Sonae Indústria S.G.P.S — FY2010 Earnings Presentation
19 slides from Sonae Indústria S.G.P.S's earnings presentation, Feb 25, 2011
Slide 1: FY10 Results Investors and Analysts Conference Call
FY10 RESULTS INVESTORS AND ANALYSTS CONFERENCE CALL 25th February 2011 1
Slide 2: Consolidated Operational Review: Turnover and Recurrent EBITDA Margin
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL CONSOLIDATED OPERATIONAL REVIEW EBITDA RECOVERED 3PP FROM FY09* TO FY10 TURNOVER INCREASED 6% YoY DEPITE HAVING CLOSED 9% CAPACITY € Mn Consolidated Turnover & € Mn Consolidated Turnover & Recurrent EBITDA Margin Recurrent EBITDA Margin 1.611 1.217 1.29
Slide 3: Consolidated Operational Review: EBITDA Recovered
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL CONSOLIDATED OPERATIONAL REVIEW EBITDA RECOVERED FROM 33 MILLION EUROS IN FY09* TO 71 MILLION EUROS YoY € Mn Consolidated Recurrent EBITDA € Mn Consolidated Recurrent EBITDA 71 28 63 22 16 14 33 7 4Q09 1Q10 2Q10 3Q10 4Q10 FY08 FY09 FY10 Consol. Recurrent
Slide 4: Operational Review Iberia
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OPERATIONAL REVIEW IBERIA IN IBERIA, DURING FY10, WE WERE ABLE TO MAINTAIN A HIGH EBITDA MARGIN, DESPITE LOWER TURNOVER AND VERY HIGH WOOD COSTS € Mn € Mn TURNOVER & RECURRENT EBITDA IBERIA TURNOVER & RECURRENT EBITDA IBERIA 500 30,0% 140 30,0% 453 450 25
Slide 5: Operational Review Central Europe: Germany, France and the UK
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OPERATIONAL REVIEW CENTRAL EUROPE: Germany, France and the UK IN CENTRAL EUROPE, OVER THE LAST 3 YEARS, WE WERE ABLE TO RECOVER 5.3PP RECURRENT EBITDA MARGIN € Mn TURNOVER & RECURRENT EBITDA CENTRAL € Mn TURNOVER & RECURRENT EBITDA CENTRAL EUROPE EUROPE 1
Slide 6: Central Europe: 3 Countries with a Different Recovery Pace
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OPERATIONAL REVIEW CENTRAL EUROPE: Germany, France and the UK 3 COUNTRIES WITH A DIFFERENT RECOVERY PACE € Mn RECURRENT EBITDA BY COUNTRY € Mn RECURRENT EBITDA BY COUNTRY 15 30 8,0 1,5 5,7 20 10 1,9 -0,2 10 5 0 0 -10 -20 -5 -0,4 -30 -8,2 -27,8 -10 -40 4Q0
Slide 7: Operational Review Rest of the World: Canada and S.A.
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OPERATIONAL REVIEW REST OF THE WORLD: Canada and S.A. IN ROW REGION, DESPITE SELLING BRAZIL OPERATIONS, WE WERE ABLE TO INCREASE 3PP RECURRENT EBITDA MARGIN (6PP W/O BRAZIL) € Mn € Mn RoWTurnover & Recurrent EBITDA Margin ROW TURNOVER & RECURRENT EBITDA 3
Slide 8: Consolidated Operational Review: Variable Costs
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL CONSOLIDATED OPERATIONAL REVIEW VARIABLE COSTS WOOD AND CHEMICAL COSTS SHARPLY INCREASED DURING 2010 CONSOLIDATED QUARTERLY AVERAGE COSTS CONSOLIDATED QUARTERLY AVERAGE COSTS (eur/m3) (eur/m3) BASE 100:1Q07 BASE 100:4Q09 1,4 1,4 1,2 1,2 1,0 1,0 0,8 0,8 0,
Slide 9: Consolidated Operational Review: Average Prices
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL CONSOLIDATED OPERATIONAL REVIEW AVERAGE PRICES PRICES DECLINED OVER THE LAST 3 YEARS AND RECOVERED IN 2010 CONSOLIDATED QUARTERLY AVERAGE PRICES CONSOLIDATED QUARTERLY AVERAGE (eur/m3) BASE 100:1Q07 PRICES (eur/m3) BASE 100:4Q09 1,4 1,4 1,2 1,2 1,0 1,0 0,
Slide 10: Restructuring Process: Volumes Sold and Capacity Utilization
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OUR RESTRUCTURING PROCESS VOLUMES SOLD AND CAPACITY UTILIZATION 2Q08: Stoppage of 2Q09: closure of 4Q09: closure of • MDF Line 1 in Meppen • Châtellerault and St. Kaisersesch plant 2Q10: Sale of (Germany) Dizier plants (France) (Germany) Lure plant (France)
Slide 11: New Organization: Matrix Organization Since April 2010
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL NEW ORGANIZATION MATRIX ORGANIZATION SINCE APRIL 2010 Belmiro de Azevedo [Chairman] BOARD OF Álvaro Cuervo García DIRECTORS Paulo Azevedo Per Knuts Thomas Nystén Carlos Bianchi de Aguiar [CEO] EXECUTIVE Rui Correia [CFO] Christophe Chambonnet [CM&SO] COMMIT
Slide 12: Restructuring Process: Fixed Costs and FTEs
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OUR RESTRUCTURING PROCESS FIXED COSTS AND FTEs 2Q08: Stoppage of 2Q09: closure of 4Q09: closure of • MDF Line 1 in Meppen • Châtellerault and St. Kaisersesch plant 1Q10 Sale of (Germany) Dizier plants (France) (Germany) Lure plant (France) • PB Line in Vall
Slide 13: Restructuring Process: Managing for Cash
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OUR RESTRUCTURING PROCESS MANAGING FOR CASH WORKING CAPITAL HAS BEEN REDUCED INVESTMENTS HAVE BEEN MINIMIZED Additional Fixed Assets Million Euros 210 202 180 58 WORKING CAPITAL: 2007 - 2010 150 € Mn 120 53 110 500 90 31 400 23 300 25 60 200 16 68 28 22
Slide 14: Restructuring Process: Net Debt
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL OUR RESTRUCTURING PROCESS NET DEBT 3Q08: Acq. of 37% Tafisa Brasil and Dividends Payment 3Q09: Sale of Brazil operations Million of Euros 950 Sale of Lure plant 900 27 22 13 76 850 37 126 800 54 890 890 895 79 864 13 750 827 827 3 17 700 DECLINE OF 146 MILL
Slide 15: Financial Review: Refinancing
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL FINANCIAL REVIEW REFINANCING Our debt has no consolidated financial ratio covenants SCHEDULED LOAN REPAYMENTS* (as of 31st Dec 2010) 160 140 120 100 80 149 60 40 87 79 72 75 20 37 44 44 30 0 1H11 2H11 1H12 2H12 1H13 2H13 2014 2015 ≥2016 •Does not include
Slide 16: Looking Forward
LOOKING FORWARD 16
Slide 17: Looking Forward: Chemical Cost Development
USD / mton Euro / mton Contract Price 100 200 300 400 500 700 800 900 600 80 280 380 480 180 Jan-03 Out-03 Abr-03 Jan-04 Jul-03 SPOT Price Abr-04 Out-03 Jul-04 Jan-04 Out-04 Abr-04 Jul-04 Jan-05 Out-04 Abr-05 Jan-05 Jul-05 Abr-05 Out-05 LOOKING FORWARD Jul-05 Jan-06 Out-05 Abr-06 Jan-06 Jul-06 SONAE
Slide 18: Looking Forward: Construction and Furniture Growth Rates
SONAE INDÚSTRIA: EA_FY10 – CONFERENCE CALL LOOKING FORWARD 15% 10% 5% 0% -5% 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 -10% -15% -20% -25% New Residential construction growth rate* 8% 4% 0% 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 -4% -8% -12% -16% Furniture Prod
Slide 19: Thank You, Questions?
THANK YOU QUESTIONS? QD SONAE INDUSTRIA
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