Slide 1: Industries Qatar Investor Relations Presentation Q3, 2019
Industries Qatar Investor Relations Presentation Q3, 2019 “One of the region’s industrial giants with interests in the production of a wide range of petrochemical, fertilizer and steel products.” Publication Date: March […], 2015
Slide 2: Disclaimer
DISCLAIMER The companies in which Industries Qatar Q.P.S.C. directly and indirectly owns investments are separate entities. In this presentation, “IQ” and “the Group” are sometimes used for convenience in reference to Industries Qatar Q.P.S.C. This presentation may contain forward-looking statements
Slide 3: About Industries Qatar
About Industries Qatar 3 Industries Qatar, IR Presentation, Q3, 2019
Slide 4: About IQ
About IQ • Industries Qatar Q.P.S.C. (“IQ” or “the group”; QSE: • IQ is credit rated by Standard & Poor’s IQCD) was incorporated on April 19, 2003 and listed (A+; stable) and Moody’s (A1; stable); on the Doha Securities Market (precursor to the Qatar Stock Exchange) in 2003; • Qatar Petroleum provid
Slide 5: Group Structure
Group Structure • Through its group companies, IQ operates in 3 business segments - Petrochemical, Fertilizer and Steel; • Production facilities are principally located in the State of Qatar ▫ head count is circa 5,700 employees; • 51% Qatar Petroleum • 21% General Retirement and 50% IQ Social Insur
Slide 6: Board of Directors
Board of Directors • The Board of Directors of the group consists of: H.E. Mr. Saad Sherida Al-Kaabi Chairman and Managing Director Mr. Abdulaziz Mohammed Al-Mannai Mr. Abdulla Ahmad Al-Hussaini Vice Chairman Member Mr. Abdulrahman Mohammed Al- Dr. Mohammed Yousef Al-Mulla Suwaidi Member Member Mr.
Slide 7: Competitive Advantages
Competitive Advantages • Assured feedstock • Solid liquidity position supply • Low level of debt • Feedstock • Cash flow generation competitively priced even under difficult • Economies of scale conditions • Synergy benefits • Sound dividend record • Operationally • Stable EBITDA margin diversified
Slide 8: Governance Structure
Governance Structure 8 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 8
Slide 9: Governance Structure
Governance Structure Board Structure Governance and Compliance • IQ Board of Directors consists of seven (7) • IQ is firmly committed to implementing the Directors, all of whom were appointed by the principles of good governance set out in the Special Shareholder, which is Qatar Petroleum. QP Govern
Slide 10: Governance Structure
Governance Structure Remuneration Disclosure and Transparency Board of Directors • The Board ensures that all disclosures are made in • The Company has developed a periodically revisited accordance with the requirements set by regulatory remuneration policy for Board members. The policy has authorit
Slide 11: Results at a glance (2012-2018)
Results at a glance (2012-2018) 11 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 11
Slide 12: Results at a Glance (2012-2018)
Results at a Glance (2012-2018) Production (M MT’s) Sales Volumes (M MT’s) Production grew from 16.3 million MT’s in 2012 to 17.4 million MT’s in 2015 and continued to remain relatively stable thereafter ▪ In line with growth in production, the sales volume grew over the period and reached its highe
Slide 13: Results at a Glance (2012-2018)
Results at a Glance (2012-2018) Revenue (QR Bn) Net income (QR Bn) In line with the lower selling prices, the revenue declined during 2015-2017, but recovered in 2018 ▪ reduction in revenues together with increased operating costs affected the net income during the same period ▪ cash across the grou
Slide 14: Results at a glance (Year-to-date, Q3, 2019)
Results at a glance (Year-to-date, Q3, 2019) 14 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 14
Slide 15: Key Highlights
Key Highlights Production (MT’000) Sales Volumes (MT’000) Selling Prices ($ / MT) Production of 12.6 million MT’s, Sales volumes of 6.9 million MT’s, Average Selling price for the year is marginally down on 2018. marginally down on 2018. In line with USD 419 / MT down by 11% versus Production affect
Slide 16: Net Profit Variance Analysis (versus Actual 2018)
Net Profit Variance Analysis (versus Actual 2018) Net profit of QR 2.0 billion, significantly down on last year ● driven by lower prices, sales volumes, partially offset by other income and income from associates ● OPEX decreased primarily due to lower production / sales. 16 Industries Qatar, IR Pre
Slide 17: Dividend and market statistics
Dividend and market statistics 17 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 17
Slide 18: Dividend Record & Market Statistics (2003-2018)
Dividend Record & Market Statistics (2003-2018) Dividend Per Share Payout Ratio (%) 11.0 8.5 8.0 7.5 7.0 6.0 5.5 5.0 5.0 5.0 5.0 4.0 4.0 3.5 3.5 2.0 89% 70% 69% 40% 52% 55% 83% 67% 68% 82% 91% 54% 60% 55% 54% 72% 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 Market
Slide 19: Segmental Details
Segmental Details 19 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 19
Slide 20: Zig) OU!
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Slide 21: Segmental Details: Petrochemical
SegmentalDetails: Segmental Details Petrochemical • The companies in the Petrochemical segment (Qapco, Qatofin, Qafac and QVC) are engaged in the production of: Product (in 000 MT PA) Capacity1 Ethylene 920 LDPE 600 LLDPE 280 Methanol 500 MTBE 305 Total 2,523 • Revenue for the first nine months of 2
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Slide 23: Segmental Details: Fertilizer
Segmental Details: Fertilizer • Qatar Fertiliser Company has six ammonia and six urea production trains all of which are located in Qatar. Product (in 000 MT PA) Capacity1 Ammonia 2,880 Urea 4,468 Melamine 26 Total 7,245 • The segment’s primary feedstock is methane gas • Fertilizer prices have remai
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Slide 25: Segmental Details: Steel
Segmental Details: Steel • Qatar Steel Company Q.S.C. produces a number of intermediate steel products. The production capacity of the plants are: Product (in 000 MT PA) Capacity DRI / HBI 2,300 Rebar 1,800 Billets 2,520 • The sales volumes in the steel segment saw a moderate Coil 240 decline of 8%
Slide 26: CAPEX and Cash Flows (2019 - 2023)
CAPEX and Cash Flows (2019 - 2023) o Cumulative CAPEX / PUD spend of only QR 7.4 CAPITAL EXPENDITURE (in QR Billion) billion across all segments; 2019 2020 2021 2022 2023 Total Routine capex (PPE addition, and maintenance) of QR 4.7 billion and QR 2.7 billion budgeted for PUD; Waste Water Treatment
Slide 27: Sales and Marketing
Sales and Marketing 27 INDUSTRIES QATAR | Quarterly Financial Update (2014 Q4) | Page 27
Slide 28: Sales and Marketing
Sales and Marketing • Qatar Chemical and Petrochemical Marketing and Distribution Company Q.J.S.C. (trading as “Muntajat”), a wholly-owned company of the government of the State of Qatar, has the exclusive rights to purchase, market, sell and distribute the State’s production of petrochemical and Fe
Slide 29: For further information, Industries Qatar can be contacted
For further information, Industries Qatar can be contacted as follows: Telephone: (974) 4013 2080 Fax: (974) 4013 9750 Email: iq@qp.com.qa Address: PO Box 3212, Doha, State of Qatar Please refer to www.iq.com.qa for the latest information, publications, press releases and presentations about Industr