DWS : 2016 Full Year Results Presentation

DWS Limited

2016 Full Year Results Presentation

Introduction - Stuart Whipp (CFO) and Martin Ralston (Chairman)

Results Highlights

Full Year Results

Capital Management

Operations Update

DWS Growth Strategy

Summary and Outlook

Questions

• Strong 12 month revenue growth of $49.9 million to $144.5 million (53% on pcp)

• Both Symplicit and Phoenix acquisitions contributed positively in FY16 with combined revenue of approximately $45.5 million adding to organic growth of $4.4 million

• FY16 underlying EBITDA (excluding one-off items) up 63% to $25.8 million

• EPS of 12.74 cents (7.87 cents in pcp) a 62%

  increase on pcp

• Continued focus on productivity across the Group resulting in an improved EBITDA margin as well as higher EBITDA

• Growing client portfolio across the Eastern seaboard performing strongly with notable highlights in VIC and NSW

• Balance sheet remains sound and liquid with

  $10.2 million of cash at 30 June 2016

• Final fully franked dividend of 5.0 cents per share up 33% on pcp representing an 80% pay-out ratio for the year after adjusting for one-off and non-recurring income relating to acquisitions

  30 June 2016 $'000	30 June 2015 $'000	Movement
  Operating Revenue	144,494	94,632	49,862
  Gross Margin	32.5%	31.6%	0.9%
  EBITDA excluding one-off items	25,805	15,865	9,940
  EBITDA Margin	17.9%	16.8%	1.1%
  Reported EBITDA	25,434	14,902	10,532
  Reported EPS	12.74 cents	7.87 cents	4.87 cents

  • FY16 revenue $144.5 million up 53% on pcp including contribution from Symplicit and Phoenix

  • Average utilisation per consultant increased to 84% from 75% in FY16

  • Gross margin increased on the higher revenue base to 32.5% and EBITDA margin increased to 17.9%

  • One-off costs of $0.37 million consisting:

    • Bank facility set up costs; and

    • Phoenix transaction costs

  • $0.75 million income is non-recurring income relating to the acquisition of Symplicit