Julius Berger Nigeria Plc · NSENG:JBERGER
Julius Berger Nigeria — Investor Presentation (October 2023)
43 slides from Julius Berger Nigeria's investor presentation, Oct 19, 2023
Slide 1: Julius Berger Investors Forum
JULIUS BERGER INVESTORS FORUM
Slide 2: Disclaimer
Disclaimer This presentation contains or incorporates by reference forward-looking statements that reflect the expectations of the Directors and other members of senior management (the "Management") of Julius Berger Nigeria Plc (“JBN" or the "Company"), regarding the future growth, results of operat
Slide 3: Speakers
Speakers Engr. Dr. Lars Richter Mr. Christian Hausemann Managing Director Financial Director 20+ years at Julius Berger 28+ years at Julius Berger Doctorate, Civil Engineering Former CFO Julius Berger International GmbH Director, PrimeTech Design and Engineering Nigeria Ltd Chairman, Julius Berger M
Slide 4: Outline
Outline Business Overview Financial Review and Update Sustainability and Outlook Governance 4
Slide 5: Clear Focus on Consistent Performance with Promising Future Prospects
Clear Focus on Consistent Performance with Promising Future Prospects Ongoing execution of our Conglomerate strategy with Sound and robust green shoots emerging in our Sustained governance remain a diversification efforts, in Strong revenue and shareholder value key pillar. addition to progress with
Slide 6: The Macroeconomic Backdrop Remains Quite Challenging
The Macroeconomic Backdrop Remains Quite Challenging ❑ High Interest Rates ❑ High Cost of Living ❑ Crude Oil Price ❑ Naira Depreciation ❑ Russia-Ukraine War ❑ Fuel Subsidy Removal ❑ High Inflation Rate ❑ Rising Food Prices ❑ Insecurity 6
Slide 7: Business Overview & Update
Business Overview & Update 7
Slide 8: A Proven History of Value Creation
A Proven History of Value Creation 1965 1970 1971 1991 2009 2019 2022 2023 Added-Service Establishment Incorporation Market Expansion Listing Creation New Technologies Mighty Kashoo Regional Expansion Julius Berger incorporated as a private Julius Berger awarded Became publicly listed Expands portfo
Slide 9: Powerful Heritage, Resilient Business Strategy
Powerful Heritage, Resilient Business Strategy Key Milestones and Notable Facts Shareholding Structure Over 50 years Completed over 20 industrial Goldstone Estate Ltd leadership in the facilities and 130 construction industry infrastructure projects 19.9% Neptune Hill Company Ltd Stable, strong and
Slide 10: Our Philosophy Embodies Flexibility and Transformation
Our Philosophy Embodies Flexibility and Transformation Our Vision Limitless prosperity for company, community Our Values and country Excellence Responsibility Our Mission Collaboration Courage Transform challenges into tangible opportunities 10
Slide 11: Our Business Strategy is Built on Three Key Pillars
Our Business Strategy is Built on Three Key Pillars Anchored on Sustainable Growth and Shared Prosperity Conglomerate Strategy Core Business Subsidiaries Diversification ❑ Infrastructure ❑ Products and ❑ Sector ❑ Building Works Services ❑ Industry ❑ Facility Services 11
Slide 12: Our Core Business Upholds Our Status as a Premier Construction Company
Our Core Business Upholds Our Status as a Premier Construction Company, Nurturing Industry Growth and Bridging Infrastructure Gaps Across Economies Infrastructure Building Works Engineering, construction and Design and construction of administration, maintenance of essential traffic networks, commer
Slide 13: Infrastructure Projects: Bodo-Bonny Road
We Actively Contribute to Economic Growth and Expansion Through Our Infrastructure Projects: Bodo-Bonny Road ❑ 37.9 km Road ❑ 17 Small and Large Bridges 13
Slide 14: Infrastructure Projects: Second River Niger Bridge
We Actively Contribute to Economic Growth and Expansion Through Our Infrastructure Projects: Second River Niger Bridge ❑ 1.6 km Bridge ❑ 10.3 km Highway ❑ Owerri Interchange and a Toll Station 14
Slide 15: Infrastructure Projects: Abuja-Kano Road
We Actively Contribute to Economic Growth and Expansion Through Our Infrastructure Projects: Abuja-Kano Road ❑ 375.9 km Dual Carriageway ❑ 210 km Completed and Commissioned 15
Slide 16: Building Projects: Hospitality Project
We Actively Contribute to Economic Growth and Expansion Through Our Building Projects: Hospitality Project ❑ 9-Storey ❑ 35.6 m Tall ❑ 13,088 m² Floor Area 16
Slide 17: Building Portfolio: Uyo Worship Centre
Our Building Portfolio Includes Some of the Most Iconic Structures Across Nigeria: Uyo Worship Centre ❑ 5,500 Sitting Capacity ❑ 45,600 m² Podium ❑ 9,000 m² Building Footprint ❑ 49.36 m Tower 17
Slide 18: Gas-to-Liquids Facility, Escravos
We Have a Proven Record of Supporting the Development of Industries: Gas-to-Liquids Facility, Escravos ❑ 6,500 m² EPC Heavy Load Wharf ❑ 7,000 m² Ground Floor Area - EPC Buildings 18
Slide 19: Maintenance and Refurbishment Services
We Deliver a Wide Range of Customised Corrective and Preventive Maintenance and Refurbishment Services 19
Slide 20: Our Subsidiaries Continue to Show Sustainable Growth and Development
Our Subsidiaries Continue to Show Sustainable Growth and Development 20
Slide 21: Subsidiaries: Abumet Nigeria Ltd.
We Offer High-Quality Products and Services to Our Clientele Through Our Subsidiaries: Abumet Nigeria Ltd. Abumet is a leading solutions provider for the planning, processing and installation of aluminium and glass products. 21
Slide 22: Subsidiaries: Julius Berger International GmbH
We Offer High-Quality Products and Services to Our Clientele Through Our Subsidiaries: Julius Berger International GmbH JBI provides comprehensive services for construction projects ranging in size and complexity, in the areas of building, infrastructure, and industry, both for the Group’s business
Slide 23: Subsidiaries: Julius Berger Services Nigeria Ltd.
We Offer High-Quality Products and Services to Our Clientele Through Our Subsidiaries: Julius Berger Services Nigeria Ltd. Julius Berger Services Nigeria Ltd. is a multipurpose terminal operator at the Warri Port - Terminal C. 23
Slide 24: Subsidiaries: PrimeTech Design & Engineering Nigeria Ltd.
We Offer High-Quality Products and Services to Our Clientele Through Our Subsidiaries: PrimeTech Design & Engineering Nigeria Ltd. PrimeTech provides technically advanced and value-driven design and engineering solutions for the construction of buildings, civil structures, industries, roads, and inf
Slide 25: Diversification is at the Heart of Our Transformation Into a Conglomerate
Diversification is at the Heart of Our Transformation Into a Conglomerate Diversification Our Diversification Principles Sector Diversification ❑ An Independent Economical Cycle ❑ A Profitable Business Case Food Healthcare ❑ Long-term Sustainability Agro-Processing ❑ Launched ❑ Under consideration C
Slide 26: Our Cashew Processing Plant Has a Daily Production Capacity of 60 Tons
Our Cashew Processing Plant Has a Daily Production Capacity of 60 Tons 26
Slide 27: Sustainability & Governance
Sustainability & Governance 27
Slide 28: Our Operations Strongly Impact Society Positively and Create Stakeholder Value
Our Operations Strongly Impact Society Positively and Create Stakeholder Value ❑ We engage with local communities to support social We foster an inclusive culture and development initiatives comprehensive stakeholder engagement ❑ We foster diversity and inclusion across all levels of the Group SDGs
Slide 29: Sound Governance Framework Driving Accountability and Transparency
Sound Governance Framework Driving Accountability and Transparency Board of Directors 14 Directors – 4 Executive Directors. 10 Non-Executive Directors. . COMMITTEES RAMC BAC REMCO NGC STRATCO RAMC – Risk and Assets Management Committee NGC – Nominations and Governance Committee BAC – Board Audit Com
Slide 30: Our Board is Characterised by an Effective Structure
Our Board is Characterised by an Effective Structure Number Average age of Average tenure of Directors of Directors Directors the Directors 14 58 Years 8 Years Directors from Gender Age Diversity Diversity Male Female 7% 21% 14% 50% 7% 71% 29% 12 2 30-39 40-49 50-59 60-69 >70 Nigeria & Germany Busin
Slide 31: Our Board of Directors is Experienced and Diverse
Our Board of Directors is Experienced and Diverse Mr. Mutiu Sunmonu, CON Mr. Tobias Meletschus* Mrs. Gladys Talabi Amb. Adamu Daura, MFR Chairman Director, Corporate Development Non-Executive Director Independent Chairman of the Boards of Directors of Director, Abumet Nigeria and Julius Director of
Slide 32: Financial Review
Financial Review 32
Slide 33: Healthy Revenue Growth and Profitability Across Our Business
Healthy Revenue Growth and Profitability Across Our Business Revenue (N’bn) Gross Profit (N’bn) & Margin Revenue 1 6-yr CAGR:21.5% 6-yr CAGR:10.7% 441.0 Positive momentum due to the resilient 31.2% 26.7% contribution of the civil works segment 338.8 supported by impressive revenue traction in 266.4
Slide 34: Improved Asset Base and Returns Driven by Sustained Revenue and Retained Earnings Growth
Improved Asset Base and Returns Driven by Sustained Revenue and Retained Earnings Growth Total Assets (N’bn) Total Equity (N’bn) Financial Position 505.7 551.4 85.4 ▪ Consistent growth in 477.2 , shareholder funds anchored on efficiency and profitability 57.0 313.7 328.9 53.1 275.4 288.4 44.9 ▪ Heal
Slide 35: Operational Efficiency, Lower Funding Costs, and Improved Interest Coverage
Operational Efficiency Coupled with a Strong Competitive Position Drive, Lower Funding Costs, and Improved Interest Coverage Funding Mix (%) Interest Coverage Ratio ▪ Over 70% of the liabilities are non-interest bearing, resulting 11 11 12 13 14 11 15 7.2 in lower financing costs and 5 5 1 6.1 12 9
Slide 36: Healthy Shareholder Returns
Healthy Shareholder Returns Total Dividends (N’bn) Dividend Per Share (N) 4.0 4.0 2.5 2.5 2.0 2.0 2.6 2.6 1.3 1.0 0.7 0.4 2017 2018 2019 2020 2021 2022 2017 2018 2019 2020 2021 2022 Dividend Payout Ratio Dividend Yield 52.4% 53.5% 50.6% 10.8% 10.2% 48.0% 9.3% 9.7% 43.3% 30.1% 4.0% 1.8% 2017 2018 201
Slide 37: Outlook
Outlook 37
Slide 38: We See Growth Opportunities Despite the Challenging Macroeconomic Conditions
We See Growth Opportunities Despite the Challenging Macroeconomic Conditions GDP Growth Rate (%) Inflation Rate (%) 4.1 26.72 3.7 25.80 ❑ Economic growth 3.4 3.3 24.08 remains positive albeit 3.1 22.04 22.41 at a tepid pace. 21.34 20.77 19.64 ❑ Expected long-term benefits as a result of ongoing econ
Slide 39: Supportive Dynamics Underscore Our Transition to a Conglomerate
Supportive Dynamics Underscore Our Transition to a Conglomerate ❑ Civil works set to benefit from growth in the construction Contribution of Construction industry to GDP (%) National Population (Forecast) sector amid significant infrastructural deficit. ❑ Population growth, rural- 4.2 4.3 4.5 349.6
Slide 40: Our Strategic Direction Focuses on Sustainability, Growth, Innovation and Lasting Impact
Our Strategic Direction Focuses on Sustainability, Growth, Innovation and Lasting Impact… Enhance Regional Transitioning to a Diversification within the core diversified conglomerate business for increased in line with our strategy. profitability and mitigation of foreign exposure. Acquire strategic
Slide 41: Supported by Our Attractive Investment Features
…Supported by Our Attractive Investment Features Favourable Long- Strong Corporate Established Resilient & Diversified Improved Credit Term Operating Governance Operations and Sustainable Portfolio worthiness Environment Structure Track Record Financial Performance 41
Slide 42: Thank You
Thank You
Slide 43: Investor Relations
Investor Relations Julius Berger Nigeria PLC Facebook.com/JuliusBergerNigeria Julius Berger Nigeria (julius-berger.com) 2022 Annual Reports and Consolidated Financial Statements Half Year 2023 Consolidated Unaudited Financial Statements Kindly send any further questions to: jbn.shareholders@julius-b
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