Fugro Nv · EURONEXT:FUR
Fugro Nv — Shareholder Meeting (April 2022)
56 slides from Fugro Nv's shareholder meeting presentation, Apr 22, 2022
Slide 1: Algemene vergadering van aandeelhouders
Algemene vergadering van aandeelhouders 22 april 2022
Slide 2: Agenda
Agenda 1 Opening en mededelingen 2 Verslag Raad van Bestuur over 2021 3 Verslag Raad van Commissarissen over 2021 4 Vaststelling jaarrekening 2021 5 Decharge Raad van Bestuur en Raad van Commissarissen 6 Samenstelling Raad van Commissarissen: herbenoeming Antonio Campo 7 Herbenoeming accountant 8 Aa
Slide 3: 2. Verslag Raad van Bestuur over 2021
2. Verslag Raad van Bestuur over 2021 3 Fugro AvA 2022
Slide 4: Our planet is a complex and dynamic system
Our planet is a complex and dynamic system, which makes building and maintaining structures extremely difficult 4 Fugro AvA 2022
Slide 5: Imagine attaching something to that moving, dynamic structure
Imagine attaching something to that moving, dynamic structure You must have a comprehensive understanding of the environment Both above and below the subsurface
Slide 6: Accurate collection and interpretation of Geo-data is essential to mitigate risk
Accurate collection and interpretation of Geo-data is essential to mitigate risk
Slide 7: Unlocking insights from Geo-data
Unlocking insights from Geo-data Using our ‘triple A’ approach (acquisition, analysis, advice), we support our clients in managing their project risks during construction and operation of their assets, both on land and at sea Marine site Marine asset Land site Land asset characterisation integrity c
Slide 8: Fugro at a glance
Fugro at a glance ▪ World’s leading Geo-data specialist ▪ Through integrated Acquisition, Analysis and Advice, we unlock insights from Geo-data to help our clients design, construct and operate their assets in a safe, sustainable and efficient manner ▪ Solutions provider in energy transition, climat
Slide 9: Underpinned by our key strengths
World’s leading Geo-data specialist 1 Global player with Highly skilled and local presence 6 2 engaged workforce Underpinned by our key strengths Market-agnostic assets 5 3 Diversified and committed client base 4 Innovation led by digitalisation
Slide 10: Accelerating diversification
Accelerating diversification Fugro has the commercial and technical expertise to capture growth… …as demonstrated by continuous diversification towards renewables, infrastructure and water Energy Sustainable Climate change % share of Fugro’s revenue by key market segment Key Trend transition infrast
Slide 11: Structural trends drive demand for Geo-data
Structural trends drive demand for Geo-data Major global developments… …are driving global spend in Fugro’s key growth markets CAGR 2020-2025 Offshore wind1 (€bn) 20% Population growth Growth in global 47 40 2bn additional people by 2050 energy demand 19 19 22 31 2020 2021 2022 2023 2024 2025 Energy
Slide 12: Our purpose: Together we create a safe and liveable world
Our purpose: Together we create a safe and liveable world 12 Fugro AvA 2022
Slide 13: Health and safety is at the heart of everything we do
Health and safety is at the heart of everything we do Working safely and sustainably together contributes to a safe and liveable world 13 Fugro AvA 2022
Slide 14: Recent projects (1/2)
Recent projects (1/2) Contributing to energy transition, climate change adaptation and sustainable infrastructure Site characterisation for Site characterisation for Site characterisation new urban Energinet Energy Island, Hornsea 3 and 4 offshore wind, development NEOM, Saudi Arabia Denmark UK 14 F
Slide 15: Recent projects (2/2)
Recent projects (2/2) Contributing to energy transition, climate change adaptation and sustainable infrastructure Site investigation levees, Tiel- Site investigation Hong Remote pipeline inspection for Waardenburg, Netherlands Kong – Shenzen Innovation TAQA, the Netherlands & Technology Park 15 Fugr
Slide 16: Our vision is to be the world's leading Geo-data specialist
Our vision is to be the world’s leading Geo-data specialist Offering integrated client solutions across the project life cycle in 3 key growth markets Oil & Gas Industrial & utilities Flood control Renewables Transportation Water management Property Maritime & ocean science Project Life Cycle 16 Fug
Slide 17: Our ambition is to support the transition in our markets
Our ambition is to support the transition in our markets Energy transition Sustainable infrastructure Climate change adaptation Support net-zero Enable safe Strengthen climate carbon emissions infrastructure resilience 17 Fugro AvA 2022
Slide 18: Tracking our Path to Profitable Growth performance
Tracking our Path to Profitable Growth performance Key performance indicators OBJECTIVES KPI MID-TERM TARGET ▪ Maintain the highest health & safety standards ▪ Lost time injury frequency ▪ <0.5/million hours (2023-24) ▪ Attract and retain talented employees ▪ Women in senior management ▪ >25% (2025)
Slide 19: Vessel emission reduction roadmap
Vessel emission reduction roadmap Key to reach net-zero carbon emissions by 20351 19 Fugro AvA 2022 1 Covering all direct and indirect emissions from our operations (scope 1 and scope 2 emissions)
Slide 20: Fugro's ESG ratings
Fugro’s ESG ratings ▪ Fugro actively engages with several ESG rating agencies that regularly assess our performance ▪ Fugro uses the learnings to enhance transparency and achieve further improvement in these scores MSCI ESG Rating is designed to measure a ESG Risk score of 23.7 as of August 2021 on
Slide 21: 2021: Solid results underpin Path to Profitable Growth
2021: Solid results underpin Path to Profitable Growth ▪ Resilient performance due to cost control, operational delivery and early signs of improved pricing • EBITDA increased to EUR 175.6 million; EBIT margin of 4.3% versus 3.5% in 2020 • Free cash flow of EUR 39.5 million • Positive net result of
Slide 22: 2021: Solid results underpin Path to Profitable Growth
2021: Solid results underpin Path to Profitable Growth Revenue EBITDA2 (margin) EBIT2 (margin) 11.7% 12.0% 200 12 +5.8%1 10 80 4.3% 5 150 3.5% 8 60 4 100 6 3 1,462 162 176 40 1,386 4 63 2 50 20 48 2 1 0 0 0 0 2020 2021 2020 2021 2020 2021 Net leverage Backlog Net result +11.6%1 EUR 71 2 1,014 millio
Slide 23: 2021 increase in revenue and EBIT
2021 increase in revenue and EBIT Revenue 29% Marine X EUR million Revenue 2021 Land 71% +5.8%1 1,462 23 -4 57 ▪ Buoyant offshore wind activity with 21% growth in renewables; 1,386 lower O&G revenue 2020 Marine Land FX effect 2021 ▪ Land revenue up in three of the four regions EBIT (margin) ▪ Marine
Slide 24: Marine - three out of the four regions report improvement
Marine - three out of the four regions report improvement Revenue EBIT 3% Renewables X EUR million X EUR million, excl specific items 31% Infrastructure Revenue Nautical 52% 2021 3% Oil & Gas +5.8%1 11% Other 5.0% 3.4% 1,038 52 Site 41% 33 Revenue characterisation 980 2021 59% Asset integrity 2020 E
Slide 25: Land – performance lagging despite progress made
Land – performance lagging despite progress made Revenue EBIT 7% 13% Renewables X EUR million, excl specific items 8% Infrastructure 1% Revenue Nautical +5.7%1 2021 Oil & Gas 71% Other 3.7% 2.5% 424 24% 15 11 Site 405 Revenue characterisation 2021 Asset integrity 2020 Europe- Americas Asia Middle FX
Slide 26: Positive net result of EUR 71 million
Positive net result of EUR 71 million driven by improved EBIT, net finance expense and income tax 2021 2020 x EUR million Adjusted EBIT 63.0 48.2 Specific items in 2020 related mainly to restructuring Specific items (2.7) (28.4) costs and various asset impairments EBIT 60.3 19.8 Finance income 1.1 2
Slide 27: Capital expenditure and good working capital management
Capital expenditure and good working capital management Maintenance vs. transformation and expansion capex Working capital 16.1% 15.1% 16.1% 83 81 80 12.9% 12.0% 12.3% 13.0% 11.6% 10.9% 9.5% 11.2% 8.1% 33 244 263 218 42 42 204 154 182 185 178 153 178 159 112 Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20
Slide 28: Free cash flow of EUR 39.5 million
Free cash flow of EUR 39.5 million due to operational performance and good working capital management 2021 X EUR million 119 -44 16 -78 40 26 14 13 operating CF changes working changes capex other investing CF operating CF from operating free cash flow before changes capital - working capital CF act
Slide 29: Strong balance sheet and conservative financial policy
Strong balance sheet and conservative financial policy Net leverage Maturity profile per December 2021 4,0x 3,7x 4,0x 438 3,6x 250 2,1x 2,1x 2,2x 2,0x 100 1,7x 188 0 0 4Q19 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 2022 Dec 2023 2024 2025 revolving credit facility (of which EUR 12.5 mn has been drawn)
Slide 30: Update Q1 2022 and outlook
Update Q1 2022 and outlook 30 Fugro AvA 2022
Slide 31: Highlights Q1 2022 trading update
Highlights Q1 2022 trading update Strong revenue growth with improved EBIT & cash flow Revenue EBITDA2 (margin) EBIT2 (margin) +23.3%1 40 7.3% 8 -0.7% 30 4.6% 6 -5.3% 365 20 4 284 27 10 2 -3 13 -15 0 0 Q1 21 Q2 22 Q1 21 Q1 22 Q1 21 Q1 22 Net leverage Backlog Free cash flow +27.8%1 -7 2 1,164 -45 2.1
Slide 32: Geopolitical uncertainty - war in Ukraine
Geopolitical uncertainty - war in Ukraine Humanitarian crisis Global economy ▪ Inflation rises to 5-8% ▪ Global GDP growth outlook reduced by 0.8% ▪ Threat to global food security Impact on Fugro ▪ Global Procurement Index PMI fell to 14 months low ▪ Ukraine seafarer support Energy security ▪ Logist
Slide 33: Outlook 2022
Outlook 2022 ▪ Ongoing growth in all core markets Resulting in ▪ continued revenue growth ▪ further margin expansion towards 2023-2024 mid- term targets while focused on actively managing any impacts of geopolitical uncertainties, inflationary and supply chain pressures ▪ Capex of around EUR 100 mil
Slide 34: Mid-term targets 2023-2024
Mid-term targets 2023-2024 EBIT margin: 8-12% Drivers 12% Volume In particular driven by renewables, infrastructure and water 8% Price Value-based pricing; integrated digital solutions 3.5% 4.3% 2020 2021 2022 2023-2024 Productivity Disciplined cost management; operational excellence; digital transf
Slide 35: 3. Verslag Raad van Commissarissen over 2021
3. Verslag Raad van Commissarissen over 2021 a. Verslag (ter bespreking) b. Bezoldingsverslag (adviserende stem) 35 Fugro AvA 2022
Slide 36: Stemuitslag agendapunt 3b
Stemuitslag agendapunt 3b aantal percentage Voor 55.523.845 97,06% Tegen 1.638.712 2,86% Onthouding 43.261 0,08% Totaal 57.205.818 100% 36
Slide 37: 4. Vaststelling jaarrekening 2021
4. Vaststelling jaarrekening 2021 Ter stemming 37 Fugro AvA 2022
Slide 38: Independent auditor's introduction and overview
Introduction and overview Fugro N.V. Ernst & Young Accountants LLP • 2021 consolidated financial statements Scope Independent auditor’s • True and fair view Annual Report • 2021 company financial statements report Other information Scope • 2021 Management Board report • Consistency with financial st
Slide 39: Audit process and results
Audit process and results AGM AGM Interaction 22 April 2021 22 April 2022 Regular meetings with (members of) Fugro’s Board of Management Attended 5 Audit Committee meetings during 2021; 1 in 2022 to date Attended 2 Supervisory Board meetings during 2021; 1 in 2022 to date Planning, approach Half yea
Slide 40: Conclusions independent auditor's report
Conclusions independent auditor’s report Conclusions financial statements • True and fair view consolidated financial statements • True and fair view company financial statements Conclusions other information • Consistent with the financial statements and no material misstatements • Contains the inf
Slide 41: Stemuitslag agendapunt 4
Stemuitslag agendapunt 4 aantal percentage Voor 57.114.652 99,84% Tegen 4.338 0,01% Onthouding 86.828 0,15% Totaal 57.205.818 100% 41
Slide 42: 5. Decharge
5. Decharge a. Leden Raad van Bestuur (ter stemming) b. Leden Raad van Commissarissen (ter stemming) 42 Fugro AvA 2022
Slide 43: Stemuitslag agendapunt 5a
Stemuitslag agendapunt 5a aantal percentage Voor 56.840.746 99,36% Tegen 77.439 0,14% Onthouding 287.633 0,50% Totaal 57.205.818 100% 43
Slide 44: Stemuitslag agendapunt 5b
Stemuitslag agendapunt 5b aantal percentage Voor 56.840.869 99,36% Tegen 77.240 0,14% Onthouding 287.709 0,50% Totaal 57.205.818 100% 44
Slide 45: 6. Samenstelling RvC: herbenoeming A.J. Campo
6. Samenstelling RvC: herbenoeming A.J. Campo Ter stemming 45 Fugro AvA 2022
Slide 46: Herbenoeming Antonio Campo
Herbenoeming Antonio Campo Naam A.J. (Antonio) Campo Mejia Geboortedatum 14 december 1957 Nationaliteit Colombiaanse Commissariaten/toezichthoudende functies Vice-voorzitter Board Basin Holdings Niet-uitvoerend bestuurder National Energy Services Reunited Corp. Eerdere (bestuurs-)functies Senior man
Slide 47: Stemuitslag agendapunt 6
Stemuitslag agendapunt 6 aantal percentage Voor 56.567.204 98,89 Tegen 604.662 1,06% Onthouding 33.952 0,05% Totaal 57.205.818 100% 47
Slide 48: 7. Herbenoeming accountant
7. Herbenoeming accountant Ter stemming 48 Fugro AvA 2022
Slide 49: Stemuitslag agendapunt 7
Stemuitslag agendapunt 7 aantal percentage Voor 57.126.771 99,86% Tegen 44.571 0,08% Onthouding 34.476 0,06% Totaal 57.205.818 100% 49
Slide 50: 8. Aanwijzing Raad van Bestuur tot uitgifte aandelen
8. Aanwijzing Raad van Bestuur tot a. Uitgifte aandelen tot 10% (ter stemming) b. Beperking of uitsluiting voorkeursrecht (ter stemming) 50 Fugro AvA 2022
Slide 51: Stemuitslag agendapunt 8a
Stemuitslag agendapunt 8a aantal percentage Voor 56.893.381 99,45% Tegen 287.822 0,50% Onthouding 24.615 0,05% Totaal 57.205.818 100% 51
Slide 52: Stemuitslag agendapunt 8b
Stemuitslag agendapunt 8b aantal percentage Voor 56.793.777 99,28% Tegen 377.699 0,66% Onthouding 34.342 0,06% Totaal 57.205.818 100% 52
Slide 53: 9. Machtiging Raad van Bestuur tot inkoop aandelen
9. Machtiging Raad van Bestuur tot inkoop aandelen Ter stemming 53 Fugro AvA 2022
Slide 54: Stemuitslag agendapunt 9
Stemuitslag agendapunt 9 aantal percentage Voor 56.971.767 99,60% Tegen 195.454 0,34% Onthouding 38.597 0,06% Totaal 57.205.818 100% 54
Slide 55: 10. Rondvraag
10. Rondvraag 55 Fugro AvA 2022
Slide 56: Unlocking Insights from Geo-data
Unlocking Insights from Geo-data 56 Fugro AvA 2022