Grupa Kety Sa · GPW:KTY
Grupa Kety Sa — Q2 2017 Earnings Presentation
13 slides from Grupa Kety Sa's earnings presentation, 2017
Slide 1: Financial Results for 2nd Quarter 2017
FINANCIAL RESULTS FOR 2nd QUARTER 2017 DARIUSZ MAŃKO CHAIRMAN OF THE BOARD & CEO ADAM PIELA BOARD MEMBER & CFO
Slide 2: Market is gaining momentum before the peak of the season
MARKET IS GAINING MOMENTUM BEFORE THE PEAK OF THE SEASON High sales growth both in Poland approx. 12%, and in foreign markets 24%. The use of domestic production capacity close to the maximum. The increase in operating profit and EBITDA above forecasts, respectively + 8% and + 10% compared to the ex
Slide 3: Macro factors in the 2nd quarter 2017
MACRO FACTORS IN THE 2nd QUARTER 2017 AL 3M price in USD and PLN The increase in the average price of aluminum by 8 000 zł 2 100 USD 21% in USD and 18% in PLN - the biggest impact on 2 000 USD revenues and working capital of the Extruded 7 000 zł 1 900 USD Products Segment 1 800 USD 6 000 zł 1 700 U
Slide 4: Extruded Products Segment – record volume growth
EXTRUDED PRODUCTS SEGMENT– record volume growth Volume sales (`000 tons) Q2_2017 Q2_2016 chg 2Q_2017 2Q_2016 chg Increase by 12% yoy Total sales 298,5 229,8 30% 571,3 427,4 34% 30 Domestic 165,3 133,6 24% 311,3 250,4 24% Export 133,2 96,3 38% 260,0 177,0 47% 20 Good market condition both in Poland a
Slide 5: Aluminum System Segment - a successful quarter, good prospects
ALUMINUM SYSTEM SEGMENT - a successful quarter, good prospects Sales structure (%) Q2_2017 Q2_2016 chg 2Q_2017 2Q_2016 chg systems roller shutters other Total sales 287,8 268,7 7% 522,9 509,0 3% 100 4 Domestic 167,0 158,5 5% 310,1 291,0 7% 10 32 Export 120,8 110,2 10% 212,7 218,0 -2% 75 37 50 64 The
Slide 6: Flexible Packaging Segment – new products stimulates sales growth
FLEXIBLE PACKAGING SEGMENT – new products stimulates sales growth Volume sales (`000 tons) Q2_2017 Q2_2016 chg 2Q_2017 2Q_2016 chg Increase by 64% yoy Total sales 150,2 117,0 28% 297,7 239,1 25% 15 Domestic 81,4 63,6 28% 168,0 135,8 24% Export 68,8 53,4 29% 129,7 103,3 26% 12,5 10 11,1 7,6 8,8 8,7 V
Slide 7: Implementation of major investment projects
IMPLEMENTATION OF MAJOR INVESTMENT PROJECTS Spendings planned Progess after current Comments (PLN million) quartere (%) EXTRUDED PRODUCTS SEGMENT Development of production capacity in contracting phase and collecting 29,1 5% the area of hard-alloys of administrative permits Development of production
Slide 8: Maintaining higher than expected dynamics of operating profit
MAINTAINING HIGHER THAN EXPECTED DYNAMICS OF OPERATING PROFIT PLN million Q2 2017 Q2 2016 chg 2Q 2017 2Q 2016 chg Revenues 664,3 564,2 +18% 1 265,8 1 088,5 +16% Operating profit 81,4 75,4 +8% 151,2 141,4 +7% margin 12,3% 13,4% 11,9% 13,0% EBITDA 110,9 101,1 +10% 210,5 192,5 +9% margin 16,7% 17,9% 16
Slide 9: The increase in costs is adequate to the growing size of the company
THE INCREASE IN COSTS IS ADEQUATE TO THE GROWING SIZE OF THE COMPANY PLN million Q2 2017 Q2 2016 chg 2Q 2017 2Q 2016 chg Revenues 664,3 564,2 +18% 1 265,8 1 088,5 +16% Total operating costs, including: 600,4 502,2 +20% 1 156,8 969,3 +19% Depreciation 29,5 25,7 +15% 59,2 51,1 +16% Raw materials, Ener
Slide 10: Stabilization of cash-flow from operating activity
STABILIZATION OF CASH-FLOW FROM OPERATING ACTIVITY Working capital (PLN million) (PLN million) 2Q_2016 3Q_2016 4Q_2016 1Q_2017 2Q_2017 Working Capital 558 622 608 676 716 750 Increase by 28% yoy Inventories 351 365 394 419 429 716 Receivables 429 474 415 480 531 676 622 608 Liabilities 222 217 200 2
Slide 11: Stable financing
STABLE FINANCING Bank debt (PLN milion) The increase in debt compared to last year, resulting from the 500 need to finance the investment program and working capital. 333,9 340,3 400 312,0 282,4 300 242,6 Net debt at the level of PLN 370 million. 200 Safe ratios net debt / equity (0.3) and the net d
Slide 12: Summary
SUMMARY The continuing high demand for the Group's products. Very good financial results. Good prospects for the next quarter. The Management maintains a forecast of results published at the beginning of the year.
Slide 13: Legal Note
Legal Note. This presentation has been prepared by Grupa Kęty S.A. only for informational purposes and it does not form a purchase or sale offer or an offer aiming at soliciting a purchase or sale offer as regards any securities or financial instruments, or the participation in any commercial undert