Adrad Holdings Limited · ASX:AHL
Adrad — FY2024 Earnings Presentation
24 slides from Adrad's earnings presentation, Aug 29, 2024
Slide 1: FY24 Results Presentation
FY24 RESULTS PRESENTATION Visit AUGU S T Now 2024 adradholdings.com.au
Slide 2: Disclaimer
Disclaimer 2 This presentation is provided for information purposes only. The information in this “will”, “believe”, “forecast”, “estimate”, “target” and other similar expressions within presentation is in a summary form, does not purport to be complete and is not the meaning of securities laws of a
Slide 3: Overview of Adrad
Overview of Adrad Vision: 1st Choice for Industrial & Engine Cooling Solutions Two major segments servicing all aspects of the engine cooling market: HEAT TRANSFER SOLUTIONS (AIR RADIATORS) DISTRIBUTION (ADRAD) A vertically integrated designer and Importer and distributor of radiators manufacturer o
Slide 4: FY24 Financial Highlights
FY24 Financial Highlights $142.9m $18.1m $14.7m $6.0m Trading Revenue Pro forma EBITDA1 Operating Cash flow Statutory NPAT 1.2% 10.9% 162.5% 6.6% from FY23 from pro forma FY23 from FY23 from FY23 7.36cps 2.94cps 6.3% $5.5m Full year related ROACE2 Capital Investment Basic EPS dividend3 – fully frank
Slide 5: Adrad Strategic Focus
Adrad Strategic Focus HEAT TRANSFER SOLUTIONS (AIR RADIATORS) DISTRIBUTION (ADRAD) “Customer Focus” “Customer Focus” Drive growth in Australia and Great connections with customers Asia digitally and personally “Cost Focus” “Cost Focus” Improve efficiency & rationalise Drive network efficiency what w
Slide 6: Segment Overview
Segment Overview
Slide 7: FY24 Segment Achievements
FY24 Segment Achievements HTS Distribution Group Support Group Total FY24 FY23 Change FY24 FY23 Change FY24 FY23 Change FY24 FY23 Change $m $m $m % $m $m $m % $m $m $m % $m $m $m % Trading Revenue 78.3 79.3 (1.0) (1.2%) 64.5 61.9 2.6 4.3% 142.9 141.2 1.7 1.2% EBITDA (Statutory) 12.4 13.9 (1.5) (10.8
Slide 8: Structuring for success in FY24
Structuring for success in FY24 Structure for success Enhanced supporting Implemented organisational Clear accountability continued to be a functions in People & structure to focus on the two delineating manufacturing focus in FY24 Culture, Finance and IT business segments and distribution Group Sup
Slide 9: Heat Transfer Solutions
Heat Transfer Solutions Completed the Thailand facility production building expansion and planned commissioning of new equipment. Supplier Excellence recognition award from Caterpillar for the Thailand operations and Joint Design 12% Category Supplier of the Year award from Kenworth. Inventory reduc
Slide 10: Heat Transfer Solutions - Thailand
Heat Transfer Solutions - Thailand Production Capability Installed and commissioned key cutting, bending and forming production assets to increase capability which will deliver operational improvements in FY25. These strategic assets enable the Thailand facility to manufacture products currently pur
Slide 11: Adrad Distribution
Adrad Distribution Range expanded to 28,000+ Inventory reduction achieved Improved margin through SKU’s while reducing overall via improved product lead dynamic pricing & expanded inventory value times and continued system parts range delivered growth improvements in FY24 Ecommerce initiatives Vehic
Slide 12: Adrad Distribution – Leveraging our network
Adrad Distribution – Leveraging our network Mobile Sales Capability YOY Active Customer Growth Customer searches on our 120 700 platform 6,889 468,612 100 600 6,032 500 80 355,379 Sales $000,s 5,139 Transactions 400 60 4,114 300 257,049 40 200 20 100 127,991 0 0 Value of Orders Transactions FY21 FY2
Slide 13: FY24 Financials
FY24 Financials
Slide 14: Growing market presence delivers revenue and earnings growth
Growing market presence delivers revenue and earnings growth Pro forma Statutory FY24 FY23 Change Change FY24 FY23 Change Change $m $m $m % $m $m $m % Trading Revenue 142.9 141.1 1.7 1.2% 142.9 141.1 1.7 1.2% EBITDA 1 18.1 20.3 (2.2) (10.9%) 17.5 19.3 (1.8) (9.2%) NPAT 2 6.5 8.5 (2.0) (23.6%) 6.0 5.
Slide 15: Income Statement - Statutory
Income Statement - Statutory FY24 FY23 Change $m $m $m % • Trading revenue increase following prior investment in additional warehouse Revenue 142.9 141.1 1.7 1.2% locations and product range expansion. Other Income 0.9 1.7 (0.8) (47.4%) Operating Expenses1 (126.3) (123.6) (2.7) 2.2% • Experienced p
Slide 16: Balance Sheet
Balance Sheet FY24 FY23 Change $m $m $m % • Cash increased $1.9m. Cash 15.8 13.9 1.9 13.7% Trade and other receivables 24.5 21.5 3.0 14.1% • Reduced inventory by $7m. Inventory 47.3 54.3 (7.0) (12.9%) PP&E 17.7 15.0 2.6 17.4% • Continue focus on working capital Right-of-use assets 43.5 43.3 0.2 0.4%
Slide 17: Cash Flow
Cash Flow FY24 FY23 Change $m $m $m % Operating cash flow 20.2 13.1 7.1 53.9% • Cash flow from operating up $9m driven Finance costs (1.2) (1.2) 0.1 (4.5%) by inventory reduction and lower tax payments. Tax paid (4.3) (6.3) 2.0 (31.8%) Cash flows from operating activities 14.7 5.6 9.1 164.7% • Conti
Slide 18: Outlook
Outlook
Slide 19: Growth Initiatives
Growth Initiatives HEAT TRANSFER SOLUTIONS (AIR RADIATORS) DISTRIBUTION (ADRAD) v Expand revenue in Asia through focused sales activity. v Growing customer engagement and sales via our digital interfaces. v Driving Alu Fin application sales through higher levels of customer engagement and v Leverage
Slide 20: Adrad Strategic Focus
Adrad Strategic Focus HEAT TRANSFER SOLUTIONS (AIR RADIATORS) DISTRIBUTION (ADRAD) “Customer Focus” “Customer Focus” Drive growth in Australia and Great connections with Asia customers digital and personal “Cost Focus” “Cost Focus” Improve efficiency & rationalise Drive network efficiency what we ma
Slide 21: Outlook
Outlook AHL is confident in the long-term outlook for the business focussed on growth supported by its products and a commitment to our customers’ evolving needs. 21
Slide 22: Appendix
APPENDIX
Slide 23: Reconciliation of Statutory to Pro forma results
Appendix Reconciliation of Statutory to Pro forma results FY24 FY23 Change Change $m $m $m % • The Company has made pro forma Revenue and other income 143.8 142.9 0.9 0.6% adjustments to its FY23 and FY24 EBITDA Other expenses (ex depreciation & interest) (126.3) (123.6) (2.7) 2.1% results to elimin
Slide 24: Contact Us
CONTACT US Investor Relations Melanie Singh +61 439 748 819 melanie@nwrcommunications.com.au