Propel Funeral Partners : Appendix 4D and 1H FY22 Interim Financial Report

only Propel Funeral Partners Limited

useABN 41 616 909 310

Appendix 4D - Half-year Report

For the Half-year ended 31 December 2021

personalLodged with Australian Securities Exchange under Listing Rule 4.2A Results for announcement to the market

ForThis Appendix 4D is to be read in conjunction with the Interim Financial Report of Propel Funeral Partners Limited for the period ended 31 December 2021 and any public announcements made during the interim period in accordance with the continuous disclosure requirements of the Corporations Act 2001 and the ASX Listing Rules.

Propel Funeral Partners Limited

Appendix 4D

Half-year report

	1. Company details
	Name of entity:	Propel Funeral Partners Limited
	ABN:		41 616 909 310
	Reporting period:	For the half-year ended 31 December 2021
	Previous period:	For the half-year ended 31 December 2020
	2. Results for announcement to the market
only						$'000
	Revenues from ordinary activities		up	15.2%	to	67,970
	Op	rating net profit after tax ('Operating NPAT') (refer below)	down	0.7%	to	8,320
	Lo		from ordinary activities after tax attributable to the shareholders of
	Propel Funeral Partners Limited ('Company')	down	212.8%	to	(9,197)
	Loss for the half-year attributable to the shareholders of the Company	down	212.8%	to	(9,197)
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	Dividends					Franked
						Amount per	amount per
						security	security
							cents	%
	Fi	al dividend - 2021 financial year				5.75	100%
	Fi	al dividend - 2020 financial year				6.00	100%
personal	o transaction costs;

C mments

The statutory loss for the Company (and its subsidiaries) ('Group') after providing for income tax, for the six months ended 31 December 2021, amounted to $9,197,000 (31 December 2020: profit of $8,156,000).

The financial results for the six months ended 31 December 2021, were impacted by:

• one-off costs associated with the internalisation of the key senior management functions of the Company, including:

o a termination fee of $15,000,000 (settled 50% in cash and 50% in Propel shares) which was paid to Propel

Investments Pty Limited ('Manager');

o a share based payment revaluation expense of $5,407,000 relating to a modification of the voluntary escrow

arrangements in connection with 14.7 million escrowed shares;

o a non cash fair value adjustment expense relating to the termination shares of $969,000; and

• extended COVID-19 related lock downs in parts of Australia and New Zealand; and
• part period contributions from four acquisitions completed during the reporting period and full period contributions from
For	three acquisitions completed during the prior corresponding period.

Operating NPAT is a financial measure which is not prescribed by the Australian Accounting Standards ('AASBs') and represents the profit under AASBs adjusted for certain non-operating items, such as acquisition and transaction costs. The directors consider Operating NPAT to be one of the core earnings measures of the Group.

ii

59.92

91.61

Previous

period

cents

Reporting

period

cents

99,946,016

117,895,750

Consolidated

31 Dec 2021 31 Dec 2020

59,888

108,004

186,625

(3,496)

10,094

(133,335)

249,250

(8,449)

8,964

(141,761)

Consolidated

31 Dec 2021 31 Dec 2020

$000$000

Propel Funeral Partners Limited

Appendix 4D

Half-year report

The following table summarises key reconciling items between statutory profit after tax attributable to the shareholders of the Company and Operating NPAT:

		Consolidated
		31 Dec 2021		31 Dec 2020
		$'000	$'000
Net (loss)/profit after income tax	(9,197)	8,156
Add: Termination fee	15,000	-
Add: Share based payment revaluation expense	5,407	-
Add: Fair value adjustment on termination shares	969	-
Add: Acquisition and transaction costs	1,120	155
only	281	119
Add: Other non-operating expenses
(Less)/add: Net (gain)/loss on disposal of assets	(59)	45
L	ss: Net foreign exchange gain	(25)	(37)
L	ss: Tax effect of certain Operating NPAT adjustments	(5,176)		(58)
Operating NPAT	8,320	8,380
use

Refer to the Interim Financial Report and the Investor Presentation released to the market concurrently with this Appendix 4D Half- year Report for detailed explanation and commentary on the results.

personal3. Net tangible assets Net assets

Less: Deferred tax assets

Add: Deferred tax liabilities

Le : Goodwill

Net tangible assets

Number of ordinary shares on issue

ForNet tangible assets per ordinary security

iii

Propel Funeral Partners Limited Appendix 4D

Half-year report

4. Dividends

onlyHalf-year ended 31 December 2021 Fi al dividend - 2021 financial year

Half-year ended 31 December 2020 Final dividend - 2020 financial year

	Franked
Amount per	amount per
security	security	Total	Payment date
cents	%	$'000
5.75	100%	5,880	5 October 2021
6.00	100%	5,924	1 October 2020

	Dividend not recognised at period end
use	6.00	100%	7,074 7 April 2022
	Int rim dividend - 2022 financial year
5.	Dividend reinvestment plans
	Not applicable.
personal
6.	Acquisition or disposals of controlled entities, businesses or assets
	Refer to note 19 of the financial statements for further details.
7.	Details of any associates and joint venture entities required to be disclosed
	Not applicable.
8.	Audit qualification or review
	D	tails of audit/review dispute or qualification (if any):

The financial statements were subject to a review by the auditors and the review report is attached as part of the Interim Financial Re ort.

For9. Attachments

Details of attachments (if any):

The Interim Financial Report of the Company for the Half-year ended 31 December 2021 is attached.

iv

Propel Funeral Partners Limited Appendix 4D

Half-year report

10. Signed

only___________________________

Brian Scullin Chairman

23 February 2022

For usepersonal

Mata

___________________________

Albin Kurti

Managing Director

v