Eureka Group Holdings Limited · ASX:EGH
Eureka — Shareholder Meeting (November 2016)
17 slides from Eureka's shareholder meeting presentation, Nov 30, 2016
Slide 1: Eureka Group Holdings Limited AGM Presentation
Eureka Group Holdings Limited AGM Presentation For personal use only November 2016
Slide 2: Overview of Eureka Group
Overview of Eureka Group • Eureka aims to provide the highest level of low cost rental accommodation and associated For personal use only care to independent retirees who are either completely or primarily reliant on the Australian Government Pension and Rent Assistance In Australia 77% of single pe
Slide 3: Company Snapshot
Company Snapshot Capital Structure¹ Share Price Performance For personal use only Volume (m) Price (A$) Share Price A$0.73 $0.80 8.00 6.00 Share Price (A$) Shares Outstanding (m) 231.0 Volume (m) $0.60 Market Capitalisation A$168.7M 4.00 $0.40 Cash (30-Jun-16) A$6.8M 2.00 Debt (30-Jun-16) A$42.5M $0
Slide 4: Market Primer: The Australian Retirement Industry
Market Primer: The Australian Retirement Industry • Eureka’s model caters to the 65+ year olds whose primary source of income is the full aged For personal use only pension and requires no upfront capital 77% of single people (over age 65) rely on pensions as their primary source of income High Dema
Slide 5: Market Primer: The Australian Retirement Industry (cont'd)
Market Primer: The Australian Retirement Industry (cont’d) • Through 2014 to 2015, retirement villages accounted for 18% of the A$17bn revenue spent For personal use only on aged care accommodation Low Penetration of Retirement Living in Australia Growth in Demand Anticipated Across Cities • Accordi
Slide 6: Business Units Overview
Business Units Overview The key to Eureka’s success is the discipline and coordination of the three key business For personal use only units: • Real Estate Acquisition Team – The key to our Growth Strategy Searches regional Australia for low cost retirement villages or assets suitable for re-purposi
Slide 7: Key Operational Highlights
Key Operational Highlights Geographical Distribution of Villages For personal use only 35 villages under management 26 villages with freehold land and buildings owned NT 1,334 units owned QLD 19 Villages WA 2,073 units owned and/or managed SA 9 Villages 8-12 NSW villages to be acquired in next 12 mo
Slide 8: Eureka's Steady Growth Trajectory
Eureka’s Steady Growth Trajectory For personal use only • Eureka has grown over significantly the Units Owned/Managed (in units) last three years, with owned properties Owned increasing 91% year-over-year in FY2016 Managed • 200 low-cost rental accommodation assets 2035 identified and preliminary du
Slide 9: Eureka's Ability to Improve Village Performance Post-Acquisition
Eureka’s Ability to Improve Village Performance Post-Acquisition • Earnings for all villages have increased since acquisition by Eureka For personal use only • Operating efficiencies and economies of scale benefits continue to drive improved earnings Focus on increased rental rates, occupancy and ba
Slide 10: Key Financial Highlights
Key Financial Highlights • Revenue, EBITDA and NPAT have continued to increase as a result of village acquisitions For personal use only completed during the year • Cost control focus and scale benefits have flowed through to margins and bottom line results • Strong balance sheet – net assets of $64
Slide 11: Pro Forma Annualised EBITDA
Pro Forma Annualised EBITDA For personal use only • The nine village acquisitions announced since 1 July 2015 are expected to contribute an additional $6.09 million to Eureka’s EBITDA on an annualised basis Pro Forma Annualised EBITDA ($000’s) FY2015 Acquisitions 12,092 FY2016 Acquisitions 150 720 8
Slide 12: Growth Strategy
Growth Strategy For personal use only Acquisition Growth 1 Acquired 24 villages in last 28 months and is targeting a further 8-12 low-cost accommodation asset acquisitions in the next 12 months Organic Growth 2 Development on existing owned village sites will allow Eureka to develop more than 295 ad
Slide 13: Improving Performance – Select Case Studies
Improving Performance – Select Case Studies Terranora Village Redevelopment Shorty O’Neil Village For personal use only Acquired in December 2015 for $7M, the planned Acquired the 42-unit village in August 2016 for $1.05 redevelopment will include: million • Sale of 3.5 hectares of vacant land, gene
Slide 14: Income Statement
Income Statement For personal use only Income Statement Change Revenue, EBITDA and NPAT have continued (in $000's, except per share amounts) FY2015 FY2016 $ % to increase as a result of village acquisitions completed during the year Total Revenue 12,212 24,155 11,943 98% Operating Expenses " (8,083)
Slide 15: Balance Sheet
Balance Sheet For personal use only Balance Sheet (in $000's, except per share amounts) 30-Jun-15 30-Jun-16 • Healthy balance sheet to pursue an Assets Cash and Equivalents 5,154 6,841 continued growth strategy. Trade and Other Receivables 306 3,434 Inventories 20 6,300 • Improved working capital fr
Slide 16: Recent Recognitions
Recent Recognitions • The Global Awards recognise the best exemplar in the world and/or the service For personal use only provider who has most advanced service levels or innovation Most Outstanding Awarded The Most Outstanding Over 50s Rental Rental Housing Housing Management Group in the World in
Slide 17: Disclaimer & Contact Information
Disclaimer & Contact Information NO responsibility for contents of Presentation To the maximum extent permitted by law, Eureka Group Holdings Limited (ABN 15 097 241 159). its officers, advisers and representatives: For personal use only • make no representation, warranty or undertaking, and accept
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