Slide 1: Investor Presentation ASX announcement cover letter
25 August 2021 Company Announcements Office Australian Securities Exchange Limited 20 Bridge Street SYDNEY NSW 2000 INVESTOR PRESENTATION Seven Group Holdings Limited (ASX: SVW) attaches the Investor Presentation for the year ended 30 June 2021. This release has been authorised to be given to ASX by
Slide 2: Investor Presentation for the year ended 30 June 2021
Investor Presentation for the year ended 30 June 2021 Industrial Services, Media, SGH | Energy and Investments 25 August 2021
Slide 3: Group Overview
FY21 Results Presentation 25 August 2021 GROUP OVERVIEW FY21 underlying EBIT $792.1m up 7% FY21 statutory EBIT $925.6m up 143% Final dividend up 10% to 23c, total dividend 46c fully franked Strong performance of WesTrac and Coates SGH has executed on our growth agenda Boral presents compelling oppor
Slide 4: Sustainability People & Safety
FY21 Results Presentation Seven Group Holdings 3 25 August 2021 SUSTAINABILITY PEOPLE & SAFETY Safety of our people is always our top priority • Consistent focus on positive safety behaviour and outcomes • Continued reduction in Group LTIFR and TRIFR year on year • Specialised training and initiativ
Slide 5: Sustainability Emissions and Community
FY21 Results Presentation Seven Group Holdings 4 25 August 2021 SUSTAINABILITY EMISSIONS AND COMMUNITY Net zero GHG emissions by 2040 for WesTrac and Coates • Direct action to reduce Scope 1 and 2 emissions, and working with suppliers and customers to reduce Scope 3 emissions • Progressively convert
Slide 6: Group Overview Businesses and Markets
FY21 Results Presentation Seven Group Holdings 5 25 August 2021 GROUP OVERVIEW BUSINESSES AND MARKETS Industrials Industrials Industrials Energy Media 100% 100% 70% Beach 30% SGHE 100% 40% WesTrac is one of the Coates is the largest Boral is a national Beach Energy is a leading Seven West Media is a
Slide 7: Disciplined Value Creation 2012 to 2021
FY21 Results Presentation Seven Group Holdings 6 25 August 2021 DISCIPLINED VALUE CREATION 2012 TO 2021 $25 M&A activity Boral bid Capital management 7 concluded, Share buyback SGH 69.6% 3,4 $20 Beach holding 5 30% Boral 6 takeover WesTrac 2 China sold bid $15 $535m launched Boral Beach substantial
Slide 8: Group Overview Key Activity and Portfolio Changes
FY21 Results Presentation Seven Group Holdings 7 25 August 2021 GROUP OVERVIEW KEY ACTIVITY AND PORTFOLIO CHANGES $533 million in new equity raised April 2021 • Underwritten institutional placement and share purchase plan • SPP raised $33m, well supported by retail shareholders • Provided increased
Slide 9: Group Overview Earnings
FY21 Results Presentation Seven Group Holdings 8 25 August 2021 GROUP OVERVIEW EARNINGS Group underlying EBIT of $792.1m up 7% WesTrac • Delivered on guidance for WesTrac and Coates EBIT • Statutory EBIT up 143%, impairment reversals of $92.9m $400.2m – Seven West Media valuation uplift Favourable e
Slide 10: Group Overview Key Financials
FY21 Results Presentation Seven Group Holdings 9 25 August 2021 GROUP OVERVIEW KEY FINANCIALS Underlying Results ($m) FY21 FY20 % Change Trading revenue 4,838.7 4,562.6 6.1% Earnings before interest and tax1 792.1 737.9 7.3% Underlying net profit after tax attributable to shareholders1 501.4 469.6 6
Slide 11: Group Financials
GROUP FINANCIALS
Slide 12: Financials Profit and Loss
FY21 Results Presentation Seven Group Holdings 11 25 August 2021 FINANCIALS PROFIT AND LOSS $m FY21 FY20 Change % Revenue 4,838.7 4,562.6 6.1% Other income 47.0 62.7 -25.0% Share of results from equity accounted investees 195.4 149.7 30.5% Trading revenue and other income 5,081.1 4,775.0 6.4% Expens
Slide 13: Financials Significant Items
FY21 Results Presentation Seven Group Holdings 12 25 August 2021 FINANCIALS SIGNIFICANT ITEMS $m FY21 FY20 Share of results from equity accounted investees attributable to significant items – SWM, Beach and Boral 44.0 (70.1) Impairment reversal / (impairment) – SWM equity 92.9 (161.8) Impairment of
Slide 14: Financials Earnings Summary
FY21 Results Presentation Seven Group Holdings 13 25 August 2021 FINANCIALS EARNINGS SUMMARY Total Invest- $m WesTrac Coates Boral Energy Media Corporate Group ments Trading revenue 4,838.7 3,809.6 945.6 - 2.8 - 80.7 - Statutory EBIT 925.6 400.2 211.6 18.1 85.3 227.4 6.5 (23.5) Add unfavourable sign
Slide 15: Financials Cash Flow
FY21 Results Presentation Seven Group Holdings 14 25 August 2021 FINANCIALS CASH FLOW $m FY21 FY20 Underlying EBIT 792.1 737.9 Add: depreciation and amortisation 260.3 263.3 Underlying EBITDA 1,052.4 1,001.2 Operating cash flow 622.4 538.2 Add: net interest and other costs of finance paid 143.5 134.
Slide 16: Financials Balance Sheet
FY21 Results Presentation Seven Group Holdings 15 25 August 2021 FINANCIALS BALANCE SHEET As at As at • Investments increase of $1,371m $m Change % includes the incremental Boral 30 Jun 21 30 Jun 20 Trade and other receivables 832.3 775.4 7.3% investment within the year and uplift on transition to e
Slide 17: Financials Liquidity Management
FY21 Results Presentation Seven Group Holdings 16 25 August 2021 FINANCIALS LIQUIDITY MANAGEMENT Strong credit support for the Group • Extension of $400m bank facility tranche by three years to Sep 2024 and increased limit to $558m – Increased commitment from existing banks – New lender added to cor
Slide 18: Financials Capital Management
FY21 Results Presentation Seven Group Holdings 17 25 August 2021 FINANCIALS CAPITAL MANAGEMENT Key priorities HoldCo credit supported • Objective is to structure the Group’s capital base to OpCo private credit capacity to establish support long-term shareholder value creation ratings to support USPP
Slide 19: Business Review
BUSINESS REVIEW
Slide 20: Industrial Services WesTrac Highlights
FY21 Results Presentation Seven Group Holdings 19 25 August 2021 INDUSTRIAL SERVICES WESTRAC HIGHLIGHTS Demand and prices for key commodities remain robust • Strong mining and construction demand in WA and NSW • Iron ore export volumes at record levels and coal volumes solid • Customer expansion int
Slide 21: Industrial Services WesTrac Financials
FY21 Results Presentation Seven Group Holdings 20 25 August 2021 INDUSTRIAL SERVICES WESTRAC FINANCIALS Increased demand driving revenue and margin growth • Revenue up 9% on pcp driven by major project deliveries • Product sales up $350m or 32% and product support down $33m or 1% (January parts pric
Slide 22: Industrial Services Coates Highlights
FY21 Results Presentation Seven Group Holdings 21 25 August 2021 INDUSTRIAL SERVICES COATES HIGHLIGHTS Well positioned for new opportunities and growth • 2H21 demand up on 2H20 after a slow start in 1H21, good momentum heading into FY22 • Engineering & Construction demand remains strong, benefiting
Slide 23: Industrial Services Coates Financials
FY21 Results Presentation Seven Group Holdings 22 25 August 2021 INDUSTRIAL SERVICES COATES FINANCIALS EBIT growth maintained with 2H revenue improvement • EBIT of $212m up 4% on pcp, EBIT margin up 1.5%, reaping rewards of revised cost base and on-going control • Revenue of $946m, down 3% on pcp, u
Slide 24: Industrial Services Boral Highlights
FY21 Results Presentation Seven Group Holdings 23 25 August 2021 INDUSTRIAL SERVICES BORAL HIGHLIGHTS Acquired 70% ownership of Boral and control in July Boral’s construction materials network • Year-end interest 26.08% Concrete 226 • Boral will be consolidated as a subsidiary in FY22 & placing NT C
Slide 25: Industrial Services Boral Financials
FY21 Results Presentation Seven Group Holdings 24 25 August 2021 INDUSTRIAL SERVICES BORAL FINANCIALS Continuing Operations – Boral Australia • Revenue down 6% to $2.92bn with lower volumes in infrastructure partially offset by growth in detached housing and A&A • Underlying EBITDA down 6% to $406m
Slide 26: Energy Beach Energy (30% owned)
FY21 Results Presentation Seven Group Holdings 25 25 August 2021 ENERGY BEACH ENERGY (30% owned) Beach contribution impacted by lower production and realised price • Beach 4% lower production and 3% lower oil prices reduced revenue by 8% • EBIT was further impacted by higher exploration expense, par
Slide 27: Energy SGH Energy
FY21 Results Presentation Seven Group Holdings 26 25 August 2021 ENERGY SGH ENERGY Crux (SGHE 15%) progressing towards FID • Crux is an attractive asset and is an important longer term backfill opportunity for the existing Shell-operated Prelude FLNG facility. The project has completed Front-End Eng
Slide 28: Media Seven West Media (40% owned)
FY21 Results Presentation Seven Group Holdings 27 25 August 2021 MEDIA SEVEN WEST MEDIA (40% owned) Transformation strategy delivering results $m FY21 FY20 • Revenue of $1.27bn up 3.5%, EBIT of $229m up 141% • Ongoing strong digital earnings growth for Seven, $60m EBITDA Share of associate NPAT – SW
Slide 29: Group Outlook FY22
FY21 Results Presentation Seven Group Holdings 28 25 August 2021 GROUP OUTLOOK FY22 Business Outlook Industrials expecting • Mining production and infrastructure and construction activity are robust and expected to underpin further improvement in majority growth for SGH’s industrial businesses in FY
Slide 30: Disclaimer
FY21 Results Presentation Seven Group Holdings 29 25 August 2021 DISCLAIMER Basis of preparation of slides • Included in this presentation is data prepared by the management of Seven Group Holdings Limited (“SGH”) and other associated entities and investments. This data is included for information p
Slide 31: SGH | Industrial Services, Media, Energy and Investments
SGH | Industrial Services, Media, Energy and Investments