Sacyr Sa · BME:SCYR
Sacyr Sa — FY2014 Earnings Presentation
30 slides from Sacyr Sa's earnings presentation, Feb 26, 2015
Slide 1: Results Second half 2014
2012 results: Results Second half 2014 26 February 2015 Presentation of 2014 Results 1
Slide 2: Contents
2012 results: CONTENTS 1. Key points 2014 2. Operational development 3. Financial debt analysis 4. Business areas 5. Appendices Presentation of 2014 Results 2
Slide 3: Key points 2014 (1/7)
2012 results: Key points 2014 (1/7) Key points of the financial year o The 2014 financial year has been key for Sacyr: o Positive business growth. o Consolidation of our financial position. o A turning point. o A new stage of growth that is profitable and sustainable. Presentation of 2014 Results 3
Slide 4: Key points 2014 (2/7): Expansion works on the Panama Canal
2012 results: Key points 2014 (2/7) Expansion works on the Panama Canal • Excellence throughout the entire implementation period. • All technical challenges overcome. Technical aspects • Execution completed ahead of the anticipated schedule. • Satisfaction of the client and general recognition of th
Slide 5: Key points 2014 (3/7): Panama Canal almost 90% complete
2012 results: Key points 2014 (3/7) Panama Canal almost 90% complete Placement of lock-gates Presentation of 2014 Results 5
Slide 6: Key points 2014 (4/7): Refinancing of Repsol stake
2012 results: Key points 2014 (4/7) • Practically unanimous backing from the banks. • Maintenance of stake in Repsol Refinancing of Repsol stake • Good financial conditions. • Three year horizon. Presentation of 2014 Results 6
Slide 7: Key points 2014 (5/7)
2012 results: Key points 2014 (5/7) • Culmination of the process of settling Vallehermoso debt. Settlement of Vallehermoso debt • Agreement with Sareb and other financial institutions. • Cooperation agreement with the Manhattan group. • First tenders for 2015 forecast. • Waste treatment and recovery
Slide 8: Key points 2014 (6/7)
2012 results: Key points 2014 (6/7) • Disposals valued at 242 million euros. • Deconsolidation of 376 million in debt. Disposals • Operations conducted above book value. • Reinforcement of the financial-equity structure. Bond issue and capital increase • Joint amount of €416 million. • 250 million i
Slide 9: Key points 2014 (7/7)
2012 results: Key points 2014 (7/7) Strengthening Strategic the Balance Refocusing Growth Thousands of euros Net profit + 33 0 -499 -977 -1,604 2011 2012 2013 2014 Presentation of 2014 Results 9
Slide 10: Operational development
2012 results: Operational development 2 (Millions of euros) 2014 2013* Change 14/13 REVENUE 2,901 2,672 +8.5% EBITDA 382 294 + 30% EBITDA margin 13% 11% +2 p.p. NET PROFIT 33 (499) n.a. Project backlog 4,987 4,396 + 13.4% * IFRS 11 reformulated Presentation of 2014 Results 10
Slide 11: Financial debt
2012 results: Financial debt Millions of € DEBT TYPE December Linked to projects Net Debt Structured 2014 and contracts Corporate Testa 1,688 1,688 Sacyr Concesiones 1,042 1,042 Sacyr + Somague (Construction) 141 44 98 Valoriza 256 152 104 Business Subtotal 3,127 2,926 202 Repsol 2,248 2,248 Stake i
Slide 12: Business Areas
2012 results: BUSINESS AREAS 1. Construction 2. Concessions 3. Industrial / Services 4. Property Presentation of 2014 Results 12
Slide 13: Construction
2012 results: Construction Sales in the construction area increased with support from international revenue up 35% while maintaining a high level of profitability at 6.1% Millions of euros 2014 2013* Change Revenue 1,697 1,613 5% Few public tenders. Spain 466 704 -34% Concession projects in Chile, P
Slide 14: Concessions
2012 results: Concessions Growth in the concession business backed by the recovery of traffic, the start-up of concession operations and maintenance of profitability • Increase in income from concessions of 18% (Excluding the disposal effect): (Millions of Euros) 2014 2013* Change Revenue 419 307 37
Slide 15: Services / Industrial
2012 results: Services / Industrial The services area remains stable eliminating the effects of energy regulation changes and the disposals carried out. Growth trend. LFL Change Millions of euros 2014 2013* ** • International expansion of Sacyr Industrial: REVENUE 926 992 +1 % Environment 298 275 8%
Slide 16: Equity
2012 results: Equity TESTA: stability and recurrence, quality management highlighting the occupancy ratio of 96%. Millions of euros LFL 2014 2013** Change * • Leader in Spain's property sector. LFL Revenue 188 217 -2% • Reduction of income and EBITDA due to the Recurrent EBITDA 141 170 -4% effect of
Slide 17: Testa: Market value of assets
2012 results: Testa: Market value of assets Millions of euros Assets valued at €3,180 million Implied capital gains €1,054 million LTV Maintenance 54% 3.287 3.180 1.794 1.688 996 1.054 dic-13 dic-14 GAV Plusvalía Net Debt Valuation Valuation 31.12.13 Sale of assets Valuation change 31/12/2014 3
Slide 18: Sacyr holds an 8.89% stake in Repsol
2012 results: Sacyr holds an 8.89% stake in Repsol which is consolidated with the equity method. The result after tax for Repsol at 31 December 2014 amounts to €1,612 million, €156 million of which Sacyr booked as its stake (stake in Net Profit and Value Change). Sacyr revalued the book value of its
Slide 19: Appendices
2012 results: APPENDICES FINANCIAL STATEMENTS Income Statement Balance Sheet Income Statement by business area Balance Sheet by business area MANAGEMENT INFORMATION Maturity Schedule 30/9/2014 Concession road traffic Income from leases Discontinued activities: Vallehermoso Accounting impact of IFRS
Slide 20: Income Statement
2012 results: Income Statement STATEMENT OF INCOME DECEMBER % chg (Thousands of Euros) 2014 2013* 14/13 Revenue 2,900,725 2,672,312 8.5% Other income 92,238 65,342 41.2% Gain on sale of building 4,492 45,109 -90.0% Total operating income 2,997,455 2,782,762 7.7% External and Operating Expenses -2,61
Slide 21: Balance Sheet
2012 results: Balance Sheet BALANCE SHEET DECEMBER DECEMBER Chg (Thousands of Euros) 2014 2013* 14/13 NON CURRENT ASSETS 8,660,789 8,677,802 -17,013 Intangible Assets 6,913 9,371 -2,458 Real Estate Investments 1,846,596 1,860,918 -14,322 Concessions Investments 1,213,675 1,234,544 -20,868 Fixed Asse
Slide 22: Income Statement by business area 2014
2012 results: Income Statement by business area 2014 CONSOLIDATED INCOME STATEMENT AS OF DECEMBER 2014 Sacyr Sacyr Holding and (Thousands of Euros) Somague Testa Valoriza TOTAL Construcción Concesiones Adjustments Turnover 1,143,237 553,806 419,175 187,977 925,854 -329,323 2,900,725 Other Sales 27,8
Slide 23: Income Statement by business area 2013
2012 results: Income Statement by business area 2013 CONSOLIDATED INCOME STATEMENT AS OF DECEMBER 2013* Sacyr Sacyr Holding and (Thousands of Euros) Somague Testa Valoriza TOTAL Construcción Concesiones Adjustments Turnover 1,095,999 517,237 306,799 216,609 991,812 -456,144 2,672,312 Other Sales 12,
Slide 24: Balance Sheet by business area 2014
2012 results: Balance Sheet by business area 2014 CONSOLIDATED BALANCE SHEET AS OF DECEMBER 2014 Sacyr Sacyr Holding and (Thousands of Euros) Somague Testa Valoriza TOTAL Construcción Concesiones Adjustments NON CURRENT ASSETS 272,512 170,429 2,480,225 3,118,892 774,127 1,844,605 8,660,789 Intangibl
Slide 25: Balance Sheet by business area 2013
2012 results: Balance Sheet by business area 2013 CONSOLIDATED BALANCE SHEET AS OF DECEMBER 2013* Sacyr Sacyr Holding and (Thousands of Euros) Somague Testa Valoriza TOTAL Construcción Concesiones Adjustments NON CURRENT ASSETS 265,449 163,969 2,168,484 3,088,688 861,543 2,129,669 8,677,802 Intangib
Slide 26: Maturity schedule
2012 results: Maturity schedule Million euros Maturity schedule 2017 and Net financial debt DECEMBER 2014 2015 2016 + (Millions of Euros) 2014 Testa 1,688 138 138 81 1,331 Sacyr Concesiones 1,042 68 336 59 578 Sacyr + Somague 142 39 16 32 55 Valoriza 255 28 35 35 156 Repsol 2,248 0 0 0 2,248 Stake i
Slide 27: Testa: Income per product
2012 results: Testa: Income per product INCOME (Millions of Euros) PRODUCT 2014 2013* Change 14/13 Offices 105.8 109.3 -3.1% Hotels 25.5 27.0 -5.5% Shopping Centres 27.2 27.2 0.2% Housing 10.5 10.8 -3.9% N. Industrial 8.9 8.6 3.8% Residences 0.7 0.7 1.3% Garages 1.3 1.2 3.0% Services and other 5.4 4
Slide 28: Concession road traffic (ADT accumulated)
2012 results: ADT ACUMULATED (Vh/km/d) ∆ 2014/2013 ∆ 2013/2012 CHANGE SHADOW TOLL IN SPAIN GUADALMEDINA 15.5% -2.6% 18.10 p.p ERESMA 4.6% -0.3% 4.90 p.p AS -II OVIEDO - GIJÓN (VIASTUR) 1.3% -1.6% 2.90 p.p BARBANZA 1.1% -1.4% 2.50 - p.p Presentation of 2014 Results 28
Slide 29: IFRS 11 accounting impact
2012 results: IFRS 11 ACCOUNTING IMPACT The application of IFRS 11 “Joint Arrangements” resulted in a contraction of revenue and EBITDA without impacting on net profit. The regulation particularly affects the Concession and Construction business areas (due to the change in method of consolidatio
Slide 30: Note on IFRS financial information
2012 results: NOTE: the financial information contained in this document is drafted according to the International Financial Reporting Standards. The information has not been audited and therefore may be modified in future. In 2014 the IFRS 11 was applied. The 2013 financial statements have been ref