INVESTORS – INVESTMENT CASE & KPIs
Focused on continued innovation and diversification of operations through investment and development of technologies
Our business strategy focuses on continued innovation and diversification of operations through investment and development of technologies with multiple product applications to be deployed across key geographies:
We use cash flow from long-established photobooth operations to develop new and complementary products to drive future growth
We are seeking growth in our Wash.ME and Feed.ME vending equipment businesses
We are focusing on getting the best yield out of our automatic unattended vending machine estate
We are maintaining a low fixed-cost base with the same network of field engineers deployed across the entire estate
Key strengths
1
Brand recognition
We operate market-leading brands in key territories, particularly in our Photo.ME photobooth and identification operations with leading consumer household names such as Photo-Me (UK) and Photomaton (France).
2
Customer experience
Most of our business is consumer-oriented and we provide our customers with modern, easy-to-use equipment, which is reliable and provides high-quality, value-for-money services in convenient locations.
3
Partnerships with major site owners
We have well-established, long-term relationships with site owners such as supermarkets, shopping malls, petrol forecourts, public transport networks and city hall and public administration buildings. These partnerships give us access to strategically positioned, high-footfall locations which are attractive to the consumer, and which provide further opportunities to deploy additional services on those sites.
4
Established network of field engineers
We have an established network of some 650 dedicated regional field engineers across our geographies. These teams operate across our full range of products and are able to support growth at a low incremental cost to the Group. They are responsible for collecting cash from our machines, ensuring optimal availability of equipment and a high quality of service for the duration of the contracts with site owners.
5
Strong balance sheet
The strength of our cash flow from operations allows us to self-finance capital expenditure programmes and technological innovation while also returning cash to shareholders by way of dividends as appropriate.
6
Investment in innovation
We are committed to investing in the development of new products and tailor-made proprietary solutions and technologies as we continue to diversify our operations and seek new and complementary revenue streams to drive future growth.
Key performance indicators overview
ME Group measures its performance using different types of indicators. The main objective of these KPIs is to monitor the Group’s cash generation, long-term profitability, preservation of the value of its assets, and returns to shareholders.
TOTAL GROUP REVENUE (actual rates)
£259.8m*
214.4**
EBITDA
£92.2*
£65.1m**
GROSS GENERATED FROM OPERATIONS
£87.9*
£66.1m**
GROUP PROFIT BEFORE TAX
£53.4m*
£28.6m**
FEED ME: REVENUE FROM SALES OF EQUIPMENT
£12.5m*
£6.3m**
PHOTO ME: GROUP TOTAL VENDING ESTATE
62.9%*
* 12 months ended 31 October 2022
** 12 months ended 31 October 2021