Afarak Group Se Class A · OMXHEX:AFAGR
Afarak Group Se Class A — Ruukki Group — Investor Presentation (May 2012)
19 slides from Afarak Group Se Class A's investor presentation, May 2012
Slide 1: Investor Presentation
Investor Presentation InvestorPresentation ThomasHoyer,CEO www.ruukkigroup.com May2012 1
Slide 2: Introducing Ruukki
Introducing Ruukki IntroducingRuukki • A vertically integrated ferroalloys producer RuukkiGroupHQ from mine to customer • Supplies specialist products to steel & OMX Helsinki: RUG1V stainless steel industries LSE: RKKI • Diversified product mix: • Adaptable to customer requirements & general market
Slide 3: Track Record of Delivering Strategic Growth
Track Record of Delivering Strategic Growth TrackRecordofDeliveringStrategicGrowth • 2008: The European Speciality Alloys business was acquired • 2009: 009 Expansion pa s o into to South Sout Africa ca • 2010: Completed its South African value chain with acquisition of Chromex Mining • 2012: Acquisi
Slide 4: Ruukki Strategy
Ruukki’ssStrategy Ruukki Strategy Current Assets Mid term Growth Initiatives Mid-term Long term Growth Themes Long-term • Improve performance • Investments • Grow reserves • Consolidation • M&A • Increase production • Secure power supply • Pool & Share ventures • Expand product offering 4
Slide 5: FY 2011 Performance
FY 2011 Performance Group Financial Performance FY2011 FY2010 • Revenue 159.1 123.3 • EBITDA 1.4 -8.4 • EBITDA margin (%) 09 0.9 -6.8 68 • EBIT -26.5 -75.6 • EBIT margin(%) neg. neg. Production (tonnes): Key Achievements: FY2011 FY2010 Production up 157% g Mining 74,489 , 51,985 , Processing 16,678
Slide 6: Speciality Alloys Performance
Speciality Alloys Performance Financial Performance FY 2011 FY2010 • Revenue 83.6 69.0 • EBITDA 13.8 7.8 • EBITDA margin (%) 16 5 16.5 11 3 11.3 • EBIT -3.8 -10.0 • EBIT margin(%) neg. neg. Production (tonnes): Key Achievements: FY2011 FY2010 • TMS increased mining volumes by nearly 50% Mining: 82,1
Slide 7: FerroAlloys Performance
FerroAlloys Performance Financial Performance FY 2011 FY2010 • Revenue 75.4 54.0 • EBITDA -3.9 -1.0 • EBITDA margin (%) neg neg. neg. neg • EBIT -14.0 -50.2 • EBIT margin (%) neg. neg. Production (tonnes): Key Achievements: FY 2011 FY2010 • Vertical integration of Stellite mine with Mogale Mining: 1
Slide 8: Q1 2012 Performance
Q1 2012 Performance Group Financial Performance Q1 2012 Q1 2011 • Revenue 46.7 34.8 • EBITDA 2.8 3.5 • EBITDA margin (%) 60 6.0 9.9 99 • EBIT -4.1 -3.6 • EBIT margin(%) neg. neg. Production (tonnes): Key Achievements: Q1 2012 Q1 2011 • Revenue increased by 34% y-o-y g Mining 74,489 , 51,985 , Proces
Slide 9: Low Carbon FeCr
Profitability Product Prices (US$/lb) 2,80 1,4 1,35 2,60 1,3 Low Carbon FeCr 1,25 ChCr 2,40 1,2 1,15 2,20 , 1,1 , 1,05 2,00 1 Q1/10 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Low Carbon FeCr ChCr 9
Slide 10: Our Diversified Product Range is a Competitive Advantage
Our Diversified Product Range g is a Competitive p Advantage g Speciality Alloys (TMS & EWW) FerroAlloys (Mogale) 10
Slide 11: Our Target is Zero Harm to Our Employees, Our Local Communities and Our Environment
Our Target is Zero Harm to Our Employees, Our Local Communities and Our Environment 11
Slide 12: Our Target is Zero Harm
Our Target is Zero Harm • 2011 safety performance marred by a regrettable fatality at Stellite mine • Group focused on FerroAlloys with integration of Chromex • Standardised health, safety & environmental policies • Social and Labour Plan at Stellite mine reviewed • Medical Aid introduced to all emp
Slide 13: Our community projects are focused on supporting children
Our community projects are focused on supporting children with much-needed nutritional and educational support 13
Slide 14: Investment Proposition
Investment Proposition • Vertically integrated business capturing the whole value chain from mine to customer • Flexible production units • Products adapted to meet customer requirements • Proven track record of successful growth, strategically driven • Diversified p product mix a competitive p adva
Slide 15: Ruukki is well positioned to weather the current challenging market conditions
Ruukki is well positioned to weather the current challenging market conditions with integrated operations from mine to customer customer, a diversified product range and strong growth prospects. 15
Slide 16: Appendices
S. “i Appendices
Slide 17: Corporate Information
Corporate Information CorporateInformation Sharesinissue 248,432,000 MajorShareholders % MarketCap(14May Market Cap (14 May £145m 2012) €191m KERMAS 29 ATKEY 21 YearEnd 31December FINALINE 11 Brokers Investec/RBC HINO RESOURCES HINORESOURCES 6 LSE RKKI MARKKUKANKAALA(Founder) 3 52wkhigh 152p MONCHEU
Slide 18: Ruukki Product Range Supplying Global Customers
Ruukki’ssProductRangeSupplyingGlobalCustomers Ruukki Product Range Supplying Global Customers 18
Slide 19: Group Structure
Group Structure GroupStructure BusinessUnit Mines Processing Plants ProcessingPlants Partners 19