Slide 1: Fourth Quarter 2013 Earnings Conference Call
November 19, 2013 Fourth Quarter 2013 Earnings Conference Call November 19, 2013
Slide 2: About This Presentation
November 19, 2013 2 This presentation contains certain forward-looking statements that management believes to be reasonable as of today’s date only. Actual results may differ significantly because of risks and uncertainties that are difficult to predict and many of which are beyond management’s cont
Slide 3: Presenters
November 19, 2013 John Walsh President & CEO, UGI Kirk Oliver Chief Financial Officer, UGI Jerry Sheridan President & CEO, AmeriGas
Slide 4: Fiscal 2013 GAAP EPS
November 19, 2013 4 Fiscal 2013 EPS Fiscal 2014 EPS Guidance: $2.60 - $2.70 $1.76 $2.39 $1.00 $1.20 $1.40 $1.60 $1.80 $2.00 $2.20 $2.40 $2.60 2 0 1 2 2 0 1 3 GAAP EPS 35% increase in EPS, fully diluted
Slide 5: Fiscal 2013 Adjusted EPS
November 19, 2013 5 Fiscal 2013 EPS Fiscal 2014 EPS Guidance: $2.60 - $2.70 $1.90 $2.45 $1.00 $1.20 $1.40 $1.60 $1.80 $2.00 $2.20 $2.40 $2.60 2 0 1 2 2 0 1 3 Adjusted EPS* * See reconciliation in appendix
Slide 6: Weather vs Normal
November 19, 2013 6 Weather vs Normal -4.9% -18.6% 3.7% -7.1% 0.9% -6.4% -0.5% -16.3% -20% -10% 0% 10% 20% FY2013 FY2012 AmeriGas Antargaz Flaga Utility (W A R M E R ) COL D E R (W A R M E R )
Slide 7: Fiscal 2013 Adjusted EPS
November 19, 2013 7 Fiscal 2013 EPS $1.89 $2.45 $1.00 $1.20 $1.40 $1.60 $1.80 $2.00 $2.20 $2.40 $2.60 2 0 1 2 2 0 1 3 Adjusted EPS* * See reconciliation in appendix
Slide 8: AmeriGas
November 19, 2013 8 AmeriGas VOLUME Full-year impact of Heritage Colder weather ACE and National Accounts MARGIN Higher unit margins OPEX Full-year impact of Heritage Synergies Lower transition expenses than prior-year period Total Margin 392.0 231.5 46.7 26.4 (49.2) (33.7) $0 $50 $100
Slide 9: UGI International
November 19, 2013 9 UGI International VOLUME Colder weather MARGIN Higher unit margins at Antargaz, and to a lesser extent, AvantiGas and Flaga OPEX Antargaz operating expenses (compensation, benefits, and delivery expense) BP Poland acquisition 27.8 33.7 (23.0) (2.5) 0.5 $0 $20 $40 $60 $80
Slide 10: Gas Utility
November 19, 2013 10 Gas Utility MARGIN Colder weather than prior-year period Conversions from heating oil OPEX Higher pension and benefits and distribution expense Total Margin 132.1 161.0 38.1 10.8 (20.0) (2.7) 2.7 $0 $40 $80 $120 $160 $200 $240 2 0 1 2 C o re Ma rket M argi n Ot h er Mar gi
Slide 11: Midstream & Marketing
November 19, 2013 11 Midstream & Marketing MARGIN Higher electric generation total margin Lower power marketing margins Higher peaking, capacity management, and gas marketing margin Opex Higher operating expenses and depreciation associated with midstream assets 57.6 5.5 15.6 15.7 (3.0) (4.9
Slide 12: Liquidity and Guidance
November 19, 2013 12 Liquidity and Guidance • Sufficient capacity to meet our liquidity requirements • FY14 Guidance is $2.60-$2.70, excluding any additional BP Poland transition costs Total AmeriGas Int'l Propane Utilities Midstream Corporate / Other Cash on Hand $389.3 $12.6 $186.2 $4.7 $5.2 $180.
Slide 13: Jerry Sheridan, CEO of AmeriGas
November 19, 2013 Jerry Sheridan CEO of AmeriGas
Slide 14: Q4 Adjusted EBITDA
November 19, 2013 14 Q4 Adjusted EBITDA $34.1 $46.5 $20 $30 $40 $50 2 0 1 2 2 0 1 3 Adjusted EBITDA*, $ Millions * See appendix for Adjusted EBITDA reconciliation
Slide 15: Fiscal 2013 Adjusted EBITDA
November 19, 2013 15 Fiscal 2013 Adjusted EBITDA $384.3 $617.7 $0 $100 $200 $300 $400 $500 $600 $700 2 0 1 2 2 0 1 3 Adjusted EBITDA*, $ Millions * See appendix for Adjusted EBITDA reconciliation
Slide 16: Operational Update
November 19, 2013 16 Operational Update Operations • Volume increased 1% versus last year’s fourth quarter despite weather that was 6% warmer than normal • Continued decrease in operating expenses: $9.4 MM decrease from Q4 of fiscal 2012 due to Heritage synergies (excluding Heritage transition expen
Slide 17: Guidance & Heritage Update
November 19, 2013 17 Guidance & Heritage Update • FY14 Guidance $645 MM - $675 MM • Achieved all major milestones set at the beginning of the Heritage Propane integration
Slide 18: John Walsh, President & CEO
November 19, 2013 John Walsh President & CEO
Slide 19: Operational Update: AmeriGas and UGI International
November 19, 2013 19 Operational Update AmeriGas and UGI International • US and European propane businesses are clearly demonstrating the benefits of the major acquisitions completed in fiscal 2012 • AmeriGas: Strong performance in both ACE and National Accounts; expanded nationwide footprint makes
Slide 20: Operational Update: Gas Utility and Midstream & Marketing
November 19, 2013 20 Operational Update Gas Utility • Productive year for infrastructure replacement: fiscal 2013 infrastructure capex was approximately 30% above fiscal 2012 level • Strong demand for natural gas: UGI Utilities connected almost 17,000 residential, commercial, and industrial customer
Slide 21: Q&A
November 19, 2013 Q&A
Slide 22: Appendix
November 19, 2013 Appendix
Slide 23: UGI Supplemental Information: Footnotes
November 19, 2013 23 UGI Supplemental Information: Footnotes Adjusted EPS is not a measure of performance or financial condition under accounting principles generally accepted in the United States ("GAAP"). Adjusted EPS is calculated by excluding the effect of non-recurring items from the calculat
Slide 24: Adjusted EPS to GAAP EPS Reconciliation
November 19, 2013 24 Adjusted EPS to GAAP EPS Reconciliation (millions of dollars) 2013 2012 GAAP Net Income 275.8$ 199.4$ Adjustments: Loss on early extinguishment of debt at AmeriGas (2.2) Acquisition and transition costs - Heritage and Shell LPG (13.3) Acquisition and transition costs - BP Poland
Slide 25: AmeriGas Supplemental Information: Footnotes
November 19, 2013 25 AmeriGas Supplemental Information: Footnotes The enclosed supplemental information contains a reconciliation of earnings before interest expense, income taxes, depreciation and amortization ("EBITDA") and Adjusted EBITDA to Net Income. EBITDA and Adjusted EBITDA are not meas
Slide 26: AmeriGas Partners EBITDA Reconciliation
November 19, 2013 26 AmeriGas Partners EBITDA Reconciliation 2013 2012 2013 2012 Net (loss) income attributable to AmeriGas Partners, L.P. (54,056)$ (76,003)$ 221,222$ 11,025$ Income tax expense 1,155 925 1,671 1,931 Interest xpense 41,213 39,210 165,432 142,641 Depreciation 41,638 39,632 159,306 13
Slide 27: Investor Relations
November 19, 2013 Investor Relations: 610-337-1000 Simon Bowman (x3645) bowmans@ugicorp.com