ENCE Energia y Celulosa SA · BME:ENC
ENCE Energia y Celulosa SA — Ence — 9M11 Earnings Presentation
13 slides from ENCE Energia y Celulosa SA's earnings presentation, Nov 2, 2011
Slide 1: Ence 9M11 results
Ence 9M11 results Madrid - November 2nd, 2011 1
Slide 2: 9M11 results: highlights
9M11 results: highlights 1 Solid operating performance to maximize utilization ratio drives pulp output growth 2 Supportive pulp market prices, which remain attractive despite recent weakness 3 Acceleration of sales & margin contribution of energy business, acting as key efficiency lever 4 Sustained
Slide 3: 9M11 results: summary of main financial indicators
9M11 results: summary of main financial indicators 9M11 9M10 Change €Mn €Mn y/y Net sales 627.4 607.8 3% Pulp Sales 456.5 468.0 (2%) Energy Sales 133.7 101.3 32% Forestry and Other Sales 37.2 38.5 (3%) EBITDA (adjusted) 130.4 156.9 (17%) Hedging (11.2) (8.6) 30% Severance payments (5.0) (0.4) n.s. P
Slide 4: 9M11 results: pulp sales evolution
9M11 results: pulp sales evolution Pulp sales Pulp sales 340,000 (€M) (‘000t) Evolution of pulp sales and production 320,000 300,000 +8% 280,000 -2% 854.7 900.1 260,000 240,000 468.0 220,000 Production expected to stay above 320,000 456.5 tons in 4Q11 in line with 3Q11 levels 200,000 180,000 1Q09 2Q
Slide 5: Price evolution: price weakness due to demand slowdown...
Price evolution: price weakness due to demand slowdown... 1100 25 180 Evolution of pulp prices per ton Comparison of long and short fiber in days of inventory and price 1000 20 150 900 15 120 800 10 90 700 5 60 600 0 30 500 400 (5) 0 300 (10) (30) Sep-05 Sep-00 Sep-01 Sep-02 Sep-03 Sep-04 Sep-06 Sep
Slide 6: ... while Chinese imports recovery offer a more stable scenario for year end
... while Chinese imports recovery offer a more stable scenario for year end 6 30% 55 Pulp demand (millon tonnes) Inventories in days (three months average) 50 5 25% 45 4 20% 40 3 15% 35 2 10% 30 25 1 5% 20 0 0% Producers Consumers 15 Sep-02 Sep-06 Sep-10 Mar-01 Sep-00 Sep-01 Sep-03 Sep-04 Sep-05 Se
Slide 7: 9M11 results: renewable energy sales evolution
9M11 results: renewable energy sales evolution 430,000 Electricity sales (€Mn) Evolution of electricity sales and production 380,000 +32% 330,000 280,000 134 101 230,000 180,000 4Q09 1Q09 2Q09 3Q09 1Q10 2Q10 3Q10 4Q10 1Q11 2Q11 3Q11 9M10 9M11 Electricity Sales (MWh) Electricity Production (MWh) 140
Slide 8: 9M11 results: cash cost evolution
9M11 results: cash cost evolution 400 16.1 Evolution of cash cost (€/t) 390 8.0 9.3 3.6 380 370 10.9 4.9 0.7 2.5 360 350 371 371 Affected by rise in oil & gas prices 340 330 Cash Cost 9M10 Wood cost Energy cost MWh sold per Price per MWh Chemical and Fix production Commercial and Corporate costs Cas
Slide 9: 9M11 results: EBITDA evolution
9M11 results: EBITDA evolution EBITDA (€Mn) Adjusted EBITDA (€Mn) -17% -23% Adjusted EBITDA stands at €130.4Mn in 9M11, -17% below the 9M10 149.7 156.9 EBITDA stands at €114.7Mn in 9M11, -23% 130.4 below the 9M10 114.7 The fall is mainly due to a reduction in pulp prices and higher cost of che
Slide 10: 9M11 results: net debt evolution
9M11 results: net debt evolution Net financial debt evolution (€Mn) 250 35 200 62 150 89 100 189 181 50 0 Net financial Change in Other Investments Net financial debt 9M10 working operating cash debt 9M11 capital flows (*) Figures excludes debt and capex related to biomass plant in Huelva, financed
Slide 11: 9M11 results: highlights
9M11 results: highlights 1 Solid operating performance to maximize utilization ratio drives pulp output growth 2 Supportive pulp market prices, which remain attractive despite recent weakness 3 Acceleration of sales & margin contribution of energy business, acting as key efficiency lever 4 Sustained
Slide 12: Disclaimer
Disclaimer This presentation contains statements that constitute forward looking statements in its general meaning and within the meaning of the Private Securities Litigation Reform Act of 1995. These statements appear in a number of places in this document and include statements regarding the inten
Slide 13: Gracias
Ence 9M11 results Madrid - November 2nd, 2011 Gracias 13