Amotiv Limited · ASX:AOV
Amotiv — Investor Day (April 2022)
124 slides from Amotiv's investor day presentation, Apr 7, 2022
Slide 1: 2022 Investor Day and Trading Update
7 April 2022 Manager, Company Announcements ASX Limited Level 4 20 Bridge Street SYDNEY NSW 2000 GUD Holdings Limited (the “Group”, GUD, ASX: GUD) 2022 Investor Day and Trading Update GUD is hosting an Investor Day at its APG facility in Melbourne tomorrow commencing at 8.30am. Graeme Whickman, Mana
Slide 2: Managing Director comment and contact
Graeme Whickman, Managing Director, said: “We are pleased to share an update on the status of the business at this exciting and transformative time. Trading through the third quarter has seen satisfying performance improvements after the impacts of Omicron were felt in the earlier part of the year.”
Slide 3: Automotive Investor Day 8 April 2022
GUD Holdings Limited Graeme Whickman, CEO and MD Martin Fraser, CFO Automotive Investor Day 8 April 2022 1
Slide 4: Safety first
Safety first Site safety briefing Briefing by Geoff Dennis, HR Manager APG 2
Slide 5: Schedule
Schedule Groups start Group A start Group B start Group C To accommodate the tour of the 8.30 Group overview 8.30 Group overview 8.30 Group overview AutoPacific Group (APG) facility, we have 9.00 APG site tour 9.00 Undercar 9.00 Lighting and split attendees into three groups. Every Power Management
Slide 6: Contents
Contents Welcome from the Chairman 5 Graeme Billings, Chairman, GUD Holdings Group strategy and trading update 7 Graeme Whickman, Chief Executive Officer and MD, GUD Holdings Martin Fraser, Chief Financial Officer Barbara Harrison, Chief People Officer, GUD Holdings Undercar 16 Gideon Segal, Executi
Slide 7: Chairman's Comments
GUD Holdings Limited Graeme Billings Chairman, GUD Holdings Limited Chairman's Comments 5
Slide 8: Welcome from the Chairman
Welcome from the Chairman Graeme Billings Chairman, GUD Holdings Limited 6
Slide 9: Group strategy and trading update
GUD Holdings Limited Graeme Whickman, CEO and MD Martin Fraser, CFO Barbara Harrison, Chief People Officer Group strategy and trading update 7
Slide 10: Guidance and trading update: solid rebound after challenging start to Q3
Guidance and trading update: solid rebound after challenging start to Q3 Sales rebound as omicron and weather impacts abate Mobility trends in Australia • The significant Omicron-related disruptions evident in January largely abated during February. Despite additional 7-day moving average, baselined
Slide 11: All underlying industry trends are favourable to GUD’s expanded portfolio
All underlying industry trends are favourable to GUD’s expanded portfolio Underlying industry trends favourable to GUD New vehicle sales1,2 Approaching Segmentation of new vehicle sales1 in millions normalisation of • Commencement in CY21 of the normalisation of new vehicle long-term trend SUV PU PM
Slide 12: Group automotive overview
Group automotive overview Dimensions Sites People SKUs Automotive Revenue EBITA Margin Range 40% 4WD Accessories 28 across ANZ 30% Lighting and Power c.21-25% c.1,700 c.88,000 depending on 7 international 20% Powertrain Automotive category 10% Undercar 10
Slide 13: The portfolio vision set at the beginning of FY22 is well under way
The portfolio vision set at the beginning of FY22 is well under way Notes: GUD’s commitment to net zero scope 1 & 2 emissions is set for 2025 for distribution businesses and 2030 for manufacturing businesses (including recently acquired APG and VX). Offshore is defined as revenue generated outside A
Slide 14: ESG is embedded in our strategy and how we work
ESG is embedded in our strategy and how we work Key impact areas define GUD priorities GUD’s key impact areas and headline targets Done Completed detailed materiality assessment facilitated by external experts Key impact areas defined and aligned to key value drivers for all key stakeholder groups;
Slide 15: Organising for success
Organising for success Auto category structure allows for sharpened management focus Auto category structure • Progressive move towards category structure enables stronger collaboration and GUD Holdings leverage between brands within categories • Aligned to portfolio strategic imperatives - selectiv
Slide 16: 'The GUD way' grows acquisitions and makes them more profitable
'The GUD way' grows acquisitions and makes them more profitable Completed seven acquisitions between July 2016 and June 20211 GUD has a proven track record of growing the top and bottom lines of companies that join the portfolio—across the group, on average: • Includes recent FY21 acquisitions of AC
Slide 17: A future-focused acquisition strategy, aligned with the Portfolio Vision
A future-focused acquisition strategy, aligned with the Portfolio Vision Acquisition integration and synergy delivery is a critical focus Unlocking growth and future-proofing businesses Acquisition strategy aligned with Portfolio Vision • Disciplined, programmatic approach to acquisitions • Active p
Slide 18: Undercar
Gideon Segal, EGM DBA and ACS Undercar 16
Slide 19: Capture Undercar categories and leverage scale
Capture Undercar categories and leverage scale 1. Management estimates. 2. Australian Automotive Intelligence (Sep/21). 17
Slide 20: Undercar benefits from a long-tail of SKUs with wide distribution
Undercar benefits from a long-tail of SKUs with wide distribution Footprint Our brands Our portfolio includes category leaders Sites People SKUs • Brakes: DBA • Clutch: ACS 11 across ANZ c.120 c.21,000 1 in USA Category metrics Category Revenue Estimated Market Share1 c.10% medium Automotive ‘run ra
Slide 21: Disc Brakes Australia
Disc Brakes Australia: A leader in braking solutions Gideon Segal, Executive General Manager 19
Slide 22: Disc Brakes Australia
About Disc Brakes Australia History • Established in the 1970’s • Over 40 years manufacturing experience, Innovation driven – extensive R&D investment • Acquired by GUD in July 2018 Dimensions • 56 team members across Australia • > 8,000 SKU’s covering > 97% of Australian car parc • Extensive range
Slide 23: A world leader in braking solutions
Strategic Imperatives A world leader in braking solutions DBA strategic imperatives • Continue to develop innovative braking products and ensure IP is protected • Expand product portfolio of braking products • Double international markets organic sales from circa 20% of overall business in the mediu
Slide 24: DBA continues to grow in ANZ and internationally
Customer DBA continues to grow in ANZ and internationally • Major Australian customer groups continuing to grow with DBA even with their stated aims of house brand %’s – testament to the strength of DBA brand • DBA sales team calls at all levels of the market supporting the brand and pull through fo
Slide 25: Comprehensive product range with long-tail protection and ‘basket’ upside
Product Comprehensive product range with long-tail protection and ‘basket’ upside Comprehensive product range • > 8,000 SKU’s • > 96% parc coverage on rotors • Ongoing development of new product categories and range extensions within categories – complete the basket of brake solutions • Disc rotors
Slide 26: DBA continues to invest in R&D, creating proprietary IP for global markets
Innovation DBA continues to invest in R&D, creating proprietary IP for global markets Innovative concepts being developed • Government grants and university partnerships are contributing to DBA being able to fast-track design concepts • New pillar design has been developed under this process and has
Slide 27: Continued strong revenue growth, backed by new product and geographies
Continued strong revenue growth, backed by new product and geographies Business update Highlights • Continued strong revenue growth • Street Series disc pad program launched in Q4 FY21 is performing on target and further growth is expected as additional distributors are onboarded • Domestic growth f
Slide 28: Australian Clutch Services
Australian Clutch Services: Clutch and flywheel specialists Gideon Segal, Executive General Manager 26
Slide 29: Australian Clutch Services
About Australian Clutch Services History • Established in 1989 as a clutch rebuilder • Developed over time into a wholesaler, importer and manufacturer • From humble beginnings supplying the local South Australian market ACS now has warehouses all around Australia, and in New Zealand and the USA • A
Slide 30: ACS are clutch and flywheel specialists
Strategic Imperatives ACS are clutch and flywheel specialists Early stage of applying GUD strategy framework • Development of international markets • Product development future focused • Manufacturing capacity to be reviewed to cater for continued growth • X Clutch USA program to be continuously upd
Slide 31: ACS leading the market
Customer ACS leading the market • Strong brand, proven track record of growth – large Australian customer groups continue to grow with ACS • ACS sales team calls at all levels of the market supporting the brand and pull through for distributors • Leading stock position to support distributors and al
Slide 32: Innovation at the centrepiece of product development
Product Innovation at the centrepiece of product development Comprehensive product range • > 13,000 SKU’s • > 99% passenger car parc coverage • New products are constantly being ranged: + 230 new kits released YTD • ACS range offers variants of clutch kits • Packaging is innovative to minimise damag
Slide 33: Smooth integration of ACS into ‘the GUD way’
Smooth integration of ACS into ‘the GUD way’ Business update • Solid revenue growth and business is continuing to perform strongly since acquisition in March 2021 • NZ sales negatively impacted by COVID restrictions but starting to open back up • Nascent X Clutch USA business is ahead of expectation
Slide 34: Electric Vehicles
Gino Ricciuti, EGM IM Group Electric Vehicles 32
Slide 35: Become a leader in the EV Aftermarket in Australia and New Zealand
Become a leader in the EV Aftermarket in Australia and New Zealand 1. Management estimates; includes on-vehicle (e.g., lightweight bullbars) and off-vehicle products (e.g., home chargers). 2. ABS: Motor Vehicle Census 2021. 3. Waka Kotahi/NZ Transport Agency: Clean Car Programme. 33
Slide 36: xEV is a natural extension of our power and electronics expertise
xEV is a natural extension of our power and electronics expertise Footprint Our brands Our portfolio includes category leaders Sites People SKUs • Electronics repair and reman: Injectronics • Hybrid EV batteries: Hybrid Battery Rebuild • Circular economy batteries: IM Group 4 across ANZ 6 20 Categor
Slide 37: IM Group
IM Group: Solving customers vehicle management and mechatronics needs, fast Gino Ricciuti, Executive General Manager 35
Slide 38: We solve customer’s vehicle management and mechatronics needs, fast
About and strategy We solve customer’s vehicle management and mechatronics needs, fast Background • Innovative Mechatronics Group (IMG) was founded in 1983 • Acquired by GUD in 2017 • Significant growth since acquisition Our vision is to enable a circular economy for the machines that make life easi
Slide 39: 40 years’ mechatronics experience offer platforms for growth
40 years’ mechatronics experience offer platforms for growth xEV1 are a natural extension of our capability set Creating a circular economy for electronic components • Electric vehicles have more and more complex electronics than equivalent ICE cars • This plays well into IMG’s capability set and 40
Slide 40: Australia’s first nationwide HEV battery remanufacturing program
Hybrid electric vehicles Australia’s first nationwide HEV battery remanufacturing program Concept • Problem: Genuine replacement batteries for Hybrid Electric Vehicles (HEVs) are expensive (up to 25% of vehicle value at time of failure) and without the battery there’s no economic (mileage) or enviro
Slide 41: Repurposing ‘waste’ BEV batteries for stationary energy storage
Battery electric vehicles Repurposing ‘waste’ BEV batteries for stationary energy storage Concept • Problem: When traction batteries in Battery Electric Vehicles (BEV) are no longer suited for mobility (traction battery), they still have c.70-80% capacity remaining /and/ Battery Energy Storage Solut
Slide 42: Repair and Remanufacturing goes from strength to strength as we build our EV ‘muscles’
Repair and Remanufacturing goes from strength to strength as we build our EV ‘muscles’ Business update Highlights • Strong revenue growth in first nine months of FY22 on the pcp • Strong growth trajectory since GUD acquisition; positive outlook for further growth in all business categories • Double
Slide 43: Powertrain
Stuart Chandler, EGM Ryco Filters Terry Cooper, MD Wesfil Powertrain 41
Slide 44: Optimise Powertrain profitability and invest in adjacencies
Optimise Powertrain profitability and invest in adjacencies 1. Management estimates. 2. Australian Automotive Intelligence (Sep/21). 42
Slide 45: Powertrain performance is protected by the long tail of SKUs
Powertrain performance is protected by the long tail of SKUs Footprint Our brands Our portfolio includes category leaders Sites People SKUs • Filtration: Ryco Filters, Wesfil • Automotive gaskets: Permaseal (AA Gaskets) • Engine management: GOSS 13 across ANZ c.300 c.40,000 • Electronics repair and
Slide 46: Ryco Filters
Ryco Filters: A leader in filtration solutions Stuart Chandler, Executive General Manager 44
Slide 47: Ryco Filters: A leader in filtration solutions
About Ryco Filters: A leader in filtration solutions History The Ryco difference • Established 1936 Our technical expertise and test laboratory are unique in Australasia • Ceased manufacture in 2006 (AU) and 2008 (NZ) • Ryco’s decades of experience means we know filters inside and out. Our design ph
Slide 48: Ryco’s strategic imperatives
Strategy Ryco’s strategic imperatives Ryco: A leader in filtration solutions 1. Business fitness • Inventory optimisation • Supplier cost management 2. 4x4 expansion 3. Commercial filter growth 4. Human capital optimisation 5. Beyond ICE expansion 46
Slide 49: Ryco generates pull through via unparalleled customer intimacy
Customer Ryco generates pull through via unparalleled customer intimacy Ryco at workshops • c. 25,000 active Ryco customers on Salesforce; predominantly independent workshops • c.29,000 end user customer or prospective calls per annum • >1,350 fleet calls (Commercial) per annum • >250 customer train
Slide 50: Comprehensive product range covers the long tail
Product Comprehensive product range covers the long tail Comprehensive product range (long tail) • ~3,100 SKUs • >96% parc coverage (Passenger) • >87% parc coverage (Commercial) • Covering early model vehicles to latest releases. Genuine quality is based on three factors Oil filters Fuel filters Air
Slide 51: #2 most innovative company in Australia and New Zealand
Innovation #2 most innovative company in Australia and New Zealand Rapid development of innovative filtration solutions • Ranked 2nd in 2021 AFR Most Innovative Companies (Consumer and Manufacturing goods category) • Ryco N99 MicroShield Cabin Air range of filters • Developing a quantum leap for in
Slide 52: Solid performance despite a tough Q3 environment, with an encouraging outlook
Solid performance despite a tough Q3 environment, with an encouraging outlook Business update Highlights • 2nd place in the AFR Boss Most Innovative Companies (with the MicroShield N99 ‘medical-grade’ air filter • Modest revenue growth (cycling strong growth in the pcp) product) despite lock downs w
Slide 53: Wesfil
Wesfil: Quality, range, knowledge, service Terry Cooper, Managing Director 51
Slide 54: Wesfil: The value performer
About Wesfil: The value performer A history of exception customer experience • Started in 1984 by incumbent MD, Terry Cooper • Head Office located in Brookvale (Northern Beaches) NSW • GUD acquired Wesfil, with a total of five sites, in 1996 • Expansion of geographic distribution footprint involved
Slide 55: ‘To be the balance of market power’
Strategy ‘To be the balance of market power’ Wesfil’s mission is ‘to be the balance of market power’ in the auto aftermarket by providing best value product offers and the stickiest service proposition Core Wesfil strengths • A reputation of consistency, loyalty, care and openness – internally and e
Slide 56: Strong key account focus while supporting the independents
Customer Strong key account focus while supporting the independents Direct to store distribution • Within circa 25 ‘Major Customer Groups’ Wesfil service over 1500 stores directly • Our Direct to Store (DTS) distribution model provides customers a fast and agile service facilitated through our geogr
Slide 57: Range, range, range
Product Range, range, range Range within key product categories must be extensive and cover near full car parc • Fast new vehicle product ‘time to market’ is critical • Selective introduction of new product • Diversify away from ICE but at our core remain a drivetrain business • Demand for ICE filtr
Slide 58: Back end of Q3 strengthens after Covid and its various strains abate
Back end of Q3 strengthens after Covid and its various strains abate Business update • Tough H1 with Q1 COVID-19 lockdowns disproportionally affecting Sydney and later Melbourne DTS distribution as customer stores were forced to operate at limited capacity or temporarily shut altogether • Q2 post lo
Slide 59: Auto Electrical, Lighting and Power Management
George Davies, CEO BWI Group Auto Electrical, Lighting and Power Management 57
Slide 60: Grow a global niche leadership position in Automotive Lighting, and expand vehicle Power Management
Grow a global niche leadership position in Automotive Lighting, and expand vehicle Power Management internationally 1. Management estimates. 2.SEMA 2021 market report, management estimates. 3.Market Data Forecast: Europe Automotive Lighting Market (Jan/22). 4.KPMG (Feb/21), Caravan Industry Associat
Slide 61: Very comprehensive product catalogue creates international opportunities
Very comprehensive product catalogue creates international opportunities Footprint Our brands Our portfolio includes product category leading brands Sites People SKUs • Electrical and lighting: Narva, KT Cable (AE4A), Vision X • Power management: Projecta, KT Solar (AE4A) 4 across ANZ 350 c.17,000 •
Slide 62: Brown & Watson International
Brown & Watson International: A leader in automotive electrical, lighting and power management George Davies, Group CEO 60
Slide 63: Brown & Watson International
About Brown & Watson International History The BWI way • Established 1953 Our ambition is to be a world leader in automotive lighting, electrical and power products for the • Narva established 1980’s consumer and the professional. Our people are our greatest asset and foster passion, excellence, • P
Slide 64: Our way of working: Safety and People
Our way of working Safety People ‘Our Priority’ ‘We Achieve Together’ Track Record Engagement 2022 GUD Safety Excellence Award Employee Engagement 83% 95% Safety Score – Engagement Leadership Effectiveness 86% Survey Executive Effectiveness 83% > 95% of all Safety Actions closed – Vault Damstra Dive
Slide 65: A global niche leader in lighting and expanding power management internationally
Strategic Imperatives A global niche leader in lighting and expanding power management internationally Strengthen our manufacturing credentials Global footprint • Increase sourcing volume from internal manufacturing Market focus for lighting and electrical will be on Australia, New Zealand, USA, Eur
Slide 66: Organising for success
Organising for success Protect the core Australian operations Group structure • Continuing to strengthen the Australian management team to provide the BWI Group necessary capacity for offshore opportunities • Significant investment in product development through the COVID period to Shared services a
Slide 67: Australia
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Slide 68: BWI is a multi-discipline business serving multiple channels
Channel BWI is a multi-discipline business serving multiple channels BWI serves multiple channels Offroad Transport & Commercial Automotive • Automotive Retail & Trade: Addressing both the DIY and DIFM motorist through an extensive network of generalist and specialist retailers • Offroad: A growing
Slide 69: A wide range of paths to market
Customer A wide range of paths to market BWI has a resilient distribution model with numerous paths to market in ANZ. USA has a narrower distribution network, and this remains a growth corridor opportunity. Retail • Anaconda, Autobarn, AutoPro, AutoOne, BCF 2018 Aftermarket 2019 Supplier 2019 Except
Slide 70: Product development credentials
Product development credentials BWI continues to invest and grow its capability and capacity to manage its product portfolio pipelines. Innovative new product development is a critical success factor across all businesses to maintain brand strength. Global Product Development Team Based in Australia
Slide 71: Comprehensive product portfolio
Product Comprehensive product portfolio NARVA provide market-leading automotive lighting and electrical solutions to suit a wide range of vehicles. Over 5,000 part numbers make up NARVA’s Driving & Fog Lamps Fuses & Fuse Assortment industry leading catalogue. NARVA supply a world class range of auto
Slide 72: Comprehensive product portfolio
Product Comprehensive product portfolio The Projecta name is built on a heritage which began in 1989. Today, Projecta is recognized as Australia’s market leader in high quality battery Battery maintenance and battery power products. Chargers Intelli-RV Designed and engineered at the Melbourne head o
Slide 73: #3 most innovative company in Australia and New Zealand
Innovation #3 most innovative company in Australia and New Zealand ANZ Top 10 most innovative two years running Recognised for the second successive nomination in the AFR BOSS Most Innovative Company Awards. Placed 8th in 2021, and 3rd in 2021 for Rapid Recharge Technology on the Intelli-Start range
Slide 74: Comprehensive product portfolio
Product Comprehensive product portfolio Automotive Electrical & 4WD Accessories (AE4A) Automotive Electrical & 4WD Accessories (AE4A) is home of industry leading brands KT Cable Accessories, KT Solar, Boab, National Luna, Eezi-Awn, K9, Quick Fist & Optraffic. Leading the Automotive Leading the Auto
Slide 75: Business update
Business update Covid continues to impact operations Highlights • Shanghai lockdowns interrupting • #3 most innovative company in ANZ production and supply in Q3 • Supplier awards from GPC and PACCAR • Interruptions to production in Korea end • Acquisition/integration of VX is well underway with vis
Slide 76: Griffiths Equipment Limited
Griffiths Equipment Limited: New Zealand’s largest automotive wholesale distributor Gemma Collins, Executive General Manager 74
Slide 77: Griffiths Equipment is the largest automotive wholesaler in New Zealand
About Griffiths Equipment is the largest automotive wholesaler in New Zealand History • Established in 1977 – Griffiths Family • Acquired by GUD/BWI in 2016 • Greenfield office and warehouse built in 2019 • Leadership change in January 2021 Operations snapshot • Largest automotive aftermarket parts
Slide 78: Griffiths partners with a diverse selection of key customers across channels
Customer Griffiths partners with a diverse selection of key customers across channels Automotive+ channel mix offers opportunity for continued and diversified growth Automotive channels • 400+ trade and retail: key accounts include GPC (NAPA, Repco, Appco, Ashdown), Bapcor (BNT), ARG (SuperCheap Aut
Slide 79: Unparalleled breadth of brand portfolio in NZ auto accessories distribution
Product Unparalleled breadth of brand portfolio in NZ auto accessories distribution 60+ brands – mix of owned vs distribution Own brands: 66% • Narva (lighting and electrical) – c.6700 SKUs • Projecta (power) – c.700 SKUs • Wildcat (accessories) – c.250 SKUs • Type S c 35 SKUs • Jelly Jets – 9 SKUs
Slide 80: GUD 3PL proof of concept: Many brands, one order
Distribution GUD 3PL proof of concept: Many brands, one order Greenfield facility in Mt Wellington, Auckland • One of NZ’s largest automotive parts logistics hubs • 6,000 sqm warehousing space • 600 sqm office space • Dedicated team of 23 people NZ distributor for many GUD businesses • Own brands: N
Slide 81: NZ performing admirably relative to very tough external environment
NZ performing admirably relative to very tough external environment Business update Highlights • Revenue flat in H1, however grew strongly in Q2 following the hard lockdown • 84% Team Engagement – Great teamwork during COVID lockdown months in Q1 (where all retail was closed) • 93% score – external
Slide 82: Vision X
Vision X: Design, manufacture and deliver the ultimate lighting solution Tony Georgitsis, President 80
Slide 83: Vision X: engineered lighting solutions
About Vision X: engineered lighting solutions Strong history of manufacturing and distributing Vision X USA Vision X ASIA (South Korea) high quality, specialist lighting • Corporate office • Manufacturing • Warehouse • Testing • Established in 1997, Vision X’s specialist lighting products • • Produc
Slide 84: Established product development and manufacturing facilities
Established product development and manufacturing facilities Product Development Manufacturing • End to end Self-manufacturing of electronics Design and Development capability and lighting elements, and assembly activities. in three countries • In-house product specification • USA focused on typical
Slide 85: Primary market channels
Primary market channels Industrial Automotive-Offroad Channel Expert Partners 36% 37% 27% of CY21 sales of CY21 sales of CY21 sales The Industrial Channel includes LED lighting The Automotive-Offroad Channel includes Channel Expert Partners includes LED scene for mining equipment and vehicles, and v
Slide 86: Portfolio of engineered solutions for specialised segments
Portfolio of engineered solutions for specialised segments Specific product catalogues Tailored fit out guides and product solutions • Industrial applications • Over 100 applications • Vehicle applications • Application fit outs 84
Slide 87: Automotive-Offroad: Endurance and performance
Channels Automotive-Offroad: Endurance and performance Offroad and Racing Commercial Service Trucks Powersport Overland Automotive Off-road and Racing Commercial Service Trucks UTV/ATV/Motorcycle Overland Automotive • Dual Output/Function • Low Failure Rate • Slim Low Profile • Area Lighting • Vehic
Slide 88: Industrial: Engineered solutions
Channels Industrial: Engineered solutions Mining Structural Mobile Tower Plants Maritime Machine Vision Mining Commercial (Structural) Mobile Tower Lighting Maritime Machine Vision • Heavy Duty Brackets • Large Area Lighting • Large Area Lighting • Salt Water Resistant Coating • Precision Beam • Hig
Slide 89: Channel expert partners: Solution provider from design to delivery
Channels Channel expert partners: Solution provider from design to delivery Emergency Motorcycle Automotive Industrial Maritime Fire-tech: Denali: Ashdown Ingram Great Whites: Various Industrial Partners Imtra: Emergency Motorcycle Automotive • Custom Industrial Solutions Maritime • Scene Lighting •
Slide 90: Strongly diverse customer base
Strongly diverse customer base Customer concentration is low, and Customer concentration Top 10 resellers and distributors Vision X most are new to GUD Vision X • Top 18 customers represents circa 80% • Vision X Europe • Sunwest Supply Others = of revenue 20% • Ashdown-Ingram • APS • 80% of VX custo
Slide 91: Portfolio of powertrain agnostic and EV ready products
Portfolio of powertrain agnostic and EV ready products Over 1,200 products across 5 key specialised Revenue by segment TTM to 31 May 2021 product segments 1. Automotive: vehicle lighting for on and offroad 5 Automotive - 28% 8 applications, including jeeps, trucks and motorcycles 28 Fire and emergen
Slide 92: A very comprehensive portfolio of Go Forward product ranges
Product A very comprehensive portfolio of Go Forward product ranges ADV Light Cannon Unite Modular BHB LSG LED Driving Light LED Light Bar LED Heavy Duty LED Structural Work Light Lighting CG2 Light Cannon XPL BLB Vehicle ID Signs LED Driving Light LED Light Bar LED Medium Duty LED Vehicle Work Ligh
Slide 93: Healthy pipeline of innovative products
Innovation Healthy pipeline of innovative products Dual Output/Function Lighting Combo Beam Lighting LIN Bus Light Control & Autonomous Vehicle Lighting Customisable Solutions (Using Multiple Types of CAN Bus Integrated Lights & Machine Vision Optics or Reflectors) - Shocker Bar - Adventure Series -
Slide 94: Strong historic financial health with future growth potential
Strong historic financial health with future growth potential Solid growth in revenue and earnings Medium term opportunities for organic growth • Historic EBITA margins similar to GUD legacy automotive business units • Machine Vision Lighting – Camera integrated lighting used for quality control and
Slide 95: Integration and revenue synergy update
Integration and revenue synergy update Integration is on track • Dedicated integration resource proving successful • Expanding operational fitness – use GUD’s current improvement tools (PCM EBIT by product and customer analysis, innovation process, high-performance culture) to boost performance in V
Slide 96: Vision X complements BWI and opens up US and Europe
Vision X complements BWI and opens up US and Europe Portfolio of engineered powertrain-agnostic and EV ready products – further reduces GUD’s 1 exposure to internal combustion engines (ICE) Large and growing addressable markets – strong positions in automotive and non-automotive Strong product line
Slide 97: Strong growth continuing driven by new products
Strong growth continuing driven by new products Business update Highlights • Positive response from Vision X team members and customers to joining BWI/GUD • Continued strong revenue growth in the US and export markets • Managing supply chain disruptions – Vision X worked with key customers on annual
Slide 98: 4WD Accessories and Trailering
Jason Kieseker, CEO AutoPacific Group 4WD Accessories and Trailering 96
Slide 99: Build an integrated leader in 4WD Accessories and Trailering in ANZ with future export
Build an integrated leader in 4WD Accessories and Trailering in ANZ with future export 1. Management estimates. 2. Australian Automotive Intelligence (Sep/21). 3. KPMG (Feb/21), AAI (Sep/21). 97
Slide 100: 4WD Accessories and Trailering category
4WD Accessories and Trailering category Footprint Our brands Our portfolio includes category leaders Sites People SKUs • Towing: Hayman Reese, Best Bars, Parkside, Trailboss • Functional accessories: East Coast Bullbars, Barden/ 10 across ANZ Uneek4x4, Kaymar, Parkside c.950 c.10,000 + 3 internation
Slide 101: AutoPacific Group
AutoPacific Group: A clear leader in 4WD Accessories and Trailering in Australia and New Zealand Jason Kieseker, CEO 99
Slide 102: APG is a clear leader in 4WD Accessories and Trailering in ANZ
APG is a clear leader in 4WD Accessories and Trailering in ANZ Large and growing addressable market (largely Pick-Ups (PUs) and Sports Utility Vehicles (SUVs)) 1 supported by positive structural tailwinds Leading market positions Undisputed market leader in towing with strong brands and market posit
Slide 103: APG is the undisputed leader in the 4WD cornerstone towing category
APG is the undisputed leader in the 4WD cornerstone towing category 1 Towing 3 Trailering ~85% Brands Selected products ~15% Brands Selected products market share1 market share1 Towbars X-bars Towballs Suspension systems Fifth wheel hitch Light truck Brakes Weight distribution #1 market position in
Slide 104: 1. A large, attractive, and growing addressable market
1. A large, attractive, and growing addressable market Addressable market of new Pick-Ups and SUVs at historic high Trailering showing steady growth • Pick-Ups and SUV have the highest fitment rates of accessories and trailering products • Trailer registrations did not step up significantly in CY21
Slide 105: Shifts in vehicle type and accessorisation are driving compound growth
Shifts in vehicle type and accessorisation are driving compound growth Pick-Ups and SUV have higher fitment rates that Content opportunity by vehicle type drive a multiplier effect for volumes and revenues in average $ per unit • Content opportunity of an SUV is about 12x that of a Cargo management
Slide 106: 2. APG has c.85% market share of the towing category in ANZ
2. APG has c.85% market share of the towing category in ANZ 1 Towing Strong and defensible leadership position c.85% Brands Selected products Dealer and factory fit channels market share1 • ‘Best-in-class’ engineering capability coupled with capacity to keep pace with all vehicle Towbars X-bars laun
Slide 107: 2. Leveraging the towing anchor to grow share of wallet
2. Leveraging the towing anchor to grow share of wallet Need 2 to check that market shares and addressable Functional accessories markets make sense Sticky customer relationships with bluechip OEMs creates opportunities to grow beyond towing at factory fit c.15% Brands Selected products market share
Slide 108: 2. Trailering showing strong supply and margin performance
2. Trailering showing strong supply and margin performance 3 Trailering Cruisemaster growing share through strong supply • Consumer demand for trailers/caravans has increased, but supply has failed to meet the ~15% Brands Selected products higher demand to date – caravan and trailer lead times have
Slide 109: Significant upside for growth in ANZ market in existing and new categories
Significant upside for growth in ANZ market in existing and new categories ANZ markets have significant untapped potential • APG has grown the functional accessories category to c.$40m pa from a zero base ten years ago; significant upside remains • Manufacture of functional accessories is a highly-f
Slide 110: 3. Longstanding ‘sticky’ relationships with Bluechip OEMs and national retailers
3. Longstanding ‘sticky’ relationships with Bluechip OEMs and national retailers APG is well positioned across all channels to market Longstanding and diverse relationships underpinned by brand, quality and trust Factory fitted • APG’s top 5 customers have an average tenure of 21 years2 Ford • Singl
Slide 111: APG is a partner of choice for many OEM and aftermarket resellers
APG is a partner of choice for many OEM and aftermarket resellers APG is a partner of choice for OEM/OES Interplay between OEM and Aftermarket • Longstanding, sticky relationships with 5-7 year revenue visibility Factory fit Dealer fit Aftermarket with OEM cycle plans • 100% retention of EO customer
Slide 112: 4. Highly complementary non-ICE products developed by best-in-class R&D
4. Highly complementary non-ICE products developed by best-in-class R&D Complementary 100% powertrain-agnostic products • APG products are suitable for all powertrains, from combustion to electric >4,000 SKUs 171 182 (Unparalleled coverage of New SKUs OE/OES projects awarded • Minimal overlap with G
Slide 113: 5. Large scale, well-invested manufacturing and distribution capabilities
5. Large scale, well-invested manufacturing and distribution capabilities High volume, low cost manufacturing in Thailand and low volume, high variety manufacturing in Australia and New Zealand Creates flexibility and efficiencies in manufacturing Leading brands and distribution in … supported by sc
Slide 114: Scaling efficiently and cost-effectively to meet demand
Scaling efficiently and cost-effectively to meet demand Investment in throughput capacity to capture growing demand in the cornerstone towing category and expanding functional accessories Capacity (000’s units) Equipment installation 880 Melbourne, Australia capacity (000’s units) 1x Laser Cutter (T
Slide 115: 6. Strong financial performance: CY19A to CY21F
6. Strong financial performance: CY19A to CY21F Pro forma CY21F EBITA bridge (A$m) Volume – existing SKUs Volume - new SKUs M&A – volume growth6 Margin Management SG&A, R&D and depreciation • Recovery in vehicle sales from • Functional accessories – Ford • Higher revenue from increased • Cost reduct
Slide 116: Strong growth in demand paired with share gains
Strong growth in demand paired with share gains Higher demand • APG launched 31 new SKUs in towing, Unit sales volume in 000’s growing sales volume by +26k units • New SUV/PU vehicle sales grew by • APG launched 18 new SKUs in +69k units (+10%)1 functional accessories, growing sales volume by +6k un
Slide 117: Future growth potential
Future growth potential Pro forma CY22F EBITA bridge (A$m) Volume – existing SKUs Volume - new SKUs M&A – volume and synergies5 Margin Management SG&A, R&D and depreciation • Pent up demand and easing of • 143 new SKUs released YTD • Market growth and full-year • Further efficiencies, and • Incremen
Slide 118: Significant headroom for further product and geographic expansion
Significant headroom for further product and geographic expansion Future growth opportunities Multi-product platform with a renowned brand portfolio and Thailand manufacturing facilities Market leading towing Geographical business in ANZ expansion and new market entry US and Southeast Asia Trailerin
Slide 119: APG will continue to apply a successful formula to drive growth
APG will continue to apply a successful formula to drive growth Executable growth initiatives International opportunities leveraging existing capability and expertise Trailer suspension growth • Leverage existing customer pull demand from the US for Kaymar, Functional accessories growth Cruisemaster
Slide 120: The first 90 days: Integration and synergy update
The first 90 days: Integration and synergy update Integration is slightly ahead of expectations Synergy target of c.$7 million p.a. to be realised over three years • Dedicated integration resources at executive level (Bob Pattison) and finance level • 90-day integration actions addressed without iss
Slide 121: Positive start to the GUD relationship
Positive start to the GUD relationship Business update Highlights • Volatility in new vehicle supply, but positive segmentation • Positive reaction from staff to APG joining GUD (absolute number of PU/SUV sold in Australia at all-time high in CY21 despite supply challenges) • Successful launch of Fo
Slide 122: Australian Auto Aftermarket Expo
GUD Holdings Limited Guided tour Australian Auto Aftermarket Expo 120
Slide 123: AAA Expo
AAA Expo The Australian Auto Aftermarket Expo1 The Australian Auto Aftermarket Expo is the nation’s only comprehensive exhibition for Australia’s $25B aftermarket industry. The show showcases over 250 of the country’s leading brands Hosted by the Australian Automotive Aftermarket Association (AAAA),
Slide 124: Disclaimer
Disclaimer Important notices This Presentation has been prepared by GUD Holdings Limited (ABN 99 004 400 891) (“GUD” or “Company”). Summary information This Presentation contains summary information about GUD and its activities current as at 7 April 2022. The information in the Presentation is of a