Smart Parking Limited · ASX:SPZ
Smart Parking — Investor Presentation (February 2024)
28 slides from Smart Parking's investor presentation, Feb 19, 2024
Slide 1: H1 FY24 Results
Smart Parking Limited (ASX:SPZ) H1 FY24 Results 19 February 2024 CEO Paul Gillespie smartparking.com H1 FY24 Results Presentation | smartparking.com | PAGE 1
Slide 2: H1 FY24 Highlights
H1 FY24 Highlights Revenue of $26.6m1 up Adjusted EBITDA Adjusted EBITDA margin $7.6m up of 28.4% up 20% 44% 463bps 1 1 Excludes interest revenue 1,219 Total Cash of 1,500 9.7m sites $ up 24% 2 Global sites target by December 2024 - affirmed 2 Compared to 31 December 2022 H1 FY24 Results Presentatio
Slide 3: Record H1 FY24 results
Record H1 FY24 results Delivering Record results | CEO Observations - Disciplined execution of growth strategy Total Group ANPR sites delivers record results 1,219 - 20% revenue growth, 28.4% EBITDA margin, NPAT up 20% and $4m positive adjusted 1,112 free cash flow1 % 31 - Strong performance in exis
Slide 4: Growth strategy
Growth strategy | Leveraging core technology and capability in new territories NEW UK NZ Australia (QLD)1 Germany Denmark GROWTH IN 981 total sites 124 total sites 71 total sites 43 total sites • Established the business in ANPR SITES 14% up on PCP 202% up on PCP 3% up on PCP 330% up on PCP February
Slide 5: H1 FY24 business update
H1 FY24 business update | Record results, expanding market opportunities to accelerate growth. FINANCIAL EXPANSION OUTLOOK • Revenue (excluding interest) • 1,219 total group sites under • Positive outlook for further growth – of $26.6m and Adjusted EBITDA management as at 31 December 2023, on track
Slide 6: H1 FY24 Financial Update
H1 FY24 Financial Update H1 FY24 Results Presentation | smartparking.com | PAGE 6
Slide 7: H1 FY24 performance
H1 FY24 performance EPS growth of 20%. Group Profit & Loss ($m) H1 FY24 H1 FY23 H1 FY24 vs Revenue increased 20% due to H1 FY23 the expansion of sites under Revenue (excluding interest revenue) 26.6 22.1 20% management by 24%, demonstrating Cost of Sales (7.6) (7.3) 4% revenue growth in all territor
Slide 8: Revenue growth
Revenue growth | Revenue up 20% from increased sites under management and from the PI acquisition UK PBN revenue growth of 24% ($000s) compared to H1 HY23. 1,059 505 26,581 NZ parking management 521 3,921 (970) (517) revenue of $2.1m up 99% on PCP (32) (H1 FY23: $1.1m). 22,094 ParkInnovation revenue
Slide 9: Operating expense analysis
Operating expense analysis $0.8m of operating expenses relate | Increased costs reflect scaling territories for growth to investing in the German business and acquisition of ParkInnovation for growth and overheads related to ParkInnovation (acquired July 2023). ($000s) 465 11,463 302 278 471 $0.5m r
Slide 10: H1 FY24 margin expansion
Revenue (ex interest) ($000s) Adjusted EBITDA % Margin 26,581 28.4% H1 FY24 margin 22,094 22,957 27.3% up 463bps expansion 23.8% 7,558 H1 H2 H1 FY23 FY23 6,272 FY24 5,258 Revenue increased by 20% due to the expansion in sites under Revenue up 20% management by 24%, demonstrating 26,581 revenue growt
Slide 11: Positive free cash flow
Positive free cash flow | $9.7m cash to fund growth strategy and shareholder returns Cash on hand of $9.7m as at Cash Flow Waterfall ($m) 31 December 2023. Adjusted free cash flow1 of $4.0m Growth initiatives of $4.3m Positive adjusted free cashflow1 of $4.0m. Adjusted free cashflow1 includes UK tax
Slide 12: Strong balance sheet to fund growth strategy
Strong balance sheet to fund growth strategy $9.7m of cash – capital to fund growth strategies. Group Financial Position ($m) In July 2023 the Company acquired $m Dec-23 Jun-23 ParkInnovation, a German parking management business for $2m. Current assets 26.0 25.8 The UK Coronavirus Business Interrup
Slide 13: Parking Management
Parking Management | 25% revenue growth in H1 FY24 vs PCP Parking Management ($000s) Revenue up 25% 25,022 21,152 Includes ongoing investment in 20,018 Germany and new territories 6,651 Adjusted EBITDA up 21.6% 5,941 5,469 H1 H2 H1 H1 H2 H1 Revenue Adjusted EBITDA FY23 FY24 • Parking management repr
Slide 14: H1 FY24 Business Update
H1 FY24 Business Update H1 FY24 Results Presentation | smartparking.com | PAGE 14
Slide 15: Growth strategy – multiple drivers
Growth strategy – multiple drivers | Three key pillars for growth Organic growth New territories Acquisitions Growth in sites = growth in PBNs = Good pipeline revenue & profitability of opportunities High incremental margin leveraging existing fixed Adding scale where SPZ have cost base Investigatin
Slide 16: Site roll-out progressing, growth target accelerated to December 2024
Site roll-out progressing, growth target accelerated to December 2024 1,500 site target accelerated - will be delivered in December 2024 through | Site growth continuing in FY24, organic growth. now 1,243 global ANPR sites 1,243 1,219 under management 131 sites added in H1 FY24, 1,112 total 1,219 at
Slide 17: Growth underway
Growth underway | H1 FY24 record PBNs issued, up 22% vs PCP Parking Breach Notices Issued H1 FY24 growth delivered H1 FY23 Average Quarterly PBNs H1 FY24 Average Quarterly PBNs 172,984 (up 25% on H1 FY22) 211,015 (up 22% on H1 FY23) PBN growth up 22% on PCP. 224,923 42,627 196,806 197,107 PBN growth
Slide 18: New territory growth underway
New territory growth underway NZ: NZ continues to show strong growth with 202% | Successfully scaling new territories increase in sites under management. Attractive market with limited competition and Sites Parking Breach Notices Issued Revenue (000s) significant potential for growth. H1 FY24 new te
Slide 19: Regulatory update
Regulatory update UK regulatory update Positive and ongoing dialogue with the UK Government The UK government want to ensure the UK private parking industry drives compliance in a regulated and fair way. SPZ fully supports the raising of standards and believe we will benefit from greater regulation
Slide 20: FY24 priorities
FY24 priorities 01 02 03 04 05 SPZ are growing Expanding into large New private equity $9.7m of cash on Continued focus strongly, are addressable markets investment in the hand to fund organic on international profitable and with proprietary UK highlights expansion, growth expansion and cash flow po
Slide 21: Q&A
Smart Parking Limited (ASX:SPZ) Q&A smartparking.com H1 FY24 Results Presentation | smartparking.com | PAGE 21
Slide 22: Supplementary Information
Supplementary Information H1 FY24 Results Presentation | smartparking.com | PAGE 22
Slide 23: Smart Parking Ltd (ASX:SPZ)
Smart Parking Ltd (ASX:SPZ) A global company focused on delivering industry leading technology innovations and solutions within the parking industry Parking management services Provision of parking management solutions, predominantly servicing the retail sector, managing agents and land owners acros
Slide 24: Segment reporting
Segment reporting Adjusted Revenue Adjusted EBITDA EBITDA Margin ($000’s) H1 FY23 vs H1 FY23 vs H1 FY23 H1 FY24 H1 FY23 H1 FY24 H1 FY23 H1 FY24 H1 FY24 H1 FY24 Parking Management 20,018 25,022 25.0% 5,469 6,658 21.7% 27.3% 26.6% Technology Division 3,943 3,527 (10.6%) 811 2,068 155.0% 20.6% 58.6% Re
Slide 25: Management services – ANPR estate growth
Management services – ANPR estate growth | Over 1,200 global sites under management ANPR Site Reconciliation FY23 H1 FY24 131 1,243 1,219 APAC/Germany (56) (24) UK (75) 157 1,112 APAC/Germany (62) (29) UK (95) 173 984 APAC/Germany (71) (28) UK (102) 839 Growth target affirmed: 619 1,500 global sites
Slide 26: Management services: How it works
Management services: How it works | Parking management improving customer satisfaction and revenue generation. • ANPR | Automatic Number Plate Recognition • Pay & Display | ANPR Linked Automated Payment System • Site Surveys | Real-time information, analysis and trend data • Parking Attendants | Tra
Slide 27: ANPR: How it works
ANPR: How it works | Automatic number / license plate recognition (ANPR) is a reliable, cost effective off-street parking management solution. It is proven to serve a wide range of industries including supermarkets, retail, hotels, hospitals and leisure centres. Smart Parking’s ANPR solution ensures
Slide 28: Glossary and legal disclaimer
Glossary Adjusted EBITDA – The Board assesses the underlying performance of the Group based on a measure of Adjusted EBITDA which takes into account costs incurred in the current period but which are non-operating and/or are not expected to occur in the future. EBITDA – represents Earnings before in
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