Slide 1: STRABAG SE FY 2014 Results
STRABAG SE FY 2014 RESULTS 29 APRIL 2015
Slide 2: Disclaimer
DISCLAIMER This presentation is made by STRABAG SE (the "Company") solely for This presentation contains forward-looking statements relating to the use at investor meetings and is furnished to you solely for your business, financial performance and results of the Company and/or the information. indu
Slide 3: 2014: Teams Work. In Progress – Targets Reached
2014: TEAMS WORK. IN PROGRESS – TARGETS REACHED Target 2014 Output volume € 13.6 bn € 13.6 bn EBIT ≥ € 260 m € 282 m 3% until 2016 EBIT margin 2.3% (2013: 2.1%) Equity ratio ≥ 25% 30.6% 30–50% of net income 40%, € 0.50 per Dividend after minorities (2013: € 0.45 per share) share FY 2014, April 2015
Slide 4: Output Volume Stable at a High Level
OUTPUT VOLUME STABLE AT A HIGH LEVEL OUTPUT VOLUME (€M) 20000 0% ● Output volume unchanged at a high € 13.6 bn 13,566 13,573 ● Increases in Germany and Austria offset with declines in the RANC region and Romania ● Germany and Austria still the two largest single markets 0 2014 2013 OUTPUT VOLUME 201
Slide 5: High Order Backlog of € 14.4 bn Covers More Than One Year's Output Volume
HIGH ORDER BACKLOG OF € 14.4 BN COVERS MORE THAN ONE YEAR‘S OUTPUT VOLUME ORDER BACKLOG (€M) 20000 7% ● Growth of the order backlog especially in Central and Eastern Europe 14,403 13,470 ● Already high level in Germany 0 2014 2013 ORDER BACKLOG 2014 BY REGION Rest of World 10% Germany Rest of 34% Eu
Slide 6: EBITDA and EBIT Increased
EBITDA AND EBIT INCREASED EBITDA (€M) AND EBITDA MARGIN (%) 800 4% 720 695 ● Improved earnings in Poland and reduction of burdens in connection with a hydraulic engineering project in Sweden ● Hydraulic engineering in Germany, a Dutch 5.8% 5.6% transportation infrastructures project and the business
Slide 7: Earnings per Share Rose by 13% to € 1.25
EARNINGS PER SHARE ROSE BY 13% TO € 1.25 NET INCOME A. MINORITIES (€M) & MARGIN (%) EARNINGS PER SHARE (€) 200 2 13% 13% 128 114 1.25 1.11 1.0% 0.9% 0 0 2014 2013 2014 2013 ● Net interest income improved from € -32 m to € -26 m ● Unusually high income tax rate of 42.3% due to the lack of tax savings
Slide 8: 11% Higher Dividend Proposed
11% HIGHER DIVIDEND PROPOSED DIVIDEND (€) AND PAYOUT RATIO (%) €2 100% ● Dividend per share of € 0.50 proposed (+11%) ● Payout ratio of 40% within predetermined payout range of 30–50% of net income after minorities 41% 40% 36% 34% 34% 0.60 0.55 0.50 0.45 0.20 €0 0% 2010 2011 2012 2013 2014 FY 2014,
Slide 9: Net Cash Increased, High Equity Ratio
NET CASH INCREASED, HIGH EQUITY RATIO NET DEBT (+)/NET CASH (-) (€M) EQUITY RATIO (%) 1000 0 40 31.1 31.2 30.7 30.3 30.6 155 0 -74 -268 -249 -669 -1000 0 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014 ● Equity ratio stable at a high level over the medium term at approx. 30% ● Net cash position in
Slide 10: Cash and Cash Equivalents Raised from € 1.7 bn to € 1.9 bn
CASH AND CASH EQUIVALENTS RAISED FROM € 1.7 BN TO € 1.9 BN (€m) 2014 ∆% 2013 Cash – beginning of period 1,685 25 1,351 Cash flow from earnings 620 21 513 ∆ Working Capital 185 2 181 Cash flow from operating activities 805 16 694 Cash flow from investing activities -435 -31 -332 Cash flow from financ
Slide 11: Free Cash Flow of € 370 m
FREE CASH FLOW OF € 370 M ∆ WORKING CAPITAL (€M) CFO VS. CFI (€M) CFI VS. DEPRECIATION (€M) 500 1000 1000 805 181 185 694 447 435 447 401 433 435 438 0 332 332 269 -240 0 0 2012 2013 2014 2012 2013 2014 -500 2012 2013 2014 CFO CFI CFI Depreciation ● FCF positive (CFO-CFI) ● Purchase of PP&E at € 346
Slide 12: North + West: Pressure from Large Projects
NORTH + WEST: PRESSURE FROM LARGE PROJECTS KEY INDICATORS COMMENTS (€m) 2014 ∆% 2013 ● Output volume grew despite the very restrained tender award policy on the part of the public authorities in Output volume 6,292 5 6,021 transportation infrastructures in Germany Revenue 5,719 4 5,501 ● EBIT lower
Slide 13: South + East: Reorganisations Prove Successful, but High Price Pressure
SOUTH + EAST: REORGANISATIONS PROVE SUCCESSFUL, BUT HIGH PRICE PRESSURE KEY INDICATORS COMMENTS (€m) 2014 ∆% 2013 ● Output volume decreased due completion of large Output volume 4,171 -9 4,593 projects in Romania and Russia – new orders in 3,997 the pipleine Revenue -10 4,422 Order backlog 4,142 9 3
Slide 14: International + Special Divisions: Satisfactory Business
INTERNATIONAL + SPECIAL DIVISIONS: SATISFACTORY BUSINESS KEY INDICATORS COMMENTS (€m) 2014 ∆% 2013 ● EBIT characterised especially by positive effects 2,970 stemming from the sale of an own real estate Output volume 5 2,822 development project, but also write-offs on raw Revenue 2,738 12 2,445 mater
Slide 15: Review: Earnings and Cash Flow Improved
REVIEW: EARNINGS AND CASH FLOW IMPROVED ● Output volume stable at € 13.6 bn ● Order backlog of € 14.4. bn covers more than one year’s planned output volume ● Earnings and cash flow improved − EBIT +8% to € 282 m − Earnings per share +13% to € 1.25 − Cash flow from operating activities +16% ● Dividen
Slide 16: Flexible Business Model, Selective Diversity: Resilience Over a Volatile Period
FLEXIBLE BUSINESS MODEL, SELECTIVE DIVERSITY: RESILIENCE OVER A VOLATILE PERIOD OUTPUT VOLUME (€M) ORDER BACKLOG (€M) 20000 20000 14,326 14,043 13,573 14,739 14,403 12,777 13,566 13,354 13,203 13,470 0 0 2010 2011 2012 2013 2014 2010 2011 2012 2013 2014 EBITDA (€M) AND EBITDA MARGIN (%) EBIT (€M) AN
Slide 17: Outlook: Target of 3% EBIT Margin as from 2016 Reiterated
OUTLOOK: TARGET OF 3% EBIT MARGIN AS FROM 2016 REITERATED ● Increase of output volume 2015 to € 14.0 bn forecasted (2014: € 13.6 bn) ● EBIT 2015 at least at € 300 m expected (2014: € 282 m) ● Target: raising EBIT margin gradually to 3% by 2016 (2014: 2.3%) − Task Force STRABAG 2013ff focused on rais
Slide 18: Appendix
APPENDIX
Slide 19: Equity Ratio Remains High at 31%
EQUITY RATIO REMAINS HIGH AT 31% ASSETS(1) LIABILITIES AND EQUITY(1) (€m) 2014 2013 (€m) 2014 2013 Intangible assets 536 502 Share capital 114 114 PP&E & investment property 2,048 2,183 Capital reserves 2,311 2,311 Associated companies 402 372 Retained earnings 459 492 Other financial assets2) 233 2
Slide 20: Group Income Statement 2014
GROUP INCOME STATEMENT 2014 (€m) 2014 2013 ∆% Output volume 13,566.00 13,573.07 0 Revenue 12,475.67 12,394.15 1 Changes in inventories/own work capitalised -25.66 42.49 n.m. Other operating income 225.22 232.24 -3 Construction materials, consumables and services used -8,163.26 -8,204.35 1 Personnel
Slide 21: Group Income Statement 2014 (cont.)
GROUP INCOME STATEMENT 2014 (CONT.) (€m) 2014 2013 ∆% EBITDA 719.94 694.91 4 Margin (%) 5.8 5.6 Depreciation and amortisation -437.98 -433.33 -1 EBIT 281.96 261.58 8 Margin (%) 2.3 2.1 Net interest income -26.20 -31.54 17 Income tax expense -108.26 -73.78 -47 Net income 147.50 156.26 -6 Attributable
Slide 22: STRABAG SE FY 2014 Results
STRABAG SE FY 2014 RESULTS 29 APRIL 2015