Hitech Group Australia Limited · ASX:HIT
Hitech Group Australia — FY2020 Earnings Presentation
16 slides from Hitech Group Australia's earnings presentation, Aug 19, 2020
Slide 1: Presentation – Full Year FY2020 Results
Presentation – Full Year FY2020 Results Presentation - Half Year FY2020 Results (ASX Code: HIT) (ASX Code: HIT) 28 FEBRUARY 2020
Slide 2: HiTech Group Overview
HiTech Group Overview • HiTech Group is a leading provider of innovative HR and information technology consulting solutions for clients in the federal government, HIT Capital Structure state government and private sector Closing price as of 13/08/2020 $1.58/share 52-week high $1.67/share • Services
Slide 3: Board & Senior Management
Board & Senior Management Executive Director Elias Hazouri has led HiTech as CEO since 2000 and has nearly 30 years’ experience with the company. Ray Hazouri Qualifications: BA (Sydney University), DipEd. Experience: Founded HiTech in 1993 and has over 30 years’ experience in the IT industry. Prior
Slide 4: FY2020 Highlights
FY2020 Highlights • FY2020 was a 6th consecutive record year of revenue, EBITDA And NPAT versus pcp • FY2020 growth of 10% in revenue, 8% in EBITDA and 15% in NPAT versus pcp Record Growth • Growth is fueled and underpinned by a long term, blue chip client base and continued strong demand from multi
Slide 5: ICT Sector Overview
ICT Sector Overview • The Gartner ‘CIO Agenda’ survey ‘The leadership, organizational and technology priorities CIOs must A$ BN CAGR = 3.8% face in 2020’ highlighted: 25 • 30% of respondents indicated that IT Service 23.40 Failure disrupted their operation; and • 25% of respondents indicated that Cy
Slide 6: Competitive Landscape
Competitive Landscape • HiTech works closely with select blue chip client base on talent acquisition and specialist ICT assignments • Working with government and large enterprises requires significant trust, goodwill and rapport to be developed over a substantial period of time; HiTech has always de
Slide 7: HiTech Value Proposition
HiTech Value Proposition • Management intimately understands the key drivers of recruitment and ICT consulting services for its clients – Over 50 years of combined expertise • Execute and deliver on time for clients: rewarded with long, established business relationships and recurring revenue stream
Slide 8: Our Talent Solutions
Our Talent Solutions Talent acquisition Managed service Security and cybersecurity provider Cloud services Digital transformation Internet of Things Apps Networks Big data & analytics Data centres Procurement Storage AI & machine learning Telecommunications Mobile solutions 8
Slide 9: Revenue Breakdown
Revenue Breakdown HiTech has a diversified blue chip client base with solid revenue base supported by a diverse and active government and corporate talent supply agreements FY2020 Revenue Breakdown - Top 10 Clients Average History of Service by Client Type Concentration 8% Australian Govt (Federal &
Slide 10: High Quality Client Base
High Quality Client Base HiTech has developed and maintained strong relationships with key federal government departments for nearly 30 years and through federal budget cycles FY2020 Revenue Breakdown – Client Type 1% 1% 2% 2% 2% 2% 6% 10% 1% 4% 13% 5% 7% FY2020 Federal Government Revenue 10% 4% 4%
Slide 11: Growth Strategy
Growth Strategy HiTech has identified and implemented a two-tier growth strategy focused on leveraging its strong position in ICT recruitment to win new mandates and customers along with seeking to execute opportunistic and complementary acquisitions Organic Growth Acquisitions • On-boarding of new
Slide 12: HiBase – Proprietary Talent Database
HiBase – Proprietary Talent Database • HiBase is a predictive intelligence tool built by HiTech for sourcing ICT talent • HiTech has developed a substantial and comprehensive date database of over380,000 professional candidates for contract or permanent positions • The HiTech Services team is at the
Slide 13: Focus on Shareholder Returns…
Focus on Shareholder Returns… A$ M Revenue Growth A$ M EBITDA CAGR = 24.8% CAGR = 15.0% 5 4.33 35 33.3 4.01 30.28 4 3.81 30 3.43 26.38 25 23.32 3 20 18.26 2.19 2 15 10 1 5 0 0 FY2016 FY2017 FY2018 FY2019 FY2020 FY2016 FY2017 FY2018 FY2019 FY2020 A$ M NPAT Cents per Share Dividends 4 CAGR = 29.1% 3.3
Slide 14: …And Fiscal Discipline
…And Fiscal Discipline ⁽1⁾ Net Debt A$ M 0 -1 -2 -1.84 -3 -4 -5 -4.41 -5.21 -6 -5.94 -6.10 -7 -7.61 -8 2015 2016 2017 2018 2019 2020 • HiTech is a resilient and strong company with a robust balance sheet • No debt and cash balance of $7.61M at end of FY2020 • History of maintaining strong fiscal dis
Slide 15: Contact Information
Contact Information Elias Hazouri CEO elias@hitechaust.com (02) 9241-1919 www.hitechaust.com Level 9, 189 Kent street, Sydney, NSW 2000, Australia 15
Slide 16: Important information and disclaimer
Important information and disclaimer This presentation has been prepared by HiTech Group Australia Limited ABN: 41 062 067 878 (“HiTech”). This document contains background information about HiTech current at the date of this presentation. The presentation is in summary form and does not purport be
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