Eagers Automotive Limited · ASX:APE
Eagers Automotive — UBS Australian Emerging Companies Conference 2021
21 slides from Eagers Automotive's conference presentation, Apr 20, 2021
Slide 1: UBS Australian Emerging Companies Conference: The Big Return – A New Normal
2 0 A P R I L , 2 0 2 1 For personal use only UBS Australian Emerging Companies Conference The Big Return – A New Normal Keith Thornton I Chief Executive Officer Sophie Moore I Chief Financial Officer
Slide 2: Eagers Automotive
Eagers Automotive 108-year-old Automotive Retail group with a clear strategy to provide integrated mobility solutions for the next 100 years For personal use only • Pure automotive retail group Pure automotive • Brand diversification and geographic scale retailer • Circa. $9b turnover with > 8,000 e
Slide 3: Simplifying for Success
Simplifying for Success Simplified model post AHG integration with enhanced scale over a national footprint For personal use only 3 | UBS AUSTRALIAN EMERGING COMPANIES CONFERENCE
Slide 4: Simplifying for Success: 2022 core business units
Simplifying Simplifying for for Success Success 2022 2022 core core business business units units For personal use only 2015-2019 2021 onwards <zip I EAGERS AHg Franchised Auto Independent Used Cars ) CARZ OS easyauto123 I STRATEGIC STRATEGIC Property OWNERSHIP ALL LEASED OWNERSHIP eoqers . 4 | U BS
Slide 5: Automotive Retail Industry: How do retail dealerships work?
Automotive Retail Industry How do retail dealerships work? For personal use only Maximise Sales 5 | UBS AUSTRALIAN EMERGING COMPANIES CONFERENCE
Slide 6: Industry conditions pre-COVID
Industry conditions pre-COVID For personal use only Domestic Macro Environment Australian Industry OEM Dynamics Macro environment - Unemployment - 24 months of decline in NV market - Heavily supply driven push environment - Interest Rates - F&I regulatory impact - Margin pressure - Business Confiden
Slide 7: NEXT100 Strategy
NEXT100 Strategy Providing integrated mobility solutions for the next 100 years For personal use only OPTIMISE DEVELOP GROW Engage our customers, Deliver optimised vehicle Reinvest with Redefine our workforce Support innovation everywhere finance solutions discipline EXCEED STAKEHOLDER EXPECTATIONS
Slide 8: Global Impact of COVID
Global Impact of COVID Rapid onset of pandemic & impact on global automotive supply chain has driven rebalance between supply & demand in Australian market For personal use only – Global uncertainty: cash and liquidity crisis COVID-19 – Rapid reduction in demand Initial Shock – Key focus on survival
Slide 9: Our lessons from COVID
Our lessons from COVID The importance of creating opportunity and adopting a positive mindset during a crisis For personal use only 1 You can’t be lean and complex 2 Need is a better catalyst for change than want 3 What really matters 4 The value of Productivity x Flexibility 5 Technology must drive
Slide 10: NEXT100 Strategy
NEXT100 Strategy Our strategy has not changed, but our timelines have changed For personal use only OPTIMISE DEVELOP GROW Engage our customers, Deliver optimised vehicle Reinvest with Redefine our workforce Support innovation everywhere finance solutions discipline EXCEED STAKEHOLDER EXPECTATIONS Cu
Slide 11: Environmental tailwinds continue
Environmental tailwinds continue Economic, social and industry factors contributing to current market dynamics where demand continues to exceed supply For personal use only ECONOMIC SOCIAL INDUSTRY - Unemployment - Personal Transport Trends - Global Production - Interest Rates - Discretionary Spend
Slide 12: Execution remains relentless
Execution remains relentless Focusing on key income drivers and restructuring our cost base – both enabled by technology For personal use only BUY MORE FUND MORE CARS CUSTOMERS INCOME DEMAND SUPPLY ORDER BANK GROSS MARGIN INCOME STREAMS EXPENSES PEOPLE INVENTORY PROPERTY MARKETING OTHER ONLINE CLICK
Slide 13: Fixed-price Independent Used Strategy
Fixed-price Independent Used Strategy EasyAuto123 & Carlins Automotive Auctioneers partnering with national network to deliver growth and drive investment For personal use only Used Car Industry Leaders Retail Unit Sales 244,111 1 761,862 2 Turnover $5.6 billion 1 $19.0 billion 2 Market Cap 3 $46.5
Slide 14: Fixed-price Independent Used Strategy: net operating profit growth
Fixed-price Independent Used Strategy Strong net operating profit1 growth continuing into FY21 For personal use only Carlins 2020 EA123 2019 2018 Inc full COVID19 impact 1 Net operating profit represents divisional net profit extracted from management accounts 14 | UBS AUSTRALIAN EMERGING COMPANIES
Slide 15: EasyAuto123 key metrics continue to trend in the right direction
Fixed-price Independent Used Strategy EasyAuto123 key metrics continue to trend in the right direction For personal use only Average Volume (Units) Total Gross Margin ($) Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar Mar May Jul Sep Nov Jan Mar May Jul Sep Nov Jan Mar M
Slide 16: EasyAuto123 key metrics: cost per car
Fixed-price Independent Used Strategy EasyAuto123 key metrics continue to trend in the right direction For personal use only Rent Cost per car ($) Floorplan Cost per car ($) Personnel Cost per car ($) Marketing Cost per car ($) 16 | UBS AUSTRALIAN EMERGING COMPANIES CONFERENCE
Slide 17: Technology enablers driving Omni-channel results
Fixed-price Independent Used Strategy Technology enablers driving Omni-channel results For personal use only Website Lead Volume Website Attributed Website Click ‘n’ Collect Online Finance Pre-Approval Feb 8 Feb 15 Feb 22 Mar 1 Mar 8 Mar 15 Mar 22 Mar 29 Apr 5 (Wk1) (Wk2) (Wk3) (Wk4) (Wk5) (Wk6) (Wk
Slide 18: Outlook
Outlook Strong financial position, scale and geographic diversity in a simplified and focused business – uniquely placed to withstand changing For personal use only external conditions and accelerate Next100 Strategy – Q1 2021 underlying operating results continuing on from the strong performance in
Slide 19: Thank You
For personal use only Thank Thank You You 11 99 | U BS A UBS U S T R A L I A N EEMERGING AUSTRALIAN M E R G I N G CCOMPANIES O M P A N I E S CCONFERENCE ONFERENCE X automotive
Slide 20: Disclaimer
Disclaimer For personal use only The information in this document (information) does not contain all information necessary for investment decisions, is not in tended to be an offer, invitation or recommendation with respect to shares, is not financial product advice, and is intended to be general ba
Slide 21: For personal use only
For personal use only automotive
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