Move Logistics Group Limited · NZX:MOV
Move Logistics — Shareholder Meeting (October 2022)
48 slides from Move Logistics's shareholder meeting presentation, Oct 20, 2022
Slide 1: MOVE Logistics Group Limited 2022 Annual Meeting
For personal use only MOVE LOGISTICS GROUP LIMITED 2022 ANNUAL MEETING 20 October 2022
Slide 2: 2022 Annual Meeting
For personal use only 2022 Annual Meeting 2
Slide 3: Chair Lorraine Witten
For personal use only CHAIR WITTEN LORRAINE 3
Slide 4: Voting & Asking Questions
Voting & Asking Questions For personal use only Voting Card Question box
Slide 5: Agenda
AGENDA For personal use only • Chair and Executive Director Presentations • Shareholder Discussion • Resolutions • Close of the Meeting 5
Slide 6: Board
BOARD For personal use only Danny Chan Lorraine Witten Chris Dunphy Independent Director Chair Executive Director Mark Newman Grant Devonport Peter Dryden Independent Director Independent Director Independent Director Retiring at ASM 2022 Annual Meeting 6
Slide 7: Management
MANAGEMENT For personal use only JAMES WATTERS CHRIS KNUTH DALE SLADE LEE BANKS ANTHONY MARIO DI LEVA SCOTT CHRIS DUNPHY COO Contract COO Freight GM Oceans Chief Financial BARRETT GM Sales & CRAMPTON Executive Director Logistics Officer CIO Marketing GM Dairy 7 2022 Annual Meeting
Slide 8: Our Vision
OUR VISION For personal use only To be the best freight and logistics company in Australasia and a leader in sustainable logistics services.
Slide 9: Laying the Foundations
LAYING THE FOUNDATIONS For the 12 months to 30 June 2022 For personal use only July 2021 September 2021 December onwards Selldown by founding Organisation restructure, shareholders Continued to strengthen Board and senior leadership team and Appointment of Chris leadership changes diversify the shar
Slide 10: Sustainability
SUSTAINABILITY People, communities, environment Key safety indicators continue to For personal use only trend downwards • New monthly and annual safety awards FY18: FY22 • Recertified as Toitu Carbon Reduce for 3 90 years 80 • Commitment through the business to decarbonisation – YOY reduction in Sco
Slide 11: Executive Director Chris Dunphy
11 For personal use only Executive Director Chris Dunphy
Slide 12: Our Business
OUR BUSINESS For personal use only We are one of New Zealand’s largest transport and logistics providers. • National network with regional strength • 41 branches, depots, crossdocks, warehouses and offices across New Zealand 2022 Annual Meeting 12
Slide 13: End to End Supply Chain Experts
END TO END SUPPLY CHAIN EXPERTS For personal use only We work in partnership with our customers, to deliver the best supply chain solution to meet their needs. CONTRACT FREIGHT INTERNATIONAL LOGISTICS FREIGHT LOGISTICS & WAREHOUSING GLOBAL LOGISTICS Any industry, any shipment size, we’ll We can hand
Slide 14: FY22 Performance Snapshot
FY22 PERFORMANCE SNAPSHOT First 9 months of 2-year programme to strengthen and grow MOVE For personal use only Earnings in line with guidance 1. Continuing operations excludes Specialist due to the planned divestment of this division 2. Underlying EBITDA, Underlying EBIT and Underlying NPAT exclude
Slide 15: FY22 Business Performance
FY22 BUSINESS PERFORMANCE For personal use only FREIGHT: Reset on track, albeit with Covid bumps Sales EBITDA CONTRACT LOGISTICS: Stable and well positioned for growth INTERNATIONAL: Strong performance with Freight Contract Logistics International Freight Contract Logistics International expansion u
Slide 16: Freight
FREIGHT Reset on track albeit with Covid bumps For personal use only The improvement programme is ongoing, with another 12 to 18 months expected to build the business to full strength. Completed Underway ✓ New leadership for the Freight business • Focus on margin improvement ✓ Identify areas of stre
Slide 17: Contract Logistics
CONTRACT LOGISTICS Stable and well positioned for growth For personal use only Warehousing and logistics solutions across New Zealand • Focus on developing tailored end to end solutions to meet customer needs • Business reset complete and capacity at high levels with increasing customer demand • Ben
Slide 18: International
INTERNATIONAL Strong performance with expansion underway For personal use only We work with a network of partners to move goods of all kinds to and from anywhere • Energy sector customers have re-established delayed programmes • Import/export activity has increased • Rates have been lifted across th
Slide 19: Strategy for Growth
STRATEGY FOR GROWTH For personal use only STRATEGIC PILLARS Better, Stronger Business Smart Growth & Expansion Taking Care Of What Matters 2022 Annual Meeting 19
Slide 20: Better Stronger Business
BETTER STRONGER BUSINESS For personal use only Work our assets smarter: Investing in what matters and driving better returns on our businesses and assets Build our multi-modal offer: Creating a multi-modal offer that utilises the best freight modes to deliver our customers’ goods where and when need
Slide 21: Our Digital Journey
OUR DIGITAL JOURNEY We are on a journey to transform our business and enhance the value we offer to our customers: For personal use only • Updating MOVE’s core IT platform • Investment in hardware • Specialised Freight Management System • New People & Culture system • Digital tools to keep our drive
Slide 22: Build Our Multi-Modal Offer
BUILD OUR MULTI-MODAL OFFER COASTAL SHIPPING Trans-Tasman and Coastal shipping opportunities For personal use only • $10m in co-funding from Waka Kotahi • New vessel to be designed, built and mobilised for coastal shipping • Coastal opportunity provides blue water alternative to trucking, and will d
Slide 23: For personal use only
For personal use only • Monthly Service • Full Rotation 25 days • Competitive Transits • Breakbulk and Containers • Comprehensive landside Capabilities • FCL Delivery Nationwide • Container Unpack and LTL delivery • Warehousing and full 3PL nationwide
Slide 24: Smart Growth & Expansion
SMART GROWTH & EXPANSION For personal use only Deliver for our customers: Putting our customers at the heart of all we do and delivering the best customer solution and service Upsize our business: Maximising organic and acquisition opportunities to expand our market presence across Australasia, exte
Slide 25: Taking Care of What Matters
TAKING CARE OF WHAT MATTERS For personal use only Having a positive impact on our people, communities and the environment • Safety first, middle and last • Retain and reward exceptional people • Positive engagement with our local communities • Committed to a low carbon future • All team members ‘MOV
Slide 26: Low Carbon Future
LOW CARBON FUTURE Range of initiatives to reduce our impact For personal use only The key reduction opportunities we have identified are: • Leverage technology to reduce ‘empty kms’ • Route optimisation to reduce kms travelled • Driver training and technology to optimise fuel use • New, more efficie
Slide 27: FY23 Strategic Focus
FY23 STRATEGIC FOCUS For personal use only • Continue to reset and strengthen the core business • Digital transformation • Freight improvement programme • Expansion into shipping • Other growth opportunities 2022 Annual Meeting 27
Slide 28: FY23 Guidance
FY23 GUIDANCE For personal use only • Robust sector with growth dynamics • Continuing to build the foundation and invest into resources, capability and technology • Freight reset remains in progress – Softer Q1 FY23 sales due in part to inflationary pressures and wet weather affecting customer proje
Slide 29: Our Strengths
OUR STRENGTHS For personal use only • Refreshed Board and experienced leadership team, many of whom are industry veterans. • Multi-modal offer across road, rail, shipping and air freight. • National network with regional strength. • Working in partnership with our customers, to deliver the best solu
Slide 30: Shareholder Discussion
SHAREHOLDER DISCUSSION For personal use only 2022 Annual Meeting 30
Slide 31: Resolutions
For personal use only RESOLUTIONS 2022 Annual Meeting 31
Slide 32: Resolutions
RESOLUTIONS For personal use only RESOLUTION 1: That the Directors be authorised to fix the fees and expenses of PwC as the Company’s auditor. RESOLUTION 2: That Lorraine Witten, who retires as a Director and, being eligible, offers herself for re- election, be re-elected as a Director of the Compan
Slide 33: Close of the Meeting
For personal use only OTHER BUSINESS CLOSE OF THE MEETING
Slide 34: Appendices
For personal use only APPENDICES 2022 Annual Meeting 34
Slide 35: Non-GAAP Reconciliation
Non-GAAP Reconciliation MOVE Logistics Group uses several non-GAAP measures when discussing financial performance and the Board and Management believes this provides a better reflection of the $Millions FY22 FY21 company’s underlying performance. Net profit/(loss) before income tax from continuing (
Slide 36: Discontinued Operations: Planned Divestment of Specialist Activities
DISCONTINUED PLANNED DIVESTMENT OF SPECIALIST OPERATIONS ACTIVITIES For personal use only change • Planned divestments align to our strategic Discontinued Operations - $000s 2022 2021 22 v 21 reset Revenue 14,339 24,301 (9,962) • Activities being divested are better aligned Net (loss)/profit before
Slide 37: Disclaimer
Disclaimer This presentation has been prepared by MOVE Logistics Group Limited (“MOV”). The information in this presentation is of a general nature only. It is not a complete For personal use only description of MOV. This presentation is not a recommendation or offer of financial products for subscr
Slide 38: Chair's Presentation: Board of Directors
MOVE 2022 ANNUAL MEETING OF SHAREHOLDERS 20 October 2022 CHAIR’S PRESENTATION: LORRAINE WITTEN For personal use only Board of Directors Our Board has a breadth of domestic and international business experience, and considerable freight and logistics industry experience. Peter Dryden has advised that
Slide 39: Our Vision
Our Vision Our vision for MOVE is to be the best freight and logistics company in Australasia and a leader in sustainable logistics services. For personal use only We are still a long way from this vision. But we have now completed the first year of the change programme, a year that we call Laying t
Slide 40: Chair's Presentation: Digital and Division Progress
We have started the implementation of the Ignite software, our Transport Management System that will be used across the main divisions of our business. This will remove paper, significantly reduce operating costs and improve efficiency across the network. Our digital transformation programme will al
Slide 41: Sustainable Logistics Services
Our goal is to be a leader in sustainable logistics services and to bring forward a future where our fleet is carbon neutral. We recognise that our goal is big and bold but equally we know that, across the sector, we have to make change. We have identified a number of opportunities to help us on our
Slide 42: End to End Supply Chain Experts
End to End supply Chain Experts Our goal is to keep our customers moving – providing reliable, innovative and efficient solutions to transport, store and deliver their goods. We make it easy for our customers, using technology, expertise and our assets to create tailored solutions which meet their n
Slide 43: Customer Portfolio and Asset Light Model
We have realigned our customer portfolio to focus on areas of strength and adjusted our rates to ensure we are receiving fair reimbursement for the scope and quality of services we offer. We have not been afraid to walk away from business that is unprofitable or outside of our strategic direction. O
Slide 44: Strategy for Growth
Our new coastal and trans-Tasman shipping services will expand our offer for customers and are an exciting part of our growth strategy for this business. Strategy for Growth For personal use only As a team, we are very focused on growing our business. We don’t just want to be a NZ business, we want
Slide 45: Multi-Modal Offer and Coastal Shipping
which monitor vehicle activity, improve fleet safety and can reduce costs associated with insurance claims. Pre-start truck checks are also being digitised to make it easier and ensure all essential checks are carried out before the truck and driver hits the road. Build our multi-modal offer For per
Slide 46: Smart Growth and Expansion
Smart growth and expansion Our second strategic pathway is smart growth and expansion. This focuses on putting our customers at the heart of all we do and delivering the best customer For personal use only solution and service. We will also upsize our business through organic and acquisition growth
Slide 47: Strategic Pathway and Low Carbon Fleet
for mid to late next year, and will be one of the first transport businesses in New Zealand to have these hydrogen trucks in our fleet. We will continue to look at other opportunities to expand our fleet in collaboration with like-minded suppliers, industry colleagues and customers. For personal use
Slide 48: Outlook and Strengths
Contract Logistics and International are both performing well, and we expect to see early benefits from the shipping and other growth initiatives in FY23. For the 2023 financial year ending 30 June 2023, we are expecting underlying EBITDA from continuing operations to be an improvement on last year’
MOVE Logistics Group — Shareholder Meeting (October 2022) on 6ix