of Shareholders 28 July 2017 Introduction Board of Directors - - PowerPoint PPT Presentation

▶
of shareholders
SMART_READER_LITE
LIVE PREVIEW

of Shareholders 28 July 2017 Introduction Board of Directors - - PowerPoint PPT Presentation

Jan 25, 2023 122 likes •488 views

Kingfish Limited Annual Meeting of Shareholders 28 July 2017 Introduction Board of Directors Alistair Ryan (Chair) Carmel Fisher Carol Campbell Andy Coupe Senior Portfolio Manager Sam Dickie Senior Investment Analyst

slide-1
SLIDE 1

Annual Meeting

  • f Shareholders

Kingfish Limited

28 July 2017

slide-2
SLIDE 2

Introduction

Board of Directors

– Alistair Ryan (Chair) – Carmel Fisher – Carol Campbell – Andy Coupe

Senior Portfolio Manager

– Sam Dickie

Senior Investment Analyst

– Zoie Regan

Investment Analyst

– Matt Peek

slide-3
SLIDE 3

Agenda

  • Preliminary matters

– Annual Report and minutes – Class financial advice

  • Chair’s Update
  • Manager’s Review
  • Q&A
  • Annual Meeting Resolutions
slide-4
SLIDE 4

Chair’s Overview

Presentation of Annual Result

slide-5
SLIDE 5

Investment Objectives

  • A high real rate of return

–income and capital growth –within acceptable risk parameters

  • Access to a diversified portfolio

–New Zealand quality, growth stocks –single tax-efficient vehicle

slide-6
SLIDE 6

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
slide-7
SLIDE 7

Use of Shareholders’ Funds

Year ended 31 March 2017 ($m)

208 220 17 22 6

195 200 205 210 215 220 225 230 235 Opening NAV Net Profits Dividends Paid Dividends Reinvested Closing NAV

slide-8
SLIDE 8

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
  • Total Shareholder Return* +8.1% (2016:

+3.3%)

*Assumes all dividends are reinvested and all warrants are exercised, but excludes imputation credits

slide-9
SLIDE 9

Total Shareholder Return

1 year to 31 March 2017

+8.1% +1.0%

  • 1.5%

+8.5% +0.1%

  • 2%

0% 2% 4% 6% 8% 10% Share Price Change Dividends DRP Warrants (1 for 4) TSR

slide-10
SLIDE 10

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
  • Total Shareholder Return* +8.1% (2016:

+3.3%)

  • 11.16 cents per share paid in dividends

(2016: 10.60 cents per share)

*Assumes all dividends are reinvested and all warrants are exercised, but excludes imputation credits

slide-11
SLIDE 11

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
  • Total Shareholder Return* +8.1% (2016:

+3.3%)

  • 11.16 cents per share paid in dividends

(2016: 10.60 cents per share)

  • Dividend Return 8.5% (2016: 7.7%)

*Assumes all dividends are reinvested and all warrants are exercised, but excludes imputation credits

slide-12
SLIDE 12

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
  • Total Shareholder Return* +8.1% (2016: +3.3%)
  • 11.16 cents per share paid in dividends (2016:

10.60 cents per share)

  • Dividend Return 8.5% (2016: 7.7%)
  • NAV per share $1.40 (2016: $1.37)

*Assumes all dividends are reinvested and all warrants are exercised, but excludes imputation credits

slide-13
SLIDE 13

Highlights of 2017

  • Net profit $22.4m (2016: $22.5m)
  • Total Shareholder Return* +8.1% (2016: +3.3%)
  • 11.16 cents per share paid in dividends (2016: 10.60

cents per share)

  • Dividend Return 8.5% (2016: 7.7%)
  • NAV per share $1.40 (2016: $1.37)
  • Adjusted NAV return 10.6% (2016: 13.0%)

*Assumes all dividends are reinvested and all warrants are exercised, but excludes imputation credits

slide-14
SLIDE 14

Manager’s Performance

  • Outperformance by the Manager

For the year to 31 March 2017 5 years (annualised)

Gross Performance* 13.3% 18.1% S&P/NZX50G 6.6% 15.4%

*Gross of fees and tax and adjusting for capital management initiatives

slide-15
SLIDE 15

Warrants

  • Successful warrant issue
  • Exercise date: 5 May 2017
  • Exercise price: $1.21 per warrant
  • 76% of warrants converted into shares
  • $35.2m to invest in the Kingfish portfolio
slide-16
SLIDE 16

Sam Dickie

Manager’s Review

slide-17
SLIDE 17

Its great to be home!

  • NZ investment landscape in 2017

has changed for the better

  • Very different equity markets
  • High quality NZ companies
  • Successfully expanding abroad
slide-18
SLIDE 18

A portfolio built on solid foundations

  • Over 100 company meetings in 4 months
  • Quality businesses with strong management teams
  • Generally the portfolio was in great shape – credit to

Carmel, Murray and the team

slide-19
SLIDE 19

Strong performance in FY2017

Strong gross performance, comfortably outperforming the S&P/NZX50G

13.3% 6.6%

0% 5% 10% 15%

KFL Gross return S&P/NZX50G Gross return Return

slide-20
SLIDE 20

Key contributors to our performance

  • 2
  • 1

1 2 3 4 5 Mainfreight Freightways Michael Hill Summerset Port of Tauranga Metro Perf. Glass Infratil Tegel Key contributors (%)

slide-21
SLIDE 21

25% 18% 63% 47% TSR

What worked in FY2017

slide-22
SLIDE 22
  • 5%
  • 18%
  • 16%

TSR

What didn’t work in FY2017

slide-23
SLIDE 23

Restaurant Brands – upweighting

  • Excellent performance in New Zealand
  • perations (especially KFC)
  • Best in class franchisee globally
  • Taking that expertise outside NZ
  • Offshore acquisitions provide new growth
  • pportunities
slide-24
SLIDE 24

FY2018 performance to date

1 April to 26 July 2017

Strong returns in FY18 YTD

7.1% 7.1%

0% 1% 2% 3% 4% 5% 6% 7% 8%

KFL Gross return S&P/NZX50G Gross return Return

slide-25
SLIDE 25

Outlook

  • Opportunities
  • Quality growth companies with quality management
  • Key portfolio holdings are well prepared for the future
  • Supported by solid growth outlook
  • While valuations remain ‘full’ in absolute terms, they

look very reasonable relative to global markets

  • Risks
  • Uncertainty from New Zealand election in September
  • Slowly increasing interest rate environment
slide-26
SLIDE 26

Manager’s summary

  • Solid absolute and relative performance
  • 8 consecutive years of positive performance
  • Positive about our investments
  • Constantly looking for new opportunities
  • Active management of existing positions also

drives performance

slide-27
SLIDE 27

General Questions from Shareholders

(not relating to resolutions)

slide-28
SLIDE 28

Annual Meeting

2017 resolutions

slide-29
SLIDE 29

2017 Annual Meeting Resolutions

  • Introduce and propose
  • Discussion, questions
  • Enter your vote on voting paper and lodge

your voting paper at end of resolutions

slide-30
SLIDE 30

Matters of Business

  • Annual Report
  • Resolutions:

–Re-elect Andy Coupe –Auditor remuneration –Directors’ remuneration

slide-31
SLIDE 31

Proxy Count

Resolution For Against Discretionary Total Abstain

Re-elect Andy Coupe 16,264,134 62,852 1,961,250 18,288,236 118,858 Auditor Remuneration 16,412,668 20,586 1,919,465 18,352,719 54,375 Directors’ Remuneration 6,132,508 2,532,133 2,038,127 10,702,768 7,704,326 Proxy votes to date: 18.3 million

slide-32
SLIDE 32

Resolution 1

Re-election of Andy Coupe To re-elect Andy Coupe as a director of the company

slide-33
SLIDE 33

Resolution 2

Auditor’s Remuneration To authorise the Board of Directors to fix the remuneration of the auditor for the ensuing year

slide-34
SLIDE 34

Resolution 3

Directors’ Remuneration To authorise that the maximum aggregate remuneration able to be paid to all directors (in their capacity as directors) of the company be increased by $20,000 per annum from $105,000 to $125,000 (plus GST if any)

slide-35
SLIDE 35

Conclusion

  • Complete and sign voting paper
  • Voting papers in the voting boxes
  • If you need a voting paper please see

Computershare

  • Results to NZX
slide-36
SLIDE 36

Thank you