Coronado Global Resources Inc. · ASX:CRN
Coronado Global Resources — H1 2021 Earnings Presentation
31 slides from Coronado Global Resources's earnings presentation, Aug 9, 2021
Slide 1: 2021 Half Year Results Presentation
2021 Half Year Results Presentation GERRY SPINDLER Managing Director and CEO GERHARD ZIEMS Group Chief Financial Officer 10 August 2021 (All units in USD and metric tonnes, unless otherwise stated)
Slide 2: HY 2021 Highlights
HY 2021 HIGHLIGHTS GERRY SPINDLER MANAGING DIRECTOR AND CEO
Slide 3: HY 2021 Safety Performance
HY 2021 Safety Performance 3 HY21 Results Presentation The Safety of our workforce remains our highest priority Notes: Total Recordable Injury Frequency Rate (TRIFR), is the number of fatalities, lost time injuries, cases or substitute work and other injuries requiring medical treatment per million-
Slide 4: HY 2021 Highlights: Revenue, EBITDA, Production, Net Debt
Total Revenue of $800.4 million, up 12% Adjusted EBITDA of $25.7 million, down 26% Mining Cost per tonne sold $64.2, up 12% Capex $52.3 million, down 16% Higher revenue offset by higher costs primarily due to FX, mitigated by lower capex Total ROM Production of 13.7Mt, up 16% Total Saleable Producti
Slide 5: HY 2021 Group Operational Performance
5 HY 2021 Group Operational Performance HY21 Results Presentation Higher production and greater percentage of export and metallurgical revenue mix Export Volume Mix (%) ROM Production (Mt) Saleable Production (Mt) Revenue Mix (%) 7.2 3.5 3.0 0.0 13.7 6.7 2.8 2.1 0.2 11.9 0 5 10 15 Curragh Buchanan L
Slide 6: Reserves & Resources (Mt)
6 Reserves & Resources (Mt) HY21 Results Presentation Coronado maintains long-life operating assets ~20 years Notes: Charts reflect reserves and resources as at 31 December 2020 in metric tonnes. Australian resources are estimated inclusive of 5.3% insitu moisture. United States resources are estima
Slide 7: HY 2021 Financial Performance
HY 2021 FINANCIAL PERFORMANCE GERHARD ZIEMS GROUP CHIEF FINANCIAL OFFICER
Slide 8: HY 2021 Financial Results
HY 2021 Financial Results Benefits of higher pricing to be realised in the second half of 2021 Notes: Rounding has been applied to this table as appropriate. Group Dashboard H1 2021 Actual H1 2020 Actual Variance Production 8.8Mt 8.0Mt 10% Sales Volume 8.9Mt 8.3Mt 7% Revenue $800.4M $713.7M 12% Adju
Slide 9: Successfully Completed US$550 million Refinancing Initiatives
Successfully Completed US$550 million Refinancing Initiatives Coronado has successfully completed its announced refinancing initiatives resulting in a more appropriate and flexible capital structure. The refinancing comprised of three coordinated transactions: – Asset Based Loan (“ABL”); – 5-year Se
Slide 10: HY 2021 Cash Flows and Balance Sheet
10 HY 2021 Cash Flows and Balance Sheet ($M) Notes: Rounding has been applied as appropriate. Cash balance excludes restricted cash. Operating Cash Flow / Free Cash Flow Net Debt Available Liquidity 26 57 -8 48 FCF 58 Working Capital H1 EBITDA Non- Cash Adjustments Net Operating Cash Flows Capex Oth
Slide 11: HY 2021 Revenue, Price and Costs
HY 2021 Revenue, Price and Costs Notes: Rounding has been applied as appropriate. (1) Free-On-Board (FOB) has the customer paying for transportation starting from the outbound shipping port; Free-On-Rail (FOR) has the customer arranging for and incurring the cost of transportation to their facility
Slide 12: HY 2021 Operational Segment Performance
HY 2021 Operational Segment Performance Notes: Rounding has been applied as appropriate. ROM production was 13.7 Mt, up 1.8Mt or 15.6% on H1 2020 Saleable production was 8.8 Mt, up 0.8 Mt or 10.0% on H1 2020 – Australian production down on H2 2020 levels due to seasonal wet weather, bucket wheel rec
Slide 13: Metallurgical Coal Markets
13 HY21 Results Presentation Metallurgical Coal Markets
Slide 14: Significant Potential EBITDA Generation at current Met Coal Prices
Significant Potential EBITDA Generation at current Met Coal Prices Since the beginning of the year the Platts PLV FOB AUS HCC price has recovered from lows of ~US$100/t to $216/t. Price recovery is due to supply tightness and increased steel demand. Coronado’s operations are well positioned to capit
Slide 15: Strong Metallurgical Coal Demand Through 2050
Strong Metallurgical Coal Demand Through 2050 15 HY21 Results Presentation Growth for seaborne metallurgical coal is underpinned by Indian demand and blast furnace production Source: Wood Mackenzie July 2021 Metallurgical Trade Outlook to 2050 Seaborne Met Coal Supply (Mt) Seaborne Met Coal Demand (
Slide 16: Government Stimulus Driving Steel Demand Outlook
Government Stimulus Driving Steel Demand Outlook; India Steel Production Growing year on year Source: (1) Wood Mackenzie May 2021 GDP Forecasts. (2) Wood Mackenzie July 2021 Metallurgical Trade Outlook to 2050 Annual Forecast GDP Growth Percentage (1) India Total Crude Steel Production (Mt) (2) 9.0
Slide 17: ESG
ESG GERRY SPINDLER MANAGING DIRECTOR AND CEO
Slide 18: Coronado Rehabilitation Activities
Coronado Rehabilitation Activities 18 HY21 Results Presentation Year to date, 52 acres of rehabilitation activities were completed at Greenbrier Photos of rehabilitation efforts at Logan and Greenbrier are shown opposite Since 2019, our U.S. operations have planted 277,350 trees to rehabilitate the
Slide 19: Sustainability
Sustainability 19 HY21 Results Presentation Coronado’s Sustainability Report details the Company’s commitments in respect of Safety, Health, People, Community, Environment and Climate Change. Climate risks and opportunities increasingly form part of our strategic thinking and investment decisions. W
Slide 20: Coronado Outlook
Coronado Outlook Sees STEELSTAN SHER
Slide 21: Factors supporting strong margin growth and liquidity in H2
Factors supporting strong margin growth and liquidity in H2 include: Notes:(1) Based on spot benchmark index prices as at 3 August 2021. (2) Decrease in Stanwell Rebate due to rolling coal price. Reduction in rebate estimate calculated from H1 2020 to H1 2021. Index prices at 31 July 2021 for PLV HC
Slide 22: Key focus areas for the remainder of 2021
Key focus areas for the remainder of 2021 Coronado will continue to implement safety initiatives to reduce injuries which include: Ongoing roll out of Critical Control Management Project at Curragh Higher level of investigation of recordable injuries Increased incident reduction initiatives includin
Slide 23: Coronado Strategic Platform
Coronado Strategic Platform High quality Australian and U.S. metallurgical coal is an essential element in the production of steel and delivers lower emissions than substitutes Operational scale to deliver sustainable incremental metallurgical coal production growth Leverage well capitalised mines t
Slide 24: Questions
QUESTIONS Sees STEELSTAN SHER
Slide 25: Disclaimer
Disclaimer The material contained in this presentation is intended to be general background information on Coronado Global Resources (Coronado) and its activities. The information is supplied in summary form and is therefore not necessarily complete. It is not intended that it be relied upon as advi
Slide 26: Supplementary Information
SUPPLEMENTARY INFORMATION
Slide 27: Reconciliation of Non-GAAP measures
Reconciliation of Non-GAAP measures This report includes a discussion of results of operations and references to and analysis of certain non-GAAP measures (as described below) which are financial measures not recognised in accordance with U.S. GAAP. Non-GAAP financial measures are used by the Compan
Slide 28: Reconciliation of Non-GAAP measures (continued)
Reconciliation of Non-GAAP measures (continued) Realised Met Pricing reconciliation June 30, 2021 Australian Operations U.S. Operations Consolidated (US$ Thousands, except for volume data) Total Revenues 489,726 310,641 800,367 Less: Other revenues 17,527 1,874 19,401 Total coal revenues 472,199 308
Slide 29: Reconciliation of Non-GAAP measures (continued)
Reconciliation of Non-GAAP measures (continued) Adjusted EBITDA reconciliation June 30, 2021 June 30, 2020 (US$ Thousands) Net loss (96,057) (123,196) Add: Depreciation, depletion and amortization 94,293 86,849 Add: Interest expense (net of income) 31,731 24,318 Add: Other foreign exchange losses 1,
Slide 30: Reconciliation of Non-GAAP measures (continued)
Reconciliation of Non-GAAP measures (continued) Mining Costs per tonne reconciliation June 30, 2021 Australia United States Other/Corporate Total (US$ Thousands, except for volume data) Total costs and expenses 578,657 280,830 13,632 873,119 Less: Selling, general and administrative expense --(13,20
Slide 31: Contacts
CONTACTS Investors: Andrew Mooney P: +61 458 666 639 E: amooney@coronadoglobal.com E: investors@coronadoglobal.com Media: Brett Clegg Citadel Magnus P: +61 487 436 985
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