Slide 1: Presentation to Institutional Investors
For personal use only Veris Limited (ASX : VRS) Presentation to Institutional Investors Hosted by Baillieu Holst 20 June 2018 Page | 1
Slide 2: Agenda
Agenda For personal use only Description 1 Veris Strategy 2 Integration 3 Professional and Advisory 4 Surveying 5 Geospatial 6 Case studies 7 Investment Highlights Page | 2
Slide 3: Executive Team
Executive Team For personal use only – Founder and Managing Director of OTOC when it listed on the ASX in Adam MANAGING DIRECTOR 2011 and Managing Director of Veris since March 2017 Lamond – Strategic development of Veris as a national professional services firm – Experience in publicly listed compa
Slide 4: Veris Strategy
For personal use only Veris Strategy Adam Lamond Managing Director Page | 4
Slide 5: Introduction
Introduction For personal use only To watch the introductory video to Veris follow these two steps: – visit veris.com.au – Click on the image shown here to the right Page | 5
Slide 6: Growth through acquisition
Growth through acquisition For personal use only Veris is an ASX-listed professional services company with a market capitalisation of $73m and annualised professional services revenue approaching $125m Veris offers surveying, professional and advisory, and geospatial services National client base, a
Slide 7: Acquisition Metrics
Acquisition Metrics For personal use only Veris has raised equity capital of $22m to fund acquisitions, with the balance being funded from operating cash flow Veris has a $25m acquisition facility with CBA; undrawn balance of $11m to fund future acquisitions Other Total Purchase $17.0m $9.5m $4.4m $
Slide 8: Markets
Markets For personal use only Commercial / Retail Residential / Communities Defence Industrial Agribusiness Infrastructure Tourism & Leisure Energy Mining & Resources Page | 8
Slide 9: Addressing the project cycle
Addressing the project cycle For personal use only Maximising exposure to the project development lifecycle Realising value from initial concept, through construction and during ongoing maintenance Page | 9
Slide 10: Veris Strategy
Veris Strategy For personal use only Professional and Advisory Surveying Geospatial Professional and Advisory Services are Surveying is a profession that involves examining and Geospatial Services relate to products, services and tools engaged to provide expert advice to businesses, recording the fe
Slide 11: Strategy – National Professional Services Business
Strategy – National Professional Services Business For personal use only Creating a national professional services business, with three pillars of growth Professional and Advisory Surveying Geospatial Market Size $2.0bn $3.0bn $2.0bn Veris annualised $25m 1.25% $95m 3.2% $5m 0.3% Revenue Veris Targe
Slide 12: National Operations
National Operations For personal use only Survey & Geospatial $100m Professional and Advisory $25m Total $125m $20m1 $4m1 $18m1 $14m1 $1m1 $39m1 $27m1 Page | 12 1 Estimated annualised figures for FY18, pro-forma for acquisition of Elton $2m1
Slide 13: Integration
For personal use only Integration Brian Mangano Chief Financial Officer Page | 13
Slide 14: By June we will have achieved our Integration Objectives
By 30 June 18 we will have achieved our 9 Integration Objectives For personal use only Page | 14
Slide 15: By June we will have achieved our Integration Objectives
By 30 June 18 we will have achieved our 9 Integration Objectives For personal use only Page | 15
Slide 16: Importance of Integration
Importance of Integration For personal use only Integration is pivotal in achieving our Vision to be an efficient national Professional Services Group. – Ability to provide end-to-end solutions across a project lifecycle – Integrate and enhance service capabilities – Develop new clients regionally a
Slide 17: Depth of Operational Management
Depth of Operational Management For personal use only Managing Director Executive General Executive Director Chief Executive Manager Directors x 4 Directors x 2 Regional Regional Regional Regional Communications and Directors x 2 Social Director Manager Manager Manager Manager Engagement Urban and S
Slide 18: Professional and Advisory
For personal use only Professional and Advisory Kim Anson Chief Executive – Elton Consulting Page | 18
Slide 19: Professional and Advisory
Professional and Advisory For personal use only Our service areas include: Elton Consulting’s Professional and Advisory Services are Communications and engagement – engaged to provide expert advice to businesses, governments and not-for-profit organisations – support them to make considered and info
Slide 20: Our Leadership Team
Our Leadership Team For personal use only Deborah Palmer Brendan Blakeley Brett Cox Peter Whelan Jenny Rob Bennett Steve Rossiter Rachel Trigg Lee Geary Director Director Director Director Rudolph Director Director Director Director Communications Communications Communications Community Director Urb
Slide 21: Recent Projects
Recent Projects For personal use only – Sydney Modern – NSW Art – NSW ferry wharf upgrade – Wilton Junction rezoning – Parramatta Community Gallery program and infrastructure plan Facilities – audit and needs – Restart NSW – Inland Rail – Melbourne to – Googong rezoning and study – NSW Social Housin
Slide 22: Recent Projects
Recent Projects For personal use only – NSW Joint Organisations pilot – Ivanhoe Estate Urban Renewal – FASS Website program – Social housing management – Inland Rail – West Belconnen cross border transfers – Wilton Junction rezoning development – service planning – Edmondson Park Town Centre – Joint
Slide 23: Realising value
Realising value For personal use only Projects time billed at standard charge out rates per hour, Fixed price projects generally with upper limiting fee Staff embedded with clients on contract basis, discounted recharge rates Page | 23
Slide 24: Surveying
For personal use only Surveying Simon Clode Executive General Manager - Surveying Page | 24
Slide 25: Surveying
Surveying For personal use only Surveying is a profession that involves examining and recording the features of a piece of land or infrastructure in order to create maps, plans, detailed descriptions and to facilitate construction. Surveying is prominent in many markets including – Land and Property
Slide 26: Dimensions of Surveying
Dimensions of Surveying For personal use only Applications of surveying Examples of the diversity of the profession Page | 26
Slide 27: Realising value
Realising value For personal use only Time billed at rates Fixed price projects Work billed on a piece rate Sale of scanning and mapping data Page | 27
Slide 28: Depth of Experience
Depth of Experience For personal use only – 30 years experience in the survey and property development industry with considerable knowledge of both private and Government sectors Alan REGIONAL MANAGER – Lead projects that have won ‘Awards for Excellence’ within the survey and Prudames NSW/ACT spatia
Slide 29: Geospatial
For personal use only Geospatial Simon Clode Executive General Manager - Surveying Page | 29
Slide 30: Geospatial Services
Geospatial Services For personal use only Geospatial Services related to products, services and tools involved in the collection, Land Cover integration and management of geospatial data Structures Geospatial Services are prominent in many areas including: Boundaries – Asset Management Hydrography –
Slide 31: Realising value
Realising value For personal use only Time billed for consulting, analysis and development Fixed price for projects Monthly data hosting fees Data delivery fee Page | 31
Slide 32: Case studies
For personal use only Case studies Brian Elton Executive Director and Founder of Elton Consulting Simon Clode Kim Anson Executive General Manager - Surveying Chief Executive – Elton Consulting Page | 32
Slide 33: For personal use only
For personal use only Page | 33
Slide 34: For personal use only
For personal use only Page | 34
Slide 35: For personal use only
For personal use only Page | 35
Slide 36: For personal use only
For personal use only Page | 36
Slide 37: For personal use only
For personal use only Page | 37
Slide 38: For personal use only
For personal use only Page | 38
Slide 39: For personal use only
For personal use only Page | 39
Slide 40: For personal use only
For personal use only Page | 40
Slide 41: For personal use only
For personal use only Page | 41
Slide 42: For personal use only
For personal use only Page | 42
Slide 43: For personal use only
For personal use only Page | 43
Slide 44: Investment Highlights
For personal use only Investment Highlights Adam Lamond Managing Director Page | 44
Slide 45: Market Outlook
Market Outlook For personal use only Strong forecast activity and development expenditure on infrastructure projects on the eastern seaboard, with a range of transport, healthcare, education and social housing opportunities Page | 45 Source: Macromonitor, Australian Construction Outlook Overview, No
Slide 46: Market Outlook
Market Outlook For personal use only Given its leading position in NSW, Elton provides desirable exposure to the strong forecast activity in infrastructure spending across transport, health, education and urban renewal. Potential to grow the Melbourne business given robust levels of infrastructure a
Slide 47: Revenue
Revenue For personal use only Consistent increase in revenue achieved through acquisition, organic growth and integration efficiencies $120.0 Professional & Advisory Surveying & Geospatial $100.0 $80.0 $60.0 $40.0 $20.0 $- $m $m $m $m $m $m $m $m 1 2012 2013 2014 2015 2016 2017 2018 2019 1 Increase
Slide 48: Top Tier Clients serviced across Australia
Top Tier Clients serviced across Australia For personal use only Diversified, national client base; adding value for our clients through seamless national service offerings Page | 48
Slide 49: Priorities for FY19
Priorities for FY19 For personal use only A year of bedding down process, systems and people A Systems and Process B Governance C Cash Management D Culture and people – System enhancement – Risk and controls – Focus on debtors and WIP – Communication forums and projects leadership messaging – Establ
Slide 50: Investment Highlights
Investment Highlights For personal use only – Core infrastructure markets in New South Wales and Victoria remain strong and indications of improving markets in Western Australia and Queensland Robust market outlook – Acquisition of Elton Consulting has positioned Veris at the front-end of the projec
Slide 51: Investment Highlights
Investment Highlights For personal use only Free cash flow to build into – Capital intensive phase of the national acquisition strategy completed FY19 – Processes established to improve working capital and conversion to cash – Current market capitalisation is approximate to the cost of the surveying
Slide 52: Corporate Directory
Corporate Directory For personal use only Capital Structure Share Price Share price (ASX: VRS) $0.21 $0.40 Ordinary shares 345.4m $0.35 Market capitalisation $73m $0.30 Cash (Pro-forma for Elton) $8m $0.25 Debt (Pro-forma for Elton) $23m $0.20 Enterprise value $87m $0.15 $0.10 Board and Management $
Slide 53: Disclaimer
Disclaimer For personal use only This Document should not be considered as an offer or invitation to subscribe for or purchase any securities in Veris Limited (“Veris” or the “Company”) or as an inducement to make an offer or invitation with respect to those securities. No agreement to subscribe for
Slide 54: Thank you
For personal use only Thank you – Perth Level 12, 3 Hasler Road T 08 9317 0600 Locked Bag 9 F 08 9317 0611 Osborne Park WA 6017 mail@veris.com.au Australia veris.com.au Page | 54