Maire S.p.A. · MIL:MAIRE
Maire — Maire Tecnimont — H1 2014 Earnings Presentation
24 slides from Maire's earnings presentation, Jul 31, 2014
Slide 1: 1H 2014 Results
Maire Tecnimont 1H 2014 Results 2014 a July 31
Slide 2: Agenda
AGENDA Overview Business Highlights Financial Data Looking Ahead Annexes July 2014 2
Slide 3: Key Messages
KEY MESSAGES • Continuing the positive trend started in 2013 − Performance in line with our de-risking strategy • Strong Order Intake of about €900m focused on E and EP projects − Two additional agreements signed but not in the backlog yet (Tahir $0.9bn and Fatima $1.6bn) • Strong backlog providing
Slide 4: Key Consolidated 1H 2014 Financials
KEY CONSOLIDATED 1H 2014 FINANCIALS* (€m) Revenues EBITDA Net Income 5.7% 6.9% Margin NFP Net Worth * 1H ‘13 and 1H ‘14 data prepared in accordance with IFRS 10 and 11. 1H ‘13 P&L data do not include the COCIV & Copenhagen projects disposed of in 2013. July 2014 4
Slide 5: Agenda
AGENDA Overview Business Highlights Financial Data Looking Ahead Annexes July 2014 5
Slide 6: 1H 2014 Order Intake
1H 2014 ORDER INTAKE Project Country Type Sector Value (€m) Order Intake (€m) Sonara Cameroon EPC Refinery 456 ROG Belgium EPC Refinery 193 Engineering and Various E OG&P 174 Licensing Projects EP/EPC Projects Various EP, EPC Various 72 TOTAL AWARDS 895 • On-going effective commercial activity has l
Slide 7: Order Intake Evolution
ORDER INTAKE EVOLUTION (€m) Engineering Services Engineering and Procurement 250 800 200 600 150 400 100 50 200 0 0 2012 2013 1H2013 1H2014 2012 2013 1H2013 1H2014 Acquisitions in E and EP Projects increasing in line with our de-risking strategy July 2014 7
Slide 8: Main Awards: Refinery Off Gas (ROG)
MAIN AWARDS: Refinery Off Gas (ROG) • Project: Refinery Off Gas • Country: Belgium • Client: Total Olefins Antwerpen • Group Value: €193m • Project Type: EPC/EPCA • Scope of Work: execution of a new unit aimed at processing refinery off gases and recovering hydrocarbons. Engineering, Procurement and
Slide 9: Backlog
BACKLOG Backlog by Business Unit Backlog by Geography (€m, 2012-1H2014) Sales (Jun. 2014) * 27% 41% 14% 18% Europe Americas Middle East Others A well diversified backlog that provides a solid base to future revenues * Restated data excluding the COCIV & Copenhagen projects disposed of in 2013 Dispos
Slide 10: Backlog Details
BACKLOG DETAILS* Backlog by Type (E, EP & EPC), €m Book-to-Bill Ratio (2012-1H14) 3,255 2,980 1940 1697 2.20 2.34 926 1.60 1,048 235 389 31/12/13 30/06/14 2012 2013 1H14 E EP EPC Good mix between E, EP, and EPC Book-to-Bill continuously increasing * Excluding the Infrastructure BU July 2014 10
Slide 11: Outlook on Commercial Activity
OUTLOOK ON COMMERCIAL ACTIVITY Commercial activity in OG&P Reduction in Tendered Projects due to recent acquisitions Pipeline of opportunities stronger than ever Our commercial pipeline is the strongest in 4 years July 2014 11
Slide 12: Current Commercial Activity Around the World (OG&P)
CURRENT COMMERCIAL ACTIVITY AROUND THE WORLD (OG&P)* C.I.S. Europe POLIOLEFINE POLIOLEFINE FERTILIZER €5.0bn €1.8bn FERTILIZER GAS TREATMENT GAS TREATMENT North America Asia POLIOLEFINE POLIOLEFINE €3.2bn FERTILIZER FERTILIZER €4.1bn REFINERY GAS TREATMENT LNG Middle East POLIOLEFINE €6.2bn FERTILIZ
Slide 13: Agenda
AGENDA Overview Business Highlights Financial Data Looking Ahead Annexes July 2014 13
Slide 14: Consolidated Income Statement & Balance Sheet
CONSOLIDATED INCOME STATEMENT & BALANCE SHEET INCOME STATEMENT* €m 1H '13 1H '14 Δ% Revenues 683.3 756.5 10.7% EBITDA 39.2 52.5 33.9% EBITDA % 5.7% 6.9% 1.2 p.p. EBIT 32.1 49.0 53% Group Net Income 8.0 19.4 143% BALANCE SHEET* €m as of Dec '13 Jun '14 Δ Net Invested Capital (Asset) (367.5) (426.2) (
Slide 15: Business Unit Results: Oil, Gas & Petrochemicals
BUSINESS UNIT RESULTS: OIL, GAS & PETROCHEMICALS €m 1H '13 1H '14 % change Revenues 575.3 649.5 13% Business Profit 79.0 87.3 11% Business Margin 13.7% 13.4% -0.3 p.p. R&D (2.8) (3.1) 11% G&A (31.0) (32.7) 5% EBITDA 45.1 51.5 14% EBITDA Margin 7.8% 7.9% 0.1 p.p. • Increasing revenues • Strong EBITDA
Slide 16: Business Unit Results: Power and Infrastructure
BUSINESS UNIT RESULTS: POWER AND INFRASTRUCTURE Power €m 1H '13 1H '14 % change Revenues 24.5 29.5 20% • Positive EBITDA Business Profit (0.8) 2.2 n.m. Business Margin (3.4%) 7.4% n.m. G&A (1.1) (1.2) 9% • Increasing margins EBITDA (1.9) 1.0 n.m. EBITDA Margin (7.9%) 3.4% n.m. Infrastructure €m 1H '
Slide 17: Net Financial Debt and Cash Flow
NET FINANCIAL DEBT AND CASH FLOW Net Financial Debt (€m) Dec 31, 2013 Mar 31, 2014 Jun 30, 2014 Cash Flow (€m) -56,4 Q1 -8,2 Q2 NFP Changes Financial Net Financial NFP EBITDA Capex Dec 31, 2013 in NWC Assets Expenses Jun 30, 2014 July 2014 17
Slide 18: Working Capital Evolution
WORKING CAPITAL EVOLUTION Change in NWC (2013-2Q14, €m) 300 250 200 150 Normalization of Net 240 Working Capital on track 100 50 56 8 0 2013 1Q 14 2Q 14 July 2014 18
Slide 19: Stock Relative Performance Since the 2013 Capital Increase
STOCK RELATIVE PERFORMANCE SINCE THE 2013 CAPITAL INCREASE We have significantly outperformed our peers as well as the FTSE MIB Index Source: Bloomberg. 29/7/13=100 Disposals July 2014 19
Slide 20: Update on the Disposal Plan of Non-Core Assets
UPDATE ON THE DISPOSAL PLAN OF NON-CORE ASSETS • Disposals of non core assets continue to represent a key element of our Financial Plan • The disposal of the Biolevano Biomass Power Plant is at the forefront of this process • New legislative changes concerning renewable energy incentives about to be
Slide 21: Agenda
AGENDA Overview Business Highlights Financial Data Looking Ahead Annexes July 2014 21
Slide 22: Looking Ahead
LOOKING AHEAD • We continue to implement our de-risking strategy leading to more stable, higher margins • Strong commercial pipeline leads us to be optimistic on future acquisitions, both in the short and medium term • Positive margins for H2 2014 are expected to be maintained July 2014 22
Slide 23: Agenda
AGENDA Overview Business Highlights Financial Data Looking Ahead – Pierroberto Folgiero, CEO Annexes July 2014 23
Slide 24: Main Projects Under Execution
MAIN PROJECTS UNDER EXECUTION Project Country Client Contract Value Type Overall Compl. Date (m)* Progress** Borouge 3 Abu Dhabi Borouge US$ 910 EPC 96% 2015 Tempa Rossa Italy Total € 505 EPC 25% 2016 Punta Catalina Santo Domingo CDEEE $ 690 EP 12% 2017 LLDPE/HDPE OPaL India ONGC € 209 EPC 91% 2014