Fih Group Plc · LSE:FIH
Fih — Falkland Islands Holdings — FY2010 Earnings Presentation
22 slides from Fih's earnings presentation, June 2010
Slide 1: Results for the year ended 31 March 2010
David Hudd – Executive Chairman John Foster - Managing Director Falkland Islands Holdings plc Results for the year ended 31 March 2010
Slide 2: Introduction to FIH
Introduction to FIH • AIM quoted support services group comprising three market leading, cash generative businesses – Falkland Islands Company: retail, support services and property business operating in the Falkland Islands – Portsmouth Harbour Ferry Company : Gosport to Portsmouth passenger ferry
Slide 3: FIH Group financial highlights for year ended 31 March 2010
FIH Group financial highlights for year ended 31 March 2010 • Reported pre tax profits of £5.7m (2009: £0.6m loss) – Underlying pre tax profits rose16% to a record £2.7m (2009: £2.3m) – Profit on sale of 20% of FIH stake in FOGL of £3.1m • Earnings per share on underlying profits of 22.0p (2009: 19.
Slide 4: FIH Group profit & loss account
FIH Group profit & loss account Year ended 31 March 2010 2009 £000 £000 Change +/- Turnover – continuing operations 29,224 32,251 -9.3% Underlying operating profit 3,134 2,894 8.1% Interest (net) incl. pensions costs (446) (578) Underlying pre tax profit (PBT) 2,688 2,316 16.1% Intangible amortisati
Slide 5: FIH revenue and operating profit split
FIH revenue and operating profit split Revenue 2010 Revenue 2009 Momart Falklands Falklands Momart 45% 42% 40% 48% Ferry Ferry 13% 12% Operating Profit 2010 Operating Profit 2009 Momart Momart 31% 30% Falklands Falklands 44% 43% Ferry Ferry 25% 27% 5
Slide 6: FIH Group - revenue and profits by company
FIH Group - revenue and profits by company Year ended 31 March 2010 2009 Change £000 £000 +/- Falklands 12,434 12,991 -4.3% PHFC 3,718 3,716 - Momart International 13,072 15,544 -15.9% Turnover - continuing operations 29,224 32,251 -9.4% Falklands 1,377 1,256 9.6% PHFC 800 782 2.3% Momart Internatio
Slide 7: Falkland Islands Company (FIC) Overview
Falkland Islands Company (FIC) Overview • Established in 1852 by Royal Charter • Retail • 60% market share from five outlets • Motor • Land Rover and Ford vehicle sales and rentals supplying MoD and islanders • Support Services • Darwin Shipping: shipping services & stevedoring on MoD vessels • Agen
Slide 8: FIC – Year ended 31 March 2010
FIC – Year ended 31 March 2010 Year ended 31 March 2010 2009 Change £ million £ million % Revenues Retail 8.08 8.01 0.9% Automotive 1.43 1.95 -26.7% Freight 0.99 0.80 23.8% Property sales 0.36 0.27 33.3% Other services 1.58 1.96 -19.4% Total FIC revenue 12.44 12.99 -4.2% Underlying FIC operating pro
Slide 9: Portsmouth Harbour Ferry Company (PHFC) Overview
Portsmouth Harbour Ferry Company (PHFC) Overview • Ferry service for foot, cycle & motor cycle passengers • Acquired in December 2004 • 5 minute journey across mouth of harbour from Gosport to Portsmouth (1/3 mile) • Operates 364 days a year, 5.30am - Midnight • 4 purpose built vessels (2 fully depr
Slide 10: PHFC - Year ended 31 March 2010
PHFC - Year ended 31 March 2010 Year ended 31 March 2010 2009 Change £ million £ million % Revenues Ferry fares 3.50 3.46 1.2% Other revenue 0.22 0.25 -15.4% Total PHFC revenue 3.72 3.72 - Underlying PHFC operating profit 0.79 0.78 1.3% Underlying operating profit margin (%) 21.0% 21.0% - Passenger
Slide 11: Momart International Overview
Momart International Overview • Specialist transport & logistics company serving fine art market in the UK & overseas; acquired in 2008 • Market leading position with excellent reputation; high barriers to entry • 3 business streams • Museum Exhibitions – consulting, planning, packing, transport and
Slide 12: Momart International - Year ended 31 March 2010
Momart International - Year ended 31 March 2010 Year ended 31 March 2010 2009 Change £ million £ million % Revenues Museums & Public Exhibitions 7.73 9.66 -20.0% Commercial Galleries Services 3.86 4.36 -11.5% Storage 1.48 1.52 -2.6% Total Momart revenue 13.07 15.54 -15.9% Underlying Momart operating
Slide 13: FIH Group balance sheet
FIH Group balance sheet 31 March 2010 31 March 2009 Change £000 £000 £000 Property, plant and equipment 7,483 7,033 450 Investment properties 1,777 1,769 8 Intangibles & goodwill 13,509 13,907 (398) Deferred tax assets & sundry other 693 594 99 Investment in FOGL at market value 15,542 10,890 4,652
Slide 14: FIH Group cash flow
FIH Group cash flow Year ended 31 March 2010 2009 £000 £000 Underlying operating profit 3,134 2,894 Depreciation 907 840 Share based payments 240 297 Tax paid (708) (1,427) Decrease / increase in working capital (1,448) 1,575 Other 224 (79) Net cash flow from operating activities 2,349 4,100 Capital
Slide 15: FIH Group net borrowings and liquidity
FIH Group net borrowings and liquidity 31 March 2010 31 March 2009 Change £000 £000 £000 Bank loans due within 1 year (1,128) (500) (628) Bank loans due after I year (3,974) (4,988) 1,014 Contingent consideration due within 1 year - (1,573) 1,573 Other borrowings – leases etc (171) (134) (37) Total
Slide 16: FOGL stake
FOGL stake • 8.2% stake (12 million shares) with market value of £15.5m at 31 March 2010 • 1.3 FOGL shares held for every FIH share in issue • FIH sold 3 million FOGL shares on 30 November 2009 at 120p to de-risk investment • Early indications from Northern Basin are encouraging (Rockhopper Sea Lion
Slide 17: FIH strategy
FIH strategy FIC • Continue to modernise and develop core retail business • Leverage property assets in Stanley – residential and commercial • Explore new business areas linked to oil exploration eg building services PHFC • Finalise arrangements for new Gosport pontoon • Invest in 3rd modern ferry •
Slide 18: Outlook
Outlook FIC • Oil exploration activity boosting confidence and local demand • “New” West Store well positioned • Substantial increase in Southbound freight costs from April 2010 • Revenues still affected by global recession and Antarctic Cruise ship restrictions • Commercial development of oil disco
Slide 19: Appendices
(\t ) Falkland Isl and: iS Holdings Appendices 19
Slide 20: Management Team
Management Team • David Hudd, Chairman David joined the Board on 4 March 2002. He is a Chartered Accountant and was a partner in Price Waterhouse until 1982. Since then, he has been Chairman or Chief Executive of a number of listed companies. He was, until April 1998, Executive Chairman of Vardon pl
Slide 21: FIH – 6 Year Track Record
FIH – 6 Year Track Record Growth in Turnover 2005 -2010 EPS Growth 2005- 20010 25.0 35,000 32,251 22.0 29,224 19.0 30,000 20.0 17.1 25,000 13.9 15.0 12.0 20,000 17,200 15,209 15,618 9.0 15,000 12,206 10.0 10,000 5.0 5,000 0.0 0 2005 2006 2007 2008 2009 2010 2005 2006 2007 2008 2009 2010 Growth in Un
Slide 22: (Fs ) Falkland
(Fs ) Falkland + ands Holdings
Falkland Islands Holdings — FY2010 Earnings Presentation on 6ix