Royal Vopak NV · EURONEXT:VPK
Royal Vopak NV — Non-Deal Roadshow (2022)
34 slides from Royal Vopak NV's roadshow presentation, Jun 15, 2022
Slide 1: Storing vital products with care
Storing vital products with care Vopak Full Year 2021 – Roadshow presentation Royal Vopak
Slide 2: Forward-looking statement
Forward-looking statement Any statement, presentation or other information contained herein that relates to future events, goals or conditions is, or should be considered, a forward-looking statement. Although the Company believes these forward-looking statements are reasonable, based on the informa
Slide 3: Vopak at a glance
Vopak at a glance At year-end 2021 Number of Number of Storage capacity terminals countries In million cbm ▪ World’s leading independent tank storage company 73 23 36.2 35.6 36.2 ▪ Diversified customer base including all major 2020 2021 chemical producers and global oil & gas companies Market Number
Slide 4: Investment Highlights
Investment Highlights World’s leading independent tank storage company Highly diversified portfolio of terminals across regions and product lines Solid drivers for demand New expansion projects Well positioned for the shift towards a more sustainable & digital world New energy focus area Long-term c
Slide 5: Products and Customers
Products and Customers Playing a vital link in the supply chain for gas, chemicals and oil Gas Chemical Oil products LNG, LPG, Handling and storing Methanol, xylenes, Crude oil, gasoline, vital products… ethylene, butadiene, styrene, MEG, vegoils naphtha, diesel, fuel oil ammonia Blue-chip customer
Slide 6: Strategic terminal types
Strategic terminal types New energies & Gas terminals Industrial terminals Chemical terminals Oil terminals feedstocks Vopak is developing Vopak is expanding its gas Petrochemical clusters are Demand for chemicals Vopak operates oil hub infrastructure solutions for the storage – in response to becom
Slide 7: FY 2021 Key messages
FY 2021 Key messages Full year 2021 EBITDA of EUR 827 million close to record high EBITDA, 7% YoY growth adjusted for currency translation effect Growth project contribution is driving positive EBITDA performance (EUR 50 million) in soft business conditions Costs at EUR 611 million after adjus
Slide 8: Business environment update
Business environment update 2021, another atypical year due to the pandemic - with high volatility Improving market conditions Soft oil market in 2021 After a challenging start of the year due to Oil products Pressure on storage demand in our Chemicals hub terminals supply disruptions, chemical
Slide 9: Value creation and resilient performance
Value creation and resilient performance Deliver portfolio and growth agenda Strategic Pursue opportunities in new energies & sustainable feedstocks Objectives Execute our sustainability roadmap focusing on care for people, planet and profit Strong EBITDA growth performance Performance Gro
Slide 10: We continue to invest in growth
We continue to invest in growth Since 2014, we have divested more than 10 oil terminals Proportional revenue by product category located in the Netherlands, UK, Sweden, Germany, Estonia, Spain, USA and China ~10% 10-15% ~15% 15-20% 20-25% In this same period, we have added more than 10 25-30% 25
Slide 11: FY 2021 Portfolio highlights
FY 2021 Portfolio highlights Strengthening our leading position in industrial terminals Industrial terminals in China and US Qinzhou, China Successful start of operations of the greenfield industrial terminal in Qinzhou, China Awarded contract for industrial terminal in Huizhou, China, where we
Slide 12: FY 2021 Portfolio highlights
FY 2021 Portfolio highlights Aiming to grow in the regasification of LNG Gate LNG terminal, Netherlands Floating LNG terminal, Hong Kong Gate terminal for LNG in Rotterdam is making an important Agreement with Mitsui O.S.K. Lines (MOL) to jointly own and contribution to the security of natural g
Slide 13: FY 2021 Portfolio highlights
FY 2021 Portfolio highlights Maturing our New Energies infrastructure projects Hydrogen supply chain CO2 infrastructure Proving the feasibility of international hydrogen transport based on Project CO2nnect: Gate terminal as reference hub for CO2 import, liquid organic oils which are safe and recycla
Slide 14: FY 2021 Portfolio highlights
FY 2021 Portfolio highlights Maturing our New Energies infrastructure projects Sustainable feedstocks Flow batteries Replacing existing infrastructure by 64,000 cbm of storage capacity Project Elestor: bringing to commercial size a durable flow battery for waste-based feedstocks at Vopak Terminal Vl
Slide 15: Vopak's approach to sustainability
Vopak’s approach to sustainability We are ambitious and performance driven with a balanced roadmap focusing on care for people, planet and profit ESG benchmarks Sustainability roadmap MSCI Rating: AAA (Scale: CCC to AAA) Safety is our first priority Positioned towards the future and ready to t
Slide 16: Financial highlights
Financial highlights EBITDA increased by EUR 47 million to EUR 827 reflecting growth project contributions and resilient business performance in soft business conditions Costs at EUR 611 million after adjustment for currency movements (EUR 10 million) and changes in accounting policy (EUR 7 mill
Slide 17: FY 2021 vs FY 2020 EBITDA
FY 2021 vs FY 2020 EBITDA EBITDA increase driven by strong performance across the regions 827 8.0 2.0 2.0 9.9 9.6 778 25.3 6 FY 2020 FX-effect Europe & Americas China & Asia & LNG Global FY 2021 Restated Africa North Asia Middle East functions, corporate activities and others Figures in EUR million,
Slide 18: Divisional performance
Divisional performance Americas benefits from growth projects; Asia & ME reflects soft market conditions; Europe & Africa impacted by high energy prices; China & North Asia strong business performance and benefits from JV reporting (withholding tax reclassification) Americas Asia & Middle East China
Slide 19: FY 2021 vs FY 2020 EBITDA
FY 2021 vs FY 2020 EBITDA EBITDA performance driven by growth project contribution in soft markets Business environment Performance changes delivery 827 20 780 0-5 6 50 0-5 20 FY 2020 Oil markets Chemical FX-effect Expenses Growth 2020 FY 2021 Restated markets projects Malaysia item Figures in EUR m
Slide 20: Cash flow from operations
Cash flow from operations CFFO increased by 6% YoY in line with EBITDA 2021 2020 In EUR million In EUR million +6% YoY 810 760 741 33 48 718 59 45 26 59 303 -19 +92 316 459 366 762 682 269 190 525 7 94 3 249 CFFO Derivatives Working CFFO Tax & other CFFO Sustaining, FCF before Growth Other FCF CFFO
Slide 21: Investments supporting future growth
Investments supporting future growth Vopak has grown EBITDA historically in line with capital employed Balanced approach for growth, sustaining, service Capital employed and equity* (in EUR million) CAGR (In %) improvement and IT investments 6,000 Capital employed 10% 5,000 Equity • In 2022, growth
Slide 22: Non-IFRS proportional information
Non-IFRS proportional information Increased EBITDA due to growth projects in soft markets EBITDA Occupancy rate In EUR million In percent – subsidiaries only IFRS BASED 199 205 211 213 90 88 87 87 86 186 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020 2021 2021 2021 2021 2020 2021 2021 2021 2021 EBITDA Occupancy
Slide 23: Debt repayment schedule
Debt repayment schedule Debt repayment schedule In EUR million 1,500 Priorities for cash RCF headroom RCF drawn Debt servicing Other 1 average interest rate 2021: 3.8% 1,000 Subordinated loans Asian PP Growth opportunities 2 Value accretive growth US PP 506 Shareholder dividend 3 Stable to rising ca
Slide 24: Increasing dividend
Increasing dividend Payout ratio of 53% of EPS Dividend and EPS* Dividend policy In EUR 2.80 Dividend policy targets to pay an annual 2.55 2.56 2.25 2.27 2.37 2.38 stable to rising cash dividend in balance with EPS* a management view on a payout ratio range Dividend of 25-75% of the net profit exclu
Slide 25: Looking ahead
Looking ahead Vopak is on track with the prior announced target of EUR 110 million to EUR 125 million EBITDA contribution in 2023 from growth projects We expect to manage the 2022 cost base including additional cost for new growth projects around EUR 645 million, subject to currency exchange and
Slide 26: Storing vital products with care – Questions & Answers
Storing vital products with care Vopak Full Year 2021 financial Questions & results Answers
Slide 27: Q4 2021 vs Q3 2021 EBITDA
Q4 2021 vs Q3 2021 EBITDA EBITDA performance driven by amongst others growth project contributions in China & North Asia, Americas and LNG, Europe & Africa impacted by higher utility prices and certain provision 0.4 4.7 5.3 12.3 6.1 4.6 212.5 210.8 2.9 Q3 2021 FX-effect China & Americas LNG Asia & E
Slide 28: Americas developments
Americas developments Storage capacity Proportional occupancy rate Revenues* In million cbm In percent In EUR million 0.5 Total FY2021 93 90 89 90 91 86.7 81.1 83.1 5.5 million cbm 77.6 79.2 1.0 4.0 Subsidiaries Joint ventures & associates Operatorships Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020 2021 2021 2
Slide 29: Asia & Middle East developments
Asia & Middle East developments Storage capacity Proportional occupancy rate Revenues* In million cbm In percent In EUR million Total FY2021 90 88 88 71.1 70.7 74.6 3.3 84 84 69.9 68.9 4.3 15.6 million cbm Subsidiaries Joint ventures & associates 8.0 Operatorships Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020
Slide 30: China & North Asia developments
China & North Asia developments Storage capacity Proportional occupancy rate Revenues* In million cbm In percent In EUR million Total FY2021 90 87 86 87 85 0.8 3.1 million cbm 11.2 10.7 10.9 11.2 11.9 Subsidiaries 2.3 Joint ventures & associates Operatorships Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020 2021
Slide 31: Europe & Africa developments
Europe & Africa developments Storage capacity Proportional occupancy rate Revenues* In million cbm In percent In EUR million 1.3 Total FY2021 91 88 87 88 141.8 140.8 141.2 142.7 141.3 86 10.7 million cbm Subsidiaries 9.4 Joint ventures & associates Operatorships Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020 20
Slide 32: JVs & associates developments
JVs & associates developments Net result JVs and associates* Americas* Asia & Middle East* In EUR million In EUR million In EUR million 57.6 43.4 42.5 42.2 23.2 22.1 19.6 19.0 25.8 4.0 4.4 3.1 2.1 1.5 0.7 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 Q4 Q1 Q2 Q3 Q4 2020 2021 2021 2021 2021 2020 2021 2021 2021 2021
Slide 33: Occupancy rate developments
Occupancy rate developments Lowest out-of-service capacity in the last 2 years due to tanks returning at Europoort, Botlek and Singapore Subsidiary occupancy rate and out-of-service capacity In percent and million cbm, respectively 90-95% 85-90% 91 90 88 88 87 87 86 84 2011 2012 2013 2014 2015 2016
Slide 34: Project timelines
Project timelines Vopak’s Capacity* Country Terminal ownership Products (cbm) 2018 2019 2020 2021 2022 2023 2024 Growth projects Existing terminals United States Deer Park 100% Chemicals 4,500 Mexico Altamira 100% Chemicals 40,000 China Shanghai - Caojing Terminal 50% Industrial terminal 65,000 Neth