Alarko Holding A.S. · BIST:ALARK
Alarko Holding A.S — Investor Presentation (2015)
46 slides from Alarko Holding A.S's investor presentation, Sep 8, 2015
Slide 1: Investor Presentation Alarko Holding A.Ş.
INVESTOR PRESENTATION ALARKO HOLDING A.Ş.
Slide 2: Table of Contents
TABLE OF CONTENTS INTRODUCTION 1 CONTRACTING GROUP 14 ALARKO HOLDING SHAREHOLDER STRUCTURE & PARTICIPATION 2 LAND DEVELOPMENT GROUP ALARKO REIT 21 ALARKO HOLDING consolıDAted revenue dıstrıbutıon 3 INDUSTRY & TRADE GROUP ALARKO CARRIER 25 ALARKO HOLDING consolıDAted IFRS Fınancıals 5 TOURISM GROUP 3
Slide 3: Introduction
INTRODUCTION ALARKO was founded in 1954 and today, operates in five main areas: LAND INDUSTRY ENERGY CONTRACTING DEVELOPMENT & TRADE TOURISM Three of the group companies are trading in Borsa Istanbul: MARKET BIST BLOOMBERG FREE CAPITALIZATION NAME OF THE COMPANY SYMBOL SYMBOL FLOAT (US$ MILLION) as
Slide 4: Shareholder Structure & Participations
SHAREHOLDER STRUCTURE & PARTICIPATIONS ALATON 35,4% FAMILY OTHER SHAREHOLDERS FOUNDER HAVE 68,4% PARTICIPATION IN FAMILIES ALHAN HOLDING 2,0% GARİH 33% 0,7% DESTEK FOUNDATION FAMILY OTHER %0,1 CONSOLIDATION METHOD ALTEK (100%) ENERGY ALCEN (50%) ENERGY ALSIM (100%) CONTRACTING ALARKO REIT (51%) LAND
Slide 5: Revenue Distribution by Years
REVENUE DISTRIBUTION BY YEARS 57% ENERGY 40% ENERGY 1% SEAFOOD 1% SEAFOOD 9% INDUSTRY 7% INDUSTRY &TRADE &TRADE 5% TOURISM 4% TOURISM 2012 28% CONTRACTING& LAND DEVELOPMENT 2013 48% CONTRACTING& LAND DEVELOPMENT 49% ENERGY 69% ENERGY 1% SEAFOOD 8% INDUSTRY 11% INDUSTRY &TRADE &TRADE 5% TOURISM 5% TO
Slide 6: Net Profit by Years
net profıt by years Alarko Holding Consolidated Net Profit (US$ MILLION) 100 M 75 M 86 50 M 60 43 34 36 33 25 M 32 26 15 1 0M 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015/H1 4
Slide 7: Consolidated IFRS Financials
TTT CONSOLIDATED IFRS FINANCIALS (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013* 31.12.2014* 30.06.2015* REVENUES 908 1.143 942 294 OPERATIONAL PROFIT 36 150 44 28 EBITDA 59 188 70 38 NET PROFIT 43 86 15 0,6 EBITDA MARGIN (%) 7% 16% 7% 13% CASH&FINANCIAL INV. (1) 356 327 319 229 FINANCIAL LIAB
Slide 8: Energy Group - Overview
energy group - OVERVIEW ALTEK – Kırklareli Combined Cycle Natural Gas Power Plant ALTEK – Adana Karakuz Dam and Hydroelectric Power Plant GENERATION ALTEK – Malatya Tohma Hidroelectric Power Plant CENAL – Çanakkale Karabiga Imported Coal Fired Power Plant PANEL ENERJİ – Solar Energy Generation Compa
Slide 9: Energy Group - Electricity Generation
energy group - electrıcıty generatıon KIRKLARELİ 1 AND 2 GAS FIRED COMBINED CYCLE POWER PLANTS, KIRKLARELİ-TURKEY KARAKUZ HYDROELECTRIC POWER PLANT ADANA-TURKEY 77
Slide 10: Drivers of Growth in the Energy Sector
energy group - electrıcıty generatıon The state’s privatization process of Turkish Energy Market is among the fastest 46 Power Plants with a total of 16.200 MW growing energy markets in the world capacity under EÜAŞ (Electricity Generation parallel to Turkey’seconomic growth. Company) started in 200
Slide 11: Energy Group - Electricity Generation
energy group - electrıcıty generatıon The electricity generation company, ALTEK, which is a fully owned subsidiary of Alarko Holding, generates electrical energy, with 2 hydroelectric and 2 natural gas power plants, of total 253 MW generation capacity. TOTAL POWER PLANTS CONCESSION POWER (MW) STARTU
Slide 12: Karabiga: New Imported Coal Fired Power Plant
energy group - electrıcıty generatıon KARABİGA: LOCATION: New Imported Coal Fired Power Plant KARABİGA/ÇANAKKALE The EIA (Environmental Impact Assessment) report which we have obtained back in May 2012 has been revised and upgraded. We obtained the Grid Connection Permit of TEİAŞ and we received the
Slide 13: Energy Group - Electricity Distribution
energy group - ELECTRICITY DISTRIBUTION Meram Electricity Distribution Region: Konya, Karaman, Kırşehir, Aksaray, Nevşehir and Niğde KIRŞEHİR AKSARAY NEVŞEHİR KONYA NİĞDE KARAMAN 11
Slide 14: Meram Electricity Distribution Company
energy group - ELECTRICITY DISTRIBUTION Due to the liberalization of the energy sector in Turkey, Electricity Distribution companies (like Meram) were separated into Distribution and Retail Sales companies in the first quarter of 2013. We took over Meram Electricity Distribution Co. as of 30.10.2009
Slide 15: Energy Group Consolidated IFRS Financials
X energy group CONSOLIDATED IFRS FINANCIALS* (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 510 462 464 201 OPERATIONAL PROFIT 8 33 46 13 EBITDA 20 43 55 18 NET PROFIT 58** 14 21 -6,8 EBITDA MARGIN (%) 4% 9% 12% 9% CASH&FINANCIAL INV. (1) 21 27 39 16 FINANCIAL LI
Slide 16: Contracting Group
CONTRACTING GROUP IRTISH RIVER BRIDGE, SEMIPALATINSK-KAZAKHSTAN KIEV-BORYSPIL AIRPORT, UKRAINE ANKARA-ESKİŞEHİR FAST TRAIN PROJECT, TURKEY 14
Slide 17: Contracting Group
CONTRACTING GROUP Alarko’s contracting subsidiary ALSİM mainly focuses on large scale infrastructure projects with positive cash flow. 15.08.2015 The employers are mainly; central governments & local municipalities, other local and international institutions. TOTAL BACKLOG SUMMARY (US$ M) Target DOM
Slide 18: Contracting Group - Domestic Backlog
CONTRACTING GROUP - domestıc backlog 15.08.2015 CONTRACT ALARKO’S COMPLETION CONSTRUCTION backlog PROJECTS PARTNERS LOCATION SIZE (US$ MILLION) PARTION % % PERIOD (US$ MILLION) LEVENT-AYAZAĞA SUBWAY PROJ. ALARKO- Electromechanic Works MAKYOL İSTANBUL 447 50 98,5 2008 - 2015 3 LEVENT-HİSARÜSTÜ SUBWAY
Slide 19: Contracting Group - International Backlog
CONTRACTING GROUP - ınternatıonal backlog 15.08.2015 PROJECTS PARTNERS LOCATION CONTRACT SIZE ALARKO’S PARTION % COMPLETION CONSTRUCTION % PERIOD backlog (US$ MILLION) BOZSHAKOL COPPER ORE PLANT PROJECT ALARKO KAZAKHSTAN 498 100,0 98,4 2011 - 2015 8 TALDYKOL SEWER POND LIQUIDATION PROJ. (FINAL STAGE
Slide 20: Contracting Group Backlog Breakdown
CONTRACTING GROUP COPPER ORE PLANT KAZAKHSTAN 1% 31% WASTEWATER TREATMENT PLANT 30% 69% 69% TURKEY SUBWAY CURRENT BACKLOG BREAKDOWN CURRENT BACKLOG BREAKDOWN BY COUNTRY BY PROJECT CATEGORY 18
Slide 21: Contracting Group Financials
CONTRACTING GROUP CONSOLIDATED IFRS FINANCIALS* (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 256 553 345 45 OPERATIONAL PROFIT 37 97 -22 14 EBITDA 45 121 -9 18 NET PROFIT 26 86 -16 16 EBITDA MARGIN (%) 18% 22% - 41% CASH&FINANCIAL INV. (1) 191 185 173 122 FINAN
Slide 22: Contracting Group - Major Completed Projects
CONTRACTING GROUP - MAJOR COMPLETED PROJECTS DOMESTIC INTERNATIONAL Water & Waste Water (W.W.), Treatment Plants Water & Waste Water (W.W.), Treatment Plants Tuzla Biological W.W. Treatment Plant İstanbul Oran Arzew Industrial Zone Desalination & Power Plant Algeria Yarımca Petroleum Refinery W.W. T
Slide 23: Land Development Group
LAND DEVELOPMENT GROUP “ALKENT İSTANBUL 2000” Büyükçekmece, İstanbul-TURKEY 21
Slide 24: Land Development Group - Alarko Real Estate
LAND DEVELOPMENT GROUP The Land Development Group; Designs and builds high-quality residential communities, mainly targeting upper-middle income clients. Negotiates the contracts with landowners on a revenue or profit-sharing basis. Pre-sells the units before commencing construction. ALARKO MOS ALAR
Slide 25: Portfolio Value of Alarko REIT
LAND DEVELOPMENT GROUP 31.12.2014 30.06.2015 PORTFOLIO VALUE OF ALARKO REIT (US$ MILLION) CASH AND MARKETABLE SECURITIES 83,24 86,97 REAL ESTATE PORTFOLIO 130,95 113,04 Land in Maslak, İstanbul 20,44 17,65 Land in Eskice Village, Büyükçekmece - İstanbul 20,50 17,70 Villa’s in Eskice Village, Büyükçe
Slide 26: Alarko REIT IFRS Financials
Alarko REIT IFRS FInancIals IFRS FInancIals* (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 8,6 15,1 6,4 3,0 OPERATIONAL PROFIT 9,7 39,5 33,7 13,3 EBITDA 9,7 39,5 33,7 13,3 NET PROFIT 8,0 39,5 33,7 13,3 EBITDA MARGIN (%) 113% 262% 526% 343% CASH&FINANCIAL INV. (1
Slide 27: Industry & Trade Group
INDUSTRY & TRADE GROUP 25
Slide 28: Industry & Trade Group
INDUSTRY & TRADE GROUP Formed an equal-share partnership Is a major heating & cooling with Carrier in 1998, a subsidiary of products manufacturer, United Technology Corporation-USA. with two production plants in Istanbul. United Technology Corporation trades in the New York Stock Alarko Carrier is a
Slide 29: Industry & Trade Group Products and Sales
INDUSTRY & TRADE GROUP Centralized Heating and Cooling Systems MAJOR Panel Radiators Panel Radiators, Air Handling Units, EXPORT Gas and Oil Burners Gas and Oil Burners, Roof Top AC Units PRODUCTS MAJOR Boilers & Circulation Pumps PRODUCTS Split AC Units Air Handling Units UK, Germany, Greece, The N
Slide 30: Achieving Competitive Excellence
INDUSTRY & TRADE GROUP Achieving Competitive Excellence The United Technologies Operating System 2005 2008 2009 2010 2011 2012 2016 Coaching, Trying the tools; Significantly Best-in-class, Teaching & getting some improving year-over-year Baselining results business metrics business metrics improveme
Slide 31: Industry & Trade Group Financials
INDUSTRY & TRADE GROUP CONSOLIDATED IFRS FINANCIALS (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 86 75 76 32 OPERATIONAL PROFIT 4,7 9,3 7,3 2,5 EBITDA 5,5 10,3 8,0 3,0 NET PROFIT 6,7 7,6 5,9 2,5 EBITDA MARGIN (%) 6% 14% 11% 9% CASH&FINANCIAL INV. (1) 28 26 22 1
Slide 32: Main Competitors and Market Shares
INDUSTRY & TRADE GROUP MAIN COMPETITORS Baymak / BDR (Holland) ECA HEATING Türk Demir Döküm (subsidiary of Vaillant) MARKET SHARES IN TURKEY Vaillant (Germany) Arçelik AIR Vestel Daikin (Japan) CONDITIONING Johnson Controls / York Trane (USA) 9,3% 9,0% 4,4% Grundfoss (Danmark) PUMPS Wilo (Germany) H
Slide 33: Tourism Group
TOURISM GROUP HILLSIDE BEACH CLUB FETHİYE-TURKEY HILLSIDE CITY CLUB ETİLER, İSTANBUL-TURKEY CINECITY İSTANBUL-TURKEY HILLSIDE CITY CLUB İSTİNYE, İSTANBUL-TURKEY 31
Slide 34: Tourism Group
TOURISM GROUP - First-class holiday village Three hillside City Clubs in İstanbul: - Located in south-west of Turkey, - hillside City Club/ Etiler in Fethiye - hillside City Club/ İstinye Park - hillside City Club/ Trio The Tourism Group, ATTAŞ, owns and operates - 330 rooms/781 bed capacity The ser
Slide 35: Tourism Group Financials
TOURISM GROUP CONSOLIDATED IFRS FINANCIALS (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 42 41 43 15 OPERATIONAL PROFIT 0,3 2,5 1,9 -1,6 EBITDA 2,9 5 4,5 -0,4 NET PROFIT 0,4 2 1,4 -1,3 EBITDA MARGIN (%) 7% 12% 10% - CASH&FINANCIAL INV. (1) 6,6 9,4 12 10,7 FINANC
Slide 36: Consolidated Balance Sheet as of 30.06.2015
alarko holdıng CONSOLIDATED BALANCE SHEET AS OF 30.06.2015 (USD) ASSETS LIABILITIES AND SHAREHOLDERS’ EQUITY CURRENT ASSETS 328.383.589 SHORT TERM LIABILITIES 156.817.592 A. Cash and Cash Equivalents 101.181.369 A. Short Term Borrowings 25.222.759 B. Financial Investments 37.060.687 B. Short Term Po
Slide 37: Statement of Income by Group of Companies 30.06.2015
alarko holdıng STATEMENT OF INCOME ACCORDING TO GROUP OF COMPANIES AS OF 30.06.2015 (USD) CONTINUED OPERATIONS HOLDING TOURISM INDUSTRY ENERGY CONTRACTING ELIMINATION TOTAL &TRADE & LAND DEV. Income From Sales (Out of Group net) 834.992 15.322.897 - 27.107.731 40.813.816 - 84.079.436 Income From Sal
Slide 38: Statement of Income by Group of Companies 31.12.2014
ALARKO HOLDING STATEMENT OF INCOME ACCORDING TO GROUP OF COMPANIES AS OF 31.12.2014 (USD) CONTINUED OPERATIONS HOLDING TOURISM INDUSTRY ENERGY CONTRACTING SEAFOOD ELIMINATION TOTAL &TRADE & LAND DEV. Income From Sales (Out of Group net) 1.381.445 43.242.799 - 53.616.716 317.495.195 - - 415.736.154 I
Slide 39: Statement of Income by Group of Companies 31.12.2013
ALARKO HOLDING STATEMENT OF INCOME ACCORDING TO GROUP OF COMPANIES AS OF 31.12.2013 (USD) con craton rons <FIROER [aoe Income From Sales (Out of Group net) 830.768 41,423.53 45.479 38.199.272 510.434.273 : 590.933.345 Income From Sales (In Group net) 2,342,708 : 39.787 2.722 46.982.611 : (49.367.829
Slide 40: Appendix 1 - Energy Group Consolidation: Generation
APPENDIX 1 - Energy Group ConsolIdatIon GeneratIon (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 62,9 38,2 53,7 27,1 OPERATIONAL PROFIT -2,3 -1,7 -0,4 3,9 EBITDA 5,0 4,4 5,2 6,8 NET PROFIT -0,6 -4,2 -8,3 -3,8 EBITDA MARGIN (%) 8,0% 11,6% 9,6% 25,2% CASH&FINANCIA
Slide 41: Appendix 2 - Energy Group Consolidation: Distribution
APPENDIX 2 - Energy Group ConsolIdatIon DIstrIbutıon (US$ MILLION) SELECTED FIGURES 31.12.2012 31.12.2013 31.12.2014 30.06.2015 REVENUES 447,3 423,5 410,8 173,9 OPERATIONAL PROFIT 10,1 34,6 46,7 9,6 EBITDA 14,8 38,7 50,3 11,1 NET PROFIT 58,2** 18,0 29,2 -3,0 EBITDA MARGIN (%) 3,3% 9,1% 12,3% 6,4% CA
Slide 42: Appendix 3 - Contracting Group
APPENDIX 3 - CONTRACTING GROUP MAIN JV PARTNERS - GLOBAL CONSTRUCTION GROUPS EBARA GS ENG. & STRABAG SIEMENS MARUBENI HYUNDAI ANSALDO CORPORATION CORP. Austria Germany Japan Korea Korea Italy Japan TECNICAS ASTALDI IMPREGILO BOMBARDIER DEGREMONT CAF OHL REUNIDAS Italy Italy Canada France Spain Spain
Slide 43: Appendix - Tourism Group: Turkish Tourism Sector
APPENDIX 4 - TOURISM GROUP TURKISH TOURISM SECTOR (Million Visitors) (US$ Billion) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 Tourism Revenues (left axis) Tourist Arrivals (right axis) 41
Slide 44: Alarko Holding Disclaimer
ALARKO HOLDING DISCLAIMER Alarko Holding A.S. (the“Company”) has prepared this presentation (the “Presentation”) in order to provide investors with general information about the Company. The contents of this Presentation is based on public information and on data provided by the Company’s management
Slide 45: Corporate Communication
CORPORATE COMMUNICATION Ömer ÇELİK Senior Vice President Finance & IR omer.celik@alarko.com.tr Tel: +90 (212) 310 34 10 Bener DAĞLIER Finance Manager bener.daglier@alarko.com.tr Tel: +90 (212) 310 34 16 For Further Information: www.alarko.com.tr investor.relations@alarko.com.tr
Slide 46: www.alarko.com.tr
www.alarko.com.tr