Whitefield Industrials Limited · ASX:WHF
Whitefield Industrials — Whitefield — Shareholder Meeting (July 2011)
19 slides from Whitefield Industrials's shareholder meeting presentation, Jul 5, 2011
Slide 1: Annual General Meeting
For personal use only ANNUAL GENERAL MEETING WHITEFIELD LIMITED Tuesday 5 July 2011 0
Slide 2: Important Information
IMPORTANT INFORMATION For personal use only The commentary within this presentation is general investment information only and is limited in scope. It should not be considered to provide a full outline of all information an investor should consider prior to making an investment. The presentation doe
Slide 3: An Investment in Whitefield Provides…
AN INVESTMENT IN WHITEFIELD PROVIDES… For personal use only INVESTMENT RETURN EFFICIENCY EASE Dividends and long term One of the more cost efficient The ability to invest by capital growth from a Aust share managed purchasing shares on diversified portfolio of investment vehicles available the ASX.
Slide 4: Whitefield: Consistency and Efficiency – Years of Investment
WHITEFIELD: CONSISTENCY AND EFFICIENCY For personal use only WHF: 88 YEARS OF INVESTMENT AN INVESTMENT IN WHF 1970 TO TODAY *(After applicable company tax) Whitefield has produced 120,000 returns for shareholders since its foundation and listing in Total Value Dividend Accumulation 100,000 1923. 80,
Slide 5: Structural Efficiency
WHITEFIELD: CONSISTENCY AND EFFICIENCY For personal use only STRUCTURAL EFFICIENCY INDICATIVE MANAGEMENT FEE RANGES [Australian Shares] Whitefield’s MER provides investors with one of the Listed Investment more cost effective Companies managed investment structures available in Australia. Managed Fu
Slide 6: Investments: What Makes a Difference
WHITEFIELD: CONSISTENCY AND EFFICIENCY For personal use only INVESTMENTS: WHAT MAKES A DIFFERENCE Impact on Compound Value of an Small differences in Investment Over 25 Years investment return or cost 2%pa Outperformance + 55% have a limited impact on MER 0.15%pa Higher - 3% outcomes even over many
Slide 7: Investment Strategy and Process
INVESTMENT STRATEGY AND PROCESS For personal use only Whitefield seeks to hold investments which are realistically capable of generating a robust and sufficient rate of investment return through the satisfactory delivery of earnings over future years. While share prices will fluctuate over short per
Slide 8: Investment Strategy and Process
INVESTMENT STRATEGY AND PROCESS For personal use only MONITOR, INVESTIGATE & MODEL & ANALYSE RESEARCH Model, forecast and analyse Economic, Industry, Company & earnings, risks and sensitivities Divisional Data Code Name Market Whitefield Value % NWSLV News Corporation 5,624,966 2.42% SEV Seven Netwo
Slide 9: 2011 Earnings
2011 EARNINGS For personal use only OPERATING PROFIT • Operating Profit After Tax (before fluctuations in capital values) $8,518,170 • Equivalent to EPS of 13.8 cents per share EARNINGS PER ORDINARY SHARE • 12% higher 20 than prior 18 year 16 14 cents per share • Dividend 12 earnings are 10 continui
Slide 10: 2011 Dividend
2011 DIVIDEND For personal use only DIVIDEND REMAINS STEADY • WHF has continued to pay an 8.5 cps dividend on ordinary shares per half year (17cps for the year) • WHF has DIVIDENDS PER ORDINARY SHARE maintained full continuity of its 18 own dividend to 16 investors 14 throughout the global financial
Slide 11: 2011 Investment Return
2011 INVESTMENT RETURN For personal use only INVESTMENT RETURN: Before Tax Returns • WHF portfolio (1.7%) 1 Year • WHF portfolio 19.9% 2 Year pa • WHF portfolio (0.3%) 3 Year pa • Slower than anticipated recovery PORTFOLIO RETURN: constrained returns in WHF & ASX200 INDUSTRIALS ACCUMULATION FY2011 2
Slide 12: 2011 Investment Return: Before & After Tax
2011 INVESTMENT RETURN For personal use only 10 YEAR RETURN: Before & After Tax Before Tax Return After Tax Return 7% Whitefield Portfolio Before Tax ASX200 Industrials Accumulation 6% WHF After-tax NTA + Return per annum Dividends WHF Share Price + 5% Dividends WHF Gross NTA + Dividends 4% After Ta
Slide 13: 2011 Merger of SYL into Whitefield
2011 MERGER OF SYL INTO WHITEFIELD For personal use only MERGER NOW COMPLETE • Over the last few months listed investment company Sylvastate was merged into Whitefield via a Scheme of Arrangement approved by the Federal Court. • Sylvastate’s listed investment portfolio has now been fully consolidate
Slide 14: Consumer Conditions: Underlying Strength Masked by Low Confidence
CONSUMER CONDITIONS: UNDERLYING STRENGTH MASKED BY LOW CONFIDENCE For personal use only SAVINGS RATE HOUSEHOLD SECTOR: MAJOR DRIVERS OF CONSUMER SPENDING AT EXTREME HIGHS EMPLOYMENT: STRONG: Likely to remain firm HOUSE PRICE IMPACT: NEUTRAL: Soft price trend over last year has hurt consumer confiden
Slide 15: Business Conditions: Early Stages of a Cyclical Uptrend
BUSINESS CONDITIONS: EARLY STAGES OF A CYCLICAL UPTREND For personal use only A stronger global BUSINESS SECTOR: MAJOR DRIVERS OF ACTIVITY economy will ultimately ease CONSUMER SPENDING: Underlying drivers suggest we are moving CAPITAL EXPENDITURE: The outlook remains strongly positive the economic
Slide 16: Risks to a Stable Recovery
RISKS TO A STABLE RECOVERY For personal use only CONCERNS OVER EURO AND US DEBT CONTINUE RISKS & THREATS TO WEIGH ON MARKETS • By focusing policy on the dual Higher <-------- Likelihood--------> Lower objectives of controlling debt while fostering economic activity governments have some ability to D
Slide 17: Portfolio: Top Holdings
PORTFOLIO For personal use only TOP 20 HOLDINGS Code Name CBA Commonwealth Bank of Australia PORTFOLIO COMPONENTS MAY 11 WBC Westpac Banking Corporation NAB National Australia Bank Limited Utilities Property ANZ Australia and New Zealand Banking Group Limited Telco Other Consumer WES Wesfarmers Limi
Slide 18: Price and NTA
PRICE AND NTA For personal use only WHITEFIELD ASSET BACKING (MAY 11) $3.50 Whitefield NTA (May) Investment return being $3.00 generated on additional Net Assets Invested [Pre-tax asset assets relative to share $2.50 price backing] $3.21 $2.00 Net Assets after all tax liabilities and $1.50 assets $3
Slide 19: Conclusion
CONCLUSION For personal use only • Further progress in the US and Eurozone recoveries will ultimately benefit the Australian economy by easing pressure on the AUD while supporting global demand and reducing perceptions of risk. • Australia’s strong employment and exceptionally high savings rate are