Sgh Limited · ASX:SGH

Sgh — Seven Group Holdings — 14th Annual Macquarie Australia Conference (May 2012)

29 slides from Sgh's conference presentation, May 3, 2012

  1. Slide 1: Investor Presentation cover letter to ASX

    For personal use only 3 May 2012 Company Announcements Office ASX Limited Level 6, 20 Bridge Street SYDNEY NSW 2000 By Electronic Lodgement Total Pages: 29 Dear Sir/Madam INVESTOR PRESENTATION Please find attached an Investor Presentation given by Mr Peter Gammell, CEO Seven Group Holdings Limited,

  2. Slide 2: Group Overview May 2012

    For personal use only Group Overview May 2012

  3. Slide 3: Disclaimer

    Disclaimer Basis of preparation of slides For personal use only  Additional information including Pro-Forma 6 or 12 month accounts are included in this presentation for the management of Seven Group Holdings Limited (SGH) and other associated entities and investments. This data is included for inf

  4. Slide 4: Contents

    Contents For personal use only  Overview 4  Industrial Services 6  Media 15  Investments 19  Financials 23  Outlook and Subsequent Events 27 SGH Presentation – May 2012 Slide 3

  5. Slide 5: Overview

    Overview For personal use only Industrial Services Media Investments 100% 33% + $250m RCPS 25% 11% ~$258m Australia Seven West Media 25% ~$394m 100% 100% Listed Portfolio 100% 50% China 100% 100% 46% 100% 100% Notes: 1. Group structure as at 29 February 2012 2. Investment values as at 31 December 20

  6. Slide 6: P&L Breakdown – H1 FY 2012

    P&L Breakdown – H1 FY 2012 Trading and other revenue (AUD m) Trading and other revenue EBITDA margin H1 FY11 H1 FY12 Excluding share of associate profits 103 46 For personal use only H1 FY11 H1 FY12 14% 12.3% 5% 3% 1,600 1,514 12% 10.9% 1,400 9.9% 1,171 10% 9.0% 322 WesTrac Australia 1,200 16% 1,000

  7. Slide 7: Industrial Services

    For personal use only Industrial Services SGH Presentation – May 2012 Slide 6

  8. Slide 8: Overview of WesTrac Group

    Overview of WesTrac Group For personal use only WesTrac Group Key Highlights WesTrac Australia (100%) WesTrac China (100%) National Hire (100%)  WesTrac is an equipment management company aiming to provide customer value through cost WesTrac Australia WesTrac China is wholly- National Hire comp

  9. Slide 9: Attractive Business Model with Recurring Earnings Stream

    Attractive Business Model with Recurring Earnings Stream From Product Support Capital Sales1 For personal use only Product Support  Large installed base of machines and engines WesTrac Group is an equipment management company providing end-to-end products and services  38 service locations in Aust

  10. Slide 10: WesTrac Australia Summary Financials

    WesTrac Australia Summary Financials For personal use only Revenue (A$m) EBITDA (A$m) and EBITDA Margin (%) EBIT (A$m) and EBIT Margin (%) 14% 14% $2,500 Global financial crisis Global financial crisis Global financial crisis 2256 244 12% 12% $250 $250 $2,000 1859 1876 10% 195 10% $200 192 $200 1636

  11. Slide 11: WesTrac China Summary Financials

    WesTrac China Summary Financials Revenue (A$m) EBITDA (A$m) and EBITDA Margin (%) EBIT (A$m) and EBIT Margin (%) For personal use only $1,000 $60 7% $60 7% Global financial crisis $900 6% 6% $50 $50 $800 734 FX Impact 5% 5% $700 651 USD 742 $40 $40 $600 35 555 32 4% 4% USD 30 $500 445 586 $30 $30 28

  12. Slide 12: Bucyrus acquisition

    Bucyrus acquisition  WesTrac to acquire from Cat the former Bucyrus distribution business which sells and supports products to the Western Australia, New South Wales and For personal use only ACT territories  Asset based transaction valued at US$400m  Purchase price to be funded by a new five yea

  13. Slide 13: Strategic benefits of the Bucyrus acquisition for WesTrac

    The acquisition of Bucyrus will deliver several strategic benefits for WesTrac For personal use only  Complementary  Expanded product range – 148 unique model configurations product extension to be added to existing offerings Increased Increased mining exposure to exposure sectorsector to mining

  14. Slide 14: WesTrac's Interest in National Hire

    WesTrac’s Interest in National Hire  WesTrac owns 100% of National Hire. For personal use only  National Hire consists of:  Wholly owned equipment sales and support business operating under the AllightSykes brand  46% investment in Coates Hire.  National Hire was formed in 2008 with the merger

  15. Slide 15: National Hire Summary Financials

    National Hire Summary Financials Allight / Sykes Revenue (A$m) Allight / Sykes EBIT (A$m) For personal use only $160 $12 Margin 10.0% 136 $140 $10 8.0% $120 106 103 $100 $8 83 87 6.0% $80 69 $6 $60 H1 4.0% $4 103 $40 H1 H1 H1 H1 H1 59 H1 $2 5 5 2.0% $20 H1 56 36 34 42 H1 H1 2 H1 1 $0 $0 2 0.0% FY 07

  16. Slide 16: Media

    For personal use only Media SGH Presentation – May 2012 Slide 15

  17. Slide 17: Overview of Seven West Media

    Overview of Seven West Media Other Investors For personal use only (Free Float) ~33% ~56% ~11% 100% 100% 100% FTA Television Newspapers Magazines Online 50%Other Other Media Assets  Australia’s leading FTA television  #1 WA metro newspaper (The  Australia’s second largest  JV and online partners

  18. Slide 18: Ratings Supremacy

    Ratings Supremacy  Seven delivered dominant All Commercial Share across Night 1800-2400 for For personal use only key demographics for Survey Year 2011:  Total Individuals 39.4% up 11.1% in average audience vs 2010  People 16-39 34.3% up 12.8% A Strategy that Underpins Seven’s Audience  People 1

  19. Slide 19: Seven West Media Summary Financials

    Seven West Media Summary Financials H1 FY12 highlights H1 FY12 H1 FY11 Change For personal use only Seven West Media ($m) Actual Pro-Forma %  SGH is Seven West Media’s largest shareholder with 33% of Seven Total revenue (incl. share 1,023.9 1,044.7 -2.0% West Media ordinary shares and $250m of Rede

  20. Slide 20: Investments

    For personal use only Investments SGH Presentation – May 2012 Slide 19

  21. Slide 21: Overview of SGH Investments

    Overview of SGH Investments For personal use only $394m $258m Listed equities 24% portfolio $358m 11% $27m 100% Note: market value of investments shown as at 31 December 2011 SGH Presentation – May 2012 Slide 20

  22. Slide 22: Consolidated Media Holdings Limited (CMH)

    Consolidated Media Holdings Limited (CMH)  CMH is a media investment company, investing in key new media. CMH has a 25% investment in Australia's leading subscription television business Foxtel and a 50 per cent investment in subscription television content provider Fox Sports Australia (formerly P

  23. Slide 23: Agricultural Bank of China (ABC)

    Agricultural Bank of China (ABC) Strategic Investment Rationale Key Points For personal use only As a shareholder  One of the big 4 banks in China. It’s the largest by retail reach and the third largest commercial bank in China.  Has approximately 320 million retail customers with 23,624 domestic

  24. Slide 24: Financials

    For personal use only Financials SGH Presentation – May 2012 Slide 23

  25. Slide 25: Consolidated Profit and Loss

    Consolidated Profit and Loss Total Group 6 months to 6 months to $m % Change For personal use only 31 Dec 2011 31 Dec 2010 Revenue 1,955.6 1,512.4 29% Other income 39.2 29.1 35% Share of results from equity accounted investees 88.7 103.8 -15% Total revenue and other income 2,083.5 1,645.3 27% Expens

  26. Slide 26: Summary of Significant Items

    Summary of Significant Items 6 months to 6 months to $m For personal use only 31 Dec 2011 31 Dec 2010 Impairment - SWM equity to market value (161.8) - Impairment - CMH equity to market value (3.4) - Impairment - Other (2.4) - Other - Gains / Fair value movements 5.8 - Unusual share of result from e

  27. Slide 27: Consolidated Balance Sheet

    Consolidated Balance Sheet Total Group 6 months to 6 months to $m % Change For personal use only 31 Dec 2011 31 Dec 2010 Trade and other receivables + other current assets 650.7 578.7 12% Inventories 1,376.7 989.6 39% Intangible assets 542.9 526.2 3% Investments 2,361.1 2,366.4 0% Fixed assets 297.3

  28. Slide 28: Subsequent events & outlook

    Subsequent events & outlook Subsequent events For personal use only  On 25 January 2012, SGH completed the compulsory acquisition of minority interests in National Hire, moving to 100% ownership.  On 20 February 2012, SGH announced the sale of vividwireless to Optus for a sale price of $230m. The

  29. Slide 29: For personal use only

    For personal use only SGH Presentation – May 2012 Slide 28

Seven Group Holdings — 14th Annual Macquarie Australia Conference (May 2012) on 6ix