Viva Energy provides update to investors

Viva Energy held its 2023 Investor Day last week (9 November) providing a company update.

Viva Energy CEO Scott Wyatt said that the company has an “established reputation and capability” reaching more than 25% of the Australian liquid fuel market.

Mr Wyatt, looking at Viva’s convenience and mobility business, addressed the Group’s acquisition of Coles Express (rebranded as Reddy Express) and OTR (subject to regulatory approval). He noted that Viva is the largest single-branded, company operated fuel and convenience retail network in Australia.

Mr Wyatt also provided a sustainability update, talking on achievements and progress across

• Energy transition – commitment to net zero; installing rooftop solar; plans to reduce fuel carbon content; Climate Active certification for opt-in carbon-neutral fuels and specialty products.
• Environment – announced plans for first commercial production of recycled plastic from soft plastic waste in Australia, improving fuel quality standards; 77% of freshwater used for Geelong Refinery is from recycled sources; 79% of hazardous waste diverted from landfill at Geelong Refinery.
• People – More than 7000 employees following Coles Express, increasing from 1,705 in 2022; 50% female representation in our executive leadership team; 44% of senior leaders are women; 72% employee engagement score; Recipient AREEA Diversity and Inclusion Awards in 2023.
• Community – on track to deliver 80% of Second Innovate RAP deliverables; contributed almost $2 million to community partners in 2022; community partnerships with CareFlight, Koorie Heritage Trust, Racing Together and Geelong program partners; ongoing supply contract of Low Aromatic Fuel into Northern Australia.

Viva Energy Convenience & Mobility CEO Jevan Bouzo expanded further on convenience, noting that the proposition offers “significant and consistent sales growth, with untapped potential”.

The Group intends to deliver more than 250 million transactions per year and lift non-fuel earnings to more than 50% of total earnings.

To achieve this, Viva has a three-step approach when it comes to its transformation and growth strategy, according to Mr Bouzo. This includes:

1. Taking control of the shop
2. Extending the network
3. Transforming the offer

Electric vehicle recharging will be part of Viva’s broader convenience offer, said Mr Bouzo, with focus on total customer experience. With a longer dwell time, typically 20 to 30 minutes to recharge, Mr Bouzo pointed to a “significant opportunity to differentiate”.