Merko Ehitus As · OMXTSE:MRK1T
Merko Ehitus As — AS Merko Ehitus — Shareholder Meeting (June 2012)
21 slides from Merko Ehitus As's shareholder meeting presentation, Jun 7, 2012
Slide 1: AS Merko Ehitus annual general meeting of shareholders
AS Merko Ehitus annual general meeting of shareholders 7.06.2012
Slide 2: Agenda of the general meeting
Agenda of the general meeting 1. Approval of the annual report of the year 2011 and overview of the economic results and the prospective of the ongoing year 2. Proposal on distribution of profits 3. Amendment of articles of association 4. Appointment of auditor for the financial years of 2012-2013 2
Slide 3: Agenda of the general meeting
Agenda of the general meeting 1. Approval of the annual report of the year 2011 and overview of the economic results and the prospective of the ongoing year 2. Proposal on distribution of profits 3. Amendment of articles of association 4. Appointment of auditor for the financial years of 2012-2013 3
Slide 4: New structure of a holding company was launched since January 1, 2012
New structure of a holding Listed company company was launched since January 1, 2012 Investment property and financial assets 4
Slide 5: Baltic construction market through crisis years: back to year 2005
Baltic construction market through crisis years: back to year 2005 million EUR 9000 Lithuania 8185 8000 7858 Latvia 7000 Estonia 5840 40% 44% 6000 5000 4311 4297 4488 39% 4000 3612 40% 28% 29% 39% 42% 3000 27% 41% 2000 26% 29% 25% 27% 1000 34% 32% 27% 721 34% 32% 32% 33% 0 2005 2006 2007 2008 2009 2
Slide 6: We have passed the previous crisis better than the construction market all in all
We have passed the previous crisis better than the construction market all in all 50% 40% 30% 20% 10% 0% -10% 2004 2005 2006 2007 2008 2009 2010 2011 -20% -30% -40% Growth/decline of total construction production in Estonia at current prices, y-o-y -50% Growth/decline of construction production in B
Slide 7: We are a leading construction group in Baltics
We are a leading construction group in Baltics Nordecon Nordecon Skanska Nordecon Merko 3,2% Skanska Merko 3,3% Merko 3,6% 2,5% 1,8% 0,6% 2,3% 0,8% PST 0,8% PST 1,0% PST 0,9% 2009 YIT Group 1,0% 2010 YIT Group 1,2% 2011 YIT Group 1,6% Others Others Others 91,7% 92,1% 94,1% in million EUR 2009 2010 2
Slide 8: Market share in Estonia
Market share in Estonia Merko 6,3% Nordecon Merko 7,2% Merko 7,5% 5,9% Nordecon Nordecon Skanska 5,4% 6,6% 2,1% 2009 R&T 2,3% 2010 Skanska 1,8% 2011 R&T 1,8% YIT 1,3% R&T 2,8% YIT 0,8% Others Others Others 82,1% 82,0% 85,9% in million EUR 2009 2010 2011 Construction activities in Estonia 2 226 1 731
Slide 9: After three years of decline, the sales of the group is once again increasing
After three years of decline, the sales of the group is once again increasing 400 250% 352 350 191% 297 200% 300 282 150% 250 219 199 207 203 200 94% 173 172 100% 83% 150 60% 62% 107 50% 91 87 37% 100 23% 15% 25% 28% 54 47 4% 48 0% 50 34 -13% -4% -16% -15% -32% 0 -50% 2012 3M 1997 1998 1999 2000 200
Slide 10: Correlation between sales and backlog of construction contracts
Correlation between sales and backlog of construction contracts 400 • Backlog of construction 352 contracts as of 31.03.2012 350 EUR 189 million. 335 282 297 • Macro contracts signed in 300 2012: 250 264 – D and C Blocks of North 219 Estonia Medical Centre in 203 200 200 Mustamäe and a two-level 191
Slide 11: Throughout the recent years, most of the apartment sales have been generated in Latvia
Throughout the recent years, most of the apartment sales have been generated in Latvia 600 Lithuania 500 Latvia 106 Estonia 400 128 300 238 95 40 6 200 158 101 295 100 232 175 129 126 82 0 30 2006 2007 2008 2009 2010 2011 11
Slide 12: General and personnel expense
General and personnel expense 30 12% 25 10% 20 8% 15 6% 10 4% 5 2% 0 0% 2005 2006 2007 2008 2009 2010 2011 2012 3M General expense, million EUR Personnel expense, million EUR General expense ratio Personnel expense ratio 12
Slide 13: Net profit
-20 -10 0 10 20 30 40 2 1997 3 1998 1 1999 4 2000 6 2001 6 2002 12 2003 19 2004 28 2005 million EUR Net profit 37 2006 35 2007 19 2008 7 2009 1 2010 2011 -14 0,2 2012 3M 13
Slide 14: High equity ratio, moderate debt to assets ratio
High equity ratio, moderate debt to assets ratio 300 70% 64% 250 61% 60% 52% 54% 52% 50% 50% 50% 50% 200 40% 150 250 247 225 30% 100 205 196 220 212 18% 19% 18% 20% 50 142 14% 14% 15% 13% 17% 10% 0 0% 2005 2006 2007 2008 2009 2010 2011 31.03.2012 Total assets Equity ratio Debt to assets ratio 14
Slide 15: Construction and real-estate market in 2012
Construction and real-estate market in 2012 1. In terms of orders, the public sector is still the most dominant. Competing for public procurement contracts in Latvia and Lithuania has become difficult; we are focusing on our strengths 2. Tenders made in public procurement competitions are close to c
Slide 16: 2012 in focus
2012 in focus 1. Today, profitability is more important than growth – goal: profitable growth 2. Strengthening the market position on solvency and strong capitalisation 3. Management of the company’s liquidity 4. A more efficient cost base in Latvia and Lithuania 5. Gradually taking the proportion o
Slide 17: Agenda of the general meeting
Agenda of the general meeting 1. Approval of the annual report of the year 2011 and overview of the economic results and the prospective of the ongoing year 2. Proposal on distribution of profits 3. Amendment of articles of association 4. Appointment of auditor for the financial years of 2012-2013 1
Slide 18: Agenda of the general meeting
Agenda of the general meeting 1. Approval of the annual report of the year 2011 and overview of the economic results and the prospective of the ongoing year 2. Proposal on distribution of profits 3. Amendment of articles of association 4. Appointment of auditor for the financial years of 2012-2013 1
Slide 19: Agenda of the general meeting
Agenda of the general meeting 1. Approval of the annual report of the year 2011 and overview of the economic results and the prospective of the ongoing year 2. Proposal on distribution of profits 3. Amendment of articles of association 4. Appointment of auditor for the financial years of 2012-2013 1
Slide 20: Website: www.merko.ee
merko Website: www.merko.ee HOME ABOUTMERKO BUSINESS ACTIVITIES FORTHEINVESTOR COMETOWORK PUBLIC RELATIONS CONTACT ~ Secondary school in Viimsi IS WIEG OU} Ul About Merko Our vision is reliable solutions and quality performance for your ideas Sale of apartments, private houses Merko Ehitus is the co
Slide 21: AS Merko Ehitus annual general meeting of shareholders
AS Merko Ehitus annual general meeting of shareholders 7.06.2012