Acs, Actividades De Construccion Y Servicios Sa · BME:ACS
Acs, Actividades De Construccion Y Servicios Sa — Grupo ACS — Investor Presentation (October 2002)
24 slides from Acs, Actividades De Construccion Y Servicios Sa's investor presentation, October 2002
Slide 1: Presentation to Investors
Presentation to Investors October 2002 1
Slide 2: Strategic vision
Grupo ACS Strategic vision Innovation, Expertise Cost-effective Construction Support Services Improve Global Urban Services Client´s Services Solutions Clients Performance Concessions Telecomm Long Term relation Entrepreneurship Reliance Capacity to promote, develop, execute and manage Infrastructur
Slide 3: Corporate strategy
Grupo ACS Corporate strategy Value Growth through Diversification Maximise Promote Invest in Profitability of Competitive Advantages activities with emerging Traditional high growth industries • Ability to offer global businesses potential solutions Enhance Larger Strategic view • Close knowledge of
Slide 4: Organization
Grupo ACS Organization Strategic centralization Management and control of the Group´s resources Construction Support Services Urban Services Concessions Telecoms Operational decentralization by business area: efficiency improvement 4
Slide 5: Financial Track Record: Key financials
Financial Track Record Key financials Continuous improvement: double digit growth over last 5 years CAGR 01/97 Var. 1H 02/01 (Million Euro) 3,921 Revenues 16.0% 13.7% 3,410 EBITDA 28.4% 14.8% EBIT 28.9% 12.1% 2,700 2,460 Net profit 28.6% 22.8% 9.0% 2,166 8.2% 6.7% 6.3% 6.8% 6.0% 6.1% 5.2% 4.5% 4.7%
Slide 6: Financial Track Record: Breakdown by activity
Financial Track Record Breakdown by activity Revenues EBIT Diversification EBIT Margin (Million Euro) towards Services improvements 2,166 3,921 2,079 97.1 267.8 134.9 6.5% 9.9% 10.2% 11.7% 14.0% 14.0% 28.3% 42.5% 42.6% 36.5% 46.8% 48.1% 65.2% 47.6% 47.2% 51.8% 37.9% 39.2% 1997 2001 1H/02 1997 2001 1
Slide 7: Financial Track Record: Balance sheet-Assets
Financial Track Record Balance sheet-Assets (Million Euro) dec-97 dec-98 dec-99 dec-00 dec-01 jun-02 Start-up costs 2.0 11.3 12.0 9.6 6.6 5.5 Intangible fixed assets 18.8 20.6 33.3 51.2 59.6 62.9 Tangible fixed assets 203.7 207.3 350.0 481.4 579.6 587.2 Long term financial investments 41.8 22.1 181.
Slide 8: Financial Track Record: Balance sheet-Net debt
Financial Track Record Balance sheet-Net debt (Million Euro) dec-97 dec-98 dec-99 dec-00 dec-01 jun-02 Net debt with recourse 280.0 173.0 265.4 83.6 (55.2) 778.6 Grupo Dragados operation 900.0 Compnies´net debt 280.0 173.0 265.4 83.6 (55.2) (121.4) Project Finance 0.0 15.8 57.2 129.0 179.9 202.2 Oth
Slide 9: Construction: Industry
Construction Industry 8.5 Market Conditions: 6.5 Growth rates (%) " Industry growth rate: 5.7 5.5 4.3 – Over GDP’s since 1998 3.9 Construction 4.3 4.0 4.1 GDP – Above Euro zone industry growth 2.8 2.1 2.2 97 98 99 00 01 02e Source 02e: SEOPAN Annual Report 2001 Market Opportunities: " Infrastructure
Slide 10: Infrastructure Investment Plan: Highways & railways
Infrastructure Investment Plan Highways & railways development prospects Year 2000 Year 2010 Nimes Nimes Montpellier Montpellier Ferrol San Ciprián Ferrol San Ciprián Ribadeo Ribadeo Barreiros Gijón Toulon ACoruña Barreiros Gijón Marsella Toulo A Coruña Biarritz Marsella Avilés Biarritz Luarca Avilé
Slide 11: Construction: Description
Construction Description One of the main Iberian contracting firms 8% 2001 Construction revenues: € 1,886 bn 14% " Backlog of 21months of Civil Engineering work as of 31st March Residential 2002 Non Residential 20% 58% International Focus in civil works, on large projects 17% 38% Civil Works Revenue
Slide 12: Construction: Financials
Construction Financials Long term sustainable growth (Million Euro) 1,886 of sales 1,477 1,650 1,583 1,679 5.7% " Iberian market boosted by 4.0% 4.1% 4.9% 3.6% 2000-2007 Infrastructure Plan " International expansion through concessions works 1997 1998 1999 2000 2001 Revenues EBIT Margin Positive tre
Slide 13: Support Services-Grupo Cobra: Market Opportunities
Support Services-Grupo Cobra Market Opportunities Energy Telecom Control Systems Industrial Services Generation Distribution High Railroads Urban Systems Installation Maintenance standard Energy Renewable technology, High speed Traffic systems New capacities Maintenance Outsourcing Outsourcing of sh
Slide 14: Support Services-Grupo Cobra: Revenues breakdown
Support Services-Grupo Cobra Revenues breakdown Control Systems Energy Projects Traffic Control Lighting systems Generation: Other control & signalling systems Power generation (CCGT) 15% Renewable energy Railways Desalination plants Power lines (catenaries) 43% Gas storage Signalling systems (dynam
Slide 15: Support Services-Grupo Cobra: Financials
Support Services-Grupo Cobra Financials 2001 Revenues breakdown (Million Euro) 1,687 1,448 2% 1,010 8% 763 641 7.3% 7.7% 16% Spain 5.9% 6.4% 6.3% EU Latam 1997 1998 1999 2000 2001 Others Revenues EBIT Margin 74% (Million Euro) 1H01 1H02 Var. 02/01 Revenues 811.5 891.4 9.8% EBITDA 73.9 81.8 10.8% EBI
Slide 16: Support Services-Grupo Cobra: Prospects
Support Services-Grupo Cobra Prospects STRENGHTS TARGETS Key player as a developer of " Achieve sales growth rates the 21st century infrastructures: over 10% during the next 3 " Long experience as support years services provider for the main " Increasing presence in utilities in Spain and abroad lea
Slide 17: Urban Services: Tecmed - Market Opportunities
Urban Services Tecmed - Market Opportunities Government Investment Plan 2000-2006 11% 7% 14% Restoring and recycling Compost National Program Barriers of Entry Incineration 25% Containers National Program Strong positioning of Recoverable energy the main companies: Other 26% financial standing and e
Slide 18: Urban Services: Tecmed - Description
Urban Services Tecmed - Description 2001 Sales breakdown Tecmed is firmly positioned in SUW 3% 4% Industry: 13% " Population covered: 12 mn " Management of 7 Treatment Plants, Solid Urban Waste including the largest in Europe Special Waste " 6 controlled landfills Water Treatment Strong activity gro
Slide 19: Urban Services: Continental Auto - Market Opportunities
Urban Services Continental Auto - Market Opportunities " Highly fragmented market Current leading position will be critical " Increasing service outsourcing from the municipalities to become one of the main agents in the process of change " Similar prospects for the railway business GCA is one of th
Slide 20: Urban Services: Continental Auto - Financials
Urban Services Continental Auto - Financials (Million Euro) 135 (Million Euro) 1H01 1H02 Var. 02/01 117 10.2% Revenues 64.2 68.6 7.0% 10.5% 10.7% EBITDA 14.3 14.7 2.8% 62 EBIT 6.9 6.6 (5.3%) Net profit 5.1 5.8 12.9% 1999 2000 2001 1H/02 Revenues breakdown Revenues EBIT Margin Vehicle & spare parts s
Slide 21: Concessions: Description
Concessions Description DEMAND SUPPLY " Increasing demand Excellent market " Strong companies to of new & more opportunities to face the whole value chain of these projects complex develop new " Contracting firms are the infrastructures " Public initiative to Concessions best positioned: L.T. commit
Slide 22: Telecommunications: Description
Telecommunications Description Participate in the development of new telecom infrastructures in Spain " Capacity to manage start-up projects " Financial and industrial partners which increase Project´s opportunities to success Current Projects: Xfera: Mobile UMTS Broadnet: fixed wireless LMDS 20% No
Slide 23: Acquisition of 23.5% Grupo Dragados
Grupo ACS Acquisition of 23.5% Grupo Dragados Growth Strategy: " Unique opportunity in size and quality " Strong position to participate in future consolidation process in the Infrastructure Industry Financial Impact: " Non dilutive on 2002 EPS (Million Euro) – Grupo Dragados 2002e Net Profit 2Q/02
Slide 24: 2002 Guidance-Conclusions
Grupo ACS 2002 Guidance-Conclusions 1998-2002 Business Plan Revenues 10%-15% accomplishment: achievable targets EBIT 10%-15% • Solid growth Net Profit 20%-25% • Diversification Definition of a new Business Plan ACS takes part in the for the period 2003-2007: Value development, creation construction