Sembcorp Industries Ltd. · SGX:U96
Sembcorp Industries — Q1 2007 Earnings Presentation
20 slides from Sembcorp Industries's earnings presentation, May 3, 2007
Slide 1: 1Q2007 Results Announcement
1Q2007 Results Announcement May 3, 2007 1
Slide 2: Scope of Presentation
Scope of Presentation 1. CEO’s Report 2. Financial Review 3. Group Outlook
Slide 3: CEO's Report
CEO’s Report Tang Kin Fei Group President & CEO
Slide 4: 1Q2007 Performance Round-Up
1Q2007 Performance Round-Up Strong earnings growth from continuing operations • Turnover of $1.8bn, up 25% • PATMI before EI of $128.7M, up 70% Group PATMI before EI at $128.7M, up 54% Healthy balance sheet • Net gearing at 0.02x • Interest cover at 16 times Return on Equity (annualised) at 17% Rewa
Slide 5: 1Q2007 Update
1Q2007 Update A Solid Start to 2007 Utilities • Robust performance with growth led by UK operations • Confirmed 2nd major investment on Wilton International: Ensus to build a 400 million litres per annum bio-ethanol plant. Land sold to Ensus in 1Q2007, expected COD early 2009 Marine & Offshore Engin
Slide 6: Going Forward
Going Forward Utilities • Growth impetus for utilities and natural gas on Jurong Island, Singapore • SembCogen’s major inspections for both gas turbines and repairs completed, normal operations going forward • Biomass renewable energy project, Wilton 10, in the UK expected COD 2H2007 • Expansions fo
Slide 7: Going Forward
Going Forward Marine & Offshore Engineering • Growing the ship repair business, enlarging our baseload • Expanding and growing rig repair and offshore production facilities Enviro • Pre-disposal treatment facility in Singapore scheduled to commence operations in 3Q2007 • Continued focus on waste-to-
Slide 8: Financial Review
Financial Review Lim Joke Mui Group CFO
Slide 9: Group Profit & Loss
Group Profit & Loss ($M) 1Q07 1Q06 ∆% CONTINUING OPERATIONS Turnover 1,848 1,481 25 EBITDA 204 162 26 EBIT 160 121 32 PBT 189 132 44 PATMI 129 76 70 EPS (cents) 7.3 4.3 68 DISCONTINUED OPERATIONS1 Turnover - 375 NM PATMI - 8 NM GROUP Turnover 1,848 1,856 0 PATMI before EI 129 84 54 EI - 398 NM PATMI
Slide 10: Group Turnover
Group Turnover ($M) 1Q07 1Q06 ∆% CONTINUING OPERATIONS Utilities* 781 888 (12) Marine & Offshore Engineering 954 496 92 Enviro 48 55 (11) Industrial Parks 9 34 (74) Others/Corporate 56 8 542 1,848 1,481 25 DISCONTINUED OPERATIONS Logistics1 - 133 NM Engineering & Construction2 - 242 NM TOTAL 1,848 1
Slide 11: Turnover by Geographical Areas (%)
Turnover by Geographical Areas* (%) Continuing Operations ($M) 1Q07 1Q06 ∆% 1Q07 Group Turnover Singapore 884 807 10 3% Europe 725 402 80 10% Rest of Asia 177 176 1 Others 62 96 (35) 39% $1.8bn 48% 7% 12% $1.5bn 54% 27% 52% of Group Turnover from overseas 1Q06 Group Turnover * Based on geographical
Slide 12: Group PATMI
Group PATMI ($M) 1Q07 1Q06 ∆% CONTINUING OPERATIONS Utilities* 72.8 45.3 61 Marine & Offshore Engineering 46.0 25.1 83 Enviro 3.9 3.9 0 Industrial Parks 8.1 3.4 140 Others/Corporate (2.1) (2.1) 0 128.7 75.6 70 DISCONTINUED OPERATIONS Logistics1 - 7.9 NM Engineering & Construction2 - 0.1 NM - 8.0 NM
Slide 13: Group Capex
Group Capex ($M) 1Q07 Fixed Asset Items - Utilities 73.7 - Marine & Offshore Engineering 22.4 - Enviro 8.9 - Industrial Parks 0.1 - Others 1.1 TOTAL 106.2 13
Slide 14: Group Cash Flow
Group Cash Flow ($M) 1Q07 1Q06 CASH FLOW FROM OPERATING ACTIVITIES - before changes in working capital 202 188 - changes in working capital (41) (73) - tax paid (12) (1) 149 114 CASH FLOW FROM INVESTING ACTIVITIES - divestment proceeds & sale of fixed assets 20 (344) - acquisitions of fixed assets (
Slide 15: Group Borrowings
Group Borrowings ($M) Mar 31, 07 Dec 31, 06 PF loans 524 538 Long-term 613 622 Short-term 126 163 Gross 1,263 1,323 Less: Cash and FD (1,188) (1,186) Net Debt / (Cash) 75 137 Net Gearing Ratio 0.02 0.04 Exclude PF* Net Cash (222) (238) Net Gearing Ratio Net Cash Net Cash * PF – Non-recourse project
Slide 16: Financial Indicators
Financial Indicators 1Q071 1Q062 Before EI EPS (cents) 7.3 4.8 ROE (%) 16.6 18.2 ROTA (%) 9.1 7.8 Interest Cover (times) 16 13 After EI EPS (cents) 7.3 27.6 ROE (%) 16.6 42.8 ROTA (%) 9.1 16.4 Interest Cover (times) 16 22 Other Indicators EVA ($M) 85.4 451.0 NAV per share ($) 1.69 1.59 Note: 1 ROE,
Slide 17: Group Outlook
Group Outlook
Slide 18: Outlook
Outlook Barring unforeseen circumstances, the Group’s overall operating performance in 2007 is expected to be better than that of 2006 on a comparable basis, excluding net profits arising from exceptional items in 2006. 18
Slide 19: Disclaimer
Disclaimer This presentation contains certain statements that are not statements of historical fact, i.e. forward-looking statements. These forward-looking statements are based on current expectations, projections and assumptions about future events. Although SembCorp Industries believes that these
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