Qatar Aluminium Manufacturing Company · QSE:QAMC
Qatar Aluminium Manufacturing — Q1 2021 Earnings Presentation
28 slides from Qatar Aluminium Manufacturing's earnings presentation, Mar 31, 2021
Slide 1: Qatar Aluminium Manufacturing Company Investor Relations Presentation
Qatar Aluminium Manufacturing Company Investor Relations Presentation 31 March 2021
Slide 2: Disclaimer
Disclaimer The company in which Qatar Aluminium Manufacturing Company Q.P.S.C. directly owns investment is a separate entity. In this presentation, “QAMCO” and “the Company” are sometimes used for convenience in reference to Qatar Aluminium Manufacturing Company Q.P.S.C. This presentation may contai
Slide 3: Table of Content
Table of Content 1. About QAMCO 2. Ownership Structure 3. Board of Directors 4. Competitive advantages 5. Results at a Glance (For the three-month period ended 31 March 2021) 6. Market statistics and dividends 7. Operations of joint venture 8. CAPEX and Cash flows (2021f – 2025f) 9. Results at a Gla
Slide 4: About QAMCO
rk 7m About QAMCO
Slide 5: About QAMCO
About QAMCO • Qatar Aluminum Manufacturing Company • The Authorized share capital is QR Q.P.S.C (QAMCO) was incorporated on 5,580,120,000 divided into 5,580,119,999 December 3, 2018 and listed on Qatar ordinary Shares and one (1) Special Share. The Stock Exchange on December 16, 2018. free float con
Slide 6: Ownership Structure
Ownership Structure Qatar Petroleum Public (51%) (49%) QAMCO Qatalum Joint Venture (50%) 6 QAMCO, IR Presentation, Q1-21
Slide 7: About QAMCO
About QAMCO • QAMCO Board of Directors consist of: Mr. Abdulrahman Ahmad Al-Shaibi Chairman Mr. Ahmad Saeed Al-Amoodi Mr. Mohammed Essa Al-Mannai Vice Chairman Member Mr. Mohammed Jaber Al-Sulaiti Mr. Nabeel Mohammed Al-Buenain Member Member Mr. Khalid Mohammed Laram Member 7 For detailed biographie
Slide 8: Competitive Advantages
Competitive Advantages Low cost aluminium Proven financial position smelter • Focused investment for aluminium segment • Positive share of operating profit margins from its • State of the art production facility and technology joint venture deployed • Healthy share of operating cash flow generation
Slide 9: Results at a glance (three-month period ended March 2021)
Results at a glance (For the three-month period ended 31 March 2021) 9
Slide 10: Key Performance Indicators
Key Performance Indicators For the three-month period ended 31 March 2021 Production (MT’000) – 100% • Q1-21 production volumes remained at par as compared to Q1-20. • Q1-21 production volumes marginally declined by 2% versus Q4-20. Sales Volumes (MT’000) – 100% • Q1-21 sales volumes marginally down
Slide 11: Key Performance Indicators - QAMCO share in JV
Key Performance Indicators For the three-month period ended 31 March 2021 - QAMCO share in JV Share of Revenue (QR million) QAMCO’s Net Profit (QR million) • Q1-21 vs Q1-20: Profitability improved due to continued • Q1-21 vs Q1-20: Share of revenue inclined, mainly due uptick in aluminium prices wit
Slide 12: Net Profit Variance Analysis
Net Profit Variance Analysis (Amounts in QR’ million) QAMCO reported a net profit of QR 124 million, an increase in profitability by 1,053% compared to Q1-20. Results affected by Joint Venture performance due to: Favorable movements a) Higher average realized prices (+15%) and improved product mix
Slide 13: Analysis of Selling Prices
Analysis of Selling Prices Selling Prices ($ / MT) o Q1-21 average selling prices improved from Q1-20 and Q4-20 levels, due to persistent strength from macroeconomic LME Price LME Premium LME Price dynamics, along with renewed demand 1,920 difference difference of aluminium products at a global scal
Slide 14: Analysis of EBITDA margins
Analysis of EBITDA margins Despite volatile primary aluminium prices since 2019, QAMCO’s JV EBITDA margins continue to remain robust & resilient 2,300 41% Primary Aluminium Price (USD/ton) 39.4% 2,200 QAMCO’s JV EBITDA Margins (%) 39% 2,100 36.0% 37% 2,000 35% 1,900 33% 1,800 29.4% 31% 1,700 27.8% 2
Slide 15: Geographic analysis – QAMCO JV revenue
Geographic analysis – QAMCO JV revenue Asia remained QAMCO JV’s largest market, while its presence in US and Europe continued to be substantial Europe 23% Qatar North America 4% Asia 16% 57% 15 QAMCO, IR Presentation, Q1-21
Slide 16: QAMCO JV revenue – product mix (%)
QAMCO JV revenue – product mix (%) Extrusion ingots along with foundry alloys (together referred to as value added or premium products) remains key products for QAMCO’s JV. Q1-21 QAMCO JV Sales Q1-20 QAMCO JV Sales Volumes – Product mix (%) Volumes – Product mix (%) 9% 48% 48% 52% 43% Extrusion In
Slide 17: Market Statistics and dividend distribution
Market Statistics and dividend distribution 17
Slide 18: Market Statistics and Dividends
Market Statistics and Dividends 8.00 Market Cap (QR Billion) QAR 6.6 bn 7.00 6.00 5.00 4.00 3.00 2.00 1.00 - Dividend distribution since incorporation Interim Final Final Dividend - Dividend - Dividend - Total 2019 2019 2020 QR 111.6m QR 55.8m QR 195.3 m QR 362.7m QR 0.02 per QR 0.01 per QR 0.035 pe
Slide 19: Operations of Joint Venture
Operations of Joint Venture 19
Slide 20: QAMCO’s Joint Venture
QAMCO’s Joint Venture • Qatar Aluminium (Qatalum) is located in Qatar, the company benefits from access to one of the world’s largest and most competitively priced sources of energy which allows it to maintain a first quartile cost position, one of the industry’s highest profit margins and strong ca
Slide 21: QAMCO’s Joint Venture – Sales and Marketing
QAMCO’s Joint Venture Sales and Marketing: • With a Marketing and Offtake Agreement, Hydro Aluminium is responsible for the offtake and marketing of 100% of Qatar Aluminium product's. The Marketing and Offtake Agreement gives Qatar Aluminium (Qatalum) access to Hydro Aluminium’s worldwide sales netw
Slide 22: CAPEX and Cash Flows (2021-2025) – QAMCO’s Share
CAPEX and Cash Flows (2021-2025) – (QAMCO’s Share) CAPEX: o Planned CAPEX (2021-25) include routine operations such as pot relining and other maintenance pertaining to power plant and anode plant. Cash Flows: Cash Flows (QAR’ m) 2021 2022 2023 2024 2025 o Impressive cash flows from Net operating cas
Slide 23: Results at glance (2019 - 2020)
Results at glance (2019 - 2020) 23
Slide 24: Key Performance Indicators
Key Performance Indicators QAMCO share in JV Production (MT’000) – 100% Sales Volumes (MT’000) – 100% Selling Prices ($ / MT) • 2020 Production and sales volumes remained flat in comparison to 2019. • Selling prices remained under pressure in 2020, due to adverse macroeconomic conditions. Share of R
Slide 25: Governance Structure
Governance Structure 25
Slide 26: Governance Structure
Governance Structure Board structure Board committees • QAMCO Board of Directors consists of six (6) • The Board of Directors established Board Directors, all were appointed by the Special Committees and Special Committees to carry Shareholder “Qatar Petroleum”. QP appoints out specific tasks. The B
Slide 27: Governance Structure
Governance Structure Remuneration Shareholders’ rights Board of Directors • The Company’s Articles of Associations provide for • The Company has developed a periodically the rights of shareholders, particularly the rights to revisited remuneration policy for Board members. receive dividends, attend
Slide 28: Thank You
THANK YOU For further information, Qatar Aluminium Manufacturing Company can be contacted as follows: Telephone: (+974) 4013 2277 Fax: (+974) 4013 9750 E-mail: qamco.investorrelations@qp.com.qa or qamco@qp.com.qa Address: P. O. Box 3212, Doha, State of Qatar. Please refer to www.qamco.com.qa for the
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