Nrw Holdings Limited · ASX:NWH
Nrw — FY2018 Earnings Presentation
27 slides from Nrw's earnings presentation, August 2018
Slide 1: NRW Holdings FY18 Year End Results
For personal use only NRW HOLDINGS AUGUST 2018 FY18 YEAR END RESULTS
Slide 2: NRW Holdings Overview
NRW HOLDINGS OVERVIEW For personal use only Leader of diversified 1994 Order Book services to the resource Founded NRW Civil & Mining and infrastructure $2.2 billion sectors 2007 Listed on the ASX 2010 Established Action Drill & Blast 2016 Acquired Hughes East Coast Drill & Blast 2017 Acquired Goldi
Slide 3: Our Divisions
OUR DIVISIONS For personal use only Civil & Mining Golding Action Drill & Blast Leading provider of civil and mining Market leading Queensland-based civil, One of the largest drilling and blasting services to the public infrastructure and mining and urban services contractor, teams in Australia, Act
Slide 4: Results Overview
RESULTS OVERVIEW • Revenue: $754.3M (1) double the same period last year. For personal use only • EBITDA (2): $93.5M compared to $58.9M in the prior comparative period. • Net Profit after Tax: $42.2M up 48% on last year. • Golding acquisition completed September 2017: – Acquisition price $85M; – Gol
Slide 5: Operational Summary
OPERATIONAL SUMMARY • Golding For personal use only The business exceeded all acquisition assumptions. Strong management team. Major contracts secured and contract extensions at: Isaac Plains Curragh Baralaba Pacific Highway SE Queensland Urban projects Civil business positioned to
Slide 6: HSE & People
HSE & PEOPLE • Our goal is the elimination of serious injuries through the For personal use only effective and uncompromising management of hazards in Total Recordable Injury Frequency Rate our workplaces. 8 • Total Recordable Injury Frequency Rate (TRIFR) 6 performance across the business for the F
Slide 7: Financial Overview
For personal use only FINANCIAL OVERVIEW Yandicoogina Sustaining Project Stage 2. 7
Slide 8: Summary Financials
SUMMARY FINANCIALS For personal use only FY18 FY17 • Revenue up 98% - Golding acquisition Revenue Earnings Revenue Earnings and increasing order book. $M $M $M $M Total Revenue including Associates 754.3 370.3 • Revenue from associates is FAL contract EBITDA (1) 93.5 58.9 through Joint Venture with
Slide 9: Balance Sheet & Liquidity
BALANCE SHEET & LIQUIDITY 30 June 18 31 June 17 Golding (1) Balance Sheet For personal use only $M $M $M • Increase in Cash from operations (EBITDA) Cash 58.8 42.3 13.1 Debt (93.2) (63.1) (2.4) • Net assets increased to $272.6M Net Debt (34.4) (20.8) 10.7 • Goodwill and Intangibles relates to Goldin
Slide 10: Business Performance
For personal use only BUSINESS PERFORMANCE 10
Slide 11: Business Structure
BUSINESS STRUCTURE For personal use only CIVIL MINING DRILL & BLAST NRW Civil NRW Mining Action Drill & Blast Golding Civil Golding Mining Golding Urban AES Equipment Solutions CAPABILITIES CAPABILITIES CAPABILITIES - Mine development - Whole of mine management - Drilling - Bulk earthworks - Mine de
Slide 12: Civil
CIVIL For personal use only Carrapateena Airstrip. 12
Slide 13: Civil Results
CIVIL Results For personal use only $M FY18 FY17 • Revenue increase due to Golding Civil and Urban, new work Revenue 311.3 103.9 in Western Australia and increasing activity on FAL. EBIT 17.8 1.0 • EBITDA improvement reflects revenue increases. 5.7% 1.0% • Initial margin recognition on FAL ($1.8M).
Slide 14: Civil Outlook
CIVIL Outlook For personal use only • Currently bidding work for replacement tonnes programs (Iron Ore). • Scope of works include 300km of new rail to construct and multiple Brownfield and Greenfield projects. • Directly addressable opportunities (earthworks and concrete) circa $2.5 billion over fou
Slide 15: Mining
MINING For personal use only Dalgaranga Gold Project. 15
Slide 16: Mining Results
MINING For personal use only Results FY18 FY17 • Revenue and EBITDA increase due to Golding and Q4 Revenue 347.3 185.0 contribution from Dalgaranga EBIT 38.4 25.5 • EBITDA margins at 19.1% down on FY17 which 11.0% 13.8% EBITDA 66.5 44.5 included prior period incentives linked to coal pricing. 19.1%
Slide 17: Mining Outlook
MINING For personal use only Outlook • FY19 secured revenue $555M • Increasing activity across resources market • Baralaba contract performed using client equipment, which reduces NRW balance sheet risk. No depreciation on the project hence lower EBITDA margin Contract timelines below Middlemount Ko
Slide 18: Action Drill & Blast
ACTION DRILL & BLAST For personal use only Boggabri Coal Project . 18
Slide 19: Action Drill & Blast Results
ACTION DRILL & BLAST Results For personal use only • Revenue increase due to Hughes acquisition. FY18 FY17 • EBITDA impacted by drill remediation programme to improve Revenue 117.0 88.1 utilisation. EBIT 1.7 4.2 • Tangible improvements being seen on drills returned to site 1.4% 4.8% operations . EBI
Slide 20: Drill Utilisation
ACTION DRILL & BLAST For personal use only Drill Utilisation • A number of major rebuilds have been completed (circa 40% of the target fleet). • Improved maintenance regime implemented. • Combination of rebuild program and elimination of repeat failures is expected to deliver an approximate 10% redu
Slide 21: Summary
For personal use only SUMMARY 21
Slide 22: Tender Pipeline
TENDER PIPELINE • Current Order book $2.2B (1) For personal use only Group Revenue Trend • Secured revenue for FY19 is $950M • FY19 revenue guidance $1.1B • Pipeline circa $6.0B – breakdown below: • Mining pipeline lower as a number of contracts were awarded to NRW in the last six months. • Increasi
Slide 23: Summary
SUMMARY For personal use only • 40 active projects across Australia. • Positioning in key traditional markets further enhanced through recent South Flank award. • Golding acquisition performing well, strong platform to facilitate growth plans on the east coast. • Expecting revenue growth of 40% in F
Slide 24: Appendices
For personal use only APPENDICES 24
Slide 25: Project Locations
For personal use only PROJECT LOCATIONS 25
Slide 26: Disclaimer
DISCLAIMER Summary information For personal use only • This Presentation contains summary information about NRW and its associated entities and their activities current only at the date of this Presentation. • This Presentation is for general information purposes only and does not purport to be comp
Slide 27: NRW.COM.AU
For personal use only NRW.COM.AU