Aj Lucas Group Limited · ASX:AJL
Aj Lucas — Investor Presentation (December 2003)
20 slides from Aj Lucas's investor presentation, Dec 1, 2003
Slide 1: AJ Lucas Group Limited Corporate Overview
AJ LUCAS GROUP LIMITED Corporate Overview December 2003
Slide 2: Contents
Contents Overview Key Financials Divisional Performance Financial Position The Board Key Management O O O8 O bo oO OO Share Capital Contact Details NY
Slide 3: Overview
Overview AN QO Q 0 0 Engineering services group specialising in tailoring solutions for oil and gas, electricity, water and telecommunications infrastructure Founded in 1957. Listed on the ASX in 1999 Capitalised at $100m From 2000 to 2003 revenue has increased from $41.6m to a record $15im represen
Slide 4: Overview - Strategy
Overview - Strategy AN Q Strategy: Leveraging from the success in core businesses generating more consisten cash flow, and quality and maintainability of earnings Enhanced reputation to secure larger and long term projects Increase market penetration in South East Asia and Pacific Region Expanding c
Slide 5: Overview - Share Price Performance
Overview - Share Price Performance Q Record 2003 financial result, strong sector outlook and improved profile has been reflected in the share price NY AJ Lucas Share Price Performance Nov 2001 - Nov 2003 1,400,000 1,200,000 43% 1,000,000 800,000 Volume 600,000 400,000 200,000 0 SS SD SM Sh Sh Dh gh
Slide 6: Overview - A Brief History
Overview - A Brief History AN PHASE Hl Growth - Consistent cash flow fre core businesses - Increase market penetration into SE Asiz PHASE i PHASE | Consolidation - Building annuity - Capital investment income streams . - New systems - Leverage technology int Build - Enhance management team complemen
Slide 7: Overview - Key Relationships and Major Customers
Overview - Key Relationships and Major Customers Q \\ Relationships are critical to success in the engineering/infrastructure sector. AJ Lucas have partnered with like minded strong companies that include: YYW Agility (AGL) - JV for pipelines and related construction activity Spie Capag of France -
Slide 8: Key Financials
sill Key Financials Q Strong revenue and earnings profile since listing in 1999 Portfolio of secured contract works. Large pool of potential opportunities for long term contract revenue at attractive margins $68m order book of secured works for 2004 with feasibility studies for new projects to under
Slide 9: Divisional Performance - Pipelines
Divisional Performance — Pipelines AN QO Specialist in construction and installation of pipelines providing ‘End to End’ solution ala capability: * Engineering ll ‘ Procurement e eg a Environmental management : * — Construction ccinnt Revenue 18.2 32.6 124.2 ae - Testing and commissioning ~ - Operat
Slide 10: Case Study - SEA Gas
Case Study — SEA Gas M4 b QO SEA Gas Pipeline * Australia’s biggest turnkey pipeline project - $340m - On time and on budget * Landmark mode! for pipeline development ra Role extended to cover ancillary contro! stations, training, procedures development and documentation 10
Slide 11: Divisional Performance - HDD/Specialist Civil
Divisional Performance — HDD/Specialist Civil Q HDD provides trenchless installation of pipes, conduits or cables under obstacles using a surface drilling rig Proven as fastest, safest and most environmentally benign way to install infrastructure underground Revenue 55.9 26.5 21.3 Considered world l
Slide 12: Success Creates New Opportunity
or Success Creates New Opportunity Q Chatswood Sewer — 1860 metres > World’s longest directional drill for gravity sewer (1.5% grade) > Excellent answer to environmental problem QO Illawarra Sewer for Sydney Water > World’s longest HDD installation of HDPE pipe > On time and on budget “6 CLP Project
Slide 13: AJ Lucas technology is proven
AJ Lucas technology is proven AN ogg © Increases envelope of projects for application in water and gas sectors in particular <2 ©) More mature technology and greater awareness of HDD for new a projects “““ Elevation of AJ Lucas capability in market place for pipelines, HDD and i Coal Seam Gas Q Broa
Slide 14: Divisional Performance - Coal Seam Gas
Divisional Performance — Coal Seam Gas << © Specialises in coal seam drilling and gas management services _eiéiliéd © Technology and expertise is established with longer term ows contracts now operating eg Oaky Revenue 20 39 9. “ee Creek Mine in Queensland | PBT (0.7) (06) (O£ «gg OQ Environmental r
Slide 15: Financial Position - Financing and Bonding
Financial Position — Financing and Bonding AN «<j © Net asset backing 67 cents per -s share eg Gl Has $31.62m of cash of which $28.7m is held by the company’s il joint ventures J Cash assets 34.4 Q A large part of the company’s hanna * iilaa operations and future tenders is intanaibt c ° cons depend
Slide 16: The Board
The Board Mr Andrew Lukas ze age 5s Executive Director Mr Allan Campbell B. Com LLB age 48 Chairman and CEO «iia ~ Acquired a controlling interest in the Company in 1995. <a; - Previous career in investment banking and ~ Joined the company in 1975 as a project manager. - Appointed general manager in
Slide 17: Key Management
Key Management Mr Kevin Lester Be (civil) General Manager Pipelines ~ Joined the group in 1984. ~ Deputy project manager for SEA Gas project and manages Clough / Lucas JV and Agility alliance. ~ Has been responsible for over 50 major projects as project manager, operations manager and general manage
Slide 18: Share Capital
Share Capital 45.85m ordinary shares on issue Placement to institutional clients and rights issue in December 2002 raised $9m to fund working capital and growth opportunities Acquisition of Stuart funded by issue of shares: ra 350,000 shares upfront and ra 250,000 shares on an earn out basis AJ Luca
Slide 19: Contact Details
Contact Details Allan Campbell Office (02) 9809 8623 Mobile 0413 616 616 E-mail Andrew Lukas Office (02) 9809 8611 Mobile 0413 616 661 E-mail : Tim Herlihy Office (02) 9809 6866 Mobile 0402 108 732 E-mail Richard Caldwell Office (02) 9226 0024 Mobile 0412 544 024 E-mail rac@bby.com.au Martin Hanraha
Slide 20: NY
NY
AJ Lucas Group — Investor Presentation (December 2003) on 6ix