Yit Oyj · OMXHEX:YIT
Yit Oyj — Investor Day (September 2018)
17 slides from Yit Oyj's investor day presentation, Sep 27, 2018
Slide 1: Strengthening the Financial Stability
STRENGTHENING THE FINANCIAL STABILITY ILKKA SALONEN, CFO
Slide 2: Agenda
Agenda 1 Financing 2 Financial targets 3 Cyclicality in business 4 Capital efficiency 5 Update on IFRS 16 6 Guidance Sep 27, 2018 YIT Capital Markets Day 2018 HÄMEENLINNAN PRIMO APARTMENT BUILDING PROJECT HÄMEENLINNA, FINLAND
Slide 3: Financing
1 Financing SHOPPING CENTRE LAUTTIS, HELSINKI, FINLAND
Slide 4: Financing activities during 2018
Financing activities during 2018 June 11, 2018 February 1, 2018 April 3, 2018 May 31, 2018 June 11,redemption Voluntary 2018 240 M€ bridge Payment April 3,of the May 31, issued 2018 February 1, 2018 2018 Regenero forVoluntary redemption outstanding 100 M€ financing agreed outstading Payment share of
Slide 5: Balanced debt portfolio
Balanced debt portfolio DEBT PORTFOLIO1 AT THE END OF 6/2018, EUR 1,068.7 MILLION MATURITY STRUCTURE, NOMINAL AMOUNTS1 (EUR million) Bonds, 33% Commercial papers, 25% 163 169 130 Housing corporation loans, 19% 112 Loans from financial institutions, 12% Pension loans, 5% 9 10 Finance lease liabilitie
Slide 6: Net debt/ Adjusted EBITDA and Gearing
Net debt/ Adjusted EBITDA and Gearing NET DEBT / ADJUSTED PRO FORMA EBITDA (multiple, x) GEARING1 (%) 132.1 127.2 129.9 12.3 12.3 123.7 117.3 118.9 130.4 115.7 109.8 112.3 106.1 108.6 107.3 10.3 112.0 104.8 98.7 101.1 96.6 8.1 79.8 80.3 8.6 73.4 6.1 6 59.9 4.8 4.8 3.7 3.6 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1
Slide 7: Financial targets
2 Financial targets PURJEENTEKIJÄ APARTMENT BUILDING PROJECT LAUTTASAARI, HELSINKI, FINLAND
Slide 8: Financial targets
Financial targets Financial target Long-term target level Status at year end 2017 ROCE-% >12% 8.8%1 Gearing 30-50% 80.3%1 59.9%2 Dividend per share Growing annually EUR 0.25 1 YIT stand alone 2 Pro forma figure Sep 27, 2018 YIT Capital Markets Day 2018
Slide 9: Cyclicality in business
3 Cyclicality in business AVIAPOLIS RAILWAY STATION VANTAA, FINLAND
Slide 10: Cyclicality in profit generation
Cyclicality in profit generation • In housing segments, revenue and profit recognition is highly dependent on the number of completed apartments • Paving and Infrastructure projects are cyclical within the year, especially paving business has practically no operations in Q1, which is reflected as lo
Slide 11: Strategic priority: non-cyclical businesses
Strategic priority: non-cyclical businesses SERVICES (LIVING AND PROPERTY PARTNERSHIP PROPERTIES MANAGEMENT SERVICES, • Mix of rental incomes, fair valuation ROAD MAINTENANCE) and capital gains to support stable • Long-term service agreements with good annual performance predictability • Combined an
Slide 12: Capital efficiency
4 Capital efficiency REDING TOWER 2, REDING, RAČA, BRATISLAVA, SLOVAKIA
Slide 13: Cornerstones of success: capital efficiency
Cornerstones of success: capital efficiency CAPITAL EMPLOYED BY SEGMENTS1 (at the end of period) • Improving operating profit through higher productivity and realised synergies 1,854.2 Other 1,773.3 • Reducing capital employed in Russia 1,699.3 • Reducing working capital Partnership properties • Div
Slide 14: Update on IFRS 16
5 Update on IFRS 16 E18 MOTORWAY, SOUTHERN FINLAND
Slide 15: IFRS 16 Leases - update
IFRS 16 Leases - update • New IFRS 16 will be effective on the 1st of January 2019. • Lease agreements will be recognised in balance sheet. • According to the current estimate • the adoption of the standard will increase the amount of property, plant and equipment, inventories and financial liabilit
Slide 16: Guidance
6 Guidance KASARMIKATU 21, OFFICE BUILDING PROJECT HELSINKI, FINLAND
Slide 17: Guidance for 2018 unchanged (as given on June 27, 2018)
Guidance for 2018 unchanged (as given on June 27, 2018) The Group pro forma revenue 2018 is estimated to decrease by -2% – -6% from pro forma revenue 2017 (pro forma 2017: EUR 3,862.5 million). In 2018, the adjusted pro forma operating profit1 is estimated to be in the range of EUR 130–160 million (