Paragon Care Limited · ASX:PGC
Paragon Care — H1 2022 Earnings Presentation
21 slides from Paragon Care's earnings presentation, Feb 28, 2022
Slide 1: 1H FY22 Financial Results
INVESTOR PRESENTATION 28 FEBRUARY 2022 1H FY22 FINANCIAL RESULTS Paragon Care Limited ASX : PGC
Slide 2: Company Overview, 1H FY22 Results, Growth Opportunities
COMPANY OVERVIEW 1H FY22 RESULTS GROWTH OPPORTUNITIES Paragon Care Ltd (ASX:PGC) | Copyright © 2022 2
Slide 3: 1H FY22 Results: Key Highlights
1H FY22 Results : Key Highlights – Paragon Care underlying EBITDA* up 20% in 1H FY22 (excluding JobKeeper of $3m in pcp) – Paragon Care revenue* down only 3% on pcp despite the ‘stop start’ policy on elective surgery by various State Governments – Paragon Care significant gross margin* improvement t
Slide 4: Leading medical distribution business in Asia Pacific
Leading medical distribution business in Asia Pacific Established long-term relationships with over 100 manufacturers around the world Sales & Marketing Regulatory Approvals Service Maintenance Logistics Capabilities Supplying hospitals and healthcare facilities in Asia Pacific Paragon Care Ltd (ASX
Slide 5: Five pillar structure
Five pillar structure DEVICES DIAGNOSTICS CAPITAL & SERVICE & TECHNOLOGY QUANTUM HEALTH CONSUMABLES EYE CARE BLOOD BANK UROLOGY, CRITICAL CARE MANAGEMENT REPORTING MEDICAL IMAGING, ORTHOPAEDICS LABORATORY NEONATAL, RADIOLOGY & MAINTENANCE EQUIPMENT & SERVICES 29% 10% 34% 7% 20% 1H FY22 Rev * 1H FY22
Slide 6: Proforma 1H FY22 results
Proforma 1H FY22 results Pro Forma PGC QTM Combined Group Revenue $111.3m $26.5m $137.8m EBITDA $14.1m $5.3m $19.4m NPAT $5.4m $3.7m $9.1m Operating cash flow $3.9m $5.5m $9.4m Net debt (borrowings less cash & equivalents) $69.3m $(9.0)m $60.3m Net debt/EBITDA (full year FY21 proforma) 2.6x n/a 1.7x
Slide 7: Share register post merger
Share register post merger Major Shareholders (as at 23 Feb 2022) PGC John Walstab 20% Board & Management (excluding John Walstab) 14.2% China Pioneer 8.4% First Samuel Limited 3.9% Other Shareholders 53.5% Total Number of Shareholders 7,187 Paragon Care Ltd (ASX:PGC) | Copyright © 2022 7
Slide 8: Merged entity provides strong platform for growth
Merged entity provides strong platform for growth Cross-Sell — Cross-sell the combined product portfolio into the high growth Asia Pacific markets Growth in Asia Pacific — Enhance growth opportunities in Asia, particularly for Immulab, in Paragon Care’s diagnostics pillar — Attract new suppliers thr
Slide 9: Two new Directors join PGC Board
Two new Directors join PGC Board Non-Executive Director Executive Director Non-Executive Chairman – Over 35 years’ experience in – Founder and MD of Quantum – Co-founder of Paragon Health Group the health sector Care – Board positions with ASX- – Over 38 years in medical – Extensive commercial and e
Slide 10: Company Overview, 1H FY22 Results, Growth Opportunities
COMPANY OVERVIEW 1H FY22 RESULTS GROWTH OPPORTUNITIES Paragon Care Ltd (ASX:PGC) | Copyright © 2022 10
Slide 11: Diversified offering provides revenue stability
Diversified offering provides revenue stability (excluding Quantum Health Group) 1H FY22 $40.5m 0.5% COVID-19 swab testing kit sales offset elective surgery Devices bans in NSW & VIC Growing sales of transplant diagnostics products; increase Diagnostics $13.9m 10% in manufacturing reagents used
Slide 12: Interim fully franked dividend
Interim fully franked dividend Key Dates – HY22 interim dividend of 0.6 cps, fully franked at 30% tax rate Ex-dividend date 21 March 2022 – Paragon Care had $17.7m in franking credits as at 30 June 2021 Record date 22 March 2022 – Dividend re-investment plan DRP election date 25 March 2022 – DRP iss
Slide 13: Company Overview, 1H FY22 Results, Growth Opportunities
COMPANY OVERVIEW 1H FY22 RESULTS GROWTH OPPORTUNITIES Paragon Care Ltd (ASX:PGC) | Copyright © 2022 13
Slide 14: Organic growth initiatives
Organic growth initiatives – Our 3-5 year growth plans include 15 identified opportunities with the potential to generate up to $100M in revenue – H2 FY22 gradual rebound from NSW, VIC & NZ lockdowns, specifically increased elective surgery cases in our Devices pillar – As access to aged care facili
Slide 15: Introducing New CEO & Group Managing Director
Introducing New CEO & Group Managing Director MARK HOOPER – Appointment announced in December 2021 to commence on 5 April 2022 – Former CEO of Sigma Healthcare (ASX:SIG) – Appointed MD & CEO of Sigma in August 2010 – Effectively led Sigma through divestments, acquisitions, internal transformation an
Slide 16: Appendix
APPENDIX Paragon Care Ltd (ASX:PGC) | Copyright © 2022 16
Slide 17: 1H FY22 Profit & Loss
1H FY22 Profit & Loss 1H FY22 1H FY21 CHANGE 31 Dec 2021 31 Dec 2020 Key Highlights $m $m $m % Revenue 111.3 115.0 (3.7) (3.0)% – Underlying EBITDA increased by 20% in 1H FY22, Cost of sales (64.6) (70.5) (6.0) (8.0)% excluding the $3m JobKeeper subsidy in 1H FY21, Gross profit 46.7 44.5 2.2 5.0% Gr
Slide 18: 1H FY22 Balance Sheet
1H FY22 Balance Sheet 1H FY22 1H FY21 CHANGE 31 Dec 2021 30 Jun 2020 Key Highlights $m $m $m % Cash 28.4 33.2 (4.8) (14)% Receivables 20.0 26.2 (6.2) (24)% Inventories 53.3 51.6 1.7 3% – Net debt down by 9% to $69.3m and net PPE 8.3 7.5 0.8 11% debt/equity ratio decreased to 35% Intangibles 150.5 15
Slide 19: 1H FY22 Cash Flow
1H FY22 Cash Flow 1H FY22 1H FY21 CHANGE Key Highlights 31 Dec 2021 31 Dec 2020 – Decrease in operating cash flow compared with $m $m $m % 1H FY21 which included a one-off cash boost from an improvement in the working capital cycle and Net cash from operating activities 3.9 15.5 (11.7) (75)% also a
Slide 20: Disclaimer
Disclaimer Summary information This Presentation contains summary information about Paragon Care and its activities current as at 09/03/2021. The information in the Presentation is of a general nature and does not purport to be complete or comprise all information which a shareholder or potential in
Slide 21: Thank You
Shane Tanner Chairman P: 1 300 369 559 E: shane.tanner@paragoncare.com.au THANK YOU Paragon Care Ltd (ASX:PGC) | Copyright © 2022 21