Welcome everyone, and thank you for joining us today for our full year FY2024 results presentation. Before we commence today's formalities, we at APM would like to acknowledge the traditional custodians of the lands on which we live. We pay our respects to elders, past and present, of all Aboriginal and Torres Strait Islander nations. Globally, APM recognizes the significance of Indigenous peoples' communities and the important role they play within our own workforce and the world. Joining me today on this call are Michael Anghie, our Group CEO, and our CFO, Matt Cooper. We recognize that a lot of the headlines of this result have been released prior to today, but on this call, we plan to take you through the details of our financial performance and the operating environment, as well as touch on the current proposed and recommended scheme of arrangement that we have in front of our shareholders. Turning to slide 5. Before I pass to Mike and Matt, I'd like to take a moment to reflect on the most important result we deliver. That is the impact on the lives of the clients we support. At APM, our clients are at the core of everything we do. We often support the people in our communities in their times of need, from early childhood through their life course. Our focus is on enhancing a person's health and well-being, independence, employability, and social and economic participation in their community. Our clients include long-term unemployed people in pursuit of meaningful employment, people with disabilities seeking greater independence, participation and inclusion in their communities, people with mental health needs, veterans, the elderly, those suffering injury or illness, and many more. At its core, APM is a social impact company. We seek to make a positive, lasting social impact through the delivery of our programs, and regardless of the operating environment, we will never lower the standard of the support we provide. It is this commitment to maintaining the highest possible standards of performance and ethics in the delivery of the programs we operate globally, regardless of the economic cycle, that has established APM as the most trusted partner of governments in the delivery of their most important social assistance programs. The output of this dedication is what you see here. In FY2024, our 15,000 passionate APMers in 11 countries supported over 2 million people. It is this dedication and commitment to our purpose that has enabled us to continue to win important new contracts. In FY2024 alone, these include the Toronto catchment in phase three of the Ontario Employment Services Transformation in Canada, four new Job Corps awards, and numerous workforce development contracts in the United States. Before handing to Mike, I wish to thank you as valued shareholders for your willingness to invest in a company dedicated to creating sustainable social impact. Over the past three years, APM has not deviated from our mission to enable better lives, and we remain pleased and humbled by the impact we've made as a company. Thank you for your support. I now pass to Mike. Thanks, Megan. Moving to Slide 7, where we're looking at the current operating environment. As we've said previously, more than 70% of APM's revenue comes from employment services, and as such, the unemployment cycle is a key macro driver of our business. Australia and the U.K., in particular, represent our two largest volume and outcome-exposed employment services markets. Both of these markets are continuing to see strong economies with tight labor markets and relatively low unemployment. These markets saw unemployment increase back above 4% during recent months, but as you can see, historically, this still represents a subdued business environment for APM. Moving to client flows. On Slide 8, we've presented available public data on provider caseloads in Workforce Australia, together with the public data on clients operating within the online system before coming to a provider for support. Workforce Australia is Australia's mainstream unemployment program. I would note here also that the figures reflect an adjustment in who is included in the program, counting by the department from June 2024 onwards, whereby clients who were fully meeting their mutual obligation requirements for 13 weeks or more were exited from Workforce Australia and will be supported by Services Australia. This included approximately 64,000 people who exited the data at that time. Two themes that we'll call out on this slide. Caseloads have stabilized year on year from the declining trend we've seen up to the half year in February, and this is illustrated on the right-hand side of this page. While early to say that this change is sustainable, it does feel like there's been some stabilization in client volumes. Secondly, the online caseloads have held their levels since February. As we've said previously, over time, these participants are expected to be released to providers for support. Beyond caseloads, the other key elements of APM's revenue in our key volume-exposed markets of Australia and the U.K. are outcomes or placement, where APM supports clients into sustainable employment. As mentioned in the half year, we continue to observe a high proportion of our caseload being long-term unemployed, and as such, requiring more support and intervention to progress their employment journey. This is where APM and our team does its most important work, supporting those into sustainable, meaningful employment. But as mentioned, these clients require greater support levels, which contributes to softer financial performance in recent times and the half just gone. As Megan mentioned earlier, we're always focused on our performance, which translates to providing best-in-class support for our clients on behalf of our stakeholders. Slide nine is the department's most recent assessment of performance ratings across all Workforce Australia contracts nationally. As you can see, APM continues to differentiate itself versus our competitors as a high performing provider. 17% of our contracts were rated high, nearly three times the industry average, excluding APM, at just 6%. As we noted back in February, we had a particularly strong start to the contract, given our people and their experience in mobilizing and commencing new programs. We said at the time, we expected to see providers normalize into the moderate category, but we're pleased to see that our people, systems, and processes continue to position us well. Most notably, we believe we should focus on low-rated contracts and representing regions where providers are exposed to reallocation and where improvement is needed. We're never satisfied with any underperformance, but we'd note again, versus competitors, where only 13% of our contracts rate in the low category, more than three times better than the industry average, excluding APM at 42%. Finally, on Slide 10, we remind everyone of our intentional strategy to build a business with a more balanced revenue mix. For FY2024, execution of this strategy has seen the mix of revenue from cost-plus-fixed-fee and fee-for-service increase to 67% of our revenue, versus 48% in FY2021. While we'll clearly continue to pursue programs where our high performance gives us the opportunity to generate higher potential margins in return for exceptional performance, we believe our global diversified footprint will, in time, generate more predictable and stable revenue and earnings margins going forward. Moving to Slide 12, and before handing to Matt to take you through the details of the financial result for the half, I wanted to touch on the main points. The results we present are in line with what we announced via our scheme booklet and in line with prior guidance. Revenue in FY24 increased 21% to AUD 2.3 billion, primarily due to a full year contribution from the Equus and Everyday Independence acquisitions, but also due to organic growth in the U.S. and our health and well-being business in Australia. These were offset by declining revenue in our employment services businesses in Australia and the UK. Underlying EBITDA declined 23% to AUD 280 million, with underlying NPAT down 47% to AUD 95 million, predominantly due to the factors discussed previously in employment services in Australia and the UK, as well as higher interest rates. Passing now to Matt. Thanks, Mike. Turning to slide 13. As Mike outlined, FY 2024 experienced strong revenue growth of 21% versus FY 2023. Revenue growth was largely through a full year contribution of prior period acquisitions, including Equus in North America, with an additional four-month contribution in FY 2024, and Everyday Independence in Australia, with an additional seven-month contribution in FY 2024. There was organic revenue growth in the Australian health business and in North America through new contract wins in both Canada and the U.S. However, this was largely offset by a reduction in employment services revenue in Australia and the U.K. Underlying EBITDA was down 23% to AUD 280 million in FY 2024, attributable to lower employment services contribution. Underlying NPATA was down for similar reasons and further impacted by an additional AUD 17.5 million in interest expense versus FY 2023. Turning to slide 14. On the balance sheet, the decrease in net assets for the year predominantly reflects an impairment charge relating to goodwill and customer contracts acquired through historical acquisitions. As we disclosed previously, that carrying value is reviewed as part of the year-end audit process. Based on the offer price, under the proposed and recommended scheme, there was an indicator of impairment, which has now been determined at AUD 269 million. We note that this is a non-cash impairment and is excluded from the underlying results and APM's covenant calculations. We would also note that it will not have any impact on the consideration under the proposed recommended scheme. As we announced during H2 FY 2024, we have secured financing out to 2030 via a committed facility with Goldman Sachs, which will be implemented at the earlier of scheme acceptance or January 2025. We are pleased that this facility now removes refinancing risk from the group and positions us well to weather the current challenging environment. Turning to slide 15. Underlying cash conversion for FY 2024 was 81.8%. While H2 saw a decline versus H1, this is primarily due to timing of working capital, with large receipts received in December 2023 rather than January 2024. The full year cash conversion is in line with our expectations of greater than 80%. Moving to our segments. The ANZ segment experienced modest revenue growth of AUD 25.4 million to AUD 842.1 million in FY 2024, with underlying NPATA up lower at AUD 25.4 million. Revenue growth was attributable to the full year revenue contribution from Everyday Independence, acquired in February 2023, with organic growth in our existing health businesses, offset by a reduction in revenue from employment services. The impact on NPATA, despite growth in revenue, is predominantly due to a reduced contribution from our performance-based employment services contracts. We saw some offset from margin improvement from our health businesses, but those remained largely in growth mode, so the impact overall was small. The incremental interest expense touched on earlier also had a significant impact on NPATA margin in this segment. Moving to slide 18. North America saw significant revenue growth of AUD 426.7 million- AUD 1.1 billion in FY 2024, with underlying NPATA increasing from AUD 43.5 million- AUD 47.6 million for the year. As previously described, the incremental revenue contribution is largely from a full year of Equus, but there has also been strong organic growth of around AUD 68 million from Canada. Canada remains a bright spot for the group, with increased contribution from contracts awarded under the Ontario Employment Services Transformation, particularly the Toronto catchment recently awarded going forward. Margins in North America were down, reflecting a mixed shift to the U.S. under a full year of Equus and organic contract wins, in particular, Job Corps, and lower margins in new contract wins in Canada. Moving to Slide 19. FY 2024 delivered revenue of AUD 397.9 million and NPATA of AUD 22.1 million, compared to AUD 436.6 million and AUD 49.6 million in FY 2023 in the Rest of the World segment. Revenue is lower, primarily due to lower client flow in the UK Restart Scheme and the end of the short-term COVID-19 relief JETS program in the U.K.. This was partly offset by an increase in contribution from the Work and Health Programme and the National Citizen Service Program. NPATA was impacted by a reduced contribution from performance-based employment services contracts due to low client flow. Also, case loads are generally more challenging to support through a low unemployment cycle. Therefore, our cost to service increases as we seek to ensure we deliver excellent client service. Looking forward, we have several priorities that have potential to have meaningful impacts in future periods. In particular, mobilization of the Functional Assessment Services contract, which is ongoing and due to commence in October 2024. On our pass back to Mike. Thanks, Matt. On slide 21, while this has clearly been a year which will be overshadowed by corporate activity, our team has continued to focus on what is important, delivering on our promises to our clients and executing on our strategic priorities. We remain focused on the things that matter, including investing in our people and processes, continuing to invest in the recruitment and retention of allied health talent to support our growing health and NDIS businesses. The mobilization of recent contract wins, particularly functional assessments in the U.K. and the Ottawa and Toronto catchments under the Ontario Employment Services Transformation, and the ongoing focus on delivering exceptional service, supporting the conversion of our pipeline of identified opportunities across all our businesses and regions into sustainable business. We're also aware of the need to optimize our business for the current environment and drive efficiency. On this front, we're well advanced in delivering on our previously announced cost and efficiency initiatives, and like our shareholders, we're focused on improving our balance sheet strength and flexibility, and we're pleased to be able to announce the committed facility outlined by Matt that underpins our position going forward, and finally, on slide 22. You will all have seen last week that we dispatched our scheme booklet. Should the proposed transaction be approved by APM shareholders, excluding Madison Dearborn Partners, and then by the court, APM will become a private company again. For the purposes of assessing the proposed transaction, APM did two things: We formed an independent board committee comprising all independent directors of APM and appointed an independent expert to evaluate the proposed transaction. The APM Independent Board Committee unanimously recommends that APM shareholders vote in favor of the proposed transaction in the absence of a superior proposal and subject to the independent expert continuing to conclude the proposed transaction is in the best interest of APM shareholders. On the same basis, Megan and I also unanimously recommend that APM shareholders vote in favor of the proposed transaction. Further detail on the recommendation given by the APM Independent Board Committee, as well as by Megan and myself, and the reasons for that recommendation are set out in the scheme booklet. We encourage all of our shareholders to read the scheme booklet and to vote at the two meetings of shareholders currently scheduled for September 18, 2024. Further information on the transaction is accessible at the APM Investor website. In closing, as you've heard us say before, regardless of our ownership structure in the future, we will do what we've always done: provide best-in-class support and services to the people that need us most and seek to enhance our clients' health and wellbeing, independence, employability, and social and economic participation in their communities. We'd like to take this opportunity to thank our people. Your deep commitment to our purpose plays a key role in our ongoing success. We look forward to continuing to build the market-leading global health and human services provider. Thank you for your support and interest in our company, and we'll now open the line to questions. Thank you. If you wish to ask a question, please press star one on your telephone and wait for your name to be announced. If you wish to cancel your request, please press star two. If you're on a speakerphone, please pick up the handset to ask your question. We will pause momentarily to allow any questioners to register. Once again, if you wish to ask a question, please press star one on your telephone and wait for your name to be announced. Thank you. I will now hand back to Mike Anghie for closing remarks. Thank you, everyone, for joining us on the 2024 investor call. We look forward to keeping you informed of the progress of the scheme over the coming weeks, and thank you for your support. Cheers. Thanks. Thank you. That does conclude our conference for today. Thank you for participating. You may now disconnect.
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