Plato Income Maximiser Ltd. · ASX:PL8
Plato Income Maximiser — FY2019 Earnings Presentation
21 slides from Plato Income Maximiser's earnings presentation, Aug 27, 2019
Slide 1: Conference call reminder and presentation on full year results
Plato Income Maximiser Limited Level 35, 60 Margaret Street Sydney NSW 2000 27 August 2019 For personal use only By Electronic Lodgement The Manager Company Announcements Office ASX Ltd 20 Bridge Street SYDNEY NSW 2000 Dear Shareholder, Conference call reminder and presentation on full year results
Slide 2: Company Annual Results
COMPANY ANNUAL RESULTS PLATO INCOME MAXIMISER LIMITED ASX: PL8 For personal use only 1
Slide 3: Disclaimer
Disclaimer For personal use only Note: Past performance is not a reliable indicator of future performance. This communication has been prepared by Plato Income Maximiser Limited ABN 63 616 746 215 (PL8). Nothing contained in this communication constitutes investment, legal, business, taxation or oth
Slide 4: Agenda
Agenda For personal use only 01 02 PL8 investment strategy Entitlement offer and performance 03 04 Market update Questions 3
Slide 5: PL8 investment strategy and performance
For personal use only PL8 investment strategy and performance 4
Slide 6: PL8 investment portfolio performance
PL8 investment portfolio performance PERFORMANCE TO 30 JUNE 2019 AFTER FEES AND COSTS* For personal use only Since FY2019 Inception p.a. Including Franking (28/4/2017) Portfolio 15.0% 11.6% S&P/ASX200 Tax 13.4% 11.6% Exempt Active +1.6% 0.0% 5 *Inclusive of the net impact of GST and Reduced Input Ta
Slide 7: Longer term performance
Longer term performance PLATO AUSTRALIAN SHARES INCOME FUND PERFORMANCE AFTER FEES For personal use only Plato Aust. Shares Income Fund v S&P/ ASX200 Accumulation Series 2.80 (incl. Franking Credits) 2.60 2.40 2.20 2.00 1.80 1.60 1.40 1.20 1.00 0.80 Sep-2011 Sep-2012 Sep-2013 Sep-2014 Sep-2015 Sep-2
Slide 8: PL8 delivering high ordinary income
PL8 delivering high ordinary income For personal use only 12 MONTH REALISED YIELD* 9.0% 8.0% 7.0% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% RBA Cash RBA Cash Rate Rate S&P/ASX 200 S&P/ASX200 Fund PL8 CASH 1.5 4.3 5.8 FRANKING 0.0 1.7 2.5 7 Source: Plato. *to 30 June 2019, excluding the 3c special dividend
Slide 9: PL8 delivering high income – including special
PL8 delivering high income – including special For personal use only 12 MONTH REALISED YIELD* 14.0% 12.0% 10.0% 8.0% 6.0% 4.0% 2.0% 0.0% RBA Cash RBA Cash Rate Rate S&P/ASX 200 S&P/ASX200 Fund PL8 CASH 1.5 4.3 8.6 FRANKING 0.0 1.7 3.7 8 Source: Plato. *to 30 June 2019
Slide 10: Delivering consistent monthly income
Delivering consistent monthly income PLUS 3 CENT SPECIAL DIVIDEND PAID MAY 2019 For personal use only MONTHLY DIVIDENDS PAID 0.6c 0.5c 0.4c 0.3c 0.2c 0.1c 0.0c Only Australian LIC paying monthly fully franked dividends 9 Source: Plato. The declaration of dividends by the company is at the full discr
Slide 11: PL8 NTA performance breakdown for FY19
PL8 NTA performance breakdown for FY19 PRE-TAX NTA PER PL8 SHARE* For personal use only $1.25 + $0.099 - $0.002 -$0.090 $1.20 $1.15 $1.106 $1.099 $1.10 $1.05 Pre-tax NTA Portfolio performance Company and other Dividends paid Pre-tax NTA 1 Jul 2018 expenses 30 Jun 2019 10 Source: Plato. *Excludes fra
Slide 12: Price has closely tracked NTA
Price has closely tracked NTA PL8 PRICE VERSUS NTA SINCE LISTING For personal use only $1.30 $1.20 $1.10 $1.00 $0.90 $0.80 $0.70 May-17 Aug-17 Nov-17 Feb-18 May-18 Aug-18 Nov-18 Feb-19 May-19 Aug-19 Share Price Net Tangible Assets (NTA) APL franking policy impacted trading March 2018 to May 2019 11
Slide 13: Entitlement Offer
12 For personal use only Entitlement Offer
Slide 14: Entitlement Offer
Entitlement Offer DETAILS OF THE OFFER For personal use only Existing shareholders New shareholders Offer price: $1.10 • Can apply for new shares in the • Entitlement offer of 1 new share for every 1.6 existing shares shortfall offer Offer size: $205m • Size of the offer is determined • Ability to a
Slide 15: Highlights of the Entitlement Offer
Highlights of the Entitlement Offer ENTITLEMENT OFFER For personal use only Investors in the Greater size means Entitlement and enhanced liquidity on Shortfall offer will be the ASX and a eligible for the reduction in total September dividend costs to investors (0.5c) All of the Offer costs Access t
Slide 16: Market Update
15 For personal use only Market Update
Slide 17: Finding income just got harder
Finding income just got harder OFFICIAL RBA CASH RATE EXPECTATIONS For personal use only Impacts income from cash, bonds, term deposits and bank bill linked investments (e.g. hybrids) 16 Source: Bloomberg, Macquarie Macro Strategy June 2019
Slide 18: Australian dividends have been remarkably stable
For personal use only 20% 10% 25% 15% 0% 5% Dec-80 Jul-81 Feb-82 Sep-82 Apr-83 Nov-83 Jun-84 Jan-85 Aug-85 Mar-86 Oct-86 May-87 Dec-87 Jul-88 Feb-89 Sep-89 Apr-90 Nov-90 Jun-91 Jan-92 Bank Bills Aug-92 17 Source: Plato, RBA, S&P, invest $100k at the start of the year Mar-93 Oct-93 May-94 Dec-94 Jul-
Slide 19: Large income stocks have been doing it tough
Large income stocks have been doing it tough PRICE PERFORMANCE For personal use only 1.10 1.00 0.90 0.80 0.70 0.60 PL8 Telstra Big 4 Banks A diversified portfolio of income stocks can still perform when some income stocks are underperforming 18 Source: Bloomberg, Macquarie Macro Strategy June 2019
Slide 20: FY2019: A dividend bonanza in Australia
FY2019: A dividend bonanza in Australia BUT NOT IN THE USUAL PLACES! For personal use only • Banks and Telstra have maintained or cut dividends • Resources have been massive dividend payers: • Buy-backs and specials significant • Strong increases from Alumina (+65%) Fortescue (+177%), RIO (+158%) in
Slide 21: Thank You – Questions
For personal use only 20 THANK YOU Questions
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