Fortum Oyj · OMXHEX:FORTUM
Fortum Oyj — Investor Day (November 2014)
12 slides from Fortum Oyj's investor day presentation, Nov 5, 2014
Slide 1: Successful structural changes – EPS growth
Successful structural changes – EPS growth Capital Markets Day 5 November 2014 Tapio Kuula, CEO 1
Slide 2: Agenda
Agenda • Gasum • Towards functioning energy markets in EU • Climate change • Fortum’s strategy towards growth – Key competitive advantages – Scrutinized investment discipline • Strategic priorities • Vision • Capital returns • Summary 2
Slide 3: Fortum to sell Gasum – Key messages
Fortum to sell Gasum – Key messages • 31% shareholding to be sold to the Finnish State • Sales price EUR 310 million, and capital gain of roughly EUR 190 million corresponding to approximately EUR 0.22 per share • Part of Fortum’s efficiency programme • Booked during Q4 – Heat and Electricity Sales
Slide 4: Towards properly functioning EU energy market
Towards properly functioning EU energy market Electricity market that contains the …is best placed to respond simultaneously following characteristics… to all EU energy policy objectives in a balanced manner • market-based Security of Competitiveness • harmonized rules supply Kilpailukyky • broad ge
Slide 5: Climate Change: Heading for 4°C - Talking for 2°C
Climate Change: Heading for 4°C - Talking for 2°C • Emissions are increasing: > 60% of energy supply investments in 2013, were fossil energy related, hence we are still heading +4C, pledging for +3C and talking about +2C • Emission gap will be between 8 –12 GtCO2e per year in 2020 • The global carbo
Slide 6: Fortum's mission and strategy
Fortum’s mission and strategy Mission Fortum’s purpose is to create energy that improves life for present and future generations. We provide sustainable solutions for society and deliver excellent value to our shareholders. Strategy Build on the strong Create solid earnings Build a platform for Nord
Slide 7: Fortum creates added value with key competitive advantages in current portfolio
Fortum creates added value with key competitive advantages in current portfolio Growing Emerging Technological and business model diversification Emerging • Efficient, flexible high availability assets and efficient trading – Operational excellence: synergies in flexible hydro, nuclear and CHP throu
Slide 8: Scrutinized investment discipline opens opportunities for future growth
Scrutinized investment discipline opens opportunities for future growth Strong balance sheet and operational cash flow enables future growth – Fortum is to be one of the leading companies in European electricity generation and heat production RESTRUCTURING EXISTING MARKET MERGERS & AQUISITIONS WIDEN
Slide 9: Strategic priorities
Strategic priorities Strategic priorities How, What and Where • Retain strong earnings from existing • Efficient, high availability assets and scrutinized Nordics/Baltics core investments to ensure competitiveness • Complete and secure returns from • CSA capacity provides good profits in rouble inve
Slide 10: Creating shareholder value
Creating shareholder value – The dividend policy ensures that shareholders receive a fair remuneration for their entrusted capital, supported by the company’s long-term strategy that aims at increasing earnings per share and thereby the dividend – When proposing the dividend, the Board of Directors
Slide 11: Summary
Summary Mission Fortum’s purpose is to create energy that improves life for present and future generations. We provide sustainable solutions for society and deliver excellent value to our shareholders Strategy Build on the strong Create solid earnings Build a platform for Nordic core growth in Russi
Slide 12: For more information, please visit
For more information, please visit www.fortum.com/investors