Coventry Group Ltd (CYG) Q4 2024 Earnings Call

Investor webinar replay

Replay transcript excerpt

I would now like to hand the conference over to Robert Bullis, Chief Executive Officer and Managing Director, and Rod Jackson, Chief Financial Officer of the Coventry Group. Please go ahead. Thank you. Hi, everyone. I'm Robert Bullis, the CEO and Managing Director of the Coventry Group, and I also have with me Rod, our CFO. So today I'm going to cover off on the following areas. Firstly, the results for FY24. Secondly, an update on how our markets are trading. Third, updates on our key strategic initiatives. And then finally, just a bit of a discussion around our growth opportunities across the business units. At the end of the session, there will also be an opportunity for questions. So firstly, to the FY24 results, our trading performance improved during FY24, delivering sales and pre-AASB16 EBITDA year-on-year growth. Further references I make now to EBITDA during the teleconference will be always to EBITDA pre-ASB16 and also before significant items. Very pleasingly, this is our seventh consecutive year of sales and EBITDA growth. Key highlights in the FY24 results were sales growth of 3.4% to $378 million and positive EBITDA growth up 22.4% to $20.8 million. The buy and sell side margin initiatives that we put in place last year had a big impact on that result. Statutory net profit for the year was $700,000. This was lower than the previous year, but largely due to the $9.1 million of investment into our ERP system upgrade. The ERP project is progressing well. More detail on that later. but we currently have 11 of the fluid system branches and our pilot KNZ branch live, along with finance. We also completed the acquisition of Steelmasters, creating a larger and more profitable specialist fastener business across Australia and New Zealand. The board has declared ...