Aygaz Anonim Sirketi · BIST:AYGAZ

Aygaz Anonim Sirketi — Aygaz — Investor Presentation (March 2013)

26 slides from Aygaz Anonim Sirketi's investor presentation, March 2013

  1. Slide 1: AYGAZ GROUP Investor Presentation

    AYGAZ GROUP Investor Presentation March 2013

  2. Slide 2: Who we are? - AYGAZ

    Who we are? - AYGAZ • Leading LPG distributor of Turkey •1.7 m tons sales – 2012 •$3.1 b revenue – 2012 •29% market share • Diversified participation portfolio in energy; • Natural Gas • Refinery • Power Generation Summary financials; (Cons. in m$) 2012 2011 2010 YoY change Revenue 3,126 3,267 3,105

  3. Slide 3: Where we stand? – market leader

    Where we stand? – market leader • Generic brand for LPG • #1 in Turkey, #5 in Europe • Leader since foundation • Over 50 years Aygaz Group 43% 23% Market shares Cylinder LPG Autogas 29% All segments 3

  4. Slide 4: What we do?

    What we do? The LPG value chain Fixed storage capacity of 26 facilities throughout Turkey Gebze Facility Export of cylinders and gas devices to GAKoe Moving storage capacity of 56,000 m°, which covers 60% of Turkey Supplying 1.7 million tons N of LPG 299 tankers be 1,000,000+ vehicles using Aygaz Eu

  5. Slide 5: What is the product? - LPG

    What is the product? - LPG •Mixtures of hydrocarbons in which butane or propane are predominant • LPG market is supply oriented Why LPG? Anytime+Anywhere • Supply is secure as LPG is extracted from related natural gas facilities or as refinery gases  Portable and versatile  Abundant reserves-price

  6. Slide 6: Facts about Turkish LPG market

    Facts about Turkish LPG market Evolving from cylinder to auto 73% 38% 1,387 2,695 1,803 570 890 120 24% 16% 46% 3% 2004 2012 EMRA LPG Sector Report 2004, 2011 •3.7 m tons, #1 in Europe •72 distribution companies •Serving; 10 m houses 3.5 m cars •Liberal market with regulatory body-EMRA Domestic Indu

  7. Slide 7: Where is the growth? - autogas

    Where is the growth? - autogas Second 3,0 2,5 TR Autogas Volumes biggest autogas 2,0 market in the world (m ton) 1,5 2.6 m tons 1,0 40% of the 0,5 passenger car 0,0 park 3.5 m cars TLPG Assocition Report, EMRA 50% 40% 30% 20% 25% price 10% advantage to 0% gasoline -10% -20% -30% to Gasoline to Diese

  8. Slide 8: Is the autogas growth sustainable? - Yes

    Is the autogas growth sustainable? -Yes Passenger car park Autogas car park CAGR +%6,2 CAGR +%14,4 6,8 7,1 7,5 8,1 8,6 300,000+ 6,4 conversions per year  3,7 3,0 3,3 1,000+ conversion 2,3 2,6 1,9 points  $700 average cost  Pay back in 15,000 Passenger car park Autogas car park km Source: Aygaz /

  9. Slide 9: How do we lead autogas market?

    How do we lead autogas market? 30% 24% Market share vs number of stations share Long-term 25% 20% strategy Aygaz&Opet 15% 10% 14% builder synergy 5% Opet partnership 0% leads autogas market Market Share Number of Station Share * 2011 PETDER and EMRA data 25% Core business 19% 15% 12% 6% 18% 18% 11%

  10. Slide 10: Is the cylinder market here to stay? - Yes

    Is the cylinder market here to stay? - Yes 2.000 13% Contraction 1.500 10% 4% 8% 6% slowing (000) tons 1.000 1.803 1.733 1.492 1.302 down 1.177 1.134 1.044 500 979 Potential growth in - 2004 2005 2006 2007 2008 2009 2010 2011 rural areas TLPG Assocition Report, EMRA Turkey is fifth in residential cy

  11. Slide 11: Aygaz Key Takeaways

    Aygaz Key Takeaways Financial Strength Brand Power Long- term Strategy Builder Consistent Market Diversifier & Leader Portfolio Investor Strong Sales & Logistics Network 11

  12. Slide 12: Shareholding & Portfolio Structure

    Shareholding & Portfolio Structure Shareholders Participations Mogaz – 100% Koç Group – 51% Aygaz Natural Gas 99% Liquid Petroleum Gas Development AYGAZ Akpa – 100% Co. – 25% Shipping Companies 100% Publicly traded AES Entek – 25% Tüpraş – 10% 12

  13. Slide 13: What we do in natural gas?

    What we do in natural gas? LNG Distribution • Transportation and regasification • 250 industrial customers, 20% market share • 2013 planned sales : 100 mcm • Total natural gas market: 48.5 bcm; LNG market: 0.7 bcm Pipeline Natural Gas • Started in 2010; Sales: 66 mcm • 2013 planned sales: 400 mcm St

  14. Slide 14: What is our natural gas strategy?

    What is our natural gas strategy? Current Position FIRSAT Power Wholesa Generati le Comp. on and Industry Exploration and Transmission and Import and Production Storage Wholesale LNG & Local CNG Dist. Selling Comp. Comp. Target Position 14

  15. Slide 15: Turkey’s Natural Gas Supply-Demand

    Turkey’s Natural Gas Supply-Demand bcm 2017: Contract: 48 bcm 2012: Demand: 57bcm Contract: 52 bcm Demand: 49 bcm Necessity for new gas Russia to be renewed contracts Azerbaijan Russia Blue Stream Iran Nigeria Russia Algeria Russia2 Source: Aygaz & market data • Turkey’s additional natural gas requi

  16. Slide 16: Who is AES Entek?

    Who is AES Entek? Capacity – 364 MW NGCC • İzmit : 160MW • Bursa : 142MW • 3 Hydro assets : 62MW • Sales composition : 52% PMUM & 48% trade & direct customers Production and Sales - 2011 • Electricity prod. : 1.632 Gwh Energy sales : 2.362 Gwh 157 • Steam prod. : 128 Gwh Revenue : 353 m TL Kocaeli S

  17. Slide 17: AES Entek Project Updates

    AES Entek Project Updates AYAS IMPORTED COAL 625 MW Greenfield Coal Power Plant SEYMENOBA CCGT 220 MW Cogeneration Power Plant YAHŞIELİ WIND PARK 46 MW Greenfield Wind Power Plant 17

  18. Slide 18: What are our priorities?

    What are our priorities? Sustain LPG market leadership through • Product differentiation and innovation for autogas • Further penetration through new autogas stations • Growth prospects for cylinder in rural Turkey • Geographical diversification in neighbouring countries Utilize and expand existing

  19. Slide 19: How do we create shareholder value?

    How do we create shareholder value? Sustainable Management operating profitability from strategies core business ; LPG Resistant that focus on increasing to economic shareholder value fluctuation and crises AYGAZ Mcap (mTL) ISE 30 indexed (mTL) High 3500 dividend Corporate 3000 payments 2500 2000 go

  20. Slide 20: Financial Highlights

    Financial Highlights Net sales (m$) Gross Profit(m$) and GPM* 16% 400 2012 3.126 14% 15% 350 13% 12% 300 2011 3.267 10% 11% 250 9% 9% 8% 368 200 2010 3.105 358 334 6% 286 291 150 4% 100 2009 2.431 2% 50 2008 2.768 0% 0 2008 2009 2010 2011 2012 EBITDA(m$) and EBITDA Margin* Net Profit(m$) and NPM* 12

  21. Slide 21: Financial Highlights

    Financial Highlights Equity (m$) and Debt Ratio* Net Cash (m$) 35% 1.500 132 30% 100 25% 67 1.000 20% 15% 500 10% 5% 0% 0 2008 2009 2010 2011 2012 (18) 2008 2009 2010 2011 2012 (28) * bars: $ figures & lines: % figures Working Capital Dividend Payout 400 116% 200 166 99% 123 141 82 0 22 2008 2009 20

  22. Slide 22: Contacts

    Contacts investor@aygaz.com.tr Gökhan Tezel, CFO E-mail: gokhan.tezel@aygaz.com.tr Phone: +90 212 354 1733 Mehmet Özkan, Finance Manager E-mail: mehmet.ozkan@aygaz.com.tr Phone: +90 212 354 1657 Selin Sanver, Investor Relations Manager E-mail: selin.sanver@aygaz.com.tr Phone: +90 212 354 1659 www.ay

  23. Slide 23: Disclaimer

    Disclaimer This presentation contains forward-looking statements that reflect the company management’s current views with respect to certain future events. Although it is believed that the expectations reflected in these statements are reasonable, they may be affected by a variety of variables and c

  24. Slide 24: Appendix

    Appendix

  25. Slide 25: Income Statement Summary

    Income Statement Summary (m USD) 2008 2009 2010 2011 2012 Net Sales 2,768 2,431 3,105 3,267 3,126 COGS (2,400) (2,073) (2,770) (2,981) (2,835) Gross Profit 368 358 334 286 291 Operating Profit 189 189 145 89 93 Profit Before Tax 49 242 189 251 192 Net Profit 20 203 160 227 170 EBITDA 261 252 204 140

  26. Slide 26: Balance Sheet Summary

    Balance Sheet Summary (m USD) 2008 2009 2010 2011 2012 Cash & Cash Eq. 268 271 174 133 70 Trade Receivables 175 224 176 157 171 Inventories 56 54 105 98 122 Participations 624 669 783 663 690 Prop. Plant & Eq. 444 472 316 300 332 Financial Debt (296) (289) (74) (1) (1) Trade Payable (208) (111) (199

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