Genesis Energy Limited · NZX:GNE
Genesis Energy — Non-Deal Roadshow (July 2019)
22 slides from Genesis Energy's roadshow presentation, Jul 1, 2019
Slide 1: Genesis Investor Roadshow Presentation (Market Release)
MARKET RELEASE Date: 1 July 2019 NZX: GNE / ASX: GNE GENESIS INVESTOR ROADSHOW PRESENTATION For personal use only Genesis Energy CEO Marc England will undertake a series of investor meetings in Edinburgh and London over the first week of July 2019. Please see the attached for the relevant presentati
Slide 2: Marc England – Chief Executive Officer, Edinburgh & London
For personal use only Marc England – CHIEF EXECUTIVE OFFICER Edinburgh & London
Slide 3: Disclaimer
Disclaimer For personal use only This presentation has been prepared by Genesis Energy Limited (‘Genesis Energy’) for information purposes only. The information in this presentation is of a general nature and does not purport to be complete nor does it contain all the information required for an inv
Slide 4: Our investment proposition is a strong yield underpinned by growth
Our investment proposition is a strong yield underpinned by growth For personal use only NZX 50 / ASX 100 GNE YIELD COMPARISON EBITDAF Mean Yield (LHS) 90th Percentile Yield (LHS) 75th Percentile Yield (LHS) NZ$ MILLIONS 10% 25th Percentile Yield (LHS) GNE Yield (LHS) GNE Share Price (NZ$) $3.50 360
Slide 5: Supplementary dividend for non-resident investors
Supplementary dividend for non-resident investors For personal use only DIVIDEND CENTS PER SHARE (NZ$) & PAYOUT HISTORY Dividends (CPS) Payout % of FCF 16.9 Policy is to grow120% 16.4 16.6 16.0 dividends in real terms • HY19 interim dividend1 of 8.45 cps, 80% over time. 91% 92% 100% imputed, paid to
Slide 6: Genesis Energy Overview and Strategy
For personal USe Only GENESIS ENERGY LIMITED c =o Genesis Energy Overview and Strategy genesis
Slide 7: About Genesis Energy
About Genesis Energy — A fully integrated energy management company, Genesis is New Zealand’s largest energy retailer, generates For personal use only electricity from a diverse portfolio of thermal and renewable assets located throughout the country, and has an interest in the Kupe oil and gas fiel
Slide 8: We're performing while transforming
We’re performing while transforming For personal use only Our VISION: to be customers’ first choice for energy management Our PURPOSE: to reimagine energy to put control in our customers’ hands Our STRATEGY: to maximise value through our market position Wholesale Market Retail Market Maximising valu
Slide 9: We've invested in a single customer platform
We’ve invested in a single customer platform For personal use only Fuels Brands Platform Genesis Energy Limited Investor Roadshow July 2019 8.
Slide 10: Focusing on engaging customer is driving more loyalty
Focusing on engaging customer is driving more loyalty For personal use only FY19 will deliver product differentiation at scale GENESIS CUSTOMER CHURN RATE (BY MONTH, ALL FUELS) 1 30% Bottle Gas Monitoring Launch Electricity Monitoring Launch Energy IQ 25% Power Launch Shout I Power Power Shout III M
Slide 11: Diversity of earnings enables consistent and growing returns
Diversity of earnings enables consistent and growing returns For personal use only GROSS MARGIN CONTRIBUTION (FY18) KUPE 20% WHOLESALE 43% CUSTOMER 37% Gas 11% Business Renewable generation 30% Residential electricity 20% electricity 6% Oil 6% LPG 3% LPG 1% Thermal generation 12% LPG 7% Gas 4% Elect
Slide 12: Consistent earnings growth enables a stable growing dividend
Consistent earnings growth enables a stable growing dividend For personal use only Underpinned by long dated debt book DIVIDEND CENTS PER SHARE & PAYOUT HISTORY2 EBITDAF $ MILLIONS Dividends (CPS) % of Free Cash Flow 400 360-3751 Target Dividend/ 16.4 16.6 16.9 Free Cash Flow 130% 16.0 361 of < 90%
Slide 13: Genesis is also enabling a more sustainable future
Genesis is also enabling a more sustainable future We’re driving electric - Ohope Beach School joins Genesis signed up Whio population boosted For personal use only School-gen solar to EV 100, EVs programme a global November 2018 business ducks initiative released now part of January 2019 driving th
Slide 14: The New Zealand Market and Genesis Financials
For personal USe Only GENESIS ENERGY LIMITED The New Zealand Market and Genesis Financials genesis
Slide 15: About New Zealand
About New Zealand — Good growth in a stable political and regulatory environment For personal use only GDP st billion, Ease of doing 3% growth business st th Investor Providing Protection Sustainable, Secure Energy rd nd Economic Global Prosperity Freedom Index Source: Economy Rankings 2018 (The Wor
Slide 16: New Zealand's domestic energy market
New Zealand’s domestic energy market — Deregulated unsubsidised market with an established operating system For personal use only 2m electricity customers 270,000 gas customers, 220,000 LPG customers 29 electricity lines companies 5 gas distributors 48% residential 4 LPG distributors customers 5 maj
Slide 17: Long-term Gas Contract Position
Long-term Gas Contract Position For personal use only TAKE-OR-PAY FORWARD GAS PURCHASES1 BENEFITS AND TIMING OF ALTERNATIVE GAS PURCHASE COST 2 $7.50 - $8.00 - 40 $8.50 $9.00 $6/GJ $7/GJ $90 35 $8.00 - $80 $9.00 30 $70 25 $8.00 - $60 $9.00 $8.50 - $9.50 $50 PJ 20 $8.50 - $40 15 $9.50 $30 10 $20 $8.5
Slide 18: 1H FY19 highlights
1H FY19 highlights EBITDAF For personal use only $ m Customers purchasing Wholesale portfolio delivers more than 1 product stable earnings in volatile, NPAT grew by m % resource constrained wholesale $ . market. Dividends up 1.8% to cps Electricity netback increased by . Generation asset % Gross yie
Slide 19: HY19 Financial statements
HY19 Financial statements1 For personal use only Income Statement HY19 HY18 Variance Balance Sheet HY19 FY18 Variance ($m) ($m) ($m) ($m) Revenue 1,361.0 1,213.0 +12.2% Cash and Cash Equivalents 38.0 49.3 Total Operating Expenses (1,165.5) (1,014.6) +14.9% Other Current Assets 341.6 341.3 EBITDAF 19
Slide 20: HY19 Debt information
HY19 Debt information For personal use only Debt Information HY19 FY18 Variance GENESIS ENERGY DEBT PROFILE ($m) ($m) Total Debt $ 1,223.6 1,255.4 $m Cash and Cash Equivalents $ 38.0 49.3 $300 Headline Net Debt $ 1,185.6 1,206.1 (1.7%) $250 USPP FX and FV Adjustments $ 29.8 23.2 $200 Adjusted Net De
Slide 21: HY19 Operational highlights
HY19 Operational highlights Customer Key Information HY19 HY18 Variance Wholesale Key Information HY19 HY18 Variance For personal use only EBITDAF ($ millions) 61.7 56.1 +10.0% EBITDAF ($ millions) 103.8 106.4 (2.4%) Electricity Netback ($/MWh) $103.98 $99.75 +4.2% Renewable Generation (GWh) 1,713 1
Slide 22: For personal use only
For personal use only