Slide 1: Financial Results 2013
Financial Results 2013 Investors’ and Analysts’ conference call Athens, 27th February, 2014
Slide 2: Disclaimer
Disclaimer •This document contains forward-looking statements relating to the Group’s future business, development and economic performance. It also includes statements from sources that have not been independently verified by the Company. •Such statements may be subject to a number of risks, uncert
Slide 3: Agenda
Agenda Group Financial Results Market Overviews Outlook 3
Slide 4: Turnaround in Operating Profits after Six Years of Decline
Turnaround in Operating Profits after Six Years of Decline 8% Revenue and 6% Operating Profitability growth, net of translation impact. Firm US recovery drives turnaround. Resilient performance in Eastern Mediterranean and South Eastern Europe. Exports and productivity improvements partially
Slide 5: Operating Profitability Grows in the 2nd Half
Operating Profitability Grows in the 2nd Half Quarterly EBITDA in €m 200.0 12.4 FX Impact 150.0 100.0 195.8 196.0 50.0 77.7 67.9 50.4 61.4 34.4 33.3 42.4 24.3 0.0 2012 2013 2012 2013 2012 2013 2012 2013 2012 2013 12M YTD Q1 Q2 Q3 Q4 5
Slide 6: Solid Q4 Operating Performance Caps 2013
Solid Q4 Operating Performance Caps 2013 In Million Euro, unless otherwise stated FY 2013 FY 2012 Variance Q4 2013 Q4 2012 Variance Net Sales 1,175.9 1,130.7 4.0% 287.7 283.6 1.4% Net Sales excl. Translation Impact 1,224.2 1,130.7 8.3% 302.5 283.6 6.7% EBITDA 196.0 195.8 0.1% 42.4 33.3 27.2% EBITDA
Slide 7: NPAT Impacted by €23m Negative Variation in FX Gains/Losses
NPAT Impacted by €23m Negative Variation in FX Gains/Losses Evolution of Group Net Profit After Taxes and Minorities (€ in millions) 10 (36.1) (24.5) 0 EBITDA EBITDA 13.9 0.4 (22.9) -10 FX (Net of FX) -20 (12.3) 12.5 -30 (1.8) (1.4) -40 0.2 -50 NPAT Change in Operating Depn. Other FX Gains/ Taxes Mi
Slide 8: $94m Unrecognized Deferred Tax Benefit in Titan America
$94m Unrecognized Deferred Tax Benefit in Titan America Analysis of Unrecognized US Tax Benefit Expiration of Unrecognized P&L Benefit ($ in millions) ($ in millions) Unrecognized Recognized 26 24 240 12 13 10 9 2029 2030 2031 2032 2033 Infinite 94 130 $ 94M 51 P&L Losses P&L Tax Carry-Forward Benef
Slide 9: Sales Volume Growth Across All Product Lines
Sales Volume Growth Across All Product Lines 12 Months 4th Quarter 20.0 5.0 2012A 2012A 18.0 17.2 16.1 4.1 4.1 2013A 16.0 4.0 2013A 14.0 3.3 12.3 3.0 12.0 10.8 3.0 10.0 +7%(3) +1%(3) 8.0 2.0 +13%(3) 6.0 +11%(3) 3.40 3.43 0.88 0.90 4.0 1.0 2.0 +1%(3) +2%(3) 0.0 0.0 (1) (2) Cement (1) (2) Aggregates R
Slide 10: Top Line Growth and Turnaround in Operating Profitability
Top Line Growth and Turnaround in Operating Profitability Turnover Reconciliation EBITDA Reconciliation (€ in millions) (€ in millions) 0.1% 4.0% 250 1,400 12.5 196.0 93.5 1,175.9 195.8 -12.3 1,200 1,130.7 -48.3 200 12 Months 1,000 8.3% -6.3% 6.4% -4.3% 150 800 600 100 400 50 200 17.3% EBITDA Margin
Slide 11: €142m Free Cash Flow from Operations Leads to €57m Reduction in Net Debt
€142m Free Cash Flow from Operations Leads to €57m Reduction in Net Debt Sources and Uses of Cash (€ in millions) Operating Free Cash Flow 250 196 (6) (50) 200 150 2 (3) (97) 100 €142m 15 57 50 0 EBITDA 12M Non-Cash CapEx Operating Acquisitions Interest, Tax, Net FX Impact Change in 2013 Items Worki
Slide 12: Net Debt Reduction Exceeding €0.6 B since 2009
Net Debt Reduction Exceeding €0.6 B since 2009 Group Net Debt (€ in millions) 1,300 1,154 1,100 1,029 1,028 988 971 917 900 873 777 777 788 768 745 708 700 640 667 630 Net debt 596 586 594 539 500 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2009 2010 2011 2012 2013 12
Slide 13: Debt Maturity Extended while Securing Liquidity
Debt Maturity Extended while Securing Liquidity Maturity Profile as of 31st Dec 2013 Maturity Profile after Refinancing €585m FSF has been refinanced in Jan’14 with a new 4Y FSF of €455m Total Committed Lines of €147m mature before 2017 ≤Dec’15 ≤Dec’17 ≤Dec’17 ≤Dec’18 13
Slide 14: Agenda
Agenda Group Financial Results Market Overviews Outlook 14
Slide 15: Positive Momentum in the US and Resilience in EMED & SEE Drive 2013 Performance
Positive Momentum in the US and Resilience in EMED & SEE Drive 2013 Performance 12M 2013 Turnover (€m) 12M 2013 EBITDA (€m) 29% 15% 21% 249.8 7% 13.9 GREECE 38% 4% GREECE 42% -57% 21% 240.2 16% 32.1 27% -11 35% 411.0 16% -11 32.1 USA 25% 11% USA 453% 33% 369.5 3%5.8 14% 18%9% 215.5 32% 62.7 SEE -4%
Slide 16: Greece Capacity Utilization is Boosted by Exports
Greece Capacity Utilization is Boosted by Exports, while Domestic Building Activity Reaches the Bottom Cement domestic sales volumes continue to decline but at a markedly decelerating pace. Soft domestic demand is offset by robust exports, which support plant operating rates. Prices continue t
Slide 17: US Growth in Operating Profitability Picks Up Speed
US Growth in Operating Profitability Picks Up Speed Cement consumption in the South Atlantic region increased by 8.5%, as compared to an average national increase of 4.5% in 2013. Market demand in Florida grew by +18.4%, driven by accelerated recovery in the residential sector. Sales growth ac
Slide 18: In SEE Price Improvement in the 2H Drives Partial Recovery
In SEE Price Improvement in the 2H Drives Partial Recovery of Operating Profitability In SEE construction activity remains stable at relatively low levels, while Euro-zone induced uncertainties persist. Domestic cement volumes grow modestly. Reversal of price trends in 2H, barely sufficient to
Slide 19: EMED Operating Profitability Resilient Despite Challenges
EMED Operating Profitability Resilient Despite Challenges EMED business environment remains challenging due to political uncertainties, and local currencies devaluation. Resilient Egypt construction activity. A 2% decline in 2013 cement consumption may reflect restricted supply due to fuel short
Slide 20: Agenda
Agenda Group Financial Results Market Overviews Outlook 20
Slide 21: Outlook 2014
Outlook 2014 • Greece: demand to post modest growth, underpinned by public works • US: recovery momentum set to continue • South Eastern Europe: no catalyst for growth yet visible • Eastern Med: resilience in a challenging environment Group priorities: Maintain productivity gains Focus on operat