VivoPower International PLC (VVPR) Q4 2022 Earnings Call

Investor webinar replay

Replay transcript excerpt

Good day, and thank you for standing by. Welcome to the Vivo Power International PLC Fiscal Year 2022 Full Year Earnings Conference Call. At this time, all participants are in a listen-only mode. Please be advised that today's conference is being recorded. I would like to hand the conference over to your speaker today, Kevin. Thank you, Victor, and welcome, everyone, to the F.22 conference. earnings call for a beautiful deal. We'll jump straight into slide two, which is the executive summary. So in a nutshell, we've made significant strategic progress over the last 12 months, but we've had to contend with quite a few headwinds, including lingering COVID effects on our businesses in Australia, as well as foreign exchanges. So going through key points, firstly, revenue declines to 37.7%, primarily attributable to these COVID lockdowns, which we previously flagged as a half-year result, which unfortunately did extend through the majority of periods over the last six months as well. That caused delays to distribute works for our businesses yesterday. In addition, there's been a sharp drop in the exchange rate on a constant effective basis. Our revenue declined by 3% year on year. In terms of gross profits, this includes the discontinued operations. They decreased by $4.7 million to $1.4 million for the same reasons I mentioned before, and in addition to that, In particular, we had a $1.9 million cost overrun on the bluegrass project due to interstate border closures in Australia. Our GDP margin declined to 4% versus 16% year-on-year, and this in turn reflects increased compliance costs, increased supply chain costs, as well as the one-off bluegrass solar project GP margin adjusted for the cost overruns for bluegrass was 9% for FY22 and excluding the discontinued operatio...