Slide 1: Investor Presentation 30/08/2017
Investor Presentation ● 30/08/2017 ● Page ‹#›
Slide 2: Disclaimer
Disclaimer • This presentation was prepared by PORR AG (the "Company") solely for use at investors’ meetings and is provided solely for informational purposes. • This presentation dates from August 2017. The facts and information contained herein might be subject to revision in the future. Neither t
Slide 3: Highlights H1 2017
Highlights H1 2017 INTELLIGENT GROWTH PRODUCTION GROWTH Three major acquisitions 21% growth in production • Franki output Grundbau • Oevermann TECHNOLOGY • Hinteregger Group1 First Lean Construction (LC) project with BMW ORDER BACKLOG SELECTED PROJECT Strongest order backlog in history with EUR 5,70
Slide 4: Successful Company Transformation
Successful Company Transformation 2018-2020 2017 YIELD 2013 – 2016 • Clear focus on CONSOLIDATE earnings 2011 – 2012 • Focus business • Roadmap 2020 EXPAND operations • Innovation leader • Integration RESET • Technical • Fit for future excellence • Process & cost optimisation Investor Presentation ●
Slide 5: Reasons for Pursuing Our Recent Active Acquisition Strategy
Reasons for Pursuing Our Recent Active Acquisition Strategy Seize Window of Win Specialised Opportunity Employees Benefit from Enable Economies of Scale Margin Uplift Optimise Regional Coverage Investor Presentation ● 30/08/2017 ● Page 5
Slide 6: Overview on our Key Investment Highlights
Overview on our Key Investment Highlights Value Adding Future Favourable Markets Strategy Strong Financial Focus on Performance Core Business Entrepreneurial Mindset Details to be laid out on following pages Investor Presentation ● 30/08/2017 ● Page 6
Slide 7: Continuously Growing Construction Market in Europe
Continuously Growing Construction Market in Europe Development of Total Construction Output Europe CAGR1 2.4% 10.0% 5.0% 4.2% 2.5% 2.9% 2.5% 0.0% 1.0% 1.8% 2.0% 0.0% -2.1% -5.0% -3.4% -10.0% -8.6% 08/09 09/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 General Trends & Drivers Supporting G
Slide 8: PORR's Construction Markets Show Growth Forecasts and High Volumes
PORR’S Construction Markets Show Growth Forecasts and High Volumes 1,449,491 Home Markets (86% Production Share) 470,494 +1.5% 2016 Total Construction CAGR Market1 in EUR m 2016 Total Construction 2016 - 2019 Market in EUR m Project Markets (14% Production Share) 57,352 +6.1% CAGR 2016 Civil Enginee
Slide 9: We Selectively Develop to a General/Total Contractor with Lean Construction Expertise
We Selectively Develop to a General/Total Contractor with Expertise in Lean Construction • PORR is and will remain a construction company that builds as much as possible itself Operation • We focus on our core competencies alongside the construction value chain (e.g. Lean Construction) Construction
Slide 10: Our Recent M&A Activities are Fully Supporting the Strategy of Intelligent Growth
Our Recent M&A Activities are Fully Supporting the Strategy of Intelligent Growth Expertise Building Regional Expansion Operation Construction G&P Preparation 1 Design Financial Engineering 1 Closing expected in H2 2017 Investor Presentation ● 30/08/2017 ● Page 10
Slide 11: Aligned Interests Resulting in Sustainable Growth and a Consistent Dividend Policy
Aligned Interests Resulting in Sustainable Growth and a Consistent Dividend Policy Ownership Structure Dividends 1.66% 4.00%2 3.37%2 3.58%3 2.83% 46.3% 1.10 1.00 0.75 53.7% 0.50 0.16 2012 2013 2014 2015 2016 Syndicate (Strauss Group, IGO-Ortner Group) Free float Dividends per share1 in EUR Dividend
Slide 12: Growth Track Record
Growth Track Record Historical financial development (in EUR m) Production output Revenue EBT/EBT margin1 -83.1 22.0 59.6 66.1 81.1 91.1 +6.2% CAGR Production output 3,925 3,475 3,524 3,417 3,162 3,009 3,140 2,906 2,891 2,630 2,213 2,315 1.9% 1.9% 2.3% 2.3% 0.8% neg. 2011 2012 2013 2014 2015 2016 1
Slide 13: Consolidated Income Statement
Consolidated Income Statement FYE 31 Dec (EUR m1) 2016 H1 2016 H1 2017 Change Production output2 3,925.3 1,662.8 2,014.8 21.2% Revenue 3,417.1 1,509.2 1,771.2 17.4% Share of profit/loss of companies accounted for under 46.3 19.1 18.6 (2.7%) the equity method Cost of materials and other related produ
Slide 14: Statement of Financial Position
Statement of Financial Position FYE 31 Dec (EUR m) 2016 H1 2016 H1 2017 Non-current assets 801.3 743.3 977.1 Assets Current assets 1,560.8 1,429.1 1,619.4 Total assets 2,362.1 2,172.4 2,596.5 Equity1 440.9 382.5 537.1 liabilities Equity & Non-current liabilities 562.7 542.4 558.7 Current liabilities
Slide 15: Business Units (1/2)
Business Units (1/2) BU 1 BU 2 BU 3 BU 4 AT/CH/CZ ENVIRONMENTAL, GERMANY INTERNATIONAL HEALTHCARE & SERV. Production1 973 Share: 48% 373 Share: 19% 549 Share: 27% 104 Share: 5% (in EUR m) • PORR’s largest • PORR’s 2nd biggest • PORR’s unit for • PORR’s unit for business unit market technical leaders
Slide 16: Business Units (2/2)
Business Units (2/2) BU 1 BU 2 BU 3 BU 4 AT/CH/CZ ENVIRONMENTAL, GERMANY INTERNATIONAL HEALTHCARE & SERV. +10% +93% +19% +12% 973 887 462 549 Output 194 373 94 104 (4%) +190% (13%) (42%) 1,304 1,257 Intake 868 732 2,314 636 299 159 92 KPIs -% n.m. n.m. +121% 16.3 16.3 0.4 3.7 EBT 1.9 0.9 (11.1) (5.2
Slide 17: Clear Evidence of Future Production Growth due to High Order Intake
Clear Evidence of Future Production Growth due to High Order Intake Selected Projects General: Office BMW +13.5% Country: DE 2,911 Value1: EUR 114.0m +347 Schedule: 2017 – 2018 EUR m 2,564 General: Railroad Poznań–Piła Country: PL Value1: EUR 112.5m Schedule: 2017 – 2019 General: Subway U5 Europavie
Slide 18: High Order Backlog Underpins Successful Strategy of Intelligent Growth
High Order Backlog Underpins Successful Strategy of Intelligent Growth Selected Projects General: Office Europaallee Zürich1 +4.0% Country: CH Value2: EUR 152.5m 5,700 POC: 32.9% +219 Schedule: 2015 – 2020 EUR m General: Emscher Tunnel 5,481 Country: DE Value2: EUR 144.1m POC: 83.9% Schedule: 2013 –
Slide 19: After a Strong External Growth Phase, we Look at Potential Targets even more Selectively
After a Strong External Growth Phase, we Look at Potential Targets even more Selectively Portfolio Targeted acquisitions alongside the Bridge Construction core competencies • to selectively become "total contractor" Tunnelling • to acquire unique expertise in specific segments • to maintain a leadin
Slide 20: Key Messages
Key Messages Our mid to long term strategy will remain unchanged to ensure a sustainable development for our shareholders We are facing favourable long term market fundamentals in our key markets After a period of strong growth and a subsequent integration phase, we are currently refocusing manageme
Slide 21: Your Questions
YOUR QUESTIONS