Sacyr Sa · BME:SCYR
Sacyr Sa — FY2016 Earnings Presentation
36 slides from Sacyr Sa's earnings presentation, Feb 27, 2017
Slide 1: Results Second Half 2016
Results Second Half 2016 27 February 2016 – Presentation of Results 2017 1
Slide 2: Table of Contents
TABLE OF CONTENTS 1. Highlights 2. Operational Development 3. Performance by Business Area 4. Annexes 2016 – Presentation of Results 2
Slide 3: Panama Canal Inauguration
Panama Canal Inauguration On 31 May 2016, GUPC consortium led by Sacyr, completed the expansion of the Panama Canal, the largest engineering feat of the 21st Century and an unprecedented challenge in the modern history of infrastructures that keeps Sacyr ahead of the worldwide civil engineering.
Slide 4: Highlights (I)
Highlights (I) 2015 2016 • EBITDA +13% • Concessions +18% (comparable) • Services +8% • Industrial +43% • EBITDA margin / revenues = 12.6% Visibility of business areas • Adaptation of the construction business to the current market situation. • Guaranteed future growth with the current portfolio (Co
Slide 5: Highlights (II)
Highlights (II) 2015 2016 • Two derivative transactions limiting the risk of falls in Exposure to Repsol Loan Repsol shares to 10.7 €/share (in 20 million shares) and to 11.9 €/share (in 30 million shares), retaining potential profit as a result of increases in Repsol shares price (asymmetric risk).
Slide 6: Operational Development
Operational Development (€ million) 2016 2015 Chg 16/15 REVENUE 2,860 2,949 -3.0% EBITDA₁ 360 318 + 13.1% EBITDA margin₁ 12.6% 10.8% + 1.8 p.p. EBIT 208 148 + 40.8% FINANCIAL RESULT -201 -237 -15.0% 370 NET PROFIT 120 (*) (non-comparable) EBITDA: does not include the non-recurring expense due to the
Slide 7: Operational Development
Operational Development EBITDA EBITDA margin + 13% 360 + 1.8pp -11 318 30 +43% 12.6% -35 76 +8% 21 70 10.8% 207 +12% 184 78 58 -25% 2015 2016 2015 2016 Construction Concessions Services Industrial Holding 2016 – Presentation of Results 7
Slide 8: Profitability: EBITDA
Profitability: EBITDA € million 360 318 207 2015 184 2016 78 76 70 58 30 21 Construction Concessions Services Industrial TOTAL Profitability: consolidated EBITDA margin 2016 = 12.6% EBITDA: does not include the non-recurring expense due to the redundancy plan of Sacyr Construcción and Somague, for a
Slide 9: Backlog
Backlog Backlog 2016: €26 Bn* 84% construction backlog is international. Specialized in high added value works due to its technical complexity. 52% 48% Selective international presence in countries with political, economic and legal stability. Thorough risk analysis: Profitability vs Spain I
Slide 10: Awardings
Awardings Focus on strategic markets • Construction of industrial premises for SEIDESA (Madrid) • Refurbishment and enlargement of the American navy base in Rota (Cádiz) • Urban cleaning service and waste collection in Albacete (Albacete) • Waste collection service in the eastern area of Madrid (Mad
Slide 11: Business Areas
Business Areas 1. Construction 2. Concessions 3. Services 4. Industrial 2016 – Presentation of Results 11
Slide 12: Construction
Construction € million 2016 2015 ∆ Slowdown of the activity in Spain Revenue 1,250 1,666 -25% and Somague. Sacyr Construcción 973 1,234 -21% Completion of construction works in Rutas de Algarrobo and Valles del Somague 277 431 -36% Bio Bio Concessions (Chile). EBITDA₁ 58 78 -26% Projects that
Slide 13: Construction - Awardings
Construction - Awardings Country Project Design, construction and management for Autostradas del Lazio, of the intermodal axis Roma Latina and Italy connection Cisterna-Valmontone. Total amount €1,876m (not included in backlog as of 31 December 2016). Quillota-Petorca Hospital in Valparaíso region (
Slide 14: Concessions
Concessions Relevant growth of concessions income due to: € million 2016 2015 ∆ ∆* • Ongoing positive evolution of traffic in Spain +5%. Revenue 552 564 -2% +1% • Commissioning of Rutas del Desierto (R16, in Sept 15), Rutas del Algarrobo (second Construction income 242 286 -15% -15% and last secti
Slide 15: Concessions
Concessions Contract awards Project Construction and operation of “Rome-Latina” freeway for a 43-year concession term. 186 km length and Awarding in Italy total planned investment of €2,800m. Total backlog €12,250m (not included in FY16 backlog). Backlog: €12,926m* International Spain 41% 59% 2016 *
Slide 16: Traffic
Traffic ACUMMULATED ADT 2016 2015 Change SHADOW TOLL HIGHWAY SPAIN - AUTOVIA DEL NOROESTE 11,726 11,167 5.0% - Ma-15 PALMA-MANACOR 23,713 22,021 7.7% - AS-II OVIEDO-GIJÓN (VIASTUR) 22,879 22,170 3.2% - AUTURSA CV-35 37,976 36,730 3.4% - ERESMA 7,754 7,329 5.8% - BARBANZA 13,257 12,847 3.2% - ARLANZO
Slide 17: Services
Services High revenue increase (+19%) with double-digit € million 2016 2015 ∆ growth in all business lines: Revenue 908 763 19% Environment: relevant contracts signed during the year. Environment 347 313 11% Water: awarding of the desalination plant of Sohar (Oman) Multiservices 391 304 29%
Slide 18: Services – Contract Awards
Services – Contract Awards Main contract awards 2016 Country Project Design, construction, operation and maintenance of a sea water desalination plant in Sohar, Batinah Coast. Backlog $1,200m OMAN (€1,050m). Street cleaning and waste collection service in Albacete, for an amount of €164m and a 15-ye
Slide 19: Industrial
Industrial Significant increase in EPC revenue due to € million 2016 2015 ∆ the contribution of La Pampilla Gasolinas (Peru), and regasification plant in Revenue 401 290 38% Cartagena (Colombia), cement plant in Oruro (Bolivia) and electric grid projects in Mexico, Chile, Peru and Panama. Also Oil
Slide 20: Industrial
Industrial Main awardings 2016 Country Project PERU Construction of the new compression station “Nuevo Mundo” in Peru. €197m. Main contract for the extension of the cement plant of Chimborazo in Riobamba (Ecuador) for UCEM (Unión ECUADOR Cementera Nacional), for an amount of €150m. Contracts for the
Slide 21: Sacyr holds an 8.2% stake in Repsol
Sacyr holds an 8,2% stake in Repsol which is consolidated using the equity method • As of 31 December 2016 the value of Repsol stake stands at 16.8 €/share. • Sacyr received €93m in dividends during 2016. • Active management of Repsol Loan reducing Sacyr´s exposure to the market price of fuel fluctu
Slide 22: Derivative transactions over Repsol shares
Derivative transactions over Repsol shares Sacyr stake in Repsol: 122.7mill shares = 8.2% 20 mill shares 30 mill shares 72.7 mill shares Reduction of the loan Elimination of the market principal €885m. Elimination of the market price variation risk under price variation risk under €11.9/share.
Slide 23: Repsol Loan Evolution 2016
Repsol Loan Evolution 2016 -€885M 1,654 -27 -317 1,310 -9 -213 -319 769 Prestámo 2S 2015 Dividend Loan 2H 2015 Cobro January dividendo 2016 Último Last cobro payment de received Total Total Junio 2016 June 2016 Dividendo Dividend julio 2016 Derivative July 2016 Contratación Contratación Subscription
Slide 24: Annexes
Annexes FINANCIAL STATEMENTS Income Statement Consolidated Balance Sheet Income Statement by Line of Business Balance Sheet by Line of Business Financial Debt Maturity Schedule Concessions Income 2016 – Presentation of Results 24
Slide 25: Income Statement
Income Statement STATEMENT OF INCOME % chg DEC 2016 DEC 2015 (Thousands of Euros) 16/15 Revenue 2,860,475 2,948,914 -3.0% Other income 103,177 114,480 -9.9% Total operating income 2,963,652 3,063,394 -3.3% External and Operating Expenses -2,604,091 -2,745,314 -5.1% EBITDA 359,561 318,080 13.0% Amort
Slide 26: Consolidated Balance Sheet
Consolidated Balance Sheet BALANCE SHEET DEC 2016 DEC 2015 Chg 2H16 (Thousands of Euros) NON CURRENT ASSETS 7,023,764 6,778,086 245,677 Intangible Assets 13,044 14,816 -1,771 Concessions Investments 1,402,267 1,643,853 -241,587 Fixed Assets 363,350 376,148 -12,798 Financial Assets 3,110,156 3,164,86
Slide 27: Income Statement by Line of Business 2016
Income Statement by Line of Business 2016 CONSOLIDATED INCOME STATEMENT AS OF DECEMBER 2016 Sacyr Sacyr Holding and (Thousands of Euros) Construcción Valoriza TOTAL Concesiones Industrial Adjustments Turnover 1,249,922 552,438 908,249 400,579 -250,713 2,860,475 Other Sales 71,544 13,386 26,244 4,071
Slide 28: Income Statement by Line of Business 2015
Income Statement by Line of Business 2015 CONSOLIDATED INCOME STATEMENT AS OF DECEMBER 2015 Sacyr Sacyr Holding and (Thousands of Euros) Construcción Valoriza TOTAL Concesiones Industrial Adjustments Turnover 1,665,641 563,752 763,088 289,969 -333,536 2,948,914 Other Sales 83,770 13,679 15,256 5,498
Slide 29: Balance Sheet by Line of Business 2016
Balance Sheet by Line of Business 2016 CONSOLIDATED BALANCE SHEET AS OF DECEMBER 2016 Sacyr Sacyr Holding y (Thousands of Euros) Construcción Valoriza TOTAL Concesiones Industrial Ajustes NON CURRENT ASSETS 363,685 3,205,219 716,131 191,383 2,547,345 7,023,764 Intangible Assets 633 47 9,083 1,961 1,
Slide 30: Balance Sheet by Line of Business 2015
Balance Sheet by Line of Business 2015 CONSOLIDATED BALANCE SHEET AS OF DECEMBER 2015 Sacyr Sacyr Holding y (Thousands of Euros) Construcción Valoriza TOTAL Concesiones Industrial Ajustes NON CURRENT ASSETS 372,995 3,181,176 640,974 203,575 2,379,366 6,778,086 Intangible Assets 130 50 7,805 5,285 1,
Slide 31: Financial Debt
Financial Debt € million Dec. 2016 Sept. 2016 Change 4Q 2016 Project Finance 2,187 2,074 113 Other business lines debt 248 306 -58 Total Business Lines 2,435 2,380 55 Repsol 765 1,305 -540 Corporate* 526 549 -23 DEUDA NETA 3,726 4,234 -508 * It includes non bank debt (capital market) for an amount o
Slide 32: Net Debt Maturity
Net Debt Maturity 3,726 1,842 250 417 1,080 OTROS 136 Deuda Neta2016 Net debt 2016 2017 2018 2019 2020 2021and 2021 y+ + 2016 – Presentation of Results 32
Slide 33: Maturity Schedule
Maturity Schedule NET FINANCIAL DEBT € million MATURITY SCHEDULE December 2016 2017 2018 2019 2020 2021 and + Sacyr Concesiones 1,933 101 106 90 184 1,452 Sacyr Construcción + Somague 236 34 21 17 18 147 Valoriza 216 -57 34 59 31 149 Industrial 50 9 8 9 6 18 SUBTOTAL ACTIVITIES DEBT 2,435 87 169 175
Slide 34: Concessions: Revenue Breakdown
Concessions: Revenue Breakdown REVENUE (€ Thousands) 2016 2015 Chg. (% ) AUTOVÍA DEL TURIA 12,291 11,847 3.7% AUTOVÍA NOROESTE C.A.R.M. 7,025 7,871 -10.7% VIASTUR 7,023 6,829 2.8% PALMA MANACOR 10,408 9,661 7.7% AUTOVÍA DEL BARBANZA 9,008 8,698 3.6% AUTOVÍA DEL ERESMA 6,720 6,331 6.1% AUTOVÍA DEL AR
Slide 35: Alternative Performance Measures
Alternative Performance Measures In order to comply with the Guidelines on Alternative Performance Measures (2015/1415en) published by the European Securities and Markets Authority (ESMA), the key APMs used in preparing the financial statements are set out below. Sacyr considers that this additional
Slide 36: NOTE: The financial information contained in this document is drafted according to the International
NOTE: The financial information contained in this document is drafted according to the International Financial Reporting Standards. This information has not been audited and therefore may be modified in the future. This document is not a offer, invitation or recommendation to buy, sell or exchange s