Royal Vopak Nv · EURONEXT:VPK
Royal Vopak Nv — Investor Day (June 2016)
21 slides from Royal Vopak Nv's investor day presentation, Jun 16, 2016
Slide 1: Value Creation Joint Venture Partnerships
VALUE CREATION JOINT VENTURE PARTNERSHIPS ROYAL VOPAK JACK DE KREIJ, VICE-CHAIRMAN & CFO 16 JUNE 2016 Various ceremonies with partners in Jubail, Durban, Rotterdam and Pengerang
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS The presentations contain ‘forward-looking statements’, based on currently available plans and forecasts. By their nature, forward-looking statements involve risks and uncertainties because they relate to events and depend on circumstances that may or may not occur in the
Slide 3: Summary: Key Topics
SUMMARY KEY TOPICS Selective disciplined growth and partnership structures o Historical and geographical overview joint ventures o Sustainable partnerships and project under construction Financial overview joint ventures o Financial results and dividend distribution o Capital management Projec
Slide 4: Selective Disciplined Growth: Partnership Structures
SELECTIVE DISCIPLINED GROWTH PARTNERSHIP STRUCTURES Expansion types Structure 100% Subsidiaries Greenfield 19.3 Subsidiaries with minority shareholders Partnerships Million cbm in partnerships Brownfield Joint ventures and associates 33 Terminals with Operatorships partnerships Acquisition Capital M
Slide 5: (Joint Venture) Partnerships: A Conscious Strategic Choice
(JOINT VENTURE) PARTNERSHIPS A CONSCIOUS STRATEGIC CHOICE Access to new markets and networks Compliance with local jurisdictions Future options and growth opportunities Competitive advantages Combination of skills, sharing local specialized resource Supporting a balanced risk-return profile and sele
Slide 6: Storage Capacity Developments 2003–2019
STORAGE CAPACITY DEVELOPMENTS 2003–2019 Storage capacity In million cbm +3.5 +14.2 37.6 35.5 35.5 33.8 34.3 34.1 29.9 30.5 28.3 28.8 27.1 27.8 19.6 19.6 19.6 21.8 20.1 19.6 21.2 21.7 19.9 20.2 20.4 18.1 18.3 20.3 20.8 17.5 19.7 15.1 15.5 15.8 16.7 15.1 14.7 12.6 12.6 11.9 12.2 9.9 8.2 8.7 9.0 8.1 8.
Slide 7: Geographic Overview: Partnerships East of Suez
GEOGRAPHIC OVERVIEW PARTNERSHIPS EAST OF SUEZ 4.7 Million cbm in partnerships Vopak press release 2 July 2014: “In the light of the changing energy 14.6 petrochemical landscape and continuing economic shift from West to East, Vopak has updated its Million cbm terminal network and Hub locations in pa
Slide 8: Strategic Partnerships: Around 50% of Network with Partners
STRATEGIC PARTNERSHIPS AROUND 50% OF NETWORK WITH PARTNERS Hub Terminals Distribution Terminals Gas Terminals Industrial Terminals Strategic terminal Types Capacity with 7.2 4.6 2.6 6.0 0.8 1.2 4.9 0.3 partnerships million million 5.2 million 1.2 million 4.6 cbm cbm cbm cbm Partnerships via subsidia
Slide 9: Sustainable Partnerships: Joint Ventures
SUSTAINABLE PARTNERSHIPS JOINT VENTURES <5 years 6 – 10 years 11-15 years 16-20 years >20 years partnerships partnerships partnerships partnerships partnerships Capital Markets Days 2016 9
Slide 10: Projects Under Construction
PROJECTS UNDER CONSTRUCTION ALMOST ALL PROJECT WITH STRATEGIC PARTNERS Vopak's Capacity Country Terminal ownership Products (cbm) 2013 2014 2015 2016 2017 2018 2019 Existing terminals Belgium Antw erp (Eurotank) 100% Chemicals 30,000 Singapore Banyan 55.6% LPG 75,800 UAE Fujairah 33.3% Oil products
Slide 11: Our Ambition: Partner of Choice
OUR AMBITION TO BE RECOGNIZED AS THE PARTNER OF CHOICE Strong Design Operational Safety business knowledge knowledge culture values Financial Commercial Long-term Excellent viable contact with experience reputation company all majors Reliability Focus on Global Sustainability in joint value presence
Slide 12: Financial Overview Joint Ventures
FINANCIAL OVERVIEW JOINT VENTURES Net profit and dividend distribution Contribution from joint ventures Proportionate financial overview Project financing Capital Markets Days 2016 12
Slide 13: Net Result and Dividend
NET RESULT AND DIVIDEND FOCUS ON FREE CASH FLOW GENERATION In Million EUR Total pay-out of net profit on average 90% over the last 12 years 140 120 100 80 60 40 20 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Dividend received Net profit joint ventures and associated excl. excepti
Slide 14: Proportionate EBITDA
PROPORTIONATE EBITDA CONTRIBUTION JOINT VENTURES & ASSOCIATES In Million EUR 640 604 608 586 493 468 402 412 264 232 231 215 150 167 125 83 2008 2009 2010 2011 2012 2013 2014 2015 Proportionate EBITDA result joint ventures & associates Proportionate EBITDA subsidairies excl. minority interest Capita
Slide 15: Performance: Proportionate EBITDA Margin
PERFORMANCE PROPORTIONATE EBITDA MARGIN 100% Proportionate Group EBITDA Margin 80% 60% 40% 20% 0% 2011 2012 2013 2014 2015 Capital Markets Days 2016 15
Slide 16: Project Financing Examples
PROJECT FINANCING EXAMPLES 2011 2011 2008/2009 2010 Vopak Terminal Terminal de LNG Gate Terminal Vopak Horizon Fujairah Eemshaven Altamira 2013 2014 2015 2016 Pengerang LBBR Jakarta Tank Terminal JCSSC - PCQ2 * Undisclosed Capital Markets Days 2016 16
Slide 17: Strategic Usage of Joint Venture Concepts in the Future
STRATEGIC USAGE OF JOINT VENTURE CONCEPTS IN THE FUTURE As a function of megatrends, growth regions, terminal types and partnerships, Vopak is well-positioned to further leverage on the joint venture concept for disciplined selective growth. Capital Markets Days 2016 17
Slide 18: Key Take Aways
KEY TAKE AWAYS Joint venture strategy is an active part of Vopak’s value creation journey Joint ventures provide options for growth Vopak is well-positioned as reliable and knowledgeable partner Vopak actively works with JV partners to effectively manage risks and opportunities Capital Marke
Slide 19: Questions and Answers
QUESTIONS AND ANSWERS Capital Markets Days 2016 19
Slide 20: Appendix: IFRS vs. Proportionate
APPENDIX IFRS VS. PROPORTIONATE Statement of income 2015 2014 Effects Effects Exclusion proportio- Proportio- Exclusion proportio- Proportio- IFRS exceptional nate con- nate con- IFRS exceptional nate con- nate con- In EUR millions figures item s solidation solidated figures item s solidation solida
Slide 21: Appendix
Depreciation and amortization - 256.0 – - 69.2 - 325.2 - 239.2 – - 54.2 - 293.4 Net finance Income tax costs 105.2 - 117.3 - -35.3 2.3 42.4 - 26.3 145.3 - 108.3 89.8 - 83.1 0.2 7.7 32.2 - 19.7 122.2 - 110.5 Group operating profit (EBIT) 549.2 - 6.3 23.4 578.9 468.5 - 55.1 6.6 530.2 Income Net profit