Peoplein Limited · ASX:PPE
Peoplein — People Infrastructure — FY2019 Earnings Presentation
24 slides from Peoplein's earnings presentation, Sep 2, 2019
Slide 1: People Infrastructure Ltd Annual Results FY19
For personal use only PEOPLE INFRASTRUCTURE LTD ANNUAL RESULTS FY19 September 2019|
Slide 2: Disclaimer
DISCLAIMER For personal use only This presentation has been prepared by People Infrastructure Limited (Company) together with its related bodies corporate (People Infrastructure). The material contained in this presentation is for information purposes only and is intended to be general background in
Slide 3: People Infrastructure
PEOPLE INFRASTRUCTURE For personal use only Delivering innovative solutions to the workforce challenges faced by businesses, operating across four main sectors including health and community services, information technology, specialist services and general staffing • Australia’s largest listed workf
Slide 4: People Infrastructure divisions
PEOPLE INFRASTRUCTURE For personal use only People Infrastructure Health and Community Information Technology General Staffing and Specialist Services Services General Staffing Specialist Services • Currently represents • Currently represents • Currently represents • Currently represents 42% of PPE
Slide 5: Investment Highlights
INVESTMENT HIGHLIGHTS For personal use only • People Infrastructure is a leader in workforce management focused on three key sectors Leader in • Health and Community Services Workforce • Information Technology Management • General Staffing and Specialist Services • Focus on niches where People Infra
Slide 6: Investment Highlights
INVESTMENT HIGHLIGHTS For personal use only • Acquisition strategy performing well expediting People Infrastructure’s growth into key sectors or regions Acquisition Strategy on Target • All acquisitions have performed ahead of expectations and each business has performed better under People Infrastr
Slide 7: Consistently Growing Shareholder Returns
CONSISTENTLY GROWING SHAREHOLDER RETURNS For personal use only REVENUE GROWTH 2015 – 2019 EBITDA GROWTH 2015 – 2019 22.5% CAGR 21.2% CAGR NPATA GROWTH 2015 – 2019 EPS GROWTH 2015 – 2019 24.6% CAGR 18.0 Cents per share 20.8% CAGR 16.0 14.0 12.0 10.0 8.0 6.0 4.0 2.0 - FY15 FY16 FY17 FY18 FY19 Pro form
Slide 8: Diversified Workforce Management Company
DIVERSIFIED WORKFORCE MANAGEMENT COMPANY For personal use only Global EBIT Margins of Listed Staffing Companies • Global leader in profitability. People Infrastructure focuses on niches where it has a demonstrable competitive advantage. As a result it has globally leading EBIT margins • Diversified
Slide 9: People Infrastructure Growth Breakdown
PEOPLE INFRASTRUCTURE GROWTH BREAKDOWN For personal use only Strong growth across the business being driven by a combination of Core Growth and Upside Growth 25% + growth Upside Growth achieved through accretive acquisitions either into NEW INDUSTRY VERTICALS or into new GEOGRAPHIES of our existing
Slide 10: Division Breakdown
For personal use only DIVISION BREAKDOWN
Slide 11: Health and Community Services in Focus
HEALTH AND COMMUNITY SERVICES IN FOCUS For personal use only A fully integrated workforce management model Overview and Competitive Positioning Market Dynamics cont’d • A leader in providing workforce management services to the health and • Nature of work results in higher turnover and therefore mor
Slide 12: Health and Community Services in Focus
HEALTH AND COMMUNITY SERVICES IN FOCUS For personal use only Workforce Management Overview Client Outcomes Enhanced Operational Efficiencies - through outsourcing Service Delivery Improvements - improved end customer outcomes including enhanced choice and flexibility Recruitment Sourcing Financial B
Slide 13: Health and Community Services in Focus: Breakdown by Sectors
HEALTH AND COMMUNITY SERVICES IN FOCUS For personal use only Breakdown by Sectors Current Business Growth Plan Sector PPE service Current locations Growth opportunities Expected 3 year growth Grow market share throughout Australia 30% Disability Workforce Management Australia wide Grow market share
Slide 14: Information Technology in Focus
INFORMATION TECHNOLOGY IN FOCUS For personal use only Overview and Competitive Positioning Market Dynamics cont’d • A leader in Information Technology recruitment focusing on IT Sales and • Significant demand for specialised contract work Marketing, Digital, Cloud, CyberSecurity, Data & Analytics, I
Slide 15: Information Technology in Focus: Major Areas of Capability
INFORMATION TECHNOLOGY IN FOCUS For personal use only Major Areas of Capability IT Sales Enabling us to be at the forefront of boom technologies – window into the future Cybersecurity One of the top 5 greatest priorities for modern CIOs/CTOs – with emergence of cloud, rapid application development,
Slide 16: General Staffing and Specialist Services in Focus
GENERAL STAFFING AND SPECIALIST SERVICES IN FOCUS For personal use only Overview and Competitive Positioning Market Dynamics Cont’d • A leader in providing general staffing services to small and medium sized • The business has the flexibility to pivot into subcategories that are business across Aust
Slide 17: General Staffing and Specialist Services in Focus
GENERAL STAFFING AND SPECIALIST SERVICES IN FOCUS For personal use only General staffing business has successfully leveraged its core capabilities in employing and managing people to grow other businesses resulting in higher margins, stronger brand proposition and higher growth Tribe - payrolling an
Slide 18: Summary
For personal use only SUMMARY
Slide 19: Summary Financials
SUMMARY FINANCIALS For personal use only STRONG EARNINGS GROWTH IN FY19 • Growing demand from existing clients particularly in Health and Community Services, IT and Specialist Services businesses • Continued new client wins • Continued roll out of back office IT and process improvements driving furt
Slide 20: Summary Financials: Normalised EBITDA incl. full year acquisitions
SUMMARY FINANCIALS For personal use only NORMALISED EBITDA INCORPORATING FULL YEAR IMPACT OF ACQUISITIONS 30,000 25,000 20,000 $'000 15,000 10,000 5,000 - 2018 Normalised 2019 Normalised Healthcare and Information Normalised EBITDA EBITDA EBITDA Community Care Technology incl Full Year Impact of Acq
Slide 21: Balance Sheet
BALANCE SHEET For personal use only Current assets STRONG BALANCE SHEET Cash and cash equivalents 21,328,339 Trade and other receivables 37,855,064 • Net debt of $19m equivalent to 1.1x normalised EBITDA Other current assets 1,053,007 Total current assets 60,236,410 • Generated $11m in operating cas
Slide 22: 2020 Outlook
2020 OUTLOOK For personal use only Organic and acquisition growth throughout the business in FY19 to underpin growth in FY20 Organic Growth • Strong industry tailwinds driving anticipated growth especially in Health and Community Services and Information Technology • Significantly improved client of
Slide 23: Community Support
COMMUNITY SUPPORT For personal use only We pride ourselves on sponsoring charities and supporting local communities and have done so for many years. People Infrastructure sponsors numerous events such as the Great Endeavour Rally and numerous company awards, including TAFE NSW. We also participate i
Slide 24: Appendix 1: Bridge from Statutory EBITDA to Normalized EBITDA
APPENDIX 1: BRIDGE FROM STATUTORY EBITDA TO NORMALIZED EBITDA For personal use only A$000 FY2019 Statutory Profit Before Tax 13,347 Depreciation and amortisation 4,211 Finance costs 1,690 EBITDA 19,247 Normalisation adjustments: Acquisition costs 470 Fair value movement in equity account -994 invest