Vinci SA · EURONEXT:DG
Vinci SA — Debt Investor Presentation (November 2020)
80 slides from Vinci SA's debt investor presentation, November 2020
Slide 1: VINCI, a local and global approach, rooted in all territories
VINCI, a local and global approach, rooted in all territories Green Bond Framework Presentation November 2020
Slide 2: Table of contents
Table of contents 1 VINCI in a nutshell, update of latest trends & outlook 2 Sound financial situation 3 VINCI commitment to sustainability 4 VINCI Green Bond framework 5 Project examples
Slide 3: VINCI in a nutshell
VINCI Ws VINCI in a nutshell
Slide 4: VINCI 2019 key figures
VINCI 2019 key figures 222,397 €48.1 bn 110 3,200 300,000 €60 bn employees Group revenue countries where estimated number estimated number market cap. at VINCI operates of business units of contracts December 31, 2019 Concessions Real estate Contracting Revenue: €8.5 bn Revenue: €1.3 bn Revenue: €38
Slide 5: A combination of two complementary business profiles (2019 data)
A combination of two complementary business profiles (2019 data) Revenues Employees EBITDA** €48.1 bn* 222,397 €8.5 bn 1% 1% 3% 18% 17% 1% 1% 8% 2% 10% 29% 15% 82% 68% 81% 90% 91% * o/w 45% outside France **Cash flow from operations before tax and financing costs (including a €575 million impact fro
Slide 6: Update of latest trends & outlook
Update of latest trends & outlook
Slide 7: 9M 2020 highlights
9M 2020 highlights Most business lines returning to normal in Q3, after being hit hard in Q2 by lockdowns in France and many other countries. First nine months revenue €30.8 bn (-12%) Close to full capacity at VINCI Energies, Eurovia and VINCI Construction Order book remained at an all-time high of
Slide 8: VINCI Autoroutes: quick normalisation of traffic after the 1st lockdown
VINCI Autoroutes: quick normalisation of traffic after the 1st lockdown VINCI Autoroutes monthly change in traffic Jan. to Sept. 2020 (vs 2019) 20% 0% -20% LV -40% HV -60% Total -80% -100% Janv. Jan. Fev. Feb. Mars March Avr. Apr. Mai May Juin Jun. Jul. Juil. Aug.Aout Sept.Sept. As of October 2020,
Slide 9: VINCI Airports: passenger numbers, summer development interrupted in September
VINCI Airports: slightly positive summer development in passenger numbers, interrupted in September due to the renewed spread of the pandemic VINCI Airports monthly passenger numbers* change 2020 (vs 2019) Breakdown of seats by destination (FY 2019) 0% 10% Domestic -20% 35% Intra EU 40% Internationa
Slide 10: Contracting order book at an all-time high level
Contracting order book at an all-time high level Order intake up 4% in 9M 2020 vs 9M 2019 Order book: breakdown by business lines (in € bn) Order book: breakdown by geographical area (in € bn) +15% Δ Sept.20/ +15% Δ Sept.20/ 42.8 Sept.19 Sept.19 42.8 37.3 36.5 37.3 36.5 17.6 +10% 24.2 +25% 19.4 Stab
Slide 11: Outlook (as of November 2020)
Outlook (as of 13 November 2020) Concessions Contracting VINCI Autoroutes a 20-25% contraction in traffic levels 2020 Contracting a 5-10% fall in revenue 2020 VINCI Airports a 150-200 bp decline in Ebit margin vs 2019 Around 70% fall in passenger numbers 2020 On this basis, developments in terms of
Slide 12: Looking beyond 2020
Looking beyond 2020 After a very difficult 2020 The growth post-crisis will be green driven VINCI is confident in its ability to bounce back and is moving forward with enthusiasm 12
Slide 13: Sound financial situation
VINCI Ws Sound financial situation
Slide 14: Financial policy
Financial policy Breakdown of debt by currency Debt refinancing in excellent market conditions In H1 2020, €1.6 bn debt reimbursed, of which 27% a €750m bond issued by VINCI SA in 2012, carrying a coupon of 3.4% 57% a €650m bond issued by ASF in 2010, carrying a coupon of 4.1% € 30 June £ 2020 In Ma
Slide 15: Maturity of gross financial debt
Maturity of gross financial debt Average maturity of gross financial debt (€28.7 bn) as of 30 June 2020: 8.0 years* 3 000 2 500 2 000 € Million 1 500 1 000 500 0 H2 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 >2035 ASF Cofiroute Arcour VINCI Airports Other concessions
Slide 16: Very strong liquidity
Very strong liquidity 18.5 15.9 Data in € billion 14.7 6.6 Unused confirmed bank credit 6.8 facility 5.1 0.6 Net cash managed 1.3 0.8 Commercial paper (Neu CP) 8.3 8.3 11.3* 30 Sept. 2019 31 Dec. 2019 30 Sept. 2020 *including €8.0 billion due to expire in November 2024 and a €3.3 billion credit faci
Slide 17: VINCI commitment to sustainability
VINCI commitment to sustainability
Slide 18: VINCI Manifesto: aim for a global performance
VINCI Manifesto: aim for a global performance A sustainable economic project is impossible without an ambitious social, workforce-related and environmental commitment 18
Slide 19: VINCI's ESG ratings
VINCI’s ESG ratings « best in class » in 2020 (in Heavy Construction sector) Rating C+ 19
Slide 20: VINCI's social performance in 2019
VINCI’s social performance in 2019 Aiming for global performance and sharing with our stakeholders the benefits of our performance 2 million 72% 20.3% 4,422,865 142,000 hours of integration of companies without occupational % of female managers in hours of training provided in employees owning 9% of
Slide 21: VINCI's environmental ambition (2020-2030)
VINCI’s environmental ambition (2020-2030) Develop solutions that contribute to improving the living Act for the Climate environment while managing and reducing the impact of our activities Optimize resources thanks to circular Preserve natural economy environments 21
Slide 22: Act for the climate
Act for the climate Reduce direct and indirect emissions • Reduce our direct green house gases emissions (scope 1 and 2) -28.3 % by 40% by 2030 compared to 2018 reduction in carbon intensity 2.3 m teq CO2 2019 vs 2009 • Reduce our indirect emissions by in 2019 acting on the whole value chain of (dir
Slide 23: Optimize resources thanks to circular economy
Optimize resources thanks to circular economy • Improve sorting and recovery of waste to systematize valorization 64% of recycled waste at VINCI concessions in • Promote low-resource building 11 mt recycled 2019 techniques and materials aggregates in the total production of Eurovia in 2019 • Limit t
Slide 24: Preserve natural environments
Preserve natural environments • Prevent nuisances and incidents by systematically implementing -66% environmental management plan in phytosanitary products use for all our activities VINCI Autoroutes €3.7 bn since 2008 projects labelled for environment • Optimize water consumption, in 2019 especiall
Slide 25: VINCI's environmental concrete actions
VINCI’s environmental concrete actions For VINCI's own activities, implementing this shared ambition will involve an investment programme amounting to several hundred of millions of euros, through actions such as Vehicles and site machinery Materials & waste management - Accelerated replacement by e
Slide 26: VINCI Green Bond framework
VINCI Ws VINCI Green Bond framework
Slide 27: Green Bond program - Rationale
Green Bond program - Rationale § The environment, community life and mobility are among the main challenges facing today’s world. VINCI aims to meet these challenges by being a force for good through our constructions and our work ethic, both day to day and over the long term. As such VINCI believes
Slide 28: Overview of VINCI Green Bond framework
Overview of VINCI Green Bond framework VINCI Green Bond framework is aligned with the four core components of the ICMA Green Bond Principles (2018) Process for evaluation Management of Use of proceeds Reporting and selection proceeds • 6 green categories of eligible • A Green Bond working • Intentio
Slide 29: Use of proceeds
Use of proceeds Allocation will be directed towards projects with expected substantial environmental impact aligned with the three pillars of VINCI Environmental Ambition Project Buildings & Group Pillar Roads Airports Railways Energies Category Construction Holding Green Buildings ✔ ✔ ✔ ✔ ✔ Energy
Slide 30: Eligible Projects included in the framework
Eligible Projects included in the framework Eligibility Criteria • Acquisition of buildings belonging to the top 15% of the most efficient buildings in their respective countries Green Buildings • Construction of buildings with at least certifications (or any equivalent) of: LEED Gold, BREEAM Very G
Slide 31: Project selection and management of proceeds
Project selection and management of proceeds Process for project selection and evaluation A Green Bond working group has been set up with representatives of • Treasury Department • CSR Department • Relevant business lines at VINCI The Green Bond working group will check the compliance of the selecte
Slide 32: Reporting
Reporting Allocation reporting Impact Reporting Metrics • Expected reduction in GHG emissions (tCO2e/year) • Energy performance level and/or year of construction of the acquired buildings VINCI’s allocation will be available within one Green Buildings • Certification type and year year of the issuan
Slide 33: Indicative breakdown for the first issuance
Indicative breakdown for the first issuance VINCI inaugural transaction VINCI considers the following indicative allocation for its inaugural transaction, validated by the Green Bond working group • The share of new financing vs refinancing is to be c. 30/70 • c.27% of the refinancing share has been
Slide 34: Project examples
VINCI Ws Project examples
Slide 35: L'Archipel
L’Archipel New VINCI headquarters, being built by VINCI subsidiaries near Paris Completion scheduled in 2021 5 buildings representing 74 000 m2 4 000 work positions Will be a show case of VINCI know-how and innovations, both in terms of quality of living and energy efficiency Investment of c. €580m
Slide 36: LISEA
LISEA Concessionaire of the Sud Europe Atlantique High Speed Line (SEA HSL) between Tours and Bordeaux In service since 2 July 2017, after 6 years of construction and €7.7 bn of investments First private company in France to manage a HSL Held 33.4% by VINCI Concessions Objectives of the environmenta
Slide 37: Lab research & environment
Lab research & environment Lab recherche environment's mission is to build connections between science and industry Through partnership between VINCI and the three ParisTech engineering schools (Mines ParisTech, École des Ponts ParisTech, AgroParisTech) After 10 years, it has been extended for the p
Slide 38: Focus on VINCI Airports contribution to our environmental ambition
Focus on VINCI Airports contribution to our environmental ambition SALVADOR Airport - Example of achievement An international programme designed to reduce GHG • May 2020 - Most Sustainable Airport in Brazil • Launched in 2009 at the initiative of Airports Council International, • January 2020 - Firs
Slide 39: VINCI Airports: Montijo Airport
VINCI Airports : Montijo Airport A second airport to serve Lisbon area as the current Lisbon airport is approaching its maximum capacity ANA signed in January 2019 a Memorandum of Understanding with the Portuguese Government to adapt an existing Air Force base located across the Tagus river to mixed
Slide 40: Disclaimer
Disclaimer The information contained herein has been prepared by VINCI S.A. (“VINCI”) solely for use at presentations held in connection with the proposed offering of notes of VINCI (the “Transaction”). The information herein is only a summary and does not purport to be complete. This presentation i
Slide 41: VINCI, a local and global approach, rooted in all territories
VINCI, a local and global approach, rooted in all territories Green Bond Framework Presentation November 2020
Slide 42: Table of contents
Table of contents 1 VINCI in a nutshell, update of latest trends & outlook 2 Sound financial situation 3 VINCI commitment to sustainability 4 VINCI Green Bond framework 5 Project examples
Slide 43: VINCI in a nutshell
VINGI Ws VINCI in a nutshell
Slide 44: VINCI 2019 key figures
VINCI 2019 key figures 222,397 €48.1 bn 110 3,200 300,000 €60 bn employees Group revenue countries where estimated number estimated number market cap. at VINCI operates of business units of contracts December 31, 2019 Concessions Real estate Contracting Revenue: €8.5 bn Revenue: €1.3 bn Revenue: €38
Slide 45: A combination of two complementary business profiles (2019 data)
A combination of two complementary business profiles (2019 data) Revenues Employees EBITDA** €48.1 bn* 222,397 €8.5 bn 1% 18% 1% 3% 17% 1% 1% 8% 2% 10% 29% 15% 82% 91% 68% 81% 90% * o/w 45% outside France **Cash flow from operations before tax and financing costs (including a €575 million impact fro
Slide 46: Update of latest trends & outlook
Update of latest trends & outlook
Slide 47: 9M 2020 highlights
9M 2020 highlights Most business lines returning to normal in Q3, after being hit hard in Q2 by lockdowns in France and many other countries. First nine months revenue €30.8 bn (-12%) Close to full capacity at VINCI Energies, Eurovia and VINCI Construction Order book remained at an all-time high of
Slide 48: VINCI Autoroutes: quick normalisation of traffic after the 1st lockdown
VINCI Autoroutes: quick normalisation of traffic after the 1st lockdown VINCI Autoroutes monthly change in traffic Jan. to Sept. 2020 (vs 2019) 20% 0% -20% LV -40% HV -60% Total -80% -100% Janv. Jan. Fev. Feb. Mars March Avr. Apr. Mai May Juin Jun. Jul. Juil. Aug.Aout Sept.Sept. As of October 2020,
Slide 49: VINCI Airports: passenger numbers, summer development interrupted in September
VINCI Airports: slightly positive summer development in passenger numbers, interrupted in September due to the renewed spread of the pandemic VINCI Airports monthly passenger numbers* change 2020 (vs 2019) Breakdown of seats by destination (FY 2019) 0% 10% Domestic -20% 35% Intra EU 40% Internationa
Slide 50: Contracting order book at an all-time high level
Contracting order book at an all-time high level Order intake up 4% in 9M 2020 vs 9M 2019 Order book: breakdown by business lines (in € bn) Order book: breakdown by geographical area (in € bn) +15% Δ Sept.20/ +15% Δ Sept.20/ 42.8 Sept.19 Sept.19 42.8 37.3 36.5 37.3 36.5 17.6 +10% 24.2 +25% 19.4 Stab
Slide 51: Outlook (as of November 2020)
Outlook (as of 13 November 2020) Concessions Contracting VINCI Autoroutes a 20-25% contraction in traffic levels 2020 Contracting a 5-10% fall in revenue 2020 VINCI Airports a 150-200 bp decline in Ebit margin vs 2019 Around 70% fall in passenger numbers 2020 On this basis, developments in terms of
Slide 52: Looking beyond 2020
Looking beyond 2020 After a very difficult 2020 The growth post-crisis will be green driven VINCI is confident in its ability to bounce back and is moving forward with enthusiasm 12
Slide 53: Sound financial situation
VINGI Ws Sound financial situation
Slide 54: Financial policy
Financial policy Breakdown of debt by currency Debt refinancing in excellent market conditions In H1 2020, €1.6 bn debt reimbursed, of which 27% a €750m bond issued by VINCI SA in 2012, carrying a coupon of 3.4% 57% a €650m bond issued by ASF in 2010, carrying a coupon of 4.1% € 30 June £ 2020 In Ma
Slide 55: Maturity of gross financial debt
Maturity of gross financial debt Average maturity of gross financial debt (€28.7 bn) as of 30 June 2020: 8.0 years* 3 000 2 500 2 000 € Million 1 500 1 000 500 0 H2 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 >2035 ASF Cofiroute Arcour VINCI Airports Other concessions
Slide 56: Very strong liquidity
Very strong liquidity 18.5 15.9 Data in € billion 14.7 6.6 Unused confirmed bank credit 6.8 facility 5.1 0.6 Net cash managed 1.3 0.8 Commercial paper (Neu CP) 8.3 8.3 11.3* 30 Sept. 2019 31 Dec. 2019 30 Sept. 2020 *including €8.0 billion due to expire in November 2024 and a €3.3 billion credit faci
Slide 57: VINCI commitment to sustainability
VINCI commitment to sustainability
Slide 58: VINCI Manifesto: aim for a global performance
VINCI Manifesto: aim for a global performance A sustainable economic project is impossible without an ambitious social, workforce-related and environmental commitment 18
Slide 59: VINCI's ESG ratings
VINCI’s ESG ratings « best in class » in 2020 (in Heavy Construction sector) Rating C+ 19
Slide 60: VINCI's social performance in 2019
VINCI’s social performance in 2019 Aiming for global performance and sharing with our stakeholders the benefits of our performance 2 million 72% 20.3% 4,422,865 142,000 hours of integration of companies without occupational % of female managers in hours of training provided in employees owning 9% of
Slide 61: VINCI's environmental ambition (2020-2030)
VINCI’s environmental ambition (2020-2030) Develop solutions that contribute to improving the living Act for the Climate environment while managing and reducing the impact of our activities Optimize resources thanks to circular Preserve natural economy environments 21
Slide 62: Act for the climate
Act for the climate Reduce direct and indirect emissions • Reduce our direct green house gases emissions (scope 1 and 2) -28.3 % by 40% by 2030 compared to 2018 reduction in carbon intensity 2.3 m teq CO2 2019 vs 2009 • Reduce our indirect emissions by in 2019 acting on the whole value chain of (dir
Slide 63: Optimize resources thanks to circular economy
Optimize resources thanks to circular economy • Improve sorting and recovery of waste to systematize valorization 64% of recycled waste at VINCI concessions in • Promote low-resource building 11 mt recycled 2019 techniques and materials aggregates in the total production of Eurovia in 2019 • Limit t
Slide 64: Preserve natural environments
Preserve natural environments • Prevent nuisances and incidents by systematically implementing -66% environmental management plan in phytosanitary products use for all our activities VINCI Autoroutes €3.7 bn since 2008 projects labelled for environment • Optimize water consumption, in 2019 especiall
Slide 65: VINCI's environmental concrete actions
VINCI’s environmental concrete actions For VINCI's own activities, implementing this shared ambition will involve an investment programme amounting to several hundred of millions of euros, through actions such as Vehicles and site machinery Materials & waste management - Accelerated replacement by e
Slide 66: VINCI Green Bond framework
VINGI Ws VINCI Green Bond framework
Slide 67: Green Bond program - Rationale
Green Bond program - Rationale ▪ The environment, community life and mobility are among the main challenges facing today’s world. VINCI aims to meet these challenges by being a force for good through our constructions and our work ethic, both day to day and over the long term. As such VINCI believes
Slide 68: Overview of VINCI Green Bond framework
Overview of VINCI Green Bond framework VINCI Green Bond framework is aligned with the four core components of the ICMA Green Bond Principles (2018) Process for evaluation Management of Use of proceeds Reporting and selection proceeds • 6 green categories of eligible • A Green Bond working • Intentio
Slide 69: Use of proceeds
Use of proceeds Allocation will be directed towards projects with expected substantial environmental impact aligned with the three pillars of VINCI Environmental Ambition Project Buildings & Group Pillar Roads Airports Railways Energies Category Construction Holding Green Buildings ✔ ✔ ✔ ✔ ✔ Energy
Slide 70: Eligible Projects included in the framework
Eligible Projects included in the framework Eligibility Criteria • Acquisition of buildings belonging to the top 15% of the most efficient buildings in their respective countries Green Buildings • Construction of buildings with at least certifications (or any equivalent) of: LEED Gold, BREEAM Very G
Slide 71: Project selection and management of proceeds
Project selection and management of proceeds Process for project selection and evaluation A Green Bond working group has been set up with representatives of • Treasury Department • CSR Department • Relevant business lines at VINCI The Green Bond working group will check the compliance of the selecte
Slide 72: Reporting
Reporting Allocation reporting Impact Reporting Metrics • Expected reduction in GHG emissions (tCO2e/year) • Energy performance level and/or year of construction of the acquired buildings VINCI’s allocation will be available within one Green Buildings • Certification type and year year of the issuan
Slide 73: Indicative breakdown for the first issuance
Indicative breakdown for the first issuance VINCI inaugural transaction VINCI considers the following indicative allocation for its inaugural transaction, validated by the Green Bond working group • The share of new financing vs refinancing is to be c. 30/70 • c.27% of the refinancing share has been
Slide 74: Project examples
VINGI Ws Project examples
Slide 75: L'Archipel
L’Archipel New VINCI headquarters, being built by VINCI subsidiaries near Paris Completion scheduled in 2021 5 buildings representing 74 000 m2 4 000 work positions Will be a show case of VINCI know-how and innovations, both in terms of quality of living and energy efficiency Investment of c. €580m
Slide 76: LISEA
LISEA Concessionaire of the Sud Europe Atlantique High Speed Line (SEA HSL) between Tours and Bordeaux In service since 2 July 2017, after 6 years of construction and €7.7 bn of investments First private company in France to manage a HSL Held 33.4% by VINCI Concessions Objectives of the environmenta
Slide 77: Lab research & environment
Lab research & environment Lab recherche environment's mission is to build connections between science and industry Through partnership between VINCI and the three ParisTech engineering schools (Mines ParisTech, École des Ponts ParisTech, AgroParisTech) After 10 years, it has been extended for the
Slide 78: Focus on VINCI Airports contribution to our environmental ambition
Focus on VINCI Airports contribution to our environmental ambition An international programme designed to reduce GHG SALVADOR Airport - Example of achievement • May 2020 - Most Sustainable Airport in Brazil • Launched in 2009 at the initiative of Airports Council International, • January 2020 - Firs
Slide 79: VINCI Airports: Montijo Airport
VINCI Airports : Montijo Airport A second airport to serve Lisbon area as the current Lisbon airport is approaching its maximum capacity ANA signed in January 2019 a Memorandum of Understanding with the Portuguese Government to adapt an existing Air Force base located across the Tagus river to mixed
Slide 80: Disclaimer
Disclaimer The information contained herein has been prepared by VINCI S.A. (“VINCI”) solely for use at presentations held in connection with the proposed offering of notes of VINCI (the “Transaction”). The information herein is only a summary and does not purport to be complete. This presentation i