Monadelphous Group Limited · ASX:MND
Monadelphous — Shareholder Meeting (November 2018)
39 slides from Monadelphous's shareholder meeting presentation, Nov 20, 2018
Slide 1: Annual General Meeting 2018
ANNUAL GENERAL MEETING 2018 Tuesday 20 November
Slide 2: Company Profile
2018 ANNUAL GENERAL MEETING Company Profile At 30 June 2018 Monadelphous Group Limited (ASX:MND) is an S&P/ASX 200 People 5,828 company that provides construction, maintenance and industrial Net Cash $187.8m services to the resources, energy and infrastructure sectors. At 16 November 2018 Market Cap
Slide 3: Board of Directors
2018 ANNUAL GENERAL MEETING Board of Directors 3
Slide 4: Agenda
2018 ANNUAL GENERAL MEETING Agenda 1. Chairman’s Address 2. Managing Director’s Address 3. Items of Business 4. Other Business 4
Slide 5: 1. Chairman's Address
2018 ANNUAL GENERAL MEETING 1. Chairman’s Address JOHN RUBINO 5
Slide 6: Chairman's Address
2018 ANNUAL GENERAL MEETING Chairman’s Address JOHN RUBINO • Strong demand for our services in our core markets • Growth overseas and in infrastructure • Added new services and strengthened position in maintenance • Maintained strong balance sheet • Significant improvement in safety performance • Co
Slide 7: 2. Managing Director's Address
2018 ANNUAL GENERAL MEETING 2. Managing Director’s Address ROB VELLETRI 7
Slide 8: Group Highlights
2018 ANNUAL GENERAL MEETING Group Highlights FINANCIAL OPERATING STRATEGIC • Sales Revenue $1.784b* 41% • Strong demand for MND services in • Embedded new maintenance core resources and energy markets • NPAT $71.5m 24% services and expanded • Growth from diversification into geographically • EPS 76.
Slide 9: Financial Performance
2018 ANNUAL GENERAL MEETING Financial Performance PERIOD ENDED 30 JUNE FY18 FY17 CHANGE Sales Revenue $m 1,784.0* 1,264.7* 41.1% EBITDA $m 119.0^ 98.2^ 21.2% EBITDA Margin % 6.67 7.76 (1.09pp) NPAT $m 71.5 57.6 24.2% NPAT Margin % 4.01 4.55 (0.54pp) EPS cps 76.1 61.4 23.9% DPS (Fully Franked) cps 62
Slide 10: Contracts Secured
2018 ANNUAL GENERAL MEETING Contracts Secured 10
Slide 11: Safety Scorecard
2018 ANNUAL GENERAL MEETING Safety Scorecard INJURY FREQUENCY RATES* • 23.2% improvement in TCIFR from prior year • Focus on critical risk controls and enhancement of behavioural safety programs • Growing maturity of operations in new markets. 11
Slide 12: People
2018 ANNUAL GENERAL MEETING People EMPLOYEE NUMBERS • Focus on people development initiatives • High levels of key talent retention • Retention a focus as employment market tightens. 12
Slide 13: Sales Revenue Summary
2018 ANNUAL GENERAL MEETING Sales Revenue Summary REVENUE BY DIVISIONAL HIGHLIGHTS END CUSTOMER FY18 FY17 CHANGE $m $m % Engineering Construction 949.9 615.4 54.4 Maintenance and Industrial Services 841.1 652.9 28.9 Internal Eliminations (7.0) (3.6) Total 1,784.0* 1,264.7* 41.1 13 * Includes Monadel
Slide 14: Engineering Construction
2018 ANNUAL GENERAL MEETING Engineering Construction Ichthys Project Onshore LNG Facilities, Northern Territory. 14
Slide 15: Engineering Construction
2018 ANNUAL GENERAL MEETING Engineering Construction Zenviron has now substantially completed New South Wales’ largest wind farm, the 270MW Sapphire Wind Farm, NSW. 15
Slide 16: Engineering Construction
2018 ANNUAL GENERAL MEETING Engineering Construction Monadelphous employees at Bondi Waste Water Treatment Plant, NSW; and resurfacing the Northern Suburbs Ocean 16 Outfall Sewer, NSW. Construction at Pukaki Irrigation Scheme, New Zealand.
Slide 17: Engineering Construction
2018 ANNUAL GENERAL MEETING Engineering Construction Talison Lithium’s Greenbushes Operations, WA. 17
Slide 18: Engineering Construction
2018 ANNUAL GENERAL MEETING Engineering Construction . Oyu Tolgoi Underground Project, South Gobi, Mongolia. Image copyright © 2017 Rio Tinto. 18
Slide 19: Maintenance and Industrial Services
2018 ANNUAL GENERAL MEETING Maintenance and Industrial Services Monadelphous employees at Karratha Gas Plant, WA; Shell Australia’s Prelude FLNG facility, WA; and the Woodside- 19 operated Goodwyn A gas platform, WA. Image courtesy of Woodside Energy Ltd.
Slide 20: Maintenance and Industrial Services
2018 ANNUAL GENERAL MEETING Maintenance and Industrial Services Monadelphous employees accessing Cape Lambert A Wharf, WA; at BHP’s Mining Area C, WA; and at Cape Lambert 20 Dolphin, WA.
Slide 21: Australian Market Conditions
2018 ANNUAL GENERAL MEETING Australian Market Conditions TOTAL RESOURCES CAPEX TOTAL ENERGY CAPEX (A$B) (A$B) Source BIS Oxford Economics, ABS (Sep 2018) Source BIS Oxford Economics, ABS (Sep 2018) TOTAL INFRASTRUCTURE CAPEX TOTAL MAINTENANCE (A$B) (A$B) Source BIS Oxford Economics, ABS (May 2018) S
Slide 22: Strategy
2018 ANNUAL GENERAL MEETING Strategy DELIVER CORE MAXIMISE RETURNS BUILD AN SERVICES TO OVERSEAS FROM CORE MARKETS INFRASTRUCTURE BUSINESS MARKETS ✓ Awarded significant additional ✓ Strong growth in Zenviron ✓ Secured first packages of work on work on Ichthys Project Onshore ✓ Water and irrigation b
Slide 23: Outlook
2018 ANNUAL GENERAL MEETING Outlook • Outlook for resources and energy sectors is positive • Maintenance activity forecast to grow • Several major iron ore projects in early development • Increasing opportunities in base metals and lithium • Major resources construction projects expected to generate
Slide 24: Shareholder Questions
2018 ANNUAL GENERAL MEETING Shareholder Questions Monadelphous employees at Alcoa’s Pinjarra Alumina Refinery, WA. 24
Slide 25: 3. Items of Business
2018 ANNUAL GENERAL MEETING 3. Items of Business Monadelphous employees at Alcoa’s Pinjarra Alumina Refinery, WA. 25
Slide 26: Annual Reports
2018 ANNUAL GENERAL MEETING Annual Reports To receive and consider the Financial Report, Directors’ Report and Auditor’s Report for the year ended 30 June 2018. 26
Slide 27: Resolution 1: Re-election of Director
2018 ANNUAL GENERAL MEETING Resolution 1: Re-election of Director To re-elect a Director: Mr Christopher Michelmore who, being eligible, offers himself for re-election. 27
Slide 28: Resolution 1: Re-election of Director
2018 ANNUAL GENERAL MEETING Resolution 1: Re-election of Director The total of valid proxies received for Resolution 1 is 52,786,337 being: 51,665,173 FOR the resolution 131,282 AGAINST the resolution 846,330 OPEN to proxy 143,552 ABSTAIN 28
Slide 29: Resolution 2: Re-election of Director
2018 ANNUAL GENERAL MEETING Resolution 2: Re-election of Director To re-elect a Director: Ms Helen Gillies who, being eligible, offers herself for re-election. 29
Slide 30: Resolution 2: Re-election of Director
2018 ANNUAL GENERAL MEETING Resolution 2: Re-election of Director The total of valid proxies received for Resolution 2 is 52,786,337 being: 51,622,793 FOR the resolution 171,833 AGAINST the resolution 846,859 OPEN to proxy 144,852 ABSTAIN 30
Slide 31: Resolution 3: Grant of Performance Rights to Managing Director
2018 ANNUAL GENERAL MEETING Resolution 3: Grant of Performance Rights to Managing Director To grant up to a maximum of 20,011 performance rights to the Company’s Managing Director, Mr Robert Velletri, or his nominee, on the terms and conditions set out in the Explanatory Memorandum accompanying the
Slide 32: Resolution 3: Grant of Performance Rights to Managing Director
2018 ANNUAL GENERAL MEETING Resolution 3: Grant of Performance Rights to Managing Director The total of valid proxies received for Resolution 3 is 50,670,337 being: 42,881,455 FOR the resolution 6,375,527 AGAINST the resolution 838,360 OPEN to proxy 574,995 ABSTAIN 32
Slide 33: Resolution 4: Adoption of Remuneration Report
2018 ANNUAL GENERAL MEETING Resolution 4: Adoption of Remuneration Report To consider and adopt the Remuneration Report for the year ended 30 June 2018. 33
Slide 34: Resolution 4: Adoption of Remuneration Report
2018 ANNUAL GENERAL MEETING Resolution 4: Adoption of Remuneration Report The total of valid proxies received for Resolution 4 is 49,526,832 being: 41,683,201 FOR the resolution 6,716,428 AGAINST the resolution 838,630 OPEN to proxy 288,573 ABSTAIN 34
Slide 35: Poll
2018 ANNUAL GENERAL MEETING Poll Monadelphous employees at the Parker Point Wharf, WA. 35
Slide 36: 4. Other Business
2018 ANNUAL GENERAL MEETING 4. Other Business Monadelphous employees after returning to the Perth head office from site, WA. 36
Slide 37: For more information:
2018 ANNUAL GENERAL MEETING For more information: Investor Relations Telephone: +61 8 9316 6386 Email: investor_relations@monadel.com.au www.monadelphous.com.au 37
Slide 38: Notes to Financials
2018 ANNUAL GENERAL MEETING Notes to Financials NON-IFRS FINANCIAL STATUTORY SALES REVENUE AND EBITDA RECONCILIATION INFORMATION FY18 FY17 Monadelphous Group Limited results are $M $M reported under International Financial Total sales revenue including joint ventures 1,784.0 1,264.7 Reporting Standa
Slide 39: Important Notice
2018 ANNUAL GENERAL MEETING Important Notice DISCLAIMER Information, including forecast financial information, in this presentation, should not be considered as a recommendation in relation to holding, purchasing or selling shares, securities or other instruments in Monadelphous Group Limited or any
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