Babylon Pump & Power Ltd · ASX:BPP
Babylon Pump & Power — FY2022 Earnings Presentation
15 slides from Babylon Pump & Power's earnings presentation, Sep 1, 2022
Slide 1: Investor Presentation: FY22 Year End Results and Growth Outlook
INVESTOR PRESENTATION FY22 YEAR END RESULTS AND GROWTH OUTLOOK 1 September 2022 (ASX:BPP)
Slide 2: Important Notice and Disclaimer
IMPORTANT NOTICE AND DISCLAIMER This presentation has been prepared by Babylon Pump & Power Limited (“Babylon”) (ASX: BPP) for information purposes only. This presentation is not a product disclosure statement or prospectus for the purposes of the Australian Corporations Act 2001 (Cth), nor does it
Slide 3: Highlights
HIGHLIGHTS ► Continuing improvement in revenue, earnings, cashflow, and balance sheet as the business moves towards scale ► Strategic expansion in higher margin equipment rental segment with rationalisation of lower margin maintenance activities ► Recent acquisition of Resource Water Group expands w
Slide 4: Improving Core Business While Refocusing on Rental
IMPROVING CORE BUSINESS WHILE REFOCUSING ON RENTAL Group consolidated EBITDA improved 60% Earnings improvement Prime Power Queensland EBITDA improved 80% across the Group Ausblast returned to positive EBITDA Administration and corporate costs reduced by 29% Continued strong 95% revenue gro
Slide 5: Financial Results – Key Takeaways
FINANCIAL RESULTS – KEY TAKEAWAYS EBITDA REVENUE TOTAL REVENUE -$1.1M $27.5M $30,000,000 +29% (FY21: -$2.8M) (FY21: $21.3M) $24,000,000 +60% +29% $18,000,000 CASH & $12,000,000 OP. CASH FLOW EQUIVALENTS $6,000,000 $0.3M $2.2M $0 FY18 FY19 FY20 FY21 FY22 (FY21: $-5.8M) (FY21: $1.0M) +105% +120% 1st H
Slide 6: Corporate Snapshot
CORPORATE SNAPSHOT ASX Code: BPP Substantial & Major Shareholders Ordinary Shares 2,458m G & N Lord Superannuation Pty Ltd & other entities controlled by Geoff 25.1% Lord *Performance Rights 130m Market cap (@ 0.6 cents) $14.7m 12-month Share Price & Volume 90 Day Average Volume (shares) 2.7m 0.016
Slide 7: Financial Results – BPP Group P&L
FINANCIAL RESULTS – BPP GROUP P&L Statement of Profit and Loss 30 June 2022 30 June 2021 $ $ Revenue from contracts with customers 27,517,238 21,331,973 • Revenue $27.5M (29% improvement) Other income 170,437 330,976 • Admin and corporate expense down 29% Raw materials, consumables and changes in in
Slide 8: Repositioning & Refocusing
REPOSITIONING & REFOCUSING Strengthened balance sheet enabling BPP to execute strategic initiatives Post year-end repayment of c$4.5M of convertible loan current liability Debt reduction Post year-end improved balance sheet to allow for rental asset purchases Enhance governance and Executive C
Slide 9: Acquisition of Resource Water Group
ACQUISITION OF RESOURCE WATER GROUP • Significant increase in Babylon’s water • Sales funnel delivering immediate management rental asset pool utilization and results Advancing growth strategy with shift to higher margin • Experienced team adds to the Group • Broadens existing relationships with cap
Slide 10: Current Works and Contracts
SIGNIFICANT BASE OF RENTAL AND INDUSTRIAL SERVICES CURRENT WORKS AND CONTRACTS • Ongoing power generation with BHP • One Year Trial Contract for Services Iron Ore with Alcoa • 12-month highwall pump rental for • Recurring equipment rental and internationally listed miner services to major industrial
Slide 11: Our Board
OUR BOARD • CEO of Pacific Energy since 2015 – One of Australia’s largest providers of sustainable distributed energy to remote mines and townships • Previously CEO of Resource Equipment Ltd (2008-2014) and PCH Group Ltd (1995-2007) Jamie Cullen • All three were ASX listed resource sector service co
Slide 12: A Core Partner to Resource Sector Leaders
A CORE PARTNER TO RESOURCE SECTOR LEADERS Babylon services the iron ore, gold, nickel, and oil & gas sectors with significant opportunities in infrastructure, alternative energy and other commodities in Western Australia and in Queensland through its subsidiary Primepower QLD. 12
Slide 13: Babylon Pump & Power Limited
Babylon Pump & Power Limited 74 Harrison Road Forrestfield WA 6058 Michael Shelby | Managing Director mshelby@babylonpumpandpower.com 13
Slide 14: Appendix: Growth Drivers of Water Management Services
APPENDIX: GROWTH DRIVERS OF WATER MANAGEMENT SERVICES ► Virtually all mines experience water issues – too little or too ► Other key factors: much • Australia hosts some of the world’s oldest and ► Estimated that > 70% of mines in Australia have water ingress deepest mines. As mines deepen, issues ty
Slide 15: Appendix: Focus on Water Management Solutions
APPENDIX: FOCUS ON WATER MANAGEMENT SOLUTIONS Rental assets continue to deliver higher margins for BPP with consistent high levels of rental asset utilisation by major resource sector clients – strategic equipment purchases will expand specialist fleet ► Specialist nature of rental assets presents o