Monadelphous Group Limited · ASX:MND
Monadelphous — H1 2017 Earnings Presentation
16 slides from Monadelphous's earnings presentation, Feb 21, 2017
Slide 1: 2017 Half Year Results
For personal use only 2017 HALF YEAR RESULTS Tuesday 21 February 2017
Slide 2: Company Profile
2017 HALF YEAR RESULTS Company Profile For personal use only Monadelphous Group Limited (ASX:MND) is an S&P/ASX 200 At 31 December 2016 People 4,989 company that provides construction, maintenance and industrial Market Capitalisation $1.05b services to the resources, energy and infrastructure sector
Slide 3: Group Highlights
2017 HALF YEAR RESULTS Group Highlights For personal use only FINANCIAL OPERATING STRATEGIC • Sales Revenue $630.7m* • $700m of new contracts • Established Mondium – EPC • EBITDA $50.5m^ • Strengthened position in partnership with Lycopodium • NPAT $28.6m water infrastructure • Established Zenviron
Slide 4: Contracts Secured
2017 HALF YEAR RESULTS Contracts Secured For personal use only 4
Slide 5: Safety Scorecard
2017 HALF YEAR RESULTS Safety Scorecard For personal use only INJURY FREQUENCY RATES* • Committed to maintaining goal of injury-free workforce • Evolve and adapt safety initiatives to new services and markets. 5
Slide 6: People
2017 HALF YEAR RESULTS People For personal use only EMPLOYEES BY DIVISION EMPLOYEE NUMBERS AT 31 DECEMBER 2016 • Growth in employee numbers driven by increased activity levels within Maintenance and Industrial Services • Productivity continues to improve • Key talent retention remains strong. 6
Slide 7: Financial Performance
2017 HALF YEAR RESULTS Financial Performance For personal use only PERIOD ENDED 31 DECEMBER HY17 HY16 CHANGE Sales Revenue $m 630.7* 737.0 (14.4%) EBITDA $m 50.5^ 62.7 (19.5%) EBITDA Margin % 8.0 8.5 (0.5pp) NPAT $m 28.6 37.6 (24.1%) NPAT Margin % 4.5 5.1 (0.6pp) EPS cps 30.5 40.4 (24.5%) DPS (Fully
Slide 8: Financial Position and Funding
2017 HALF YEAR RESULTS Financial Position and Funding For personal use only AT 31 DECEMBER HY17 HY16 CHANGE $m $m Cash at Bank 244.7 202.6 20.8% Net Cash Position 226.2 182.7 23.8% (Cash less interest bearing loans and borrowings) Capital Expenditure 6.3 4.5 34.9% (Cash and Hire Purchase) Bank Guara
Slide 9: Sales Revenue Summary
2017 HALF YEAR RESULTS Sales Revenue Summary For personal use only DIVISIONAL HIGHLIGHTS REVENUE BY DIVISION HY17 HY16 CHANGE $m $m % Engineering Construction 292.6 414.6 (29.4) Maintenance and Industrial Services 339.6 323.3 5.0 Internal Eliminations (1.5) (0.9) Total 630.7* 737.0 (14.4) • Reductio
Slide 10: Engineering Construction
2017 HALF YEAR RESULTS Engineering Construction For personal use only HIGHLIGHTS END CUSTOMER SALES REVENUE ($M) • Secured $400m of new work • Strong execution and delivery on existing projects • Solid growth in water infrastructure market • SinoStruct overseas expansion • Secured first major renewa
Slide 11: Maintenance and Industrial Services
2017 HALF YEAR RESULTS Maintenance and Industrial Services For personal use only HIGHLIGHTS END CUSTOMER SALES REVENUE ($M) • Strong sales result reflecting increased maintenance and support activity • Awarded $300m in new contracts • New 5 year Oil Search EPC services contract MAJOR CONTRACT ACTIVI
Slide 12: Australian Market Conditions
2017 HALF YEAR RESULTS Australian Market Conditions For personal use only TOTAL RESOURCES (A$B) TOTAL ENERGY (A$B) Source BIS Shrapnel - Mining in Australia (released May 2016) Source BIS Shrapnel - Mining in Australia (released May 2016) TOTAL INFRASTRUCTURE (A$B) TOTAL MAINTENANCE (A$B) Source BIS
Slide 13: Strategy
2017 HALF YEAR RESULTS Strategy For personal use only MAXIMISE POSITION EXPAND CORE NEW SERVICES/MARKETS IN CORE MARKETS SERVICES OVERSEAS Mondium joint venture bidding Further irrigation contracts Sinostruct secured and delivered EPC projects to the minerals secured in NZ orders to USA sector Zenvi
Slide 14: Outlook
2017 HALF YEAR RESULTS Outlook For personal use only • Australian market conditions in resources and energy are stabilising • Solid levels of sustaining capital will continue to provide opportunities, particularly in iron ore and CSG • Monadelphous in strong position to capitalise on new maintenance
Slide 15: Notes to Financials
2017 HALF YEAR RESULTS Notes to Financials For personal use only NON-IFRS FINANCIAL STATUTORY SALES REVENUE AND EBITDA RECONCILIATION INFORMATION HY17 HY16 Monadelphous Group Limited results are $’000 $’000 reported under International Financial Reporting Standards (IFRS) as issued by Total sales re
Slide 16: Important Notice
2017 HALF YEAR RESULTS Important Notice For personal use only DISCLAIMER Information, including forecast financial information, in this presentation, should not be considered as a recommendation in relation to holding, purchasing or selling shares, securities or other instruments in Monadelphous Gro