Monadelphous Group Limited · ASX:MND
Monadelphous — H1 2006 Earnings Presentation
19 slides from Monadelphous's earnings presentation, Feb 21, 2006
Slide 1: December 2005 Half Year Results Presentation
Monadelphous December 2005 Half Year Results Presentation February 2006
Slide 2: Highlights
a Monadelphous | Highlights m 56% increase in After Tax Profit (on top of last year’s exceptional 101% increase) = Health & Safety performance (TCIFR) improved by 30% = Capitalising on leading competitive position and strong market m Shortage of skilled labour remains the key challenge m High worklo
Slide 3: Financial Highlights
a Monadelphous | Financial Highlights = Continued EPS growth, up 53% to 15.6c m Revenue up 22% to $243.5m =» EBITDA margin up 25% to 8.5% m Underpinned by strong operating cash flows up 137% to $37.1m = Capital expenditure remains high at $10.8m, while the net cash position firmed to $24.7m m Fully
Slide 4: Financial Performance Summary
Revenue EBITDA Net Profit After Tax Earnings per Share Interim Dividend Return on Equity December 2005 Half Year Financial Performance Summary. Dec 05 $243.5M $20.8M $12.5M 15.6¢ 9.00cpsff 24.1% Dec 04 $199.5M $13.6M $8.0M 10.2c 5.25cpsff 18.3% a Monaceiphous
Slide 5: Healthy increase in recurring business revenues
i Monedelphous Healthy i increase in recurring business revenues Revenue Profit After Tax 2001 Bed 2008 2008 2005 2008 2008 2002 2008 2008 2008 2006 mm Oec Half dune Halt Dec Haff m June Half ™@ 22% increase in revenue and 56% increase in PAT reflecting a healthy 66% increase in Maintenance & Indust
Slide 6: Improved margins from buoyant market conditions
i Monedelphous: ; Improved margins from buoyant market conditions EBITDA Margin Profit After Tax Margin 2001 2002 2003 2004 2008 2008 2001 208 2003 2004 2008 2006 fq Dec Halt mi Fut Year Dec Half @ Ful Year gm 25% improvement in EBITDA margin to 8.5% and 28% increase in PAT margin to 5.1% from favou
Slide 7: Record operating cash flow
a Monadelphous | Record operating cash flow EBITDA Cashflow from Operations 2001 2002 2003 2008 2008 2008 Bed 2008 2004 2008 2008 Dec Hall gi June Halt ta Dee Half June Half m EBITDA of $20.8m, up 53% m Earnings growth and working capital movements produced a record operating cash flow of $37.1m up
Slide 8: Earnings Per Share and Total Dividend Payments
Earnings Per Share 200 owe 2003 2008 2005 2008 tg Dec Half m June Half m EPS of 15.6cps up 53% and interim DPS of 9c up 71% on pcp = Special dividend to be paid with final dividend in September 2006 m= Special dividend flagged for 2007 December 2005 Half Year Special dividend payable i in 1 Septembe
Slide 9: Capital expenditure remains at high levels
oo : A Nonadelphous: | Capital expenditure remains at high levels Debt to Equity Capital Expenditure 2001 2002 2008 2004 2005 2008 Boot 2002 2008 2004 2008 2006 Dec Haif m Full Year Dec Half g June Half m Plant and equipment fleet expansion in line with increasing workload has kept capital expenditu
Slide 10: Return on equity at historically high levels
Return on equity at historically high levels Return on Equity 2007 2oer 2009 2004 2008 2008 Dec Half m June Half ni Moanadelphous | = Return on equity at 24.1% for the half year remains at historically high levels December 2005 Half Year
Slide 11: Total Case Injury Frequency Rate and Employee Numbers
a Monadelphous | Toial Case Injury Frequency Rate (TCIFR) Employee Numbers 60 2,500 50 2,000 “ 1,500 ° 1,000 20 , 10 500 ot ' t t t t 1 0+ T r r r 2001 2002 2003 2004 2005 2006 Jun-02 Jun-03 Jun-04 Jun-05 — Dec-05 mm TCIFR m Drive to improve health & safety performance continued with 30% reduction i
Slide 12: Maintenance & Industrial Services Division
= | Monadelphous “Maintenance & Industrial Services Division Revenue Dec 05 Dec 04 200,000 1000) i Revenue = $113M $68M 8 100,000 50,000. at 2004 2005 2006 @ Dec Ha @ June Hak m Maintenance & Industrial Services revenue increased a healthy 66% driven by: = Full period revenues from maintenance contr
Slide 13: Maintenance & Industrial Services Division Highlights
| Monacelphous Maintenance & Industrial Services Division Highlights - m QLD maintenance contracts secured during last financial year contributing to revenue growth, include: = Comalco’s Alumina Refinery, Gladstone, QLD =» Comalco’s Boyne Smelter, Gladstone, QLD m WA maintenance work secured during
Slide 14: Skystar Airport Services
os cL Monadelphous = Skystar Airport Services continued to grow in the first half = New contracts won in November & December with: « Singapore Airlines in Perth & Brisbane » Qantas Airlines in Kalgoorlie, WA « Jetstar in Christchurch, New Zealand m= Skystar’s revenue rate has grown to around $20m pe
Slide 15: Engineering Construction Division
Engineering Construction Division Revenue Revenue 2004 2008 2006 Qec Hail gl June Hall | Monadelphous Dec 05 $131M Dec 04 $132M m= Engineering Construction revenue almost matched the exceptional December 2005 Half Year six month revenue recorded in the first half of last year Around $200m of new con
Slide 16: Engineering Construction Division Highlights
B | Monadelphous : Engineering Construction Division Highlights = Substantial successful progress of major contracts including: = Major expansion of iron ore stockyards for Rio Tinto Iron Ore’s Dampier Port Upgrade, WA » Sulphuric Acid Plant for BHP Billiton’s Ravensthorpe Nickel Project, WA » Exten
Slide 17: Engineering Construction Division Highlights
a | Monadelphous | Engineering Construction Division Highlights $200m of new major contracts secured over last few months: « Expansion of iron ore facilities at Rio Tinto Iron Ore’s Yandicoogina mine, WA a Yabulu Nickel Extension Project at BHP Billiton’s Yabulu Nickel Refinery, Townsville, QLD « St
Slide 18: Key Customers
Key Customers. = BHP Billiton (Iron Ore, Nickel, Coal, Copper) = Rio Tinto Iron Ore (Iron Ore) = Xstrata (Copper, Lead) = = Comalco (Alumina, Aluminium) = Queensland Alumina (Alumina) = Alcan (Alumina) = Alcoa (Alumina) = Chevron (Oil, Gas) = Santos (Oil, Gas) = Woodside (Oil, Gas) # Oil Search (Oil
Slide 19: Outlook
a ‘Nianadeiphoue | Outlook m= Full year revenues forecast to reach $500m m Resource constraints will continue to limit capacity and provide the greatest challenge in the current business environment m High levels of capital expenditure on plant and equipment are also expected to continue in line wit