Yancoal Australia Ltd. · ASX:YAL
Yancoal Australia — Shareholder Meeting (May 2024)
31 slides from Yancoal Australia's shareholder meeting presentation, May 30, 2024
Slide 1: 2024 Annual General Meeting Address and Presentation
YANCOAL AUSTRALIA LTD ADDRESS: Tower 2, 201 Sussex Street Sydney NSW 2000 PHONE: 61 2 8583 5300 FAX: 61 2 8583 5399 WEBSITE: www.yancoal.com.au 30 May 2024 ASX Release: 2024 Annual General Meeting Address and Presentation In accordance with ASX Listing Rule 3.13, this release provides the address to
Slide 2: 2024 Annual General Meeting
Yancoal Australia Yancoal Australia Ltd Level 18, Tower 2, 201 Sussex Street, 2024 Annual General Meeting Sydney NSW 2000 Ph: (02) 8583 5300 30 May 2024 Additional information - www.yancoal.com.au 1
Slide 3: 2024 AGM – Yancoal Australia Ltd
2024 AGM – Yancoal Australia Ltd ❖ Mr Gregory Fletcher, Co-Vice Chairman o Independent Non-Executive Director o Chair of the Audit and Risk Management Committee ❖ Mr David Moult, Chief Executive Officer 2
Slide 4: Important Notice and Disclaimer
Important Notice and Disclaimer Acceptance - This presentation is issued by Yancoal Australia Ltd ABN 82 111 859 119 (“Yancoal”). By accepting, accessing or reviewing this presentation, you acknowledge and agree to the terms set out in this Important Notice and Disclaimer. Summary of information - T
Slide 5: Important Notice and Disclaimer
Important Notice and Disclaimer Reserves and Resources Reporting - In this presentation, references to mineral resources (“Resources”) and ore reserves (“Reserves”) for Yancoal are compliant with the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves 2012 (“JO
Slide 6: Webcast instructions
Webcast instructions Computershare supported webcast • Instructions to access the webcast are available from the Yancoal website: • https://www.yancoal.com.au/page/en/investors/ 5
Slide 7: 2023 Review - Safety Performance
2023 Review - Safety Performance YAL Sites 12 month rolling TRIFR and LTIFR ➢ Sustained TRIFR reduction demonstrates the effectiveness of existing programs, and active 10 engagement of the workforce. 9 8 ➢ Continued improvement in the LTIFR rate. 7 ➢ Yancoal was a finalist in the 2023 Australian 6 W
Slide 8: 2023 Review - Sustainability
2023 Review - Sustainability ➢ In April 2024, the Group published its first Sustainability Report that integrates “Environment, Social & Governance” information with revised sustainability disclosures. ➢ The Sustainability Report is transitional, as Yancoal develops and implements processes to compl
Slide 9: 2023 Review - Financial Results Highlights
2023 Review - Financial Results Highlights $7.8 billion Revenue 35% reduction in TRIFR rate $3.5 billion Operating EBITDA (45% margin) to 5.1 over 2023 $1.8 billion Profit after Tax 60.2Mt ROM production (100%) $1.4 billion of cash (31 Dec 2023) 43.6Mt Saleable production (100%) No interest-bearing
Slide 10: 2023 Review - Coal Market Conditions
2023 Review - Coal Market Conditions Thermal benchmarks & Met. coal benchmarks & YAL Average thermal coal sale price* YAL Average met. coal sale price* 700 500 450 600 400 500 350 300 400 250 300 200 150 200 100 100 50 0 0 Jun-21 Sep-21 Dec-21 Mar-22 Jun-22 Sep-22 Dec-22 Mar-23 Jun-23 Sep-23 Dec-23
Slide 11: 2023 Review - Operations
2023 Review - Operations Attributable sales volume* Operating cash margin (per product tonne)** (Million tonnes) (A$/tonne) Thermal Metallurgical Cash operating costs Royalty Implied operating cash margin 40 37.9 37.5 400 35.6 35 4.2 33.1 5.8 350 5.5 29.3 4.7 30 300 4.7 25 250 251 20 200 33.7 115 15
Slide 12: 2023 Review – Revenue and EBITDA
2023 Review – Revenue and EBITDA Revenue and Average realised price Operating EBITDA and Margin (A$ Million) | (A$/tonne) (A$ Million) | (%) Revenue Average selling price, A$/t Operating EBITDA EBITDA Margin 12,000 378 400 8,000 65% 350 7,000 10,000 300 6,000 46% 45% 8,000 232 250 5,000 36% 6,000 20
Slide 13: 2023 Review – Profit and Operating Cashflow
2023 Review – Profit and Operating Cashflow Profit / (Loss) after tax Operating cash flow (A$ Million) (A$ Million) Profit / (Loss) after tax Net cash inflow from operating activities 4,000 7,000 3,586 6,528 3,000 6,000 5,000 2,000 1,819 4,000 1,000 719 791 3,000 - 1,900 2,000 1,548 1,261 (1,000) 1,
Slide 14: 2023 Review – Debt and Distributions
2023 Review – Debt and Distributions Annual Net Debt and Gearing Ratio* Dividends (A$ million) | (%) (A$ million) Interim Div. (uf) Final Div. (uf) Special Div. (uf) Net debt Net gearing, % Interim Div. (ff) Final Div. (ff) Payout ratio 4,000 41% 1,800 3,000 118% 1,600 2,000 29% 1,400 1,200 1,000 24
Slide 15: 2024 Operational expectations
2024 Operational expectations Operating component Guidance and outlook Yancoal aims to continue operating at levels similar to 2H 2023, noting mine plans, Attributable saleable coal production vary quarter to quarter and will be skewed towards the second half. Attributable saleable production of 35-
Slide 16: Voting Instructions
Voting Instructions Voting procedure Conducting polls • indicates a non-voting • For each poll please record your vote shareholder by placing a mark in the appropriate “for” or “against” box on your card. • indicates a visitor, also non- voting • The cards will be collected by representatives from C
Slide 17: Items of business
Items of business Item 1: Financial Statements and Reports Item 6: Issue of STIP Rights to Co-Vice Chairman under Equity Incentive Plan Item 2: Election and Re-election of Directors Item 7: Reappointment of Auditor and authorisation to fix Auditor’s remuneration Item 3: Adoption of Remuneration Repo
Slide 18: Proxy Results
Proxy Results Valid securities voted: 51.86% Item For Against Open-Usable Abstain 2A 182,058,044 26.59 2,228,168 0.32 500,523,238 73.09 569,781 n/a 2B 183,841,324 26.84 489,575 0.07 500,527,943 73.09 520,389 n/a 2C 143,390,920 20.94 40,907,992 5.97 500,536,513 73.09 543,806 n/a 2D 181,921,456 26.56
Slide 19: Question and Answer
Question and Answer How to ask a question o To ask a written question select the Q & A icon o Select the topic your question relates to from the drop-down list o Type your question in the text box and press the send button 18
Slide 20: Conduct of Poll
Conduct of Poll Resolutions to be decided by poll. 19
Slide 21: Thank you for your participation
Thank you for your participation Investor Relations Contact: Brendan Fitzpatrick, GM Investor Relations Brendan.Fitzpatrick@yancoal.com.au Media Relations Contact: Matthew Gerber, GM Corporate Affairs Matthew.Gerber@yancoal.com.au 20
Slide 22: Yancoal Australia Ltd Annual General Meeting
Yancoal Australia Ltd Annual General Meeting 11:00am (AEST), 9:00am (HKT) on Thursday 30 May 2024 The Pavilion, 201 Sussex Street, Sydney, NSW 2000, Australia [SLIDE 2 – 2024 AGM] Welcome to the 2024 Annual General Meeting of Yancoal Australia. My name is Greg Fletcher. I am the Co-Vice Chairman, an
Slide 23: Board appointments and introductions
Mr Ning Yue was appointed to the Board last September. Mr Yue has extensive coal mining and management experience, he joined Yankuang Energy over 20 years ago and has held several senior roles and directorships. Ms Debra Bakker was appointed to the Board in March. Ms Bakker has experience encompassi
Slide 24: Safety performance
[SLIDE 6 – Safety performance] Shareholders, members of the Board, ladies and gentlemen, good morning, and thank you for attending today’s Annual General Meeting. At Yancoal, keeping our workforce safe is always our first consideration. Through constructive programs and the concerted effort of all o
Slide 25: Coal market conditions
[SLIDE 9 – Coal market conditions] Turning to the coal markets. A slowing global economy and mild winter in the northern hemisphere diminished demand during 2023. A supply-side recovery compounded the downward pressure on coal indices, notably with Australian and Indonesian exports rising by 22% and
Slide 26: Profit and Operating Cashflow
[SLIDE 12 – Profit and Operating Cashflow] The Profit After Tax and Operating cashflow tend to replicate the Revenue and EBITDA profiles. The step down in the operating cash flow incorporates a large one-off tax payment made in early 2023 on the record 2022 earnings. The positive aspect of paying ta
Slide 27: Voting Instructions
[SLIDE 15 –Voting Instructions] We will now move to the formal consideration of the business before the Annual General Meeting. Anyone attending in person today will have been issued an attendance card: - Yellow indicates a non-voting shareholder, - Blue indicates a voting shareholder or proxy holde
Slide 28: Items of business
Item 1 is the receipt and consideration of the Company's Financial Report for the year ended 31 December 2023. I will take that report as read. A representative of SW Audit, Yancoal's auditor, is present and available to answer any specific questions about the preparation and content of the Auditor'
Slide 29: Items of business
conclusion of that meeting until the next annual general meeting and provides the Board the authorisation to fix the Auditor’s remuneration for the year ended 31 December 2024. Item 8 to 10 are general mandates related to issuing and repurchasing shares. Unless the Company obtains these general mand
Slide 30: Q&A Session
[SLIDE 18 – Q&A Session] We will now take questions from shareholders on any matters relevant to the business of the meeting. We will begin with questions submitted in writing, before moving onto questions from shareholders in the room, and then to questions submitted via the webcast. Could I reques
Slide 31: Meeting Close
I now declare the poll closed. I will ask Computershare to collect the voting cards at the end of the meeting. The results of the poll will not be known until after the meeting has closed. The results of the poll will be announced to the ASX and HKEx later today. [Slide 20 – Meeting Close] Having co