Washington H. Soul Pattinson And Company Limited · ASX:SOL
Washington H. Soul Pattinson And — H1 2015 Earnings Presentation
16 slides from Washington H. Soul Pattinson And's earnings presentation, Feb 11, 2016
Slide 1: Review of Operations: Group Performance and Consolidated Results
Review of Operations Half Year Ended 31 January 2015 Group Performance Consolidated Results Half Year Ended 31 January 2015 • Regular profit1 was $84.8m, up 33.6%. • Improved results from: • New Hope • TPG Telecom • Brickworks • CopperChem • Profit after tax was $67.3m, a decrease of $6.4m. • Net lo
Slide 2: Interim Dividend History
Interim Dividend History Interim Dividend 20 cents per share, up 5.3% 20 Year Interim Dividend History Cents per Share 3 WHSP (Parent Company) Listed Equity Investments (including controlled entities & associates) • Market value of the portfolio was $4.31bn. • Cost of acquisition $866.7 million. 4 2
Slide 3: WHSP Listed Equity Investments
WHSP (Parent Company) Listed Equity Investments (excluding controlled entities & associates) • Market value of the portfolio was $586.1m. • Acquisitions of $27.0m included: Transurban Wesfarmers APA Group Santos BHP Billiton Insurance Australia Group eCargo Holdings • Proceeds from disposals were $1
Slide 4: Associated Entities: TPG Telecom Limited
Associated Entities TPG Telecom Limited 26.9% held 7 Associated Entities TPG Telecom Limited Consumer Business • EBITDA of $117.1m, up 17%. • Underlying EBITDA up $17.9m / 18%. • Subscribers as 31 January 2015: • Broadband 786,000, up 38,000 during the half. • Mobile 342,000. Corporate Business • EB
Slide 5: TPG Telecom: International Capacity
Associated Entities TPG Telecom Limited International Capacity New Southern Cross capacity agreement • Capacity to increase by 5 times. • To commence in December 2015. • Capital commitment of US$53m over 6 years. 9 Associated Entities TPG Telecom Limited International Capacity SEA-US capacity agreem
Slide 6: TPG Telecom: Cash Flow and FY15 Guidance
Associated Entities TPG Telecom Limited • Operating cash flow (pre-tax) of $238.1m. • Free cash flow of $102.9m. • $30m of debt repaid. • Fully franked Interim Dividend of 5.5 cents, Increased by 22%. • Contributed $28.7m to Group Profit, up from $24.2m for the pcp. 11 Associated Entities TPG Teleco
Slide 7: TPG Telecom: Proposed Acquisition of iiNet; Brickworks
Associated Entities TPG Telecom Limited Proposed Acquisition of iiNet Limited • Entered into a scheme of arrangement: • On 13 March 2015 for all ordinary shares not owned. • Consideration of $8.60 per share. • Scheme is recommended by the iiNet board. • Scheme is subject to approval by: • ACCC. • ii
Slide 8: Australian Pharmaceutical Industries
Associated Entities Australian Pharmaceutical Industries Year Ended 31 August 2014 24.6% held • Statutory loss of $90.8m (after impairments at the half year). • Underlying net profit of $31.7m, up 32.5%. • Priceline and Priceline Pharmacy network: • Sales growth of 11% (like-for-like 6%). • Store nu
Slide 9: API Update; Australian Logistics Property Fund
Associated Entities Australian Pharmaceutical Industries Update Forecast net profit after tax for the 6 months ending 28 February 2015, minimum of $21.1m. • Up on the underlying net profit of $16.2m for the pcp. • Priceline and Priceline Pharmacy comparable store growth of 3.9%. 17 Controlled Entiti
Slide 10: Carrington Trust; New Hope Corporation
Controlled Entities Carrington Trust PSRE 46 Carrington Road Trust 100% held Half Year Ended 31 January 2015 • Holds a property at 46 Carrington Road, Castle Hill. • 4 hectare land parcel with over 20,000sqm of lettable area (both warehouse and office space). • Area announced as an Urban Activation
Slide 11: New Hope Corporation: Dividend and Mining Operations
Controlled Entities New Hope Corporation Limited • Interim dividend of 4 cents per share, fully franked. • Contribution to the Group: • Regular Profit of $20.4m • Non-regular expenses of $34.2m. 21 Controlled Entities New Hope Corporation Limited Mining Operations • Clean coal production was 2.87Mt,
Slide 12: New Hope: Acland Pastoral and Bridgeport Energy
Controlled Entities New Hope Corporation Limited Acland Pastoral Company • 5 year development plan is now being implemented. • Further investment in fencing and water points underway. • Cattle herd sold down to 1,472 head. • Recent rains have improved the feed situation. • Mung beans have been plant
Slide 13: New Hope: New Acland Continuation Plan and Outlook
Controlled Entities New Hope Corporation Limited New Acland Continuation Plan • Queensland Coordinator-General conditionally approved the plan in December 2014. • Federal Minister decision was due in February, 3 month extension due to the new Qld. Government. • To extend mine life to 2029 with 2 new
Slide 14: CopperChem Limited and Exco Resources Limited
Controlled Entities CopperChem Limited and Exco Resources Limited 100% held Half Year Ended 31 January 2015 • The Mt Colin open-cut mine was completed during the half. • Produced 360,000 tonnes of ore at 2.59% copper, producing 9,300 tonnes of copper in feed, 13% above forecast. • Revenue from coppe
Slide 15: CopperChem; Contributions by Other Group Entities
Controlled Entities CopperChem Limited and Exco Resources Limited 100% held • Water Supply: • Operations continued to be affected by the harsh drought conditions that have adversely affected production over the last 24 months. • Return to a more normal wet season this summer, largely replenishing mu
Slide 16: Washington H. Soul Pattinson and Company Limited
Washington H. Soul Pattinson and Company Limited “A Diversified Investment House” 31 16
Washington H. Soul Pattinson and Company — H1 2015 Earnings Presentation on 6ix