Slide 1: Investor Relations Company Presentation H1 2023 results
Investor Relations Company Presentation H1 2023 results – July 25, 2023 © Udo Görisch Juan Santamaría, CEO Peter Sassenfeld, CFO Mike Pinkney, Head of Corporate Strategy Tobias Loskamp, Head of Capital Markets Strategy 1
Slide 2: Table of contents
Table of contents Highlights 3 P&L 5 Cash flow 6 Net cash 7 Order book 8 Recent project awards 9 Americas 10 Asia Pacific 11 Europe 12 Abertis 13 Corporate strategy 14 Capital allocation and Guidance 16 ESG 17 © HOCHTIEF © HOCHTIEF Appendix Group financials overview 19
Slide 3: HOCHTIEF Group – H1 2023 overview
Op. net profit Nom. net profit HOCHTIEF Group – H1 2023 overview EURm 249 +8% 270 240 +9% 262 Operational net profit EUR 270m, +8% yoy; nominal net profit EUR 262m, +9% Strong performance with sales up 9% yoy at EUR 13.0bn (+11% fx-adj.), driven by all divisions H1 2022 H1 2023 H1 2022 H1 2023 S
Slide 4: HOCHTIEF Group – H1 2023 key figures
HOCHTIEF Group – H1 2023 key figures H1 H1 Δ H1 Δ H1 Q2 Q2 Δ Q2 Δ Q2 LTM FY 2023 2022 in % in EURm 2023 2022 in % in EURm H1 2023 2022 (EUR million) Sales 13,015.6 11,944.4 9.0% 1,071.2 6,826.5 6,611.1 3.3% 215.4 27,290.5 26,219.3 Operational profit before tax/PBT 392.2 367.7 6.7% 24.5 189.2 188.2 0
Slide 5: HOCHTIEF Group – P&L
HOCHTIEF Group – P&L • Strong sales performance with an increase of 9% yoy (+11% fx-adj.), driven by all divisions • Robust EBITDA and EBIT margins of 4.6% and 3.5% with positive Q2 variation yoy +9% • Net financial costs increasing yoy due to higher rates environment and fx-effects • Operational ne
Slide 6: HOCHTIEF Group – Cash flow performance
HOCHTIEF Group – Cash flow performance* • Strong Q2 2023 cash flow from op. activities pre-factoring of 676m up over EUR 100m yoy H1 2023 cash flow* reflects characteristic Q1 seasonality, strong sales growth and follows outstanding Q4 2022 net working capital performance +106m • Adjusting for sea
Slide 7: HOCHTIEF Group – Net cash development
HOCHTIEF Group – Net cash development • HOCHTIEF ended H1 2023 with a net cash position of EUR 346m, stable ytd and strongly up yoy (+EUR 381m) • Additional effects during H1 2023 are: EUR 216m net M&A effects, i.e. the partial divestment of CIMIC’s stake in Ventia (EUR 216m) EUR 178m non-operat
Slide 8: HOCHTIEF Group – Order backlog and new orders
HOCHTIEF Group – Order backlog and new orders • HOCHTIEF Group Order backlog of EUR 53.6bn, up EUR 1.2bn or +8% fx-adj. yoy, order backlog visibility 21 months Proportion of lower-risk order book has significantly increased over the last five years approaching 85% Very strong new orders of EUR
Slide 9: Selected recent significant project announcements
HOCHTIEF Group – Selected recent significant project announcements 1072 West Peachtree Skyscraper, Institute for Federal Real State laboratories, Arena construction, EUR CopperString 2032, UGL & CPB Turner (06/2023) construction of a Estate, HOCHTIEF (06/2023) HOCHTIEF (04/2023) 180m, HOCHTIEF (01/2
Slide 10: Americas – H1 2023 results
HOCHTIEF Americas – H1 2023 results Essentials Financials Results / Cash (EUR million) H1 2023 H1 2022 H1 change yoy Q2 2023 Q2 2022 Q2 change yoy FY 2022 • Solid sales growth (+7% yoy nom. and fx-adjusted); Q2 +3% Total sales / divisional sales 8,514.0 7,940.8 7.2% 4,461.7 4,435.5 0.6% 17,460.0 Ope
Slide 11: Asia Pacific, CIMIC (in AUD) – H1 2023 results
HOCHTIEF Asia Pacific, CIMIC (in AUD) – H1 2023 results Essentials Financials (AUD m) H1 2023 H1 2022 Δ% Results / Cash Revenue 6,115.7 5,040.9 21.3% EBITDA 492.4 464.9 5.9% • Revenue up 21.3% to AUD 6.1bn reflecting a strong order EBITDA margin 8.1% 9.2% -1.1pp D&A -132.4 -130.9 -1.1% book across a
Slide 12: Europe – H1 2023 results
HOCHTIEF Europe – H1 2023 results Essentials Financials Results / Cash (EUR million) H1 2023 H1 2022 H1 change yoy Q2 2023 Q2 2022 Q2 change yoy FY 2022 • Sales of EUR 662m increased by 10% yoy Total sales / divisional sales 662.3 603.8 9.7% 362.5 327.2 10.8% 1,270.8 Operational profit before tax/PB
Slide 13: Abertis – H1 2023 results
Abertis – H1 2023 results Essentials Abertis – Key figures (100%) (EUR million) H1 H1 H1 Q2 Q2 Q2 FY • Average daily traffic (ADT) up +4% yoy: France (total ADT 2023 2022 change 2023 2022 change 2022 +4%), Spain (+2%), Italy (+5%), Brazil (+4%), Chile (-3%), yoy yoy Mexico (+4%) and USA (+6%) Operat
Slide 14: Corporate Strategy
Corporate Strategy Group objectivess Key elements of Strategy • Sustainable cash-backed profits Consolidate core market positions and develop presence in the structural growth areas of high-tech, energy transition and sustainable infrastructure • Attractive shareholder remuneration • Harness stron
Slide 15: Reaffirming existing strengths whilst expanding high-tech infrastructure presence
Reaffirming existing strengths whilst expanding high-tech infrastructure presence Further develop HOCHTIEF’s presence in the value chain of rapidly expanding high-tech infrastructure and secular growth markets Energy Digital New sustainable Social Sustainable Reshoring transition infrastructure mobi
Slide 16: HOCHTIEF Group – Capital allocation & Guidance
HOCHTIEF Group – Capital allocation & Guidance Op. net profit guidance 2023 (EURm) Capital allocation Shareholder remuneration FY 2022 dividend of EUR 4.00/share approved at AGM 510-550 and paid recently, unchanged 65% payout ratio (EUR 522 300m) Shareholder remuneration remains a priority A
Slide 17: HOCHTIEF Group – Accelerating ESG drive
HOCHTIEF Group – Accelerating ESG drive • Significant progress in implementation of ambitious Sustainability Plan 2025 (60+ commitments / goals) • HOCHTIEF received the highest sustainability score worldwide in the "Construction & Engineering" sector of the Dow Jones Sustainability World Index (DJSI
Slide 18: Appendix: H1 2023
Appendix: H1 2023 © HOCHTIEF/Render Vision Battery factory, USA 18
Slide 19: HOCHTIEF Group – overview
HOCHTIEF Group – overview HOCHTIEF Group H1 H1 Δ Q2 Q2 Δ FY HOCHTIEF Group H1 H1 Δ Q2 Q2 Δ FY 2023 2022 H1 2023 2022 Q2 2022 2023 2022 H1 2023 2022 Q2 2022 (EUR million) (EUR million) Orders (nominal) P&L-key figures (operational) New orders 18,077.4 14,398.3 25.6% 9,547.4 7,891.2 21.0% 30,066.6 Pro
Slide 20: HOCHTIEF Group – Statement of earnings
HOCHTIEF Group – Statement of earnings • Sales: +9% yoy (fx-adjusted +11%); 97% of sales are HOCHTIEF Group H1 H1 ∆% FY international (EUR million) 2023 2022 H1 2022 • Materials, personnel costs and other operating income/expenses: growing at a similar rate to sales Sales 13,015.6 11,944.4 9.0% 26,2
Slide 21: HOCHTIEF Group – Balance sheet (assets)
HOCHTIEF Group – Balance sheet (assets) Non-current assets: HOCHTIEF Group H1 FY Δ • Intangible assets/PPE: Decrease mainly due to fx-effects and 2023 2022 FY (EUR million) regular depreciation of job-costed tunneling equipment Assets 18,296.3 18,299.7 -3.4 • Other financial assets: Reclassification
Slide 22: HOCHTIEF Group – Balance sheet (liabilities and equity)
HOCHTIEF Group – Balance sheet (liabilities and equity) Shareholders’ equity: HOCHTIEF Group H1 FY Δ Changes in H1 2023 (EUR million) 2023 2022 FY • Profit after taxes:EUR 270m Liabilities and shareholders’ equity 18,296.3 18,299.7 -3.4 • Fx-effects: EUR 18m • Dividends: EUR -343m Shareholders' equi
Slide 23: HOCHTIEF Group – Statement of cash flows (statutory)
HOCHTIEF Group – Statement of cash flows (statutory) HOCHTIEF Group H1 H1 ∆ Q2 Q2 ∆ FY 2023 2022 H1 2023 2022 Q2 2022 (EUR million) Profit after tax / PAT 270.5 251.6 18.9 139.8 131.3 8.5 515.0 Depreciation, amortization, impairments and impairment reversals 123.2 152.6 -29.4 49.7 89.4 -39.7 344.0 C
Slide 24: HOCHTIEF Group financing structure H1 2023
HOCHTIEF Group financing structure H1 2023 Net cash / Net debt calculation: end H1 2023 end H1 2022 end FY 2022 period end (EUR m) • Strong liquidity position of EUR 5.2bn per end H1 2023 (cash, cash equivalents and marketable securities) Cash and cash equivalents 4,404 4,580 4,806 Marketable securt
Slide 25: HOCHTIEF Group order backlog risk profile
HOCHTIEF Group order backlog risk profile Order backlog by contract type – development 2017 vs. 2023, in EUR bn 53.6 HOCHTIEF has reduced the risk profile of its order book substantially over the last five years 44.6 • The amount of Construction Management, Services and Construction- Construction
Slide 26: Americas
HOCHTIEF Americas © BigAcorn-Studios Music Row, Nashville, TN, USA 26
Slide 27: HOCHTIEF Americas Segmental overview
HOCHTIEF Americas Segmental overview Construction Management: Order backlog HY 2023 • Turner #1 US building construction management company, Market Leader in General Building, Education, Health Care, Commercial Offices and Entertainment / Healthcare 5% 5% Casinos segments1) 5% 20% Commercial/Retail
Slide 28: Asia Pacific
HOCHTIEF Asia Pacific ©MichaelPerini Data Center Expansion, USA 28
Slide 29: HOCHTIEF Asia Pacific
HOCHTIEF Asia Pacific Results: Financials • Reflects HOCHTIEF’s shareholding in CIMIC (100% since (EUR million) H1 H1 H1 Q2 Q2 Q2 FY June 2022) as well as financing and holding company costs, Total sales / divisional sales 2023 3,763.1 2022 3,325.0 change yoy 13.2% 2023 1,969.7 2022 1,808.7 change y
Slide 30: Asia Pacific – CIMIC Order backlog breakdown HY 2023
HOCHTIEF Asia Pacific – CIMIC Order backlog (AUD 30.8bn) breakdown HY 2023 By segment: By market: 16% 14% Construction 52% Services Domestic JV Investments 32% International 86% 30
Slide 31: Australian major transport infrastructure projects – market opportunities
Australian major transport infrastructure projects – market opportunities (AUDbn) 31
Slide 32: Europe
HOCHTIEF Europe © HOCHTIEF House of Federal Ministry of Health, Berlin, Germany 32
Slide 33: General market overview PPP
General market overview PPP • Australia: the coalition of governments continue to support the National PPP Policy Framework which established that projects valued over AUD 50m should be considered for PPP procurement • Germany: government program of 11 PPP roads (one to two A-Model projects per year
Slide 34: FX rates
FX rates End of period: Q1 H1 March March Change June 30, June 30, Change 31, 2023 31, 2022 (%) 2023 2022 (%) EUR/USD 1.09 1.11 -2% EUR/USD 1.09 1.04 5% USD/EUR 0.92 0.90 2% USD/EUR 0.92 0.96 -4% EUR/AUD 1.63 1.48 10% EUR/AUD 1.64 1.51 9% AUD/EUR 0.61 0.67 -9% AUD/EUR 0.61 0.66 -8% Period average: Q
Slide 35: Appendix: HOCHTIEF Group overview
Appendix: HOCHTIEF Group overview © Flatiron I-105 Project Area, California, USA 35
Slide 36: The HOCHTIEF Group
The HOCHTIEF Group • HOCHTIEF is an engineering-led global infrastructure group with leading positions across its core activities of construction, services and concessions/public-private partnerships (PPP) focused on North America, Australia and Europe. • Founded in 1873 • Ranked #2 in ENR Top 250 I
Slide 37: Leading positions in developed markets – FY 2022
HOCHTIEF, leading positions in developed markets – FY 2022 ©BigAcorn-Studios ©UdoGoerisch ©Abertis © UGL Division Division Division Abertis Infraestructuras HOCHTIEF Americas HOCHTIEF Asia Pacific HOCHTIEF Europe Largest US building Leading position in Australian Leading German-based 20% equity inve
Slide 38: Disclaimer
Disclaimer This presentation and the report contain forward-looking statements. These statements reflect the current views, expectations and assumptions of the Executive Board of HOCHTIEF Aktiengesellschaft and are based on information currently available to the Executive Board. Such statements invo
Slide 39: Investor Relations contacts
Investor Relations contacts For further information please contact: Investor Relations HOCHTIEF Aktiengesellschaft Alfredstr. 236 45133 Essen, Germany Phone: +49 201 824 1870 Fax: +49 201 824 9 1870 investor-relations@hochtief.de Mike Pinkney Tobias Loskamp Nadine Wärmer Martina Horst 39