Als Ltd. · ASX:ALQ
Als — Shareholder Meeting (July 2013)
26 slides from Als's shareholder meeting presentation, Jul 30, 2013
Slide 1: Chairman's Address - ALS Limited Annual General Meeting
Nerolie Withnall Chairman ALS Limited Annual General Meeting 11am on 30 July 2013 Shareholders, on behalf of the Board, I’d like to thank you for your attendance today, our first Annual General Meeting as ALS Limited. As you know, at last years’ AGM, the resolution was passed to change the name of t
Slide 2: Developments during the year and since year end
Before I give an overview of the Company’s performance for the past financial year, I’d like to outline some of the main developments that have taken place during the year and since year end. Following approval at last years’ AGM, the Company undertook a 5 for 1 share split, effective on the 9th of
Slide 3: Rights issue and FY2013 results overview
Also in July, the Company announced a fully underwritten 1 for 11 renounceable rights issue at $7.80 per share to raise approximately 246 million dollars. To date, the rights issue has been well supported, with Eligible institutional shareholders taking up 92 per cent of their entitlements. The Comp
Slide 4: Earnings per share and dividends
The Group’s performance has increased shareholder returns for the year. Earnings per share increased 5.5 per cent to 69.53 cents per share, in line with the increased profit. A final dividend of 27 cents per share, franked to 50 percent, was paid on the 2nd of July this year. This brought the total
Slide 5: Three-year total shareholder return
Over the past three years, ALS shares have achieved a total shareholder return of 105 percent, ranking it number 6 out of the 18 companies in its peer group – that is, ALS’ performance was ranked in the top 75th percentile of companies in its peer group. Correspondingly, diluted earnings per share o
Slide 6: Safety performance
The Company, in its efforts to minimise harm to workers, has set itself high standards in relation to reducing the Lost Time Injury Frequency Rate. In the financial year just ended, the Company reduced its Lost Time Injury Rate by over 20 percent to a result of 2.3, placing it in the best performing
Slide 7: People, diversity and remuneration report
Key managers and staff participated in a range of programs to ensure that the ALS values and standards were quickly disseminated and ensuring new team members felt comfortable and engaged as soon as possible. I’m pleased to report that during the year, under the guidance of our Managing Director and
Slide 8: Half year guidance and market conditions
ALS expects that underlying net profit after tax for the half year ending 30 September 2013 will be in the range of 95 million to 105 million dollars, including 4 to 5 million dollars from the acquisitions of Reservoir and Earth Data, net of transaction and additional funding costs. This represents
Slide 9: Managing Director's Address
Greg Kilmister Managing Director ALS Limited Annual General Meeting 11am on 30 July 2013 Thank you Nerolie. Ladies and gentlemen. I stand before you here today with a strong sense of pride; not just because we achieved a record result in the year under review but because of where we are on the evolu
Slide 10: Record year and divisional margins
As the Chairman has already stated, it was a record year for revenue, EBITDA, after tax profit, earnings per share and importantly dividends per share. Seven of our eight global business streams had record revenues and six global business streams had record operating profits. This is a great outcome
Slide 11: Acquisitions: Corplab and Severn Trent Laboratories
The acquisition of Corplab in South America in December last year, gave us a market leadership position in the environmental testing market in that region as well as a small position in the food testing market. This is important as I believe South America offers the highest growth rate potential o
Slide 12: Strategy: geographic and sector diversification
Our strategy is very simple. Geographical diversification and market sector diversification in testing services businesses where ALS can bring a genuine competitive advantage to that market. We provide high end, high quality technical services and are very much a value proposition company as opposed
Slide 13: Reliance Group and consumer products testing
The Reliance Group gives us, for the first time, access to the Consumer Products Testing market which we estimate to be worth in excess of four billion dollars per annum. We have entered this market in a very small way but will work hard to develop a competitive advantage in that market and then see
Slide 14: Entry into the Oil & Gas market
And now to our recent entry into the Oil & Gas market. I have spoken to you for at least the last two years about our desire to enter the global Oil & Gas sector in a meaningful way. Over the last three years we have researched the sector in depth; looked at many businesses (most of which we have wa
Slide 15: Reservoir Group businesses: Corpro and Empirica
Its largest business is Corpro, a global provider of coring services. In fact it is the number one provider of coring services in the Oil & Gas sector in the world. It is responsible for coring more than 30 percent of the wells drilled. It has built its market leadership position based on knowledg
Slide 16: Wellvention and Earth Data
Wellvention provides specialised services around in situ analytical equipment for both down hole and well head applications in addition to specialised well intervention services. The acquisition of Earth Data gives us laboratories in Brisbane and the Hunter Valley that are the leading providers of
Slide 17: Divestments and new laboratories
During the year we divested the Deltrex and Panamex businesses. These were the last parts of our Chemical Division, a sector we have worked towards exiting for some years now. In the year under review, we continued to invest in our facilities, building a number of major new laboratories including a
Slide 18: Santiago facility and Iron Ore Technical Centre
Our new geochemical and metallurgical facility in Santiago, Chile, is now virtually fully operational and will allow us to better service that market, with a particular focus on copper. In May of this year we opened the Iron Ore Technical Centre in Perth. This is unique in that it is designed to pro
Slide 19: Laboratory upgrades and new projects
There were many other smaller laboratory upgrades completed around the world and this year we have already started a number of projects that will ensure our facilities remain first class and service our needs for many years to come. We have already started building a new chemistry centre in Chatteri
Slide 20: Growth investments and rationale for Oil & Gas entry
All of these activities; acquisitions, building new bigger more technically capable laboratories, developing new services and organically growing our businesses are designed to ensure the growth we have enjoyed in the past continues for many years into the future. Of course all of these investments
Slide 21: Global Oil & Gas market: upstream and downstream
The global Oil & Gas market is generally defined into two very distinct sectors; upstream Oil & Gas and downstream Oil & Gas. The upstream sector is all about exploration activities, production well drilling and infrastructure, and bringing the oil or gas to the surface. The downstream sector covers
Slide 22: Reservoir Group as the acquisition platform
services at its core but our total offering needs to be broader than that. More in line with the ALS tag line – Right Solutions … Right Partner. Our research into the sector very quickly identified the Reservoir Group as the perfect acquisition for us for all the reasons already outlined this mornin
Slide 23: Health, safety and social responsibility
Before concluding, I want to make some comments around what might be classified as the “softer side of business”. All of the operational success we might have as a company is meaningless if it comes at a cost to health and safety or our social responsibilities. In particular the health and wellbeing
Slide 24: Diversity, guidance and cyclical markets
We ensured diversity in the workplace is real for us; and again there is a detailed analysis in the annual Report that describes our excellent progress in this regard. All of these activities provide pride in the company; not just because of its financial performance but because our staff are proud
Slide 25: Minerals and coal downturn outlook
The current minerals downturn feels very much like a normal cyclical downturn to me. I have navigated the company through four previous downturns and remain very comfortable that we are doing the right things; watching costs but not risking the future in the inevitable upturn. We are not at the bott
Slide 26: Thanks to employees, management and Board
Great facilities, well thought and executed strategies, high tech equipment and systems are not the only key ingredients to our success. We have very dedicated, talented and committed teams all around the world. With the recent acquisitions, we employ nearly 13,000 staff globally. I would like to on