Apiam Animal Health Ltd

Apiam Animal Health — H1 FY2025 Earnings Presentation

19 slides from Apiam Animal Health's earnings presentation, Feb 26, 2025

  1. Slide 1: Apiam Animal Health H1 FY25 Results

    Apiam H1 FY25 results Apiam Animal Health H1 FY25 Results 26 February 2025

  2. Slide 2: H1 FY25 Results Summary

    H1 FY25 RESULTS SUMMARY Revenue Gross profit EBITDA1 (underlying, pre AASB 16) $106.2m $71.0m $10.8m +1.7% vs pcp +0.1% vs pcp (3.6)% vs pcp NPATA1 (underlying) NPAT (reported) Interim dividend $3.9m $(1.5)m 1.0 cps (15.5)% vs pcp (145.9)% vs pcp in-line with pcp Notes: 1. Underlying earnings are no

  3. Slide 3: H1 FY25 Performance Update

    H1 FY25 PERFORMANCE UPDATE Resilient Group revenues +1.7% in H1 FY25 through diversified portfolio • Clinical Vet Services segment revenue (1.7)% vs PCP - General Vet Clinics1 +3.2% +$2.1m - ACE Labs Diagnostics -60.5% ($1.8m) - Referral equine clinics -11.5% ($1.7m) • Intensive Animal Vet Services

  4. Slide 4: Clinical Vet Services

    CLINICAL VET SERVICES Clinical Vet Services - General Vet Clinics (Companion & Mixed Animal Clinics) % of H1 FY25 revenue - Referral Equine Clinic Services B2C 77% model - Diagnostic Services – via ACE Laboratories • Full-range of veterinary services & products required for animal health & well-bein

  5. Slide 5: Clinical Vet Services Segment - H1 FY25

    CLINICAL VET SERVICES SEGMENT - H1 FY25 Segment impacted in H1 FY25 by specific industry challenges, Clinical Vet Services – Quarterly Revenue ($M) despite solid result in core operations 43 42.3 42.4 42 (1.7%) Reported segment revenue growth H1 FY25 41 40.7 • Companion & mixed animal clinic revenue

  6. Slide 6: Intensive Animal Vet Services

    INTENSIVE ANIMAL VET SERVICES Intensive Animal Vet Services % of H1 FY25 revenue BEEF FEEDLOT & PIGS B2B Commercial feedlot & pig customers 23% model TECHNOLOGY & DATA ANALYTICS DRIVE APIAM’S SERVICE AND PRODUCT OFFERING: Livestock veterinary - Veterinary consulting services services - Advanced diag

  7. Slide 7: Intensive Animal Vet Services – H1 FY25

    INTENSIVE ANIMAL VET SERVICES – H1 FY25 INTENSIVE ANIMAL VET SERVICES REVENUE PERFORMANCE – HALF ON HALF (% GROWTH) 15% 15.0% Gross profit + earnings uplift in H1 FY25 10.0% Transition to higher value veterinary services 5.0% Increased use of data analytics to enhance & grow consulting services 0.4%

  8. Slide 8: Managing the Portfolio

    MANAGING THE PORTFOLIO DIVESTMENTS OF UNDERPERFORMING ASSETS & STRATEGIC ACQUISITIONS IN H2 FY25 Acquisitions and New Clinics in H2 FY25 • Executed non-binding term sheets in place to acquire several mixed Divestments in H2 FY25 animal veterinary clinics: - Expansion of WA and NSW regional networks

  9. Slide 9: H1 FY25 financial summary

    H1 FY25 financial summary

  10. Slide 10: H1 FY25 P&L Summary

    H1 FY25 P&L SUMMARY H1 H1 • Revenue +1.7%: resilient amid industry challenges. $m Variance % FY25A FY24A Performance impacted by challenges in Clinical Vet Services segment Total revenue 106.2 104.4 1.8 1.7% (ACE Laboratories and equine clinics – refer slide 5 for further information) Cost of goods

  11. Slide 11: Balance Sheet

    BALANCE SHEET Stable and in-line with prior period Key movements: $m 31 Dec 2024A 30 Jun 2024A • Working capital well managed with a focus on operating cash flow Cash 3.2 1.8 • No current exposure to earn-outs Trade & receivables 15.4 13.4 Inventories 15.9 15.1 • Intangibles impairment reflects dive

  12. Slide 12: Cash Flow

    CASH FLOW Cash conversion in line with Management target of 100% Statutory cashflows $m​ H1 FY25A H1 FY24A Cashflow Conversion $m H1 FY25A H1 FY24A Net cash provided by operating activities​ 8.5 8.2 Underlying EBITDA​ (pre AASB 16 lease adjustment) 10.8 11.3 Acquisition of subsidiary, net of cash​ (

  13. Slide 13: Dividend

    DIVIDEND Interim dividend declared FY25 interim dividend Dividend​ 1.0 cps Payout ratio on NPAT​​A (excluding impairment expense)1 52.4% Franking​ 100% Record date​ 4 March 2025 Payment date​ 28 March 2025 • Board declares an interim dividend of 1.0 cps, fully franked, payable on 28 March 2025 • Sup

  14. Slide 14: Strategy & outlook

    Strategy & outlook

  15. Slide 15: Organic Growth Strategy - FY25

    ORGANIC GROWTH STRATEGY - FY25 CLINICAL VET SERVICES INTENSIVE ANIMAL VET SERVICES GROWTH DRIVERS IN FY25 GROWTH DRIVERS IN FY25 Targeting group margin thresholds for all clinics Leverage investment made in software technology - driving volumes through enhanced marketing - optimising standards of ca

  16. Slide 16: Integration of AI to Enhance Revenue Growth and Clinic Efficiencies

    INTEGRATION OF AI TO ENHANCE REVENUE GROWTH AND CLINIC EFFICIENCIES AI-ASSISTED CX PLATFORMS BEING DEPLOYED TO ENHANCE CUSTOMER EXPERIENCE, STANDARDS OF CARE AND OPERATIONAL EFFICIENCIES • Opportunities identified to improve customer experience, increase volumes and achieve workflow efficiencies • I

  17. Slide 17: ACE Laboratories Driving Innovation & Growth

    ACE LABORATORIES DRIVING INNOVATION & GROWTH Growth opportunities, with further integration into Clinical Vet Current vaccine expansion project underway: Services segment • Victorian State Government Regional Jobs Fund grant of $700K to build vaccine lab Vaccines • Permit approval of four new vaccin

  18. Slide 18: Outlook

    OUTLOOK LOOKING AHEAD • Veterinary services remains resilient in rural and regional locations - Supported by Apiam’s diversified Clinical Vet Services (B2C) and Intensive Animal Vet Services (B2B) model - Expected increase for veterinary demand as COVID-19 pets head into “mid-life” stages from FY26

  19. Slide 19: Disclaimer

    Disclaimer DISCLAIMER The information presented to you by Apiam Animal Health Limited ACN 604 961 024 (Company) in this presentation and any related documents (together, Materials) has been prepared for information purposes only and is not an offer or invitation to acquire or dispose of shares in th

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