Billington Holdings Plc · LSE:BILN
Billington — FY2019 Earnings Presentation
31 slides from Billington's earnings presentation, April 2020
Slide 1: Results for the 12 months ended 31 December 2019
Results for the 12 months ended 31 December 2019 April 2020
Slide 2: Disclaimer
Disclaimer The content of this promotion has not been approved by an authorised person within the meaning of the Financial Services and Markets Act 2000. Reliance on this promotion for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of
Slide 3: Introduction
Introduction The Wave, Coventry • Billington Holdings Plc is a leading UK structural steel and construction safety solutions specialist. • All Group companies performed amongst the best in their respective industries. • Record full year turnover for the Billington Group. • Further diversification of
Slide 4: Group Operating Divisions
Group Operating Divisions Billington Structures Ltd Peter Marshall Steel Stairs Ltd A nationally recognised and award-winning steelwork A specialist company principally engaged in the design, contractor, with over 70 years’ experience. Plants in fabrication and installation of highly engineered Barn
Slide 5: Overview
Overview • The Group invested in the individual businesses following continued growth. • Positive trading result for all Group divisions. • Significant increase in turnover, up 36 per cent from 2018. • Successful delivery of the Group’s largest contract to date, a data centre development situated in
Slide 6: Group Structure
Group Structure Structural Steel Safety Solutions 6
Slide 7: Investor Relations
Investor Relations London (AIM) Share Price Ordinary Shares in issue (No.) Market Cap. (GBP, millions) Major Shareholders BILN 308.00p 12,934,327 39.84 Gutenga Investments PCC Ltd 36.4% as of 14/04/2020 Close Brothers 12.8% Ocorian Trustees Ltd 6.7% Otus Capital 7.9% Ruffer LLP 5.0% GPIM 4.8% Adviso
Slide 8: Board of Directors
Board of Directors Ian Lawson Non-Executive Chairman Stephen Wardell Non-Executive Director Ian is a fellow of both The Royal Institute of Chartered Surveyors (FRICS) and the Stephen is a member of the Institute of Chartered Accountants in England & Wales Chartered Institute of Building (FCIOB) and
Slide 9: Structural Steel Market Trend Graph
Structural Steel Market Trend Graph UK Consumption of Constructional Steelwork - 2000-2022 1,500 1,400 1,300 1,200 Tonnes (000's) 1,100 1,000 900 800 700 600 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Tonnes - actual Tonnes - pr
Slide 10: The Steel Industry
The Steel Industry • Chinese steel manufacturing giant Jingye Group has completed its acquisition of British Steel. The deal safeguards around 3,200 jobs and will pave the way for a £1.2bn investment in the business. • No operational impact to date noted during the pandemic. • The second half of 201
Slide 11: Steel Manufacture – Raw Materials
Steel Manufacture – Raw Materials 11
Slide 12: Financial Review for the 12 Months Ended 31 December 2019
Financial Review for the 12 Months Ended 31 December 2019 April 2020
Slide 13: Highlights
Highlights London School of Economics • Marquee projects delivered in the year contribute to a record revenue performance. • Positive contribution from all Group divisions. • Excellent progress at easi-edge and hoard-it with each increasing hire stock levels in the period. • Margins remain varied ac
Slide 14: Results Overview
Results Overview Circle Square, Manchester • Record share price of 445p (13 February 2020) prior to impact of Covid-19. • Areas of diversification have been identified and plans currently being developed. • Robust financial position of the Group allows opportunities to be capitalised as they arise.
Slide 15: The Impact of Shafton
The Impact of Shafton • Site located five miles from Head Office in Barnsley. • Shafton Steel Services to offer steel profiling and processing services to the wider fabricator / engineering markets. • Continued investment in new machinery to enhance the offering to in Group and external customer bas
Slide 16: Five Year Summary
Five Year Summary Revenue (£m) Net Assets (£m) Profit Before Tax (PBT) (£m) 28.1 120 104.9 30 7 5.9 23.5 6 100 25 22.0 4.9 73.5 77.3 18.8 4.4 5 80 63.3 20 16.4 3.8 56.8 4 3.1 60 15 3 40 10 2 20 5 1 0 0 0 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 2015 2016 2017 2018 2019 Earnings Before Inter
Slide 17: Financial Summary
Financial Summary Revenue - £m Profit Before Tax - £m 120 7.0 6.0 100 5.0 80 57.8 3.20 4.0 60 37.9 3.0 2.2 39.2 3.0 36.2 2.1 40 32.2 1.4 23.8 2.0 20.4 47.1 1.1 2.7 20 39.4 2.2 34.3 1.0 1.9 24.6 27.1 1.7 1.7 17.2 21.3 0.5 0.8 0 - 0.3 2013 2014 2015 2016 2017 2018 2019 2013 2014 2015 2016 2017 2018 20
Slide 18: Financial Summary
Financial Summary 12 months to 12 months to £’000 31 December 2019 31 December 2018 Revenue 104,911 77,266 Total costs (excluding depreciation) 97,161 70,763 EBITDA 7,750 6,503 Depreciation 1,814 1,502 Group operating profit 5,936 5,001 Net finance costs (5) (58) Profit before tax 5,931 4,943 Taxati
Slide 19: Balance Sheet
Balance Sheet £’000 31 December 2019 31 December 2018 Non-Current Assets 16,456 15,711 Current Assets 33,548 28,849 Total Assets 50,004 44,560 Current Liabilities (21,724) (19,609) Non-Current Liabilities (187) (1,500) Total Liabilities (21,911) (21,109) Net Assets 28,093 23,451 19
Slide 20: Cash Flow
Cash Flow £’000 31 December 2019 31 December 2018 Profit after tax 4,796 4,049 Net cash flow from operating activities 7,182 562 Net cash flow from investing activities (1,410) (1,679) Net cash from financing activities (2,023) (1,684) Cash at beginning of period 9,311 8,063 Cash at end of period 17
Slide 21: Forward Order Book
Forward Order Book Forward Order Book - Sales to Invoice £m - Order Book Aug '07 Feb '08 Aug '08 Feb '09 Aug '09 Feb '10 Aug '10 Feb '11 Aug '11 Feb '12 Aug '12 Feb '13 Aug '13 Feb '14 Aug '14 Feb '15 Jun '15 Mar '16 Aug '16 Dec-16 Mar-17 Jun-17 Dec-17 Mar-18 Jun-18 Dec-18 Mar-19 Jun-19 Mar-20 21
Slide 22: Divisional Turnover Breakdown
Divisional Turnover Breakdown 2019 Divisional Breakdown 2018 Divisional Breakdown 5% 2% 3% 4% 6% 3% 6% 4% 86% 81% Billington Structures easi-edge Marshall Steel Stairs hoard-it Shafton Billington Structures easi-edge Marshall Steel Stairs hoard-it Shafton 22
Slide 23: Divisional Highlights – Billington Structures Ltd
Divisional Highlights – Billington Structures Ltd First Way, Wembley Better Barnsley ‘The Glass Works’ Recent Projects: • Circle Square, Manchester – John Sisk & Son • 4 Wellington Place, Leeds – Wates Construction • Data Centre Development, Europe – ISG Construction Circle Square, Manchester • Bett
Slide 24: Divisional Highlights – Peter Marshall Steel Stairs Ltd
Divisional Highlights – Peter Marshall Steel Stairs Ltd Huddersfield Energy & Recycling Facility Harwell Cobalt Building, Didcot Recent Projects: • Manchester Airport T2 – Delta Balustrades • Harwell Colbalt Building, Didcot – SDC Builders • Aldi Distribution Centre, Darlington – DSP Construction •
Slide 25: Divisional Highlights – easi-edge Ltd
Divisional Highlights – easi-edge Ltd 4 Wellington Place, Leeds Project Cornbrook, Manchester Recent Projects: • Kings Cross, London – Elland Steel • Plot 1, New Bailey, Salford – Bowmer & Kirkland • Milburngate, Durham – Tolent Construction Circle Square, Manchester • Cornbrook, Manchester – ISG Co
Slide 26: Divisional Highlights – hoard-it Ltd
Divisional Highlights – hoard-it Ltd Northgate House, Oxford Wembley Way, Wembley Recent Projects: • Northgate House, Oxford – BAM Construction • Deepcut – Skanska • Brent Cross – BAM Construction Penny Pie Park, Barnsley • Penny Pie Park, Barnsley – Barnsley Council • Circle Square, Manchester – Jo
Slide 27: Divisional Highlights – Shafton Steel Services Ltd
Divisional Highlights – Shafton Steel Services Ltd Services include: • Oxy Gas & HD Plasma Profiling • CNC Plate Drilling • Bevel Head Plasma Profiling • Shear Punch Drill Fittings • Shotblasting & Primer Painting • Section Sawing & Section Drilling 27
Slide 28: Awards
Awards Wellington Place, Leeds • Billington Structures Ltd won the Public Vote at the 2019 UK Tekla Awards for multiple plots at Wellington Place in Leeds. • Two awards for the Public Vote and Sports & Recreation for Coventry Water Park & Leisure Centre in 2018. • Achieved a commendation at the 2019
Slide 29: Summary – Outlook & Prospects
Summary – Outlook & Prospects London School of Economics • New value added services brought inhouse as a result of the new machinery at Shafton and further expansion of capacity planned for 2020 when prudent to do so. • Further enhancement of the graduate and apprentice programme. Billington have be
Slide 30: Contacts
Contacts Billington Holdings Plc: Tel: 01226 340 666 Mark Smith, Chief Executive Officer Web: www.billington-holdings.plc.uk Trevor Taylor, Chief Financial Officer Social: @BillingtonSteel W H Ireland Limited: Tel: 020 7220 1666 Chris Hardie James Sinclair-Ford Jasper Berry IFC Advisory Limited: Tel
Slide 31: Tel: +44 (0) 1226 340 666 | Web: www.billington -holdings.plc.uk
Tel: +44 (0) 1226 340 666 | Web: www.billington -holdings.plc.uk 31