Ashley Services : First Half 2022 Results Presentation

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H1 FY 2022 RESULTS

Friday 25 February 2022

POSITIVE TRENDS CONTINUE FOR H1 FY22

Positive trends continue across all financial performance metrics in H1 FY22

only	▪ Revenue of $219.8 million, up $33.8m or 18.2% on pcp
		▪ 57% of FY21 full year revenue
		▪ EBITDA of $9.3 million, up $2.6m or 39.5% on pcp
		▪ 60% of FY21 full year EBITDA
		▪ EBITDA rate 4.24%, up 65bps on pcp
		▪ NPAT of $5.9 million, up $1.8m or 43.2% on pcp
		▪ 61% of FY21 full year NPAT
use		▪ EPS of 4.03 cents per share, up 1.38 cents or 52.3% on pcp
	▪ 63% of FY21 full year EPS
Dividend payments continue to increase

▪ Fully Franked Interim Dividend for FY22 of 3.0 cents per share up 1.2 cents or 66.7% on pcp

▪ 71% of FY21 full year dividend

Increased working capital requirement due to revenue growth and peak seasonality

• Operating Cash Flow for the half-year was an inflow of $0.5 million (1H FY21 outflow of $7.0m)
• Borrowings (up $4.1m) are used to fund the gap between cash flow and funding requirements in a high working capital build peak period (Nov-Dec)

personalImpressive Safety Record continues

▪ The impressive safety performance of our company continues to represent world's best practice

* Prior corresponding period (pcp), being H1 FY21

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H1 FY22 RESULTS WELL AHEAD OF FY21 TRENDS

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REVENUE FY16 - FY22 (H1)

450.0
400.0		383.7
350.0	332.8	336.8
314.7
300.0	276.9	287.6
250.0		219.8
200.0

150.0

100.0

50.0

-

FY16

FY17

FY18

FY19

FY20

FY21

H1 FY22

• FY19 decline due to exit of a major, marginally profitable, Action Workforce contract (FY18 $59.2m)

NPAT FY16 - FY22 (H1)

12.0

10.0						9.6
8.0
6.0				5.4	5.1		5.9
	4.6	4.8
4.0
2.0
-
FY16	FY17	FY18	FY19	FY20	FY21	H1 FY22
-2.0

-4.0

-6.0-4.6

* FY16 & FY17 reflects Underlying EBITDA & Underlying NPAT

EBITDA FY16 - FY22 (H1)

20.0
						15.5
15.0
10.0				9.1	9.7		9.3
		8.0
		5.7
5.0
0.0
FY16	FY17	FY18	FY19	FY20	FY21	H1 FY22
(5.0)

(10.0)	(7.7)

EBITDA % FY16 - FY22 (H1)

5.00%

						4.05%	4.24%
4.00%				3.17%
				2.89%
3.00%
		2.40%
2.00%		1.81%
1.00%
0.00%
FY16	FY17	FY18	FY19	FY20	FY21	H1 FY22
-1.00%
-2.00%

-3.00%	-2.78%
-4.00%

STRENGTHENING REVENUE TRENDS

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• Labour Hire H1 FY22 Revenue of $213.8m up $32.2m (17.7%) on pcp
• • H1 FY22 Revenue represents 57.2% of full year FY21 ($374m)
• Training H1 FY22 Revenue of $5.9m up $1.6m (38.7%) on pcp
• • H1 FY22 Revenue represents 60.8% of full year FY21 ($9.7m)
• Labour Hire H1 FY22 EBITDA $10.6m, up $3.3m (44.2%) with all brands delivering positive EBITDA contributions
• Training H1 FY21 EBITDA $1.0m, down $0.4m on pcp, primarily due to the impact of Job Keeper payments received in FY21

REVENUE by Division FY16 - FY22 (H1)

450.0
400.0											9.7
350.0				6.7			7.3
300.0			25.5	8.0
	28.3
250.0										5.9
200.0											374.0
				326.1				329.5
150.0			289.2	279.6
	248.6
100.0										213.8
50.0
-
	FY16	FY17			FY18	FY19	FY20	FY21	H1 FY22
						Labour Hire			Training

EBITDA by Division FY16 - FY22 (H1)

25.0
20.0										2.0
15.0
					0.0	1.0	0.8		1.0
10.0
	2.9
							17.8
5.0		7.8		11.8	11.5	12.5		10.6
	4.9
0.0
										(2.2)
	FY16	FY17	FY18		FY19		FY20	FY21	H1 FY22
(5.0)	(6.9)				(3.8)	(3.4)	(3.6)	(4.3)
		(5.0)
(10.0)	(5.7)
(15.0)
					Labour Hire		Training		Corporate

* FY16 & FY17 reflects Underlying EBITDA

BUSINESS GROWTH OVERVIEW

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284 Internal Staff up 14 or 5%

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25 Offices

New: Northlakes & Blair Athol

844 Customers

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Weekly Workers

5,770+ up 170 or 3%

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1

2

1

4

Years Tenure Top 20 Customers

6.5 up 0.5 years

9

Fully Integrated Labour Hire & Training provider

* Trends are relative to financial year end FY21

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