Slide 1: 1H21 Results Briefing Presentation
VGI Partners Limited ABN 33 129 188 450 39 Phillip Street Sydney NSW 2000 Australia T. +61 2 9237 8900 www.vgipartners.com AFSL No. 321789 | SEC Registered 24 August 2021 ASX Market Announcements ASX Limited Exchange Centre 20 Bridge Street Sydney NSW 2000 BY ELECTRONIC LODGEMENT 1H21 Results Briefi
Slide 2: Authorised for release by
Authorised for release by: Ian Cameron, Company Secretary Investor contact information: Media contact information: Ingrid Groer, CFA Max Hewett Head of Investor Relations GRACosway VGI Partners Limited Phone: +61 432 332 215 Phone: 1800 571 917 (inside Australia) Email: mhewett@gracosway.com.au +61
Slide 3: VGI Partners Limited (ASX:VGI) 1H21 Results Briefing
VGI Partners Limited (ASX:VGI) 1H21 Results Briefing – 24 August 2021
Slide 4: Our Philosophy
Our Philosophy Absolute return focus – A long-term investment Avoid permanent loss of 10-15% p.a. horizon provides a capital compounding target competitive advantage Winners are very rare – Larger portfolios may limit We are stewards of deep research opportunities capital – total staff results in hi
Slide 5: 1H21 Financial Highlights
1H21 Financial Highlights Six Months to 30 June ($ million)1 1H21 1H20 Six Months to 30 June 2021 Income Management fees (net)1,2 22.2 22.2 Normalised NPAT of $42.9m1 Performance fees (net)2 50.4 0.1 FUM of $3.2bn as at 30 June 2021 Other income1 0.2 0.1 Normalised total revenue 72.8 22.4 Management
Slide 6: 1H21 Business Highlights
1H21 Business Highlights Six Months to 30 June 2021 Client Engagement Increased pro-active client engagement, improvements to content creation, CRM upgrade Senior hires to drive distribution Continued Investment in Operational Capabilities Enfusion (trading execution and portfolio management), Hazel
Slide 7: Fund Performance
VGI PARTNERS Fund Performance
Slide 8: VGI Partners Master Fund: Capital Preservation Performance in Up/Down Months
VGI Partners Master Fund: Capital Preservation Performance in Up/Down Months Compound Annual Return (Net) Performance in Performance in "Up Market" Months "Down Market" Months 13.8% 14% 12.0% 12% 2.9% 3% 2.3% 10% 2% 8% 1% 6% 0% (1%) 4% (0.8%) (2%) 2% (3%) (2.3%) 0% Average VGI Average MSCI Average V
Slide 9: FUM and Net Portfolio Returns
FUM and Net Portfolio Returns FUM of $3.2bn as at 30 June 2021 12-Month Net Return Fund to 30 June 20211 VGI Partners Master Fund +24.7% VGI Partners Global Investments Ltd (ASX:VG1) +25.6% VGI Partners Asian Investments Ltd (ASX:VG8) +15.0% Source: VGI Partners. 1 Figures are unaudited and based on
Slide 10: Financials
VGI PARTNERS Financials
Slide 11: Normalised Financials
Six Months to 30 June ($ million) 1H21 1H20 Income Normalised Financials Management fees (net)1 22.2 22.2 Six Months to 30 June 2021 Performance fees (net) 50.4 0.1 Other income2 0.2 0.1 Normalised 1H21 NPAT adds back contra-revenue relating Normalised total revenue 72.8 22.4 to the amortisation of
Slide 12: Reconciliation Normalisation Adjustments
1H21 1H21 1H20 Reconciliation Six Months to 30 June ($ million) statutory Adjust. normalised normalised Normalisation Adjustments Income Management fees (net) 18.7 2.5 + 1.0 22.2 22.2 Normalised 1H21 NPAT adds back contra- Performance fees (net) 50.4 50.4 0.1 revenue relating to the amortisation of
Slide 13: Revenue and FUM
Revenue and FUM VGI Partners FUM Six Months to 30 June 2021 $3.5 bn FUM of $3.2bn at the end of 1H21 $3.0 bn Gross management fees of 1.5% $2.5 bn $2.0 bn Net management fees of c.1.4% largely due to charitable FUM1 $1.5 bn Management fees of $22m steady vs 1H20 $1.0 bn Performance fees of $50m $0.5
Slide 14: Expenses
Expenses Six Months to 30 June 2021 Six Months to 30 June ($ million) 1H21 1H20 Personnel 6.1 3.8 Normalised operating costs of $11m Research, communications and IT 0.9 1.2 Charitable Foundation contributions1 0.8 0.2 Personnel costs rose due to an increase in headcount Other2 2.2 1.8 and were broad
Slide 15: Balance Sheet
Balance Sheet 30 Jun 31 Dec As at 30 June 2021 Statutory Balance Sheet ($ million) 2021 2020 Cash and cash equivalents 34.6 41.7 $34.6m in cash as at 30 June 2021, no debt Trade and other receivables 59.0 26.9 Financial assets at fair value 48.8 34.5 Interim dividend of 31.0¢ (c.$21.6m), fully frank
Slide 16: Charitable Initiatives And VGI Partners Foundation Class
Charitable Initiatives VGI’s Cumulative Charitable Rebates and Donations And VGI Partners Foundation Class $10m $9.3m $8m VGI Partners actively supports charitable and community causes. Total donations and rebates since 2008 of $9.3m. $6m This includes $1.4m of cash donations to select external $4m
Slide 17: VGI Partners Foundation
VGI Partners Foundation The VGI Partners Foundation was formed in 2018 and operates as an independent public ancillary fund, with a vision to catalyse The following are some of the eligible organisations that have positive change in society. received support during 2020-2021, with an emphasis on hom
Slide 18: Shareholder Engagement
VGI PARTNERS Shareholder Engagement
Slide 19: Shareholder Engagement for VGI Partners
Shareholder Engagement for VGI Partners Please Elect Electronic Communications to Stay Informed Half-year and full-year result conference calls Manager’s semi-annual VG1 and VG8 letters in January and Head of Investor Relations July each year Ingrid Groer, CFA Phone: 1800 571 917 (inside Australia)
Slide 20: Questions
VGI PARTNERS Questions
Slide 21: Appendices
VGI PARTNERS Appendices
Slide 22: Appendix A: VGI Partners Overview
Appendix A VGI Partners Overview Specialist manager focusing on global equities. Long VGI Managed Funds Individually Managed biased, concentrated strategy with selective short selling. Accounts (IMAs) Minimal to no leverage utilised Unlisted Listed Unlisted Offices in Sydney, New York and Tokyo VGI
Slide 23: Appendix B: VGI Partners Limited Dividend Policy
Appendix B VGI Partners Limited Dividend Policy VGI Partners Limited (the “Company”) will target a dividend pay-out ratio of between 50% and 75% of normalised profit after tax. In a period of outsized performance fee revenue or when the Company is investing capital to improve shareholder returns in
Slide 24: Appendix C: Statutory vs Normalised P&L
1H21 1H20 1H21 1H20 Appendix C Six Months to 30 June ($ million) statutory statutory normalised normalised Statutory vs Normalised P&L Income Management fees (net) 18.7 18.9 22.2 22.2 Normalised 1H21 NPAT adds back contra- revenue relating to the amortisation of Performance fees (net) 50.4 0.1 50.4
Slide 25: Disclaimer
Disclaimer: VGI Partners Limited (ABN 33 129 188 450) (VGI Partners) is the holder of an Australian Financial Services Licence (No. 321789) and is SEC registered. The information in this presentation (Information) has been prepared by VGI Partners and is current as at the date of this presentation.