19 slides from Southern Cross Electrical Engineering's earnings presentation, Sep 28, 2016
Slide 1: Full Year Results Roadshow
For personal use only Full Year Results Roadshow 28 September 2016
Slide 2: About SCEE
About SCEE For personal use only Leading provider of specialised electrical, instrumentation and communications services Delivery across Australia and overseas Strong reputation for safety and excellence Established in 1978 and listed on the Australian Securities Exchange in 2007 under the code SXE
Slide 3: Highlights
Highlights For personal use only * ‐ results presented on an underlying trading basis. A reconciliation to statutory results can be found on slide 17 2
Slide 4: Full year financial performance
Full year financial performance For personal use only Activity in H1 high from construction projects at CITIC Pacific Sino Iron, Samsung Roy Hill and Tecnicas Reunidas TAN Burrup These projects successfully completed and closed out in H2 Gross margins for the year were 16.1% compared to underlying t
Slide 5: Balance sheet
Balance sheet For personal use only Strong balance sheet throughout the year Cash of $41.8m and debt free at 30 June Acquisition resulted in recognition of additional goodwill of $12.3m and $8.7m non‐ current liability as assessment for payment of deferred consideration $2.5m of net tangible assets
Slide 6: Cashflow
Cashflow For personal use only Capex low and expected to remain so for foreseeable future Absorbed cash outflows of $6.6m to complete the Datatel acquisition Declared fully franked final dividend of 1.35cps to be paid 13 October and interim dividend of 1.35cps paid 14 April Maintaining balance betwe
Slide 7: Health, safety and people
Health, safety and people For personal use only Performed our operations in the period without a lost time injury Twelve years LTI free in Australia Group employee numbers over 600 at year end Strong commitment to apprenticeship program and indigenous participation Employees 6
Slide 8: Order book
Order book For personal use only Order book at 30 June of $24m with a further $27m won in July and August Over last three years our revenue mix has switched from overwhelmingly coming from lump sum greenfield construction contracts to increasingly we work under reimbursable or panel or framework sty
Slide 9: Diversified framework agreements
Diversified framework agreements For personal use only SCEE has a breadth and depth of such reimbursable, panel and framework style agreements Diversified across significant sectors of the economy including mining, oil & gas, industrial, utilities, social infrastructure and telecommunications Many o
Slide 10: Locations
Locations For personal use only Tecnicas Reunidas TAN Burrup Rio Tinto Electrical Infrastructure Replacement Whittens Dugald River Bechtel Australia CITIC Pacific Sino Iron Pacific LNG Rio Tinto Services Curragh ROM Upgrade Bechtel GLNG Samsung Roy Hill Bechtel Wheatstone LNG NBN Queensland Coal Sea
Slide 11: Strategy
For personal use only Strategy 10
Slide 12: Resources
Resources For personal use only We will leverage our client relationships to transition to a sustainable resources business via exposure to sustaining capital and maintenance markets: • Regional facilities opened to more closely service clients • Widening our services offerings – to include small‐sc
Slide 13: Utilities, industrial and infrastructure
Utilities, industrial and infrastructure For personal use only Completed projects for industrial clients including SIMS Metal and at TAN Burrup SCEE Infrastructure’s overhead powerline business continuing to work for mining clients in the Pilbara Now also executing transmission overhead line works u
Slide 14: Telecommunications
Telecommunications For personal use only Telecommunications identified as an expansion sector with growth driven by consumer demand and technological innovation Combining Datatel’s relationships, systems and experience with SCEE’s skills in project management, mobilisation, remote working and balanc
Slide 15: Commercial, education and health
Commercial, education and health For personal use only Datatel’s commercial team of more than 40 electricians, technicians and apprentices provides SCEE a presence in sectors where it has not historically operated Datatel has a significant client base in the education and health sectors in both metr
Slide 16: Cost control and efficiency
Cost control and efficiency For personal use only In a cost focussed market a strong emphasis on ensuring an efficient operating structure Significant restructuring exercise performed in late FY15 Further cost saving initiatives executed in FY16 and to be implemented in FY17 Service Centre opened of
Slide 17: Conclusion
For personal use only Conclusion 16
Slide 18: Non-IFRS financial information
Non‐IFRS financial information For personal use only SCEE’s results are reported under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The Company discloses certain non‐IFRS measures that are not prepared in accordance with IFRS and there
Slide 19: Disclaimer
For personal use only Disclaimer 18