FLEETPARTNERS GROUP LIMITED — Earnings Release 2019

Nov 12, 2019

Level 6, 601 Pacific Highway Sydney NSW 2065

W www.eclipx.com

Eclipx Group Limited | ABN: 85 131 557 901

13 November 2019

ASX Release

Market Announcements Office Australian Securities Exchange 20 Bridge Street Sydney NSW 2000

ECLIPX GROUP REPORTS FY19 RESULTS AND PROVIDES AN UPDATE ON THE SIMPLIFICATION PLAN

Eclipx Group Limited (ASX: ECX, “Eclipx” or “Group”) today announces its full year results for the twelve months ended 30 September 2019, together with an update on its Simplification Plan.

Since announcing its Simplification Plan on 31 May 2019, the Group successfully disposed of three of its five non-core businesses, being GraysOnline, AreYouSelling and Commercial Equipment Finance Australia. The Group also restructured its corporate debt, whilst implementing initiatives designed to substantially reduce its cost-to-income ratio.

In September 2019, the Group also provided an update on its Core business strategic intent as well as outlining its intentions in relation to the remaining non-core businesses Right2Drive and CarLoans.com.au.

Group FY19 overview

• Against a challenging backdrop, the core fleet and novated business delivered a solid performance in FY19, while the non-core businesses disappointed

• The relativities between core and non-core performance support the rationale behind the Simplification Plan, which is progressing well

• During the second half of FY19, Eclipx announced a number of non-cash impairments and writeoffs, totalling $344.2 million (pre-tax). These related to losses on the sale of non-core businesses, impairments on the carrying values of non-core businesses yet to be sold and impairments of certain software

• Consequently, Eclipx is reporting a statutory loss after tax of $341.5 million in FY19 (compared with $53.2 million profit for FY18)

Core fleet and novated

• Total assets under management or financed (AUMOF) of $2.1 billion (FY18 $2.0 billion – up 4%)

• EBITDA in the Core Fleet and Novated business of $81.9 million (FY18 $86.2 million – down 5%)

• • FY19 Cash NPATA of $46.5 million (FY18 $57.6 million – down 19%)

Non-core business

• Non-core businesses, including those sold during the second half of FY19, were a substantial drag on Group earnings, resulting in a full year EBITDA loss of $22.4million (FY18 profit of $25.7million) and a Cash NPATA loss of $22.7million in FY19 (FY18 profit of $11.5 million)

• Eclipx sold GraysOnline and AreYouSelling in July 2019 and Commercial Equipment Finance Australia in September 2019

• The remaining non-core business units (Right2Drive and CarLoans.com.au) are offered for sale or will be restructured in FY20

Full details of the Group’s FY19 financial performance are provided in the Group’s Appendix 4E, FY19 financial report and related investor presentation.

Julian Russell (CEO) and Jason Muhs (Acting CFO) will hold an investor call and webcast at 10am to discuss the results. The details are as follows:

Teleconference

Conference ID: 6971179

Country	Dial In		Country	Dial In
Australia toll free:	1800 123 296		Japan	0120 994 669
Australia:	02 8038 5221		New Zealand	0800 452 782
Canada	1855 5616 766		Singapore	800 616 2288
China	4001 203 085		United Kingdom	0808 234 0757
Hong Kong	30082034		United States	1855 293 1544
India	1800 2666 836

Webcast

http://www.openbriefing.com/OB/3558.aspx

ENDS

NDS
Media enquiries	Investor enquiries
John Frey, GRACosway	Jason Muhs
0411361361	Eclipx Group
jfrey@gracosway.com.au	Acting Chief Financial Officer
	Jason.muhs@eclipx.com
	0438742757

About Eclipx

Eclipx is a leading provider of fleet leasing, management and vehicle rentals to corporate, SME and consumers in Australia and to corporate and SME customers in New Zealand.