Prysmian S.p.a. · MIL:PRY
Prysmian — Investor Presentation (January 2015)
79 slides from Prysmian's investor presentation, January 2015
Slide 1: Company Presentation
Company Presentation January 2015 Company Presentation – January 2015 1
Slide 2: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix Company Presentation – January 2015 2
Slide 3: Prysmian Group at a glance
Prysmian Group at a glance LTM Q3’14 Results Sales breakdown by geography Sales breakdown by business APAC Telecom 12% 14% Other Utilities Latin America 2% 31% 8% € 6.7 bn € 6.7 bn North America Industrial 15% 25% EMEA 65% T&I 28% Adj. EBITDA by business Adj. EBITDA margin by business Telecom 19% 10
Slide 4: Long Cycle Businesses Vs. Short Cycle Businesses
Long Cycle Businesses Vs. Short Cycle Businesses Adj. EBITDA breakdown Long Cycle Businesses Short Cycle Businesses Short Cycle Businesses Adj. EBITDA 68% 32% (Combined Prysmian + Draka) • Profitability: stabilization of margins after the fall in 2009 Utilities Utilities • Potential upside from reco
Slide 5: 9M 2014 Key Financials
9M 2014 Key Financials Euro Millions, % on Sales Sales Adjusted EBITDA (1) Adjusted EBIT (2) Excl. WL Excl. WL Excl. WL -3.3%* sub.project effect sub.project effect sub.project effect 650 494 +0.2%* 613 465 7,574 6,995 +1.7%* 442 438 333 332 5,297 5,095 5,014 355 249 2012 2013 9M'13 9M'14 9M'14 2012
Slide 6: Profitability in line with previous year excluding WL effect
Profitability in line with previous year excluding WL effect Positive organic growth in 9M despite slowdown in Europe and Brazil Organic Growth Adj. EBITDA % change on same period of previous year Euro million 2013 2014 438 WL 5.3% 83 3.0% 1.8% 1.9% 1.7% 0.2% 163 160 -0.8% -1.9% 9 37 442 -3.1% -3.9%
Slide 7: Industrial Footprint Competitiveness
Industrial Footprint Competitiveness Moving from local… …to regional supply chain 2014 Highlights Energy: Optical Cables: Optical Fiber: • Footprint rationalization • Largest factory by H1’15 • € 50m investment to reduce restarted: ongoing (Romania) costs in 2014-15 consultation processes in Europe
Slide 8: Utilities
Utilities Euro Millions, % on Sales Sales to Third Parties Highlights Excl. WL -1.4%* sub.project effect DISTRIBUTION -3.1%* • Mid single digit organic decline in 9M. Stabilization of prices and volumes on 2,278 2,217 +1.8%* H1 levels • Europe: weak demand in the Nordics and Eastern Europe, 1,644 1,
Slide 9: Utilities - Strengthening leadership in Submarine
Utilities - Strengthening leadership in Submarine to match increasing demand in a fast growing sector Transmission – Sales & Adj.EBITDA (€m) CAGR 12% 1,500 ~1,300 350 ~1,250 ~1,150 1,250 ~1,050 300 ~850 Sales (L axis) 1,000 250 750 200 Adj.Ebitda (R axis) 500 250 150 0 100 FY 2010 FY 2011 FY 2012 FY
Slide 10: Trade & Installers
Trade & Installers Euro Millions, % on Sales Sales to Third Parties Highlights -4.3%* • Mid single digit organic growth in 9M, softening from Q2 • Europe: on-going volume recovery driven by Nordics and Eastern 2,159 1,914 +5.3%* Europe, more than offsetting sluggish demand in Central Europe • North
Slide 11: Trade & Installers - Sales breakdown
Trade & Installers Sales breakdown Sales breakdown by geographical area Total Construction Investments LTM Q3’14 2013 = 100 120 N.A. APAC 110 Latam Eastern Europe Europe 24% 100 90 Nordics 11% 80 A10 A11 A12 E13 E14 E15 E16 N. America € 1.9 bn 6% Focus on Europe 2013 = 100 Latin America 140 Central
Slide 12: Industrial
Industrial Euro Millions, % on Sales Sales to Third Parties Highlights +4.0%* • Overall Industrial performance impacted by slow-down in the capital goods sector in Europe in the last months 1,801 1,764 -1.9%* 1,339 Specialties & OEM 1,228 • 9M performance impacted by continuous weak demand in Europe
Slide 13: Industrial - Sales breakdown
Industrial Sales breakdown Sales breakdown by geographical area Sales breakdown by business segment LTM Q3’14 LTM Q3’14 Other Asia Pacific 4% 22% Elevator 9% Specialties & OEM 1) EMEA 44% Latin America 44% OGP & SURF 8% € 1.7 bn 21% € 1.7 bn North America 26% Automotive 22% 1) Includes Renewables bu
Slide 14: Telecom
Telecom Euro Millions, % on Sales Sales to Third Parties Highlights -15.4%* • Improving organic growth supported by strong demand in optical largely offset by lower average pricing and continuous decline in Copper. 1,202 Continuous improvement in cost structure to support profitability 986 +1.9%* Op
Slide 15: Telecom - Leverage on lean cost base
Telecom - Leverage on lean cost base to benefit from ongoing market recovery Telecom Optical Volumes FKM • Optical fiber demand expected to increase by 10.8%a in 2014 driven by Europe and India. Positive signals also from North America, ASEAN and China (which represents approx. +21% (16%) 50% of the
Slide 16: Telecom - Sales breakdown
Telecom Sales breakdown Sales breakdown by geographical area Sales breakdown by business segment LTM Q3’14 LTM Q3’14 Asia Pacific Other 12% 5% Multimedia & Optical, Specials Connectivity 22% and Fiber Latin America 60% 14% EMEA € 1.0 bn 61% € 1.0 bn Copper North America 13% 13% Company Presentation
Slide 17: 2014 Outlook - FY Target confirmed
2014 Outlook – FY Target confirmed despite gradual worsening of market trend in Europe and Brazil FY 2014 Adj.EBITDA Target Vs FY 2013 (€ 613 m) Initial expected Adj.EBITDA 600 650 FY Target - €94m Western Link FY 2014 effect Current Adj.EBITDA 506 556 FY Target FY target confirmed in the low-part o
Slide 18: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix Company Presentation – January 2015 18
Slide 19: Organization model
Organization model To strengthen leadership in all business segments leveraging on a global platform A matrix linking country and group functions Utilities T&I Industrial Telecom Group Functions Energy Products Energy Projects Telecom Business Telecom Solutions Specialties & OEM (Optical+Copper) Mul
Slide 20: First step of production footprint optimization completed
First step of production footprint optimization completed 7 plants closed and 1 plant restructured since Draka acquisition Wuppertal (GER) Industrial cables - partial closure Eschweiler (GER) T&I/Industrial cables Angel (CHI) Hickory (US) Semi-finished products/wires Derby (UK) Industrial/control ca
Slide 21: Synergies Plan: Procurement run-rate, Overheads almost completed
Synergies Plan: Procurement run-rate, Overheads almost completed Plants rationalization to be executed in line with customers requirements to preserve service level Synergies Plan Euro million Overheads (Fixed costs) ~ 175 Procurement 150-160 Operations ~ 140 70 120 100 60 45 65 45 30 45 13 60 10 30
Slide 22: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix Company Presentation – January 2015 22
Slide 23: Profit and Loss Statement
Profit and Loss Statement Euro Millions 9M 2014 excl. WL Submarine WL submarine 9M 2014 9M 2013 1) FY 2013 1) project effect project effect Sales 5,095 (81) 5,014 5,297 6,995 YoY total growth (3.8%) (5.3%) YoY organic growth 1.7% 0.2% Adj.EBITDA 438 (83) 355 442 613 % on sales 8.6% 7.1% 8.3% 8.8% No
Slide 24: Bridge Consolidated Sales
Bridge Consolidated Sales Euro Millions Total Consolidated 92 ( 81 ) (104) (190) - 5,297 Org. growth excl.WL Org. growth incl.WL 5,014 5,014 +1.7% +0.2% 9M 2013 Org.Growth WL effect Metal Effect Exchange Rate 9M 2014 L-f-L Perimeter effect 9M 2014 Energy Cables & Systems Division 78 ( 81 ) ( 99 ) (1
Slide 25: Impact of currencies and WL project on Sales and Adj.EBITDA
Impact of currencies and WL project on Sales and Adj.EBITDA Profitability decrease fully attributable to WL project and negative currency translation effect Sales Adj. EBITDA Euro million Euro million Of which: Of which: • Utilities 36 • Utilities 2 • T&I 72 • T&I 5 • Industrial 52 • Industrial 5 •
Slide 26: Extraordinary Effects
Extraordinary Effects Euro Millions 9M 2014 9M 2013 2) FY 2013 2) Antitrust investigation 28 3 6 Restructuring (16) (32) (50) Price adjustments 22 - - Other (6) (5) (6) EBITDA adjustments 28 (34) (50) Special items 4 (30) (47) Gain/(loss) on metal derivatives 12 (12) (8) Assets impairment (5) (9) (2
Slide 27: Financial Charges
Financial Charges Euro Millions 9M 2014 9M 2013 2) FY 2013 2) Net interest expenses (67) (77) (100) of which non cash Conv.Bond interest exp. (6) (4) (6) Bank fees amortization (5) (6) (8) Gain/(loss) on exchange rates (18) (12) (27) Gain/(loss) on derivatives 1 ) (9) (14) (8) Non recurring effects
Slide 28: Statement of financial position (Balance Sheet)
Statement of financial position (Balance Sheet) Euro Millions 30 Sept 2014 30 Sept 20131) FY 2013 1) Net fixed assets 2,255 2,206 2,207 of which: intangible assets 586 593 588 of which: property, plants & equipment 1,430 1,402 1,390 Net working capital 900 788 386 of which: derivatives assets/(liabi
Slide 29: Cash Flow
Cash Flow Euro Millions 9M 2014 9M 2013 1) FY 2013 1) Adj.EBITDA 355 442 613 Non recurring items 28 (34) (50) EBITDA 383 408 563 Net Change in provisions & others (65) (49) (76) Share of income from investments in op.activities (26) (21) (35) Cash flow from operations (before WC changes) 292 338 452
Slide 30: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix – Prysmian at a Glance Company Presentation – January 2015 30
Slide 31: Key Milestones
Key Milestones 1879 1902 1998 2001 2005 2008 2011 Organic Growth by Restructuring Managing the Growth by Establishment Profitable growth growth acquisition process downturn acquisition Listing Public #1 Cable Company July 28, ‘05: Strategic Company Maker founded as Product Closure of 11 GS “Pirelli
Slide 32: The World's Leading Cables & Systems Company
The World’s Leading Cables & Systems Company N°1 in cable solutions for the energy and telecommunication business 7.0 6.0 4.6 €bn, 2013 Sales 3.9 3.8 3.4 3.2 2.7 2.6 1.7 1.4 1.2 Prysmian Nexans General Leoni Southwire Furukawa LS Cable & Hitachi Fujikura Sumitomo Elsewedy NKT Cables Group Cable Elec
Slide 33: Prysmian Group business portfolio
Prysmian Group business portfolio Focus on high value added segments PROFITABILITY Extended SURF business (Flexible Pipes + perimeter Umbilicals) Network Components Submarine Look for High Extra HV Profitable Optical Cables & Fibre Growth High Voltage • Focus on products and service Industrial Mediu
Slide 34: Cash Flow generation as key priority to create value for shareholders
Cash Flow generation as key priority to create value for shareholders Growing capabilities to invest organically/acquisitions and remunerate shareholders Cash Flow generation 2012 benefited from approx. €100m cash-in (submarine business) expected in 2013 € mln 320 2.4x 240 2.0x 160 1.6x 80 1.2x Appr
Slide 35: Disciplined Capex to grow in high margin business
Disciplined Capex to grow in high margin business and out of Europe Investments focused on business with long term drivers and high entry barriers CAPEX 2007-2013 (€ mln) Cap. Increase & Product mix Prysmian + Draka € 27 million related to industrial Other 159 152 144 and R&D/HQ buildings 116 107 10
Slide 36: Metal Price Impact on Profitability
Metal Price Impact on Profitability Supply Main Metal Influence on Cable Price Metal Fluctuation Management Contract Application Impact Impact • Projects (Energy • Technology and design • Pricing locked-in at order intake transmission) content are the main • Profitability protection through Predeter
Slide 37: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix – Energy Company Presentation – January 2015 37
Slide 38: Clusters of Cable Manufacturers in the Industry
Clusters of Cable Manufacturers in the Industry Competitive scenario – Energy Cables Company Presentation – January 2015 38
Slide 39: Full package of solutions for Energy Business
Full package of solutions for Energy Business Utilities Trade & Installers Industrial • Power Transmission • LV cables for construction • Specialties & OEM (rolling stock, nuclear, defence, crane, – Underground EHV, HV-DC/AC – Fire performing mining, marine, electro medical, – Submarine (turn-key) E
Slide 40: Utilities - Overview
Utilities – Overview SALES BREAKDOWN 2013 • Submarine High Voltage Turnkey cabling solutions for submarine power transmission systems at depths of up to 2,000 meters 33% 38% Transmission – • Underground High Voltage Submarine Cabling solutions for power plant sites and primary distribution Power Dis
Slide 41: Utilities - Investing in submarine to increase ROCE
Utilities – Investing in submarine to increase ROCE Strengthening production and installation (GME acquisition) capabilities Arco Felice (Italy) Drammen (Norway) Pikkala (Finland) Main projects in execution/orders backlog: • Western Link • Balearic Islands • HelWin 1-2/ SylWin 1/ • Capri BorWin 2-3/
Slide 42: Sound orders intake boosting backlog at peak level
Sound orders intake boosting backlog at peak level Record visibility in Submarine and good coverage for HV sales Transmission – Orders Backlog (€m) Transmission – Sales (€m) Submarine HV ~3,000 ~ 1,300 ~2,800 ~2,850 0.9x ~2,450 ~2,500 ~500 ~2,350 ~500 ~450 ~ 500 ~550 ~450 ~1,650 ~1,700 ~650 ~1,550 3
Slide 43: Utilities - Off-shore wind development in Europe still at early stage
Utilities – Off-shore wind development in Europe still at early stage High visibility on new projects to be awarded next quarters Europe Offshore Wind capacity (GW) Europe 2013 Cumulated Capacity by Country Cumulated Offshore Wind capacity (L axis) Others 0.3 GW Annual Additional capacity (R axis) N
Slide 44: Utilities - Major transmission projects to be awarded
Utilities – Major transmission projects to be awarded Main subsea and underground projects of pan-European significance List of main projects Main power flow trends 1. Italy – France Main subsea & underground projects in design & permitting 2. Germany (Borwin IV) Main planned subsea & underground pr
Slide 45: Utilities - Submarine Systems
Utilities – Submarine Systems Key success factors Latest Key projects Customers Period €m (1) • Track record and reliability Philippines NGCP 2015-16 90 Dardanelles 2 TEIAS 2015-16 64 • Ability to design/execute turnkey Cyclades IPTO 2015-16 95 solution West of Adlergrund 50Hertz Offshore GmbH From
Slide 46: Utilities - Western Link a milestone in the submarine sector
Utilities – Western Link a milestone in the submarine sector Western Link route Large Off-shore Wind investments planned in Scotland Western Link milestones • The highest value cable project ever awarded, worth €800 mln • The highest voltage level (600kV) ever reached by an insulated cable • Current
Slide 47: Western Link: a strong recovery to address the production issue
Western Link: a strong recovery to properly address the production issue and minimize the economic impact Project Highlights WL production process Progress Status Stranding Turntable • Awarded in February 2012 to Prysmian- • Cable called back Siemens consortium from UK successfully • Customers: Nati
Slide 48: Trade & Installers - Overview
Trade & Installers – Overview BUSINESS DESCRIPTION KEY SUCCESS FACTORS • Building wires, Low and Medium voltage cables for Global partner with strong local presence residential, commercial, industrial and infrastructure constructions Full Product range • Partner of the World best Wholesalers, Instal
Slide 49: Trade & Installers - Offer overview
Trade & Installers Offer overview - POWER SUPPLY - LIGHTING - EMERGENCY CIRCUITS (INTERIOR/EXTERIOR) RESIDENTIAL – COMMERCIAL – - CONNECTIONS - BRANCHES INDUSTRIAL - INFRASTRUCTURE - MACHINERY (MOBILE OR NOT) - CONTROL/DATA - SWITCHBOARD - ELECTRICAL APPLIANCES BEST IN CLASS FIRE RESISTANT AND LSOH
Slide 50: Industrial - Overview
Industrial – Overview Business description Key customers Integrated cable solutions highly customized to our Large and differentiated customer base industrial customers worldwide generally served through direct sales Oil & Gas Addressing the cable needs of research and refining, exploration and prod
Slide 51: Industrial - Off-shore oil exploration
Industrial – Off-shore oil exploration Oilfield structure Flexible Pipes Fixed Floating Platform Floating Platform (SEMI-SUBMERSIBLE) Platform (FPSO) Umbilical Injection control Umbilical (Power) Flexible Pipes Umbilical For control Christmas Manifold Tree Petrol Well Company Presentation – January
Slide 52: Industrial - Off-shore oil exploration
Industrial – Off-shore oil exploration Cross selling opportunities driven by the new Downhole technology business contributed by Draka Downhole Technology (DHT) HYBRID ELECTRO-OPTIC FIBER OPTIC ELECTRICAL GAS & FLUID TUBING PACKAGED GAS & FLUID TUBING Company Presentation – January 2015 52
Slide 53: Macro-structure of Energy Cables
Macro-structure of Energy Cables Product macro structure Production process Conductor Final production Outer jacket (drawing, Insulation Screening Lay up Armouring Sheathing quality (Polyolefine, PVC, …) inspection Insulation (XLPE, EPDM) stranding) WB yarns Conductor (Cu, Al) Building Wire (T&I) Lo
Slide 54: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix – Telecom Company Presentation – January 2015 54
Slide 55: Major Players within the Telecom Industry
Major Players within the Telecom Industry Competitive scenario Global Market Presence Continental YOFC Local Niche Focused Wide Product Portfolio Range Company Presentation – January 2015 55
Slide 56: Telecom - Overview
Telecom – Overview Business description Key customers Integrated cable solutions focused on high -end Telecom Key customers include key operators in the telecom sector Telecom solutions Optical cables: tailored for all today’s challenging environments from underground ducts to overhead lines, rail t
Slide 57: Optical cables
Optical cables Global overview Market trends Key success factors • Demand function of level of capital expenditures • Continuous innovation and development of new budgeted by large telecom companies cable & fibre products (PTT/incumbents as well as alternative • Cable design innovation with special
Slide 58: Telecom Cables Main Applications
Telecom Cables Main Applications BACKBONE METROPOLITAN RING ACCESS NETWORK Company Presentation – January 2015 58
Slide 59: Telecom - Solid drivers in optical confirmed after weak 2013
Telecom – Solid drivers in optical confirmed after weak 2013 Growing investments expected in Europe, Americas and Asia Optical Cables 22% +17% +21% 51% Prysmian 2015 vs. 2013 Sales* Market Growth Prysmian 2015 vs. 2013 Sales* Market Growth North America 16% EMEA +14% +28% Prysmian 2015 vs. 2013 Sale
Slide 60: Telecom - Market trend
Telecom – Market trend Growth opportunities coming from the development of broadband in Europe Evolution of NGA (Next Generation Access) Opportunities coming from national plans to coverage and high-speed (>30Mbps) / ultrafast achieve EU 2020 Digital Agenda targets (>100Mbps) take-up (% of homes) in
Slide 61: Telecom - FTTA as key driver of optical demand
Telecom – FTTA as key driver of optical demand 4G and Long Term Evolution (LTE) deployments require Fiber-to-the-Antenna (FTTA) Global LTE Growth Forecast Millions of users Roof top antenna towers for urban applications Antenna towers used by 4G and LTE networks Source: Informa Telecoms & Media, WCI
Slide 62: Macro-structure of Telecom Cables
Macro-structure of Telecom Cables Product macro structure Production process Primary Coating (250 Micron) Fibre Cladding (125 Micron) optic Core (10 Micron) Final quality Pre form deposition Consolidation Drawing inspection Main Technologies: OVD - VAD - MCVD Aramid Yarns Loose tubes Optical fibres
Slide 63: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix – Financials Company Presentation – January 2015 63
Slide 64: P&L Statement - Application of IFRS 10-11 Vs previous accounting
P&L Statement – Application of IFRS 10-11 Vs previous accounting Euro Millions 9M 2013 9M 2013 FY 2013 FY 2013 FY 2012 FY 2012 Restated 1) Reported Restated 1) Reported Restated 1) Reported Sales 5,297 5,488 6,995 7,273 7,574 7,848 YoY total growth (7.7%) (7.3%) YoY organic growth (3.3%) (3.1%) Adj.
Slide 65: Stat. of fin. position - Application of IFRS 10-11
Stat. of fin. position (BS) – Application of IFRS 10-11 Vs previous accounting Euro Millions 30 Sep ’13 30 Sep ’13 31 Dec ’13 31 Dec ’13 31 Dec ’12 31 Dec ’12 Restated 1) Reported Restated 1) Reported Restated 1) Reported Net fixed assets 2,206 2,215 2,207 2,190 2,301 2,300 of which: intangible asse
Slide 66: Cash Flow - Application of IFRS 10-11 Vs previous accounting
Cash Flow – Application of IFRS 10-11 Vs previous accounting Euro Millions 9M 2013 9M 2013 FY 2013 FY 2013 FY 2012 FY 2012 Restated 1) Reported Restated 1) Reported Restated 1) Reported Adj.EBITDA 442 444 613 612 650 647 Non recurring items (34) (34) (50) (50) (101) (101) EBITDA 408 410 563 562 549
Slide 67: Energy Segment - Profit and Loss Statement
Energy Segment – Profit and Loss Statement Euro Millions 9M 2014 excl. WL Submarine WL submarine 9M 2014 9M 2013 1) FY 2013 1) project effect project effect Sales to Third Parties 4,350 (81) 4,269 4,534 6,009 YoY total growth (4.1%) (5.8%) YoY organic growth 1.7% (0.1%) Adj. EBITDA 363 (83) 280 361
Slide 68: Energy Segment - Sales and Profitability by business area
Energy Segment – Sales and Profitability by business area Euro Millions, % on Sales Total Organic 9M 2014 9M 2013 1) growth growth Utilities 1,535 1,644 (6.6%) (3.1%) Sales to Third Parties Trade & Installers 1,434 1,470 (2.5%) 5.3% Industrial 1,228 1,339 (8.3%) (1.9%) Others 72 81 n.m. n.m. Total E
Slide 69: Telecom Segment - Profit and Loss Statement
Telecom Segment – Profit and Loss Statement Euro Millions 9M 2014 9M 2013 1) FY 2013 1) Sales to Third Parties 745 763 986 YoY total growth (2.3%) YoY organic growth 1.9% Adj. EBITDA 75 81 106 % on sales 10.0% 10.6% 10.8% Adj. EBIT 44 49 63 % on sales 5.9% 6.4% 6.4% 1) Final restated figures in appl
Slide 70: Financial Structure
Financial Structure Euro Millions Debt structure (€m) 30.09.2014 (€m) Available 30.09.14 30.06.14 31.12.13(1) Used Funds (3) Maturity Term Loan 2010(2) - - 183 - - - Revolving 2010(2) - - - - - - Eurobond 5.25% 409 404 414 409 - 04/2015 Term Loan 2011 400 400 400 400 - 03/2016 Revolving 2011 150 100
Slide 71: Dividends
Dividends Dividend per share in line with previous year supported by sound cash generation Dividend approved by the last Shareholders’ Meeting • Dividend Per Share € 0.420 Total Shares (1) • Total payout: € 89 millions 214,591,710 • Ex-dividend date: 22 April 2014 • Payment date: 25 April 2014 • Div
Slide 72: Prysmian Historical Key Financials
Prysmian Historical Key Financials Euro Millions, % of Sales – Pre Draka acquisition Sales Sales Adjusted EBITDA (1) Adjusted Adjusted EBITEBIT 1 (2) 529 542 5,007 5,118 5,144 4,571 464 477 407 403 387 3,742 3,731 330 334 309 +4.2% * 265 +8.2% * +9.3% * +3.2% * -17.4% * 171 2005 2006 2007 2008 2009
Slide 73: Historical Key Financials - Utilities and T&I
Historical Key Financials by Business Area – Utilities and T&I Euro Millions, % of Sales – Pre Draka acquisition Sales Vs Third Parties Adjusted EBITDA (1) Adjusted EBIT (2) 2,028 287 256 1,894 266 237 1,853 1,790 250 215 237 208 1,598 1,445 Utilities 197 157 +12.1% * 143 +3.3% * +1.5% * 107 -13.9%
Slide 74: Historical Key Financials - Industrial and Telecom
Historical Key Financials by Business Area – Industrial and Telecom Euro Millions, % of Sales – Pre Draka acquisition Sales Vs Third Parties Adjusted EBITDA (1) Adjusted EBIT (2) 850 93 795 80 742 84 71 629 628 Industrial 62 61 489 46 +5.0% * +21.1% * 46 42 -1.1% * 39 34 -16.1% * 25 2005 2006 2007 2
Slide 75: Agenda
AGENDA Group Overview & 2014 Outlook Draka integration Financial Results Appendix – Cable Industry Reference Market Company Presentation – January 2015 75
Slide 76: The Global Cables Reference Market
The Global Cables Reference Market World-Wide Cable Reference Market Size, 2013 2013 Global Cables Reference Market Energy Cables Reference Market (~€89bn) Latin North € 112 bn Latin America America America North 4% 13% 4% America 16% EMEA APAC 31% 52% EMEA APAC 31% 49% Telecom Cables Reference Mark
Slide 77: Market Volumes Trend
Market Volumes Trend Energy Cables Reference Market Million Tons • Long term growth driven by: Conductor 14.2 • Energy consumption 13.0 13.6 11.3 11.7 12.0 12.5 10.3 10.7 10.1 10.8 • Investments in power grid 9.5 7.8 8.5 9.0 interconnections 7.4 6.5 6.7 6.9 7.1 CAGR: 4.3% • Investments in power tran
Slide 78: Reference Scenario
Reference Scenario Commodities & Forex Brent Copper Aluminium Brent $/bbl Copper $/ton Aluminium $/ton Brent €/bbl Copper €/ton Aluminium €/ton 150 12,000 3,500 125 10,000 3,000 2,500 100 8,000 2,000 75 6,000 1,500 50 4,000 1,000 25 2,000 500 J-08 J-09 J-10 J-11 J-12 J-13 J-14 J-08 J-09 J-10 J-11 J-
Slide 79: Disclaimer
Disclaimer • The managers responsible for preparing the company's financial reports, A.Bott and C.Soprano, declare, pursuant to paragraph 2 of Article 154-bis of the Consolidated Financial Act, that the accounting information contained in this presentation corresponds to the results documented in th
Prysmian Group — Investor Presentation (January 2015) on 6ix