Ferreycorp Saa · BVL:FERREYC1
Ferreycorp Saa — Investor Presentation (March 2014)
29 slides from Ferreycorp Saa's investor presentation, March 2014
Slide 1: Corporate Presentation
Corporate Presentation March 2014
Slide 2: Ferreycorp
-Ferreycorp
Slide 3: Disclaimer
This presentation has been prepared by Ferreycorp S.A.A. (together with its subsidiaries, the “Company”) and is not intended for general distribution. It may only be used for informational purposes. This presentation may contain proprietary, trade-secret, confidential and commercially sensitive info
Slide 4: Agenda
Agenda 2. Financial highlights
Slide 5: Mission, vision and corporate values
Mission, vision and corporate values + MISSION + OUR To provide the solutions that each customer needs, by supplying the capital goods and services that they STRATEGY require to create value in the markets where they operate + VISION Strengthen our leadership by being recognized by our customers as
Slide 6: Corporate history
Corporate history 2013: International bond 2010: 2012: issuance: US$ 300mm Revenue US$ 1,044mm Equity Follow-on 2012: Acquisition of 1997: Bucyrus representation 2000: Re-IPO First underground equipment 1991/1992: Chevrolet Representation 1994: 2012: First bond Reorganization to Ferreycorp and 1965:
Slide 7: Organization Structure
Organization Structure Caterpillar Dealers Caterpillar Dealers Other subsidiaries in Perú in Central America Guatemala El Salvador Belize As of 4Q 2013 As of 4Q 2013 As of 4Q 2013 Revenues: US$ 1,566MM (81%) Revenues: US$ 196MM (9%) Revenues: US$ 171MM (10%) Ebitda: 193MM (89%) Ebitda: US$ 17MM (8%)
Slide 8: Sales and Ebitda distribution as of 4Q 2013
Sales and Ebitda distribution as of 4Q 2013 Sales EBITDA Other Other subsidiaries subsidiaries 3% 10% Cat Dealers abroad Cat Dealers 8% abroad 9% Cat Dealers Cat Dealers in Perú in Perú 89% 81% Total: US$ 1,933mm Total: US$ 217mm
Slide 9: Key success factors
Key success factors Able to take market opportunities in an attractive economy Grow client base with presence in fast-growing sectors Seed from established and growing fleet of equipment, increase share of wallet Strategic alliance with Caterpillar and continuous alignment Product portfolio and valu
Slide 10: Nationwide coverage
Nationwide coverage Ferreyros establishment Branches Projects “in situ” Branches expansion International expansion Local International BELIZE EL GUATEMALA SALVADOR NICARAGUA PERÚ Ferreyros branches On-site projects Orvisa, Unimaq and Gentrac Guatemala branches
Slide 11: Customer-oriented matrix organization
Customer-oriented matrix organization Business platform to target different sectors in the Peruvian economy including: Mining division – open pit mining Construction and mining General Construction & industrial – subsidiary Unimaq Power, marine and hydrocarbons Government Market Large open –pit Heav
Slide 12: Lean logistics
Lean logistics Lean and efficient logistics and infrastructure Logistics footprint Ferreycorp integrates and administrates all the key elements in the logistic chain as a value proposition Vertical integration through complementary businesses : 1)Freight Forwarder (FORBIS) y 2)Warehouses and termina
Slide 13: Seasoned management team
Seasoned management team Business Control and Systems Central Management Hugo Sommerkamp (28) Administration and Finance Central Management Patricia Gastelumendi (26) Human Resources Central Management Andrés Gagliardi (27) Central Bussines Management Gonzalo Díaz (9) Central Marketing Management Mi
Slide 14: Qualified and talented workforce
Qualified and talented workforce Strong commitment to have the most qualified workforce As of September 2013, Ferreycorp had a total of 6,519 employees Staff evolution 2,847 technicians 7,000 3,518 administratives and sales 6,000 154 executives 5,000 2,847 The company’s employee population has been
Slide 15: Strong corporate governance and social responsibility
Strong corporate governance and social responsibility High degree of compliance with the good corporate governance principles: Win/Win situation with all stakeholders International recognition: World Finance Award 2011 and 2012; Latin America Investor Relations Awards Social Responsibility Programs
Slide 16: Ferreycorp at a glance and financial highlights
Xx -Ferreycorp 1 a 2 | Ferreycorp at Financial a glance and highlights capabilities
Slide 17: Financial highlights
Financial highlights Sales by commercial line Imports and distributes capital goods and spare parts and is the leading provider of rental services. #1 importer of capital goods 1,800 1,600 in Peru 1,400 Unique Caterpillar distributor in Peru, 1,200 Guatemala, El Salvador and Belize US$ Millons 1,000
Slide 18: Financial highlights
Financial highlights Key Financials Sales by economic sectors – 4Q 2013 USD MM 2010 2011 2012 2013 Fishing and marine Revenues 1,043 1,389 1,831 1933 1% Agriculture and Ebitda 115 152 181 217 forest Hydrocarbons and Net debt/ Ebitda 3.54 3.43 3.62 3.28 3% energy 2% Industry, commerce Others and serv
Slide 19: Track record of consistent financial performance
Track record of consistent financial performance Sales (US$mm) Gross Margin 25% Prime Parts and services Used and Rental Others 24% 23% 1,933 22% 21.1% 21.1% 21.2% 1,831 20.7% 21% 20.3% 20% 1,419 19% 142 160 190 18% 1,050 135 17% 108 16% 104 557 633 2009 2010 2011 2012 2013 766 107 464 86 77 374 53
Slide 20: Track record of consistent financial performance
Track record of consistent financial performance EBITDA (US$mm) and EBITDA margin (%) Operating and EBITDA margin 13% EBITDA EBITDA margin % 12% 11.8% 11% 11.0% 11.2% 10.9% 11.8% 11.0% 10.9% 11.2% 10% 9.9% 9.9% 9% 8.6% 8% 7.8% 7.5% 217 7% 7.1% 181 155 6.4% 115 6% 90 5% 2009 2010 2011 2012 2013 4% 20
Slide 21: Investment in assets
Investment in assets Inventory evolution (US$mm) CAPEX evolution (US$mm) and turnover ratio 3.03 2.78 2.72 2.61 73 2.19 62 25 55 49 14 602 585 12 31 454 20 38 28 21 338 7 13 206 5 17 8 16 9 11 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Infrastructure Rental fleet Equipment and components Inve
Slide 22: Accounts receivables
Accounts receivables Accounts Receivable evolution by term 10 main customers ($82.5mm) US$ MM 90 Servicios Mineros 80 Gloria Concretos Supermix2 400 70 350 16 Hudbay Perú 14 300 60 Yanacocha 250 33 US$ MM 36 50 200 Minería Chinalco 13 335 351 150 245 40 Stracon GyM 100 205 159 50 Antapaccay 30 0 200
Slide 23: Access to diversified sources of financing
Access to diversified sources of financing Diversified funding base (US$mm) Bancos CAT Leasing Chile y Hanover Bonos Average Net Debt/ 2013 236 170 325 US$ 731MM Interest rate EBITDA 2013 4.40% 3.28x 2012 4.20% 3.62x 2012 388 264 75 US$ 728MM 2011 4.88% 3.43x 2011 359 100 99 US$ 558MM 2010 4.96% 3.2
Slide 24: Financial ratios
Financial ratios Net debt to EBITDA ratio Adjusted debt to EBITDA ratio 4.39 2.93 4.08 2.68 3.62 2.37 2.38 2.46 3.33 3.38 3.22 3.28 3.07 1Q12 2Q12 3Q12 4Q12 1Q13 2Q13 3Q13 4Q13 2009 2010 2011 2012 2013
Slide 25: Ferreycorp in the Capital Market
Ferreycorp in the Capital Market Capital S/. 945’227,102.00 Shareholders composition Nº of stocks 945’227,102.00 Pension Nominal value S/. 1.00 Local Funds, companies, 20.69% 31.09% Main shareholders as of Enero 2014 Titular % Retail, La Positiva Vida Seguros y Reaseguros S.A 8.12% 10.88% Equinox Pa
Slide 26: Growth model
Growth model I. CATERPILLAR and allied brands growth strategies II. IV. Peruvian organic International growth due to economic growth, expansion and increase market growth of the coverage, new portfolio abroad segments III. New represented brands
Slide 27: Contacts
Contacts Administration and Finance Manager: Patricia Gastelumendi Treasury Manager: Liliana Montalvo Investor Relations: Elizabeth Tamayo
Slide 28: Market share
Market share Perú Central America Open pit mining Heavy construction Guatemala Letournau HAMM 1% Cowdin 1% Others 7% Shantu Otros 6% 3% i 1% SEM 1% JCB 1% New Sany 2% Holland 2% John Deere Komatsu Lonking 2% 12% JCB 2% Caterpillar 39% Volvo 3% 42% New Holland Caterpillar 9% Bomag 4% 59% Hyundai 4% H
Slide 29: Dividend policy – annual compliance
Dividend policy – annual compliance In 1997, the company´s shareholders approved the dividend policy. A modification was approved to assign minimum and maximum ranges. Cash dividends will amount to 5% of the capital or a ceiling equal to 60% of freely available profits. The remainder will be cap
Ferreycorp S.A.A. — Investor Presentation (March 2014) on 6ix