Origin Energy Limited · ASX:ORG
Origin Energy — Shareholder Meeting (October 2016)
18 slides from Origin Energy's shareholder meeting presentation, Oct 19, 2016
Slide 1: 2016 Annual General Meeting
2016 ANNUAL GENERAL MEETING 19 October 2016
Slide 2: Important Notices
Important Notices Forward looking statements This presentation contains forward looking statements, including statements of current intention, statements of opinion, guidance and predictions as to possible future events. Such statements are not statements of fact and there can be no assurance or cer
Slide 3: Oil continued to impact Origin share price
Oil continued to impact Origin share price 120 100 80 60 40 20 FY2015 FY2016 0 S&P ASX 100 Origin US$ Brent 3
Slide 4: Adjusted net debt reduced by $4 billion
Adjusted net debt reduced by $4 billion 14 13.1 (2.9) 12 13.1 (2.9) 10 (2.5) 0.4 (2.5) 1.2 9.1 9.1 (0.1)1 $ billion 8 0.7 (1.3) 0.6 (1.3) 6 4 2 0 30-Jun-15 Sale of Contact Entitlement Asset sales Cash Flow from Interest Capital APLNG cash Dividend 30-Jun-16 Adjusted Net Offer Operations payments exp
Slide 5: Cash flow optimised through disciplined use of capital
Cash flow optimised through disciplined use of capital Net Cash Flow from Operating and Investing Activities (Total Operations) 1,500 1,641 (280) 1,215 500 $ million 1,413 (500) (1,500) 522 (2,081) (2,500) FY2015 Energy Integrated Corporate Contact FY2016 Markets Gas 5
Slide 6: An oil hedging strategy for FY2018 has commenced
An oil hedging strategy for FY2018 has commenced • 15 million barrels1 have been hedged in FY2018 using a combination of puts and collars with a floor strike of US$45 per barrel - The collar hedge consists of 8.5 million barrels capped at an average of US$70 per barrel • The strategy is focused on p
Slide 7: Energy Markets delivered EBITDA and cash flow growth
Energy Markets delivered EBITDA and cash flow growth Underlying EBITDA Net cash flow from Operating and Investing Activities $m $m 1,600 1,600 + 6% + $522 m Lower cost to serve 1,330 1,200 1,260 1,200 1,262 EBIT/Sales margin increased from 9.6% to 10.1% 800 800 740 Customer accounts stable at
Slide 8: APLNG commenced exports in January 2016
APLNG commenced exports in January 2016 50 cargoes shipped to date Productivity focus Train 1 production exceeding nameplate capacity 8
Slide 9: Positive outlook for Energy Markets
Positive outlook for Energy Markets Underlying EBITDA $m 1,600 Low cost business model 1,200 Customer service improving (38% on e-billing) $1.33bn $1.44 – 800 $1.44 – $1.54bn $1.33bn $1.54bn Innovative products & services (data analytics) 400 Utility scale renewables (+800 MW) 0 FY2016 FY201
Slide 10: Continued progress in Integrated Gas
Continued progress in Integrated Gas Underlying EBITDA $m 1,400 1,200 1,000 Train 1 120-day operational test complete 800 Train 2 first cargo achieved 600 $1.0 – $1.15bn 400 $0.4bn 200 0 FY2016 FY2017 Actual Guidance 10
Slide 11: Origin's existing FY2017 guidance remains appropriate
Origin’s existing FY2017 guidance remains appropriate • Overall Origin EBITDA guidance remains appropriate • Guidance based on FY2017 Guidance A$ million - Average oil price of US$52.90, AUD/USD exchange rate of 0.74 Energy Markets 1,440 - 1,540 - APLNG Train 2 revenue recognition commencing in Q3 F
Slide 12: Origin is Australia's leading clean energy company
Origin is Australia’s leading clean energy company Committed to all seven of the We Mean Business Coalition initiatives Over 800 MW of large scale renewables contracted Planning to build or contract another 1000 – 1500 MW of large scale renewables by 2020 400,000 electricity customers with r
Slide 13: Making Origin a safer place to work
Making Origin a safer place to work Total Recordable Injury Frequency Rate (TRIFR) 300 6 250 5 200 4 150 3 100 2 50 1 0 0 FY2014 FY2015 FY2016 Recordable injuries (LHS) TRIFR (RHS) 13
Slide 14: Formal Business
FORMAL BUSINESS 14
Slide 15: Items of Business
Items of Business 1. Financial Report 2. Re-election of Mr Gordon Cairns 3. Re-election of Mr Bruce Morgan 4. Remuneration Report 5. Equity grants to Managing Director Mr Grant King 6. Renewal of proportional takeover provisions 15
Slide 16: 2016 AGM Summary of Proxy Voting as at Proxy Close
2016 AGM Summary of Proxy Voting as at Proxy Close Item of Business FOR AGAINST OPEN 2. Re-election of Mr Gordon Cairns 946,358,983 10,226,474 13,740,233 (97.53%) (1.05%) (1.42%) 3. Re-election of Mr Bruce Morgan 956,694,576 9,086,980 13,672,277 (97.67%) (0.93%) (1.40%) 4. Remuneration Report 932,83
Slide 17: 2016 Annual General Meeting
2016 ANNUAL GENERAL MEETING 19 October 2016 17
Slide 18: 2016 Annual General Meeting
2016 ANNUAL GENERAL MEETING 19 October 2016 18