Centrepoint Alliance Limited · ASX:CAF
Centrepoint Alliance — H1 FY2012 Earnings Presentation
15 slides from Centrepoint Alliance's earnings presentation, Mar 7, 2012
Slide 1: Substantial Turnaround: 6 Months to December 31 2011
For personal use only Substantial Turnaround 6 Months to December 31 2011 Tony Robinson 1
Slide 2: Overview
31 December 2011 For personal use only Overview • Continuing to make significant changes to Professional Investment Services (PIS) particularly related to claims and areas under scrutiny via EU • Other Australian Wealth activities trading profitably • Australian Wealth business units affected by low
Slide 3: Half-year results by segment
31 December 2011 For personal use only 31 December 2011 (($m)) PCP Advice Invest CPF Other Group Group (Int. and Corp.) Revenue 18.2 3.7 7.0 4.4 33.3 27.8 Pre-tax 0.4 1.6 1.3 (2.4) 0.9 (6.1) Tax 0.1 0.5 0.4 0.7 1.7 1.6 NPAT 0.3 1.1 0.9 (3.1) (0.8) (7.7) 31 December 2011 ($m) PCP Advice Invest CPF Ot
Slide 4: Balance Sheet Overview
31 December 2011 For personal use only Balance Sheet Overview $m $ $m $ 31 Dec 2011 30 Jun 2011 Cash 18.0 20.4 Accessible $12.0 (balance with o/s, AAP, AFSL req. etc.) Trade and Other receivables 22.0 26.2 CPW Interest bearing receivables 110.8 96.7 Premium Funding Intangibles 8.4 6.3 ALCo and Mento
Slide 5: Cash Flow Overview (6 months)
31 December 2011 For personal use only Cash Flow Overview (6 months) $m $ $m $ 31 Dec 2011 31 Dec 2010 Cash from operations 4.8 0.3 Claims (6 7) (6.7) (8 5) (8.5) Other - 36.1 Sale of Parramatta Property Net cash from operations (1.9) 27.9 Purchase off businesses (1 6) (1.6) - M t and Mentor d GPS S
Slide 6: Group Activities
31 December 2011 For personal use only Group Activities CAF CPW CAPF Australian A t li Australian A li Overseas Distribution Product PIS AAP ALCo Malaysia Singapore Boutique Product Platform AR Advice AFSL Mortgages Business Services Allstar / IDL Ventura 6
Slide 7: Wealth Australia
31 December 2011 For personal use only Centrepoint Wealth Australia • Professional Investment Services (PIS) • Significant change with timing set by EU • Claims provisions declining • Less new claims and improved claims handling • Impact p of market on both activity y and volumes • A regrettable los
Slide 8: Wealth Australia (cont.) - AAP
31 December 2011 For personal use only Centrepoint Wealth Australia (cont.) • Associated A i d Advisory Ad i Practices P i Ltd L d (AAP) • Sound business with manageable risks (e.g. no claims exposure) • Lower Lo er margin reflecting lower lo er risks • Significant scale • Solid profit performance K
Slide 9: Wealth Australia (cont.) - ALCo, Funds, Platforms
31 December 2011 For personal use only Centrepoint Wealth Australia (cont.) • Australian Loan Company (ALCo) • Small Mortgage Broker • Funds Management • Merged AllStar and Ventura post acquisition of Ventura • Adversely affected by decline in asset volumes • Restructured key funds management arrang
Slide 10: Wealth - Overseas
31 December 2011 For personal use only Centrepoint Wealth - Overseas • Singapore and Malaysia • Still looking for partners • New Zealand • Written off investment so no further P & L impact 10
Slide 11: Wealth – Expense opportunities
31 December 2011 For personal use only Centrepoint Wealth – Expense opportunities • Claims Cl i • Direct (payment) – new provisions declining • Indirect (legal) – declines as number of open files falls (down 1/3 in 12 months) • Professional Indemnity • EU related costs • Property • Overheads 11
Slide 12: Wealth – Key non trading issue
31 December 2011 For personal use only Centrepoint Wealth – Key non trading issue • EU • Set timing not direction of change • Significant impact on business • Need to demonstrate to IER all progress p g • Expense of IER and other consultants (estimated $1.9 million for 6 months) • FoFA • Reforms sti
Slide 13: Premium Funding
31 December 2011 For personal use only Premium Funding • Rebuilding R b ildi trusted d relationship l i hi with i h NAB as kkey strategic i partner • Reshaped core NAB facility • Re-growing market share • Strong g focus on improving p g NI margins g • Key is controlling credit quality (credit assess
Slide 14: Summary
31 December 2011 For personal use only Summary • In I rebuilding b ildi phase h with i h PIS which hi h will ill llead d to regrowth h phase h • Most other CPW business units in reasonable position • Achieving initial expectations dependent on asset prices • 5% movement in All Ordinaries increase Pr
Slide 15: Thank You
For personal use only O THANK YOU 15
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