Pwr Holdings Ltd. · ASX:PWH
Pwr — FY2022 Earnings Presentation
24 slides from Pwr's earnings presentation, Aug 18, 2022
Slide 1: PWR Holdings Limited 2022 Annual Results Presentation
PWR Holdings Limited ENGINEERING THE UNFAIR ADVANTAGE (ASX:PWH) 2022 Annual Results Presentation August 2022 Presented by: Kees Weel – Managing Director Martin McIver – Chief Financial Officer
Slide 2: Important Notice
Important Notice This document has been prepared by PWR Holdings Limited (PWR) and comprises written materials/slides for a presentation concerning PWR. This presentation is for information purposes only and does not constitute or form part of any offer or invitation to acquire, sell or otherwise di
Slide 3: Performance Highlights
Performance Highlights Strong Business Growth Overall 28% revenue growth – solid growth across all key markets Original Equipment Manufacturers 65% growth – strong growth due to new programs including Aston Martin (Automotive OEM) Valkyrie and Rimac Nevera, and the continuation of existing programs
Slide 4: Performance Challenges – COVID-19
Performance Challenges – COVID-19 COVID-19 FY22 was impacted by market uncertainty with frequently changing rules and guidelines International and State border closures restricted movement of employees. These restrictions eased in the second half of the year, allowing for increased travel and in per
Slide 5: Performance Challenges – Other
Performance Challenges – Other Supply Chain and Cash from Supply chain shortages have resulted in increased prices, lead times and minimum Operating Activities order quantities for raw materials We have increased forward orders and inventory of raw materials to ensure continuity of supply, reducing
Slide 6: Performance Overview
Performance Overview FY22 FY21 Change Shares on issue 100.3 m 100.2 m 0.1% Market capitalisation1 $633.9 m $710.3 m (10.8%) Key points • COVID-19 Support – FY22 $0.07 million Cash & deposits $21.5 m $19.9 m 8.3% (FY21: $1.99 million) Lease liabilities2 $6.7 m $8.5m (20.3%) • Strong H2 Revenue – seco
Slide 7: Performance Trend
Performance Trend 16.3% YoY 1 CAGR - Compound Annual Growth Rate over 6 years August 2022 – FY22 Full Year Results 7
Slide 8: Total Shareholder Return
Total Shareholder Return Three year relative TSR ending 30 June 2022 August 2022 – FY22 Full Year Results 8
Slide 9: Revenue by Customer Market
Revenue by Customer Market Revenue by Customer Market FY22 FY21 Advanced Emerging Advanced Emerging Growth Cooling Technologies1 Total Cooling Technologies1 Total $'000 $'000 $'000 % $'000 $'000 $'000 % $'000 % Motorsports 47,476 7,809 55,285 55% 42,813 2,267 45,080 57% 10,205 23% Automotive OEM 18,
Slide 10: Revenue by Currency
Revenue by Currency Sales to third parties by currency 70,000 35.0% 60,000 25.8% 1.8% Revenue in currency '000 50,000 40,000 12.2% 30,000 20,000 14.2% Currency 30/06/2022 30/06/2021 Change FY22 Avg FY21 Avg Change GBP 0.5676 0.5426 4.6% 0.5457 0.5547 (1.6%) 10,000 USD 0.6886 0.7512 (8.3%) 0.7257 0.7
Slide 11: Operating Expenses
Operating Expenses Key points • Raw materials and consumables • Usage increased by $2.8m or 15.8% A$'000 FY22 FY21 • Employee expenses • 88 or 24.2% headcount increase to support Usage of raw materials and consumables1 (20,851) (18,013) current and future growth Employee expenses1 (38,897) (30,932)
Slide 12: Balance Sheet
Balance Sheet June June A$000 2022 2021 Key points Assets • Strong liquidity and cash position Cash and cash equivalents 21,499 19,857 Trade and other receivables 13,813 9,341 • $9.5 million cash dividend paid during FY22 Inventories 12,746 6,489 • ROE increased to 27.3% (FY21: 26.3%), noting that t
Slide 13: Cash Movement Analysis
Cash Movement Analysis A$'000 FY22 FY21 Key points Trade and other 13,813 9,341 • Operating cashflow decreased by (26.6%) compared to prior Prepayments 2,125 829 period, noting: Inventories (excluding raw material investment1) 9,082 6,489 • prior period included $2.0 million in COVID support Trade &
Slide 14: Global Operations
Global Operations 1 PWR Locations Customers Suppliers August 2022 – FY22 Full Year Results 14
Slide 15: Business Outlook
Business Outlook • Organic Growth – extensive organic growth opportunities. Disciplined approach to selecting which opportunities to progress • Motorsports – continue to support all major motorsports categories as they strive to develop more efficient cooling technology • OEM programs – continued gr
Slide 16: Business Outlook – Emerging Technology
Business Outlook – Emerging Technology • Electric Vehicle (EV) and Hybrid Vehicle Markets – well placed to deliver high performance battery and electronics cooling products to the ever-expanding prestige EV and Hybrid markets • Cold Plates – the cold plate market previously limited to automotive app
Slide 17: Business Outlook – Aerospace & Defence
Business Outlook – Aerospace & Defence • Strong Second Half for FY22 – strong second half sales for key US customers and expanding new opportunities • Australian Defence – Government decision on large Australian Defence program expected to be made in September 2022 or soon thereafter. PWR continues
Slide 18: Pipelines – Key Automotive OEM
Pipelines – Key Automotive OEM Remaining Program Status SOP FY Prod. Years FY23 FY24 FY25 Vehicles Ford GT500 1,580 Nominated Supplier 2020 4 1 Ford GT40 160 Nominated Supplier 2019 5 1 Rimac - Nevera (300) 200 Nominated Supplier 2022 3 1 1 Valkyrie Road Car (155) 85 Nominated Supplier 2022 2 1 1 AM
Slide 19: Pipelines – Other Production Pipelines
Pipelines – Other Production Pipelines Market Vehicles/Parts Status SOP FY Prod. Years FY23 FY24 FY25 Motorsports - MMX Ongoing Nominated Supplier 2022 Ongoing 1 1 1 Motorsports - MMX Ongoing Nominated Supplier 2022 Ongoing 1 1 1 Motorsports - MMX Ongoing Nominated Supplier 2022 Ongoing 1 1 1 Motors
Slide 20: Planning for Future Success
Planning for Future Success In addition to achieving current year targets, the management team are laying the foundations for our future growth and success We will continue to partner with our customers to develop the leading edge high performance cooling systems, applying this knowledge to new appl
Slide 21: Investing in People
Investing in People PWR recognises that our People are core to our future success. To deliver on current and future opportunities, PWR is investing in growing headcount The People strategy includes: • Investment in Headcount – growth requires an ongoing investment in people to build headcount, with
Slide 22: Investing in Capability and Capacity
Investing in Capability and Capacity Capital Investment – an ongoing targeted capital investment program is critical to stay at the forefront of technology developments and to ensure we have sufficient capacity for anticipated and planned growth Future capex will be focused on new facility fit out a
Slide 23: Investing in Staff Retention
Investing in Staff Retention Retaining skilled staff is crucial to achieving our growth plans. We invest in upskilling our staff and strive to provide a rewarding career path Our staff retention strategies include: • Short Term Incentive (STI) – the PWR STI program has been expanded in recent years
Slide 24: For all thermal system requirements, PWR is your development and innovation partner
For all thermal system requirements, PWR is your development and innovation partner to help design, develop, manufacture and test all cooling solutions by: “Engineering The Unfair Advantage”