Computershare Limited Risultati - Presentazione.pdf · Drivers Behind FY15 Financial Performance...

V1DIS

Computershare Limited2015 Full Year Results Presentation

Stuart IrvingMark Davis

12 August 2015

2

Introduction Financial Results

CEO’s Report

V1DIS

PRESIDENT & CHIEF EXECUTIVE OFFICERStuart Irving

Introduction

4

Results SummaryStatutory Results

Note: all figures in this presentation are in USD millions unless otherwise indicated.

Management results are used, along with other measures, to assess operating business performance. The Company believes that exclusion of certain items permits better analysis of the Group’s performance on a comparative basis and provides a better measure of underlying operating performance.

Management adjustments are made on the same basis as in prior years.

Non-cash management adjustments include significant amortisation of identified intangible assets from businesses acquired in recent years, which will recur in subsequent years, asset disposals and other one off charges.

Cash adjustments are predominantly expenditure on acquisition-related and other restructures, and will cease once the relevant acquisition integrations and restructures are complete.

A full description of all management adjustments is included in the ASX Appendix 4E Note 3.

The non-IFRS financial information contained within this document has not been reviewed or audited in accordance with Australian Auditing Standards.

Introduction

FY15 Vs FY14

Earnings per share (post NCI) 27.61 cents Down 38.9%

Total Revenues $1,984.0m Down 3.2%

Total Expenses $1,738.5m Up 1.0%

Statutory Net Profit (post NCI) $153.6m Down 38.9%

Reconciliation of Statutory Revenue to Management Results FY15

Total Revenue per statutory results $1,984.0m

Management AdjustmentsGain on disposals (7.3)Bargain purchase gain (0.7)Total Management Adjustments ($8.0)

Total Revenue per Management Results $1,976.1m

Reconciliation of Statutory NPAT to Management Results FY15

Net profit after tax per statutory results $153.6m

Management Adjustments (after tax)Amortisation 58.5Acquisitions and Disposals (0.1)Other (including Voucher Services impairment) 120.7Total Management Adjustments $179.2m

Net Profit after tax per Management Results $332.7m

5

Note: all results are in USD millions unless otherwise indicated.

Management Results SummaryIntroduction

FY 2015 FY 2014 v FY 2014FY 2015 @ FY 2014 exchange rates

Management Earnings per share (post NCI) US 59.82 cents US 60.24 cents Down 0.7% US 61.39 cents

Total Operating Revenue $1,976.1 $2,022.6 Down 2.3% $2,051.8

Operating Costs $1,419.7 $1,480.9 Down 4.1% $1,480.3

Management Earnings before Interest, Tax, Depreciation and Amortisation (EBITDA) $554.1 $540.6 Up 2.5% $569.1

EBITDA Margin 28.0% 26.7% Up 130 bps 27.7%

Management Net Profit post NCI $332.7 $335.0 Down 0.7% $341.4

Cash Flow from Operations $372.1 $409.3 Down 9.1%

Free Cash Flow $343.7 $392.8 Down 12.5%

Days Sales Outstanding 48 days 45 days Up 3 days

Capital Expenditure $38.6 $19.8 Up 94.9%

Net Debt to EBITDA ratio 2.10 times 2.13 times Down 0.03 times

Final Dividend AU 16 cents AU 15 cents Up 1 cent

Final Dividend franking amount 25% 20% Up from 20%

Drivers Behind FY15 Financial Performance

› Given a range of known headwinds entering FY15, underlying operating performance was sound with Management EBITDA up 2.5% against FY14 in actual terms and up 5.3% in constant currency. Management revenue was down 2.3% but up 1.4% in constant currency. The revenue benefit from the net impact of acquisitions and disposals was partially offset by the headwinds.

› Register maintenance revenues were down 2.8% in actual terms and 1.4% higher in constant currency, benefiting from recent acquisitions in Canada and the US. Corporate Actions revenues fell to their lowest level in many years, impacted by reductions in Canadian and Australian cash rates and the maturity of the USD deposit facility in FY14.

› Employee plans revenue fell 4.6% in FY15 and was 1.8% lower in constant currency terms. Lower margin income contribution and weaker transactional volumes impacted the segment.

› Business services experienced overall revenue growth. Australian revenues were impacted by the loss of Serviceworks’ largest client due to takeover. UCIA benefited from the HML acquisition and a pick-up in voucher services revenue. Class actions administration grew but was more than offset by weaker revenues in bankruptcy administration. US mortgage servicing grew marginally, offsetting revenue losses from the sale of Highlands Insurance in June 2014 and the loss of a material subservicing contract in March 2014.

› Stakeholder relationship management revenues fell significantly as a result of the sale of the Pepper Group in June 2014. Communication services revenues were also down, further impacted by currency translation due to the significant AUD revenues in this segment.

› Costs were down 4.1% benefiting from the stronger USD. Expenses were flat in constant currency terms notwithstanding the increased costs associated with recently acquired businesses.

› The Management effective tax rate for FY15 was higher at 26.1%.

6

Introduction

Computershare Strengths

› Leading market position in all major markets for equity investor record-keeping and employee stock plan administration based on:

- sustainable advantages in technology, operations, domain knowledge and product development;

- quality excellence and operational efficiency; and

- a joined-up global platform and seamless execution of cross-border solutions.

› Consolidating position and continuing to extract synergies from acquisitions within our chosen business lines.

› More generally:

- over 70% of revenues recurring in nature;

- long track record of excellent cash realisation from operations; and

- strong balance sheet and prudent gearing, with average maturity of debt facilities of 3.8 years.

7

Introduction

Guidance

› Looking to the year ahead, the Company expects underlying business performance to be broadly similar to FY15, however, the translation impact of the stronger USD and the anticipated lower yields on client balances are again expected to be significant earnings headwinds. The business is also anticipating some increased costs including those associated with investments in product development and efficiency initiatives. Taking all factors into account the Company expects Management EPS for FY16 to be around 7.5% lower than FY15.

› This assessment of the outlook assumes that equity, foreign exchange and interest rate markets remain at current levels and that corporate action activity is similar to FY15, and is also subject to the important notice on slide 65 regarding forward looking statements.

8

Introduction

9


CEO’s Report

V1DIS

CHIEF FINANCIAL OFFICERMark Davis

FinancialResults

11

Group Financial Performance


FinancialResults

FY 2015 FY 2014 % variance to FY 2014 2H 2015 1H 2015 2H 2014 1H 2014

Sales Revenue $1,966.2 $2,011.4 (2.3%) $1,011.8 $954.4 $1,040.3 $971.1

Interest & Other Income $9.9 $11.2 (11.7%) $4.7 $5.1 $5.4 $5.8

Total Management Revenue $1,976.1 $2,022.6 (2.3%) $1,016.5 $959.5 $1,045.7 $976.9

Operating Costs $1,419.7 $1,480.9 4.1% $720.7 $699.0 $771.7 $709.2

Share of Net (Profit)/Loss of Associates $2.3 $1.1 $1.1 $1.2 $0.5 $0.7

Management EBITDA $554.1 $540.6 2.5% $294.8 $259.3 $273.6 $267.0

Statutory NPAT $153.6 $251.4 (38.9%) $138.1 $15.5 $112.0 $139.4

Management NPAT $332.7 $335.0 (0.7%) $172.1 $160.7 $171.5 $163.6

Management EPS (US cents) 59.82 60.24 (0.7%) 30.94 28.88 30.83 29.41

Statutory EPS (US cents) 27.61 45.20 (38.9%) 24.82 2.79 20.13 25.07

12

Management EPS FinancialResults

26.87 29.41 28.88 27.98

30.83 30.94

54.85

60.24 59.82

0

10

20

30

40

50

60

70

2013 2014 2015

US

Cen

ts

1H 2H FY

13

FY15 Management NPAT AnalysisFinancialResults

335.0

321.1

332.7 332.7

4.8

0.9

5.5

8.0

14.0

11.018.1

1.5

21.15.1

0.6

305

310

315

320

325

330

335

340

345

350

355

FY14NPAT

EBITDA -USA

EBITDA -Canada

EBITDA -ANZ

EBITDA -UCIA

EBITDA -ASIA

EBITDA -CEU

EBITDA -Tech &Corp

TaxExpense

InterestExpense

Dep'n &Amort

NCI FY15NPAT

USD

M

14

Management Revenue & EBITDAHalf Year Comparisons Financial

Results

987.61,037.5

976.9

1,045.7

959.5

1,016.5

241.4268.4 267.0 273.6 259.3

294.8

24.4%

25.9% 27.3%26.2%

27.0%29.0%

0%

10%

20%

30%

40%

50%

60%

0

200

400

600

800

1,000

1,200

1H13 2H13 1H14 2H14 1H15 2H15

Ope

rati

ng M

argi

n %

Rev

enue

& E

BIT

DA

USD

M

Revenue Management EBITDA Operating Margin

15

Management Revenue Breakdown


FinancialResults

Revenue Stream FY 2015 FY 2014 % variance to FY 2014 2H 2015 1H 2015 2H 2014 1H 2014

Register Maintenance $798.9 $821.9 (2.8%) $411.6 $387.3 $432.3 $389.5

Corporate Actions $144.2 $154.2 (6.5%) $71.4 $72.8 $77.0 $77.2

Business Services $519.1 $487.9 6.4% $273.3 $245.8 $241.0 $246.9

Stakeholder Relationship Mgt $58.2 $74.7 (22.0%) $37.2 $21.1 $46.7 $28.0

Employee Share Plans $247.6 $259.5 (4.6%) $126.0 $121.6 $134.6 $124.9

Communication Services $179.8 $194.8 (7.7%) $83.1 $96.7 $100.0 $94.8

Technology & Other Revenue $28.2 $29.7 (5.1%) $13.9 $14.3 $14.1 $15.6

Total Revenue $1,976.1 $2,022.6 (2.3%) $1,016.5 $959.5 $1,045.7 $976.9

Total Revenue at FY14 rates $2,051.8 1.4%

16

Management Operating Revenue AnalysisFinancialResults

2,022.6

2,051.8

1,976.1

0.9

15.51.8 0.0

9.8

75.7

14.5

40.71.9

1,900

1,920

1,940

1,960

1,980

2,000

2,020

2,040

2,060

2,080

2,100

FY14

Ope

ratin

gRe

venu

e

Regi

ster

Mai

nten

ance

Corp

orat

eAc

tions

Busi

ness

Ser

vice

s

Stak

ehol

der

Rela

tions

hip

Mgt

Empl

oyee

Shar

e Pl

ans

Com

mun

icat

ion

Serv

ices

Tech

nolo

gy &

Oth

er R

even

ue

Mar

gin

Inco

me

FY15

Ope

ratin

gRe

venu

e @

LY

rate

s

FX

FY15

Ope

ratin

gRe

venu

e

USD

M

Management Revenue & EBITDA – Regional AnalysisHalf Year Comparisons

17

Revenue Breakdown EBITDA Breakdown

FinancialResults

232.2 199.7 200.7 177.4 180.7 130.6

59.7 58.3 56.9

57.0 59.2

63.2

150.4 160.2 150.8 177.1 166.7

195.0

41.1 61.8 40.6 66.7 46.9 66.2

407.2 455.3

437.9 468.0

409.3 472.4

97.0

102.2

90.0

99.5

96.7

89.2

987.6

1,037.5

976.9

1,045.7

959.5

1,016.5

0

200

400

600

800

1,000

1,200

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Australia & NZ Asia UCIA Continental Europe USA Canada

36.0 18.4

30.6 17.6 24.0

7.3

18.1

18.2 20.4

20.9 23.4

22.5

60.7 72.6

63.7 73.0

71.1

64.5

4.0 12.9 0.8 14.2 1.6

21.9

77.6

102.0 108.0 104.2

90.3

139.5

45.1

44.3 43.5 43.6

48.9

39.1

241.4

268.4 267.0 273.6

259.3

294.8

0

50

100

150

200

250

300

350

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Australia & NZ Asia UCIA Continental Europe USA Canada

18

Margin Income AnalysisFinancialResults

AVERAGE MARKET CASH RATES

1H13 2H13 1H14 2H14 1H15 2H15UK 0.50% 0.50% 0.50% 0.50% 0.50% 0.50%USA 0.25% 0.25% 0.25% 0.25% 0.25% 0.25%Canada 1.00% 1.00% 1.00% 1.00% 1.00% 0.78%Australia 3.34% 2.93% 2.55% 2.50% 2.50% 2.22%

120.0

104.9 105.8

86.8 89.4 86.4

16.7

13.614.4 14.0

15.1 15.2

0

2

4

6

8

10

12

14

16

18

0

20

40

60

80

100

120

140

160

180

200

1H13 2H13 1H14 2H14 1H15 2H15

USD

Bill

ion

USD

Mill

ion

Margin Income Average balances

19

FY15 Client BalancesInterest Rate Exposure

Average funds (USD 15.2b) held during FY15

No exposure31% ($4.7b)

Effective hedging: natural

7% ($1.1b)Effective hedging:

derivative / fixed rate

24% ($3.7b)

Exposure to interest rates38% ($5.7b)

CPU had an average of USD15.2b of client funds under management during FY15.

For 31% ($4.7b) of the FY15 average client funds under management, CPU had no exposure to interest rate movements either as a result of not earning margin income, or receiving a fixed spread on these funds.

The remaining 69% ($10.5b) of funds were “exposed” to interest rate movements. For these funds: 24% had effective hedging in place (being either derivative or fixed rate deposits). 7% was naturally hedged against CPU’s own floating rate debt.

The remaining 38% was exposed to changes in interest rates.

FinancialResults

AUD4% ($0.2b)

CAD22% ($1.3b)

GBP24% ($1.4b)

USD44% ($2.5b)

Other6% ($0.3b)

AUD2% ($0.2b)

CAD15% ($1.6b)

GBP35% ($3.7b)

USD43% ($4.6b)

Other5% ($0.4b)

FY15 Client BalancesInterest Rate Exposure and Currency

20

Exposed Funds by Currency (FY15 Average Balances)

US$5.7b(US$15.2b x 38%)

US$10.5b(US$15.2b x 69%)

Average exposed funds balance prior to hedging

Average exposed funds balance net of hedging

FinancialResults

Client BalancesFixed and Floating Rate Term Deposits

21

FinancialResults

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

Jul-15 Jul-16 Jul-17 Jul-18 Jul-19

Floating Rate Deposits Fixed Rate DepositsU

SD M

0

500

1,000

1,500

2,000

Jul-15 Jul-16 Jul-17 Jul-18 Jul-19

Derivatives

USD

M

Fixed Rate Derivatives

22

Total Management Operating Costs Half Year Comparisons Financial

Results

577.9 572.7 544.3 578.3534.0 539.5

168.3 196.2

164.9

193.4

165.0 181.2

746.3768.9

709.2

771.6

699.0720.7

0

100

200

300

400

500

600

700

800

900

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Controllable Costs (excl COS) Cost of Sales (COS)

23

Management Operating CostsHalf Year Comparisons

* Corporate operating costs have been allocated and reported under the five main cost categories – cost of sales, personnel, occupancy, other direct and technology. Technology costs includes personnel, occupancy and other direct costs attributable to technology services.

FinancialResults

168.

3

361.

6

39.2

47.7

129.

4

196.

2

373.

2

37.3

30.3

131.

9164.

9

352.

1

37.1

37.4

117.

8

193.

4

370.

4

41.4

43.3

123.

1165.

0

342.

4

38.3

34.5

118.

8

181.

2

351.

5

39.6

31.0

117.

3

0

50

100

150

200

250

300

350

400

450

Cost of Sales Personnel Occupancy Other Direct Technology

USD

M

1H13 2H13 1H14 2H14 1H15 2H15

24

Technology CostsContinued Investment to Maintain Strategic Advantage Financial

Results

31.2 36.7 34.4 39.8 41.2 39.2

48.456.6

44.346.8 39.8 39.2

44.232.4

30.231.6

32.2 30.3

5.7 6.2

8.94.9

5.6 8.6

129.4 131.9

117.8123.1

118.8 117.3

13.1%12.7%

12.1% 11.8%12.4%

11.5%

0%

2%

4%

6%

8%

10%

12%

14%

0

20

40

60

80

100

120

140

160

1H13 2H13 1H14 2H14 1H15 2H15

Tech

nolo

gy c

osts

as

a %

of

reve

nue

USD

M

Development Infrastructure Maintenance Admin Technology costs as a % of revenue

25

FY15 Operating Cash Flow AnalysisFinancialResults

409.3

372.1

1.4 10.2

36.8

8.3 3.6

340

350

360

370

380

390

400

410

420

Net OperatingCash Flow FY14

Net Receipts &Payments

Loan ServicingAdvances

Dividends &InterestReceived

Interest Paid &Other Finance

Costs

Income TaxesPaid

Net OperatingCash Flow FY15

USD

M

26

Capital Expenditure vs. DepreciationFinancialResults

6.4

14.6

7.6

4.9

10.2

15.32.7

3.8

0.9

2.6

1.3

0.812.9

5.6

1.51.3

0.9

7.8

2.0

1.6

0.30.6

0.6

1.723.9

25.6

10.39.5

13.0

25.6

0

5

10

15

20

25

30

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Information Technology Communication Services Facilities Occupancy Other Depreciation

27

Free Cash Flow

Note: Excludes assets purchased through finance leases which are not cash outlays.

FinancialResults

133.3

200.8191.9

217.4

147.7

224.4

23.6 20.26.3 10.2 10.3

18.1

0

50

100

150

200

250

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Operating Cash Flows Cash outlay on Capital Expenditure

28

Balance Sheet at 30 June 2015FinancialResults

See ASX Appendix 4E as at 30 June 2015 for full details.

› Current assets increased due to higher cash balances and an increase in SLS receivables.

› Goodwill and intangible assets increased due to acquisitions but largely offset by CVS impairment.

› Current liabilities decreased as current debt was refinanced.

› Total equity was impacted by the CVS impairment and balance sheet translation at 30 June 2015 exchange rates.

Jun-15 Jun-14 Variance

USD M USD M Jun-15 to Jun-14

Current Assets $1,227.8 $1,117.5 9.9%

Non Current Assets $2,573.6 $2,690.7 (4.3%)

Total Assets $3,801.5 $3,808.2 (0.2%)

Current Liabilities $723.7 $834.6 (13.3%)

Non Current Liabilities $1,900.1 $1,706.4 11.4%

Total Liabilities $2,623.8 $2,541.0 3.3%

Total Equity $1,177.6 $1,267.2 (7.1%)

29

Key Financial RatiosFinancialResults

* Cash includes cash that is classified as an asset held for sale.

Jun‐15 Jun‐14 VarianceUSD M USD M Jun‐15 to Jun‐14

Interest Bearing Liabilities $1,769.1 $1,659.3 6.6%

Less Cash ($604.1)* ($509.0)* 18.7%

Net Debt $1,165.0 $1,150.2 1.3%

Management EBITDA $554.1 $540.6 2.5%

Net Financial Indebtedness to EBITDA 2.10 times 2.13 times Down 0.03 times

7.3 7.7 8.4 8.610.2 10.7

0

2

4

6

8

10

12

1H13 2H13 1H14 2H14 1H15 2H15

Tim

es

EBITDA Interest Coverage

2.57 2.33 2.09 1.96 2.10 1.86

2.722.47

2.262.13

2.282.10

0.0

0.5

1.0

1.5

2.0

2.5

3.0

1H13 2H13 1H14 2H14 1H15 2H15

Tim

es

Net Financial Indebtedness to EBITDA

Net debt (excl. non-recourse SLS Advance debt) to EBITDA ratio

Net debt to EBITDA ratio

Debt Facility Maturity Profile

Maturity DatesUSD M Debt Committed Bank

Private Placement

Drawn Debt Facilities Debt Facility Facility

FY16 Dec-15 141.0 150.0Apr-16 25.9 50.0

FY17 Mar-17 21.0 21.0 21.0FY18 Jul-17 445.0 450.0 450.0

Feb-18 40.0 40.0 40.0FY19 Jul-18 235.0 235.0 235.0

Feb-19 70.0 70.0 70.0FY20 Jul-19 291.5 450.0 450.0FY22 Feb-22 220.0 220.0 220.0FY24 Feb-24 220.0 220.0 220.0

TOTAL 1,709.4 1,906.0 900.0 806.0

Note: Average debt facility maturity is 3.8 years as at 30-Jun-15.

30

FinancialResults

166.9

200.0

21.0

235.0

40.0

70.0

220.0 220.0

445.0

291.5

450.0 450.0

0.0

50.0

100.0

150.0

200.0

250.0

300.0

350.0

400.0

450.0

500.0

FY16 FY17 FY18 FY19 FY20 FY21 FY22 FY23 FY24 FY25

USD

M

SLS non-recourse Advance Facility drawn SLS non-recourse Advance Facility USPP Syndicated Debt drawn Syndicated Debt Facility

31

Working Capital ManagementFinancialResults

48

45

42

45 4648

0

5

10

15

20

25

30

35

40

45

50

1H13 2H13 1H14 2H14 1H15 2H15

No.

Of

Day

sDays sales outstanding

32

Return On Invested Capital vs. WACC andReturn on Equity

• ROIC = (Mgt EBITDA less Depreciation less Income Tax expense)/(Total Debt add Total Equity less Cash).

FinancialResults

8.97% 9.51% 9.46%

15.84% 16.38% 16.48%

25.80%28.01% 28.62%

0%

5%

10%

15%

20%

25%

30%

35%

FY13 FY14 FY15

WACC ROIC ROE

Equity ManagementFinal Dividend of 16 cents (AU)

33

* Based on 12 month dividend and share price of AU$11.96 (close 6th Aug 2015).

FinancialResults

EPS - Statutory US 27.61 cents

EPS - Management US 59.82 cents

Interim Dividend AU 15 cents (20% franked)

Final Dividend AU 16 cents (25% franked)

Current Yield* 2.6%

34

Financial Summary – Final Remarks

› Group earnings held up well in FY15 in the context of known headwinds, translation impact of strengthening USD and higher effective tax rate.

› Overall revenue growth remained challenging, especially in context of unconventional monetary policy persisting globally.

› Cost management continued to support the result and new cost control measures initiated during reporting period.

› Conservative balance sheet maintained and with DRP we have added flexibility to accommodate funding needs.

› Final dividend up 1 cent to AU 16 cents per share, franked to 25% (up from 20%).

› Total dividends up 2 cents to AU 31 cents per share.

FinancialResults

35


CEO’s Report

V1DIS

PRESIDENT & CHIEF EXECUTIVE OFFICERCEO PRESENTATION

Stuart Irving

CEO’sReport

Group Strategy and Priorities

37

CEO’sReport

Our group strategy remains:

› Continue to seek acquisition and other growth opportunities where we can add value and enhance returns for our shareholders.

› Improve our front office skills to protect and drive revenue.

› Continue to drive operations quality and efficiency through measurement, benchmarking and technology.

We continue to prioritise our focus on those areas that best assure our future by:

› Protecting profitability in mature businesses via new revenue and cost initiatives.

› Investing in growth initiatives for businesses that offer that potential.

› Evaluating new business opportunities but with disciplined investment hurdle thresholds.

› Taking the opportunity to simplify the business where we can.

38

Delivery Against Strategy and PrioritiesCEO’sReport

› Further refinements to our business portfolio were achieved with the HML acquisition opening up new opportunities in the UK mortgage servicing sector and the Valiant acquisition further strengthening our Canadian market position.

› Divestitures of non-strategic assets were also achieved following the completion of the disposals of VEM, ConnectNow and our Russian business.

› We are investing in a number of front office initiatives, using improved data measurement metrics across all business lines to develop opportunities, identify areas for improvements and enhance the customer experience in pursuit of organic growth.

› While the competitive landscape remains challenging, we continue to achieve high levels of customer satisfaction and client retention and our investments in integrated products helped us win a number of new clients across the group.

› We remain cost disciplined, and have continued to add volume to our Global Service Model. The US operations centralisation project investment phase is underway.

39

USA Update › Registry revenue was down impacted by both lower margin income and shareholder

transaction volumes partially offset by the benefits of the Registrar and Transfer Company acquisition.

› Client retention in all our businesses continues to be strong reflecting high client satisfaction, market leading product suite and operational reputation.

› In the second half of the year, M&A activity increased in terms of deal count; however low interest rates continue to affect corporate actions revenue, along with other margin income earning businesses.

› We continue to make progress on our SLS growth strategy including acquiring MSR product and building our performing agency credibility. Delivering further scale and operational efficiencies remains a priority. The incremental cost of regulatory compliance continues to be a headwind but the investment should position us for future growth.

› The Class Action administration business recorded its best year and its reputation in the market continues to strengthen.

› We have opened our Louisville office and have commenced operational functions, as part of our multi-year centralisation project. Project milestones continue to be met. Further project investment is currently planned for FY16 and FY17. One off and duplicated operating costs will continue to be management adjusted. As previously noted, net project benefits are not expected to be realised until post FY17.

CEO’sReport

40

Canada Update› Investor Services achieved strong client retention and recent acquisitions helped

underpin revenue growth, however IPO activity remains subdued and well below historical levels.

› Significant cross border M&A activity benefited Corporate Actions in FY15.

› The Valiant Trust Company and SG Vestia Systems acquisition integrations continue to be on target including the realisation of synergies.

› Lower interest rate levels continue to impact yield on client balances and challenges in the resource and energy sectors are impacting transactional and new business activities across the region.

› The Corporate Trust business saw strong activity in the Mortgage Backed Securities area and is well positioned to take advantage of the Quebec Immigrant Investor loan program.

CEO’sReport

41

UCIA Update

› UK Investor Services was voted number one in this year’s independent Capital Analytics survey of UK registrars underpinned by our heightened focus on front office initiatives.

› With the Employee Share Plans recent European acquisitions now behind us, our focus has moved to investing in service, product and systems to preserve and extend our market leading global offering. Equity market volatility and the timing of scheme maturities negatively impacted on revenues during the period but pleasingly the business registered a number of new client wins.

› Corporate Actions and IPO activity remains sluggish, although other market activity remained positive in respect of Exchange Traded Fund activity in Ireland.

› The integration of Homeloan Management Limited (HML) remains on track and realising expected synergies, with some significant opportunities to grow the business.

› The Deposit Protection Scheme deposit pool continues to grow reflecting a strong UK rental housing sector. The UK Government has concluded its tender process for the DPS and has notified Computershare that it has been successful and will continue to operate its existing Deposit Protection Scheme. Two additional licences to operate new deposit schemes were also issued.

› Received final confirmation from the UK Government that Tax Free Childcare, which replaces the current Voucher Scheme, will proceed.

› Regulatory compliance continues to put pressure on the UK cost base.

CEO’sReport

42

Continental Europe Update

› The Employee Share Plans business continued to win clients across the region benefiting from the increased sales focus following the European organisational restructure.

› The Italian Investor Services business performed well and also benefited from the successful integration of the small Istifid business acquired in January 2015.

› The economic downturn in Russia resulted in an increase in market activity, resulting in improved earnings performance year on year. However, post year end we disposed of our Russian business due to the political instability in the market and the increasing regulatory pressure on foreign registrars. The business was sold to a group of Russian investors.

› Post year end, we have agreed to acquire SIX SAG, a Swiss share registry and AGM business, further enhancing our market leading position in the region. The acquisition is expected to complete in 1H FY16.

› The previously disclosed agreement to sell VEM was completed in July 2015.

CEO’sReport

43

Asia Update

› The Investor Services business has seen continued growth due to new clients from recent period IPOs and higher meeting services revenues.

› The Employee Share Plans business continued its strong growth trajectory, winning new clients and benefiting from increased trading activities.

› Our Shareholder Analytics and Proxy business in China gained new clients and was helped by the increased level of corporate actions.

› The Registry business of our Indian JV remained steady while the Funds business benefited from higher assets under management due to the stronger performance of the Indian stock market.

CEO’sReport

44

Australia & New Zealand Update › The Australian Investor Services business continued to hold its market leading position in

FY15 in a highly competitive market.

› During the year a number of high profile and complex corporate actions were successfully executed including the A$5.7billion Medibank IPO, the Wesfarmers capital management initiative, the Fox delisting and sale facility, BHP’s demerger of South 32, and NAB’s A$5.5billion rights issue.

› The NZ Investor Services business again achieved solid outcomes and FY15 saw completion of the final work associated with the NZ Government asset IPOs.

› The Employee Share Plans business was instrumental in securing new client wins such as QBE in both registry and employee plans services.

› The focus of Serviceworks has been on right sizing its cost base and re-signing key clients. The ConnectNow business was disposed of at year end following the CEO review of the Serviceworks group.

CEO’sReport

V1DIS

Computershare Limited2015 Full Year Results Presentation

Stuart IrvingMark Davis

12 August 2015

Appendix:2015 Full Year Results Presentation

12 August 2015

46

Group Comparisons

Appendix 1: Group Comparisons

47

Management RevenueHalf Year Comparisons Financial

Results

48

40% 41% 40% 41% 40% 40%

9% 7% 8% 7% 8% 7%

24% 24% 25% 23% 26% 27%

3% 4% 3% 4% 2% 4%

11% 12% 13% 13% 13%12%

10% 10% 10% 10% 10% 8%

2% 1% 2% 1% 1% 1%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

1H13 2H13 1H14 2H14 1H15 2H15

Register Maintenance Corporate Actions Business Services Stakeholder Relationship M'ment Employee Share Plans Communication Services Tech & Other Revenue

Management Revenue by ProductHalf Year Comparisons Financial

Results

49

394.7 429.4 389.5 432.3

387.3 411.6

92.8 76.6

77.2 77.0

72.8 71.4

241.8 247.3

246.9 241.0

245.8 273.3

31.2 45.4

28.0 46.7

21.1

37.2 112.5

124.6

124.9

134.6

121.6

126.0

98.3

99.8

94.8

100.0

96.7

83.1 16.3

14.5

15.6

14.1

14.3

13.9 987.6

1,037.5

976.9

1,045.7

959.5

1,016.5

0

200

400

600

800

1,000

1,200

1H13 2H13 1H14 2H14 1H15 2H15

USD

M

Register Maintenance Corporate Actions Business Services Stakeholder Relationship M'ment Employee Share Plans Communication Services Tech & Other Revenue

FinancialResults

50

Management RevenueHalf Year Comparisons

394.

7

92.8

241.

8

31.2

112.

5

98.3

16.3

429.

4

76.6

247.

3

45.4

124.

6

99.8

14.5

389.

5

77.2

246.

9

28.0

124.

9

94.8

15.6

432.

3

77.0

241.

0

46.7

134.

6

100.

0

14.1

387.

3

72.8

245.

8

21.1

121.

6

96.7

14.3

411.

6

71.4

273.

3

37.2

126.

0

83.1

13.9

0

50

100

150

200

250

300

350

400

450

500

RegisterMaintenance

Corporate Actions Business Services StakeholderRelationship

M'ment

Employee SharePlans

CommunicationServices

Tech & OtherRevenue

USD

M

1H13 2H13 1H14 2H14 1H15 2H15

FinancialResults

51

FY15 Management RevenueRegional Analysis

110.

2

31.8

34.9

1.6 18

.7

110.

9

3.3

60.3

13.3 30

.9

2.1 14

.9

0.0

0.8

97.0

12.4

128.

1

4.0

108.

1

7.0

5.2

58.7

3.7

0.8

5.0 19

.4

21.4

4.1

402.

3

62.5

256.

0

45.0 68

.8

35.0

12.3

70.4

20.5

68.5

0.6 17

.8

5.5

2.5

0

50

100

150

200

250

300

350

400

450

RegisterMaintenance

CorporateActions

BusinessServices

StakeholderRelationship

M'ment

Employee SharePlans


Tech & OtherRevenue

USD

M

ANZ Asia UCIA CEU USA Canada

Effective Tax Rate Statutory & Management

The increase in the Group’s statutory effective tax rate from 21.8% to 35.3% is primarily driven by the asset impairment of US$109.5m, which is not tax deductible.

The increase in the Group’s management effective tax rate from 22.4% to 26.1% is driven by a number of factors, including the impact of profit mix on higher EBITDA year on year, one off tax benefits (e.g. refunds) which occurred in FY14, changes to thin cap rules resulting in some non-deductible interest and changes in intra-regional group arrangements (e.g. higher royalties paid from lower tax jurisdictions to Australia).

FinancialResults

52

16.6%

21.8%

35.3%

22.6% 22.4%

26.1%

0%

5%

10%

15%

20%

25%

30%

35%

40%

FY13 FY14 FY15

Tax

Rat

e %

Statutory Management

Country Summaries

Appendix 2: Country Summaries

53

Australia Half Year Comparison Financial

Results

54

218.

3

189.

0

211.

3

188.

5

193.

5

163.

8

0

50

100

150

200

250

1H13

2H13

1H14

2H14

1H15

2H15

AU

D M

Total Revenue

71.0

18.3

38.8

1.4

13.7

71.9

3.2

55.7

14.1

39.2

0.8

12.9

64.5

1.9

68.2

16.1

37.0

0.9

13.8

71.5

3.8

53.0

16.7

35.8

1.1

12.1

69.3

0.4

66.2

18.9 22

.1

0.8

12.4

69.7

3.3

55.0

15.7 19

.3

1.1

9.9

62.4

0.5

0

10

20

30

40

50

60

70

80

RegisterMaintenance

CorporateActions

BusinessServices


M'ment

EmployeeShare Plans


Tech & OtherRevenue

AU

D M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

Hong Kong Half Year Comparison

55

FinancialResults

225.

0

231.

7 247.

6 264.

6 282.

6

292.

8

0

50

100

150

200

250

300

350

400

1H13

2H13

1H14

2H14

1H15

2H15

HK

D M

Total Revenue

156.

6

40.3

2.9 4.5

20.8

160.

8

36.5

4.3

2.0

28.0

161.

2

50.6

0.0 4.

5

31.3

177.

9

46.0

0.0 4.

6

36.1

183.

8

48.1

0.0

8.6

42.1

183.

3

44.5

0.0

7.8

57.2

0

20

40

60

80

100

120

140

160

180

200

Register Maintenance Corporate Actions Business Services StakeholderRelationship M'ment

Employee Share Plans

HK

D M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

India Half Year Comparison Financial

Results

56

1,45

1.3

1,25

5.4

1,29

9.1

1,12

7.5 1,

246.

3

1,41

4.8

0

200

400

600

800

1,000

1,200

1,400

1,600

1H13

2H13

1H14

2H14

1H15

2H15

INR

MTotal Revenue

292.

7

18.2

1,14

0.5

260.

0

55.4

940.

0

292.

9

110.

4

895.

8

336.

0

68.5

723.

0

334.

8

41.5

870.

1

328.

1

44.9

1,04

1.8

0

200

400

600

800

1,000

1,200

1,400

Register Maintenance Corporate Actions Business Services

INR

M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

United States Half Year Comparison

57

FinancialResults

407.

2

455.

2

437.

9 468.

1

409.

3

472.

4

0

100

200

300

400

500

600

1H13

2H13

1H14

2H14

1H15

2H15

USD

MTotal Revenue

184.

9

48.8

107.

0

19.8 30

.6

9.7

6.3

208.

8

37.9

116.

7

34.1

34.3

17.6

5.9

196.

0

37.9

131.

1

18.8

35.0

13.4

5.6

210.

4

31.3

131.

2

33.2 38

.8

18.0

5.1

189.

4

28.5

121.

4

15.6

32.2

16.4

5.8

212.

9

34.0

134.

5

29.3 36

.6

18.6

6.5

0

50

100

150

200

250

RegisterMaintenance

CorporateActions

BusinessServices


M'ment

Employee SharePlans


Tech & OtherRevenue

USD

M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

Canada Half Year Comparison Financial

Results

58

96.9

103.

5

94.0

108.

8

106.

6

110.

3

0

20

40

60

80

100

120

1H13

2H13

1H14

2H14

1H15

2H15

CA

D M

Total Revenue

34.8

10.6

38.7

1.0

7.8

2.6

1.4

43.2

9.5

37.2

1.0

8.5

2.7

1.4

32.7

8.7

40.2

0.3

8.2

2.3

1.5

46.3

9.0

39.0

0.5

9.5

3.1

1.4

35.6

15.0

41.3

0.6

9.6

3.2

1.4

46.6

8.9

38.7

0.2

11.2

3.3

1.5

0

5

10

15

20

25

30

35

40

45

50

RegisterMaintenance

CorporateActions

BusinessServices


M'ment

Employee SharePlans


Tech & OtherRevenue

CA

D M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

United Kingdom & Channel IslandsHalf Year Comparison Financial

Results

59

79.8

87.8

82.4

94.0

89.2

114.

5

0

20

40

60

80

100

120

140

1H13

2H13

1H14

2H14

1H15

2H15

GB

P M

Total Revenue

20.1

2.3

20.5

0.6

33.7

1.4

1.3

21.5

2.4

20.5

0.9

39.6

1.7

1.3

20.5

1.5

17.9

0.6

39.1

1.5

1.3

24.0

6.7

17.6

1.2

40.6

1.9

2.0

20.3

1.8

31.9

0.7

31.3

2.3

0.8

21.5

5.1

49.2

1.3

33.3

2.1

2.1

0

10

20

30

40

50

60

RegisterMaintenance

CorporateActions

BusinessServices


M'ment

Employee SharePlans


Tech & OtherRevenue

GB

P M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

South Africa Half Year Comparison Financial

Results

60

142.

5

144.

5

135.

8 144.

0

125.

4

119.

0

0

20

40

60

80

100

120

140

160

180

200

1H13

2H13

1H14

2H14

1H15

2H15

RA

ND

MTotal Revenue

128.

1

3.5

2.9

0.3

7.8

128.

3

5.4

3.4

0.3

7.1

124.

9

3.5

0.0

0.2

7.2

130.

3

6.0

0.0

0.3

7.4

112.

4

4.8

0.0

0.4

7.8

108.

2

2.4

0.0

0.6

7.7

0

20

40

60

80

100

120

140

Register Maintenance Corporate Actions Business Services StakeholderRelationship M'ment

Employee Share Plans

RA

ND

M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

Germany Half Year Comparison Financial

Results

61

16.0

25.7

15.4

27.7

12.9

25.7

0

5

10

15

20

25

30

1H13

2H13

1H14

2H14

1H15

2H15

EUR

MTotal Revenue

2.3

1.7

0.3

3.4

0.1

7.4

0.8

11.6

2.1

0.4

2.0

0.1

8.4

1.1

2.3

1.5

0.0

2.2

0.1

8.3

0.9

12.4

1.2

0.0

2.9

0.1

9.5

1.7

2.3

1.2

0.0

0.0 0.

5

8.2

0.7

12.9

1.9

0.0

0.0

0.7

9.5

0.6

0

2

4

6

8

10

12

14

RegisterMaintenance

CorporateActions

BusinessServices


M'ment

Employee SharePlans


Tech & OtherRevenue

EUR

M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

Russia Half Year Comparison Financial

Results

62

373.

8

421.

2

361.

2

450.

3

532.

2

636.

4

0

100

200

300

400

500

600

700

1H13

2H13

1H14

2H14

1H15

2H15

RU

B M

Total Revenue

353.

3

20.5

403.

5

17.7

342.

5

18.7

430.

6

19.7

511.

5

17.9

2.9

612.

4

20.3

3.8

0

100

200

300

400

500

600

700

Register Maintenance Business Services Employee Share Plans

RU

B M

Revenue Breakdown

1H13 2H13 1H14 2H14 1H15 2H15

Assumptions

Appendix 3: AssumptionsFinancialResults

63

Assumptions: Exchange Rates

Average exchange rates used to translate profit and loss to US dollars

FinancialResults

64

FY15 FY14USD 1.0000 1.0000AUD 1.19208 1.09422HKD 7.75359 7.75614NZD 1.28103 1.21756INR 61.87461 61.56622CAD 1.16655 1.07060GBP 0.63239 0.61811EUR 0.82950 0.73834

RAND 11.31205 10.35299RUB 48.53311 33.86180AED 3.67292 3.67313DKK 6.18363 5.50849SEK 7.70114 6.53662

Important Notice

Forward looking statements

› This announcement may include 'forward-looking statements'. Such statements can generally be identified by the use of words such as 'may', 'will', 'expect', 'intend', 'plan', 'estimate', 'anticipate', 'believe', 'continue', 'objectives', 'outlook', 'guidance' and similar expressions. Indications of plans, strategies, management objectives, sales and financial performance are also forward-looking statements.

› Such statements are not guarantees of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are outside the control of Computershare. Actual results, performance or achievements may vary materially from any forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements, which are current only as at the date of this announcement.

65

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