Ive Group Ltd. · ASX:IGL
Ive — H1 FY2021 Earnings Presentation
22 slides from Ive's earnings presentation, Feb 25, 2021
Slide 1: FY21 H1 Results Presentation
IVE Group Limited FY21 H1 Results Presentation ASX : IGL 25 February 2021
Slide 2: Financial performance dashboard / Summary
Financial performance dashboard 3 Summary 4 From idea to execution, our landscape is constantly shifting and evolving. As marketing natives, so are we. We are forever seeking new ways to navigate Our integrated Financials Customers and the marketing maze. We connect service offering revenue 6 our cl
Slide 3: Financial performance dashboard
Financial performance dashboard (underlying continuing and post AASB16) GROSS PROFIT REVENUE EBITDA NPATA MARGIN $340.8m $59.2m $23.0m CONSISTENT WITH FY20 FULL YEAR FREE CASH NET DEBT INTERIM DIVIDEND CASH ON HAND CONVERSION TO $90.1m 7.0c $94.6m EBITDA OF 119% (a further reduction of $47.0m PER SH
Slide 4: Summary
Summary Solid financial performance ivolve launch > A solid financial performance for the half year despite the challenging > Following the successful pivot Go to the ivolve website conditions. The flexibility of our cost base and capacity to respond to into PPE during FY20, our the impacts of COVID
Slide 5: Our integrated service offering
Our integrated service offering Specialising in creative, data-driven communications, integrated marketing, production and distribution, we bring together the capabilities, specialists and technology needed to make customer connection seamless. Our offering is supported by robust integrated technolo
Slide 6: Financials
Financials 6 IVE Group Limited FY21 H1 Results Presentation
Slide 7: Financial results
Financial results H1 FY21 & FY20 Post AASB16 Actual H1 Actual H1 Variance Variance FY2021 FY2020 $m % $m $m Revenue 340.8 352.2 (11.4) (3.2%) Gross Profit 161.3 166.6 (5.3) (3.2%) % of Revenue 47.3% 47.3% 0.1% Underlying EBITDA continuing operations (inc JobKeeper) 59.2 49.9 9.2 18.5% Underlying EBI
Slide 8: Financial results (continued)
Financial results (continued) Revenue > Revenue of $340.8m to pcp of $352.2m — Includes Letterbox Distribution revenues of $53.5m — We estimate a revenue reduction to pcp of circa $50m as a result of the impacts of COVID-19, particularly in the retail catalogue and travel sectors — Revenue reduction
Slide 9: Net debt and capital expenditure
Net debt Actual H1 Actual H1 FY2021 FY2020 $m $m Loans & borrowings – short term 6.4 6.9 Loans & borrowings – long term 178.3 181.8 Loans & borrowings* – Sub Total 184.7 188.7 Less Cash 94.6 51.6 Net Debt 90.1 137.1 * Loans & borrowings are gross of facility establishment costs * Excludes right of u
Slide 10: Cash flow
Cash flow Strong cash flow with free cash conversion of 119% Underlying Stat H1 FY2021 H1 FY2021 $m $m Share Buyback EBITDA 59.2 56.6 > As at 31 December 2020 the Company had acquired 510,354 shares at a cost of $0.7m (average price of $1.37 per share) Movement in NWC/non cash items in EBITDA 11.5 1
Slide 11: Customers and revenue
Customers and revenue 11 IVE Group Limited FY21 H1 Results Presentation
Slide 12: Customers and revenue
Customers and revenue Core to the ongoing sustainability of the business is the value proposition we take to market remaining relevant by closely aligning to our clients evolving requirements. The diversity of IVE’s offer and capability to bundle solutions places us in a strong position relative to
Slide 13: IVE Group Limited FY21 H1 Results Presentation
13 IVE Group Limited FY21 H1 Results Presentation
Slide 14: Some examples of our diverse offer
Some examples of our diverse offer > We have moved deeper into the retail and FMCG vertical by obtaining HACCP (Hazard Analysis Critical Control Points) certification. This has enabled IVE to move beyond just point of sale production, and now through utilisation of our large Integrated logistics cap
Slide 15: IVE continues to grow its partnership with Woolworths
— IVE continues to grow and strengthen its partnership with Woolworths providing a wide range of services, whether that is through their 980+ store network or directly to their customers (consumers). IVE partners Woolworths in managing customer communication requirements for their Everyday Rewards P
Slide 16: Outlook
Outlook 16 IVE Group Limited FY21 H1 Results Presentation
Slide 17: Outlook
Outlook > FY21 full year underlying EBITDA expected to be consistent with FY20 ($100m underlying EBITDA continuing operations) > Gross profit margin expected to remain stable over the remainder of FY21 > Full year capital expenditure expected to be approximately $10m including MIS/ERP upgrades > Ful
Slide 18: Appendices
Appendices 18 IVE Group Limited FY21 H1 Results Presentation
Slide 19: Appendix A: Non-IFRS financial information
Appendix A Non-IFRS financial information In this Results Presentation, certain non-IFRS financial information has also been included to allow investors to understand the underlying performance of IVE. The Directors believe that the results before restructuring and acquisitions costs, and Pro Forma
Slide 20: Appendix B: Balance Sheet and NPAT reconciliation
Appendix B IVE Group Limited Balance Sheet Statutory to underlying NPAT reconciliation Post AASB16 Post AASB16 Actual Actual H1 FY2021 Dec-20 $m Jun-20 $m $m Current Assets Statutory NPAT continuing operations 18.9 Cash and cash equivalents 94.6 51.6 Restructure and acquisition costs 2.7 Trade recei
Slide 21: Appendix C: Disclaimer
Appendix C Disclaimer No recommendation, offer, Disclaimer disseminate any updates or revisions to this looking statements in this presentation invitation or advice information over time. Any forward-looking will actually occur. In addition, please note No representation or warranty, express stateme
Slide 22: IVE Group Limited
IVE Group Limited ABN 62 606 252 644 Level 3, 35 Clarence Street Sydney NSW 2000 Geoff Selig Executive Chairman Matt Aitken Chief Executive Officer Darren Dunkley Chief Financial Officer ivegroup.com.au Authorised by the IVE Board Contact: Richard Nelson Investor Relations richard.nelson@ivegroup.co