Nrw Holdings Limited · ASX:NWH
Nrw — FY2015 Earnings Presentation
16 slides from Nrw's earnings presentation, Aug 31, 2015
Slide 1: FY15 Year end results
For personal use only NRW Holdings Limited (ASX: NWH) FY15 Year end results 31 August 2015
Slide 2: Summary of Results
SUMMARY OF RESULTS • For personal use only Revenue of $775.9M lower than last year ($1,134.5M) – down cycle of Resources sector. • An impairment charge of $157.3M - higher than reported at the half year recognising further deterioration of equipment values in the second half of the financial year. •
Slide 3: Roy Hill Rail Dispute with Samsung
ROY HILL RAIL DISPUTE WITH SAMSUNG Despite committing to an agreed resolution process in February 2015, the Roy Hill Rail (RHR) Project For personal use only dispute is unresolved. An update of the dispute is set out below: • The adjudication process under the Construction Contracts Act 2004 (WA) (C
Slide 4: Operational Overview
OPERATIONAL OVERVIEW • Safety: Continued leading Safety performance For personal use only – TRIFR at 3.88. • Roy Hill Concrete Package: Currently demobilising – performance to agreed schedule and cost, no issues. • Nammuldi Mining and Crushing Contract win $140M: Work started within one week of cont
Slide 5: HSE & People
HSE & PEOPLE For personal use only • TRIFR currently sitting at 3.88 (Jun 15), an • As at end June NRW retained a workforce of increase from the 2.36 in June 2014. 846 reflecting NRW’s strategy to right size • LTIFR remained steady throughout FY15 the business to align with work in hand. increasing
Slide 6: Financial Overview
For personal use only FINANCIAL OVERVIEW 5
Slide 7: Summary Financials
SUMMARY FINANCIALS For personal use only • Revenue reduction (fewer Civil projects) – delayed and deferred client Capex. • Civil and Mining impacted by impairment and Roy Hill Rail loss: • Quantum of loss subject to confidentiality • Net cash outflow across both Roy Hill contracts circa $38M. • ADB
Slide 8: Cashflow & Balance Sheet
CASHFLOW & BALANCE SHEET Cash Movement FY15 For personal use only • Year end cash balance impacted by Roy Hill Rail. • Working Capital improvement includes resolution of prior year contract claims. • Debt repayments – All asset backed finance repaid to agreed terms. Debt Funding – Middlemount Contra
Slide 9: Business Unit Performance
For personal use only BUSINESS UNIT PERFORMANCE 8
Slide 10: Business Unit Overview: NRW Civil & Mining
BUSINESS UNIT OVERVIEW NRW Civil & Mining For personal use only CIVIL • Roy Hill Concrete currently demobilising – performance to agreed schedule and cost, no issues. • Nammuldi tunnels and road works completed. • Ravensthorpe Heavy Haul Route – Main Roads 10.7% WA Contract. 9.8% 10.8% 7.1% MINING •
Slide 11: Business Unit Overview: Action Drill & Blast, AES
BUSINESS UNIT OVERVIEW ACTION DRILL & BLAST For personal use only • Completed three year contract at Isaac Plains in December 14. • Secured second contract at Greenbushes. • Retained Fortescue Cloudbreak contract – Two year renewal. • Commenced drilling at St Ives for Gold Fields. • Minor BMA works.
Slide 12: Pipeline & Summary
For personal use only PIPELINE & SUMMARY 11
Slide 13: Tender Pipeline
TENDER PIPELINE • For personal use only Order Book of $663M at August 2015. • Tendering pipeline valued at $2.5 billion: ∙ Civil $1.1b ∙ Mining $0.8b ∙ Drill & Blast $0.6b • Major opportunity for Carmichael Coal – not in above. • NRW selected as one of three consortia working in JV with Salini Impre
Slide 14: Outlook
OUTLOOK • We remain committed to working closely with our clients: For personal use only – Focus on lowering operating costs and delivering improved productivity. – Capex spend on expansions and new projects in the resources sector is likely to remain subdued. – Large WA infrastructure projects anti
Slide 15: Project Locations
For personal use only PROJECT LOCATIONS 14
Slide 16: Disclaimer and Important Notice
DISCLAIMER AND IMPORTANT NOTICE • Information, including forecast financial information in this presentation should not be For personal use only considered as a recommendation in relation to holding, purchasing or selling shares, securities of other instruments in NRW Holdings Limited or any other c