Full Year 2022 VivoPower International PLC Earnings Call
The current one one.
[music].
Okay.
Good day, and thank you for standing by and welcome to the vivo power International P. L see fiscal year 2022 full year earnings conference call. At this time all participants are in a listen only mode. Please be advised that today's conference is being recorded.
I'll hand, the conference over to your speaker today Kevin.
Thank you Sarah and welcome everyone to the <unk>.
Right.
Earnings calls alright.
Alright.
Yeah.
Well jump straight into slide two which is the rate.
So in a nutshell, we've made significant strategic progress over the last 12 months, but we expect.
Yes.
Quite a few headwinds.
Moving over to small.
Businesses in Australia as.
Well it's art.
So going through key points, firstly revenue declines.
237.
Primarily.
<unk> two <unk>.
Good luck.
Okay.
Okay.
Which unfortunately.
Through the majority of periods.
Well Matt.
Cause delays.
Or.
Okay.
In addition, there's been a sharp drop in the exchange rates.
Great.
On a constant.
Correct.
As our revenue decline.
Year on year.
In terms of gross profit. So this includes the discontinued operations.
They decreased by 1 million to one point.
For the same reasons I mentioned before.
In particular, we had a $1 $9 million.
Cost overrun on the Blue Cross.
Q2.
What is your strategy.
Our GP margin declined books and closed 16.
Year on year.
And district in San reflects increased compliance costs increases in supply.
Cost.
As well as the one off bluegrass solar project.
GP margin.
Adjusted for the cost overruns bluegrass was nine 9%.
And.
Excluding the discontinued operations was 10%.
EBITDA, including discontinued operations declined 10, four megawatts versus one formulary loss.
Our operating loss widened 46 mills.
$8 million.
Great.
Again, this was driven by FX.
Reduced lockdown period revenues.
Yes.
Year.
We've got solid.
Great.
We did.
Chris with budgeted increase in growth Opex to support.
Hi.
In terms of our cash balance as at year end. It was one 3 million down from $8 Mil.
Okay.
Post balance date, we replenished.
$8 9 million.
No.
Non core business units as well as the shelf, where I think we did it.
In terms of uses of cash during the year.
We're quite judicious.
Yes.
How we invest.
Cool.
But scale up in product development.
That said, we did incur as I mentioned $1 nine mill.
Blue OLED.
Unplanned and beyond our control.
We did execute on a number of transformational strategic initiatives.
Significant disruptions.
In terms of our distribution partnership network, we expanded that six continents.
Countries.
With EV commitments and orders increasing over 8000.
Very importantly, we secured commercial design services agreement with Australia.
With.
Prioritization of the development of next generation.
Okay.
Sure.
In version two conversion kits.
Is the key focus.
We divested non core businesses within it.
Yes.
Enable proceeds to be reinvested.
Higher growth.
<unk>.
Yes.
Rich.
Veeva power and Chimbote Napo.
And operating units and.
Markets globally.
Soon as borders reopened.
The UAE at Erith smaller cell.
Last but not least.
Recertified op hope status, which is a mandatory requirement.
Equal.
In terms of the reassessment.
We were named again, it's one of the best Wells.
For governance.
And revenue.
100 globally.
Here in a row.
While the related.
<unk>.
Okay.
Turning to slide three this is a recap of the year and as well as an update on the prior announcements that we made.
So significant strategic and operational progress.
I mentioned.
Key achievements included.
Turning the definitive agreement at our strategy.
As well as.
<unk> bodies.
And winning record levels of solar.
Electrical solutions contracts credit.
Just kind of specifically.
<unk>.
Previous announcements and updates on those.
We acquire.
<unk>.
Control of the U S solar portfolio, we rebranded Thats.
One in.
Pivoted.
LNG.
With a few too.
Then Paul.
Renewable power digital asset mining.
Operation to be spun off.
Company.
That is on hold at the moment due to market conditions.
So obviously there has been <unk>.
Good morning.
Good morning.
We have.
Put that on hold.
Other updates.
We executed an LOI to acquire 100% of GBS also.
But it too on a consensual basis.
Six <unk>.
As well as the distribution agreement.
Yes.
Now.
Directly.
Sure.
We will proceed.
Selling directly in our own right.
<unk> also remains.
Trusted and valued partner, it's fully contracted.
Okay.
With them.
In terms of.
Yeah.
Chip.
Okay.
Elsewhere.
As I mentioned, we've we've established.
Subsidiaries and operating units now for timber in key markets globally.
<unk>.
That is very much focused in our priority going forward.
Scale of assembly and production capabilities.
In key markets around the world close to our customers.
It doesn't make.
No.
<unk>.
Assemble and manufacture out of the Netherlands.
And.
Two.
Fire away in Australia, or Asia or Africa.
So that is that is a real focus.
Okay.
Okay.
Going to the next slide.
In terms of key objectives that we set out at the start of the.
Fiscal year back in July last year, we have delivered on 13 out of the 18 objectives.
Okay.
In terms of the ones that are still outstanding.
Assembly.
<unk> production is.
No.
To be executed upon.
It's been a challenging period with budget chain.
Chain issues around the world.
You mentioned that.
And Q.
To scale up.
Production out of all items.
<unk> chips.
Around the world So.
Ben.
Producing and send it kicks out.
They haven't hit.
Up stage in terms of volumes this year.
The other area, where we have had slippage is right.
Yes business units.
We made a feasibility study.
Okay.
That said.
Building, our engineering and sales teams.
We've not.
New properties and very much on the.
EV side of things and to focus our resources and retention metrics.
That said on a post balance date.
The basis, we have executed.
A couple of investments in joint ventures to increase <unk>.
Capabilities.
Yes.
And that includes an investment.
And then minor.
Mining energy storage company operating revenue.
Okay.
Onto the next slide.
This is a quick update in terms of the team. So we've been focused in the last six months on reshaping the same for the next phase of strategic execution.
And our hedge strategy in that regard.
Has three objectives number one is leadership team.
Two capabilities in operations product Engineering Assembly as far as manufacturing.
We've also wanted to strengthen our safety quality development, just a calculation timber.
And.
We have also executed on.
Middle office and back office functions.
To help us to scale.
Hi.
That level.
Some of the key hires that we've made during the year, Alan Evans's pointed to timber and quality.
Mccormick is timber.
Yes.
Okay.
And John <unk>, who is with me on the call.
Peter Kraus.
John .
Great.
Key promotions.
Easter has stepped up to the head of partnerships.
He is taking over from Kerr who's been instrumental in.
Really.
Getting vivo about power and timber to where we are today, but.
I will be leaving to focus on personal.
Matters.
Net.
Taking the baton and has.
It really instrumental in driving growth.
Partnerships.
Yes.
Karen <unk> has been promoted script chief operating officer.
Great job.
Securitization too.
<unk>.
Our relationship as well as helping too.
Internationalize that.
Sure.
Mindset to.
Focus.
And <unk> has been promoted to financial controller, and the Asia Pacific region.
Overseeing the operations in particular.
Okay.
Right.
As is.
The growth.
Onto the next slide.
We as I mentioned, Rick signed up B Corp, and recognize the can for global impact leadership.
Importantly, we were named as one of the best governance by <unk> U K.
This is.
Very important.
Yes.
As a group.
Okay.
Moving on to page seven.
Delving into the numbers a bit more.
So in terms of our operations.
You'll see that a breakdown between.
The discontinued as well as retained operations, which include the fast growing.
Accounts.
Million of revenues.
And.
In that instance.
Good morning.
Okay.
So.
Group GP declines as you can see from three.
<unk> one mill that includes the $1 nine mill.
Cost overruns on the bluegrass project.
And in terms of.
Adjusted underlying.
As mentioned widen.
Widen from one.
Moving to the next slides so just breaking down further.
P&L from.
<unk>.
Basis, and retro calling that to continuing operations.
So for FY 'twenty, two you can see that.
John at $15 2 million of revenues.
<unk> attributable.
Uh huh.
$3 million.
For continuing operations.
Full mill.
What's the revenue.
And if we exclude the Blue cross.
Burns.
<unk> was 2.2.
If you look back at the prior year, which was less COVID-19 affected.
Continuing operations.
Ball mill.
Mill.
Which is around 18.
And.
Mentioned in previous announcements.
Understood.
So all the.
Correct.
Okay.
These segments.
Which includes the solar array.
Business units in Australia.
Retained.
What of note.
P&L after tax figures here.
Not really.
Thank you.
Right.
Yes.
Post divesting.
Core operations.
Next slide I want to go through in detail that just shows the reconciliation to underlying EBITDA from from net loss.
But so we had quite a bit.
A number of.
Including <unk>.
Foreign exchange.
No.
Okay.
Certainly on the next slide page 10, I won't go through that.
Yeah.
Going to the balance sheet on page 11.
So.
<unk> investments in.
Increased from.
Five minute.
<unk>.
That includes intangible development costs capitalized in both.
Bob.
We as mentioned.
We had a cash balance declined from.
$8 six <unk> to $1 three mill, but on a post balance date former basis.
Replenished.
9 million.
In terms of net debt that increased from $14 five.
Great Mill.
One.
Base salaries.
Yes.
$19 7 million post balance date and most of that.
In terms of.
That is attributable.
<unk>.
From your view.
Rich.
As mentioned before.
Shareholder as well.
Going to the individual business units.
So firstly for timber.
Made significant progress during the year deliveries.
Okay.
The outlook remains very positive we get approached on a daily basis.
By people seeking say convert.
<unk>.
And.
We are as mentioned from a focus perspective prioritizing the release of Alright, Richard kilowatt hour.
In early calendar 'twenty, three and we expect to going to scale up production release of that chips to lakes.
Great.
We're very much focused on continuing execution with respect to our Microsoft practice.
And the Rollouts.
E Mail.
We have identified in southeast Asia.
Kits to launch these market sectors.
In addition, what we're also doing is.
The recruiting world class talent.
I'm available.
As a result of the.
<unk>.
<unk>.
Head count reductions that are going on.
Many of the EV companies.
The capital raise.
Yes.
Talent.
<unk>.
Would not have been available and they were not available.
<unk>.
12 to 18 months so we.
We are taking advantage of.
Market.
And the other <unk>.
To add to our talent base.
One development.
In the Middle East.
So we have signed Mou with the Jordanian stayed on enterprise.
Which involves.
EV.
It's.
And so our.
That will turn about Brexit UAE lost shares.
John Bedford.
With regards to chiyoda.
That partnership and relationship.
Watching the theater credit team.
And.
Yes.
AP mutual objectives that we've set.
On <unk>.
Protected Australia and Lockdowns.
Very much impacted our results, but the absolute very positive.
There is an unprecedented pipeline of over 20 Gigawatts of solar farm project.
Being built.
<unk>.
Yes.
Buoyed by the.
The election of a new federal government.
It made.
Sure.
We're very supportive of.
What's more renewables Australia.
So.
We are very much experiencing a green rush, if you will in Australia.
Russia.
Yeah.
Entry.
And we are targeting for us all our electrical business.
Yes.
To deliver revenues.
Exceeding the revenues.
Wood.
That will.
Yeah.
In terms of pumping out any growth rate.
The solutions business has grown.
And year on year.
Right.
And we have a very strong pipeline.
With significant.
That said that's taken.
Looking for that.
Contributes.
Won't be.
Within it.
Okay.
In terms of Fcs.
Sided.
Focus on the mining sector.
<unk> and <unk>.
As well as through increase.
We're seeing an increasing number of SCS up any more customers.
Okay.
And patients have now pivoted not just.
It's also.
Onsite critical power EBIT margin.
Maintenance energy storage micro grids.
Thanks, Bob.
So we're focused on expanding our capabilities through partnerships and joint ventures.
And.
While we've made a seed investments in green gravity.
Alright.
In Australia, our focus.
Focused on the money.
And that will help spur.
Expand our capabilities as well as.
Chinese.
In terms of carats, we created incremental value over the year through development activities, but.
Much feel theres more to come from the inflation reduction Act.
A positive four carat solemn.
There is a renewed focus on data infrastructure.
Good morning.
We are seeing more inbound interest.
<unk>.
<unk>.
Various.
Solar projects.
And so notwithstanding.
Digital asset Mining's correction that we've had over the last six months.
Without power.
<unk>.
Albeit.
Yes.
In a time that appropriately as far as.
And the investment.
Overall, the plan is to spin off this business unit and to reinvest proceeds.
Or.
<unk>.
As far as our Fcs.
Or.
Turning to FY 'twenty, three and our key objectives. So focuses on scale up assembly and production or <unk>.
I won't go through every single.
You bet.
<unk>.
Okay.
That was targeting.
John .
And.
The micro factory is a key element and a key enabler of the scale up.
And then production.
Just to touch on page 17 events plus for next year and so we've got a solid plan.
Up to FY 'twenty three.
So we secured new hits in terms of amendments.
State owned enterprise.
As I mentioned before.
We have however.
Pause after Trump LOI keven.
Given our need to very much focus on the theater.
Australia and land cruiser Arctic trucks.
Pilots, which we very much.
To electrify as well, but.
Resource and time commitments, we do need to focus on.
Two of our strategy as far as the anchors and which is what most.
Most of the customers.
Customers.
We obviously executed on strategic transactions to bolster our cash balance to $8 9 million.
And divesting the non core units as well as can be.
Operating on NASDAQ.
We are capitalizing on opportunities to hire talent.
And take advantage of.
The Minnie Winnie Tso.
Thats.
It's happening.
Okay.
One of the very few that are still in hiring mud set but we're doing it on a very.
Yes.
Very importantly, we secured important ESG.
What's.
Just with.
Alright.
Bob.
We have real excited to GB OXXO relationship.
Yeah.
Got it.
As mentioned this involves ceasing the distribution agreement and the letter and <unk>.
Choir TD auto.
But they very much remain.
<unk> and preferred partner.
The subcontracting.
And last but not least we.
The advisers in relation to <unk>.
Spinoff.
The inflation reduction act as real pockets.
We're looking to.
Spinoff chat.
Excellent.
Yeah.
Second.
Back into be hopeful.
That's it for my presentation.
There have been a number of questions sent through and weekend.
Okay.
With.
Yes.
Sure.
Audio of this.
I might just.
Yes.
Questions that have come through.
One of those questions is yes.
<unk> is an underground mining is relatively new is vivo involved with helping right safety guidelines.
Minus.
Charles if not directly involved.
Such as the global mining guidelines group.
Well, Dave with new pipelines.
Well satisfied with current fund will answer is yes.
One of the world's fall much mining safety experts.
<unk> us and license.
Our requirements.
All lines, particularly undergrounds.
So yes, we are deeply.
Deeply entrenched.
Ensuring that.
Electric vehicle convergence are safe.
The absolute number one.
Our products right.
For customers in the mining sector as well as for us.
The second question is to Mr. 70 series have digitalization pieces left.
This capability to help ensure vehicle fleets from inside mines.
What are you doing to make sure you are on.
Have you been.
Especially if I may.
Use more and more.
Are you looking for ways to create new technologies, so making.
The technologies are compatible with <unk>.
Yes.
This is a great question and the short answer is yes to me series can accommodate.
<unk>.
That flat for geolocation status.
King.
That is very much data that's important for the minus.
In terms of our software including laboratory.
This very much.
On to capture.
Okay.
And yes, we are always looking for ways to create new technologies new IP.
<unk>.
So the short answer to that yes.
Next question is knowing the demand for the 70 series is high combined with supply chain.
Yes.
It's still having ripple effects has the Toyota pause mid series affecting your production.
Have there been conversations Toyota to produce only the necessary components.
As to speed up installation.
<unk>.
Could something like this helps you to shift with 70 series up faster and is this a possible victims upstream infection Janet great question.
Oh.
Yeah.
As the gatekeeper in terms of.
Releasing.
Vehicles and vehicles with respect to the 70 series I think.
Without breaching covenants.
And we are comfortable.
And what's available.
Okay.
<unk> requirements.
Especially.
In Australia, we had most of the demand is.
Moments.
And we will continue to work very closely with <unk>.
To ensure mutually that are up.
Amit.
So at this moment, we don't see an issue in the short term.
And.
Thinking medium term.
What.
All expecting that the <unk>.
Slide chain.
And semi.
Eight.
<unk>.
Yes.
Graeme.
Not particularly.
Semiconductors.
So short term, we don't envisage a real issue medium term, yes, it's contingent upon supply chain.
Yes.
Okay.
Okay.
Our next question is can you confirm or deny whether the timber kits broke.
No.
During testing.
And.
This I think came out.
Pension a few a few months ago.
Hey, Ken without sort of accretion confidence as we.
We have.
I have not put out a statement.
Deny that.
Nor is any other party involved.
Sure.
Yes, I think we're very confident.
Okay.
Yes.
And.
Okay.
<unk> linked crudes that has that.
But inside.
It becomes a very powerful animal.
It's amazing and for those who are into off road driving as I am.
Great.
Okay.
Right.
Next question is.
Brian when are you expecting to buy shares I made.
Commitments that are woods.
Perhaps fortunately.
Not able to because of.
<unk>.
Mentioned that we've had.
The last six months.
Where we've had yet.
Deals and transactions in our agreements.
<unk>.
Delayed in terms of being able to announce that one of launch.
So I have committed.
My salary television.
Heads.
We're in an open window I won't be buying.
Great.
So that hasn't changed.
I mentioned before.
Very much.
Along with that.
So the team is very determined to.
Successfully deliver on it.
Customers.
Yes.
But the impact.
Yeah.
Yes.
Yes.
First with the key questions.
I think we'll wrap up.
On that basis.
Let's see if there's questions feel free to reach out to.
Shareholders.
Mine were dedicated to us.
Building that.
Thank you for joining the call.
This concludes today's conference call. Thank you for participating you may now disconnect everyone have a great day.
Yeah.
The conference will begin shortly to raise your hand during Q&A you can dial one one.
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The conference will begin shortly to raise your hand during Q&A you can dial one one.
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Good day, and thank you for standing by and welcome to the vivo power International plc fiscal year 2022 full year earnings conference call. At this time all participants are in a listen only mode. Please be advised that today's conference.
Is being recorded I would now.
I'd like to hand, the conference over to your speaker today Kevin.
Thank you Victor and welcome everyone to the <unk>.
You bet.
Earnings call.
Alright.
Great.
We will jump straight into slide two which is the exact right.
So in a nutshell, we've made significant strategic progress over the last 12 months, but we have.
Great.
Quite a few headwinds.
Adding lingering COVID-19 effects on our businesses in Australia.
Well as foreign exchange.
So going through key points Christy revenue declines.
237.
Primarily attributable to the east.
Covid Lockdowns retreat back at the half year itself.
Which unfortunately.
And through the majority of periods.
Over the last month.
Yes.
Cause delays.
For our business.
Okay.
In addition, there's been a sharp drop in the exchange rates.
Great.
On a constant.
This is our revenue declined.
Year on year.
In terms of gross profit. This includes the discontinued operations.
They decreased by $4 7 million to one point.
For the same reasons I mentioned before.
That's a.
In particular, we had a $1 9 million dollar.
Cost overrun on the Blue Cross approach.
Q2 at border closures and strategy.
Our GP margin declined in 2016.
Year on year.
<unk>.
In turn reflects increased compliance costs increases in supply chain costs as.
As well as the one off bluegrass solid project.
GP margin.
Adjusted for the cost overruns of bluegrass was not.
9% freshmen.
And.
Excluding the discontinued operations was 10%.
EBITDA, including discontinued operations declined to 10, four megawatts versus one formulary loss.
Our operating loss widened to 46 now.
$8 million.
Yeah.
Again, this was driven by FX.
Reduced lockdown period revenues.
Yes.
Year.
We've got solar project.
We did.
Breast with budgeted increase in growth Opex to support.
Hi.
In terms of our cash balance as at year end. It was $1 3 million down from eight points from the previous year. However.
However, post balance date.
We replenished this $8 9 million.
Matt.
It was because of the sale of the.
Non core business units as well as the shelf raising we did it.
In terms of uses of cash during the year.
Quite judicious.
Ziv.
How we invest cash.
Before timber scale up new product development.
That said, we did incur as I mentioned $1 nine mill and one off bluegrass OLED.
Unplanned.
Dr. Paul.
We did execute on.
<unk> of transformational strategic initiatives despite significant disruptions.
In terms of our distribution partnership network, we expanded that six continents in 50 countries.
With EV commitments and orders increasing.
<unk>.
Very importantly, we secured a commercial design services agreement with Australia.
With <unk>.
Prioritization of the development of next generation.
But what our.
In version two batch conversion kit.
Is the key focus.
We divested <unk>.
Non core businesses within obesity.
Enable proceeds to be reinvested.
Higher growth.
<unk>.
And it helps us average vivo power and chimbote.
An operating unit market.
Market globally.
Soon as borders reopened.
UAE at areas, while the south.
Last but not least.
We reset to <unk> op <unk> status, which is the mandatory requirements.
Equal.
In terms of the reassessment.
We were named again, it's one of the best Wells.
For governance.
And revenue.
100 globally.
Year in a row.
While the related.
<unk>.
Okay.
Okay.
Turning to slide three this is a recap of the year and as well as an update on some of the prior announcements that we made.
So significant strategic and operational progress.
Thank you.
Key achievements included during the definitive agreement at our strategy.
As well as.
Shh in bodies.
And winning record levels of solar.
Electrical solutions contracts.
Just kind of specifically to some of the.
Previous announcements and updates on those.
We had.
Quiet.
We'll control the U S solar portfolio, we rebranded Thats one.
One.
Pivoted.
At G.
With a view to.
Then.
Renewable power digital asset mining.
Operation to be spun off.
The company.
That is on hold at the moment due to market.
So.
Theres been.
In terms of mining.
Good morning.
We have.
Put that on hold.
Yes.
Other updates.
We executed an LOI to acquire 100% of GB auto.
I'd have to on a consensual basis too.
Six that LOI.
As well as the distribution agreements.
Yes.
And those now.
Directly.
And we will.
Receipt.
Selling directly in our own right.
<unk> GP also remains.
And valued partner it's contracted.
Okay.
With them.
In terms of.
Right.
Chip.
Mike.
Elsewhere.
As I mentioned, we've we've established.
Subsidiaries and operating units now for timber in key markets globally.
That is very much focused in the priority boarding.
Scallop Assembly and production capability.
In key markets around the world close to our customers.
Doesn't make.
Okay.
Symbol and manufactured out of the Netherlands.
Two.
Fire away in Australia, or Asia or Africa.
So that is that is a real focus.
Okay.
Going to the next slide in terms of key objectives that we set out at the start.
Out of that.
The fiscal year back in July last year, we have delivered on <unk> out of the 18 objectives that we've set.
Yes.
In terms of the ones that are still outstanding.
Assembly.
Gallup production is.
Yes.
Bill.
To be executed upon.
Been a challenging period with legit.
Chain issues around the world.
You mentioned that.
Hence two two.
To scale up.
<unk> out of all items.
<unk> chips.
Around the world So.
We have been.
Producing and sending kicks out.
They haven't hit.
Got up stage.
Volumes this year.
The other area, where we have had slippage is right.
Yes business units.
No.
We made a feasibility study.
The partnership.
That said in terms of building, our engineering and sales teams.
If not you can.
New properties and very much on the.
EV side of things.
To focus our resources and attention that trend.
That said on a post balance date.
Basis, we have executed.
A couple of investments in joint ventures to increase capabilities.
Yes.
And that includes an investment.
And then <unk>.
Mining energy storage company, putting revenue.
Okay.
Onto the next slide.
This is a quick update in terms of the team.
So we've been focused in the last six months on reshaping the same for the next phase of strategic execution.
And our hedge strategy in that regard.
It has three objectives number one is leadership team.
<unk> capabilities in operations product Engineering Assembly.
Factory.
We've also wanted to strengthen our safety quality development, just a calculation timber.
And.
We have also executed on.
Middle office and back office functions.
To help us to scale.
Yes.
Equity.
Level.
Some of the key hires that we've made during the year Alan Evans has pointed to timber quality.
Mccormick is timber.
Yes.
Okay.
And John Diego Bannon, who is with me on the call today is.
Peter Kraus.
Joined.
Key promotions.
Nestor has stepped up to the head of global partnerships.
He is taking over from Kerr who's been instrumental in really.
Getting vivo about power and timber to where we are today, but.
I will be leaving to focus on personal.
Matters.
Net.
It's taking the baton and has.
Really instrumental in driving growth.
The chips.
Okay.
Gary <unk> has been promoted script chief operating officer.
And great job.
Particularly in relation to that.
<unk> relationship.
Our relationship as well as helping too.
Internationalize that.
Sure.
Mindset, such wallets focus.
And <unk> has been promoted as financial controller and the agent.
Yes.
Seeing the VX operations in particular.
No.
Yes.
Right.
Is it.
The growth.
Okay.
Onto the next slide.
We as I mentioned, we signed a B Corp, and had been recognized again for global impact leadership.
Importantly, we were named one of the SP corporate governance by <unk> U K.
And this is.
Very important.
Yes.
As a group.
All right.
Okay.
Moving on to page seven just delving into the numbers a bit more.
So in terms of our operations.
That a breakdown between the.
Discontinued as well as retained operations, which include the fast growing.
Thanks.
Right.
Accounts.
Million of revenues.
And.
In that instance.
Good morning.
Okay.
So.
Group GP declines as you can see from this point.
<unk> one mill that includes the $1 nine mill.
Cost overruns on the bluegrass project.
And in terms of.
Adjusted underlying.
As mentioned widen.
Widened from one.
Yeah.
Moving to the next slides so just breaking down further.
P&L from.
<unk>.
Basis, and retro calling that to continuing operations.
So for FY 'twenty, two you can see that.
Counted $15 2 million of revenues.
<unk> attributable to that.
<unk>.
Okay.
Yeah.
For continuing operations.
Ball mill.
What's the revenue.
And if we exclude the bluegrass.
Burns GP was two two.
If you look back at the prior year, which was less COVID-19 affected.
See that continuing operations.
Ball mill.
Ross.
Mill.
Sure.
Around 18th.
And as mentioned in previous announcements.
Got it.
So the.
Correct.
Okay.
Segment.
Which includes the solar.
Business units and a strategy that's been retained.
As to what the P&L after tax figures here.
Not really.
Units.
Yeah.
Post divesting.
Non core operations.
Next slide I won't go through in detail that just shows the reconciliation.
The underlying EBITDA from from net loss.
But so we had quite a bit.
The number of.
Including.
Foreign exchange.
Yourself.
Okay.
Certainly on the next slide page 10, I won't go through that.
Going to the balance sheet on page 11.
So project investments.
Increased from.
$8 4 million.
That includes <unk>.
Tangible development costs.
Lives in both sports and Bob.
We as mentioned.
We had a cash balance declined from.
$8 six mill to one three mill, but on a post balance date former basis.
Replenished.
9 million.
In terms of net debt that increased from $14 five.
Great Mill.
One pro forma base salary.
Yes.
$19 7 million post balance date.
<unk> of that.
In terms of.
That is attributable.
John .
Yes.
Rich.
As mentioned before very supportive.
Yeah.
Shareholder as well.
Going to the individual business units so.
So firstly for timber we made significant progress during the year deliveries.
Right.
The outlook remains very positive.
Get approached on a daily basis.
Why people seeking say convert.
<unk>.
And.
We are as mentioned from a focus perspective.
Prioritizing the release that right Richard.
Sure.
In early calendar 'twenty, three and we expect to going to scale up production release of that chips to lakes.
Great.
We're very much focused on continuing.
<unk> with respect to a microphone.
And the Rollouts.
E Mail.
We have identified in southeast Asia.
Kits to launch these market sectors.
In addition, what we're also doing is opportunistically recruiting world class talent.
On the available.
As a result of.
C.
Head count reductions that are going on at many other EV companies.
The capital raise.
Excellent.
Why.
It would not have been available.
One available.
We wanted to.
12 to 18 months so we.
We are taking advantage of.
Markets.
And the other <unk>.
To add to our talent base.
One developments in the Middle East just language. So we have signed Mou with the Jordanian stayed on enterprise.
Which involves.
EV.
It's.
And so on.
That will turn about Brexit.
Last year is starting to bear fruit.
With regards to <unk>.
That partnership and relationship.
Yes.
Duane watching with its theater credit team.
And.
Yes.
AP mutual objectives that we've set.
One <unk>.
Protected Australia, Lockdowns very much impacted our results, but the absolute very positive.
There is an unprecedented pipeline of over 20 Gigawatts of solar farm cookies.
Being built.
<unk>.
Buoyed by the election of a new federal government.
It made.
Yes.
We're very supportive of.
Towards more renewables Australia.
So we.
We are very much experiencing green rush, if you will in Australia.
All right.
Entry.
Hence we are targeting for us all our electrical business.
To deliver revenues.
Seeding the revenues.
<unk>.
Okay.
Yes.
In terms of compound earnings growth rate.
Our electrical solutions business has grown.
Yes.
Right.
And we have a very strong pipeline.
With significant needs.
Thats ticking up.
Looking for that.
Contributes.
Won't be.
Okay.
Okay.
In terms of Fcs.
Sorry.
Focus on the mining sector.
<unk> and <unk>.
Yes.
As well as other industries.
We're seeing an increasing number of SCS up any more customers.
Okay.
Yeah.
And conversations have now pivoted not just.
But also.
Onsite critical power.
Lodging.
Maintenance energy storage micro grids.
Thanks, Bob.
So we're focused on expanding our capabilities through partnerships and joint ventures.
And while.
While we've made a seed investments in green gravity.
Alright.
In Australia our.
Focused on the money.
And that will help spur.
Expand our capabilities as well as.
Chinese group.
Okay.
In terms of carats, we created incremental value over the year through development activities, but.
Very much feel there's more to come from the inflation reduction Act.
Positive four carat sold them.
There is a renewed focus on data infrastructure, including mining.
We are seeing more inbound interest.
<unk>.
<unk>.
Various.
Solar projects.
And.
So notwithstanding.
Digital asset Mining's correction that we've had over the last six months.
Without power.
<unk>.
Albeit.
Yes.
In a time that appropriately as far as.
Any investment.
Overall the <unk>.
Plan is to spin off this business units and to reinvest proceeds.
Or.
EV.
As well as our SCS.
Or.
Turning to FY 'twenty, three and our key objectives. So focuses on scale up assembly and production or <unk>.
I won't go through every single <unk>.
<unk>.
Sure.
That was targeting.
<unk>.
And.
The micro factory is a key element and a key enabler of the scale up.
And the introduction.
Just to touch on page 17 events, plus next year and so we've had a solid.
Up to FY 'twenty three.
So youre.
Hits in terms of amendments.
And state owned enterprise.
As I mentioned before.
We have however.
Cause the uptick truck LOI keven.
Given our need to very much focus on that.
Australia and land cruiser Arctic trucks.
Okay.
Alex.
Which we very much.
To electrify as well, but even.
Resource and time commitments, we do need to focus on.
Our straight up as far as the <unk>, which is what most.
Most of the customer.
Customer.
We obviously executed on strategic transactions to Bulks or.
Cash balance up to $8 nine.
And divesting the non core units as well as can be.
Operating on NASDAQ.
We are capitalizing on opportunities to hire talent.
And take advantage of.
The Minnie Winnie.
That's.
Yes.
Sure.
One of the very few that are still in hiring mud set but we're doing it on a very selective.
Yes.
Very importantly, we secured important ESG.
Whats.
Just with Cowen.
Alright.
Bob.
We've reorientate at the GP also relationship.
Yeah.
Got it.
As mentioned this involves ceasing the distribution agreement and the letter to acquire <unk>.
But they very much remain <unk>.
<unk> and preferred partner.
The subcontracting.
And last but not least we engaged advisers and licensees.
Our spinoff.
The inflation reduction act as real pockets.
And so we're looking to.
Spinoff chat.
Excellent.
Second.
Back into Veeva.
That's it for my presentation.
There have been a number of questions sent through in return.
Okay.
With.
Yeah.
Audio of this.
I might just.
Okay.
Questions that have come through.
One of those questions as Evs in underground mining is relatively new in vivo involved with helping right safety guidelines.
Okay.
Right.
Charles if not directly involved.
Such as the global mining guidelines group.
Well, Dave with new pipeline to that.
While such slides.
Go ahead.
Yes.
One of the worlds fall much mining safety experts.
Rising us.
Thank you.
Womens.
All lines, particularly underground.
So yes, we are.
The intervention.
Ensuring that.
Electric vehicle convergence are safe.
The absolute number one.
Our products right.
For customers in the mining sector as much for us.
The second question is does the 70 series have digitalization features to the application.
Capability to help ensure vehicle fleets with inside mines.
And what are you doing to make sure you are on.
<unk>.
Especially with the.
You use more and more.
Looking for ways to create new technologies, so making more.
The technologies are compatible with <unk>.
Yes.
Thanks.
This is a great question and the short answer is yes to any series can accommodate.
<unk>.
So that for geolocation status.
<unk> and.
That is very much data that's important for the minus.
In terms of our software including telemetry.
This very much.
On to catch us.
Okay.
And yes, we are always looking for ways to create new technologies new IP.
<unk>.
So the short answer to that.
Next question is knowing the demand for the 70 series is high combined with supply chain.
Yes.
It's still having a ripple effects has the Toyota pause mid series affecting your production.
Have there been conversations Toyota to produce only the necessary components.
As to speed up installation.
It's.
Could something like this helps you to shift with 70 series up faster and is this a possible say upstream.
Upstream protection, Ken Great question.
Oh.
Yeah.
Is the gatekeeper in terms of.
Releasing.
Vehicles and vehicles and with respect to the 70 series I think.
Without accretion confidence.
We are comfortable.
And what's available.
Meet.
What Sam requirements.
Officially.
In Australia, we have most of the demand is.
Moments.
And we will continue to work very closely with.
To ensure mutually that our arms.
Amit.
So at this moment, we don't see any issue in the short term.
And.
I think in terms of <unk>.
<unk>.
What.
All expecting that the <unk>.
Slide chain.
And semi.
Yeah.
<unk>.
Yes.
Frame.
Particularly with.
Semiconductor.
So short term, we don't envisage a real issue medium term, yes, it's contingent upon supply chain.
Yes.
Okay.
Okay.
The next question is can you confirm or deny whether the timber chips broke.
And Amit during testing.
And.
This I think came out.
Operation a few a few months ago.
Hey, Ken without sort of accretion confidence is.
We.
I have not put out a statement.
Deny that.
Nor is any other party involved.
Oh.
Yes, I think we're very confident.
Okay.
And.
<unk>.
Yes.
Once linked crudes that has that much it.
It inside it.
It becomes a very powerful animal.
Amazing and for those who are into off road driving as I am.
You would appreciate.
Thanks.
Okay.
Right.
Next question is.
Brian when are you expecting to buy shares I made.
Commitments that are woods.
Perhaps fortunately.
Not able to because of.
<unk>.
Mentioned that we've had.
The last six months.
Where we've had.
Deals and transactions in our agreements.
<unk>.
Delayed in terms of being able to announce that one up.
So.
I have committed.
Bye.
<unk> correct.
Ed.
We're in an open window I won't be buying.
Great.
So that hasn't changed.
I mentioned before.
This very much.
Elongation.
That said the team is very good sentiment.
Successfully deliver on it.
Customers.
Yes.
But the impact.
Yeah.
Yes.
Yes.
First with the key questions.
I think we'll wrap up.
On that basis.
Let's see.
Feel free to reach out to.
The shareholders that evoke.
We have a dedicated.
Building that.
Thank you for joining the call.
This concludes today's conference call. Thank you for participating you may now disconnect everyone have a great day.