Slide 1: Gale Pacific Limited Results for Year Ended 30 June 2012
For personal use only GALE PACIFIC LIMITED R E S U LTS F O R Y E A R E N D E D 3 0 J U N E 20 1 2
Slide 2: FY12 Results – Key Points
FY12 Results – Key Points For personal use only • NPAT up 20% to $8.5 million. • Earnings per share of 2.86 cents. Return on invested capital (EBIT / shareholders funds plus net debt) improved to 15.7% in FY12 from 13.5% in FY11 and 12.2% in FY10. • Net Debt of $4.1 million. Net debt / equity ratio
Slide 3: FY12 Results – Key Points
FY12 Results – Key Points For personal use only • Sales up 16% to $110.5 million. • Sales revenues grew by 10% in the USA (US dollars) and 27% in the Middle East (US dollars). Our International business increased sales by more than 100%. Australia experienced another poor summer which had a negative
Slide 4: Earnings per Share and Dividends per Share
Earnings per Share and Dividends per Share For personal use only Cents
Slide 5: EBITDA / EBIT / NPAT (A$ Million)
EBITDA / EBIT / NPAT (A$ Million) For personal use only
Slide 6: FY12 Review
FY12 Review For personal use only FY12 FY11 FY10 A$M’S A$M’S % Variance A$M’S Sales 110.5 95.6 16% 98.8 EBITDA 18.0 15.8 14% 16.5 EBIT 12.5 9.9 26% 9.3 NPAT 8.5 7.1 20% 6.0 Earnings per share ‐ cents 2.86 2.42 18% 2.10 Dividends per share ‐ cents 2.45 2.20 11% 2.00 Cash from operations 9.5 11.4 (17)
Slide 7: Operating Cash Flow
Operating Cash Flow For personal use only $… Operating Cash Flow before Capex and Dividends $20.0 18.0 $15.0 11.4 11.4 8.5 9.8 9.5 $10.0 $5.0 $0.0 FY07 FY08 FY09 FY10 FY11 FY12 FY07 FY08 FY09 FY10 FY11 FY12 Capital Expenditure (Gross) (4.0) (3.4) (1.0) (1.2) (0.6) (1.4) Dividends Paid ‐ ‐ ‐ ‐ (8.4)
Slide 8: Operating Cash Flow
Operating Cash Flow For personal use only • Continuation of the strong annual cash flows from operations. Operating cash generated of $9.5M for FY12. • Operating cash flow down in FY12 due to higher inventory levels from poor summer conditions in Australia, higher tax payments and higher working cap
Slide 9: Changes in Net Debt
For personal use only Changes in Net Debt
Slide 10: Debt Position
Debt Position For personal use only • Net debt at 30 June 2012 of $4.1 million. This low net debt position at year end was after paying out $6.9 million to shareholders in dividend payments. • Net debt to equity at 5.5%. • Interest cover of 12.9 times (EBIT/interest).
Slide 11: Regional Business Unit Results
Regional Business Unit Results For personal use only Australasia Americas Middle East International China (A$’s) (US$’s) (US$’s) (US$’s) (US$’s) FY12 Sales 71.0M 21.2M 8.1M 10.4M 23.0M* Up 10% Up 10% Up 27% Up 104% Up 1% FY12 EBITDA 7.8M 1.6M 1.6M Included in China 7.0M** Down 7% Up 220% Up 23% Incl
Slide 12: Asia Pacific
Asia Pacific For personal use only • Sales increased 10% over the prior year to A$71.0 million. • Full year contribution from the Zone Hardware and Riva Window Fashions businesses acquired in June 2011. • Sales declined in Gale’s traditional Australian markets due to weak consumer demand and cool, w
Slide 13: Asia Pacific (cont.)
Asia Pacific (cont.) For personal use only • Zone Hardware and Riva Window Fashions businesses now fully integrated into the Australian business operations resulting in a number of one off costs in FY12. • Riva Window Fashions roll out through the Bunnings network now complete. Additional resources
Slide 14: Americas
Americas For personal use only • Sales increased 10% to US$21.2 million. • Strong sales growth and ranging achieved with most major accounts. • Hot summer conditions aided the sale of outdoor shading and screening products in the USA and Canada. • Sales of commercial fabrics increased by 25% over pr
Slide 15: Middle East
Middle East For personal use only • Sales increased 27% to US$8.1 million. • Increased sales in key markets of Saudi Arabia, United Arab Emirates, Qatar and Oman. • Secured and shipped our largest ever single project of approximately 300,000m². • Increased sales and demand for Synthesis Commercial 9
Slide 16: China
China For personal use only • Strong, stable management and technical support teams. • Record volumes, increased efficiencies, improved yields and reduced waste levels contributed to our strongest result from the China operation to date. These efficiency gains have all helped offset higher wage rate
Slide 17: China
China For personal use only • Polymer prices have been relatively stable throughout the year. • Safety statistics (LTI’s) improved by 38% year on year. • Out‐sourcing department established to manage the sourcing of finished traded product from outside factories. Trading company being established to
Slide 18: International Markets
International Markets For personal use only • Sales increased by more than 100% to US$10.4 million. • Strong growth in Japanese market with sales more than doubling year on year due to increasing consumer demand for shading products. Gale products now sold through approximately 60 retail groups and
Slide 19: International Markets (cont.)
International Markets (cont.) For personal use only • Strong growth with our two primary European distributors in FY12. • Gale Pacific products now being sold in 26 countries serviced by the international market team. • Further business development resources planned to be added to the team early in
Slide 20: Outlook
Outlook For personal use only • Global markets are expected to remain volatile and consumer demand weak as a result. • Gale will continue to implement our growth strategy by expanding our product offer and presence in the markets for branded industrial and consumer screening, shading and home improv
Slide 21: Disclaimer
Disclaimer For personal use only Statements contained in this presentation, particularly those regarding possible or assumed future performance, estimated company earnings, potential growth of the company, industry growth or other trend projections are or may be forward looking statements. Such stat