Slide 1: Full Year Results
For personal use only Full Year Results 22 August 2013 Barry Lambert - Executive Chairman Michael Spurr - Managing Director & CEO
Slide 2: Full Year Result Highlights
Full Year Result Highlights For personal use only Financials Operating Result (EBITA): $19.37 million (up 2%) 2 3 Net Income for Member Firms: $20.15 million (up 3%) Net Profit after Tax: $11.08 million (down 2%) Net Profit after Tax attributable to shareholders: $10.92 million CUP Dividends 12 cent
Slide 3: Fully Franked Dividend Declared
Fully Franked Dividend Declared Dividend Declared Cents Per Ex-Dividend Record Payment For personal use only Share Date Date Date 2014 1st Interim Dividend 3 cents 21/10/2013 25/10/13 15/11/13 Recent CUP Dividends Dividends Paid Cents Per Share Paid 2012 Final Dividend 3 cents 15/08/2012 2013 1st In
Slide 4: The Countplus Network
The Countplus Network For personal use only 4
Slide 5: Group Performance – Member Firms
Group Performance – Member Firms 2013 2012 2013 2012 % Change Accounting For personal use only $ ‘000 % of revenues up 2% Total Revenue Financial planning up 5% Total Net Member Revenue 90,242 93,666 100% 11.28% 3.6% Property & related Expenses: services revenue 4% Salaries and Employment (51,698) (
Slide 6: Group Performance – Member Firms
Group Performance – Member Firms 2013 2013 % Change Head Office is For personal use only $ ‘000 % of Total expected to only Revenue have a mildly Net Income Member Firms 20,153 21.5% 2.6% negative financial impact on CUP’s Head Office Contribution (net cost) (932) 1.0% 214% performance moving forwar
Slide 7: Balance Sheet
Balance Sheet For personal use only 2013 % $ ‘000 Change Current Assets 35,172 16.3% Non-Current Assets 66,454 2.6% Cooper Reeves (Brisbane, QLD) Total Assets 101,626 7.0% Current Liabilities 22,126 (1.4%) Net debt has increased from Non-Current Liabilities 27,515 44.9% $2.4m last year due Total Lia
Slide 8: Recent Acquisitions / Investments
Recent Acquisitions / Investments Date Acquirer Acquisition / “Tuck-In” For personal use only Jul 2012 Kidmans Partners Assets of Victorian regional based accounting firm Dyason & (Melbourne, VIC) Associates Oct 2012 Countplus Limited 25% of Adelaide based professional services firm Hood Sweeney Jan
Slide 9: Benefits of Joining Countplus
Benefits of Joining Countplus What are the benefits to accountants and other For personal use only financial services businesses for being a part of the Countplus network? Learning from Member Firms & gaining cross referrals; cash buyer &/or diversification and growing business value at a listed m
Slide 10: Class Super
Class Super In July 2013 Countplus announced a strategic investment of For personal use only $2.15 million (an approximate 4% interest) in Super-IP Super-IP is the owner of Australia’s fastest growing Self- Managed Superannuation Fund (SMSF) software administration system - Class Super (Class)
Slide 11: Growth Acquisition Strategy
Growth Acquisition Strategy Organic growth is our priority – steady demand from For personal use only Vendors Funding of acquisitions will predominately be funded from profits & borrowings Acquisitions & investments will continue at 2 levels: - Initial minority stake (30%) in stand-alone busin
Slide 12: "C+2" - Overview
“C+2” - Overview Enhancement of existing progressive acquisition strategy For personal use only Proposed listing of a new accounting only vehicle in 2016/17 Targeting firms with $2m Net Profit before Tax at listing CUP will take initial interest of 30% of accounting firm Principals can the
Slide 13: "C+2" – Proposed Time Table & Structure
“C+2” – Proposed Time Table & Structure Stage 1 Stage 2 Stage 3 For personal use only (2013-2014) (Late 2016) (As soon as practical after Stage 2) “C+2” to acquire (for “C+2” to acquire another “C+2” to list on the ASX. cash) 30% of 21 - 30% of accounting Vendors will directly retain accounting busi
Slide 14: "C+2" – Benefit for Vendor Accounting Firms
“C+2” – Benefit for Vendor Accounting Firms Funding to: pay out retiring Principals; make acquisitions; or For personal use only diversify Principal’s investment Learning from like minded professionals in the Countplus network Model of the future – Principals retain direct financial interest a
Slide 15: "C+2" – Benefit to CUP
“C+2” – Benefit to CUP Risk Mitigation – part ownership reduces risk on large For personal use only investments Increased growth via “C+2” three stake structure: - Direct ownership & management via Accounting Principals (40%) - Share of listed company ownership via proposed ASX listing (30%) - C
Slide 16: Future Growth
Future Growth For personal use only Group Efficiency - Member Firms learn from each other and develop best practice - Cost synergies (limited) - Group specialisation Acquisition - Accounting franchise - Carefully targeted - Must be EPS accretive - May take form of “tuck-ins” by existing Member Firms
Slide 17: Outlook
Outlook The group benefits from its diversified portfolio of For personal use only businesses represented in every mainland capital city of Australia & in a number of regional centres First guidance to be reported at Annual General Meeting in November My Accounts SBS (Brisbane, QLD) 17
Slide 18: Full Year Results
For personal use only Full Year Results 22 August 2013 Barry Lambert - Executive Chairman Michael Spurr - Managing Director & CEO