Nrw Holdings Limited · ASX:NWH
Nrw — FY2023 Earnings Presentation
28 slides from Nrw's earnings presentation, Aug 17, 2023
Slide 1: NRW Holdings FY23 Full Year Results
NRW HOLDINGS FY23 FULL YEAR RESULTS 17 AUGUST 2023
Slide 2: FY23 Highlights
FY23 HIGHLIGHTS $2.7B $166.3M REVENUE EBITA $5.9B $2.7B ORDER BOOK SECURED WORK FY24 120+ $227.6M PROJECTS CASH HOLDINGS 2
Slide 3: Restatement of FY22 Prior Period
RESTATEMENT OF FY22 PRIOR PERIOD Restatement of FY22 prior period due to an error identified in Primero's revenue recognition for two projects that completed construction in that financial year: • Revenue and margin overstated by $10.3 million in FY22. Primero is required to reverse the overstatemen
Slide 4: Results Overview
RESULTS OVERVIEW Overcoming the challenges of the first half, NRW delivers record results in FY23: • Record Revenue: $2.7B up 11.4% on FY22 • Record EBITDA: $288.8M, up 10.2% on FY22 • Record EBITA: $166.3M up 13.3% on FY22 • Record Cash: $227.6M up from $219.3M in FY22. Cash conversion at 99% • Rec
Slide 5: Environmental, Social, Governance
ENVIRONMENTAL, SOCIAL, GOVERNANCE NRW has begun the adoption of additional disclosures after the publishing of IFRS S1 General Requirements for Disclosure of Sustainability- related Financial Information and IFRS S2 Climate-related Disclosures in June 2023. NRW is committed to aligning our sustainab
Slide 6: Environmental, Social, Governance Continued
ENVIRONMENTAL, SOCIAL, GOVERNANCE CONTINUED CLIMATE RELATED DISCLOSURE • Committed to transparent climate related disclosure in accordance with the TCFD (Task Force for Climate-Related Disclosure) recommendations. • Actively monitoring updates from Australian Treasury with regard to mandatory climat
Slide 7: Financial Overview
FINANCIAL OVERVIEW 7
Slide 8: Earnings and Balance Sheet
EARNINGS AND BALANCE SHEET EARNINGS BALANCE SHEET • Operating EBIT of $166.3M was up 13.3% on FY22 ($146.7M), driven by • Cash balances of $227.6M and cash conversion of 99%. strong margin performance in Mining. • Net debt at $84.3M, gearing of 13.8% incl. leases and 5.4% excl. • Group EBITDA totall
Slide 9: Cash Flow
CASH FLOW CONSOLIDATED STATEMENT OF CASH FLOWS FY23 $M FY23 • Strong cash generation from operating $M EBITDA 288.8 activities with cash conversion of 99%. CASH FLOWS FROM OPERATING ACTIVITES Other working capital movement (5.4) Cash conversion moves with project Non-recurring transactions (18.1) cy
Slide 10: Strategy Recap
STRATEGY RECAP Karara, Karara Mining 10
Slide 11: Our Growth Strategy
OUR GROWTH STRATEGY Long-term strategy to diversify the business model to create resilience and reduce reliance on specific sectors or commodities OFI ACQUISITION 2023 OFI adds process controls, instrumentation design, switchboard/panel manufacture, and electrical installation capability, together w
Slide 12: Strategy Has Delivered a Diversified Business Model for Resources Sector
STRATEGY HAS DELIVERED A DIVERSIFIED BUSINESS MODEL FOR RESOURCES SECTOR NRW Holdings offers unparalleled whole-of-life capability that extends seamlessly across engineering, construction, operations, maintenance and shutdowns. PROCESS & DESIGN MINE DEVELOPMENT DRILL & BLAST MINING CIVIL INFRASTRUCT
Slide 13: North American Battery Critical Minerals Opportunity
NORTH AMERICAN BATTERY CRITICAL MINERALS OPPORTUNITY • Sector is still very new in North America – 5 years behind Australia. • Attracting significant capital and heavily supported by Government policy to promote self-reliance for supply of all critical minerals that support decarbonisation – Inflati
Slide 14: Business Segment Performance
BUSINESS SEGMENT PERFORMANCE 14
Slide 15: Segment Capabilities
SEGMENT CAPABILITIES CIVIL • National infrastructure • Bulk earthworks FY23 REVENUE pre-qualifications • Marine works R5, B4, F150+ $550M • Roads & bridges • • Renewable energy projects Airstrips • Public / defence infrastructure NRW Civil • Commercial & residential Golding Civil • Rail formations s
Slide 16: Civil
CIVIL Yarrabilba, Lendlease 16
Slide 17: Civil Results and Outlook
CIVIL RESULTS • Revenue increased by 13.9% to $550.3M driven by the portfolio of multi-year projects nationwide. $M FY23 FY22 • Profitability impacted by La Niña weather patterns, delayed awards, extended tendering Revenue 550.3 483.3 activity and disciplined approach to responsible pricing. Overhea
Slide 18: Mining
MINING Greenbushes, Talison Lithium 18
Slide 19: Mining Results and Outlook
MINING RESULTS • Solid growth delivered during the year despite La Niña weather pattern impacts experienced in first seven months. $M FY23 FY22 • Revenue increased to $1,441.0M from $1,273.2M in FY22. Revenue 1,441.0 1,273.2 • Earnings (EBIT) increased to $134.1M compared to $106.6M representing str
Slide 20: Minerals, Energy & Technologies
MINERALS, ENERGY & Miralga Creek, TECHNOLOGIES Atlas Iron 20
Slide 21: Minerals, Energy & Technologies Results
MINERALS, ENERGY & TECHNOLOGIES RESULTS • MET revenue increased to $729.1M from $690.7M in FY22. • Earnings decreased from $38.0M in FY22 to $30.5M in FY23 due to lower levels of sales activity $M FY23 FY22 in RCR from delayed award of new projects and cost overruns incurred on fixed price projects
Slide 22: Summary
SUMMARY 22
Slide 23: Outlook & Guidance
OUTLOOK & GUIDANCE OUTLOOK GUIDANCE • Near-term tender pipeline capable of being awarded in next 12 months • FY24 full year revenue is expected to be in excess of $2.8B. is $17.1B. • Earnings (EBITA) for FY24 are expected to be between • Group’s order book at 30 June 23 is a record $5.9B. Current su
Slide 24: Appendices
APPENDICES 24
Slide 25: Commodity Mix
COMMODITY MIX CIVIL MINING MINERALS, ENERGY & TECHNOLOGIES BCM/Other Gold 4% 3% Iron Ore Infrastructure Urban 21% 17% Iron Ore Mineral 37% Sands 8% 45% FY23 FY23 FY23 41% 24% MET Coal 75% Resources(1) 15% BCM/ 10% Other Iron Ore Thermal Coal Iron Ore Urban Infrastructure BCM/Other 16% 17% Iron Ore 2
Slide 26: Environmental, Social, Governance
ENVIRONMENTAL, SOCIAL, GOVERNANCE SAFETY & HEALTH PEOPLE & CULTURE Critical Risk Management • Group headcount has increased from 7,000 to 7,200 in the last 12 months. • Full time resource working with Business Units to ensure • Proactive work to maintain compliance with the amendments to the Fair Wo
Slide 27: Environmental, Social, Governance
ENVIRONMENTAL, SOCIAL, GOVERNANCE CLIMATE-RELATED DISCLOSURE SUSTAINABILITY REPORTING • Committed to providing transparent reporting in regard to our climate ISSB Sustainability Standards related disclosures in line with the TCFD recommendations under the • NRW recognises the work of IFRS and the IS
Slide 28: Disclaimer
DISCLAIMER SUMMARY INFORMATION This Presentation contains summary information about NRW and its associated entities and their activities current only at the date of this Presentation. This Presentation is for general information purposes only and does not purport to be complete. The content should b