever attraction investment 18
Slide 20: Steel Taipan
Steel Taipan Dreamworld’s largest ever attraction investment 19
Slide 21: SkyPoint
SkyPoint Remains profitable but constrained by restrictions and zero international visitors ▪ SkyPoint has performed largely in line with expectations ▪ Domestic and international border closures and travel restrictions continue to have a significant adverse impact on the business, along with capa
Slide 22: Summary
Summary Difficult conditions currently but overseas experiences suggest upside with vaccinations External factors ▪ The Australian Government vaccine programme and subsequent State application of restrictions is critical to the recovery. We do not expect to see improvement until the second half of
Slide 23: Capital Management & Corporate Costs
Capital Management & Corporate Costs
Slide 24: Net debt and cash flow
Net debt and cash flow Reported A$m FY21 As at 30 June 2020 A$m Net debt at 30 June 2020 (78.4) US Debt1 (240.0) Operating cash flows 93.9 Cash available to AU2 32.6 Capital expenditure (cash outflow) (43.7) Cash available to US2 129.0 Proceeds from sale of plant and equipment 0.1 Total cash for the
Slide 25: Capital structure and funding
Capital structure and funding ▪ The Group has the following debt facilities: Available Limit Drawn Margin on drawn Undrawn Amortisation of (US$m) (US$m) Maturity amount commitment fees term loan Funded term debt 123.5 123.5 4 April 2025 6.50% 3.25% 1% per annum Delayed draw term debt 14.8 14.8 4 Apr
Slide 26: Corporate costs
Corporate costs ▪ Focus on disciplined management of Corporate Costs continues, with reductions achieved across most cost lines. FY21 costs however increased marginally, due to an offsetting increase in insurance costs for the period Corporate Costs 20.0 19.2 2.7 15.5 15.1 15.0 3.5 5.1 10.0 16.5 $'m
Slide 27: Appendices
Appendices — ARDENT S
Slide 28: Appendix 1: Specific Items by business unit – FY21
Appendix 1: Specific Items by business unit – FY21 Consolidated A$m Main Event Theme Parks Corporate Total Specific Items impacting segment EBITDA: Lease payments no longer recognised in EBITDA under AASB 16 Leases 47.7 0.1 0.2 48.0 Valuation and impairment losses on assets (4.1) - - (4.1) Early ter
Slide 29: Appendix 1: Specific Items by business unit – FY20 Restated
Appendix 1: Specific Items by business unit – FY20 Restated1 Consolidated A$m Main Event Theme Parks Corporate Total Specific Items impacting segment EBITDA: Lease payments no longer recognised in EBITDA under AASB 16 Leases 48.3 0.1 0.1 48.5 Valuation and impairment losses on assets (2.0) (15.4) -
Slide 30: Appendix 2: FY21 capital expenditure and pre-opening expenses
Appendix 2: FY21 capital expenditure and pre-opening expenses Routine Other Special Development Pre-opening A$m Capex Projects Capex Expenses Main Event 3.0 8.8 16.2 0.6 Theme Parks 8.7 - 13.0 - Total 11.7 8.8 29.2 0.6 ▪ In addition to routine capex and new centre development, Main Event capital exp
Slide 31: Defined Terms
Defined Terms — ARDENT S
Slide 32: Defined terms
Defined terms Defined Terms Description bps Basis points DTA Deferred tax asset EBITDA Earnings before Interest, Tax, Depreciation and Amortisation EBRITDA Earnings before Property Costs, Interest, Tax, Depreciation and Amortisation EBIT Earnings before Interest and Tax F&B Food and beverage G&A Gen
Slide 33: Defined terms
Defined terms Defined Terms Description pcp Prior corresponding period PP&E Property, plant and equipment Pre-opening costs Costs that are expensed as incurred prior to a new centre opening for business for the first time Significant non-trading income or expense items which are non-cash or non-recu
Slide 34: Disclaimer
Disclaimer This information has been prepared for general information purposes only, is not general financial product advice and has bee n prepared by Ardent Leisure Group Limited (ABN 51 628 881 603) (ALG), without taking into account any potential investors’ personal objectives, financial situatio
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