AGL Energy Limited · ASX:AGL
AGL Energy — Shareholder Meeting (October 2009)
14 slides from AGL Energy's shareholder meeting presentation, Oct 29, 2009
Slide 1: ASX statement
AGL Energy Limited Level 22, 101 Miller St Locked Bag 1837 T: 02 9921 2999 ABN: 74 115 061 375 North Sydney NSW 2060 St Leonards NSW 2065 F: 02 9921 2552 www.agl.com.au ASX statement 29 October 2009 Attached is the Managing Director’s presentation for the Annual General Meeting to be held at 10.30am
Slide 2: 2009 Annual General Meeting
2009 Annual General Meeting Michael Fraser Managing Director & CEO AGL Energy Limited 29 October 2009
Slide 3: 2009 Highlights
2009 Highlights Delivering on profit, delivering on growth, delivering on strategy › Improved safety performance and employee engagement › Result at top end of upgraded guidance range › $3.2bn asset sale program completed » BBB credit rating stable outlook re-instated › Market leading renewable port
Slide 4: AGL's Integrated Strategy
AGL’s Integrated Strategy Managing risk and delivering superior stable returns UPSTREAM SUPPLY Core Upstream Gas: Gas Renewable Thermal Generation: Capturing value & growth Production Generation Generation › Targeting › Currently ~3,940 ownership of MW of capacity opportunities ~2,000 PJ (2P) owned
Slide 5: 2009 Financial Results
2009 Financial Results Profit at top end of guidance range Revenue: $5,995.7m 6.1% Statutory NPAT: $1,596.1m 597.0% Underlying NPAT: $378.8m 11.1% Underlying EPS: 85.0cps 8.6% Dividend (fully franked): 54.0cps 1.9% Gearing: 7.8% 21.2pts » 2009 Annual General Meeting » 29 October 2009 » A
Slide 6: Capital Management – $3.2bn Non-core assets divested
Capital Management – $3.2bn Non-core assets divested Proceeds used to reduce debt and re-invest Cumulative Gross Proceeds › Enables domestic integrated energy company strategy › 2009 Sales: » PNG $1,108m » Queensland Gas Co. $1,177m » Nth Qld Gas Pipeline $103m » Elgas $221m › 2009 Investments: » Re
Slide 7: Operational highlights
2009 Operational highlights Delivering on profit, delivering on growth › Strong Merchant gas and electricity portfolio performance ( 32.5%) › Retail ( 1.8%) adversely impacted by: » Higher transitional costs » Incorrect QLD regulatory decision › Increasing retail gross margin per customer ( 4.2%)
Slide 8: Climate policies to transform energy sector
Climate policies to transform energy sector Emissions trading, Expanded Renewable Energy Target and energy efficiency policies to drive change Proposed Emissions Targets Expanded Renewable Energy Target » 2009 Annual General Meeting » 29 October 2009 » AGL Energy Limited 7
Slide 9: AGL well positioned for low carbon future
AGL well positioned for low carbon future Market leading portfolio provides growth and strategic options Nominal Project Location Type Status Definition Capacity (MW) Barn Hill 130 SA - Hallett Wind DA Approved Probable Macarthur 330 VIC - West Wind In Development, JV with Meridian Probable Hallett
Slide 10: Major renewable contract wins underpin projects
Major renewable contract wins underpin projects Contracts provide certainty of returns for renewable investments Victorian desalination plant: › 100% renewable energy contract Current Generation Breakdown › 27 year firm price contract ~3,940MW* › Up to 860 GWh per annum › Commences 2011/2012 South A
Slide 11: 2010 Strategic Priorities
2010 Strategic Priorities Disciplined growth underpinned by strong core operations › Operational excellence in core Retail, Merchant and Upstream Gas business › Continued expansion of renewables portfolio › Improving customer experience and leveraging new customer systems › Measured expenditure on p
Slide 12: 2010 Financial Outlook
2010 Financial Outlook Solid start to year despite warm winter in key markets Melbourne Average July/September temperatures (1980-2009) › Solid 1st quarter FY2010: » Modest growth in customer numbers in highly competitive markets » Good progress in reducing Phoenix implementation cost structure » El
Slide 13: 2010 Financial Outlook
2010 Financial Outlook Underlying FY2010 Net Profit After Tax (NPAT) guidance $390m to $420m Underlying Net Profit After Tax $420m FY10 forecast range $379m $390m $341m $326m2 $305m1 2006 2007 2008 2009 2010E 1. Proforma as per 2006 Scheme booklet 2. Proforma adjusted » 2009 Annual General Meeting »
Slide 14: Annual General Meeting
2009 Annual General Meeting AGL Energy Limited 29 October 2009