Slide 1: 2019 Full Year Results Presentation
Page 1 2019 FULL YEAR RESULTS PRESENTATION | 26 AUGUST 2019 amagroupltd.com
Slide 2: World Class Automotive Solutions
Page 2 WORLD CLASS AUTOMOTIVE SOLUTIONS
Slide 3: Disclaimer
Page 3 Disclaimer. This presentation contains summary information about AMA Group Limited (ABN 50 113 883 560) (“AMA Group”) and its activities current as at the date of this presentation. The information in this presentation is of general background and does not purport to be complete. It should be
Slide 4: Contents
Page 4 Contents. AMA Group Overview Page 5 About Us Page 6 Our Journey Page 7 Our Highlights Page 8 AMA Group Financial Information Page 9 History to Sustainable Earnings Growth Page 10 Summary Financial Performance and Metrics Page 11 Summary Financial Position Page 12 EBITDA to Operating Cash Flow
Slide 5: AMA Group Overview
AMA GROUP OVERVIEW &y AMAGROUP
Slide 6: About Us
Page 6 About Us. Industry leader in 3 key automotive industry sectors: Vehicle Panel Repairs – National footprint of c. 130 panel sites offering a unique service proposition to key insurance customers and their policy holders. Automotive Components and Accessories – Business focussed on key growing
Slide 7: Our Journey
Page 7 Our Journey. 2018: Blackstone Deal Blackstone Group seeks to acquire Panel Division for $508 million, however, the ATO refused AMA’s request for a Ruling for Demerger Relief of ACAD. The transaction did not proceed. 2006: The Start of the Journey AMA Group under the previous name Allomak Limi
Slide 8: Our Highlights
Page 8 Our Highlights. REVENUE $616m NORMALISED EBITDA YOY GROWTH $58.2m 20.9% NET PROFIT AFTER TAX YOY GROWTH 11.6% $21.7m YOY GROWTH BASIC EPS 43.7% 4.00c YOY GROWTH 1.12c | 38.9% PROCESSES BRAND ACQUISITIONS CONNECTION PEOPLE SUCCESSFULLY NEW BOARD LAUNCHED WORLD CLASS CENTRALISING COMPLETED 21 A
Slide 9: AMA Group Financial Information
Page 9 AMA GROUP FINANCIAL INFORMATION
Slide 10: History to Sustainable Earnings Growth
Page 10 History to Sustainable Earnings Growth. Reported Revenue Reported EBITDA 700,000 60,000 600,000 50,000 500,000 40,000 AUD $’000 AUD #039;000 400,000 30,000 300,000 20,000 200,000 100,000 10,000 0 0 FY15 FY16 FY17 FY18 FY19 FY15 FY16 FY17 FY18 FY19 Financial Year Financial Year Basic Earnings pe
Slide 11: Summary Financial Performance and Metrics
Page 11 Summary Financial Performance and Metrics. SUMMARY FINANCIAL PERFORMANCE FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Reported Revenue (continued operations) 616,174 509,756 106,418 20.9% Reported EBITDA (continued operations) 50,127 43,633 6,494 14.9% 1 Normalised EB
Slide 12: Summary Financial Position
Page 12 Summary Financial Position. SUMMARY FINANCIAL POSITION FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Current Assets 110,492 93,999 16,493 17.5% Non-Current Assets 348,903 268,855 80,048 29.8% Total Assets 459,395 362,854 96,541 26.6% Current Liabilities 131,191 98,964
Slide 13: EBITDA to Operating Cash Flows
Page 13 EBITDA to Operating Cash Flows. GEMINI EARNOUT OF $15 MILLION PAID IN EBITDA TO OPERATING CASH FLOWS FY19 FY18 CHANGE FY19 v FY18 H2 2019. (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Reported EBITDA (continued operations) 50,127 43,633 6,494 14.9% MARKET INCENTIVE INSTALMENT OF $30.9M WAS Discon
Slide 14: Summary Investment and Financing Cash Flows
Page 14 Summary Investment and Financing Cash Flows. SUMMARY INVESTMENT AND FINANCING CASH FLOWS FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Net Cash Flows Used in Operating Activities 19,477 24,474 (4,997) -20.4% Cash Flows from Investing Activities Proceeds from sale of PP
Slide 15: Divisional Performance
Page 15 DIVISIONAL PERFORMANCE
Slide 16: Vehicle Panel Repair
Page 16 Vehicle Panel Repair. National footprint with 130 sites across Australia SUMMARY FINANCIAL PERFORMANCE FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Principal consolidator in highly Reported Sales and Other Income 1 529,374 436,075 93,299 21.4% fragmented Reported EBIT
Slide 17: National Footprint
Page 17 National Footprint. PANEL REPAIR SHOP LOCATION 2019 2018 Victoria 47 40 Queensland 27 24 Western Australia 12 10 New South Wales 26 18 Australian Capital Territory 7 7 PANEL REPAIR SHOP COUNT 2019 2018 South Australia 3 3 Tasmania 7 6 Opening Balance at 1 July 109 86 New Zealand 1 1 Acquired
Slide 18: Automotive Components & Accessories Divisions
Page 18 Automotive Components & Accessories Divisions. SUMMARY FINANCIAL PERFORMANCE FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) The leading vertically integrated Reported Sales and Other Income 86,767 71,503 15,264 21.3% player in automotive Reported EBITDA 12,495 11,502 99
Slide 19: Procurement
Page 19 Procurement. The Procurement Division was piloted in H1 FY19 and formally established in late FY19 to leverage off our buying power and our specialised line of consumable products. Whilst it is a large global market (> $5 billion) with no established market leader, we are taking a staged app
Slide 20: Strategy and Outlook
STRATEGY AND OUTLOOK &y AMAGROUP
Slide 21: Strategy and Outlook
Page 21 Strategy and Outlook. AMA HAS MULTIPLE OPPORTUNITIES TO CONTINUE ITS GROWTH BY BOTH ORGANIC AND ACQUISITION MEANS Continue to lead the Panel Leverage Procurement Industry consolidation in Australia opportunities Progressively execute further Identify and execute strategic “Greenfield” opport
Slide 22: Appendices
APPENDICES &y AMAGROUP
Slide 23: Appendix A: Normalisations
Page 23 Appendix A: Normalisations. NORMALISATIONS FY19 FY18 CHANGE FY19 v FY18 (AUD #039;000) (AUD #039;000) (AUD #039;000) (%) Employee equity plan expense 1,499 853 646 75.7% Procurement project 967 550 417 75.8% Greenfield start-up costs 1,000 2,500 (1,500) -60.0% Site integrations 900 1,400 (500) -35.7%
Slide 24: Appendix B: FY19 Acquisitions
Page 24 Appendix B: FY19 Acquisitions. ACQUISITIONS # SITES DATE STATE Mt Druitt Autobody Repair Group 4 01-Jul-19 NSW Simply Smashing Repairs Group 2 12-Oct-18 NSW Bellarine Smash Repairs 1 01-Nov-18 VIC Parins Panel Works 1 14-Dec-18 WA Northern Smash Repairs 1 08-Feb-19 TAS Correct Panel Group 4