Rak Ceramics Pjsc · ADX:RAKCEC
Rak Ceramics Pjsc — RAK Ceramics PSC — Q2 2014 Earnings Presentation
13 slides from Rak Ceramics Pjsc's earnings presentation, August 2014
Slide 1: Q2 2014 Financial Results
Q2 2014 Financial Results August 2014 Company Confidential 1
Slide 2: Executive Summary – Financial Performance
Executive Summary – Financial Performance In H1 2014, we continued to focus on our core Tiles and Sanitary Ware operations and scaling down Non-Core less profitable businesses. Sanitary Ware continue to experience strong growth while Tiles remain stable despite the slow down in the Saudi market Co
Slide 3: Executive Summary – H1 Main Events & H2 Focus
Executive Summary – H1 Main Events & H2 Focus The acquisition of a significant equity stake by Samena Capital and its co-investors marks an inflection point in the Company’s life with the inclusion of an institutional financial investor and the adoption of a private-equity style Value Creation Plan
Slide 4: Revenues Snapshot
Revenues Snapshot Consolidated revenue has decreased by 4.4 % to AED 1,661.2mn YoY however core business revenues increased by 3.9% to AED 1,410.7mn. Tiles sales flat: KSA drop erased the growth in UAE. SWD growing buoyantly at 17%. Total Revenue: Core & Non-Core (AED million) Total Core Revenue: Ti
Slide 5: Core Revenue Analysis – Volumes and Prices
Core Revenue Analysis – Volumes and Prices Tiles Sales Volumes and ASP by Production Location Tiles FYE 2013 H1 2013 H1 2014 Tiles volume sales increased Volume ASP Revenue Volume ASP Revenue Volume ASP Revenue YoY by 1.3mn sqm (2.7%) to (mn sqm) (AED) (AED mn) (mn sqm) (AED) (AED mn) (mn sqm) (AE
Slide 6: Gross Profits Snapshot
Gross Profits Snapshot Consolidated Gross Profit Margin decreased by 0.4% to 27.5% YoY with Core margins enhancing by 1.0% while Non-Core reducing by 6.1% Tiles gross margins increased by 0.4% and SWD by 1.8% Total Gross Margins: Core & Non-Core (%) Core Gross Margins: Tiles and SWD (%) 28.0% 28.2%
Slide 7: Summary Income statement
Summary Income statement EBITDA increased by 6.3% to AED 310.3mn with significant margin enhancement from 16.8% to 18.7%. Net profit stable at AED 149.9mn with better net margins at 9.0% Income Statement (AED mn) EBITDA Calculation (AED mn) FYE 2013 H1 2013 H1 2014 FYE 2013 H1 2013 H1 2014 Tiles Rev
Slide 8: Balance Sheet Highlights
Balance Sheet Highlights Our net debt position increased by AED 193mn to AED 1,518mn equivalent to 2.6x EBITDA as a result of longer working capital cycles. In H2 2014, management will focus decreasing the working capital cycle by enhancing inventory turnover and cash collections Total trade recei
Slide 9: Financial Statements
FINANCIAL STATEMENTS Company Confidential 9
Slide 10: Consolidated Net Income
Consolidated Net Income AED million H1 2013 H1 2014 Q2 2013 Q2 2014 Revenue 1,737.8 1,661.2 931.9 868.5 Cost of sales (1,253.4) (1,204.5) (671.1) (645.8) Gross profit 484.4 456.7 260.8 222.7 Administrative and general expenses (141.9) (165.6) (80.4) (91.0) Selling and distribution expenses (171.3) (
Slide 11: Consolidated Balance Sheet
Consolidated Balance Sheet AED million Assets Dec 2013 Jun 2014 Equity and liabilities Dec 2013 Jun 2014 Non-current assets Equity Property, plant and equipment 1,117.4 1,262.2 Share capital 743.2 817.5 Reserves 1,730.3 1,896.9 Capital work-in-progress 51.6 62.7 Equity attributable to owners of the
Slide 12: Consolidated Cash Flow
Consolidated Cash Flow AED million H1 2013 H1 2014 H1 2013 H1 2014 Operating activities Investing activities Profit for the period before tax 161.6 164.8 Acquisition of property, plant and equipment and Adjustments for: CWIP (46.9) (118.4) Share of profit in equity accounted investees (24.2) (19.5)
Slide 13: Disclaimer
DISCLAIMER This information contained in the enclosed presentation summarizes preliminary and introductory information on RAK Ceramics PSC (the Company). This presentation has been prepared for information purposes only and is not and does not form part of or constitute any prospectus, offering memo