Bouygues Sa · EURONEXT:EN
Bouygues Sa — FY2005 Earnings Presentation
86 slides from Bouygues Sa's earnings presentation, Mar 1, 2006
Slide 1: Presentation of 2005 Annual Accounts
PRESENTATION OF 2005 ANNUAL ACCOUNTS PARIS 1 March 2006 1
Slide 2: Forward-looking statements disclaimer
This document contains projections and forecasts. They express objectives based on the current assessments and estimates of the Group’s general management which are subject to many factors and uncertainties. Consequently, actual figures could differ significantly from projected figures. The followin
Slide 3: Highlights, Business Areas, Accounts, Outlook and Objectives
HIGHLIGHTS BUSINESS AREAS ACCOUNTS OUTLOOK AND OBJECTIVES 3
Slide 4: Group highlights in 2005
GROUP HIGHLIGHTS IN 2005 Excellent share price performance Strong growth in sales and profit at the construction businesses Record level of orders taken by Bouygues Construction (+ 27%) Exceptional payout of €5 per share in January, representing 17% of the share price Increase of Bouygues’
Slide 5: Group: key operating figures
BOUYGUES GROUP: key operating figures Million euros - IFRS 2004 2005 Change Sales 20,894 24,073 (1) + 15% Current operating profit 1,557 1,852 + 19% Net profit attributable to the Group 909 832 - 8% Net profit excl. capital gain from 700 832 + 19% disposal of Saur (1) €24,439 million including TPS,
Slide 6: Bouygues: key figures over 5 years
BOUYGUES: key figures over 5 years (million euros) Sales 24,073 EBITDA 3,505 22,247 21,822 23,402 + 18% x 2.1 20,473 2,943 20,894 2,415 2,730 2,260 1,680 2001 2002 2003 2004 2004 2005 2001 2002 2003 2004 2004 2005 French GAAP IFRS IFRS French GAAP IFRS IFRS Operating profit Net profit Non-recurring
Slide 7: Group: key figures per share
BOUYGUES GROUP: key figures per share (in euros) Net profit per share Dividend per share (excluding exceptional payout) 2.72 0.90 * 2.57 0.75 x 3.5 1.93 x 3.3 2.51 2.10 0.50 0.36 0.36 0.36 1.03 2.01 0.26 1.34 0.93 0.75 2001 2002 2003 2004 2004 2005 French GAAP IFRS IFRS 1999 2000 2001 2002 2003
Slide 8: Group: debt situation
BOUYGUES GROUP: debt situation Million euros - IFRS 2004 2005 Shareholders’ equity 4,978 5,561 Net book debt 1,875 2,352 Restated net debt 2,508 Restated net debt / shareholders’ equity 50% 42% 9 Standard & Poor’s credit rating maintained: A- with stable outlook 9 Restated net debt at end-2004 inclu
Slide 9: Group: free cash flow
BOUYGUES GROUP: free cash flow Million euros - IFRS 2004 2005 Cash flow 2,714 3,090 - Cost of net financial debt - 159 - 187 - Income tax * - 501 - 570 - Net operating investment - 1,047 - 1,229 Free cash flow 1,007 1,104 (*) income tax expense for the year, including deferred tax (€185m in 2004 and
Slide 10: Group: employee share ownership
BOUYGUES GROUP: employee share ownership Success of Bouygues Confiance 3, a new capital increase reserved for employees, in the amount of €250 million. 9 25,000 employees or 40% of eligible employees subscribed to the plan 9 The operation was oversubscribed by 60% 9 This success demonstrated emplo
Slide 11: Bouygues: share ownership structure at 15 February 2006
BOUYGUES: share ownership structure at 15 February 2006 Capital Voting rights Foreign Foreign shareholders SCDM SCDM shareholders 18.5% Groupe 28.3% 25.6% 35.5% Artémis 7.3% (F. Pinault) * Groupe 6.6% Artémis 13.3% 22.0% 17.5% (F. Pinault) * 25.4% Employees Other French Employees shareholders Ot
Slide 12: Bouygues: share price performance over one year
BOUYGUES: share price performance over one year (1/2) The 9th best performance of the CAC 40 in 2005 (with exceptional coupon reinvested) Bouygues CAC 40 Bouygues + €5 reinvested 2005 2006 54 €52.6 52 + 55% 50 48 €45.2 46 + 33% Share price in € 44 + 33% 42 40 38 36 34 32 30 28 Jan-05 Feb-05 March-
Slide 13: Bouygues: share price performance over two years
BOUYGUES: share price performance over two years (2/2) Performance of Bouygues share price and CAC 40 since 31 December 2003 Bouygues CAC 40 Bouygues + €5 reinvested 54 2004 2005 2006 52 €52.6 + 90% 50 48 46 €45.2 44 + 63% Share price in euros 42 40 + 43% 38 36 34 32 30 28 26 24 Dec-03 March-04 Ju
Slide 14: Highlights, Business Areas, Accounts, Outlook and Objectives
HIGHLIGHTS BUSINESS AREAS ACCOUNTS OUTLOOK AND OBJECTIVES 14
Slide 15: Bouygues Construction: key figures
BOUYGUES CONSTRUCTION (B/CW): key figures Million euros - IFRS 2004 2005 Change Sales 5,512 6,131 + 11% of which France 3,236 3,653 + 13% of which international 2,276 2,478 + 9% Operating profit 168 238 + 42% Net profit att. to the Group 140 175 + 25% Net cash 1,523 1,874 + €351m Waterfront Internat
Slide 16: Bouygues Construction: highlights in 2005
BOUYGUES CONSTRUCTION (B/CW): highlights in 2005 Record orders taken (€6.5 billion, + 27%) A number of projects won (not yet included in the order book), illustrating Bouygues Construction’s strengths in high-growth sectors: 9 A41 motorway between Annecy and Geneva (€500m for Bouygues Constructi
Slide 17: Bouygues Construction: order book
BOUYGUES CONSTRUCTION (B/CW): order book At 31 December 2005 €bn Total order book o/w France and Europe 56% 5% 5,5 5.2 5.0 5% 5 76% 4.6 4.6 4,5 14% 4.0 20% 4 3.6 3.4 3.4 France 3,5 Europe (excluding France) 3 Asia Africa and other 2002 2003 2004 2005 Americas Good visibility 17
Slide 18: Bouygues Construction: strategy and outlook
BOUYGUES CONSTRUCTION (B/CW): strategy and outlook In a globally favourable environment, Bouygues Construction seeks to: 9 Maintain a high level of performance 9 Remain selective in its choice of projects and vigilant on risks 9 Continue to improve productivity 9 Pursue ETDE’s controlled external
Slide 19: Bouygues Immobilier: key figures
BOUYGUES IMMOBILIER: key figures Million euros - IFRS 2004 2005 Change Sales 1,295 1,557 + 20% o/w housing 864 1,047 + 21% o/w orporate/commercial 431 510 + 18% Operating profit 119 156 + 31% Net profit att. to the Group 64 90 + 41% Net cash 249 150 - €99m Exaltis building, Paris La Défense Strong g
Slide 20: Bouygues Immobilier: highlights in 2005
BOUYGUES IMMOBILIER: highlights in 2005 Strong commercial activity and substantial increase in land reserves in the housing segment as a result of firm market conditions in France New organization aimed at improving commercial performance Steep rise in business in Europe 96 boulevard Haussmann
Slide 21: Bouygues Immobilier: commercial activity
BOUYGUES IMMOBILIER: commercial activity RESERVATIONS 2004 2005 Change Housing Number 6,759 8,200 + 21% Amount (€m) 1,068 1,350 + 26% Corporate/Commercial Office space (sq m) 167,000 157,000 - 6% Amount (€m) 481 388 - 19% TOTAL (€m) 1,549 1,738 + 12% Housing: strong commercial activity 21
Slide 22: Bouygues Immobilier: strategy and outlook
BOUYGUES IMMOBILIER: strategy and outlook In an environment which remains favourable, Bouygues Immobilier: 9 is on track for a soft landing in the housing segment and gradual recovery of corporate/commercial property in France 9 will pursue controlled growth by adopting an increasingly responsive
Slide 23: Colas: key figures
COLAS: key figures Million euros - IFRS 2004 2005 Change Sales 8,024 9,540 + 19% of which France 4,957 5,580 + 13% of which international 3,067 3,960 + 29% Operating profit 289 390 + 35% Net profit att. to the Group 251 307 + 22% Net cash 423 415 -€8m A75 motorway, Hérault, France Another record yea
Slide 24: Colas: highlights in 2005
COLAS: highlights in 2005 Strong commercial activity, notably on international markets 9 Roadbuilding contracts in Slovakia worth €75m 9 Motorway construction contract in Hungary worth €49m 9 Involvement in the successful bid for the A41 motorway concession in France Continued acquisitions polic
Slide 25: Colas: sales by region
COLAS: sales by region Europe France excl. France North America 58% 18% 19% Other 5% 25
Slide 26: Colas: sales by segment
COLAS: sales by segment Civil engineering Roadworks 6.7% Pipes and mains 69.8% 3.0% Safety, signs and signals 81.6% 11.8% 18.4% 4.2% Waterproofing Construction materials 2.7% Building 1.8% Railways 26
Slide 27: Colas: order book
COLAS: order book Million euros End-2004 End-2005 Change Metropolitan France 2,080 2,420 + 16% International and French 1,867 2,242 + 20% overseas territories TOTAL 3,947 4,662 + 18% Record increase in order book 27
Slide 28: Colas: developments in Central Europe
COLAS: developments in Central Europe 1989: the group launched search for companies to acquire 2005: €940m in sales (up 70% on 2004) Poland Czech Republic Slovakia Hungary Romania 28
Slide 29: Colas: developments in Central Europe
COLAS: developments in Central Europe Strong growth in sales, due to: 9 steady development in 15 years of a network of local firms having a broad range of activities 9 infrastructure renewal investment in these countries, speeded up by their entry into the European Union 1 000 €940m 900 800 700 €m
Slide 30: Colas: developments in Central Europe
COLAS: developments in Central Europe Timely development by external growth of a network of local companies: 9 Hungary: 1991 Quarries 1992 Pipes and mains, civil engineering 1998 Road construction 9 Romania: 1991 Road maintenance (in partnership with the government) 2001 Earthworks 2005 Bitumen st
Slide 31: Colas: strategy in Central Europe
COLAS: strategy in Central Europe External growth: acquisition of 25 companies 9 Privatisation of many companies 9 Selection criteria: ¾ Country’s development potential ¾ Legal framework ¾ Cultural understanding ¾ Quality of local management teams Internal development 9 Extremely quick moderniza
Slide 32: Colas in Central Europe: subsidiaries (1/4)
COLAS IN CENTRAL EUROPE: subsidiaries with a broad range of activities (1/4) Production and sale of materials (quarries): 9 Production in 2005: 8 million tonnes 9 Reserves: 300 million tonnes Asphalt mixing plants Emulsion plants Bitumen storage and sale: 9 Constanta site (Romania) Transbitu
Slide 33: Colas in Central Europe: subsidiaries (2/4)
COLAS IN CENTRAL EUROPE: subsidiaries with a broad range of activities (2/4) Roadworks 9 Construction and maintenance M3 motorway, Hungary Application of asphalt mix, Hungary 33
Slide 34: Colas in Central Europe: subsidiaries (3/4)
COLAS IN CENTRAL EUROPE: subsidiaries with a broad range of activities (3/4) Pipes and mains Civil engineering Earthworks 9 ALTERRA (Hungary) 9 SCCF (Romania) ALTERRA water treatment plant, Hungary 34
Slide 35: Colas in Central Europe: subsidiaries (4/4)
COLAS IN CENTRAL EUROPE: subsidiaries with a broad range of activities (4/4) Major civil engineering works as part of road construction 9 IS KOSICE (Slovakia) D1 motorway, Slovakia 35
Slide 36: Colas in Central Europe
COLAS IN CENTRAL EUROPE After 15 years of expansion, this area currently represents: 9 10% of Colas’s total sales (€940m) 9 6,800 employees including 15 expatriates, 350 engineers 9 25 companies 9 Excellent return on capital employed Outlook 9 High level of orders Strategic priorities 9 Contin
Slide 37: Colas: strategy and prospects
COLAS: strategy and prospects Colas will pursue its internal growth strategy supported by its network of local companies, industrial production capabilities and expertise in new types of contracts (PFI, PPP) and will carry on its policy of acquisitions Sales target for 2006: Million euros - IF
Slide 38: TF1: key figures
TF1: key figures Million euros - IFRS 2004 2005 Change Sales 2,501 2,509 = core channel advertising 1,646 1,648 = other activities 856 861 + 1% Operating profit 381 353 - 7% Net profit att. to the Group 225 236 + 5% Net debt 409 351 - €58m As TPS was held for sale at end-December 2005, only its shar
Slide 39: TF1: leader in terms of audience share
TF1: leader in terms of audience share Channel 2004 2005 Change Women under 50 35.5% 36.2% + 0.7 pt Individuals 4 years and over 31.8% 32.3% + 0.5 pt Viewing time per person per day 3hrs 24 3hrs 26 + 2 mins (individuals 4 years and over) Advertising market share 54.8% 54.4% - 0.4 pt 97 of 100 best a
Slide 40: Pay-TV agreement (1/2)
Pay-TV agreement (1/2) A commercial agreement was concluded in January 2006 to merge the pay-TV businesses of TPS and the Canal+ group in an entity controlled by Vivendi Universal. The merger, to take place in several steps, will be finalised in 2006 after approval by the competent authorities.
Slide 41: Pay-TV agreement (2/2)
Pay-TV agreement (2/2) The merger is the result of unexpectedly fast developments in the audiovisual environment, with five trends threatening the balance of the French market: 9 the rapid advances in digital delivery technology and fast take-up by consumers of ADSL, DTT, mobile TV, etc. 9 the dev
Slide 42: TF1: strategy and outlook
TF1: strategy and outlook Ambitions: 9 Maintain TF1’s leading position in programme content in France and prepare for the opening up of the French TV advertising market in 2007 to mass distribution 9 Develop Eurosport 9 Create new programme and service formats adapted to new technologies Sales t
Slide 43: TF1: licence agreement with Bouygues Telecom
TF1: licence agreement with Bouygues Telecom A natural partnership between 9 a telecoms operator recognised for its innovative capacity 9 and a major content provider for mobile telephony An innovative and attractive voice and data offer An original market positioning Launch planned for 2006
Slide 44: Bouygues Telecom: share ownership structure
BOUYGUES TELECOM: share ownership structure Agreement with BNP Paribas 9 In June 2005, Bouygues entered into a put-and-call agreement with BNP Paribas on its 6.5% stake in Bouygues Telecom. 9 Booked at 30 June 2005, the agreement generated an additional €460 million of debt for Bouygues at end-Dec
Slide 45: Bouygues: agreement with BNP Paribas in June 2005
BOUYGUES: agreement with BNP Paribas in June 2005 The BNP Paribas group wished to make its 6.5% stake in Bouygues Telecom liquid. Bouygues granted BNP Paribas an option to sell 6.5% of Bouygues Telecom, exercisable from September 2005 to July 2007, at a price of €477 million to €495 million (€47
Slide 46: Bouygues Telecom: key figures
BOUYGUES TELECOM: key figures Million euros - IFRS 2004 (1) 2005 Change Sales 4,427 4,537 + 2% Net sales from network 4,092 4,240 + 4% o/w mobile-to-mobile billing 761 665 - 13% o/w data 14.4% 16.4% + 2.0 pts EBITDA 1,167 1,349 + 16% EBITDA / net sales from network 28.5% 31.8% + 3.3 pts Current oper
Slide 47: Bouygues Telecom: financial structure
BOUYGUES TELECOM: financial structure Million euros - IFRS 2004 2005 Change Shareholders’ equity 1,783 2,132 + 20% Net debt 1,197 441 div. by 3 o/w shareholder loans 614 0 ns Debt-to-equity ratio 67% 21% - 46 pts Cash flow 1,159 1,261 + 9% - Cost of net financial debt - 62 -26 - 58% - Income tax * -
Slide 48: Bouygues Telecom: 2005 highlights
BOUYGUES TELECOM: 2005 highlights 8-million-customer mark passed (+ 9% in one year) 9 Further increase in contract customer share (68.4% of total base) 9 Success of Universal Mobile, with 400,000 customers to date Launch of broadband services, accessible to over 90% of French population on natio
Slide 49: Bouygues Telecom: commercial performance
BOUYGUES TELECOM: commercial performance Total customer Contract Prepaid (Metropolitan France) base 2004 2005 2004 2005 2004 2005 Active SIM cards (in thousands) (1) 4,854 5,454 2,397 2,424 7,251 7,878 including Universal Mobile (1) 94 363 - - 94 363 ARPU (€ / month) (2) 62 57 21 19 48 45 SAC (€ / c
Slide 50: Bouygues Telecom: market share at 31 December 2005
BOUYGUES TELECOM: market share at 31 December 2005 (Metropolitan France and French overseas territories) Customer market share (1) Value market share (2) 0.6% Bouygues Telecom 19.7% 16.9% Orange 46.7% 42.5% SFR 35.8% 37.8% MVNOs and other (1) Source: ARCEP (2) Source: operators MVNO and other: n
Slide 51: Bouygues Telecom: customer breakdown at December 2005
BOUYGUES TELECOM: customer breakdown at 31 December 2005 (Metropolitan France and French overseas territories) Customer mix Prepaid Contract 31.6% 68.4% 38.2% 61.8% 36.7% 63.3% Increase in Bouygues Telecom’s share of contract customers 68.4% 66.1% 64.4% 62% 2002 2003 2004 2005 The best customer
Slide 52: Mobile telephony: comparison of main European countries
MOBILE TELEPHONY: Comparison of main European countries Population Total revenues Revenues Minutes (million) of mobile per inhabitant per inhabitant 2004 operators per month per month (€m) (€) France 61.6 21,626 29.3 100 Germany 82.5 22,288 22.5 38 UK 59.6 23,833 33.3 86 Italy 57.7 20,612 29.8 not a
Slide 53: Bouygues Telecom: competitive environment (1/2)
BOUYGUES TELECOM: competitive environment (1/2) Arrival of MVNOs on the market 9 Expected to make the market more fluid, MVNOs accounted for less than 1% of the market at end-2005 9 Trends: ¾ Emergence of brand licences ¾ Low-cost MVNOs ¾ Intense competition to capture youth market Bouygues Tele
Slide 54: Bouygues Telecom: competitive environment (2/2)
BOUYGUES TELECOM: competitive environment (2/2) Voice-over-IP 9 The consumer telecoms market is undergoing major transformation due to the development of unlimited double-play (Internet access and voice calls to fixed lines) and triple-play offers (Internet, TV and telephone). 9 Bouygues Telecom’s
Slide 55: Bouygues Telecom: regulatory environment (1/2)
BOUYGUES TELECOM: regulatory environment (1/2) Reductions in call termination rates imposed by ARCEP: Euro cents 2004 2005 2006 2007 Calls to Bouygues Telecom 18.39 * 14.79 11.24 % change - 17.4% - 19.6% - 24.0% Reduction decided - Calls to Orange / SFR 14.94 12.5 9.5 amount not yet % change - 12.
Slide 56: Bouygues Telecom: regulatory environment (2/2)
BOUYGUES TELECOM: regulatory environment (2/2) Regulatory decisions in 2005 9 20% cut in the wholesale price of text messages ¾ Decided in November 2005 with retroactive effect from 1 July 2005, without any differential between the operators ¾ Impact of approx. €10m on Bouygues Telecom’s sales ¾ N
Slide 57: Bouygues Telecom: review of earnings
BOUYGUES TELECOM: review of earnings Net profit/loss Aggregate net loss 600 400 321 352 201 200 130 1995 1996 1997 1998 1999 2000 2001 Aggregate €m 0 0 2002 2003 2004 2005 -53 -61 -200 -123 * - €94m -190 -400 -277 -394 -600 -800 -1000 -1200 -1400 * The net loss in 1999 includes an exceptional profit
Slide 58: Bouygues Telecom: sales target for 2006
BOUYGUES TELECOM: sales target for 2006 Change Change Million euros - IFRS 2004 (1) 2005 2006 2005/2004 (1) 2006/2005 Net sales from network excluding revenues from 2,939 3,212 + 9% 3,449 + 7% incoming traffic Net sales from network 4,092 4,240 + 4% (2) 4,280 + 1% Total sales 4,427 4,537 + 2% 4,580
Slide 59: Bouygues Telecom: broadband strategy
BOUYGUES TELECOM: broadband strategy 2006: pave the way for 3G rollout 9 Tests are under way on an experimental network using HSDPA technology Î concrete results confirm the break that will come with HSDPA 9 A “core network” equipment contract has been signed with Ericsson 9 Radio equipment suppli
Slide 60: Bouygues Telecom: reminder of different technologies
BOUYGUES TELECOM: reminder of different technologies Actual transfer speed Download speed: network to mobile Upload speed: mobile to network Kbps 1,500 Kbps 1600 160 128 128 1400 140 1200 120 100 1000 100 800 80 600 360 60 400 200 40 40 20 200 20 0 0 GPRS EDGE UMTS-R99 HSDPA GPRS EDGE UMTS-R99 HSD
Slide 61: Bouygues Telecom: licences
BOUYGUES TELECOM: licences UMTS licence (€619 million): straight-line amortisation from May 2005 until its expiry in 2022 Renewal of GSM licences: 9 1% tax on sales 9 lump-sum fee of €25 million per year Î These conditions will apply to Orange and SFR as of March 2006, and to Bouygues Telecom fr
Slide 62: New functionalities: mobile TV
NEW FUNCTIONALITIES: mobile TV Telecoms networks are not designed to offer TV under good conditions Broadcast system Unicast system 9 Unlimited capacity 9 Network saturation 9 Unlimited number of viewers at same 9 Limited number of viewers at same time time 9 New network needed 9 High cost for use
Slide 63: New functionalities: contactless applications (1/2)
NEW FUNCTIONALITIES: contactless applications (1/2) Tomorrow’s services Ticketing Transport Parking Loyalty cards Gift Payment vouchers Access control Identification & security 63
Slide 64: New functionalities: contactless applications (2/2)
NEW FUNCTIONALITIES: contactless applications (2/2) Implementation stages for Bouygues Telecom 9 Develop transport applications in the short term: ¾ Give customers services with immediately noticeable advantages in everyday use ¾ Meet transport company demand ¾ Extend the experience with the RATP
Slide 65: Contactless applications: NTT DoCoMo model in Japan
CONTACTLESS APPLICATIONS: NTT DoCoMo model in Japan Results since launch in July 2004 9 Sony technology: Felica 9 12 compatible handsets and 7 million customers 9 25,000 stores and 6,000 cash points equipped with readers Usage is developing 9 2 million users (especially working people in their t
Slide 66: Bouygues Telecom: strategy and outlook
BOUYGUES TELECOM: strategy and outlook FREEING UP VOICE USAGE unlimited calling with standard BRINGING BROADBAND WITHIN price plans EVERYONE’S REACH to all networks: NEO unlimited broadband i-mode plan to fixed lines: Exprima Edge card for laptops Personal telephony MAKING LIFE EASIER COMM
Slide 67: Highlights, Business Areas, Accounts, Outlook and Objectives
HIGHLIGHTS BUSINESS AREAS ACCOUNTS OUTLOOK AND OBJECTIVES 67
Slide 68: Bouygues: condensed consolidated income statement
BOUYGUES: condensed consolidated income statement Million euros - IFRS 2004 2005 Variation Sales 20,894 24,073 + 15% Current operating profit 1,557 1,852 + 19% Operating profit 1,557 1,748 + 12% Cost of net financial debt (159) (187) + 18% Income tax expense (501) (570) + 14% Net profit from continu
Slide 69: Contribution of business areas to Group sales
Contribution of business areas to Group sales Million euros - IFRS 2004 2005 Change Bouygues Construction 5,227 5,815 + 11% Bouygues Immobilier 1,295 1,557 + 20% Colas 7,947 9,424 + 19% TF1 (1) 2,483 2,489 = Bouygues Telecom 3,649 4,525 + 3% (2) Holding and other 293 263 ns TOTAL 20,894 24,073 + 15%
Slide 70: Contribution of business areas to Group EBITDA
Contribution of business areas to Group EBITDA 2005 share Million euros - IFRS 2004 2005 Change of total Bouygues Construction 413 547 + 32% 16% Bouygues Immobilier 143 203 + 42% 6% Colas 655 867 + 32% 25% TF1 (1) 491 476 - 3% 13% Bouygues Telecom 1,176 1,349 + 15% 38% Holding and other 65 63 ns 2%
Slide 71: Contribution of business areas to Group operating profit
Contribution of business areas to Group operating profit Million euros - IFRS 2004 2005 Change Bouygues Construction 168 238 + 42% Bouygues Immobilier 119 156 + 31% Colas 310 389 + 25% TF1 (1) 381 353 - 7% Bouygues Telecom 597 598 = Holding and other (18) 14 ns TOTAL 1,557 1,748 + 12% (1) Excluding
Slide 72: Contribution of business areas to Group net profit
Contribution of business areas to Group net profit Group share Million euros - IFRS 2004 2005 Change Bouygues Construction 141 176 + 25% Bouygues Immobilier 64 90 + 41% Colas 242 296 + 22% TF1 (1) 93 101 + 9% Bouygues Telecom 275 301 + 9% Holding and other (115) (132) ns TOTAL excluding Saur 700 +
Slide 73: Bouygues: return on capital employed
BOUYGUES: return on capital employed (1) 2003 2004 2005 At business level French GAAP IFRS IFRS Bouygues Construction (2) +++ +++ +++ Bouygues Immobilier (3) +++ +++ +++ Colas 22.8% 26.8% 34.6% TF1 16% 17.9% 15.5% Bouygues Telecom 8.5% 12.3% 15.4% At Group level Bouygues 8.6% 12.7% 16.5% (1) Current
Slide 74: Contribution of business areas to Group cash flow
Contribution of business areas to Group cash flow Million euros - IFRS 2004 2005 Change Bouygues Construction 291 411 + 41% Bouygues Immobilier 125 161 + 29% Colas 623 781 + 25% TF1 (1) 483 453 - 6% Bouygues Telecom 1,159 1,261 + 9% Holding and other 33 23 ns Cash flow 2,714 3,090 + 14% (1) Includin
Slide 75: Contribution of business areas to Group net investments
Contribution of business areas to Group net investments Net operating investments Million euros - IFRS 2004 2005 Change Bouygues Construction 73 56 - 23% Bouygues Immobilier 4 4 = Colas 348 411 + 18% TF1 (1) 79 155 + 96% Bouygues Telecom 502 584 + 16% Holding and other 41 19 ns TOTAL 1,047 1,229 +
Slide 76: Contribution of business areas to Group free cash flow
Contribution of business areas to Group free cash flow Million euros - IFRS 2004 2005 Change Bouygues Construction 187 273 + 46% Bouygues Immobilier 81 105 + 30% Colas 175 239 + 37% TF1 254 170 - 33% Bouygues Telecom 398 431 + 8% Holding and other (88) (114) ns TOTAL 1,007 1,104 + 10% Free cash flow
Slide 77: Bouygues: condensed consolidated balance sheet
BOUYGUES: condensed consolidated balance sheet Million euros - IFRS End-2004 End-2005 Non-current assets 11,481 11,444 Current assets 12,467 12,590 Held-for-sale assets / 564 TOTAL ASSETS 23,948 24,598 Shareholders’ equity 4,978 5,561 Non-current liabilities 5,982 6,075 Current liabilities 12,988 12
Slide 78: Bouygues: 2005 cash position
BOUYGUES: 2005 cash position In €m Net cash at 31 December 2004 (1,875) 9 Exceptional payout on 7 January 2005 - 1,664 9 Proceeds from disposal of Saur + 1,031 Restated net cash at 31 December 2004 (2,508) 9 Impact of scope of consolidation (disposal of TPS and businesses in Mali and Italy) + 19
Slide 79: Bouygues: net cash by business area
BOUYGUES: net cash by business area Change Million euros - IFRS End- 2004 End-2005 (€m) Bouygues Construction 1,523 1,874 + 351 Bouygues Immobilier 249 150 - 99 Colas 423 415 -8 TF1 (409) (351) (1) + 58 Bouygues Telecom (1,197) (441) + 756 Holding and other (2,464) (3,999) - 1,535 TOTAL (1,875) - 47
Slide 80: Bouygues: financing policy
BOUYGUES: financing policy Available cash: €7.1 billion 8000 7000 Undrawn MLT Debt repayment schedule 6000 credit lines 5000 Tap 2020 bond issue 4000 (February 2006) 3000 Option for 6.5% 2000 of Bouygues Telecom Cash 1000 0 Liquidity 2006 2007 2008 2009 2010 2011 2012 2013 2014 … 2020 Very substanti
Slide 81: Highlights, Business Areas, Accounts, Outlook and Objectives
HIGHLIGHTS BUSINESS AREAS ACCOUNTS OUTLOOK AND OBJECTIVES 81
Slide 82: Bouygues: 2006 sales targets
BOUYGUES : 2006 sales targets 2006 Million euros (IFRS) 2005 Change target Bouygues Construction 5,815 6,100 + 5% Bouygues Immobilier 1,557 1,750 + 12% Colas 9,424 10,050 + 7% TF1 2,489 2,600 + 4% Bouygues Telecom 4,525 4,560 + 1% Holding and other 263 240 - 9% TOTAL 24,073 25,300 + 5% o/w France 16
Slide 83: Bouygues: strengths and outlook
BOUYGUES: strengths and outlook Thanks to genuine strengths… 9 businesses with strong positions on buoyant markets 9 complementary business activities and good visibility 9 a strong, entrepreneurial corporate culture …the outlook for Bouygues is favourable 9 increase in sales and profitability 9
Slide 84: Bouygues: ambitions
BOUYGUES: ambitions Pursue sustained internal growth strategy Seize opportunities for external growth at reasonable prices 9 at subsidiary level by giving priority to high-quality businesses 9 at Group level by identifying new activities in which Bouygues’ expertise can create value 84
Slide 85: Bouygues: financial calendar
BOUYGUES: financial calendar 27 April 2006 Annual Meeting of Shareholders 3 May 2006 Dividend payment 11 May 2006 2006 first-quarter sales 8 June 2006 2006 first-quarter earnings 10 August 2006 2006 first-half sales 6 September 2006 2006 first-half earnings 9 November 2006 2006 9-month
Slide 86: Presentation of 2005 Annual Accounts
PRESENTATION OF 2005 ANNUAL ACCOUNTS PARIS 1 March 2006 86