Teaminvest Private : Investor Presentation - 1H22

Investor Presentation - 1H22

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Teaminvestersonal Private Group Limited (ASX: TIP)

22 February 2022

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TIP GROUP

An ASX-listed boutique investment bank focussed on the transfer of knowledge between generations.

only		NOBLE PURPOSE
use	Noble purpose: Transferring knowledge between
generations.
Mission: Assist successful business owners to enhance their
legacy; and mentor the next generation of business leaders.
Vision: To build a society where the knowledge we
accumulate over a lifetime isn't lost to retirement, forcing
ersonal	the next generation to learn it all again.

UNIQUE

INVESTMENT THESIS

• • PHILOSOPHY
• Our value-investmentstrategy is based on the work of Benjamin Graham and Warren Buffett. We look to invest in Australian SMEs with significant, long-lasting moats, and quantifiable and manageable risks.
• We take the portfolio approach to investing. Diversification is a cost-effective way to reduce risks and improve returns in financial markets. We consider it wise to spread our investments over a portfolio of underlying companies, rather than investing in only one.
• Selected Shareholders participate in the many stages of our investment process and may apply to be representatives on the board of Portfolio Companies.

1H22 HIGHLIGHTS

• Record Segment Revenue of $75.1m (up 5%).
• Segment EBITDA of $6.2m (down 16%) impacted by construction shut-down.
• Maiden fully-franked dividend of 0.25 cents per share.
• Of the ten Portfolio Companies in the Group for the full half-year:
• • Five delivered a record first half profit; and
  • Four grew EBITDA by more than 50%.
• Two acquisitions (Diversified Growth Management and Wood & Lee).

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1H22 OVERVIEW

Record Revenue despite coronavirus construction shut-down hurting profits.

		Items of note				OVERVIEW
1	Record Segment Revenue of $75.1m (up 5%).		▪ Eight wholly-owned and four partially owned Portfolio Companies.
					− Split across two divisions: Engineering and Services.
2	Segment EBITDA of $6.2m (down 16%) impacted by construction shut-down.		▪	Five key strengths:
					1.	track record of successful investments in Australian SMEs;
					2. access to a wide network of mentors;
3	Maiden fully-franked dividend of 0.25 cents per share.			3. existing, cash flow positive, portfolio that delivers funds for growth and investment;
					4.	refined philosophy towards investing and business management; and
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		5.	experienced senior leadership and strong governance.
4	Net assets increased to $99.8m. Equivalent to $0.76 per share.		▪	TIP has experienced strong and resilient historical earnings growth.
use		▪ TIP has a healthy balance sheet with net assets of $99.8m as at 31 December 2021.
5	Four Portfolio Companies grew EBITDA by more than 50%.
		− Equivalent to $0.76 per share.
6	Five Portfolio Companies delivered a record first half profit.					Scholz Bulk
							Haulage make use
7	Two new acquisitions: Diversified Growth Management and Wood & Lee (Nov-21).					of GLT's most
ersonal					versatile set of
							semi-trailersin a
							30m Victorian
8	Treasury Facility established with ANZ, increasing financial power.
				spec, PBS A-
							Double Set.
9	Procurement function established to better utilise scale.
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SEGMENT RESULTS

1H22 saw a fourth consecutive record first-half segment revenue for the Group.

Segment revenue ($m)Segment EBITDA ($m)

only								36.8	43.8											3.5
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	34.7
28.3
																		2.7
																										3.8
ersonal													1.8
	34.8				34.4													3.9
			32.9				31.3					3.3
															2.6									2.5
			1H19		1H20		1H21		1H22			1H19		1H20		1H21		1H22
							Engineering		Services										Engineering		Services

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ENGINEERING

Engineering was impacted in 1H22 by the Sydney construction shut-down.

ersonal use only

Portfolio Companies

Icon Metal designs, engineers, fabricates and installs architectural metalwork, miscellaneous metalwork, balustrades and structural metal features and glass for Tier 1 clients in New South Wales. Icon Metal has been involved in a number of recent high-profile projects including, most recently, the Northwest Rail Project, the Sydney Opera House and Quay Quarter Tower.

Graham Lusty Trailers (GLT) designs and manufactures aluminium semi-trailers including tippers, fracking tankers, Performance Based Standards (PBS) body and dogs, bottom dumps, belly tankers, flat tops, dollies, racing car transporters and horizontal discharge trailers.

Automation Group is a niche distribution and support business that works to empower a smarter future with state-of-the-art remote industrial monitoring and control technology used in defence, power, gas, mining, rail, transport, and water industries.

Coastal Energy conducts electrical network extensions and upgrades in South East Queensland. Coastal Energy was merged into TIP Residential Group after the conclusion of the half-year in February 2022 as part of a restructure.

Segment revenue ($m)

CAGR (1H19 - 1H22) = (1.65%)

32.9	34.8	34.4	31.3

1H19

1H20

1H21

1H22

Segment EBITDA ($m)

CAGR (1H19 - 1H22) = (1.3%)

	3.3	3.9
2.6			2.5
1H19	1H20	1H21	1H22

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