Slide 1: SeaLink Travel Group Investor Presentation – Year Ended 30 June 2018
SeaLink Travel Group Limited Investor Presentation – Year Ended 30 June 2018 22 August 2018 CRUISES | TOURS | TRANSPORT | ACCOMMODATION | PACKAGES
Slide 2: Presenting today
Presenting today Jeff Ellison Chief Executive Officer and Managing Director Andrew Muir Chief Financial Officer CRUISES | TOURS | TRANSPORT | ACCOMMODATION | PACKAGES
Slide 3: Highlights
01 Highlights
Slide 4: Business highlights
Business highlights ‘A year of investment for future growth’ Sales of $209.4m up 4% on FY17 Underlying Net Profit After Tax of $22.1m, down $1.7m or 7.0% before one-off transaction costs and new ferry route start up costs (refer next slide) Successful acquisition of Kingfisher Bay Resort Group
Slide 5: One-off costs from growth initiatives impacting FY18 result
One-off costs from growth initiatives impacting FY18 result Normalised adjustments / abnormal costs – excluded from underlying profit Transaction costs – ($2.6m) Year ending 30 June 2018 $m (EBIT) Relating to the acquisition of Kingfisher Bay Resort Transaction costs 2.6 Group which completed 26 M
Slide 6: One-off costs from growth initiatives impacting FY18 result (cont)
One-off costs from growth initiatives impacting FY18 result (cont) Trading losses absorbed in underlying profit Trading losses on new ferry routes ($1.8m) Year ending 30 June 2018 $m (EBIT) Slower ramp up to profitability than expected on Trading loss – new routes 1.8 Manly / Barangaroo service st
Slide 7: 2019 outlook
2019 outlook SeaLink positioned for strong profit growth Capitalise on our year of investment with anticipated strong profit growth Key drivers of profit improvement are: — anticipated reversal of trading losses from new ferry routes - $1.8m [organic] — anticipated reversal of trading losses in
Slide 8: Summary profit statement
Summary profit statement Year ending 30 June 2018 $m 2017 $m Growth $m Growth % Operating revenue rising to $209.4m, up Revenue 209.4 201.4 8.0 4.0 4%, driven by new ferry services and impact of Fraser Island acquisition offset Operating expenses (before 163.0 152.0 11.0 7.2 by retail travel centr
Slide 9: Statement of financial position
Statement of financial position Total assets and net assets – $m June June Change 320 160 2018 $m 2017 $m $m 300 280 140 Total assets 300.7 239.5 61.2 260 240 120 220 Total liabilities 148.4 91.8 56.6 200 100 180 Net assets 152.3 147.7 4.6 80 160 140 60 Net Interest Bearing Debt (IBD) 105.3 61.1 44.
Slide 10: Cash flow
Cash flow Year ending 30 June 2018 $m 2017 $m Change $m Good earnings quality with continuing strong Receipts from customers 208.3 206.3 2.0 correlation between EBITDA of $46.5m and gross operating cash flow of $46.7m Payments to suppliers (161.6) (154.0) (7.5) Net operating cash flow up 10.9% G
Slide 11: Segment performance
02 Segment performance
Slide 12: Business unit results – SeaLink South Australia
Business unit results SeaLink South Australia 2018 2017 Variance News Retail travel centre closed July 2017 Year ending 30 June $m $m $m Record passenger & vehicle numbers on KI ferries Revenue (external) (Ferry, PS 64.2 67.5 (3.3) Strong demand for PS Murray Princess, with occupancy Murray Pr
Slide 13: Business unit results – Captain Cook Cruises, NSW & WA
Business unit results Captain Cook Cruises, NSW & WA 2018 2017 Variance News Negotiation of preferred arrangements with national retail Year ending 30 June $m $m $m travel agencies Investment in UWAI to build our direct to market Revenue (external) 55.2 51.0 4.2 channels in China and Asia Direct
Slide 14: Business unit results – SeaLink Queensland & NT
Business unit results SeaLink Queensland & NT 2018 2017 Variance News Sales reduction reflects prior year construction phase Year ending 30 June $m $m $m revenue in Gladstone North Stradbroke Island continues to grow both Revenue (external) 78.4 82.9 (4.5) passenger and vehicle numbers Success
Slide 15: Business unit results – Fraser Island
Business unit results Fraser Island 2018 2017 Variance News The business and assets of Kingfisher Bay Resort Group Year ending 30 June $m $m $m acquired on 26 March, 2018 Revenue (external) 11.5 – 11.5 Acquisition includes Kingfisher Bay Resort, Eurong Beach Resort, Fraser Explorer Tours and Fra
Slide 16: Marine fleet and capital investment
Marine fleet and capital investment 77 vessels in the fleet Fleet size and mix provides flexibility and opportunities Delivery of MV Nancy Wake into NSW operating Manly to Barangaroo route Two new Tubby Class ferries for inner harbour opportunities (ie Sydney Fish Markets) – delivery in Sept
Slide 17: Performance outlook and focus
03 Performance outlook and focus
Slide 18: 2019 Outlook and focus
2019 Outlook and focus SeaLink positioned for profit growth Capitalise on our year of investment with strong profit growth Maintain our Tourism/Transport focus Seek acquisitions that enhance, leverage and complement our current capabilities and growth strategies Key drivers of profit improve
Slide 19: Other matters – Retirement of Chief Executive Officer
Other matters Retirement of Chief Executive Officer 27 years with SeaLink 21 years as CEO 5 years as CEO of ASX listed company Jeff Ellison has indicated his intention to retire from SeaLink on or before the AGM in October 2019 PAGE 19
Slide 20: Appendices
Appendices
Slide 21: Appendix 1 SeaLink Operational Snapshot
Appendix 1 SeaLink Operational Snapshot Location Services Fleet South Passenger and freight ferry services between Cape Jervis and Kangaroo Island in South Australia 5 vessels Australia Accommodation and restaurant facilities at Vivonne Bay Lodge on Kangaroo Island Murray River cruising aboard
Slide 22: Appendix 2 Five Year Ratios and Statistics
Appendix 2 Five Year Ratios and Statistics Year ending 30 June 2014 2015 2016 2017 2018 Performance Operating revenue $m 103.8 111.7 177.3 201.4 209.4 Underlying EBIT* $m 12.4 14.8 35.3 37.5 33.6 Underlying NPAT* $m 7.9 9.6 23.1 23.8 22.1 Underlying EPS* (basic) cents 11.8 12.6 23.6 23.6 21.8 Divide
Slide 23: Important notice – disclaimer
Important notice – disclaimer This document has been prepared by SeaLink Travel Group Limited (ACN 127 894 893) (SeaLink or the Company). No party other than SeaLink has authorised or caused the issue of this document, or takes responsibility for, or makes any statements, representations or undertak