Ellomay Capital Ltd · AMEX:ELLO
Ellomay Capital — Q3 2015 Earnings Presentation
38 slides from Ellomay Capital's earnings presentation, Dec 21, 2015
Slide 1: Financial Results Summary: Q1-Q3 2015
Exhibit 99.2 NYSE MKT; TASE: ELLO Financial Results Summary: Q1-Q3 2015 1
Slide 2: Disclaimer
Disclaimer General: • The information contained in this presentation is subject to, and must be read in conjunction with, all other publically available information, including our Annual Report on Form 20-F for the year ended December 31, 2014, and other filings that we make from time to time with t
Slide 3: Financial Results Summary: Q1-Q3 2015
Financial Results Summary: Q1-Q3 2015 3
Slide 4: Q1-Q3 2015 results by segment
Q1-Q3 2015 Q1-Q3 2014 Q1-Q3 2015 Q1-Q3 2014 1) From PV Operations - The Company continues to improve its operational parameters and its gross margin. There is no significant change in the reported gross profit compared to the same period last year, however ,revenues denominated in Euro have increase
Slide 5: Q1-Q3 2015 Results Summary
Q1-Q3 2015 Results Summary • Ran Fridrich, CEO and a board member of Ellomay commented: “Excluding unfavorable currency effects, revenues for the period were up approximately 11% compared to the relevant period in 2014. The Company continues to improve its operational parameters and its gross margin
Slide 6: Q1-Q3 2015 Results Summary
Q1-Q3 2015 Results Summary • Tax benefit was approximately $2.1 million for the nine months ended September 30, 2015, compared to taxes on income of approximately $0.8 million for the nine months ended September 30, 2014. This tax benefit for the nine months ended September 30, 2015 resulted mainly
Slide 7: Key Income and P&L Figures (USD millions)
Key Income and P&L Figures (USD millions) *See Appendix A 7
Slide 8: On going Revenues Growth (EUR millions)
On going Revenues Growth (EUR millions) Q1-Q3 2015 Revenues were up by approximately 11% compared to Q1-Q3 2014 8
Slide 9: Key Balance Sheet Figures (USD 000`)
Key Balance Sheet Figures (USD 000`) December 31, % September 30, % September 30, % Of Of Of 2014 BS 2014 BS 2015 BS Cash and cash equivalent, Marketable securities, Short- 23,388 15% 30,007 17% 29,580 17% term deposits Financial Debt* 55,288 35% 63,387 37% 64,540 38% Financial Debt, net* 31,900 20%
Slide 10: Key Financial Ratios
Key Financial Ratios December 31, September 30, September 30, 2014 2014 2015 Financial Debt to CAP (A/D) 37% 40% 40% Financial Debt, net to CAP (B/D) 21% 21% 22% Financial Debt to Total equity (A/C) 59% 66% 66% Financial Debt, net to Total equity (B/C) 34% 35% 36% *See Appendix B Strong Balance Shee
Slide 11: Ellomay Capital: Company Overview
Ellomay Capital: Company Overview 11
Slide 12: Holdings Overview
Holdings Overview Ellomay operates in the energy and infrastructure sectors, including renewable and clean energy, and aims to exploit attractive yield to risk ratios Current management/controlling shareholders took control of a public shell with approximately $80M of cash and began acquisitions/ope
Slide 13: Holdings Overview
Holdings Overview Yielding Portfolio Development Project 9.2%(1) 75% Dorad Energy Ltd. (“Dorad”) PV Operations Ellomay pumped storage (2014) Ltd. Holds and operates 16 PV plants pumped hydro a 850 MW CCGT(2) power Pre-construction phase(3) plant (the “Dorad Power Plant”) Italy Spain 12 PV Plants 4 P
Slide 14: Portfolio Summary
Portfolio Summary Spain Italy Israel (PV) (PV) (CCGT1) Installed Capacity 7.9 MWp 22.6 MWp 850 MW % Ownership 100% 100% ~ 9.2%2 Book Value of investment3 ~ 21.6M4 ~ 80M4 ~ $35.5M5 License Expiration 2040-2041 ~ 2031 20346 # of Power Plants 4 12 1 1) The Dorad Power Plant began commercial operation i
Slide 15: Corporate Structure
Corporate Structure Shareholders agreement1 Shlomo Nehama Kanir Partnership The public and others 31.1%2 30.6%3 1) Mr. Shlomo Nehama owns the shares of Ellomay directly and indirectly. A shareholders agreement was signed between Kanir partnership and a company controlled by Shlomo Nehama that holds
Slide 16: Company History
Company History Entrance to Italian Commencement of Dorad PV Listing in Power Plant’s Commercial Listing in (acquisitions Market2010 - NYSE Operations 2013) TASE MKT (850MW) 2010 2011 2012 2013 2014 2015 Acquired Public Debenture Entrance to Acquisition indirect equity Issuance Spanish PV of interes
Slide 17: Management Team
Management Team Shlomo Nehama, Chairman of the Board - Former Chairman of the Board of Bank Hapoalim, the leading bank in Israel, between 1998 and 2007. During his years at the bank, Bank Hapoalim grew its profits and return on capital, while increasing its balance sheet by over 50% and became Israe
Slide 18: PV Operations: Italy & Spain
PV Operations: Italy & Spain 18
Slide 19: On going Steady Capacity Growth of PV Portfolio
On going Steady Capacity Growth of PV Portfolio 19
Slide 20: Italian PV Market
Italian PV Market • The Italian government adopted the Feed In Tariff (FiT) incentive scheme. The energy authority in Italy (GSE) pays a long-term nominal rate per every kilo-watt hour that is produced by a PV plant on top of the price of electricity the PV plant receives on electricity that is tran
Slide 21: PV Plants in Italy
PV Plants in Italy Installed Acquisition Acquisition Connection FIT(1) Project name Capacity Cost per Technology Region Year Date1 Eurocent/KWh (kWp) MWp (in millions) Del Bianco 734 2010 2.9€ 04/2011 Fix Marche 32.15 Costantini 734 2010 2.9€ 04/2011 Fix Marche 32.15 Giacchè 730 2010 3.8€ 04/2011 Tr
Slide 22: Spanish PV Market
Spanish PV Market • The legal and regulatory framework applicable to the production of electricity from renewable energy sources in Spain has been modified during the second half of 2013, establishing the basis of the new remuneration scheme applicable to renewable energies called the “Specific Remu
Slide 23: PV Plants in Spain
PV Plants in Spain Acquisition Expected Installed Acquisition Cost per Connection annual Project name Capacity Technology Location Year MWp Date1 revenues (kWp) (in millions) (€ thousand) Rodríguez I 1,675 2014 1.55€ 11/2011 Fix Murcia ~ 570 Rodríguez II 2,690 2014 1.78€ 11/2011 Fix Murcia ~ 960 Fue
Slide 24: Dorad Power Plant Ashkelon, Israel
Dorad Power Plant Ashkelon, Israel 24
Slide 25: Ellomay indirectly holds approximately 9.2% interest in Dorad
• Ellomay indirectly holds approximately 9.2% interest in Dorad, and holds an option to purchase an additional interest of approximately 0.2% • Located in the vicinity of Ashkelon, Israel, the Dorad Power Plant is, as of today, one of the largest private power plant in Israel, with installed capacit
Slide 26: Electricity is sold directly to end-users and to the national network
• Electricity is sold directly to end-users and to the national distribution network at competitive rates1 • The power plant, which was declared a national infrastructure project by the Israeli Prime Minister, was commercially operated and began producing electricity in full capacity in May 2014 1)
Slide 27: Dorad Power Plant Key P&L and Statement of Cash Flows Figures
Dorad Power Plant Key P&L and Statement of Cash Flows Figures (NIS millions) Q1-Q3 2014 (1) Q1-Q3 2015 Revenues 901 1841 Gross profit from operating the power plant 187 245 Operating profit 173 228 EBITDA (2) 247 387 Finance exp., net (79) (174) Net income (loss) for the period 77 40 Net increase (d
Slide 28: Development Project: Pumped-storage project, Manara Cliff, Israel
Development Project: Pumped-storage project, Manara Cliff, Israel 28
Slide 29: Pumped-storage project: Manara Cliff, Israel (Manara Project)
Pumped-storage project: Manara Cliff, Israel (“Manara Project”) The Development project Pumped Storage Power Station Project company Ellomay Pumped Storage (2014) Ltd. Ellomay Capital Ltd. - 75% (1) Shareholders Sheva Mizrakot Ltd. - 25% Station power 200MW (2) Construction time 72 months (including
Slide 30: Pumped-storage project: The need for pumped storage
Pumped-storage project: The need for pumped storage • The demand for electricity is affected by many factors like weather (cooling or heating), time of day, day of the week etc. • In order to provide all the needed electricity, the electric company (IEC) is constantly over generating energy as resul
Slide 31: Pumped-storage project: The solution in a nut shell
Pumped-storage project: The solution in a nut shell General • Sustainable technology - working for over 100 years • Pumped storage plant is a power plant capable of storing energy by raising and releasing water allowing quick response time (90 sec) for the use of the grid dispatcher • Using a hydro-
Slide 32: Pumped-storage project: Graphic Illustration
Pumped-storage project: Graphic Illustration 32
Slide 33: Investment Summary
Investment Summary 1 Diversified base of cash flow generating assets 2 Strong balance sheet and track record of securing non-dilutive financing Focus on small/mid size scale commercial projects with limited capex and operational 3 risks Seasoned management team with extensive sector knowledge and ac
Slide 34: Appendix A - EBIDTA
Appendix A - EBIDTA • Use of NON-IFRS Financial Measures EBITDA is a non-IFRS measure and is defined as earnings before financial expenses, net, taxes, depreciation and amortization. The Company presents this measure in order to enhance the understanding of the Company’s historical financial perform
Slide 35: Appendix B - Leverage Ratios
Appendix B - Leverage Ratios • Use of NON-IFRS Financial Measures The Company defines Financial Debt as loans and borrowings plus debentures (current liabilities) plus finance lease obligations plus long-term bank loans plus debentures (non-current liabilities), Financial Debt, Net as Financial Debt
Slide 36: Appendix C- Israeli Rating for Series A Debentures
Appendix C- Israeli Rating for Series A Debentures • On March 18, 2015, Standard & Poors Maalot Ltd. (“Maalot”) confirmed the rating of ilA-assigned to the Series A Debentures traded on the Tel Aviv Stock Exchange and reaffirmed the “Stable” outlook. • In its rating report Maalot notes, among other
Slide 37: Appendix C- Israeli Rating for Series A Debentures (cont.)
Appendix C- Israeli Rating for Series A Debentures (cont.) In its rating report Maalot notes, among other things, as follows (cont.): “…The stable outlook reflects our assessment that cash flows from held projects, coupled with the liquidity cushion, will be resilient, in the short term, to possible
Slide 38: Contact
Contact Company Investor Relations Kalia Weintraub Ishay Potruch Chief Financial Officer Ellomay Capital LTD. GK International IR & PR 9 Rothschild Blvd., Tel Aviv Direct: +972 (0)3-6070590 Direct: +972-3-7971111 Mobile: +972 (0)52-3332228 Fax: +972-3-7971122 ishay@gk-biz.com Email: anatb@elloma