Titan S.a. · EURONEXT:TITC

Titan — H1 2015 Earnings Presentation

21 slides from Titan's earnings presentation, Jul 30, 2015

  1. Slide 1: TITAN Group 2015 H1 Financial Results

    Athens, 30 July, 2015 TITAN GROUP 2015 H1 Financial Results Investors„ and Analysts„ Presentation

  2. Slide 2: H1 2015: A Strong Q2 Leads to Higher Sales

    H1 2015: A Strong Q2 Leads to Higher Sales Turnover and EBITDA Turnover EBITDA NPAT € in millions 19.9% 18.3% € in millions 732.2% € in millions 800 120 32 111.8 672.8 16.3 105.3 561.0 89.0 21.3 24.2 600 90 24 6 Months 400 60 16 200 30 8 2.9 0 0 0 Turnover Variance Turnover EBITDA Variance EBITDA NP

  3. Slide 3: 2015 H1 Highlights

    2015 H1 Highlights • A strong 2015 Q2 performance drives satisfactory first semester results. Increased Turnover (€673m, +20%) , EBITDA (€105m, +18%) and NPAT (€24m vs €3m in 2014). • Titan benefits from international diversification as 90% of Group Turnover is generated from sales in markets outsid

  4. Slide 4: Positive Growth in Group Revenue and Margins

    Positive Growth in Group Revenue and Margins. NPAT Boosted by FX Gains in Q1 (FX Losses in Q2) In Million Euros, unless otherwise stated H1 2015 H1 2014 Variance Q2 2015 Q2 2014 Variance Net Sales 672.8 561.0 19.9% 389.0 309.2 25.8% Cost of Goods Sold -506.6 -420.7 20.4% -276.9 -221.2 25.2% Gross Ma

  5. Slide 5: Lower Operating Free Cash Flow Due to Higher CAPEX and Operating WC

    Lower Operating Free Cash Flow Due to Higher CAPEX and Operating WC Sources and Uses of Cash Operating Free Cash Flow (€ in millions) 6 (82) 105 €-21m 100 (Q1: €-54m) (Q2: €+33m) 50 (50) (89) 0 (10) (39) -50 (19) -100 EBITDA H1 Non-Cash CapEx Operating Acquisitions Interest, Tax, FX Impact Change in

  6. Slide 6: Group Balance Sheet – Asset Growth Due to High USD

    Group Balance Sheet – Asset Growth Due to High USD In Million Euros, unless otherwise stated 30 Jun' 15 31 Dec' 14 Variance Property, plant & equipment 1,762.3 1,677.3 85.0 Intangible assets and goodwill 456.7 441.8 14.9 Other non-current assets 116.2 115.9 0.3 Non-current assets 2,335.2 2,235.0 100

  7. Slide 7: Despite Q2 Cash Generation, CAPEX, FX Movements and Seasonality Impact Net Debt

    Despite Q2 Cash Generation, CAPEX(€82m), FX Movements (€19m) and Seasonality Impact Net Debt. Group Net Debt (€ in millions) 1,200 1,112 1,100 986988 1,000 930947 874 900 831 800 739739 732 754 707 674 660 700 632 602 596 630 600 562 552563 541 529541 509 490 500 400 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3

  8. Slide 8: Debt & Liquidity Profile – June 2015

    Debt & Liquidity Profile – 30 June 2015 Facilities / Utilization by Lender Maturity Profile (€m) 350 286 14% 300 28% 26% 237 30% 250 211 Bonds 200 Total Total Bank Debt 150 196 284 Facilities Utilization 52 100 36 211 €1,223m €849m 28 50 7 20 42% 0 29 28 41 2 32 60% <Dec'15 <Dec'16 <Dec'17 <Dec'18 <

  9. Slide 9: Market Overviews

    = & TITAN Market Overviews (mf) if ‘eS tite ha] 1) iif ies [hi te Pa) if HA Mis, i if MIT AITTTTT We 8 ie | Fie UN My Wy HAH f | LT) HH "i!

  10. Slide 10: Sales Volumes Broadly Stable in Cement, Higher in RMC, Lower in Aggregates

    Sales Volumes Broadly Stable in Cement, Higher in RMC (US Driven), Lower in Aggregates H1 Sales Volume 2nd Quarter Sales Volume -1%(3) 2014 2014 8 .1 8 .0 2015 2015 +2%(3) -6%(3) 4 .4 4 .5 -10%(3) 7 .3 +14%(3) +15%(3) 6 .9 1 .8 8 2 .1 3 4 .1 3 .7 1 .0 7 1 .2 4 (1), (2) (2) (2) (1), (2) (2) (2) Cemen

  11. Slide 11: Strong Sales and Profitability Growth in US Outweighs Lower EBITDA in Egypt

    Strong Sales and Profitability Growth in US Outweighs Lower EBITDA in Egypt H1 Turnover (€m) H1 EBITDA (€m) Total Assets (€‟000m) 22% 146.7 GREECE 27% 28.0 21% 654.7 GREECE 4% 76% GREECE 25% 140.7 18% 15.9 21% 593.1 47% 313.7 USA 40% 42.1 130% 83% 32% 993.5 USA USA 39% 220.1 42% 16% 21% 18.3 31% 880

  12. Slide 12: EBITDA 12Month-Rolling Quarterly Analysis by Region 2006-2015

    EBITDA 12Month-Rolling Quarterly Analysis by Region 2006-2015 GREECE USA 250 240 213203 206 194 185 183 184 200 191 177 190 164 169 154 150 130 150 135 130 140 129 128 123 106 107 101 100 87 69 90 70 70 61 51 51 55 44 4249 43 39 404147 32 35 3625 17 39 3626 3233 50 3137 40 25 13 1421 21 10 44 4 5 3

  13. Slide 13: Greece Sales Stable Amidst a Depressed Local Market Environment

    Greece Sales Stable Amidst a Depressed Local Market Environment  Greece 2015 H1 EBITDA rise by €12m while Turnover increases by €6m.  Higher Margin resulting from cost savings, higher effective export prices (€/$ rate) and intragroup sales.  Allocation of head office corporate charges to other co

  14. Slide 14: Managing the crisis in Greece

    Managing the crisis in Greece  Greek cement plants operate uninterrupted, despite capital controls, having secured functioning supply chain and exporting the majority of production volumes.  Geographical diversification of activities have strengthened TITAN, effectively delinking the Group from Gr

  15. Slide 15: Group Structure Allows Free Flow of Funds

    Group Structure Allows Free Flow of Funds  Intragroup loan facilities allow the transfer of liquidity and funds among the entities  TGF holds the Group‟s strategic liquidity with European banks Titan Cement Company S.A. Greece International Creditors TGF (UK) Subsidiaries US Holdings EM Holdings S

  16. Slide 16: 2015 Q2 US Profitability Accelerates, Boosted by Volumes Growth, Favorable Pricing and FX Gains

    2015 Q2 US Profitability Accelerates, Boosted by Volumes Growth, Favorable Pricing and FX Gains  Strong performance in 2015 Q2 drives higher volumes in 2015 H1 in all products excluding Fly-Ash, with most prevalent growth in Florida‟s Ready-Mix sales.  2015 H1 Sales turnover up 42.5% in €terms and

  17. Slide 17: SEE Sales Volumes in 2015 Q2 Slightly Higher vs. Last Year

    SEE Sales Volumes in 2015 Q2 Slightly Higher vs. Last Year Following Low 2015 Q1 Volumes  2015 Q2 domestic cement sales volumes recovered across all markets after a weather adversely affected Q1.  2015 Q2 cement prices under pressure due to increased competition.  Region operating at low capacity

  18. Slide 18: H1 Sales Grow as 1st Kiln Converts to Burning Coal

    H1 Sales Grow as 1st Kiln Converts to Burning Coal. Low EBITDA as CGS Absorbs Imported Clinker and Costly Fuel  Egypt 2015 Q2 profitability lower than last year, but improved vs both 2015 Q1 and 2014 Q4. Improving trend to continue in 2015 H2.  Beni-Suef 1st kiln converted and operated on solid fu

  19. Slide 19: Outlook

    Vl & TITAN Outlook

  20. Slide 20: Outlook 2015

    Outlook 2015 USA • Recovery momentum set to continue. • Focus on capturing opportunities and on expanding margins. Eastern Med • Demand likely to remain high, despite uncertainties. • Focus on overcoming fuel constraints in Egypt. Greece • Sharp decline in demand expected in 2015 H2. • Focus on expo

  21. Slide 21: Disclaimer

    Disclaimer •This document contains forward-looking statements relating to the Group‟s future business, development and economic performance. It also includes statements from sources that have not been independently verified by the Company. •Such statements may be subject to a number of risks, uncert

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