Spheria Emerging Cos. Ltd. · ASX:SEC
Spheria Emerging Cos — FY2022 Earnings Presentation
17 slides from Spheria Emerging Cos's earnings presentation, Aug 24, 2022
Slide 1: Shareholder webinar reminder and presentation on full year results
Spheria Emerging Companies Limited (Company) Level 35, 60 Margaret Street For personal use only Sydney NSW 2000 Telephone: 1300 010 311 Email: [email protected] ACN 621 402 588 24 August 2022 By Electronic Lodgement Market Announcements Office ASX Limited Exchange Centre 20 Bridge Street
Slide 2: FY22 Results & Portfolio Update
For personal use only Spheria Emerging Companies Limited (ASX:SEC) FY22 Results & Portfolio Update 24 August 2022
Slide 3: Disclaimer
Disclaimer For personal use only Note: Past performance is not a reliable indicator of future Subject to any liability which cannot be excluded under the information is not intended as a securities recommendation or performance. relevant laws, SEC and Spheria disclaim all liability to any person s
Slide 4: Agenda
3 Agenda For personal use only 1. SEC Company update 2. Portfolio update 3. Questions
Slide 5: SEC
For personal use only SEC Company Update
Slide 6: FY2022 Highlights
5 FY2022 Highlights For personal use only Portfolio outperformance of 5.5%; 7.1% yield (incl franking) FY22 Loss Company Yield (including Dividends2 Yield performance1 franking) ($13.4m) -14.3% 9.8c 5.0%3 7.1%4 • FY22 net loss after tax of $13.4m • Company performance of -14.3%, Portfolio outperform
Slide 7: NTA breakdown for FY22
6 NTA breakdown for FY22 For personal use only Market fall and dividends paid leads to reduction in NTA per share • The S&P/ASX Small Ordinaries $2.70 $2.599 - $0.346 Accumulation Index $2.60 (Benchmark) fell 19.5% over the $2.50 12-month period $2.40 • Pre-tax NTA back up at $2.30 - $0.029 $2.30 -
Slide 8: Dividends
7 Dividends Delivering on the 4% p.a. commitment For personal use only • Four consecutive quarterly dividends declared for the year totalling 9.8 cents per share (fully franked), with a trailing dividend yield equal to 5.0%3 (7.1%4 including franking) • Total dividends since IPO of 33.8 cents per sh
Slide 9: Performance History
8 Performance History Since inception Company outperformance of 2.8% p.a. For personal use only SEC Company performance Performance as at 30th June 2022 Since Inception Period 6 month 1 year 3 year (pa) Inception (pa) Date Company -20.7% -14.3% 5.0% 5.2% 30/11/2017 S&P/ASX Small Ordinaries Accumulat
Slide 10: SEC Portfolio Update
For personal use only SEC Portfolio Update
Slide 11: Spheria Asset Management Investment Process
10 Spheria Asset Management Investment Process How our investment process is different For personal use only 1. Focus on quality businesses with risk control overlay • Sustainable free cash flow generation through the cycle 2. Fundamental investment focus • Free cash flow valuation model • Lowly gea
Slide 12: SEC Portfolio Performance
11 SEC Portfolio Performance Strong relative performance in the last two years For personal use only SEC Portfolio - Net Performance* since Inception 80.0% Spheria Index Relative Performance 60.0% 40.0% 20.0% 0.0% -20.0% -40.0% Aug-19 May-20 Aug-18 Feb-19 Nov-17 Feb-18 Nov-18 Nov-19 Feb-20 Aug-21 Au
Slide 13: SEC Portfolio - stock attribution FY22
12 SEC Portfolio - stock attribution FY22 For personal use only Spheria Emerging Companies - Attribution - 12 Month - June 2022 1.5 1 0.5 0 -0.5 -1 -1.5 * Red Outline – companies we did not hold during the period Source : Bloomberg Data as at June 30 2022
Slide 14: Top Company Holdings
13 Top 10 Company Holdings For personal use only Spheria Emerging Companies as at 30th June 2022 Company Name % Portfolio Blackmores Limited 6.0 InvoCare Limited 5.2 Flight Centre Travel 5.1 IRESS Limited 5.1 Michael Hill Int 4.3 Monadelphous Group 4.3 Breville Group Ltd 3.3 Adbri Limited 3.2 Vista
Slide 15: NZME: An old school media company, turning digital
14 NZME (ASX:NZM) An old school media company, turning digital For personal use only Cash Flow Dynamics Return Metrics 140% 90.0 120% 80.0 106% 120% 100% 70.0 100% 60.0 80% 80% 50.0 60% 40.0 60% 30.0 40% 35% 40% 20.0 20% 20% 12% 15% 11% 8% 10% 10.0 0.0 0% 0% FY16A FY17A FY18A FY19A FY20A FY21A FY16A
Slide 16: Outlook
15 Outlook For personal use only • Broad based share price declines provide significant opportunity for “through the cycle” valuation led investors. • The growth-momentum narrative has collapsed with fundamental valuation metrics and free cash flow generation now paramount. • Balance sheets for our
Slide 17: Questions
For personal use only Questions
Spheria Emerging Companies — FY2022 Earnings Presentation on 6ix