Slide 1: First Half 2017 Financial Results
First Half 2017 New Gerald Desmond Bridge in Long Beach, California Financial Results 26 July 2017
Slide 2: Business Update and Financial Update
First Half 2017 Financial Results Business Update Pietro Salini Chief Executive Officer Financial Update Massimo Ferrari General Manager Finance & Corporate Group CFO First Half 2017 Financial Results 2
Slide 3: First Half 2017 Key Messages
First Half 2017 Key Messages Infrastructure market still healthy and growing A strong pipeline of commercial activity Improving the risk profile New orders: €4 billion, of which Lane €1.9 billion (+59%) Consolidated revenues growth: +12% EBITDA growth +14%; EBIT growth +12% June 2017 n
Slide 4: On track on all our main projects
On track on all our main projects Riyadh metro, Line 3 - SAUDI ARABIA Red Line North, Doha Metro - QATAR Copenhagen Cityringen Metro - DENMARK Completion Progress: 50% Completion Progress: 82% Completion Progress: 89% Backlog: €1.4 billion Backlog: €0.3 billion Backlog: €0.3 billion Grand Ethiopian
Slide 5: A strong pipeline of commercial activity
A strong pipeline of commercial activity €7.9B €8.3B €/B €9.5B commercial activity Plants & Europa Paving €7.8B €5.3B USA Railways & Metros €5.2B Middle East Roads Asia & Australia LatAm Africa (€/B) Buildings Acquired 4.0 Awaiting outcome/best offer 10.5 Tenders to be presented 8.6 Prequalification
Slide 6: First half 2017 New orders
First half 2017 New orders Consolidation Project Country NEW ORDERS DISTRIBUTION Value (€/M) Napoli – Bari HSR Italy 238 Italy Al Faisaliah Redevelopment Project Saudi Arabia 172 11% Middle East Meydan One Mall Dubai, EAU 402 24% variation orders 951 other minors 276 Europe 4% Subtotal Salini Impreg
Slide 7: Our strong backlog ensures BP execution
Our strong backlog ensures BP execution 1 CONSTRUCTION BACKLOG (€/B) Salini Impregilo Lane Total Group CONSTRUCTION BACKLOG JUNE 2017 LatAm 28.0 29.4 28.3 9% Africa 2.2 2.5 3.0 24% Italy 29% 25.9 26.9 25.3 Middle East 12% 2015 2016 1H 2017 2019 Asia & North Europe Australia America 4% 11% 10% BUSINE
Slide 8: Improving the risk profile
Improving the risk profile 1 GEOGRAPHICAL REVENUE DISTRIBUTION 2014 2016 1H 2017 2017E 33% 30% 25% 25% 24% 22% 23% 17% 15% 16% 16% 14% 14% 10% 8% 8% 7% 5% 6% 4% 5% 3% Africa Middle East Europe Asia & Australia USA LatAm Italy US confirmed as our first single country market expected to reach 30% in 2
Slide 9: Lane upside
Lane upside LANE NEW ORDERS (€/M) 1 Lane new orders: +59% growth vs. 1H16 3,424 2 Already acquired more than 80% of new orders expected for FY17 Already acquired >80% of new orders 1,916 expected for 2017 3 Lane has acquired more than €3.4 billon of 1,203 new orders since SAL acquisition 4 Lane
Slide 10: Strategy evolution
Strategy evolution Market Cash flow expansion generation focus on US capex & nwc 2016 - 2019 optimization Assets Strengthening Business Plan optimization Business Plan financial Targets structure non core assets disposal Confirmed lower gross debt Targets extending debt maturity New business Tactica
Slide 11: Financial Update
Financial Update Massimo Ferrari General Manager Finance & Corporate Group CFO First Half 2017 Financial Results 11
Slide 12: 1H 2017 Group P&L
1H 2017 Group P&L Management View (€/M) 1H 2017 1H 2016 change Profit (loss) on exchange rates (€/M) H1 2017 Venezuela 17.3 Revenue 3,060 2,730 12.1% Ethiopia 16.2 EBITDA 284 249 14.1% Headquarter 8.1 EBITDA margin 9.3% 9.1% Other minor 7.3 total 48.9 EBIT 137 122 12.2% EBIT margin 4.5% 4.5% No mone
Slide 13: Reducing gross debt and extending debt maturity
Reducing gross debt and extending debt maturity DEBT MATURITY PROFILE (€/M) NET FINANCIAL POSITION (€/M) Bank debt bond 600 Jun-17 Jun-16 Dec-16 Cash & Cash Equivalents 1,332 1,177 1,603 Other Financial Assets 357 433 386 283 Total Cash & Other Financial Assets 1,689 1,610 1,989 Bank Loan (1,427) (1
Slide 14: Assets optimization: H2 positive impact
Assets optimization: H2 positive impact H2 2017 disposals realized: Sale value: €12M Capital Gain: €6M NFP effect: €23M 1 IMPREGILO PARKING GLASGOW – UK Buyer: Semperian (Glasgow) Limited Concession duration: 2005 – 2035 (30 years) concession 2 ROYAL WOLVERHAMPTON RADIOLOGY CENTRE - BIRMINGHAM,
Slide 15: Cash flow comparison 1H17 – 1H16
Cash flow comparison 1H17 – 1H16 OPERATING FREE CASH FLOW BEFORE DIVIDENDS AND INVESTMENTS 1H 2016 VS 1H 2017 [€/M] 3 2 (10,0) 1,0 37,0 (243,0) (58,0) 1 (301,0) 113 44 (428) 1H 2016 EBITDA adj NWC cash Capex Current Net financial Subtotal Non monetary 1H 2017 FCF generation taxes paid expenses items
Slide 16: Outlook 2017
Outlook 2017 GUIDANCE 2017* > 1.1x BOOK-TO-BILL ~ € 100 mln GROSS DEBT REDUCTION > 10% > 5% REVENUE GROWTH EBIT margin Business Plan 2016 – 2019 Targets Reconfirmed (*) at constant exchange rates First Half 2017 Financial Results 16
Slide 17: Financial Appendix
Financial Appendix First Half 2017 Financial Results 17
Slide 18: Income statement
Income statement 1H 2017 1H 2016 (€/M) Restated Change Revenue 2,857.1 2,562.6 294.5 Other revenue 73.2 70.9 2.2 Revenue 2,930.3 2,633.5 296.8 Total costs (2,653.8) (2,395.1) (258.7) EBITDA 276.5 238.4 38.0 EBITDA% 9.4% 9.1% Amortization and Depreciations (146.9) (126.7) (20.2) EBIT 129.6 111.8 17.8
Slide 19: Statement of financial position
Statement of financial position (€/M) Jun. 2017 Dec. 2016 Non-current assets 1,103.6 1,173.3 Goodwil 162.6 175.2 Non-current assets (liabilities) held for sale 9.3 6.0 Fixed Asset 1,275.4 1,354.5 Inventories 253.1 270.6 Contract work in progress 2,578.4 2,367.3 Progress payments and advances on cont
Slide 20: Net financial position
Net financial position (€/M) Jun. 2017 Dec. 2016 Non-current financial assets 122.9 62.5 Current financial assets 234.4 323.4 Cash and cash equivalents 1,331.6 1,602.7 Total cash and cash equivalents and other financial assets 1,688.9 1,988.6 Bank and other loans (829.7) (866.4) Bonds (870.1) (868.1
Slide 21: Disclaimer
Disclaimer This presentation may contain forward-looking objectives and statements about Salini Impregilo’s financial situation, operating results, business activities and expansion strategy. These objectives and statements are based on assumptions that are dependent upon significant risk and uncert
Slide 22: Thank you
we build value Thank you First Half 2017 Financial Results