S.C. Fondul Proprietatea SA · BVB:FP
S.C. Fondul Proprietatea SA — Fondul Proprietatea — Q1 2019 Earnings Presentation
32 slides from S.C. Fondul Proprietatea SA's earnings presentation, May 15, 2019
Slide 1: Q1 2019 Results Conference Call
Fondul Proprietatea – 15 May 2019 Q1 2019 Results Conference Call This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use.
Slide 2: Fund Information
Fund Information This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use
Slide 3: The Fund – Key Facts
The Fund – Key Facts Fund Details1 RON USD FP Share Price6 and NAV (RON) NAV 9.65 bn 2.27 bn2 NAV/Share 1.3527 0.31882 1.4 Price/Share 0.9780 0.23042 Price/GDR 47.96 11.30 Market Capitalization as at 14 May 20193 6.77 bn 1.60 bn3 Discount/Share as at 14 May 2019 33.05% 1.0 Discount/GDR as at 14 May
Slide 4: Shareholders Structure
Shareholders Structure Evolution (% Held) 2% 2% 2% 3% 2% 3% 3% 6% 9% 9% 10% 10% 9% 10% 8% 8% 8% 9% 10% 13% 13% 13% 14% 17% 18% 17% 18% 18% 18% 14% 9% 11% 12% 12% 14% 14% 15% 19% 15% 16% 10% 16% 16% 17% 17% 19% 19% 43% 27% 33% 34% 35% 34% 54% 35% 35% 35% 35% 37% 31% 34% 55% 53% 53% 31% 31% 30% 30% 29
Slide 5: NAV, Share price and GDR Performance
NAV, Share price and GDR Performance Cumulative Performance Since Performance 2011 2012 2013 2014 2015 2016 2017 2018 Q1 2019 YTD1 Inception1 NAV (RON) (0.47)% 8.91% 13.29% 1.39% (0.60)% 7.33% 13.10% 19.94% 0.67% 2.38% 84.48% Ordinary Share Price (RON) (30.32)% 38.30% 61.34% 14.53% (4.06)% 4.90% 21.
Slide 6: Attribution to NAV Performance for Q1 2019
Attribution to NAV Performance for Q1 2019 Top Performers Weight in total % Change in NAV % Change in share price/ NAV Company Status NAV1 performance for Q1 2019 per share in Q1 2019 OMV Petrom SA Listed 19.9% 3.2% 19.4% Nuclearelectrica SA Listed 2.0% 0.3% 19.2% BRD Groupe Societe Generale SA List
Slide 7: Portfolio
Portfolio This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use
Slide 8: Portfolio Structure
Portfolio Structure Listed vs Unlisted By Sector By Controlling Ownership as at 30 April 2019 (% NAV)1 as at 30 April 2019 (% NAV)1 as at 29 March 20192 Power Utilities: Generation……...43.3% Oil & Gas.………22.5% State Unlisted…....73.4% Power & Gas Utilities: Controlled Distribution & Entities………55% L
Slide 9: Portfolio Structure – Listed vs. Unlisted
Portfolio Structure – Listed vs. Unlisted Listed Companies Unlisted Companies (% of NAV as at 29 March 2019) (% of NAV as at 29 March 2019) Hidroelectrica..………....38.88% OMV Petrom…………..19.88% ENEL Companies….…..12.30% Nuclearelectrica………..2.03% Bucharest Airport………..8.47% Alro……....……...………1.62% 25
Slide 10: Largest Holdings by NAV
Largest Holdings by NAV NAV as at % in NAV Majority 30 April 2019 as at Portfolio Company Status Shareholder % Stake1 (USD mn) 30 April 2019 Hidroelectrica Unlisted Romanian State 19.9% 931.90 40.98 OMV Petrom Listed OMV 9.9% 510.44 22.45 Bucharest Airports Unlisted Romanian State 20.0% 202.87 8.92
Slide 11: Top Portfolio Holdings – Q1 2019 financials
Top Portfolio Holdings – Q1 2019 financials EBITDA (RON mn) Net profit (RON mn) Company Q1 2018 Q1 2019 %yoy Q1 2018 Q1 2019 %yoy Hidroelectrica 720.5 740.3 2.7% 485.2 497.6 2.6% OMV Petrom 1,859.7 2,046.2 10.0% 854.1 1,151.2 34.8% BRD Groupe Societe Generale - - - 414.3 301.1 (27.3)% Alro 132.9 94.
Slide 12: Hidroelectrica – Update
Hidroelectrica – Update Q1 2019 Financials: Pre-tax Cumulated Profit (RON mn) • Preliminary net profit increased by 2.6% to RON 1,980 497.6 million in Q1 2019 compared to the same 1,944 period last year. • Turnover increased by over 2% to RON 989.8 1,602 million, compared to RON 969.6 million in Q1
Slide 13: OMV Petrom – Update
OMV Petrom – Update Financial and Operational highlights Q1 18 Q1 19 %YoY Sales (mn RON) 4,875 5,420 11% Q1 2019 results1 • Downstream Oil 3,391 3,793 12% • Downstream Gas 1,357 1,532 13% Clean CCS Operating Result 958 1,227 28% • Sales reached RON 5.42 bn in Q1 2019, over Operating Result (mn RON)
Slide 14: C.N. Aeroporturi Bucuresti – Update
C.N. Aeroporturi Bucuresti – Update Financial Performance 2016 2017 2018 %yoy Operating revenues (mn RON) 754.7 890.9 992.5 11.4% Operating profit (mn RON) 263.6 337.6 445.9 32.0% Net Income (mn RON) 224.7 290.7 371.8 27.9% Number of passengers (mn) 10.99 12.84 13.84 7.8% Traffic 2018 Financials Boa
Slide 15: Enel companies – Update (I)
Enel companies – Update (I) 2014 – 2018 2019 – 2023 (3rd Regulatory Period) (4th Regulatory Period) Regulated rate of return • 7.70% • 6.9% for current regulated asset base Regulated Asset Base (RAB) Initial RAB at the privatization Initial RAB at the privatization – Undepreciated value of the exist
Slide 16: Enel companies – Update (II)
Enel companies – Update (II) 2014 – 2018 2019 – 2023 (3rd Regulatory Period) (4th Regulatory Period) Technological losses (non-controllable costs) • Set by ANRE • Set by ANRE based on the current grid losses for each distributor (different targets if the losses are currently > 15%, between 14-15%, b
Slide 17: ENEL Distribution companies – Financials
ENEL Distribution companies – Financials 2018 (mn RON) E-Distributie Banat E-Distributie Dobrogea E-Distributie Muntenia Operating revenue 533.7 483.7 909.6 EBITDA 207.8 190.3 354.1 Impairment loss 229.0 171.6 517.3 Net profit (211.9) (143.3) (114.9) • 2018 results are negatively impacted by the imp
Slide 18: Corporate actions
Corporate actions This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use
Slide 19: Distributions to shareholders
Distributions to shareholders Annual Distributions to Shareholders (RON mn) 1,124.3 552.7 507.7 1,499.0 1,778.5 923.6 1,190.8 1,743.7 1,870.6 751.9 25.4% 2000 18.3% 21.9% 17.5% 1500 583.1 832.5 15.5% 1,121.5 600.0 10.5% 1000 236.6 484.4 11.7% 7.5% 362.6 344.7 8.1% 108.2 1,124.3 389.3 189.5 249.1 500
Slide 20: Buy-back programs
Buy-back programs No. of shares to be repurchased/ Average % of the Fund’s share price Cancellation Program Period Status issued share capital (RON/share) Broker of shares1 14 Nov 2017 – Wood & Co., Cancellation of shares approved during Ninth Finalized 1,488.0 mn/16.3% 0.9319 31 Dec 2018 Jefferies
Slide 21: Annual dividend income – Top 10 portfolio companies
Annual dividend income – Top 10 portfolio companies Dividend Payout (%) FP Net Dividend (RON mn) Top 10 Holdings1 2015 2016 2017 2018 2015 2016 2017 2018 2019 Hidroelectrica 80 90 90 902 128.9 134.6 206.6 226.2 278.02 OMV Petrom - 94 46 N/A 120.5 - 106.8 107.6 145.3 Bucharest Airports 75 90 90 902 1
Slide 22: Total dividend income from portfolio companies
Total dividend income from portfolio companies FP Net Dividend (RON mn) 2013 2014 2015 2016 2017 2018 Total Dividends from Listed Companies (RON mn) 373.9 538.6 251.5 36.0 148.1 199.6 Total Dividends from Unlisted Companies (RON mn) 275.82 143.5 315.9 315.2 404.5 366.9 Total Annual Dividend Income (
Slide 23: Annual cash distribution policy – Update (I)
Annual cash distribution policy – Update (I) General principles: • In accordance with the IPS, the Alternative Investment Fund Manager (the “Fund Manager”) may propose cash distributions for shareholders’ approvals. The level of such cash distributions is proposed by the Fund Manager by applying thi
Slide 24: Annual cash distribution policy – Update (II)
Annual cash distribution policy – Update (II) Cash distributions: • Under current Romanian legislation and the Constitutive Act, each fully paid share gives its owner the right to receive cash distributions (in the form of dividends or other types of cash distributions, such as return of capital). U
Slide 25: Investor relations – Upcoming events
Investor relations – Upcoming events H1 2019 Results Conference Call 14 Aug CEE Investor Conference New York 28 General Jun Shareholders 5 Meeting Jun Bucharest 20-21 Citi Frontier Market May Conference London More information about the Fund can be found on the website www.fondulproprietatea.ro This
Slide 26: 28 June 2019 GSM agenda – Main points
28 June 2019 GSM agenda – Main points EGM agenda: • Approval of an amendment to the Constitutive Act of • The approval of the new Investment Policy Statement of Fondul Proprietatea Fondul Proprietatea OGM agenda: • The approval of the renewal of the mandate of Franklin Templeton International Servic
Slide 27: Financial results
Financial results This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use
Slide 28: Statement of Financial Position
Statement of Financial Position 31 March 2019 31 December 2018 RON mn Unaudited Audited Cash and current accounts 18.6 19.6 Deposits with banks 376.4 187.1 Treasury bills - 49.6 Government bonds 66.4 131.6 Dividend receivables - 137.0 Equity investments 9,674.9 9,337.4 Other assets 68.8 1.5 Total as
Slide 29: Statement of Comprehensive Income
Statement of Comprehensive Income 3-month period ended 3-month period ended 31 March 2019 31 March 2018 RON mn Unaudited Unaudited Net gain from equity investments at fair value through profit or loss 392.4 309.8 Gross dividend income 34.7 - Interest income 2.2 2.6 Other income/ (expenses), net1 - (
Slide 30: Disclaimer (I)
Disclaimer (I) This presentation is made solely to the intended recipient and should not be distributed to, or acted upon by, any other person. It is for general information only and reflects the personal views of the presenter and its estimations made based on public information. Nothing herein is
Slide 31: Disclaimer (II)
Disclaimer (II) Furthermore, this presentation is not intended, and should not be construed, as marketing of the Fund in the meaning of the Directive 2011/61/EU on alternative investment fund managers (“AIFMD”) in any member states of the European Economic Area. No information hereof is to be consid
Slide 32: Fondul Proprietatea contact details
Fondul Proprietatea Premium Point Buzesti Street 78-80, 1st District Bucharest 011017 www.fondulproprietatea.ro This material is intended solely for the recipient and should not be reproduced, copied or re-transmitted. Not for public use.