Slide 1: FY23 H1 Results Presentation
IVE Group Limited FY23 H1 Results Presentation ASX : IGL 23 February 2023
Slide 2: Contents
Contents Financial performance dashboard 3 Financials 4 Profit and loss 5 Balance sheet 7 Capital expenditure 7 FY23 H1 Cash flow and interim dividend 8 Business updates 9 Ovato acquisition 10 Lasoo – successful platform launch 12 Energy – electricity and gas 15 Outlook and guidance 16 Appendices 18
Slide 3: Financial performance dashboard
Financial performance dashboard A strong first half performance and maiden contribution from the Ovato acquisition EARNINGS REVENUE EBITDA NPAT PER SHARE $502.8m $65.0m $24.3m 16.5c ↑ 31.4% on PCP ↑ 17.7% on PCP ↑ 16.5% on PCP ↑ 12.8% on PCP NET DEBT INTERIM DIVIDEND MATERIAL PROFIT OPERATING CASH M
Slide 4: Financials
Financials FY23 H1 4 IVE Group Limited — FY23 H1 Results Presentation
Slide 5: Profit and loss
Profit and loss Strong uplift in underlying1 revenue, EBITDA NPAT and EPS FY23 H1 FY22 H1 Variance Variance ($m) ($m) ($m) (%) Revenue 502.8 382.6 120.2 31.4 Material profit 222.3 181.7 40.6 22.4 % of revenue 44.2% 47.5% – (6.9) EBITDA 65.0 55.2 9.8 17.7 % of revenue 12.9% 14.4% – (10.4) EBIT 41.3 3
Slide 6: Profit and loss (continued)
Profit and loss (continued) Material profit margin Earnings, NPAT and EPS > Material profit (revenue less material cost of goods sold) margin was > EBITDA increased 17.7% to $65.0m from $55.2m pcp 44.2%, down from 47.5% pcp > Excluding a $4.4m contribution from Ovato, underlying EBITDA growth > This
Slide 7: Balance sheet and capital expenditure
Balance sheet Capital expenditure Increase in net debt primarily reflects working capital seasonality Our operational asset base is in excellent condition coupled with impacts of the Ovato acquisition FY23 H1 FY22 FY23 H1 ($m) ($m) ($m) Loans & borrowings 153.7 143.8 Group-wide investment and mainte
Slide 8: Cash flow and interim dividend
Cash flow and interim dividend Underlying FY23 H1 ($m) EBITDA 65.0 Movement in NWC/non cash items in EBITDA (28.2) Operating cash flow 36.8 Operating cash conversion to EBITDA 57% Interim dividend (per share) 9.5c The underlying financial results are on a non IFRS basis, exclude various non-operatin
Slide 9: Business updates
Business updates FY23 H1 9 IVE Group Limited — FY23 H1 Results Presentation
Slide 10: Ovato acquisition
Ovato acquisition > IVE completed the Ovato transaction on 13 September 2022 Ovato acquisition summary > The integration timetable and expected financial metrics are ($m) unchanged from those previously announced Consideration1 13.0 > The integration of an estimated $160m of Ovato revenue into IVE’s
Slide 11: Integration on track
Integration on track > During the half, all major Ovato customers were successfully transitioned across to IVE with no significant client losses and inventories were increased to ensure continuity of supply > Staff have transitioned seamlessly > The expanded business is performing well, meeting all
Slide 12: Lasoo – successful platform launch
Lasoo – successful platform launch Superior e-Commerce marketplace for retailer’s specials > The new Lasoo platform successfully launched in October 2022 > Independent feedback on user experience and net promoter scores is encouraging and reflected in unique user visits significantly above levels ex
Slide 13: Lasoo – successful platform launch (continued)
Lasoo – successful platform launch (continued) > The pipeline for new retailer integration remains strong with a Categories selling on Lasoo number of significant retailers having deferred integration from the key Christmas trading period to the first half of calendar 2023. Additions to the platform
Slide 14: Brands now available to buy on special via Lasoo
Brands now available to buy on special via Lasoo 14 IVE Group Limited — FY23 H1 Results Presentation
Slide 15: Energy – electricity and gas
Energy – electricity and gas > IVE is a significant user of energy across its operations, with natural gas > From 1 January 2024, the Group’s new long-term partnership with only used in the web offset printing operations of the Group Iberdrola will provide stable and consistent electricity consumpti
Slide 16: Outlook and guidance
Outlook and guidance FY23 H1 16 IVE Group Limited — FY23 H1 Results Presentation
Slide 17: Outlook and guidance
Outlook and guidance 1 A strong interim result coupled with continuing momentum across ($m) the business and emerging Ovato synergies place IVE in a strong 4.0 2.3 41.0 position to deliver a healthy FY23 result, well up on FY22, albeit 3.3 40 tempered somewhat by a temporary but significant increase
Slide 18: Appendices
Appendices FY23 H1 18 IVE Group Limited — FY23 H1 Results Presentation
Slide 19: Appendix A: IFRS Profit and Loss
Appendix A IFRS Profit and Loss FY23 H1 FY22 H1 Variance Variance ($m) ($m) ($m) (%) Revenue 504.2 382.6 121.6 31.8 Material profit 223.0 181.7 41.3 22.7 % of revenue 44.2% 47.5% – (6.9) EBITDA 52.3 52.1 0.2 0.4 Depreciation and amortisation 24.0 21.4 2.6 12.4 EBIT 28.3 30.6 (2.3) (7.6) Net finance
Slide 20: Appendix B: IVE Group Limited Balance Sheet
Appendix B IVE Group Limited Balance Sheet FY23 H1 FY22 ($m) ($m) Current Assets Cash and cash equivalents 56.2 67.0 Trade receivables, prepayments and other 157.8 123.9 Inventories 112.1 74.2 Assets held for sale 4.2 - Total Current Assets 330.3 265.1 Non-Current Assets Deferred tax assets 18.9 17.
Slide 21: Appendix C: Disclaimer
Appendix C Disclaimer No recommendation, offer, Disclaimer disseminate any updates or revisions to this expressed or implied in any forward- invitation or advice information over time. Any forward-looking looking statements in this presentation No representation or warranty, express statements, incl
Slide 22: IVE Group Limited
IVE Group Limited ABN 62 606 252 644 Level 3, 35 Clarence Street Sydney NSW 2000 Geoff Selig Executive Chairman Matt Aitken Chief Executive Officer Darren Dunkley Chief Financial Officer ivegroup.com.au Authorised by the IVE Board Contact: Tony Jackson Investor Relations Tony.Jackson@ivegroup.com.au