Alliance Aviation Services Limited · ASX:AQZ
Alliance Aviation Services — H1 FY2015 Earnings Presentation
20 slides from Alliance Aviation Services's earnings presentation, Feb 12, 2015
Slide 1: Interim Results Presentation Half Year 31 December 2014
For personal use only Interim Results Presentation Half Year 31 December 2014 Released 12 February 2015 Scott McMillan, Managing Director Matt Dyer, Chief Financial Officer Lee Schofield, Chief Operating Officer
Slide 2: Key Themes
Key Themes For personal use only • A range of long term contracts across a number of commodities underpin the majority of the revenue; • A focus on revenue diversification to stimulate future revenue growth outside of traditional FIFO operations; • Continued focus on cost control and organisational
Slide 3: Maintained profitability
Maintained profitability For personal use only • The half is summarised by: – Consistent flying schedule for the majority of the contracts; – 95% on time performance for the 6 months; – The renewal of the Ernst Henry Mining contract albeit at a reduced level; – The consolidation of the flying into t
Slide 4: Interim Results
For personal use only Interim Results Half year ended 31 December 2014
Slide 5: Underlying Income Statement Summary
Underlying Income Statement Summary For personal use only Profit & loss statement Key observations % 1HFY14 1HFY14 pcp ($ in millions) Actual Actual Change • Contracted FIFO revenue increased as a Revenue % of total revenue FIFO 90.6 84.4 7% • Wet Lease income has stabilised following Charter / ACMI
Slide 6: Summary Balance Sheet
Summary Balance Sheet Balance Sheet Key observations For personal use only ($ in millions) 31-Dec-14 30-Jun-14 31-Dec-13 • Impairment charge of $45 million Cash 4.1 0.2 1.9 Receivables 21.8 23.9 28.0 has reduced the PP&E. Inventory 24.3 24.4 9.5 • Continued investment in aircraft Total current asset
Slide 7: Cash flow Statement
Cash flow Statement Cash flow statement Key Observations For personal use only 1HFY15 1HFY14 • Free cash flow a priority of the Board ($ in millions) Receipts from customers (inclusive of GST) 124.1 122.2 • Positive cash flow from operations of Payments to suppliers (inclusive of GST) (103.8) (97.9)
Slide 8: Operational Statistics
Operational Statistics For personal use only Metric 2014 2013 Avera ge Ai rcra ft i n Servi ce 27.0 27 Fl i ght Hours - FIFO / Cha rter 11,792 11,580 Fl i ght Hours - Wet Lea s e 343 1,592 Tota l Fl i ghts 9,476 9,879 Avera ge Sta ff Numbers 510 512 EBITDA per Ai rcra ft ($m) 0.97 0.89 Revenue per E
Slide 9: Major Contracts by Commodity
Major Contracts by Commodity For personal use only • Broad exposure to a range of commodities across a range of contracts 9
Slide 10: Total Revenue by Customer
Total Revenue by Customer For personal use only • Broad exposure to a diverse range of customers 10
Slide 11: Customer Relationships
Customer Relationships For personal use only • Again able to demonstrate the ability to retain long term contracts • Visibility of revenue in FY15 and FY16 with the longer term contracts 11
Slide 12: Operations update
For personal use only Operations update
Slide 13: Alliance vs. Other Major and Regional Airlines
Alliance vs. Other Major and Regional Airlines Key attributes Alliance Airlines Typical Major or Regional Airlines For personal use only Commodity production volumes and capital Highly cyclical, subject to general business and investment growth consumer confidence activity Revenue drivers Able
Slide 14: Footprint Extended to Include New Zealand
Footprint Extended to Include New Zealand For personal use only BRISBANE (HEAD OFFICE) CAIRNS • Offices • Hangar • Offices (engineering support and crew) − Heavy maintenance • Line maintenance − Line maintenance • FIFO terminal at TOWNSVILLE Brisbane Airport • Offices − Dedicated FIFO terminal, • Ha
Slide 15: Leader in experience, safety and compliance
Leader in experience, safety and compliance For personal use only • Australia’s most experienced and resourced F100/70 operator. • Maintained BARS Gold Recognition Status. • Most experienced F100/70 pilots and engineers in Australia. • World leader in Fokker performance engineering. • Fully complian
Slide 16: Outlook
For personal use only Outlook
Slide 17: Outlook
Outlook • Continue with the strategy of concentrating the FIFO exposure to For personal use only major players with long term contracts in production; • A strong focus on broadening the revenue base by: – extending the existing ad-hoc charter business which has not been possible in the past; and – P
Slide 18: Guidance
Guidance For personal use only • With the current forecast flying from existing contracts, Alliance forecasts a full year net profit after tax of approximately $13 million. • With amended fleet numbers, Alliance forecasts a lower capital expenditure spend compared with recent periods. • Alliance exp
Slide 19: Appendices
For personal use only Appendices
Slide 20: Disclaimer
Disclaimer For personal use only Reliance on third party information This presentation was prepared by Alliance Aviation Services Limited (ACN 153 361 525) (“Alliance”). This presentation may contain information that has been derived from publicly available sources that have not been independently v
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