Tubacex, S.a. · BME:TUB
Tubacex — Q1 2024 Earnings Presentation
22 slides from Tubacex's earnings presentation, Apr 25, 2024
Slide 1: Results Release First Quarter 2024
RESULTS RELEASE FIRST QUARTER 2024 APRIL 2024 Q1 2024 RESULTS / PAG. 1
Slide 2: Main Considerations
MAIN CONSIDERATIONS FOUNDATIONS FOR GROWTH HAVE BEEN LAID FIRST ORDER PLACED BY ADNOC The first quarter of the year saw the activation and start-up of the Adnoc project with the first order being placed, whereby more significant orders are expected throughout the year The first quarter of 2024 c
Slide 3: Main Financial Figures
MAIN FINANCIAL FIGURES Q1 2023 Q1 2024 % Var. Q4 2023 Q1 2024 % Var. (€M) Sales 232.2 186.5 -19.7% 210.4 186.5 -11.4% EBITDA 30.5 25.0 -18.0% 31.4 25.0 -20.6% EBITDA Margin 13.1% 13.4% 14.9% 13.4% EBIT 18.7 13.5 -27.8% 20.2 13.5 -32.9% EBIT Margin 8.1% 7.3% 9.6% 7.3% Earnings Before Taxes & Min 12.7
Slide 4: Main Figures from the Income Statement
MAIN FIGURES FROM THE INCOME STATEMENT SALES First-quarter sales stood at €186.5M, below the figure reached in the same €M quarter of the previous year 232.2 - Declining trend in nickel prices: turnover of the most commodity products is 210.4 being negatively affected 186.5 186.5 - The average nicke
Slide 5: Main Figures from the Balance Sheet: Working Capital
MAIN FIGURES FROM THE BALANCE SHEET: WORKING CAPITAL WORKING CAPITAL OVER SALES: INCREASED TURNOVER IS FORESEEN INCREASE IN WORKING CAPITAL DUE TO THE FORESEEABLE RISE IN Working Capital (€M) TURNOVER The working capital amounts to €279.9M, up €45.4M on the 2023 year-end 279.9 The prospects of incre
Slide 6: Main Figures from the Balance Sheet: Net Financial Debt
MAIN FIGURES FROM THE BALANCE SHEET: NET FINANCIAL DEBT Net Financial Debt €M Tubacex is building a new OCTG tube finishing and threading plant in Abu Dhabi, as part of the major $1,000M project, whereby operations will commence later this year 364.1 - Investment to date in this plant amounts to €
Slide 7: Revenues Breakdown
REVENUES BREAKDOWN New businesess E&P Gas PREMIUM PRODUCTS 18.0% The good positioning with strategic customers, together with the strategy of 24.0% entering into long-term agreements is enabling an optimum product mix to be maintained and margins to be consolidated in strategic levels ORDER INTAKE O
Slide 8: Backlog Evolution
BACKLOG EVOLUTION ROBUST SITUATION OF THE BACKLOG Backlog Evolution Book-to-bill ratio €M TOTAL BACKLOG INCLUDING ADNOC’S PROJECT +29.4% 650.0 1,600M€ +336.2% 600.0 600.0 502.3 Q1 2024 1.0x Backlog remains stable compared to the 2023 year-end 115.2 This figure is concentrated in projects with high a
Slide 9: Commercial Remarks (I) E&P Oil&Gas
COMMERCIAL REMARKS (I) E&P OIL&GAS UPSTREAM OCTG - Ongoing tender activity in Brazil combined with continued execution of existing contracts - Consistent and strong demand in the Middle East and Asia, indicating a positive demand outlook thorough at least 2024, 2025 and 2026 - Focus on value added
Slide 10: Commercial Remarks (II) Industrial & PowerGen
COMMERCIAL REMARKS (II) INDUSTRIAL & POWERGEN The industrial sector continues to account for a major part of Tubacex’s sales INDUSTRIAL In the first quarter of 2024, order intake for refinery and petrochemical pipelines and furnaces in China, mainly Ethylene, can be highlighted TUBACEX's positio
Slide 11: Commercial Remarks (III) Low Carbon & New Businesses
COMMERCIAL REMARKS (III) LOW CARBON & NEW BUSINESESS Carbon Capture LOW CARBON - Tendering activity showed some slowdown in the US (the most dynamic region so far) due to operators facing delays in the execution of their projects due to government approvals coming later than expected - Invoicing a
Slide 12: Main ESG KPIs
MAIN ESG KPIs Indicator Ud. 2019* Q1 2024 Goal 2030 ENVIRONMENT Mwh/ Energy Intensity(1) 2.85 1.71 2.13 GAV ENERGY & Ton CO2/ CLIMATE Scope 1 y 2 Emissions intensity(2) 0.70 0.27 0.28 GAV % total % Renewable Energy 0% 32.6% 40% energy CIRCULAR Waste recycled % total 60.5% 86.8% 95% ECONOMY generated
Slide 13: Stock Information
STOCK INFORMATION GROWTH POTENTIAL Stock Evolution Key Data €/share # shares outsanding 126,549,251 3,8 3.64€ 3,6 3,4 €/share (03.31.24) 3.335€ 3,2 3,0 3.195€ 3.335€ Market Cap. (M€) 442.0M€ 2,8 2,6 2,4 % evolution -4.7% 2,2 2,0 Maximun 3.64€ (Jan. 5) 31/12/2023 07/01/2024 14/01/2024 21/01/2024 28/0
Slide 14: Conclusions: Growth Prospects Over the Coming Quarters
CONCLUSIONS GROWTH PROSPECTS OVER THE COMING QUARTERS ACTIVATION OF THE ADNOC ORDER BACKLOG PROJECT Order backlog remains at historical levels and is The first order has been placed by Adnoc, concentrated in high value-added products activating the project NEW OCTG PLANT VISIBILITY Construction of t
Slide 15: New Strategic Plan Release NT2
NEW STRATEGIC PLAN RELEASE NT2: NEW TUBACEX NEXT TRANSITION NT2 2027 TARGETS DRIVING SUSTAINABLE VALUE AND TO REDUCE OIL MARKET & GAS LEADERS IN ENTERING INTO A NEW PHASE OF VALUE EXPOSURE TO LOW CARBON CREATION FOR OUR SHAREHOLDERS 1/3 OF THE BUSINESS BUSINESS TO BE A POINT REVENUE REASONS TO INVES
Slide 16: Appendix
APPENDIX TUBACEX GROUP
Slide 17: Consolidated Income Statement Detail
CONSOLIDATED INCOME STATEMENT DETAIL (€M) Q1 2023 Q1 2024 % var. Q4 2023 Q1 2024 % var. Sales 232.2 186.5 -19.7% 210.4 186.5 -11.4% Change in inventories 13.1 24.7 88.8% (9.6) 24.7 n.m. Other income 3.8 5.2 38.5% 8.1 5.2 -35.4% Cost of materials (113.8) (93.3) -18.0% (84.8) (93.3) 10.1% Personnel ex
Slide 18: Consolidated Balance Sheet Detail
CONSOLIDATED BALANCE SHEET DETAIL (€M) 31/12/23 31/03/24 %var. (€M) 31/12/23 31/03/24 %var. Intangible assets 112.6 110.6 -1.7% Equity, Group Share 240.0 244.4 1.8% Tangible assests 306.7 313.4 2.2% Minority interests 53.6 54.6 1.8% Financial assets 99.1 99.4 0.3% Equity 293.6 298.9 1.8% Non-current
Slide 19: Historical Quarterly Evolution: Sales & EBITDA
HISTORICAL QUARTERLY EVOLUTION: SALES & EBITDA Sales 232.2 €M 186.5 153.7 158.1 143.5 86.5 Q1 2019 Q1 2020 Q1 2021 Q1 2022 Q1 2023 Q1 2024 30.5 EBITDA 25.0 €M 19.0 14.3 12.0% 13.1% 13.4% 12.4 9.9% 8.1% 0.1 0.1% Q1 2019 Q1 2020 Q1 2021 Q1 2022 Q1 2023 Q1 2024 % EBITDA Margin Q1 2024 RESULTS / PAG. 19
Slide 20: Alternative Performance Measures – APM I
ALTERNATIVE PERFOMANCE MEASURES – APM I Tubacex presents its results in accordance with the generally accepted accounting principles (IFRS). Furthermore, this report provides other non- IFRS financial measures, called Alternative Performance Measures (APM), which are used by management to assess the
Slide 21: Alternative Performance Measures – APM II
ALTERNATIVE PERFOMANCE MEASURES – APM II PROFIT BEFORE TAXES Tubacex presents the calculation of the Profit before tax margin as the ratio between the Profit before tax and the sales figure MARGIN NET FINANCIAL DEBT Tubacex presents the calculation of Net Financial Debt as the difference between the
Slide 22: Q1 2024 RESULTS / PAG. 22
Q1 2024 RESULTS / PAG. 22