Hochtief Aktiengesellschaft · XETR:HOT
Hochtief Aktiengesellschaft — Hochtief — 9M 2003 Earnings Presentation
25 slides from Hochtief Aktiengesellschaft's earnings presentation, Nov 19, 2003
Slide 1: HOCHTIEF – building value on sound foundations
HOCHTIEF – building value on sound foundations St. Gotthard Base Tunnel – the world’s longest rail tunnel. Together with four partners, HOCHTIEF is building approx. 30 kilometers of the tunnel’s 57 kilometer total length. Due for completion in 2014. Nine months results 2003 Conference Call, 19 Novem
Slide 2: Highlight after three quarters in 2003
Highlight after three quarters in 2003 Our major goal for full year 2003 • HT Europe to break even on EBT level Already after 9 months of 2003 • HTE reached the break even Ø We are able to earn money despite the very weak German market Ø We did not and we do not wait for market recovery Ø We managed
Slide 3: Group results first nine months 2003
Group results first nine months 2003 Operating earnings of EUR 204m (+24%) • Strong increase despite 2002 Monachia effect (EUR 70m) Earnings before tax of EUR 150m (+9%) • Increase despite EUR 45m risk provision for special funds Net income of EUR 10m (-87%) • Ongoing growth through the quarters ’03
Slide 4: Nine months figures 2003
Nine months figures 2003 (EUR m) Jan-Sep Jan-Sep % change 2003 2002 Sales: adjusted for currency impact: +2.3% New orders 9,355 12,234 -24 Operating earnings: strong increase Work done 8,494 9,448 -10 despite extra ordinary effects in ’02 and ‘03 Order backlog 14,718 15,569 -5 Sales 8,120 8,797 -8 N
Slide 5: Regional breakdown of work done
Regional breakdown of work done* Germany 2003 EUR 1,482 m (17%) 2002 EUR 1,440 m (15%) Other Europe 2003 EUR 512 m (6%) 2002 EUR 534 m (6%) America 2003 EUR 4,131 m (49%) 2002 EUR 5,036 m (53%) Asia/Pacific, Africa 2003 EUR 2,369 m (28%) 2002 EUR 2,438 m (26%) *work done first three quarters (as per
Slide 6: Airport
Airport (EUR m) Jan-Sep Jan-Sep % change Key drivers: 2003 2002 •New orders/work done: 2002 figures include Sydney fee New orders 1.0 21.5 -95 •EBITDA/op. earnings: strong increase Work done 1.0 21.5 -95 since 2003 includes Sydney dividend External sales 1.0 21.1 -95 (EUR 6.5m) and improved equity e
Slide 7: Development
Development (EUR m) Jan-Sep Jan-Sep % change Key drivers: 2003 2002 •New orders: ongoing recession on real estate markets New orders 258 469 -45 •Work done/sales: sale of BMW Center Work done 361 309 +17 Munich and first phase of MainOffice Order backlog 732 790 -7 Offenbach; further East Europe exp
Slide 8: Construction Services Americas
Construction Services Americas (EUR m) Key drivers: Jan-Sep Jan-Sep % change 2003 2002 •New orders: unstable market and currency impact (Turner ’03 in USD: 4.9bn, -12%); New orders 4,453 6,210 -28 recent projects in the education segment Work done 4,066 5,035 -19 (EUR 122m) Order backlog 5,525 6,508
Slide 9: Construction Services Asia Pacific
Construction Services Asia Pacific (EUR m) Key drivers: Jan-Sep Jan-Sep % change 2003 2002 • New orders: several major Asian projects lead to a record level in order back log: New orders 2,956 3,179 -7 design and construction of new highway Work done 2,185 2,330 -6 Malaysia EUR 327m (HT stake 80%),
Slide 10: Construction Services Europe
Construction Services Europe (EUR m) Key drivers: Jan-Sep Jan-Sep % change 2003 2002 •New orders: selective but successful in specific market segments (renewable New orders 1,629 2,294 -29 energy power generation, Iceland; two Work done 1,824 1,691 +8 airport terminals, Prague; expansion of Order ba
Slide 11: Cash Flow
Cash Flow Key drivers: Jan-Sep 2003 2002 % change •Cash flow: 2002 figure includes EUR (EUR m) 70m Monachia effect Cash flow 233 323 -28 •Operating activities: decrease due to Net cash used in/provided by operating activities 125 314 -60 net effect Monachia and related risk Net cash used in investin
Slide 12: Consolidated balance sheet
Consolidated balance sheet Assets Liabilities 30 Sep ‘03 31 Dec ‘02 30 Sep ‘03 31 Dec ‘02 Key drivers •Negative impact of exchange Shareholders‘ rates (in particular EUR/USD) equity and 1,967 1,940 leads to a decrease of minority 2,223 2,233 (27%) (25%) interests Fixed Assets (30%) (29%) EUR 195m in
Slide 13: Outlook 2003
Outlook 2003 Operating earnings: - Airport: Significant increase - Development: Decrease (despite adjustment for Monachia) - Americas: Decrease (currency impact) - Asia Pacific: Increase on a high level - Europe: Break even on EBT level Group: New orders and sales below previous year’s level (due to
Slide 14: Key strategies for value increase
Key strategies for value increase I) We will strengthen our international orientation. II) We will grow our profitable businesses, particularly the services sector. III) We will continue to spearhead innovation in our industry. IV) We will enhance the benefits of our global network. V) Construction
Slide 15: Appendix
Appendix HOCHTIEF
Slide 16: Share price development since Jan '03
100.0% 120.0% 140.0% 160.0% 180.0% 60.0% 80.0% 01.01.2003 08.01.2003 15.01.2003 22.01.2003 DAX MDAX 29.01.2003 05.02.2003 HOCHTIEF AG 12.02.2003 19.02.2003 26.02.2003 05.03.2003 12.03.2003 Prime Construction Performance-Index 19.03.2003 26.03.2003 02.04.2003 09.04.2003 16.04.2003 23.04.2003 30.04.20
Slide 17: Reconciliation earnings from operating activities to EBT
Reconciliation earnings from operating activities to EBT (EUR m) Headquarters/ Jan-Sep HT Group Airport Development Americas Asia Pacific Europe Others 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 Earnings from operating activities 122.2 155.3 -13.4 5.5 28.0 92.2 30.3 37.4 1
Slide 18: Profit and loss account by division
Profit and loss account by division (EUR m) Headquarters/ Jan-Sep HT Group Airport Development Americas Asia Pacific Europe Others 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 2003 2002 Sales 8,120.4 8,796.6 1.0 21.5 355.6 272.8 4,067.4 4,788.2 2,187.0 2,297.7 1,613.7 1,539.2 -104.3 -
Slide 19: Breakdown Airport
Breakdown Airport Passengers (mio.) Air traffic movements Sales (EUR m) Aviation Non-Aviation Total Jan-Sep 2003 2002 change 2003 2002 change change change change 2003 2002 2003 2002 2003 2002 Düsseldorf 10.90 11.29 -3.5% 140.31 143.55 -2.3% 149.00 156.30 -4.7% 68.50 68.20 +0.4% 217.50 224.50 -3.1%
Slide 20: Breakdown Development
Breakdown Development (EUR m) New orders External sales EBITDA Op. Earnings/EBITA Jan-Sep 2003 2002 % change 2003 2002 % change 2003 2002 % change 2003 2002 % change Infrastructure 0 114 -100 1 0 n.a. -3 -3 +0 -3 -3 +0 Real estate 167 296 -44 264 193 +37 11 -3 +467 10 -4 +350 Facility Mgmt. 52 35 +4
Slide 21: Breakdown Construction Services Americas
Breakdown Construction Services Americas (EUR m) New orders External sales EBITDA Op. Earnings/EBITA Jan-Sep 2003 2002 % change 2003 2002 % change 2003 2002 % change 2003 2002 % change Turner 4.418 6.063 -27 4.024 4.748 -15 71 88 -19 55 69 -20 Aecon - - - - - - 2 3 -33 2 3 -33 Kitchell - - - - - - 1
Slide 22: Breakdown Construction Services Europe
Breakdown Construction Services Europe (EUR m) New orders External sales EBITDA Op. Earnings/EBITA Jan-Sep 2003 2002 % change 2003 2002 % change 2003 2002 % change 2003 2002 % change Building 954 1,256 -24 947 870 +9 -13 -44 +70 -21 -49 +57 Civil 416 798 -48 244 178 +37 11 -6 +283 9 -6 +250 Streif B
Slide 23: Detailed cash flow
Detailed cash flow Jan-Sep 2,003 2,002 (EUR '000) (EUR '000) Net income 9,500 73,954 Minority shareholders' interests 53,616 45,500 Earnings after taxes 63,116 119,454 Depreciation/write-ups 201,819 201,318 Changes in long-term provisions -6,379 4,619 Changes in deferred taxes 27,242 -49,616 Other c
Slide 24: HOCHTIEF Group structure 2003
HOCHTIEF Group structure 2003 HOCHTIEF AG Financial Participations Germany HOCHTIEF HOCHTIEF HOCHTIEF HOCHTIEF HOCHTIEF AIRPORT DEVELOPMENT CONSTRUCTION SERVICES CONSTRUCTION SERVICES CONSTRUCTION SERVICES AMERICAS ASIA PACIFIC EUROPE HOCHTIEF HOCHTIEF Projekt- The Turner Corporation Leighton HOCHTI
Slide 25: Financial calendar
Financial calendar 18 February 2004 Preliminary results 2003 30 March 2004 Full year results 2003 and Analysts’ and Investors’ Conference 07 May 2004 General Shareholders’ Meeting 07 May 2004 First quarter results 2004 and Conference Call 17 August 2004 Half year results 2004 and Analysts’ and Inves