Wsp Global Inc · TSX:WSP
Wsp Global — Q3 2012 Earnings Presentation
16 slides from Wsp Global's earnings presentation, 2012
Slide 1: Alexandre L'Heureux, Chief Financial Officer
ALEXANDRE L’HEUREUX Chief Financial Officer Q3 Results Guidance for Future Disclosure 2013 Priorities 1
Slide 2: 2012 Year to Date
2012 YEAR TO DATE* Nine-months ended September 29, 2012* October 1, 2011 Variation in % Net revenue $608.2 $396.3 53.5 EBITDA without unusual items** $80.1 $68.2 17.4 Adjusted net earnings $34.9 $32.9 6.1 EBITDA without unusual items** $2.18 $2.62 -16.8 per share Adjusted net EPS $0.95 $1.26 -24.6 F
Slide 3: Revenues and Net Revenues
REVENUES AND NET REVENUES Revenues* Net Revenues* 741.0 608.2 Organic Flat organic growth growth for the generated by first 9 months 479.9 WSP for the 396.3 first Acquisition 396.1 9 months 321.4 growth of stood at 4.6% 133.7% without the (9.9% 173.1 effect of excluding exchange rate 138.6 WSP movem
Slide 4: EBITDA Without the Effect of Foreign Exchange
EBITDA WITHOUT THE EFFECT OF FOREIGN EXCHANGE* 82.1 Foreign 68.2 exchange Foreign exchange 80.1 66.6 39.3 Foreign 26.6 exchange Foreign exchange 37.8 24.7 Q3 9 months** *Includes 2 months of WSP ** Excludes non-recurring expenses 2011 2012 4 In millions $ CAD
Slide 5: Adjusted Net Earnings and Net EPS
ADJUSTED NET EARNINGS AND NET EPS Adjusted Net Earnings* Adjusted Net EPS* 34.9 32.9 1.26 0.95 16.2 14.1 0.54 0.36 Q3 9 months Q3 9 months 2011 2012 2011 2012 *Includes 2 months of WSP 5 In millions $ CAD (except per share data)
Slide 6: Days Sales Outstanding
DAYS SALES OUTSTANDING 115 117 110 107 107* 105 102 100 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012 End of year objective *Includes 2 months of WSP 6
Slide 7: Backlog
BACKLOG 1,360.6 WSP backlog 860.3 454.0 468.8 499.7 427.8 419.3 409.6 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Q2 2012 Q3 2012* *Includes 2 months of WSP 7 In millions $ CAD
Slide 8: Statement of Financial Position
STATEMENT OF FINANCIAL POSITION (in millions of dollars) Q3-2012 Total assets 1,769.5 Financial liabilities 269.0 Less: Cash and cash equivalents (61.5) Net debt 207.5 2011 WSP+GENIVAR Proforma EBITDA 172 Debt / EBITDA 1.56 Net debt / EBITDA 1.21 8
Slide 9: Payout Ratios
PAYOUT RATIOS (in millions of dollars, except percentages and per share data) Q3-2012 EPS $0.36 Funds from operations per share* $0.72 Free cash flow per share* ($0.27) Dividend declared $0.38 Dividend paid net of DRIP $0.25 Payout ratios - EPS on dividend declared 103% - EPS on dividend paid net of
Slide 10: Guidance for Future Disclosure
GUIDANCE FOR FUTURE DISCLOSURE • Reporting going forward • Tax structure • Capital structure objectives 10
Slide 11: Benchmarking
BENCHMARKING Ratio reviewed: Total intangible assets and goodwill / total assets and goodwill / equity. 11
Slide 12: Q4 2012 Outlook
Q4 2012 OUTLOOK • Current trend to be sustained • No acquisition by end of year • Project delivery and execution remain a priority • Focus on revenue and cost synergies • Comfortable with current analyst expectations for 2012 12
Slide 13: Regional Breakdown of Financial Reporting
REGIONAL BREAKDOWN OF FINANCIAL REPORTING 2011 Revenues Pro Forma RoW 13% Americas 43% U.K. 19% Europe 25% 13
Slide 14: Tax Structure
TAX STRUCTURE OBJECTIVE • Reduce consolidated effective tax rate • Facilitate cash repatriation to service dividend payment in Canada • Optimize overall cash position by implementing regional cash pool • Reduction of number of legal entities • Legislative developments in Sweden need to be monitored
Slide 15: 2013 Capital Structure Objectives
2013 CAPITAL STRUCTURE OBJECTIVES OBJECTIVES • EBITDA /debt ratio to remain reasonable • Maintain a solid balance sheet • Dividend payout ratio Take balanced approach on deployment of capital to drive long-term growth and shareholder returns 15
Slide 16: Clear 2013 Financial Priorities
IN CONCLUSION CLEAR 2013 FINANCIAL PRIORITIES Sustained top-line • Focus on organic growth • Mid-single digit growth Sustained EBITDA and margin performance • Continue margin improvement initiatives • Focus on cost control and additional operation efficiencies Maintain conservative capital structure