30 31 August Results presentation. For the year ended 31 May 2018

Transcription

1 30 31 August 2018 Results presentation For the year ended 31 May

2 Presentation overview 1. Overview of the year 2. Group synopsis 3. Financial performance 4. Segmental breakdown 5. Prospects 2

3 Overview of the year 3

4 Revenue Trading profit 1 Profit before tax (excl capital items) EPS & diluted EPS (continuing operations up 62%) HEPS & diluted HEPS (continuing operations up 40%) Core HEPS & diluted core HEPS (continuing operations up 31%) Profit for the year NAV Cash generated from operations 2 Final dividend declared Up 16% to R2,31 bn Up 4% to R168,0 m Up 27% to R117,8 m Up 82% to 52,7 cps Up 14% to 33,7 cps Up 9% to 40,2 cps Up 71% to R142,9 m Up 13% to 359,5 cps Up 3% to R303 m 5 cps Impacts: Difficult trading conditions Earnings growth entirely organic Net debt significantly reduced Disposed of 49% shareholding in DriveRisk Sale and lease back of Umlaas Road concluded Land adjacent to Umlaas purchased Level 2 BEE accreditation Repurchase of shares 1. Operating profit adjusted for changes relating to share based payments and profit/loss on sale of capital assets 2. Before changes in working capital, net finance costs. taxation and dividend 4

5 933,2 1126,9 907,4 1019,3 155,3 Segmental contribution 163,9 1995,9 2310,1 REVENUE (RM) 49% 44% 7% A BNORMAL LOGISTICS PRIMARY PRODUCT LOGISTICS OTHER LOGISTICS SERVICES TOTAL

6 96,5 121,6 100,7 95,1 12,9 14,9 Segmental contribution -48,8-63,6 161,3 168,0 TRADING PROFIT (RM) 53% 41% 6% CORPORATE ITEMS ABNORMAL L OGISTICS PRIMARY PRODUCT L OGISTICS OTHER L OGISTICS S ERVICES TOTAL

7 Corporate Actions 7

8 Corporate actions Post-year end event Cash consideration R43m Purchased additional 40ha at Umlaas Road facility Disposed of 49% in Drive Risk Cash R69,7m Profit on disposal R36,5m Umlaas Road sale and lease back Sale R240m Settled debt - R133,7m Cash R106,3m Projex Buffelshoek Increase stakes in companies 8 corporate transactions General share repurchase 5,2m shares Cash consideration - R15,8m Empowerment transaction Atlas 360 and Cranbourne AWCA Pomona property purchase Purchase price R16,5 Improvements R11m Siyaduma Purchase net assets R16m 8

9 Group overview 9

10 Specialist logistics service provider Moving forward together 10

11 Segmentation Abnormal Logistics Primary Product Logistics Other Logistics Services VDS TruckLogix 100% 100% OneLogix United Bulk OneLogix United Bulk Cryogas 100% 74,2% Siyaduma Group 75% Atlas 360 Cranbourne Empowerment transaction 100% 60% Purchase of business Siyaduma - incorporated into TruckLogix OneLogix Linehaul 75% OneLogix Cargo Solutions 69,5% OneLogix Projex 92,1% Jacksons 74% OneLogix Warehousing 69,5% Buffelshoek 82% QSA 85% 11

12 The OneLogix way 1 Well established niche logistics 2 provider Footprint across South Africa and neighbouring countries 12

13 The OneLogix way Strong market position 3 6 Company structure (empowering, entrepreneurial) 4 Customer service focused / good 7 staff relations Structured to assimilate acquisitions Corporate HR IT BEE Legal 5 Cash generative 8 Management capabilities Net cash resources R124,7 million at 31 May

14 The OneLogix way 9 Shareholding 12,7 Management 10,7 Direct BEE ownership 10,4 47,4 Institutions Brokers 18,8 Individuals / Other 14

15 Financial performance 15

16 Statement of comprehensive income R m May 2018 May 2017 Change (%) Revenue 2 310, ,9 16 Operating and administrative costs (2 016,5) (1 712,3) 18 Depreciation and amortisation (135,2) (132,9) 2 Profit/(loss) on disposal off PPE 14,5 (2,6) - Operating profit 172,9 148,1 17 Net finance costs (40,6) (57,6) (30) Profit before taxation 132,3 90,5 46 Taxation (26,0) (20,9) 24 Profit from continuing operations 106,3 69,6 53 Profit from discontinued operations - 14,2 - Profit on disposal of discontinued operation 36,5 - - Profit for the year 142,9 83,

17 1272,1 1368,0 Statement of comprehensive income - continued 1778,6 1995,9 2310,1 109,0 125,1 151,0 161,3 168,0 Revenue (R million) Trading Profit (R million) and Trading Margin (%) 180,0 9,7 160,0 140,0 8,6 9,1 8,5 8,1 7,3 8,7 7,7 120,0 6,7 100,0 5,7 80,0 4,7 60,0 3,7 40,0 2,7 20,0 1, , ,7 17

18 31,2 33,3-1,7 33,9 25,7 34,6 HEPS and Core HEPS 29,6 36,9 33,7 40,2 HEPS (cents) CORE HEPS (cents) 18

19 CASH FLOW (RM) Cash generated from operating activities TRADING PROFIT (RM) 220,0 170,0 151,0 161,3 168,0 120,0 109,0 125,1 70,0 20,0-30,0 119,1 129,8 173,2 205,1 137, Cash generated from Operations Trading Profit Focus: convert trading into cash discipline on working capital cycles 19

20 Statement of financial position R m May 2018 May 2017 Change (%) Non-current assets 1 187, ,3 - Current assets 564,5 412,2 37 Total non-current asset held-for-sale - 256,4 Total assets 1 752, ,9 (5) Equity 925,7 845,1 10 Liabilities Non-current liabilities 369,4 438,5 (16) Current liabilities 457,1 410,9 11 Non-current liability held-for-sale - 156,4 Total equity and liabilities 1 752, ,9 (5) NAV per share (cents) 359,5 317,4 13 NTAV per share (cents) 291,9 255,

21 Ratios May 2018 May 2017 Return on invested capital (%) * 11,3 11,0 Core headline return on equity (%) ** 11,9 12,2 Gearing ratio (%) 20,9 30,2 Interest cover (times: on trading profit basis) 4,1 2,9 * Return is calculated by reducing trading profit by the effective income tax rate plus income from associate. The invested capital is an average of shareholder funds plus non controlling interests plus net interest bearing debt for the year. ** Core headline earnings as percentage of average shareholders funds for the year. 21

22 Vehicle and trailer summary Company Number of vehicles Number of trailers Vehicle Delivery Services TruckLogix 6 6 United Bulk OneLogix Linehaul OneLogix Projex Jackson Buffelshoek Total

23 Capital expenditure Capex Fleet R89,1m Expansion R72,4m Replacement R16,7m Property Development IT Other Total R40,6m R6,1m R4,4m R140,2m 23

24 Summarised statement of cash flows R m May 2018 May 2017 Change (%) Net cash generated from operating activities 137,3 205,1 (33) Cash generated from operations before changes in working capital 303,2 294,1 Changes in working capital (65,7) 9,7 Net finance costs (43,0) (57,6) Taxation paid (18,1) (18,6) Dividends paid to shareholders (39,1) (22,5) Net cash flows from investing activities 105,0 (36,1) >100 Net cash flows from financing activities (212,6) (174,7) 22 Net movement in cash resources 29,7 (5,7) Cash resources at beginning of year 95,0 100,0 Exchange (loss)/gain on cash resources (0,1) (0,7) Cash resources at end of the year 124,7 95,

25 General repurchase of shares Dates of repurchase Oct 17 Jan 18 Number of shares repurchased Total value of shares repurchased 5,2 million R15,8 million 1,8% of issued share capital Average purchase price of 304 cps Repurchased shares have been delisted and returned to authorised but unissued share capital 25

26 Segmental breakdown 26

27 Abnormal Logistics 27

28 TRADING PROFIT RM REVENUE RM Abnormal Logistics Constituents: Vehicle Delivery Services TruckLogix OneLogix Projex 1180,0 1110,0 1040,0 970,0 900,0 830,0 933,2 1126,9 760, ,0 121,6 10,0% 110,0 96,5 9,0% Trading profit percentage calculated after allocation of pro-rata corporate costs 90,0 70,0 50,0 7,9% 8,0% 8,0% 7,0% 6,0% 30,0 5,0% 10, ,0% 28

29 VDS 29

30 VDS Storage 30

31 TruckLogix 31

32 TruckLogix Storage 32

33 OneLogix Projex 33

34 Primary Product Logistics 34

35 TRADING PROFIT RM REVENUE RM Primary Product Logistics Constituents: OneLogix United Bulk OneLogix Linehaul Jackson Buffelshoek 1150,0 950,0 750,0 550,0 350,0 150,0 907,4 1019, ,7 95,2 10,0% 8,0% Trading profit percentage calculated after allocation of pro-rata corporate costs ,7% 6,6% ,0% 4,0% 2,0% 35

36 United Bulk 36

37 OneLogix Linehaul 37

38 Jackson 38

39 Buffelshoek 39

40 Other Logistics Services 40

41 TRADING PROFIT RM REVENUE RM Logistics Services Constituents: Atlas 360 Cargo Solutions Warehousing ,2 163, Trading profit percentage calculated after allocation of pro-rata corporate costs 15, , , , ,5 12,9 5,8% 14,9 6,3% 6,4% 6,2% 6,0% 5,8% 5,6% 5,4% 41

42 Atlas

43 Cargo Solutions 43

44 Warehousing 44

45 Prospects 45

46 Risks and prospects Risks: Margin squeeze Complacency Rail Normal operational risks Maintain and grow market share (organic growth) Focus on efficiencies within each company of the group Advantageous positioning with BEE accreditation Continue to investigate Acquisitions New start up businesses Tough trading conditions likely to remain for foreseeable future 46

47 Thank you For any further Investor Relations assistance please contact: Ian Lourens (CEO) or Vanessa Rech (Keyter Rech Investor Solutions)