Turners Automotive Group Ltd · NZX:TRA
Turners Automotive — Turners — Shareholder Meeting (September 2015)
33 slides from Turners Automotive's shareholder meeting presentation, Sep 16, 2015
Slide 1: Turners Limited Annual Meeting
Turners Limited Annual Mee1ng 16 September 2015 Turners Limited 2015 Annual Shareholders’ Mee9ng
Slide 2: Agenda
AGENDA • Welcome • Chairman’s Address • CEO’s Address • Discussion • Resolu9ons as per No9ce of Mee9ng • Close of Annual Mee9ng Turners Limited 2015 Annual Shareholders’ Mee9ng 2
Slide 3: Board of Directors
BOARD OF DIRECTORS Entrepreneurial Board with a range of Grant Baker Non-‐execu9ve Chairman skills, exper9se and knowledge that are Paul Byrnes Deputy Chairman and CEO of value to our company Michael Dossor Non-‐execu9ve Director Strong representa9on of owners at Board table John Gosney Non-‐exec
Slide 4: Leadership Team
LEADERSHIP TEAM Paul Byrnes Chief Execu9ve Officer Turners Limited A number of senior management appointments were made across the Barbara Badish Chief Financial Officer Turners Limited group in the first half of 2015: Todd Hunter Chief Execu9ve Officer Turners Group Dave Wilson appointed CEO of Aaron Saun
Slide 5: Chairman's Address
Chairman’s Address Turners Limited 2015 Annual Shareholders’ Mee9ng 5
Slide 6: Building an Integrated Financial Services Group
BUILDING AN INTEGRATED FINANCIAL SERVICES GROUP CONTROLLNG CUSTOMER BUILDING A FINANCE AND DEBT MANAGEMENT ORIGINATION INSURANCE ENGINE SERVICES Controlling the buying and Helping customers with simple Helping businesses of any size in selling transac9ons to earn and aPrac9ve Finance and New Zealand
Slide 7: Track Record of Successful Investments
TRACK RECORD OF SUCCESSFUL INVESTMENTS 2011 2012 2013 2014 2015 SHAREHOLDERS FUNDS $6m $19m $33m $74m $121m Turners Limited 2015 Annual Shareholders’ Mee9ng 7
Slide 8: Investment Delivering Growing Results and Returns
INVESTMENT DELIVERING GROWING RESULTS AND RETURNS Opera9ng Revenue Net Profit Before Tax Earnings Per Share 120,000 25,000 3.50 100,000 3.00 20,000 2.50 80,000 15,000 2.00 60,000 1.50 10,000 40,000 1.00 20,000 5,000 0.50 0.00 0 FY15 FY12 FY13 FY14 0 FY15 FY12 FY13 FY14 -‐0.50 FY15 FY12 FY13 FY14 -‐
Slide 9: Key Events in FY15
KEY EVENTS IN FY15 Posi9ve progress in line with growth strategy Further expanded the group with the acquisi9on of Oxford Finance and 100% ownership in Turners Group Added Christchurch-‐based Southern Finance since balance date Raised $30 million in oversubscribed capital raising to partly fund the
Slide 10: Strong Platform in Place for Future Growth
STRONG PLATFORM IN PLACE FOR FUTURE GROWTH • Track record to date of improving results and returns • Poriolio of strong businesses providing sustainable profits and increasing cashflows • Opportuni9es to drive growth in exis9ng businesses and leverage integra9on synergies across the group • Con9nue to
Slide 11: CEO's Address
CEO’S ADDRESS Turners Limited 2015 Annual Shareholders’ Mee9ng 11
Slide 12: FY15 Financial Highlights
FY15 FINANCIAL HIGHLIGHTS Delivered results above guidance Record net profit before tax increased to $19 million. Profit aker tax increased 120% to $18.1 million Underlying trading profit, excluding one off gains was $14.0 million Earnings per share was 3.28 cents per share, up 61% from FY14 Shareholder
Slide 13: Turners Limited: A Growth Business
TURNERS LIMITED: A GROWTH BUSINESS INTEGRATED FINANCIAL SERVICES GROUP WITH A PRIME FOCUS ON THE AUTOMOTIVE SECTOR CONTROLLNG CUSTOMER BUILDING A FINANCE AND INSURANCE ENGINE DEBT MANAGEMENT SERVICES ORIGINATION Controlling the buying and Helping customers with simple and aPrac9ve Helping businesses
Slide 14: Focus for Growth Strategy
FOCUS FOR GROWTH STRATEGY ORGANIC GROWTH Iden9fy opportuni9es to grow each business: More customers, more products and services, more channels MERGERS & ACQUISITIONS GROWTH Target businesses that build capability/scale and have INTEGRATION sustainable earnings and OPPORTUNITIES growth poten9al Cross
Slide 15: Turners Group
TURNERS GROUP NZ’s leading used vehicle and machinery retailer • Holds less than 10% share of highly fragmented used vehicle market • Auc9ons: operates in two broad markets -‐ vehicles and commercial goods • Fleet: vehicles purchased by Turners for resale • Finance: provider of customer finance to a
Slide 16: Dorchester Finance
DORCHESTER FINANCE Providing flexible finance solu^ons for personal and SME customers • Majority of lending is for motor vehicle loans to consumers (65%) arranged through dealers and brokers. The remainder is commercial lending for plant and equipment, property, working capital and leasing • Compe99ve
Slide 17: Oxford Finance
OXFORD FINANCE Medium sized lender providing services to dealers, brokers and direct to the public • Approx. 85% of business from motor vehicle lending • Growing client base • Evolved from small local company to na9onal provider • Levin Head Office. 27 Employees • Book size up to $55m up 15% on FY14 W
Slide 18: Insurance
INSURANCE Distributes life and nonlife insurance products through three customer facing brands: • Mainstream Insurance: Consumer vehicle and finance related insurance products to the motor industry including motor vehicle insurance and mechanical breakdown insurance • Dorchester Life: Funeral Plan an
Slide 19: EC Credit
EC CREDIT Recognised leader in the debt collec^on and credit management industries • Total debt management and credit control services for NZ and Australia customers • Commercial and consumer debt collec9on • Experts in Terms of Trade documenta9on and implementa9on of best prac9ce credit solu9ons •
Slide 20: Turners Limited: Growth Business
TURNERS LIMITED: GROWTH BUSINESS ORGANIC, M&A INTEGRATION GROWTH OPORTUNITIES CONTROLLNG CUSTOMER BUILDING A FINANCE AND INSURANCE ENGINE DEBT MANAGEMENT SERVICES ORIGINATION • Increase exposure to • New channels • New corporate customers retail customers • New products (banks) in Australia • Develo
Slide 21: Five Months Performance to 31 August 2015
FIVE MONTHS PERFORMANCE TO 31 AUGUST 2015 20% 15% Against 10% Forecast 5% 0% -‐5% 0% 5% 10% 15% 20% 25% 30% 35% 40% -‐5% Against Last Year Turners Limited 2015 Annual Shareholders’ Mee9ng 21
Slide 22: FY16 Outlook
FY16 OUTLOOK Interim Profit – 6 Months to 30 September 2015 • Guidance of $9.5 million profit before tax • Up 70% on last year’s interim profit Full Year Profit – 12 Months to 31 March 2016 • Guidance $20.0 million profit before tax • Up 43% on $14.0 million trading profit to 31 March 2015 Turners Limited
Slide 23: Questions & Discussion
QUESTIONS & DISCUSSION Turners Limited 2015 Annual Shareholders’ Mee9ng 23
Slide 24: Resolution 1
Resolu'on 1 That Staples Rodway be reappointed as auditors of the Company and that the directors be authorised to fix the auditors’ remunera9on. Turners Limited 2015 Annual Shareholders’ Mee9ng 24
Slide 25: Resolution 2
Resolu'on 2 That Machew Harrison, who re9res by rota9on and has offered himself for re-‐elec9on, be re-‐elected as a Director of the Company. Turners Limited 2015 Annual Shareholders’ Mee9ng 25
Slide 26: Resolution 3
Resolu'on 3 That Michael Dossor, who was appointed by the Board since the Company’s last annual mee9ng and re9res pursuant to NZX Main Board Lis9ng Rule 3.3.6 and, being eligible, has offered himself for elec9on, be elected as a Director of the Company. Turners Limited 2015 Annual Shareholders’ Mee9n
Slide 27: Resolution 4
Resolu'on 4 That Antony Vriens, who was appointed by the Board since the Company’s last annual mee9ng and retures pursuant to NZX Main Board Lis9ng Rule 3.3.6 and, being eligible, has offered himself for elec9on, be elected as a Director of the Company. Turners Limited 2015 Annual Shareholders’ Mee9n
Slide 28: Resolution 5
Resolu'on 5 That John Roberts, who was appointed by the Board since the Company’s last annual mee9ng and retures pursuant to NZX Main Board Lis9ng Rule 3.3.6 and, being eligible, has offered himself for elec9on, be elected as a Director of the Company. Turners Limited 2015 Annual Shareholders’ Mee9ng
Slide 29: Resolution 6
Resolu'on 6 To authorise the increase of the maximum aggregate remunera9on payable to all non-‐execu9ve directors of the Company and its subsidiaries from $375,000 to $440,000 per annum, to be allocated between the directors as they consider appropriate and that such fees may be sa9sfied in whole or
Slide 30: Resolution 7
Resolu'on 7 To approve altera9ons to the cons9tu9on of Turners Limited by special resolu9on. Turners Limited 2015 Annual Shareholders’ Mee9ng 30
Slide 31: Poll Instructions
POLL INSTRUCTIONS • Vo9ng on each of the resolu9ons in the No9ce of Mee9ng will be by way of poll • Staples Rodway, the company’s auditors, will act as scru9neers • Please use the vo9ng paper you received in the mail or were given when you registered for this mee9ng. If you do not have a vo9ng paper
Slide 32: General Business, Close of Meeting
GENERAL BUSINESS CLOSE OF MEETING Presenta^on and addresses are available at www.turnerslimited.co.nz Turners Limited 2015 Annual Shareholders’ Mee9ng 32
Slide 33: Disclaimer
DISCLAIMER Turners Limited the (company) is solely responsible for the content of this document. This document is not an investment statement or prospectus and does not cons9tute an offer of securi9es. This document or any other wriPen or oral statements made by, or on behalf of, the company may incl