Slide 1: 2015 Full Year Results
2015 Full Year Results For personal use only Tuesday 18 August 2015
Slide 2: Company Profile
Company Profile For personal use only Monadelphous Group Limited (ASX:MND) is an S&P/ASX 200 company that provides construction, maintenance and industrial services to the resources, energy and infrastructure sectors throughout Australasia. Earnings Dividends People Revenue NPAT per share per share
Slide 3: Group Highlights
Group Highlights For personal use only • Sales revenue down 19.9% to $1,865m • NPAT of $105.8m down 23.6%^, EBITDA of $168.0m • EPS 113.9c, DPS 92c fully franked • Robust cashflow from operations of $117.8m, conversion rate of 88% • Record safety performance – TCIFR 3.16, a 3% improvement • $450m ne
Slide 4: Contract Activity
For personal use only 4 Contract Activity
Slide 5: Contracts Secured
For personal use only 5 Contracts Secured
Slide 6: Productivity
Productivity For personal use only Company-wide cost reduction program • Rationalised staffing levels • Adjusted remuneration levels to reflect change Annualised cost in market conditions saving of • Consolidated support and services functions $56m, includes • Improved project management practices $
Slide 7: Safety Scorecard
Safety Scorecard For personal use only Injury Frequency Rates* • Record safety performance – TCIFR improved 3% • Implementation of incident management system has improved reporting • Continued focus on safety leadership and risk management. 7
Slide 8: People Performance
People Performance For personal use only Employee Numbers Employees by Division • Reduction in employee numbers in line with completion of projects, slowdown in construction activity and consolidation of support and services functions • Tight market conditions led to improved availability of labour
Slide 9: Financial Performance
Financial Performance For personal use only Group highlights Unit FY15 FY14^ Change Sales Revenue $m 1,865.0 2,329.6 (19.9%) EBITDA^ $m 168.0 221.2 (24.1%) EBITDA Margin^ % 9.00 9.50 (0.5pp*) NPAT^ $m 105.8 138.6 (23.6%) NPAT Margin^ % 5.67 5.95 (0.28pp*) EPS^ cps 113.9 150.4 (24.3%) Operating Cash
Slide 10: Financial Position and Funding
Financial Position and Funding For personal use only Strong balance sheet FY15 FY14 Change $m $m Cash at Bank 209.8 217.9 (3.7%) Net Cash Position 186.6 180.8 3.2% (Cash less interest bearing loans and borrowings) Capital Expenditure 11.5 7.1 62.0% (Cash and Hire Purchase) Bank Guarantee and Perform
Slide 11: Historical Performance
Historical Performance For personal use only ^ Underlying basis. Refer to slide 21 for reconciliation. *2012 comparative excludes sale of Norfolk Group Limited shares. Refer to slide 21 for details. 11
Slide 12: Cash Flow Performance
Cash Flow Performance For personal use only Operating Cash Flow ($m) Cash Flow Conversion • Robust cash flow from operations and improved cash flow conversion ^ Underlying basis. Refer to slide 21 for reconciliation. *2012 comparative excludes sale of Norfolk Group Limited shares. Refer to slide 21
Slide 13: Sales Revenue Summary
Sales Revenue Summary For personal use only Divisional Highlights Revenue by Division FY15 FY14 Change $m $m Engineering Construction 1,245.5 1,670.8 (25.5%) Maintenance & Industrial Services 621.2 663.5 (6.4%) Skystar - 7.9 Internal Eliminations (1.7) (12.6) Total 1,865.0 2,329.6 (19.9%) 13
Slide 14: Engineering Construction
Engineering Construction For personal use only Highlights End Customer Sales Revenue ($m) • Growth in infrastructure work (pipelines and water) • Established strong position in upstream CSG market • Integrated WI Group. Major Contract Activity New Contract Awards • APLNG CSG Projects, Queensland • S
Slide 15: Maintenance and Industrial Services
Maintenance and Industrial Services For personal use only Highlights End Customer Sales Revenue ($m) • Worked with customers to reduce costs and improve productivity • Retained all contracts • Successful completion of three major LNG shutdowns • Strengthened position with oil and gas customers. Majo
Slide 16: Revenue by End Customer Market
Revenue by End Customer Market For personal use only 16
Slide 17: Revenue by Service Market
Revenue by Service Market For personal use only 17
Slide 18: Australian Market Conditions
Australian Market Conditions For personal use only Total Resources (A$b) Total Energy (A$b) Source BIS Shrapnel - Total New Fixed Capital Expenditure Constant (updated May 2015) Source BIS Shrapnel - Total New Fixed Capital Expenditure Constant (updated May 2015) Total Infrastructure (A$b) Total Mai
Slide 19: Market Growth Strategy
Market Growth Strategy For personal use only Monadelphous’ long-term sustainable growth will come through maximising returns in our core service markets and broadening our revenue base through targeted entry into new customer and service markets. Maximise our position Enter new service Expand core s
Slide 20: Outlook
Outlook For personal use only • Australian market conditions are expected to remain soft • Customers will continue to focus on reducing operating expenditure, improving productivity and restraining capital expenditure • Prospects for oil and gas maintenance and industrial services activities are exp
Slide 21: Notes to Financials
Notes to Financials For personal use only Non-IFRS Financial Information 2015 2014 $’000 $’000 Monadelphous Group Limited results are reported under International Financial Reporting Standards (IFRS) as issued by the International Accounting Standards Board. The Underlying EBITDA Company discloses c
Slide 22: Important Notice
Important Notice For personal use only Disclaimer Information, including forecast financial information, in this presentation, should not be considered as a recommendation in relation to holding, purchasing or selling shares, securities or other instruments in Monadelphous Group Limited or any other
Slide 23: For more information
For more information For personal use only Investor Relations Telephone: +61 (08) 9315 7312 Email: investor_relations@monadel.com.au www.monadelphous.com.au