2016 Annual Report

Financial Snapshot

Key Events

PERFORMANCE AT TOP END OF PROFIT GUIDANCE

  • NPAT $28.4m including $20.2m gain on sale of Bay International shareholding

INCREASED DIVIDEND LEVEL

  • Final dividend up 33% to 20 cents per share, taking total dividend to 30 cents per share

RESULTS FROM CONTINUING BUSINESSES WELL AHEAD OF PRIOR YEAR

  • Gross revenue up 12%
  • Underlying EBITDA up 15%
  • Underlying NPAT increased by 57%

INVESTMENT INTO GROWTH

  • Added 19 dental practices growing trans-Tasman dental network to 188 practices as at 31 May 2016
  • Lumino The Dentists passed 100 practice milestone
  • Opened six new greenfield stores for Bay Australia and relocated two stores into retail sites

LAUNCH OF MAVEN DENTAL GROUP BRAND

  • Brand rollout activated in late-2015 with 10 practices branded by year-end

DIVESTMENT OF AUDIOLOGY SHAREHOLDING

  • Announced sale of 50% shareholding in Bay International in May 2016 resulting in a gain on sale of $20.2 million

MANAGEMENT SUCCESSION

  • Richard Keys appointed CEO and Rachel Walsh appointed as CFO in November 2015

FINALIST INFINZ AWARD 2016

  • Emerging Leaders Best Corporate Communicator

Five year performance reflects divestments including sale of brain injury rehabilitation business in FY13 and sale of pathology and orthotics businesses in FY15.
Gross revenue includes the equity accounted jointly controlled Audiology business and Australian dental revenues before payment of dentist’s commissions.
EBITDA is earnings before interest, tax, depreciation and amortisation.
Underlying earnings are reported for both NPAT (a GAAP compliant measure) and EBITDA (a non-GAAP financial measure) and excludes gains/losses arising on sale of businesses, IFRS adjustments and impairments, including their tax effect. Both measures are reconciled back to reported NPAT. It is the measure used within the Company to evaluate performance, establish strategic goals and to allocate resources.
More information on gross revenue, EBITDA, Underlying EBITDA and Underlying NPAT, which are non-GAAP financial measures, is available at www.abano.co.nz/underlyingearnings  and in note 1, Segment Reporting, of the Financial Statements for the year ended 31 May 2016.