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Edited Transcript of OML.AX earnings conference call or presentation 21-Feb-21 11:00pm GMT

·29 min read

Full Year 2020 Ooh!Media Ltd Earnings Call NORTH SYDNEY Feb 22, 2021 (Thomson StreetEvents) -- Edited Transcript of Ooh!Media Ltd earnings conference call or presentation Sunday, February 21, 2021 at 11:00:00pm GMT TEXT version of Transcript ================================================================================ Corporate Participants ================================================================================ * Cathy O'Connor oOh!media Limited - MD & CEO * Sheila A. Lines oOh!media Limited - CFO ================================================================================ Conference Call Participants ================================================================================ * Brian Han Morningstar Inc., Research Division - Senior Equity Analyst * Fraser Mcleish MST Marquee - Head of Australian Media, Online and Telecommunications and Telco & Media Analyst * John Campbell Jefferies LLC, Research Division - Equity Analyst * Matthew Nicholas Crédit Suisse AG, Research Division - Director ================================================================================ Presentation -------------------------------------------------------------------------------- Operator [1] -------------------------------------------------------------------------------- Thank you for standing by, and welcome to the oOh!media Limited FY '20 Results Presentation Conference Call. (Operator Instructions) I would now like to hand the conference over to Ms. Cathy O'Connor, the CEO. Please go ahead. -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [2] -------------------------------------------------------------------------------- Thank you, and good morning, everyone, and welcome to our presentation. I'm here today with Sheila Lines, Chief Financial Officer of oOh!media. And together, we'll take you through the full year results for oOh!media. After the presentation, Sheila and I will be happy to answer any questions that you have. But before we start, I wanted to take this opportunity to introduce myself, as this is the first time I am presenting on behalf of the company as its new CEO. And I wanted to share with you the reasons why I've taken on this opportunity to lead the company through this next phase of its growth. Some of you may know my background, I have had a long career in the Australian media sector. And for the past 12 years, I was fortunate to run a company, NOVA Entertainment, who you may also know. And NOVA is a company that has its principal exposure to radio broadcasting and digital audio. And over that period, I led the company through a stage of strong and sustained growth. And it was over that time that I have observed the rising prominence of the Out of Home sector. In fact, it was often the envy of many other sectors. And I admire the way in which digitization has fundamentally strengthened the sector as opposed to have been disrupted by it. I also believe Out of Home is a sector, which has some natural strategic advantages, which play very well into its future as a mass reach medium. It has scale, and that scale will only be enhanced in the future as populations grow and urbanization continues. Then there's the company oOh!media itself, where I have always known it to be a strong and well-respected Australian media brand and, of course, the leader in the Out of Home sector. It has a diverse mix of assets, which is very fundamental to what differentiates the company, and of course, in turn, therefore, it delivers unrivaled scale. And now I've been in the business for 6 weeks. And over that time, the things that have struck me about the company, it has an extraordinary depth of experience in the sector and unrivaled talent, in my view, a very, very talented executive team, and that talent runs right throughout the business. And these are people with a high level of attachment to the oOh! brand and the company and, of course, a high level of enthusiasm for the future. So if I take all of that together, it leads me to the view that this is, in fact, a very rare opportunity for me to lead oOh!media business in Australia into growth. And I'm very confident that along with our fantastic team that I can build on the great work of the company's founder, Brendon Cook, who, as you will know, has been a pioneer in this sector and the industry more generally. And I would certainly like to thank Brendon for all that he has contributed to the industry and to our company. So I'll now take you to today's presentation. And if you have access to the slides, please move to Slide 3. Let me start with some highlights. oOh!media is certainly well positioned for growth. The fundamentals of oOh!media remains strong, and we are seeing a revenue recovery in sight. Throughout 2020, the company was able to increase its revenue share, and we did this with a focus on our suburban and regional audiences, in particular, where Out of Home has a significant network strength. In Q4, we saw improvements in Road, Retail, Street Furniture and New Zealand, with Retail and New Zealand, in particular, at 90% of Q4 for 2019. This year, January 2021, our company is pacing at over 80% versus January 2019. And if again we look at those higher-performing formats of Road, Retail, Street Furniture and New Zealand, then that pacing is close to 100% of January 2019. We're pleased with that, and it certainly speaks to the strong fundamentals of the Out of Home sector. Some further highlights demonstrate the decisive action taken by the company in 2020. It was an extraordinary year, and the company delivered $120 million in cash savings, both OpEx and Capex. And importantly, this was 2x the commitment that it made to the market at the time of the equity raise. The company raised capital of $162 million in net proceeds. Net debt was reduced by 69% to $111 million, and our debt facilities were extended. And before moving on, I would like to take this moment to thank the many employees of oOh!media for their terrific work in achieving these financial outcomes for the business. And it goes without saying the fantastic support we've had from commercial partners as well, which certainly played in to this outcome. Over on Slide 4, we highlight some key 2020 financials. As a result of this decisive action, the balance sheet is resilient, and we've managed costs well. I'll just draw your attention to a few things on this slide, an underlying EBITDA of $63 million, free cash flows of $84 million, and a point of note there, these levels of free cash flow are 140% above last year. And all of these results are on a pre-AASB 16 basis. No final dividend has been declared by the company, which is consistent with our approach taken at the interim, and we'll revisit that in -- throughout 2021. Moving on now to a broader business update. I'll ask you all to move to Slide 6. As we outlined in our update of December 11 last year, revenue trends across 2020 certainly moved in the right direction with Q4 significantly better than Q2 and Q3, with the exception of Fly and Locate. And I'll just draw your attention to some of the details on this slide as there is a lot of detail up there. Road, Retail and Street Furniture along with our New Zealand business are our most resilient formats, and they continue to attract audiences despite lockdowns. To clarify a point within the Commute line on this graph, the strong performance of Street Furniture is just marginally offset by rail in those percentages you see there, which are not quite at the level of Road and Retail. Airports and office tower specifically lagged the other formats due to concerns at the time of audience levels around COVID. On a pleasing note, the company increased its revenue share. So we did outperform the market, and of course, we relied on our network strength to be able to deliver such an outcome for the business. Now over to Slide 7, and we take a look here at the relativity of audience improvement to revenue recovery. I'll ask you first to look at the bottom left side of this chart. And here, we see that the New Zealand business really is the lead case for a near complete recovery once audiences return. And so just to remind you all, it was June 15 that the initial lockdown in New Zealand had ended, and you can see the strong relativity of the revenue recovery to audience. Looking up the chart to the gray area, we look at the Australian market. Now the recovery trend was slightly slower, and that was due to the prolonged lockdown in Victoria. And the Australian revenue trend, unlike New Zealand, also encompasses both slower to recover formats of Fly, Office and Rail. But despite this, you can certainly see that the recovery trend is still there. I know there is a lot of focus on 2021, so I'll just provide a couple of other quick data points for you on revenue. The Westpac consumer sentiment is on a 3-year high and we have traditionally seen a high correlation between this data set and our revenue performance. And secondly, we are certainly seeing briefing levels from advertisers rebound. And in particular, we're buoyed by the return of some key segments, which are strong supporters of the Out of Home sector, such as automotive brands and the domestic banks. So all in all, that makes us confident of a significant revenue recovery in 2021. Finally, over to Slide 8, we'll round up our comments about revenue. The chart on the right shows that these high-performing formats we've been talking about of Road, Retail, Street and New Zealand really do make up the vast majority of those revenue. The chart shows you there it's 75%. We also draw you to some other key takeouts on this slide. The graph on the left demonstrates that those formats I've just mentioned clearly did recover strongly in Q4. We can see, when separately spread out, how Rail and Office and Fly do lag that performance, but we do expect much better performance in 2021 versus the second half of 2020. And that's just subject to lockdowns being less frequent. Certainly, on the domestic front, we expect more travel, and there's a genuine positivity around the arrival of vaccines and so forth. So that concludes our comments on revenue. We've certainly turned the corner, and we are on a strong road to recovery. Over on Slide 9, we'll now talk about how the company over-delivered on its commitments made at the time of the March equity raise. We made a number of commitments as part of the capital raise as the pandemic started to impact our performance. And the company has strongly over-delivered against those expectations, and this really was a very decisive and focused effort from the management team, which really should be commended. We're incredibly grateful for landlord support. We achieved $68 million in gross rent savings. This was offset by $5 million in substituted variable rent. OpEx reductions of $16 million were ahead of target. And importantly, this excluded the JobKeeper payment. And the company only prioritized those critical CapEx projects throughout the year and delivered $49 million in savings. We did ensure, however, that the investments we did make were in those high-growth areas. And over on Slide 10, we would like to give you a little bit more detail around rent abatements, and they did make up a substantial part of the result for 2020. As we move into our recovery phase, rent abatements will begin to taper off, and the quantum and timing of that will always be influenced by the prevailing conditions. So given that abatements are specific to operating conditions and future audience movements, it's very difficult to forecast exact numbers, but we'd like to be able to give you some directional comments about this today. The bulk of our abatements have come from our airport and commuter environments. Of the $63 million in 2020 rent abatements, 18% of those have expired; 6% of the $63 million will carry forward into 2021; and the remaining 76% of the abatement amount is subject to various conditions, including the revenue and the audience environment. And we'll be happy to provide some further updates to you around this particular item at the AGM. So while the company took decisive steps throughout the pandemic to improve our performance, it was not done at the expense of longer-term growth, as we'll see over on Slide 11. We continue to invest and capitalize on the recovery cycle, and margin growth is a focus for the business. A couple of points on that. Firstly, on investments. We're delighted that the Adshel integration is now complete, and we have a large Sydney and Melbourne team, in particular, now co-located with the rest of our business for the future. And of course, a strong digitization pipeline for key assets remains a key growth platform for the company. Secondly, on margin growth, we'll continue to focus on rent optimization beyond 2020, prioritizing critical tenders and renewals over those less core to our growth. And of the $16 million in savings that we achieved in 2020, $10 million are permanent structural savings, and these will carry forward into 2021. So to recap, our actions have been effective in stabilizing the business. We are now better positioned financially for the revenue recovery that we are certainly seeing. So I'll pause there, and I'm going to hand over to Sheila now. And she will take you through some further specific details on financials, and then I'll be back to provide some closing comments before we throw the questions. Thanks, Sheila. -------------------------------------------------------------------------------- Sheila A. Lines, oOh!media Limited - CFO [3] -------------------------------------------------------------------------------- Thank you, Cathy, and good morning. Before I make specific comments on the components of the financial statements, I would highlight Cathy's earlier statement that these financial statements are principally presented on a pre-AASB 16 basis, which is consistent with the prior year. We believe this is appropriate as most analysts and shareholders analyze the company on this basis. Our statutory reported results, including AASB 16, are provided in the annual financial report. And a reconciliation of key profit and loss items between our statutory results and these pre-AASB 16 results is provided in the appendix for this presentation as well as in the operating and financial review. Moving to Slide 13. Here, we are showing the principal movements in EBITDA from the prior year to clearly show the impact of COVID and our responses for the pandemic as well as other movements independent of the pandemic. As Cathy outlined, in total, revenue declined $223 million, with recovery from the second to fourth quarters in key formats. The vast majority of the heavy lifting to offset the revenue decline was undertaken by management in partnership with our landlords to achieve $63 million in rent abatements and also the natural stabilizers in the cost base of the business of $52 million. JobKeeper and New Zealand wage subsidies received totaled $21 million. Operating cash savings achieved by the company in response to COVID was $16 million, $11 million in operating expenses and $5 million in cost of goods sold. As anticipated at the time of the equity raise in March, these savings came from reductions in marketing, travel, entertainment and replacement hires. In addition, employees, including all senior management and the Board, agreed to a 4-day paid week from mid-May to mid-August. Our colleagues also responded to request these annual leave entitlements to help reduce the cost base, particularly in April. The change in run rate impact across cost of goods sold and operating expenses of Adshel synergy realized was 8 million year-over-year. In total, $17 million of Adshel synergies were recognized in the year versus $9 million in the prior year. In 2020, employee variable expenses for long-term and short-term share incentives returned to more usual levels of $11.6 million after historically low expense in 2019 of $3 million, which was 1/4 of the total incentive program pull size. However, in response to the pandemic, we took the decision, as announced in August, to suspend cash incentives. Performance-based incentive awards for 2020 will be paid in shares, and share-based payment expense is also excluded from our bank covenant calculations. Touching on the smaller movements on the bridge. Going into 2020, we anticipated CPI increases. Our wage increases are processed at the start of the calendar year and significantly greater than CPI increases on D&O insurance. We were able to mitigate those total increases of $4.7 million across both operating expense and cost of goods sold to $2 million due to savings achieved from our procurement efficiency program. Fixed rents before abatements increased modestly in 2020. Now turning to Slide 14 and our statutory income statement. While our first quarter revenues were in line with the prior period, itself a strong comparator, subsequently, revenues reduced significantly following the onset of the pandemic with a substantial improvement by the fourth quarter. The overall $223 million or 34% decline in revenues for the year translated to a gross profit decline of $103 million or 38.6% to $180 million. Annual gross profit margin declined 1.4 percentage points to 42.2% compared to the prior year. Gross margin in each half was affected by the recognition of rent abatements only when definitively agreed with landlords. Some of the agreements reached and therefore recognized in the second half included abatement for rent, which had been recognized as expense in the first half. Operating expenditure, excluding depreciation, amortization and nonoperating items, declined by $27 million compared to the prior period. JobKeeper and New Zealand wage subsidies as well as all employee incentive expenses are included in operating expenditure. Other cost-saving movements I spoke to on the prior slide are across both operating expenditure and cost of goods sold, and the ratio of circa 70% operating expenses and 30% cost of goods sold. In August, we announced $10 million of the cost savings could be carried forward to 2021 and beyond, and we are confident these savings will not impact our revenue recovery and subsequent growth. We anticipate annual inflation increases in 2021, and in the case of D&O insurance, like many other companies, a further year of well above inflation increase. All employee incentive expense is performance-related. And subject to that performance, we would expect the return to normal levels in 2020 to be similar in 2021. Underlying EBITDA fell by 55% to $63.2 million for the year. Depreciation and amortization was broadly flat during the year, with a modest increase due to the upgrades of Brisbane Airport last year and further digitization of key sites in 2019 and the first half of 2020. Net finance costs increased by $3.2 million. However, of this expense, $4.4 million related to the reclassification of interest rate swaps as ineffective for hedging, first debt reduction in 2020 and a further $1.3 million to unamortized finance costs on our prior debt facility expense when we extended to 2023 in December. Excluding these 2 items, cash net finance costs reduced $2.5 million, reflecting lower average debt. NPAT was a loss of $24 million for the year compared to a $27 million profit for 2019. And an underlying NPATA loss was 8 million compared to an underlying NPATA profit of $52 million in 2019. In the appendix for this presentation, we provide a reconciliation of NPAT to underlying NPATA. And as Cathy stated earlier, no interim or final dividends were declared for 2020. Moving to our cash flow on Slide 15, our strong focus on cash management delivered $7 million more in operating cash flows in 2019 despite the decline in revenue. Working capital movements contributed $45 million to cash generation. Strong collections and lower revenue in the fourth quarter versus prior year resulted in lower receivables and accruals for variable rent at December 2020. Fixed rents invoiced in advance at December 2019, which are now abated for December 2020, also drove a reduction in payables with the offset being part of the movement in the AASB 16 right-of-use asset. At December 2020, with the agreements of our partners, we have $16 million of rent expenses for the year, which will not be paid until the first half of 2020. These deferred rents are not included in the $63 million rent abatements announced. At December 2020, we also have $6 million of paid -- rents paid, which will be refunded for abatements agreed in the year. Therefore, net $10 million of rent payments in the first half of 2020 will relate to 2020 expense. Due to NPAT losses, our current income tax installment rates has been varied to nil, and interest paid also declined due to a lower average debt profile following the capital rate. And finally, financing cash flows included the $162 million net proceeds from the equity raise received in April, which was applied in full to debt reduction. Moving to Slide 16 on the balance sheet, the business is currently (inaudible) gearing ratio of 1.8x. The actual gearing ratio for covenant testing purposes, which excludes noncash expenses such as share-based payments amongst other adjustments, was 1.5x versus a covenant of 4x. I would also add that our bank covenants remain on a pre-AASB 16 basis to add the new facility extension. Net debt is $111 million, reduced from $355 million at December '19. As mentioned, the facilities are now extended to December 23 and the aggregate facility size reduced from $520 million to $350 million. That concludes my comments on the financial statements, and I will now hand back to Cathy. -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [4] -------------------------------------------------------------------------------- Thank you, Sheila. I'll now make some brief comments about the future before we hand over to any questions. As I've said in my opening comments, as a market leader, oOh!media is uniquely placed to benefit from growth in the Out of Home sector. And I think it's important to remind you today that the structural drivers of Out of Home have not changed. Our audiences will continue to grow into the future with population and urbanization. Digital technology will continue to deliver multiple benefits to Out of Home. It will improve the assets themselves. It will improve measurement of the sector and the ease of transacting. It will improve the way in which content can be distributed in dynamic ways. And all this leads to improving ROI, and when that happens, share growth. And we provided the chart on the right from PwC outlook report for context. We believe that Out of Home will continue to increase its share of ad spend as advertising increasingly appreciate these advancements that the sector makes and the unique role that Out of Home plays into the future. Over on Slide 19. oOh!media is well positioned to capitalize on the Out of Home recovery. This is a slide around the company's strategy, which you have seen before. And in my mind, these are all the right pillars for our company's future growth. I'm convinced that because we have scale and a substantial diversity of assets, we do have a unique point of difference in the sector and one that will serve us well, including the sophistication of our data. And we're making future investments in that, and it is a strategic advantage that we've built. Relative to our future position over on Slide 20, I want to make some specific comments on our network. oOh!media has balance in its commercial lease profile and can, therefore, afford to be disciplined with our rent renewals. This is important for driving shareholder returns into the future. Nearly 60% of our leases have an expiry, which is over 3 years away using FY '19 revenue as a base. No individual concession represents more than 6% of that FY '19 revenue base. And in calendar year '21, we have $60 million to $70 million of revenue in holdover as was the case last year. Sydney Trains is subject to an ongoing tender process. And we have been advised that we have retained the Melbourne Airport contract, and an announcement about that is imminent. So finally, over to the outlook on Slide 22. We remain very confident in the outlook for the business. Our Q1 pacing, currently at 80% of FY '19 and audiences are returning. And we're incredibly pleased to see those large formats of Road, Retail, Street Furniture and the New Zealand business, which, as we said earlier, are the bulk of the business. They're now all pacing at close to 100%. We expect Office and Rail to improve, and we can see just anecdotally that, that is happening. We're seeing a lot of media coverage certainly around the returning audiences to CBDs. And of course, Fly is still a little bit uncertain, but will only serve to get better as restrictions and immunizations and so forth all come to bear. Importantly, we have been and will continue to leverage our suburban and regional footprint to capitalize on these slower recovering formats. Our CapEx will be lower than FY '19, but it will remain focused on revenue growth opportunities and concession renewals. And we are feeling a rising sense of confidence more generally in the marketplace. That concludes our presentation. So thank you for sitting through it with us, and we look forward to ongoing discussions with many of you over the coming days. And Sheila and I will now be happy to answer any questions. ================================================================================ Questions and Answers -------------------------------------------------------------------------------- Operator [1] -------------------------------------------------------------------------------- (Operator Instructions) Our first question today is from Matthew Nicholas of Crédit Suisse. -------------------------------------------------------------------------------- Matthew Nicholas, Crédit Suisse AG, Research Division - Director [2] -------------------------------------------------------------------------------- Cathy, welcome to the role. I'll keep it to one question. I think you've given quite a positive trading update about January and February to date. Can we get a sense on what volumes are doing versus rate? Because I think one of the key facets of the quarter 4 update that volumes were probably leading right a fair bit. So can we just talk about how that relationship is behaving for the first 2 months of the year? -------------------------------------------------------------------------------- Sheila A. Lines, oOh!media Limited - CFO [3] -------------------------------------------------------------------------------- Yes. It sounds like a financial question. So I'll take that one, Matt. It's Sheila here. Yes, rates move, as you would expect, with fill and occupancy demand. And therefore, with the increasing return of demand and audiences, we're seeing rates increasing again, which is certainly what we anticipated. And we were very clear with customers last year that rates at that time were related to the conditions at that time. And these changes in rates are what our customers expect. So yes, as you would expect, rates are improving, particularly in formats where there's strong occupancy demand. -------------------------------------------------------------------------------- Operator [4] -------------------------------------------------------------------------------- Our next question is from Fraser Mcleish of MST Marquee. -------------------------------------------------------------------------------- Fraser Mcleish, MST Marquee - Head of Australian Media, Online and Telecommunications and Telco & Media Analyst [5] -------------------------------------------------------------------------------- Just wondering if you could comment on competitive environments, so the latest trends in terms of bidding for contracts, maybe split between some of the larger headline contracts. We've maybe got a bit more visibility and then some of the smaller ones that we tend not to get visibility over. That would be helpful. And maybe just comment on QMS as well, obviously, entering the Street market -- Street Furniture market with the city of Sydney, if you're expecting any kind of changes or seeing any changes in behavior there. -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [6] -------------------------------------------------------------------------------- I can take that one. Thank you, Fraser. Look, I think competition is a normal course of an industry, a growing industry. So we do expect that these dynamics are part of the everyday operating environment that we are in. Look, I think in terms of our approach, our strategy is always around diversity of assets and scale. And I think the important point for oOh!media is that no 1 contract represents more than 6% of our revenue, and so I think the history of the sector will show that contracts from time to time will change hands. But I think really from where we're sitting, I think we have a particular set of operating requirements, and we operate always for the long term. And so the way that we show up to our commercial partners will always keep the best interest of shareholders in mind. In terms of city of Sydney, it's not a contract that oOh! has ever had. So it represents very little change to our operating dynamics. -------------------------------------------------------------------------------- Operator [7] -------------------------------------------------------------------------------- (Operator Instructions) Our next question is from Brian Han of Morningstar. -------------------------------------------------------------------------------- Brian Han, Morningstar Inc., Research Division - Senior Equity Analyst [8] -------------------------------------------------------------------------------- Cathy, the digital share of your revenue fell quite notably in 2020. Just interested in your views about where that digital share may end up longer term and whether you think the static format will still have a prominent role to play in the next 3 to 5 years. -------------------------------------------------------------------------------- Sheila A. Lines, oOh!media Limited - CFO [9] -------------------------------------------------------------------------------- So just the drop -- this is Sheila. Just the drop in share was largely due to the conditions in the pandemic rather than a new trend. So that was very situational to 2020 and the assets where we wrote revenue. But I'll ask Cathy to address the question about the longer term of digital. -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [10] -------------------------------------------------------------------------------- Thanks, Sheila. We actually, in the current operating environment, are seeing interest in the digital inventory because it has the ability to be deployed short term, and that's allowing advertisers to stay flexible and adapt to the prevailing conditions. That's one thing. I think what we do know long term is that the combination of classic and digital inventory is what drives highly effective campaigns. So I think demand on digital is certainly back up to your specific question, but I think both forms of inventory will continue to remain pretty prominent in the average Out of Home buy. -------------------------------------------------------------------------------- Operator [11] -------------------------------------------------------------------------------- Our next question is from John Campbell of Jefferies. -------------------------------------------------------------------------------- John Campbell, Jefferies LLC, Research Division - Equity Analyst [12] -------------------------------------------------------------------------------- I just -- I don't know if you mentioned this, but do you have any sense around the timing of Sydney Trains when it's going to be resolved? -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [13] -------------------------------------------------------------------------------- We don't comment on open tenders. We have just been advised. It's really a matter for Sydney Trains. It's end of process. -------------------------------------------------------------------------------- Operator [14] -------------------------------------------------------------------------------- Our next question is from Brian Han of Morningstar. -------------------------------------------------------------------------------- Brian Han, Morningstar Inc., Research Division - Senior Equity Analyst [15] -------------------------------------------------------------------------------- Sorry, just a follow-up question. Cathy, you mentioned somewhere about increasing Outdoor's share of the ad pie to 10% in due course. On the measurement that you've used here, can you tell us what the outdoor share is now because those figures can sort of jump around a bit? -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [16] -------------------------------------------------------------------------------- In the presentation, we referred to the PwC outlook graph. And of course, the shares were impacted in a total market sense by 2020. But of course, the circumstances around the pandemic, which effectively meant that consumers were locked away and unable to move about in open spaces did adversely impact the sector. But if we refer back to the presentation, the PwC outlook data, which we have been relying on, had the share at 4.8%, it was just below 5% and moving to 7% or thereabouts over the next few years. -------------------------------------------------------------------------------- Operator [17] -------------------------------------------------------------------------------- (Operator Instructions) The next question is from Matthew Nicholas of Crédit Suisse. -------------------------------------------------------------------------------- Matthew Nicholas, Crédit Suisse AG, Research Division - Director [18] -------------------------------------------------------------------------------- Just a follow-up from me on the contract situation, which seems to be getting a lot of airtime. To your knowledge and just a question about the broader industry, I mean we can see your pipeline and your renewal schedule as per the presentation. Is there much out there in terms of that's being held by competitors that's being up for renewal this year? I'm just curious. Everyone kind of looked at what you guys have to defend this year, but are there opportunities external to your business that you can comment on? -------------------------------------------------------------------------------- Sheila A. Lines, oOh!media Limited - CFO [19] -------------------------------------------------------------------------------- No, there are no major contracts coming up in '21. No material ones that are held by our competitors. -------------------------------------------------------------------------------- Operator [20] -------------------------------------------------------------------------------- (Operator Instructions) We have a question from John Campbell. -------------------------------------------------------------------------------- John Campbell, Jefferies LLC, Research Division - Equity Analyst [21] -------------------------------------------------------------------------------- Just your commentary around overall revenue today pacing at 80%, Cathy. Are you seeing each month, that figure sort of improving? Or is it sort of very volatile from month-to-month, how it's traveling versus the FY '19? -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [22] -------------------------------------------------------------------------------- The presentation covered off January and February. It looks very similar. We didn't give a further outlook. -------------------------------------------------------------------------------- John Campbell, Jefferies LLC, Research Division - Equity Analyst [23] -------------------------------------------------------------------------------- So sort of January and February, much the same relative to FY '19? -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [24] -------------------------------------------------------------------------------- Yes. -------------------------------------------------------------------------------- Operator [25] -------------------------------------------------------------------------------- Thank you. There are no further questions at this time. I'll now hand the call back to Ms. O'Connor for closing remarks. -------------------------------------------------------------------------------- Cathy O'Connor, oOh!media Limited - MD & CEO [26] -------------------------------------------------------------------------------- Thank you, everyone. I hope you've got a lot out of today's presentation. As we stated in the presentation, the overriding feeling from the business is one of confidence. It has been an extraordinary time living through a pandemic, and in many cases, running a media business. What we've had to deal with has been without precedent, but I think, as you've seen in the presentation today, the company acted decisively and swiftly to do what it had to do, and in the process has put us on a more stable footing financially for the future. And sector growth, as we said, very much underpins the confidence that we're feeling. So thank you for your time, and we look forward to talking to many of you in the coming days. -------------------------------------------------------------------------------- Operator [27] -------------------------------------------------------------------------------- Thank you. And that concludes today's call. Thank you for joining. You may now disconnect your lines.