Seche Environnement Sa · EURONEXT:SCHP
Seche Environnement Sa — FY2015 Earnings Presentation
31 slides from Seche Environnement Sa's earnings presentation, Mar 9, 2016
Slide 1: Séché Environnement Annual results at December 31, 2015
Séché Environnement Annual results at December 31, 2015
Slide 2: A major participant in the Green Economy
A major participant in the Green Economy An integrated operator of waste treatment businesses Answers to circular economy and environmental impact management issues A specialist positioned in high-expertise business lines and value-added markets Lasting growth founded on innovation and outside growt
Slide 3: Development in high value-added waste management markets
Development in high value-added waste management markets Waste: An extensive regulatory definition Management Any product that is abandoned or whose owner of waste intends for it to be abandoned Two categories of waste: Hazardous waste (national market) and non-hazardous waste (local Collection Trea
Slide 4: Promising regulations in the long term
Promising regulations in the long term France: A beneficial regulatory framework 2008: Grenelle laws and extended producer responsibility (EPR) 2015: Law on the Circular Economy for green growth and challenges in the energy transition International: Emerging public opinion and duplication of the Eur
Slide 5: A strong, recognized position in the most technical waste markets
A strong, recognized position in the most technical waste markets Breakdown of revenue at December 31, 2015 Breakdown of revenue at December 31, 2015 by client type and business by sector Communities* Environment Industrial Chemicals Non-hazardous waste: 40% sectors: 48% Energy Metallurgy 1% 18% Com
Slide 6: The business: Offering companies and communities integrated solutions for sustainable development
The business: Offering companies and communities integrated solutions for sustainable development NHW Multisector Recovery Disposal 19% 7% 49% NHW Incineration 16% (vs. 18% in 2014). (vs. 52% in 2014). 12% HW Storage HW Incineration 9% Treatments Other HW treatments 13% 68% 6% (vs. 70% in 2014). Com
Slide 7: Growth in Circular Economy business lines
Growth in Circular Economy business lines Séché Environnement – London March 9, 2016 7
Slide 8: Materials recovery: Technological advances and environmental performance
Materials recovery: Technological advances and environmental performance Séché Eco-Industries sorting facility in Changé, France Recovered fuel production (SRF): 38% of waste produced is recovered Séché Environnement – London March 9, 2016 8
Slide 9: Séché Environnement at the heart of the energy transition
Séché Environnement at the heart of the energy transition 202% Energy self-sufficiency rate Séché Environnement – London March 9, 2016 9
Slide 10: Continued development in technical markets
Continued development in technical markets HPS: Designing and implementing biological protections Hospital waste: External growth and asset purchases In France: Assets purchased in Petit-Bourg (Guadeloupe) and Fleuré; purchased Moringa (Martinique) and Sodicome In Peru: Acquired a stake (49%) in Kan
Slide 11: Visibility of long-term growth
Visibility of long-term growth Infrastructure business lines: Essential tools for the sustainability of any economic activity More than 30 fully-owned sites: 23 classified as ICPE, 12 of which are Seveso-listed (9 categorized as "high threshold") Industrial and environmental risk management: Industr
Slide 12: 2015 Consolidated Financial Statements
2015 CONSOLIDATED FINANCIAL STATEMENTS Séché Environnement – London March 9, 2016 12
Slide 13: A dynamic 2015
A dynamic 2015 Stronger on the markets of the future High value-added niche markets: Medical waste treatment Medical waste: External growth in France and Peru (Kanay) in Peru Sorting center VLL waste: Created Séché Energies Changé, France PCB: Location in Morocco Technical recovery business lines: M
Slide 14: Solid 2015 results
Solid 2015 results Strong business growth Contributed revenue +2% Good performance by most businesses Strength of waste treatment markets Net income up sharply COI +14% Growth in operating income Improvement in financial income Net income (Group ) +72% Stable financial structure Ability to make deve
Slide 15: Favorable change in main operating items
Favorable change in main operating items Audited consolidated IFRS data Contributed revenue 433.2 100% 440.0 100% +1.6% EBITDA 82.1 18.8% 88.1 20.0% +7.3% Current operating income 35.6 8.2% 40.6 9.2% +14.1% Operating income 32.8 7.6% 38.5 8.8% +17.4% Financial income (14.0) - (12.1) - -13.7% Net inc
Slide 16: Rise in revenue excl. IFRIC 12: up +4.1% to €454.3m
Rise in revenue excl. IFRIC 12: up +4.1% to €454.3m IFRIC 12 revenue: €6.6m (1.5) 460.9 vs. €8.1m as of 12/31/2014). Audited IFRS data in €m Investments related to ongoing asbestos 6.6 removal at Strasbourg-Sénerval 23.4 444.7 1.0 (6.7) Revenue excl. IFRIC 12: €454.3m 8.1 vs. €436.6 m at 12/31/2014
Slide 17: Market stability in France, growth abroad
Market stability in France Growth abroad International: Revenue of €23.4m Audited IFRS data in €m at constant exchange rates vs. €21.5m as of 12/31/2014). No significant foreign exchange effect 460.9 Favorable trends in Spain (regeneration) and Latin 444.7 23,4 +8.7% America (PCBs) 21,5 6,6 8,1 430,
Slide 18: Insignificant divergent trends across divisions
Insignificant divergent trends across divisions Audited IFRS data in €m at constant exchange rates 460.9 444.7 6,6 8,1 14,3 3,4 NHW division: Revenue excl. IFRIC 12 of €188.6m 161,8 174,3 vs. €165.2m at 12/31/2014 Excl. compensation for diverted waste, revenue went up +5.5% +14.2% Positive trends in
Slide 19: Change in EBITDA: +7.3% to 20.0% of contributed revenue
Change in EBITDA: +7.3% to 20.0% of contributed revenue Audited IFRS data At December 31 2014 pro forma data 2015 (€m) Consolidated France Int'l Consolidated France Int'l Contributed revenue 433.2 411.7 21.5 440.0 416.6 23.4 EBITDA 82.1 80.2 2.0 88.1 85.9 2.2 As a % of contributed 18.8% 19.5% 9.1% 2
Slide 20: Details of major changes
Details of major changes Audited IFRS data in €m ∆ Organic Activity External growth Other postponeme expenses 88.1 nt/Availabilit (0.4) Mix effects: y International 5.8 contribution 2.9 (2.5) 82.1 0.2 More accurate Structural Solid Pollution assessment of expenses performance remediation large upkee
Slide 21: Growth in current operating profitability
Growth in current operating profitability Revised IFRS data At December 31 2014 pro forma data 2015 Gross €m % of €m % of change contributed contributed revenue revenue Contributed revenue 433.2 100% 440.0 100% +1.6% EBITDA 82.1 18.8% 88.1 20.0% +7.2% Current operating income 35.6 8.2% 40.6 9.2% +14
Slide 22: Financial income: Positive effects from refinancing
Financial income: Positive effects from refinancing Audited IFRS data in €m At December 31 2014 pro forma data 2015 Gross financial borrowing costs (14.0) (11.9) Income from cash and cash equivalents 0.5 0.4 Other financial income and expenses (0.5) (0.7) Financial income (14.0) (12.1) Reminder: Bon
Slide 23: Group net income up 72%
Group net income up 72% Audited IFRS data At December 31 2014 pro forma data 2015 % of % of €m contributed €m contributed Gross change revenue revenue Operating income 32.8 7.6% 38.5 8.8% +17.4% Financial income (14.0) - (12.1) - -13.7% Corporate tax (7.1) - (8.5) - +19.5% Net income of consolidated
Slide 24: Industrial investment under control
Industrial investment under control Breakdown of investments booked Change in investments booked Storage 11.2% contributed (€m) revenue 9.8% at 12/31/2014) Energy 14% 49.5 6,7 2% 42.4 Incineration and platforms 41% 8% 8,4 10,6 Chemical purification 2% 4% 14,6 8,3 International CAPEX excl. IFRIC: Eco
Slide 25: Operational cash flow hurt by changes in WCR
Operational cash flow hurt by changes in WCR Audited IFRS data in €m At December 31 2014 pro 2015 Cash flow: Growth in line with operating forma performance data Cash flow before Tax and fin. 63.0 75.7 Change in WCR: costs Change in recurring WCR: €(1.9)m Maintenance CAPEX (14.2) (18.7) Change in ot
Slide 26: Positive liquidity situation
Positive liquidity situation Audited IFRS data in €m (31.8) Net industrial CAPEX paid 75.7 ∆ WCR ∆ ∆ Shareholders' (43.2) Borrowings equity 38.6 31.0 (23.4) Tax Cash (6.2) flow (2.8) Dividends 30.5 Financial inv. including outside (7.4) growth €(5.9)m o/w: Inflows: 190.0 Repayments 159.0 Cash Cash p
Slide 27: Change in consolidated shareholders' equity: Effect of the share buyback
Change in consolidated shareholders’ equity: Effect of the share buyback Net Audited IFRS data in €m income Dividends Share (7.4) buyback 16.8 Applying IFRIC 21 258.2 0.5 (23.4) Other 244.0 (0.7) Shareholders' equity Shareholders' equity (Group share) (Group share) published on at 12/31/2015 12/31/2
Slide 28: Balance sheet ratios under control
Balance sheet ratios under control Structure of gross financial debt in €m Debt ratios calculated according to banking contract methodology Change in net bank financial debt 3,03 2,94 309.5 320.9 30.9 2,56 271.5 21.3 242,9 258,8 21.3 49.0 49.1 Net financial debt 210,2 (bank definition) 48.9 68.1 63.
Slide 29: Solid model and favorable outlook
Solid model and favorable outlook Well-positioned in 2016: Slight growth in contributed revenue at constant scope Rate of COI (COI/contributed revenue) greater than or equal to 2015 Industrial investment (excl. IFRIC) on the order of €50m (of which about €11m is for the LEN project) Séché Environnem
Slide 30: Questions Answers
Questions Answers Manuel Andersen Head of Investor Relations m.andersen@groupe-seche.com
Slide 31: Appendix: Definitions, Contributed revenue
APPENDIX Contributed revenue DEFINITIONS Application of the IFRIC 21 standard Audited consolidated IFRS data in €m Revenue (reported) 444.7 444.7 460.9 IFRIC 12 revenue 8.1 8.1 6.6 Compensation for diverted waste 3.4 3.4 14.3 Contributed revenue 433.2 100% 433.2 100% 440.0 100% EBITDA 82.3 19.0% 82.