Super Group Limited · JSE:SPG
Super — Debt Investor Presentation (June 2022)
22 slides from Super's debt investor presentation, June 2022
Slide 1: 2022 Fixed Income Debt Investor Roadshow
2022 FIXED INCOME DEBT INVESTOR ROADSHOW June 2022
Slide 2: Disclaimer
DISCLAIMER The financial information pertaining to Super Group Limited’s (Super Group’s) results are exactly as published on SENS in terms of the JSE Limited’s Listings Requirements. This presentation contains certain financial information which has been prepared for illustrative purposes only. The
Slide 3: Recap of Interim Results
RECAP OF INTERIM RESULTS Ended 31 December 2021
Slide 4: Results at a Glance
RESULTS AT A GLANCE for the six months ended 31 December 2021 Revenue Operating profit Profit before taxation EPS 8.4% 29.7% 22.9% 18.8% R21.64 billion R1.59 billion R1.22 billion 190.2 cents 2020: R19.96 billion 2020: R1.23 billion 2020: R955 million 2020: 160.1 cents HEPS Cash generated NA
Slide 5: Business Combinations
BUSINESS COMBINATIONS Six months ended Six months ended Six months ended 31-Dec-21 31-Dec-21 31-Dec-21 Unaudited Unaudited Unaudited R’million LEASEPLAN ANZ OTHER GROUP ASSETS ACQUIRED 18 627.6 154.8 18 782.4 Lease portfolio vehicles 9 390.9 - 9 390.9 Lease portfolio non-current receivables 3 379.6
Slide 6: Operating Context
OPERATING CONTEXT ◼ Inadequate electricity supply and pandemic-induced job losses continued to limit the speed of economic recovery ◼ Despite being well below pre-COVID levels, household consumption grew and the liquor and QSR industries showed steady improvement ◼ Travel restrictions continued to n
Slide 7: International vs South African Operations (Normalised)
INTERNATIONAL VS SOUTH AFRICAN OPERATIONS (NORMALISED) Super Group’s international operations contributed 50% (December 2020: 51%) to revenue and 55% (December 2020: 55%) to operating profit (normalised). Revenue contribution Normalised operating profit contribution per region per region 8% 3% 1% 5%
Slide 8: Segmental Analysis
SEGMENTAL ANALYSIS December 2021 December 2020 Revenue Revenue 40.6% 35.3% 35.6% 48.2% Revenue 24.1% 16.2% Operating profit Operating profit 18.0% 20.3% 28.8% 36.5% Operating profit Supply Chain Fleet Solutions 43.2% 53.2% Dealerships FIXED INCOME DEBT INVESTOR Roadshow Presentation 2022 8
Slide 9: Divisional Analysis
DIVISIONAL ANALYSIS Revenue Operating Profit • Revenue increased by 12.8% mainly due to: • Strong performance in challenging circumstances ‒ volume increases and new client wins in the Consumer businesses • Operating profit decreased by 2.1% largely as a result of the lower rates ‒ strong performanc
Slide 10: Divisional Analysis
DIVISIONAL ANALYSIS Revenue Operating Profit • Operating profit increased by 46.9% (in AUD-terms by 56.9%) • Acquisition costs of R50.3 million included in operating expenses for the • Revenue increased by 66.0% (in AUD-terms by 77.3%) period • The increase is mainly attributable to: • Excellent res
Slide 11: Cash Flow Movements
Opening R’million cash balance 6,131 Operating cash flow 3,323 Working capital (411) Net finance costs (368) CASH FLOW MOVEMENTS Taxation paid (379) Dividends paid (278) Net additions PPE & intangibles (586) Net additions LP vehicles (1,017) Business acquisitions (4,910) Net borrowings raised 1,339
Slide 12: Net Borrowings
NET BORROWINGS Net borrowings/ Net borrowings/ Borrowings Cash (cash) (cash) R’million 31 December 2021 31 December 2021 31 December 2021 30 June 2021 Change Africa 5 798.3 (2 728.8) 3 069.5 3 186.4 (3.7%) United Kingdom 1 264.9 (749.7) 515.2 657.0 (21.6%) Europe 24.2 (347.9) (323.7) (370.2) 12.6% A
Slide 13: Debt Considerations
56.29 92137 ceRUARY War ANUARY ie 83.97 a 4 23.02 1 107.21 78.21 58.34 197.41 tad may JUN JUL 59.93 GUS 9.5 52.04 3: * DEBT CONSIDERATIONS: SS = se 5 em ses = ae = wa T
Slide 14: Group Structure and DMTN Guarantors
GROUP STRUCTURE AND DMTN GUARANTORS Issuer Listed on JSE South Africa Guarantor Guarantor Super Group Holdings (Pty) Ltd Bluefin Investments Ltd 79.96% 100% South Africa Mauritius Guarantor Non-Wholly Owned Super Group International SG Fleet Ltd African Operations Operations Holdings Ltd Listed on A
Slide 15: Debt Policies
DEBT POLICIES • Simple, clearly defined debt structure, with transparent ranking amongst all Group finance counterparties, Debt Management • Flexibility to actively manage debt arrangements and achieve funding efficiency, Objectives • Build debt management credibility and a respected credit profile,
Slide 16: Tangible Assets & Borrowings (excl. ROU and Working Capital)
TANGIBLE ASSETS & BORROWINGS (EXCL. ROU AND WORKING CAPITAL) 10,000 excluding SG Fleet 8,000 53.0% unencumbered shareholding In SG Fleet valued at R4.3bn 6,000 R’m 4,000 2,000 0 Assets Borrowings Assets Borrowings Assets Borrowings Assets Borrowings South Africa Mauritius & Allen Ford Group (UK) Ger
Slide 17: Debt Maturity Profile
DEBT MATURITY PROFILE 2000 1,887 1800 1,779 excluding SG Fleet 1600 1,495 1400 1200 R’m 1000 813 800 600 399 400 200 0 Year 1 Year 2 Year 3 Year 4 Year 5 Secured asset-based borrowings Secured property borrowings and other Corporate bond FML borrowings FIXED INCOME DEBT INVESTOR Roadshow Presentatio
Slide 18: Debt Covenants
DEBT COVENANTS Net debt to EBITDA (< 2.5x) Net interest cover (> 2.7x) 1.26 1.27 13.1 1.18 1.16 11.1 0.94 0.97 1.01 9.2 9.7 8.8 7.2 5.8 Dec 2018 Jun 2019 Dec 2019 Jun 2020 Dec 2020 Jun 2021 Dec 2021 Dec 2018 Jun 2019 Dec 2019 Jun 2020 Dec 2020 Jun 2021 Dec 2021 Covenants exclude: • SG Fleet • IFRS 1
Slide 19: Bonds in Issue and Credit Rating
BONDS IN ISSUE AND CREDIT RATING R’m R’m 400 3yr Volume 3yr Spread 200 700 5y Volume 5y Spread 250 Bps over 3m J Bps over 3m J 350 180 600 160 200 300 500 140 250 120 150 400 200 100 80 300 100 150 60 200 100 Super Group Issuances Outstanding 40 50 50 100 20 0 0 0 0 Mar 2020 Mar 2019 Oct 2019 Apr 20
Slide 20: Indicative Term Sheet and Timing
INDICATIVE TERM SHEET AND TIMING Issuer Super Group Limited Issuer Rating zaAAA (S&P), affirmed on 27 October 2021 Guarantor Super Group Holdings, Super Group Trading, Super Group Africa and Bluefin Investments DMTN Programme Limit R5bn Volume Sought [R500m] Auction Date and Time [6 July 2022] Settl
Slide 21: Contact Details
CONTACT DETAILS Name Telephone number E-mail address Super Group Colin Brown +27 11 523 4000 colin.brown@supergrp.com (Chief Financial Officer, Debt Officer) Bridget Bird +27 11 523 4000 bridget.bird@supergrp.com (Group Treasury Manager) RMB Delia Patterson +27 11 282 4162 Delia.Patterson@rmb.co.za
Slide 22: Thank You
THANK YOU COLIN BROWN BRIDGET BIRD Group Chief Financial Officer Group Treasury Debt officer Further information available on www.supergroup.co.za Investor Relations Executive: Michelle Neilson michelle.neilson@supergrp.com