26 Nov

AGM Presentation

Boom Logistics Annual General Meeting 2021 ANNUAL GENERAL MEETING 26 November 2021 Boom Logistics Annual General Meeting 2021 CHAIRMAN’S ADDRESS Maxwell J Findlay Boom Logistics Annual General Meeting 2021 2 ONLINE ATTENDEES – Text Question Process 2 When the question function is available, the messaging tab will appear at the top of the screen To submit a question, type your question in the “Ask a question” box and press the send arrow Your question will be sent immediately for review Received 123 - 456 - 789 Boom Logistics Annual General Meeting 2021 3 ONLINE ATTENDEES – Audio Question Process 3 When the audio questions line is available, a link will appear on the home tab titled Asking Audio Questions If you would like to ask an audio question, pause the meeting broadcast and click on the link You will be prompted to enter your name and the topic of your question before being placed in the audio questions queue 123 - 456 - 789 Boom Logistics Annual General Meeting 2021 4 ONLINE ATTENDEES – Voting 4 4 4 When open, the vote will be accessible by selecting the voting tab at the top of the screen To vote simply select the direction in which you would like to cast your vote. The selected option will change colour There is no submit or send button, your selection is automatically recorded. You can change your mind or cancel your vote any time before the poll is closed For Against Abstain 123 - 456 - 789 Boom Logistics Annual General Meeting 2021 5 FY21 FULL YEAR RESULTS EBITDA $36.3m up from $23.8m Revenue $173.3m down from $185.5m Operating Cashflow $25.9m up from $24.3m (before tax) ROCE 2.5% up from (1.4)% EBIT $4.5m up from $(8.1)m Gearing 26% up from 17% (net debt/equity) Final Dividend 1.0 ¢ Total 1.5¢ for FY21 NPAT $1.2m up from $(17.0)m Boom Logistics Annual General Meeting 2021 BUSINESS OVERVIEW 6 Mining & Resources Renewables Infrastructure Energy & Telecommunications Boom Logistics Annual General Meeting 2021 Boom Logistics Annual General Meeting 2021 Maxwell John Findlay Independent, Non - executive Chairman BOARD OF DIRECTORS AND KEY MANAGEMENT TEAM Tony Spassopoulos Managing Director Melanie Jayne Allibon Independent, Non - executive Director Ben Pieyre Chief Operating Officer Terence Alexander Hebiton Independent, Non - executive Director 7 Stephen Grove Non - independent, Non - executive Director Andrew Bendall Chief Financial Officer Kieran Pryke Independent, Non - executive Director Boom Logistics Annual General Meeting 2021 MANAGING DIRECTOR’S ADDRESS Tony Spassopoulos 8 Boom Logistics Annual General Meeting 2021 9 SAFETY ALWAYS • Boom’s safety performance is a key operational metric, with emphasis on risk management, leadership and assurance • Safety ‘reset’ undertaken during the year to increase focus on safety management interactions • Lost Time Injury Frequency Rate (LTIFR) was zero in FY21, down from 4.4 in FY20 • Response to COVID - 19 in line with government guidelines including travel restrictions, cleaning and social distancing protocols implemented • Safety of our customers and employees is our priority as we continue our journey towards zero harm TRIFR improved by 36% in FY21 SAOFR improved by 28% in FY21 Safe Act Observation Frequency Rate (SAOFR) Total Recordable Injury Frequency Rate (TRIFR) Lost Time Injury Frequency Rate (LTIFR) of Zero Boom Logistics Annual General Meeting 2021 10 FY22 FIRST QUARTER RESULTS* Q1 FY22 Revenue $ 60.2m up from $43.0m Q1 FY22 EBIT $ 3.0m up from $1.5m Q1 FY22 ROCE ~6% up from ~4% Q1 FY22 Utilisation 80% up from 72% Q1 FY22 TRIFR 4.2 d own from 8.3 Q1 FY22 EBITDA $11.8m up from $9.3m * Unaudited management accounts compared to Q1 FY21 Boom Logistics Annual General Meeting 2021 11 CRANE & SHUTDOWN SERVICES Key Operations • Mining maintenance services • Engineered specialised lifts • Shutdown, industrial and programmed maintenance services • Major clients are in the mining sector FY21 overview • Solid mining maintenance activity across all clients, although shutdown and project activity slightly reduced • Major shutdowns completed at Boddington Gold (WA), BMA and Curragh (QLD), Bulga and MTW (NSW) and Australian Paper (VIC) • Renewed maintenance contracts with Anglo American, FQM, Australian Paper and contract extended at Curragh • New contract with BHP Mt Arthur mine (NSW) FY22 outlook • Major shutdown at BHP SCM21 Olympic Dam won, forecast to deliver circa $15m in new revenue in 1H FY22 • Growth from new customers in central Queensland, including BMA Goonyella shutdown and new Thiess contract awarded • Expanding service offering through introducing specialised skills and engineering services to mining clients • readi labour hire continues to service our mining and industrial shutdown maintenance customers • Mobilise the new assets to north - west WA and central Queensland to support growth opportunities in 2H FY22 Solid market for engineered specialised lifting, labour and shutdown services Boom Logistics Annual General Meeting 2021 12 Crane & Shutdown services providing lifting solutions to mining and industrial sectors Boom Logistics Annual General Meeting 2021 PROJECTS Key Operations • Wind farm construction projects • Bridge installations, rail and infrastructure construction • Power grid infrastructure and construction projects • Wind farm maintenance programs FY21 overview • Wind farm construction works at Moorabool South (VIC) successfully completed and commenced project at Bango (NSW), using equipment hire and labour rate model for core lifting services • Completed significant maintenance services on wind farms, replacing blades, gearboxes and pitch bearings for major clients across Australia • New infrastructure contracts won at Snowy 2.0, Parramatta Light Rail (NSW), Martinus Rail (QLD) and Armadale Rd Bridge (WA) FY22 outlook • Continue Bango wind farm construction works in 1H FY22 • Solid pipeline of wind farm construction and maintenance work with opportunities to introduce new value - added recurring maintenance services • Ongoing Snowy 2.0 infrastructure project work in 1H FY22 • Strong tender pipeline across infrastructure, civil engineering, rail crossing and tunnel projects in 2022 • New energy infrastructure and high voltage power - line construction works development over next 5 years Infrastructure tender pipeline is strong over the next five years 13 Boom Logistics Annual General Meeting 2021 14 Projects servicing the wind farm, civil infrastructure and energy sectors Boom Logistics Annual General Meeting 2021 TRAVEL TOWERS Key Operations • Telecommunications – 5G and data network upgrades and connections • Transmission ‘string - line’ installation works on wind farms • Interconnector and power grid infrastructure projects • High voltage transmission line maintenance works FY21 overview • Major high - voltage transmission line project in the Pilbara (WA), utilising large size travel towers • Activity on electrical transmission and project work on wind farms continued, connecting substations to the grid • Telecommunications 5G and data network upgrades in metropolitan areas were impacted by lockdowns • Mining customers increasing use of large travel towers on site for shutdowns and projects FY22 outlook • Powerlines Plus high - voltage transmission line project continues through 1H FY22 • Strong demand for electrical transmission, interconnector, string line to power pole and wind farm project work • Continued shutdown and mining maintenance activity for large travel towers • Telecommunication 5G and NBN rollout in metro areas in 1H FY22 and rollout planned in regional areas in 2022 • Delivery of new large travel towers for growth Demand for large travel towers in the energy, telco and mining sectors 15 Boom Logistics Annual General Meeting 2021 16 Travel Towers servicing telecommunications and power line connection works Boom Logistics Annual General Meeting 2021 ASSET MANAGEMENT FY21 overview • $14.7 million invested in new assets to secure new contracts and growth for FY22 • Total asset utilisation at 77%, up from 71% last year • Ongoing use of flexible asset rental model to maximise capability and capacity • Travel towers ordered with 12 months lead time • Current fleet age profile is circa 10.7 years with target to average below 10 years FY22 outlook • Net capital expenditure planned for FY22 is circa $15m to secure new contracts and ongoing work • New large travel towers expected delivery 2H FY22 • Asset sales continue, recycling older assets to reduce maintenance costs and upgrade fleet with new technology • Availability of new assets through rental model to secure infrastructure and construction project tender pipeline Improving crane and travel tower utilisation 17 Boom Logistics Annual General Meeting 2021 RECOGNISING 20 YEARS 18 Boom Logistics Annual General Meeting 2021 FY22 FIRST HALF OUTLOOK Clear strategy to achieve sustainable profit growth EBITDA forecast* circa $ 22m up from $17.9m pcp Revenue forecast* circa $ 115m up from $84.2m pcp Improving return on capital and deliver shareholder returns Capital recycling & flexible asset rental model for growth Targeting maintenance services with recurring earnings and returns * Forecast based on current expectations of COVID - 19 impacts and compared to FY21 first half results ( pcp ) 19 Boom Logistics Annual General Meeting 2021 Boom Logistics Annual General Meeting 2021 FORMAL BUSINESS 20 Boom Logistics Annual General Meeting 2021 21 • Financial Statements and Reports ITEM 1 21 Boom Logistics Annual General Meeting 2021 22 • That Mr. Kieran Pryke be elected as a Director of the Company ITEM 2 22 Source: Computershare Number of Shares % of all issued Shares For 212,404,563 49.65% Against 61,000 00.01% Discretionary* 164,522 00.04% Abstain 78,296 00.02% * The number of the Chairman’s discretionary votes. Note: These figures relate to the proxies lodged 48 hours prior to the meeting. Boom Logistics Annual General Meeting 2021 23 ITEM 3 – Non - Executive Directors’ Fee Pool 23 • That, for the purposes of clause 42 of the Company's Constitution and ASX Listing Rule 10.17 and all other purposes, the maximum aggregate amount of Non - Executive Directors' remuneration payable by the Company to the Non - Executive Directors be increased from $400,000 per annum to a maximum of $750,000 per annum (inclusive of superannuation contributions).” Source: Computershare Number of Shares % of all issued Shares For 185,713,867 43.41% Against 2,768,195 00.65% Discretionary* 164,522 00.04% Abstain 23,992,797 05.61% * The number of the Chairman’s discretionary votes. Note: These figures relate to the proxies lodged 48 hours prior to the meeting. Boom Logistics Annual General Meeting 2021 24 ITEM 4 – Adoption of the Remuneration Report 24 • That the Remuneration Report for the financial year ended 30 June 2021 be adopted Source: Computershare Number of Shares % of all issued Shares For 185,230,556 43.30% Against 1,608,688 00.38% Discretionary* 154,522 00.04% Abstain 203,318 00.05% * The number of the Chairman’s discretionary votes. Note: These figures relate to the proxies lodged 48 hours prior to the meeting. Boom Logistics Annual General Meeting 2021 25 • That for the purposes of ASX Listing Rule 10.14 and for all other purposes, approval be given for the issue of the following Rights and Options to the Managing Director under the Company’s Executive Remuneration Plan on the terms summarized in the Explanatory Memorandum: a. The issue of Rights to the Managing Director up to a maximum value of $185,400 in relation to the FY22 Salary Sacrifice Rights Plan; b. The issue of Rights to the Managing Director up to a maximum value of $123,600 in relation to the deferred component of the FY22 Short Term Incentive Plan; and c. The issue of Options to the Managing Director up to a maximum value of $309,000 in relation to the FY22 Long Term Incentive Plan. ITEM 5 – Grant of Rights & Options to Managing Director Boom Logistics Annual General Meeting 2021 26 26 ITEM 5 Source: Computershare Number of Shares % of all issued Shares For 208,540,027 48.75% Against 1,591,926 00.37% Discretionary* 164,522 00.04% Abstain 2,411,906 00.56% * The number of the Chairman’s discretionary votes. Note: These figures relate to the proxies lodged 48 hours prior to the meeting. • Grant of Rights and Options to the Managing Director Boom Logistics Annual General Meeting 2021 Boom Logistics Annual General Meeting 2021 CLOSE OF BUSINESS 27 Boom Logistics Annual General Meeting 2021 Boom Logistics Annual General Meeting 2021 This presentation contains certain forward - looking statements with respect to the financial condition, results of operations and business of Boom and certain plans and objectives of the management of Boom. Forward - looking statements can generally be identified by the use of words such as 'project', ‘believe’, 'foresee', 'plan’, 'expect', 'aim', 'potential’, ‘goal’, ‘target’, ‘intend', 'anticipate’, 'believe', 'estimate’, 'may', ‘could’, 'should', 'will’ or similar expressions. All such forward looking statements involve known and unknown risks, significant uncertainties, assumptions, contingencies and other factors, many of which are outside the control of Boom, which may cause the actual results or performance of Boom to be materially different from any future results or performance expressed or implied by such forward looking statements. Such forward - looking statements speak only as of the date of this announcement. Factors that could cause actual results or performance to differ materially include without limitation the following: risks and uncertainties associated with the Australian and global economic environment and capital market conditions, fluctuations in foreign currency exchange and interest rates, competition, Boom's relationships with, and the financial condition of, its suppliers and customers, or legislative changes, or regulatory changes or other changes in the laws which affect Boom's business. The foregoing list of important factors is not exhaustive. There can be no assurance that actual outcomes will not differ materially from these statements. Readers should not place undue reliance on forward looking statements. Except as required by law and ASX Listing Rules, Boom undertakes no obligation to update publicly or otherwise revise any forward looking statement as a result of new information, future events or other factors. DISCLAIMER Boom Logistics Limited (ASX: BOL) Suite B Level 1 55 Southbank Boulevard SOUTHBANK VIC 3006 Telephone +61 3 9207 2500 info@boomlogistics.com.au www.boomlogistics.com.au 28

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